The Capote Project consists of 15 exploration licences and 21 exploitation licences surrounding the historic San Juan Gold Mine in the Atacama Region, Chile. The licences together cover an area of approximately 77.05 km2. The project area is located within the historical Capote mining district where high-grade quartz-carbonate veins were mined from pre-colonial times up until 1954. In this area, a total of 18 mines were exploited within an area of 17 km2. The most significant mines were the La Buena, Graciela, Resurgimiento and the famous San Juan mine, of which the head grade was reported to be up to 40 g/t Au (Lithotech, 2019). Previous work in the area has identified a number of vein-type epithermal gold prospects, known as Area I – Yayito, Area II – Taquia and Area III – Andacollo.
Exploration work at Capote has been limited to basic rock-chip sampling and geological mapping. Bastion’s exploration plan is to bring modern exploration techniques, including advanced geophysical and geochemical techniques to unlock the economic potential of the project. At Capote an airborne magnetic and radiometric survey will be conducted to identify the key mineralised structures and characterise the subsurface potential. This work will be followed by systematic channel sampling of key veins to identify those with the potential to hold economic mineralisation. Electrical geophysical surveys (Induced Polarization) will be conducted to map the sub-surface extensions of these veins. Scout drilling is planned to test numerous targets so that they can be ranked before resource drilling will focus on highest priority areas for economic mineralisation. These more prospective targets will be drilled to resource definition and studies conducted to characterise potential extraction. The initial target at Capote is a high-grade, low tonnage gold deposit. The secondary target at Capote is a larger-scale iron oxide copper gold deposit.