Technical Report on the BYP Property, Hunan Province, China
Total Page:16
File Type:pdf, Size:1020Kb
Technical Report on the BYP Property, Hunan Province, China Report For: SILVERCORP METALS INC., SUITE 1378-200 GRANVILLE STREET VANCOUVER, BC V6C1S4 REPORT DATE: June 24, 2011 EFFECTIVE DATE: June 15, 2011 Prepared by Randal Cullen, P. Geo. Technical Report on The BYP Property, Hunan Province, China Silvercorp Metals Inc. June 24, 2011 TABLE OF CONTENTS 1.0 SUMMARY ......................................................................................................................... 6 2.0 INTRODUCTION ................................................................................................................ 9 2.2 Terms of Reference ........................................................................................................................ 9 3.0 Reliance on Other Experts ............................................................................................. 10 3.1 Previous Reporting by Qualified Persons .................................................................................... 10 3.2 Translation ................................................................................................................................... 10 3.3 Resource Estimation ................................................................................................................ 10 3.4 Metallurgy ................................................................................................................................ 10 3.5 Disclaimer ................................................................................................................................... 10 4.0 PROPERTY DESCRIPTION AND LOCATION ................................................................ 11 5.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY ....................................................................................................................... 15 6.0 HISTORY .......................................................................................................................... 16 6.1 History of Detailed Exploration ................................................................................................... 16 6.1.1 Detailed Exploration for Lead and Zinc during 1971 and 1977 ........................................... 16 6.1.2 Detailed Exploration for Gold in 1990 and 1991 ................................................................. 23 6.1.3 Historical Quality Assurance and Quality Control ............................................................... 26 6.2 Regional Geological Mapping, Geophysical and Geochemical Exploration .............................. 30 6.2.1 Regional Geological Mapping ............................................................................................. 30 6.2.2 Regional Geochemical Sampling Programs ......................................................................... 30 6.3 Summary of Work Previously Conducted on the BYP Property ................................................. 32 6.4 History of Mining ........................................................................................................................ 33 6.5 Historical Resource Estimates ..................................................................................................... 33 6.6 Discussion and Comment ............................................................................................................ 35 7.0 GEOLOGICAL SETTING ................................................................................................. 36 7.1 Regional Geology ........................................................................................................................ 36 7.2 Property Geology ......................................................................................................................... 37 7.2.1 Stratigraphy .......................................................................................................................... 38 7.2.2 Structure ............................................................................................................................... 39 7.2.3 Magmatic Activity ................................................................................................................ 39 7.2.4 Metamorphism ..................................................................................................................... 40 8.0 DEPOSIT TYPES ............................................................................................................. 41 8.1 Mississippi Valley Type Lead Zinc Deposits ............................................................................... 41 8.2 Sediment Hosted Disseminated Gold Deposits (CARLIN-TYPE) ............................................ 44 9.0 MINERALIZATION ........................................................................................................... 47 9.1 Lead-Zinc Mineralization ............................................................................................................ 47 9.2 Gold Mineralization ..................................................................................................................... 48 10.0 EXPLORATION ............................................................................................................. 49 10.1 Underground Development from 2002 to 2011 ........................................................................... 49 10.2 Underground Sampling Program in 2010 and 2011 by Silvercorp .............................................. 49 11.0 DRILLING ..................................................................................................................... 52 12.0 SAMPLING METHOD AND APPROACH ..................................................................... 53 12.1 Channel Sampling and Sample Marking ..................................................................................... 53 12.2 Core Sampling and Sample Marking ........................................................................................... 53 12.3 Sample Packaging ........................................................................................................................ 53 12.4 Transportation and Chain of Custody .......................................................................................... 53 13.0 SAMPLE PREPARATION, ANALYSES AND SECURITY ............................................ 55 13.1 Sample Preparation in Silvercorp’s Sampling Program ............................................................... 55 13.2 Analysis in Silvercorp’s Sampling Program ................................................................................ 55 2 Technical Report on The BYP Property, Hunan Province, China Silvercorp Metals Inc. June 24, 2011 13.3 Quality Assurance and Quality Control for Silvercorp’s Current Program ................................. 55 13.4 Discussion and Comment ............................................................................................................ 57 14.0 DATA VERIFICATION ................................................................................................... 58 14.1 Gold Data ..................................................................................................................................... 58 15.0 ADJACENT PROPERTIES........................................................................................... 60 16.0 MINERAL PROCESSING AND METALLURGICAL TESTING .................................... 61 16.1 Test Samples ............................................................................................................................ 61 16.1.1 Gold ores .............................................................................................................................. 61 16.1.2 Pb-Zn ores ............................................................................................................................ 61 16.2 Mineralogy and Occurrences of the Beneficial Elements ........................................................ 62 16.2.1 Gold Ore ............................................................................................................................... 62 16.3 Summary of the Metallurgical Test Results ............................................................................. 65 16.3.1 Gold Ore ............................................................................................................................... 65 16.3.2 Pb Zn Ore ............................................................................................................................. 68 16.4 Bulk Density ............................................................................................................................ 70 16.4.1 Pb-Zn Ore ............................................................................................................................. 70 17.0 MINERAL RESOURCE AND MINERAL RESERVE ESTIMATES ............................... 71 17.1 Exploratory Data Analysis ....................................................................................................... 71 17.1.1 Assays .................................................................................................................................. 71 17.1.2 Capping ................................................................................................................................ 71 17.1.3 Composites ..........................................................................................................................