M3-PN140135 Effective Date: May 30th, 2015 Optimized and Final Feasibility Study Corani Project Puno, Peru Form 43-101F1 Technical Report Daniel H. Neff, P.E. Laurie Tahija, MMSA-QP Chris Chapman, P.E. Terre Lane, MMSA -QP Rick Moritz, MMSA-QP Tom Shouldice, P.E. Christian Rios, CPG CORANI PROJECT FORM 43-101F1 TECHNICAL REPORT DATE AND SIGNATURES PAGE The effective date of this Report is May 30, 2015. The issue date of this Report is July 17, 2015. See Appendix A, Feasibility Study Contributors and Professional Qualifications, for certificates of Qualified Persons. (Signed) “Daniel Neff” July 17, 2015 Daniel H. Neff, P.E. Date (Signed) “Laurie Tahija” July 17, 2015 Laurie Tahija, MMSA-QP Date (Signed) “Chris Chapman” July 17, 2015 Chris Chapman, P.E. Date (Signed) “Terre Lane” July 17, 2015 Terre Lane, MMSA-QP Date (Signed) “Rick Moritz” July 17, 2015 Rick Moritz, MMSA-QP Date (Signed) “Tom Shouldice” July 17, 2015 Tom Shouldice, P.E. Date (Signed) “Christian Rios” July 17, 2015 Christian Rios, CPG Date M3-PN M3-PN140135 17 July 2015 Revision R0 i CORANI PROJECT FORM 43-101F1 TECHNICAL REPORT CORANI PROJECT FORM 43-101F1 TECHNICAL REPORT TABLE OF CONTENTS SECTION PAGE DATE AND SIGNATURES PAGE ..........................................................................................................................................I TABLE OF CONTENTS ......................................................................................................................................................... II LIST OF FIGURES AND ILLUSTRATIONS ....................................................................................................................... XII 1 SUMMARY.............................................................................................................................................................. 1 1.1 PROPERTY DESCRIPTION AND OWNERSHIP ................................................................................................ 1 1.1.1 Location .......................................................................................................................... 1 1.1.2 Description...................................................................................................................... 1 1.1.3 Mineral Tenure ................................................................................................................ 2 1.2 GEOLOGY AND MINERALIZATION ................................................................................................................ 2 1.2.1 Regional Geology ........................................................................................................... 2 1.2.2 Property Geology ........................................................................................................... 2 1.3 EXPLORATION STATUS .............................................................................................................................. 3 1.4 DEVELOPMENT AND OPERATIONS .............................................................................................................. 4 1.4.1 Production Schedule ..................................................................................................... 4 1.4.2 Mine Equipment ............................................................................................................. 4 1.5 METALLURGY ............................................................................................................................................ 4 1.6 PROCESS .................................................................................................................................................. 5 1.7 ENVIRONMENTAL AND PERMITTING ............................................................................................................ 8 1.8 RECLAMATION AND CLOSURE .................................................................................................................... 8 1.9 PROJECT EXECUTION ................................................................................................................................ 8 1.9.1 Overview ......................................................................................................................... 8 1.9.2 Project Schedule ............................................................................................................ 8 1.9.3 Objectives ....................................................................................................................... 9 1.9.4 Project Management ...................................................................................................... 9 1.9.5 Engineering .................................................................................................................. 10 1.9.6 Procurement and Contracting .................................................................................... 10 1.9.7 Construction ................................................................................................................. 10 1.9.8 Commissioning and Startup ....................................................................................... 10 1.10 OPERATING COST ESTIMATE ................................................................................................................... 11 1.10.1 Mine Operating Cost .................................................................................................... 11 1.10.2 Plant Operating Cost ................................................................................................... 12 1.10.3 G&A Cost ...................................................................................................................... 13 1.11 CAPITAL COST ESTIMATE ........................................................................................................................ 14 1.12 ECONOMIC ANALYSIS .............................................................................................................................. 16 M3-PN M3-PN140135 17 July 2015 Revision R0 ii CORANI PROJECT FORM 43-101F1 TECHNICAL REPORT 1.13 MINERAL RESOURCE AND MINERAL RESERVE ESTIMATES ....................................................................... 16 1.14 CONCLUSIONS ......................................................................................................................................... 17 1.15 RECOMMENDATIONS ................................................................................................................................ 18 1.15.1 Site Geotechnical ......................................................................................................... 18 1.15.2 Mine Geotechnical ....................................................................................................... 19 1.15.3 Plant Water Pond ......................................................................................................... 19 1.15.4 Metallurgy ..................................................................................................................... 19 1.15.5 Constructability ............................................................................................................ 20 1.15.6 Optimization.................................................................................................................. 20 1.16 RISKS ...................................................................................................................................................... 20 1.17 OPPORTUNITIES ....................................................................................................................................... 20 1.17.1 Gold Zone ..................................................................................................................... 21 2 INTRODUCTION .................................................................................................................................................. 22 2.1 PURPOSE ................................................................................................................................................ 22 2.2 SOURCES OF INFORMATION ..................................................................................................................... 23 2.3 SITE VISIT & PERSONAL INSPECTIONS ..................................................................................................... 25 2.4 TERMS OF REFERENCE ............................................................................................................................ 26 3 RELIANCE ON OTHER EXPERTS ..................................................................................................................... 29 3.1 MINING CONCESSIONS ............................................................................................................................. 29 3.2 POWER SUPPLY ....................................................................................................................................... 29 3.3 MINE ACCESS ROAD ................................................................................................................................ 29 3.4 CORANI RESIDENTIAL CAMP .................................................................................................................... 29 3.5 MARKETING STUDIES AND TREATMENT TERMS ........................................................................................ 29 3.6 GEOTECHNICAL ......................................................................................................................................