Grenville signed a Letter of Intent to option 100% interest in the La Tigrera mining concession from underlying owners based on a 43-101 Resource estimate which would confirm the mineral resource on the property. The property is located approximately 50 kilometers from Machala, the capital city of the El Oro province, population approximately 250,000. Access to the site is by a well maintained two lane asphalt highway. The concession itself totals approximately 1662 hectares in area. The site is also served year round by a fresh water supply from the Tiger River, (Rio la Tigre).
The project was previously held by Climax Mining Corporation of Australia, who performed approximately US$3,000,000 of exploration work including surface sampling and a core drilling program. Climax estimated a resource of 723,000 ounces of Gold and 2,892,000 ounces of silver. These figures are not compliant with National Instrument 43-101 and are historical in nature.
The deposit at La Tigrera is of epithermal low sulfur rock. The gold is located at the optimal area of intrusive rock which has suffered oxidation and produced a reserve of thick ore grains. Due to the geologic and topographical characteristics of the soft ore body, the reserves will be extracted with much less difficulty and expense than gold that is suspended and mined from hard rock.
It should be noted that there has been no deep body core sampling beyond the 50 meter level. A secondary core sampling program should be undertaken to explore the possibility of additional ore bodies below the 50 meter level. This should also coincide with an additional secondary drilling program to confirm the location of the best core samples as per the original data, as these sites will the be primary developmental zones during the first phase of production.
Assay results for the 1500 core samples drilled and over 5,000 assay samples processed are currently in Quito, the capital city of Ecuador. The geological assay results for the La Tigrera concession revealed approximately 7,544,000 metric tones of ore grade material. Average head grade per ton of material sampled revealed approximately 2.635 grams of gold per ton, and approximately 4.0 grams of silver per ton. These figures are historical estimates that do not confirm to N.I. 43-101, and therefore should not be relied upon.