Both the La Calavera and Rio Minas properties occur within a hundred kilometer long NW trending structural belt which host several skarn prospects and other advanced exploration projects. Regional reconnaissance has delineated an extensive zone of intrusions along this belt that have affected the limestone rocks generating numerous skarn occurrences over an area of more than 100 square kilometers.
La Calavera is an intrusion – centered gold-silver-copper prospect located 5 kilometers west of Linear Metals Corp.’s Cobre Grande project in Oaxaca state. Detailed mapping and sampling on La Calavera has identified intense zones of skarn hosted mineralization within a moderately thick package of carbonaceous sediments.
At Rio Minas, the silver-rich skarn zones are associated with a large circular feature about 5 kilometers in diameter and are believed to represent the surface expression of a major intrusive stock underlying the calcareous rocks. Five skarn zones have been identified within a 6 kilometer long NE trending corridor. Continuous rock channel samples taken across a 400 meter long, 100 meter wide outcrop exposure in one zone returned 63 meters of 0.90% copper and 75 g/t silver.
Pinnacle Mines Ltd. has joint ventured La Calavera and Rio Minas and to initially earn a 51% interest have agreed to a payment consideration of US$1.8 million and exploration expenditures of US$6 million over 5 years.
Recently Pinnacle completed a 12,000 meter IP geophysics survey at La Calavera. The IP-Resistivity results generated strong targets outward from the main granodiorite intrusive in prospective host rocks covering an area over 100 meters long and 750 meters wide. Pinnacle has commenced a 4,500 meter diamond drill program on La Calavera. Review of the first holes drilled indicate that significant sulfide-bearing skarn alteration has been encountered. The skarn mineralogy is similar to the Cobre Grande project with widespread hornfels, garnet and pyroxene alteration.
