Overview

The Hurricane project covers approximately 30,000 hectares and is located about 66 kilometres (km) 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.

The Company has signed a two-year community agreement that provides surface access to the Magdalena silver prospect and half of the Pampayeoc silver prospect and has commenced surface work at these two high-priority targets. A two-year social agreement has also been signed with the Hualla community, which will allow for exploration of the Ñañohuayco, San Cipriano and Morro Culispata copper-nickel-platinum-palladium-silver prospects. This agreement allows for surface work and will allow for drilling once a drill permit has been obtained from the Peruvian Ministry of Energy and Mines.

Location Map

Exploration

The reconnaissance channel sampling program at Hurricane was conducted at the Magdalena and Pampayeoc targets and focused on partially exposed silver-base metal vein corridors hosted in Ordovician siltstones of the San José Group. A total of five mineralized vein corridors were identified, with highlights including 6 metres (m) of 375.1 g/t silver equivalent (AgEq) (239 g/t Ag, 1.21% Cu, 0.34% Pb, 0.15% Zn), 4 m of 441.7 g/t AgEq (234.7 g/t Ag, 1.98% Cu, 0.13% Pb, 0.29% Zn) and 1 m of 860.4 g/t AgEq (605 g/t Ag, 0.26% Cu, 5.79% Pb, 0.21% Zn).

Additional rock and channel sampling was then conducted at the copper-nickel-platinum-palladium magmatic sulphide style mineralization at the San Cipriano and Ñañohuayco target areas on the Hurricane project. Highlights from channel sampling gossan zones at the target areas include 48 m of 3.35% Cu, 0.97 g/t Pt, 0.97 g/t Pd, 1.13 g/t Au and 57.87 g/t Ag and 11.5 m of 1.41% Cu, 0.29% Ni, 0.12 g/t Pt and 0.15 g/t Pd, respectively. Mineralization at both areas is in oxidized material with expected enrichment of grade and true thicknesses unknown at this point. The results confirm and expand upon the historical results and demonstrate a high metal budget at the targets, signifying to Tier One’s technical team that further exploration is warranted.

Magdalena Target:

The Magdalena silver-base metal veins are hosted in four parallel shear zones occurring over an area of 1.2 km by 800 m. The four east-west oriented vein trends are marked by small outcrops, pits, adits and shafts in an otherwise extensively soil covered terrain. Six channel samples were completed on the northernmost vein trend, which varies in width between 2 m and 5 m, and has a strike length of 1.2 km. The three best channel samples on the structure highlight an 800 m long section of veins that returned 5 m of 154.4 g/t AgEq (123.2 g/t Ag, 0.12% Cu, 0.38% Pb, 0.11% Zn), 4 m of 147.1g/t AgEq (119.6 g/t Ag, 0.09% Cu, 0.35% Pb, 0.12% Zn) and 3 m of 106.5 g/t AgEq (77.1 g/t Ag, 0.16% Cu, 0.27% Pb, 0.07% Zn).

In the central area of the outcropping veins, two distinct corridors were observed with widths between 1 m and 6 m. In this area, silver-base metal veins returned channel sample results of 6 m of 375.1g/t AgEq (239 g/t Ag, 1.21% Cu, 0.34% Pb, 0.15% Zn) and 6 m of 133.3 g/t AgEq (67.2 g/t Ag, 0.62% Cu, 0.06% Pb, 0.10% Zn) in an area where the veins outcrop for a 60 m strike length. In addition, the second vein corridor returned channel sample results of 1 m of 396.5 g/t AgEq (346 g/t Ag, 0.06% Cu, 1.04% Pb, 0.12% Zn) and 3 m of 65.9 g/t AgEq (37.5 g/t Ag, 0.06% Cu, 0.38% Pb, 0.18% Zn). The southernmost outcropping vein channel sampled in this reconnaissance program returned a result of 1 m of 860.4 g/t AgEq (605 g/t Ag, 0.26% Cu, 5.79% Pb, 0.21% Zn). Based on the orientation and vertical nature of the veins channel sampled, Tier One’s technical team believes all channel sample intercepts at the Magdalena target are within 90% of true width, with the exception of trench 10, which was mostly sampled along strike due to topographic constraints in the field. In addition, based on the extensive soil cover at the Magdalena target area, Tier One’s technical team believes that additional silver-base metal veins will be found through geochemical soil surveys, channel sampling and additional surface mapping.

Pampayeoc Target:

The Pampayeoc silver-base metal vein corridor is located 4.2 km west-northwest of the Magdalena target. The veins are similar in nature to the Magdalena veins and represents the fifth mineralized silver-base metal orogenic vein corridor identified to-date on this part of the property. In the field, the veins are marked by small outcrops, shallow pits, shafts and adits exposed through extensive soil cover.  The vein corridor varies in width from 1 m to 4 m and has a strike length of 400 m. The best channel sample from this area returned 4 m of 441.7 g/t AgEq (234.7 g/t Ag, 1.98% Cu, 0.13% Pb, 0.29% Zn), which Tier One’s technical team believes is 90% true width.

San Cipriano Target:

At San Cipriano, 2022 channel sampling has validated and extended sulphide-bearing gabbroic sills capable of producing significant grades. There are three sills that on surface average approximately 1 m – 2 m in thickness within a structural zone of sulphide mineralization with an approximate true width of 30 m. The gossan zone at the target area is approximately 50 m x 150 m with channel samples 22-HRT-75 and 22-HRT-76 cutting obliquely along the mineralized sills within the 30 m thick sequence of mineralized stratigraphy (Figure 2). A private Peruvian company completed a small drill program, consisting of 1,722 m in 11 drill holes, at the target and surrounding area. The best result achieved in the historical program was in drill hole SCI-06, which intersected 5.7 m of 0.22% Cu, 69.5 g/t Ag, 2.54 g/t Pt, 1.52 g/t Pd and 1.69 g/t Au from surface in the gossan (see May 19, 2022 news release). Based on the measured orientation of the sills, Tier One’s technical team believes the historic drilling did not adequately test the mineralized sequence of mafic sills, leaving an exploration target for future drilling. 

In addition, channel samples 22-HRT-72, 22HRT-73 and 22HRT-74 have extended known mineralization approximately 150 m to the northwest and mineralization remains open to the southeast as colluvium cover obscures rock exposure. Exploration potential in the area remains strong with the next phase of work to include detailed geophysics, mapping and soil sampling. 

Ñañohuayco Target:

The Ñañohuayco target is characterized by a high-grade gossan zone over an area approximately 90 m x 90 m. Magmatic sulphides are found within gabbroic sills intruding meta-sediments. A historical drill campaign of 1,061 m in ten drill holes targeting the gossan zones returned several high-grade intercepts including 14 m of 2.59% Cu, 0.62% Ni, 311 g/t Cobalt (Co), 0.3 g/t Pt, 0.55 g/t Pd and 0.24 g/t Au (see May 19, 2022 news release). Highlights from this historical drill campaign are presented below in Table 3. Results from Tier One’s channel sampling program both confirmed and significantly extended the mineralization at the Ñañohuayco target area, where a new area of mineralization was encountered 1.2 km to the northwest of the gossans that were historically drill tested.

The goal of Tier One’s channel sampling program was to confirm and extend the mineralization at the Ñañohuayco target area and to better understand the geometry of the mineralized system. Channel sampling highlights from the gossan, which has been the focus of historical drilling, yielded 11.5 m of 1.41% Cu, 0.29% Ni, 0.12 g/t Pt, and 0.15 g/t Pd and 22.5 m of 1.39% Cu, 0.13% Ni and 0.12% Pd. In addition, reconnaissance exploration identified a new mineralized area, 1.2 km to the northwest of the historical drilling, with channel sample 22HRT-67 yielding 4 m of 0.88% Cu, 0.3% Ni and 0.15 g/t Pd. This new area of mineralization demonstrates potential and emphasizes that reconnaissance exploration can be highly effective in identifying new target areas.

Rock & Chip Sample Highlights - Silver
Rock & Channel Sample Highlights - High-Grade Copper
Channel Sampling Highlights - Magdalena Target
San Cipriano - 2022 Channel Sampling
San Cipriano - Historical Drilling
Ñañohuayco - 2022 Channel Sampling
Ñañohuayco - Historical Drilling

Historical Exploration

Surface Work:

Historical work at the Ñañohuayco and San Cipriano prospects included surface sampling, ground-based geophysical surveys and initial drill tests by the previous operator from 2009 – 2010. The 10-hole 1,061 m historical drill program at Ñañohuayco included 14 m of 2.59% copper, 0.62% nickel, 311 g/t cobalt, 0.3 g/t platinum and 0.55 g/t palladium.

Geologically, the copper-nickel-platinum-palladium magmatic sulphide mineralization observed at the Hurricane project is associated with Permo-Triassic rifting and the emplacement of ultramafic intrusives within the Pisco-Albancay deflection of southern Peru. The district was initially assembled based on the results of a high-quality stream sediment survey undertaken in 2007 – 2009, when anomalous copper, nickel, platinum and palladium drainage values were identified.

Highlights from historical channel sampling at Ñañohuayco include 14 m of 4.69% copper and 0.51% nickel, 18 m of 3.28% copper and 0.50% nickel and 10 m of 3.35% copper and 0.61% nickel. Highlights from channel sampling at Morro Culispata include 8 m of 2.17% copper and 0.3% nickel and 2 m of 3.74% copper and 0.47% nickel

Drilling:

The first-pass drill programs at Ñañohuayco and San Cipriano totaled 10 drill holes over 1,061 m and 11 holes over 1,722 m, respectively. These historical drill programs targeted flat lying ultramafic sills with highlighted results listed below in Tables 2 and 3. Importantly, at both Ñañohuayco and San Cipriano there are untested chargeability and conductivity anomalies that the Company’s technical team believes have the potential to correspond to copper-nickel-platinum-palladium magmatic sulphide style of mineralization.

Table 2 Historical Drill Results, Ñañohuayco prospect:

Hole ID

From (m)

To (m)

Interval (m)

Cu(%)

Ni (%)

Co (g/t)

Pt (g/t)

Pd (g/t)

Au (g/t)

ÑAÑO-01

0

14

14

2.59

0.62

311

0.30

0.55

0.24

ÑAÑO-02

0

12

12

2.61

0.59

278

0.33

0.57

0.23

ÑAÑO-03

0

12

12

1.67

0.26

149

0.22

0.54

0.19

ÑAÑO-04

2.3

8.3

6

1.16

0.35

192

0.09

0.22

0.07

ÑAÑO-05

0

18

18

1.12

0.30

181

0.14

0.26

0.11

ÑAÑO-06

0

7.5

7.5

1.66

0.40

162

0.20

0.39

0.11

Table 3 Historical Drill Results, San Cipriano prospect:

Hole ID

From (m)

To (m)

Interval (m)

Cu(%)

Ag (g/t)

Pt (g/t)

Pd (g/t)

Au (g/t)

SCI-06

0

5.7

5.7

0.22

69.5

2.54

1.52

1.69

Additional Work:

The property’s numerous high-grade silver occurrences were 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 m of 1,175 g/t Ag, 2.1 m of 792 g/t Ag, 2.5 m of 589 g/t Ag and 14 m of 100 g/t Ag

Geology

Geologically, the Hurricane 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 project was originally assembled based on the results of a high-quality regional stream sediment survey, which was undertaken in 2007-2009.   

The Hurricane 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 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.

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. 

Hurricane 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

 

 

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

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 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. In accordance with the Pembrook Option, if the Company is unable to obtain its drill permit by October 28, 2022, it will need to elect at that time to either drop the project option or accept that date as the Access Date and commit to the first year’s work. The majority of the option payments and work obligations are in the last two years of the five-year option period.

Disclaimers

Channel Sampling:
Analytical samples were taken from each 1-metre interval of channel floor resulting in approximately 2-4 kg of rock chips material per sample. Collected samples were sent to ALS Lab in Lima, Peru for preparation and analysis. All samples are assayed for gold, platinum and palladium using 30 g nominal weight fire assay with ICP-AES finish method (PGM-ICP27) and for multi-element using four acid digest ICP-AES/ICP-MS method (ME-MS61). Where MS61 results were greater or near 10,000 ppm Cu, 10,000 ppm Pb, 10,000 ppm Zn or 100 ppm Ag the assays were repeated with ore grade four acid digest method (Cu, Pb, Zn, Ag-OG62). QA/QC programs for 2021 channel samples at Hurricane Silver using internal standard and blank samples; field and lab duplicates indicate good overall accuracy and precision.

Silver equivalent grades (AgEq) were calculated using a silver price of US$18/oz, copper price of US$2.5/lb, zinc price of US$1.25/lb and lead price of US$1.00/lb. Metallurgical recoveries were not applied to the silver equivalent calculation.

Intercepts were calculated with no less than 5 m of >= 25 g/t AgEq with maximum allowed consecutive dilution of 6 m.

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).

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

Hurricane Historical Drilling (2010)

Historical drill samples were taken by sawing HQ diameter core into equal halves on site with one half being sent to ALS lab in Arequipa, Peru for preparation and then to Lima, Peru for analysis. Preparation included crushing core samples to 70% < 2mm and pulverizing 250 g of crushed material by more than 85% < 75 microns. All samples were assayed using 30 g nominal weight fire assay with ICP-MS finish for gold, platinum and palladium (PGM-MS23). Where MS23 results were > 1 g/t Au, Pt or Pd the assays were repeated with ore grade 30 g nominal weight fire assay with ICP-AES finish (PGM-ICP27). Silver and base metals were analyzed as part of the multi-element aqua regia digest ICP-AES/ICP-MS method (ME-MS41). Where MS41 results were greater than 10,000 ppm Cu or 100 ppm Ag the assays were repeated with ore grade aqua regia digestion with AA finish (Cu-AA46 and Ag-AA46, respectively).

The historical grab, chip and stream sediment samples from the Hurricane 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. Tier One checked approximately 5% of the analytical data entries for the provided rock samples database against the signed PDF assay certificates from 2007, 2008, and 2009. No data entry errors were found. Tier One considers that the provided rock database is of a good quality. Tier One Silver has not assessed the validity of the QA/QC protocols that were followed in the collection of the 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 in 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 project.

Grab and Chip Samples

Approximately 3-5 kg of material was collected for analysis and sent to ALS Lab in Lima, Peru for preparation and analysis. All samples were assayed using 30 g 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 assays were repeated with 30 g 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 30 g fire assay with gravimetric finish (Ag-GRA21). Where MS41, ICP41 results were greater than 10,000 ppm Cu, 10,000 ppm Zn, 10,000 ppm Pb or 100 ppm Ag the assays were repeated with ore grade aqua regia digestion with AA finish (Cu-AA46; Zn-AA46; Pb-AA46; Ag-AA46, respectively).

Stream Sediment Samples

Approximately 0.25 kg 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).