Overview

Location Map
Location Map

The Hurricane Silver project covers approximately 25,640 hectares and is located about 66 kilometres north of the city of Cusco within an underexplored region in southeastern Peru. Numerous high-grade silver occurrences have been identified at the project through first pass reconnaissance rock sampling by a previous operator.

Exploration

Rock Sample Highlights - Silver
Rock Sample Highlights - Silver

The property’s numerous high-grade silver occurrences have been identified through first pass reconnaissance rock sampling of the Hurricane project by a previous operator. The largest of these occurrences is located at the Magdalena prospect, which is characterized by a 1.5 km shear zone where multiple high-grade veins have been identified with chip sample values of up to 1.4 meters (m) of 1,175 g/t silver, 2.1 m of 792 g/t silver, 2.5 m of 589 g/t silver and 14 m of 100 g/t silver. Past grab sample highlights from four additional prospects at the project are listed below in Table 1 and demonstrate the potential for high-grade silver and base metal mineralization.

Table 1: Rock sampling highlights from high-grade silver prospects at the Hurricane Silver project (collected by a previous operator and database made available to Tier One):

Prospect

Sample ID

Ag (g/t)

Pb (%)

Zn (%)

Collquemarca

RS508913

300

8.61

30.40

RS002167

196

4.77

14.50

RS002169

180

11.70

15.85

RS508912

174

15.05

4.17

RS002168

167

12.70

2.66

Melissa

RS002278

1,155

16.60

17.95

RS007543

626

0.25

0.35

RS002280

324

8.74

3.50

RS007536

139

0.09

0.10

RS002276

125

1.18

0.77

RS007530

54.9

0.57

0.48

Pampayeoc

RS100128

838

0.03

0.30

RS100117

821

0.08

0.30

RS007518

387

1.68

1.61

RS007079

316

9.73

0.57

RS100118

259

0.06

0.35

RS100119

179

0.01

0.12

RS100120

172

0.01

0.11

RS007085

147

0.03

0.09

RS100126

112

0.07

0.19

RS007083

83.2

0.29

0.16

RS007080

71.6

1.85

1.07

RS007678

71.5

0.05

0.06

RS007062

65.8

0.09

0.36

San Pedro

RS502420

3,760

0.28

1.23

Table 2:  Total number of rock samples and ranges of silver grades from high-grade silver prospects: Hurricane Silver Project (interval of collection not known to Tier One):

Occurrence

Total # of Samples

Ag
< 10 g/t

Ag
10 – 30 g/t

Ag
30 - 50 g/t

Ag
50 - 100 g/t

Ag
> 100 g/t

Collquemarca

32

27

-

-

-

5

Melissa

41

33

2

-

1

5

Pampayeoc

90

59

14

4

4

9

San Pedro

18

17

-

-

-

1

Magdalena

441

313

40

16

22

50

Total

622

449

56

20

27

70

Geology

Stream Sediment Survey Results - Silver
Stream Sediment Survey Results - Silver
Stream Sediment Survey Results - Gold
Stream Sediment Survey Results - Gold
Stream Sediment Survey Results - Copper
Stream Sediment Survey Results - Copper
Stream Sediment Survey Results - Pb-Bi-Zn Index
Stream Sediment Survey Results - Pb-Bi-Zn Index

Geologically, the Hurricane Silver project is situated in an underexplored segment of the Pisco-Abancay Deflection zone, which has seen multiple mineralizing events, and therefore may host different styles of precious metal mineralization. The Hurricane Silver project was originally assembled based on the results of a high-quality regional stream sediment survey, which was undertaken in 2007-2009.   

The Hurricane Silver project geology is composed of a northwest trending fold and thrust sequence of Ordovician to Devonian sedimentary rocks that are associated with orogenic gold mineralization. Extensive placer gold workings to the north of the Hurricane Silver project point to a potential source within the project. Data made available to Tier One confirms past exploration at the Hurricane project included rock samples of up to 19 g/t gold at the Perseverancia prospect.

Subsequent to the orogenic gold mineralization event, there have been numerous magmatic events that are associated with both precious and base metal mineralization. In particular, Eocene to Miocene aged intrusives are believed to be associated with silver-rich intermediate sulphidation epithermal veins. These have been recognized in several prospect areas, including the Magdalena, Collquemarca, Pampayeoc, Melissa and San Pedro prospects. The Magdalena prospect is characterized by multiple silver-rich veins that are exposed over a 1.5 km strike length. Chip sampling highlights are presented below in Table 3.

Table 3:  Magdalena prospect chip sampling highlights (taken by previous operator):

Ag (g/t)

Length (m)

1,175

1.4

792

2.1

589

2.5

291

1.7

233

2.5

185

2.1

108

1.95

107

1.7

100

1.5

100

2.8

100

14

Other precious metal prospects are summarized below in Table 4. Collectively, these prospects have only seen first pass reconnaissance sampling and must still be evaluated by Tier One’s technical team to prioritize systematic exploration work and advance toward drill stage. 

Table 4:  Hurricane Silver Precious Metal Prospects:

Prospect

Metals

Stream Geo

Comments

Perseverancia

Ag-Au-Pb-Zn

Au-Ag-Cu anomaly

Series of narrow vein zones exploited by the Hochschild Group during the 1930s

Collquemarca

Ag-Pb-Zn

 

Cliff-edge exposures of a 50 m wide shear zone with colonial adits into massive sulphide lenses

Pampayeoc

Ag-Pb-Zn

Strong Ag-Pb-Zn

Zone of shallow pits on zones of magnetite-replacement with elevated Ag-Pb-Zn mineralization

San Pedro

Ag-Pb-Zn

 

Series of shallow pits along-trend of Mascabamba; reported mining during the 1960s

Magdalena

Ag-Pb-Zn

Strong Ag-Cu-Pb anomalies

Multiple shear-veins with high-grade Ag over narrow widths (1.4m at 1,175 g/t Ag) 

Melissa

Ag-Pb-Zn-Pt

Ag anomaly

Zone of colonial workings coincident with regional thrust fault

Ownership

Under the terms of the Share Purchase Option Agreement, dated April 28, 2021, Tier One has the option to acquire 90% or 100% of the shares of Compañia Minera Tororume S.A.C., the private Peruvian company that owns the rights to the Hurricane Silver project. In order to acquire 90%, Tier One has up to five years, from the date it secures the access agreement for the surface rights (“Access Date”), to make option exercise payments of US$4.68 million and assumes an obligation to carry all expenses until production. To acquire 100%, Tier One can buy the final 10% of Compañia Minera Tororume S.A.C for a further US$10,000,000 (total cost for 100% being US$14.68 million) within five years from the Access Date. Tier One is also required to conduct up to US$10.75 million in exploration over the same five-year option period, however exploration requirements cease once the option is exercised, which can be done at any time at Tier One’s election. Tier One also has the right to make option payments in cash or Tier One shares, subject to any required stock exchange approvals. The Access Date is when the access agreement and permits are secured, which is expected to occur over the next 12 months, and the majority of the option payments and work obligations are in the last two years of the five-year option period.

Cautionary Note Regarding Historical Grab, Chip and BLEG Samples and Related Matters

The historical grab, chip and BLEG samples from the Hurricane Silver project were collected by Compania de Exploraciones Orion SAC (2007-2009), a Pembrook Copper affiliate, and were included in a database obtained in connection with the transaction. Given the time interval, Tier One Silver has not assessed the validity of the QA/QC protocols that were followed in the collection of these samples. Accordingly, readers are cautioned about reliance on the accuracy or repeatability of this sampling. Sampling is of very limited geological significance and serves only to assist the development of a methodical exploration program involving geochemical, geophysical and ultimately diamond bit drill core drilling. There is no known mineral resource of commercial interest established at the Hurricane Silver project.

The historical grab, chip and stream sediment samples from the Hurricane Silver project were collected by Compania de Exploraciones Orion SAC (2007-2009). Tier One Silver has not conducted any due diligence on whether appropriate QA/QC protocols were followed in the collection of these samples, nor can it confirm their accuracy or repeatability.

Grab and Chip Samples    
Approximately 3-5kg of material was collected for analysis and sent to ALS Lab in Lima, Peru for preparation and analysis. All samples were assayed using 30g nominal weight fire assay. Platinum and Paladium were analyzed by ICP and MS (PGM-MS23); Gold was analyzed by ICP and AES finish (Au-ICP21), for samples assaying above 10 ppm from ICP21  the assay was repeated with 30g nominal weight fire assay with gravimetric finish (Au-GRA21). Silver and Base Metals were analyzed as part of the multi element package (ME-MS41), or to trace levels in 36 multi element package (ME-ICP41), In 2009, Silver analysis was completed by 30g fire assay with gravimetric finish (Ag-GRA21). Where MS41, ICP41 results were greater than 10,000ppm Cu, 10,000ppm Zn, 10,000ppm Pb or 100ppm Ag the assay was repeated with ore grade aqua regia digestion with AA finish (Cu-AA46; Zn-AA46; Pb-AA46; Ag-AA46 respectively).

Stream Sediment Samples                
Approximately 0.25kg of -80 mesh material was collected for analysis by sieving in the field and sent to the ALS Lab in Lima, Peru for preparation and analysis. Samples from regional BLEG survey are analyzed using fire assay with ICP finish (Au-ICP21) and ultra-trace multi-element Aqua Regia digest ICP-AES/ICP-MS method (ME-MS41L).