Grandcru Resources Corporation is the majority landholder in the Guadalupe de los Reyes district. Their property surrounds the historic Guadalupe Mine Zone. Exploration in 2005 will focus on the El Orito Zone north of the historic mining camp.

 

Grandcru Resources Corporation   GR   (TSXV)

Guadalupe de Los Reyes, Sinaloa. The property is located 100 km north of the city of Mazatlan, Sinaloa state, in northwestern Mexico. It is accessible by road from Mazatlan via the paved four-lane Pacific Highway for a distance of 90 km, and then via an 80-km, two-lane paved road to the town of Cosala, a two-hour trip. From Cosala, one travels 25 km southeast on the Cosala-Guadalupe de Los Reyes village gravel road to the property, a one-hour trip. There are several rough but upgradeable gravel roads within the property that provide ready access to most of the mineral concessions. The 8,800 ha property is located within the western foothills of the south-southeast-trending Sierra Madre Occidental mountain range. The topography is moderate to steep with elevations ranging from 250 to 1,200 m. Climatic conditions are typically semiarid with temperatures ranging from more than 40°C to below freezing and with an average annual precipitation in the order of 350 mm.


The Guadalupe District

The Guadalupe de Los Reyes District is situated 100 km north of the city of Mazatlan on the border between the states of Sinaloa and Durango, Mexico. The project covers approximately 88 km2 and hosts four major epithermal gold and silver bearing quartz veins, breccias, and stockwork zones with a combined strike length in excess of 14 km. Historically, three of these structures supported underground mining operations. The Guadalupe structure was mined as early as 1772, with the most active period being between 1872 and 1938. The Company is now the majority landholder in the District. Gold and silver mineralization within the district is associated with northwest to west-northwest striking, moderately southwest dipping, dip slip faults that cut basalt, andesite, and dacite of the Upper Cretaceous to early Tertiary Lower Volcanic sequence. These structures initially provided channelways for injection of dacite dikes and subvolcanic dacite porphyry stocks, possibly representing the roots of a dacite flow-dome complex. Continued fault movement prepared these structures for subsequent emplacement of low-sulfide, quartz-adularia, gold and silver bearing epithermal veins.

The Guadalupe de Los Reyes district gold-silver epithermal system is closely associated with the last volcanic event in the Lower Volcanic sequence and has similarities to several other volcanic-hosted gold-silver deposits in the Sierra Madre Occidental such as the nearby Tayoltita deposit.


Current Deposits

Exploration within the district to date has outlined four major gold-silver zones that host five defined deposits as well as five exploration targets which are summarized below:

San Miguel -- the majority of the San Miguel resource zone is on the Company's Mariposa property and the balance has been acquired via the Wheaton/Luismin purchase transaction. Previous work has traced the deposit for 1.4 kilometres. The deposit varies in thickness from 3 to 20 metres and remains open beyond the maximum drill depth of 100 metres.

Zapote -- a significant portion of the Zapote North resource zone has been acquired via the Wheaton/Luismin purchase transaction. The strike length of the Zapote deposit is 1.0 kilometre and the average thickness is 20 metres. Mineralization is hosted in epithermal non-sulphide gold and quartz-chalcedony. The deposit was the subject of a Prefeasibility Study completed by Pincock, Allen and Hold in 1998.

Guadalupe Mine Zone -- the western portion of the Guadalupe Mine zone is on the Company's Mariposa property. The reported historic underground production of the Guadalupe Mine zone is 525,000 ounces of gold and 41 million ounces of silver over a vertical interval of 400 metres. The zone consists of epithermal quartz vein systems and stockwork, traced over a 2,500 metre strike, averaging 50 metres in width. Previous drilling data confirms continuity of the high-grade vein zones to 200 metres depth and also confirmed 200 metres of strike length in the western portion of the Guadalupe Mine zone.

Noche Buena -- the potential southern extension of the Noche Buena resource zone has been acquired via the Wheaton/Luismin purchase transaction. The Noche Buena zone is a southern extension of the San Miguel. The Noche Buena has been previously traced over 1,000 metres and remains open for expansion with an average width of 20 metres.

Tahonitas -- the southern extension of the Tahonitas resource zone has been acquired via the Wheaton/Luismin purchase transaction. The Tahonitas zone is the southern extension of the Zapote deposit.

 

wwwInfo 10Jan05