Cuba Zone & Granby Zone

Over 110 percussion drill holes and 35 diamond drill holes (Table) and 46 trenches have explored this well-defined zone. It is composed of two sub-parallel roughly southeast trends of copper-gold-silver mineralization, on the well defined southern “Cuba Zone” and northern “Granby Zone”. Both have similar geology and mineralization. Sego’s exploration team identified a flat fault that cut off the mineralization. In our review of the project over the last few months one hole (DDH-37) had apparently crossed the fault into excellent copper-gold mineralization at the end of the hole which appears to be the root of the mineralization found above the fault. Follow up drilling is planned to intersect and expand upon this mineralization.

The Cuba/Granby mineralization is hosted in a central monzodiorite dyke or diorite that intrudes volcanic rocks. Three types of alteration and associated mineralization are intermixed at small scales and cannot be effectively separated into discrete domains. A dominate K-feldspar-chlorite assemblage contains very fine-grained disseminated chalcopyrite, locally abundant bornite, and lesser covellite. Local patches or zones of abundant magnetite in andesite affected by intense chlorite ± epidote ± calcite ± chalcopyrite alteration can be viewed an inner propylitic alteration. The third alteration type consists of overprinting albite-sericite ± anhydrite or gypsum alteration with abundant bornite or chalcopyrite. Weaker propylitic alteration surrounds the zone and farther outboard merges with regional greenschist assemblages.