BAGUIO MINERAL DISTRICT THE BAGUIO MINERAL DISTRICT, A GIANT MULTI‐EPISODIC Baguio Gold Itogon Acupan Antamok Danglay Padcal CLUSTERED COPPER‐GOLD SYSTEM Keystone Ampucao Atok, Kelly Chico Nugget Hill Baguio Tom Malihan Manila (Exploration Manager, Benguet Corporation) Nonoy Ruelo (Consultant, Indophil Itogon Mineral Resources Inc.) Looking south, from Mines View Park Benguet province Telescoped porphyry copper system – diverse genetically related deposit styles Baguio Mineral District AA Lithocap IS Epithermal gold Porphyry copper Skarn gold/base metal Sillitoe 2010 Epithermal IS Porphyry copper Geologic Resource /Potential = +40 Moz Au and +5 Mt Cu Skarn GOLD million ounces (Moz) hosts 3 giant deposits Geologic Resource /Potential = +40 Moz Au and +5 Mt Cu Sto. Tomas II porphyry copper = +20 Moz Au eq Rank Deposit Name Deposit Type Moz Au Eq 1 Grasberg Porphyry copper-gold 186.0 COPPER million tonnes (Mt) ranked 14th 2 Bingham Canyon Porphyry copper-moly-gold 131.0 3 Escondida Porphyry copper-gold 133.2 largest in the 4 Oyu Tolgoi Porphyry copper-gold-moly 115.4 5 Kalmakyr Porphyry copper-gold 64.5 world 6 Panguna Porphyry copper-gold 61.5 7 Atlas Porphyry copper-gold 53.5 8 Far Southeast Porphyry copper-gold 50.4 9 Collahuasi Porphyry copper 43.1 10 Batu Hijau Porphyry copper-gold 40.9 11 Sipalay Porphyry copper-gold 33.3 12 Bajo de la Alumbrera Porphyry copper-gold 36. 2 13 Ok Tedi Porphyry / Skarn copper-gold 29.1 14 Sto. Tomas II (Philex) Porphyry copper-gold 20.3 Acupan-Itogon epithermal vein/breccia = +17 Moz Au Antamok epithermal veins = +8.3 Moz Au Rank Deposit Name Deposit Type Moz Au rd ranked 3 and 1 Ladolam (Lihir) Epithermal Low-S veins 23.9 6th largest in 2 Porgera Epithermal Low-S / Transitional 19.8 3 Acupan-Itogon Epithermal Int.-S veins/breccia 17.0 the world 4 Round Mountain Epithermal low-S dissemination 9.5 5 Comstock Epithermal low-S veins 8.4 6 Antamok Epithermal Int.-S veins 8.3 … more large copper/gold targets recently identified 31.5 million ounces gold produced 31.5 million ounces gold produced 5 rich mining history; once the country’s largest gold producer 2.6 million tonnes copper produced transected by Philippine Fault Zone and subsidiary splays • Transpressional tectonics as a result of oblique subduction • Multi-episodic Tertiary magmatism • Deep-seated regional controlling structures • Best copper-gold endowment • Site of 2 large, well-focused magmatic-hydrothermal districts MANKAYAN DISTRICTDISTRICT BAGUIOBAGUIO DISTRICTDISTRICT 0 12.5 25 Kilometers Regional Geologic Evolution Regional Geologic Evolution The Baguio district geologically evolved from a marginal basin to an island arc since Eocene (50 Ma) times, with arc subduction polarity the last 3 million years reversal from west to east in Early Miocene Structural Evolution Well‐focused magmatic plumbing system • Localised dilational jog and conjugate structures, with young K-rich multi-episodic evolved magmatic complexes • Superimposed High-sulphidation alteration, Intermediate- sulphidation epithermal , Porphyry copper-gold and Skarn mineralization styles Gold and Copper mineralisation influenced by Large, young magmatic‐hydrothermal plumbing systems controlled by the Philippine Fault Focused fluid flow along A. dilational sinistral fault jogs and tension gashes B. Conjugate dextral‐normal faults A B Transpressional zone Mineralization styles L. Mio‐ Pliocene magmatic complex Advanced Argillic developed along Lithocap a releasing bend of the Philippine Fault deposits were generated during active strike slip movement in the pre-eminent Philippine Fault zone Epithermal veins Major mines and deposits Padcal (Sto. Tomas II deposit) Antamok copper-gold mine once the largest single gold operation in the Philippines, produced 7 Moz Au Grand Antamok Vein system – largest single gold deposit discovered by Philex in mid-1950's, copper production started in 1958 … until today 400 x 500 m and extends some 800 meters at depth. Original outcropping reserves were just 16 Mt @ 0.80 % Cu Antamok gold mine Antamok gold mine Global resource at 52 Mt @ 5 g/t Au (8.3 Moz Au) Gold mineralisation influenced by splay of the Philippine Fault Focused fluid flow along A. dilational sinistral fault jogs and E‐W tension Open pit gashes STRUCTURAL MODEL Artisanal miners Mill Dog holes A Acupan gold mine Acupan gold mine Balatoc Plug Total pre-mine resource : 65 Mt @ 4.50 g/t Au (9.43 Moz Au) Produced 21.7 Mt @ 9.25 g/t Au (5.9 Moz Au) Epithermal vein / breccia/ stockwork style, selective and bulk‐mined underground, produced 5.5 Moz Au in 1906‐1992 Substantial vein and bulk mineable remaining gold resource L-2000 Main Portal Acupan gold mine Balatoc diatreme breccia Itogon gold mine Acupan – Itogon gold mines Eastern extensions of Acupan vein system; produced 1.5 Moz Au • One single epithermal vein / breccia/ stockwork gold system 3 km long, 2 km wide, and 600 m vertical (still open at depth) • World-class global resource (17 Moz contained Au) • Produced 7 Moz Au in the past (1906 – 1996) Sto. Nino copper-gold mine Black Mountain copper-gold mine discovered in 1974 • discovered in 1966 • 2 orebodies, mined UG 1969-1983 (14 Mt @ 0.40% Cu + 0.30 g/t Au) • Total known resource of 65 Mt @ 0.40% Cu + 0.38 g/t Au Southwest orebody 125 Mt @ 0.34% Cu + 0.26 g/t Au Ullman orebody 38 Mt @ 0.34% Cu + 0.33 g/t Au Thanksgiving gold/ base-metal mine Wildcat copper deposit • once the 3rd largest gold producer; mined UG in 1957-1987 • also mined for zinc (10% Zn), silver (40 g/t Ag), copper (0.45% Cu) and iron • produced 0.412 Moz gold averaging 12.8 g/t Au • discovered in 1968 • concealed massive sulphide (chalcopyrite) • conglomerate-hosted • Mid-Miocene? •cut by ep itherma l go ld ve ins • Mined in 1970-1977 (1.46 Mt @ 2.24% Cu) • Zn-rich gold skarn (pods / lenses, veins & disseminations) • hosted in limestone, abuts porphyry copper deposit (Black Mountain) Artisanal Miners Challenges and Issues traditional small-scale miners are deeply entrenched - livelihood about 7,000 (grouped in about 70 small- scale mining associations) Public Perception and Social Acceptability • mining in general • “sins of the past” • challenges to gain the speedy acceptance of a mining operation Geologic hazards • earthquakes • landslides Good CSR initiatives • social & economic benefits • IP rights Opportunities Maraming Salamat po Why the Baguio district? • good location / excellent infrastructure • proven gold/copper producing brownfields • favourable geological setting for telescoped / clustered deposit styles • substantial known undeveloped gold/copper resources / for re-development • new quality mineralization finds remain untested by drilling • excellent potential for further new discoveries.