ACARI IRON ORES NOE PROPOSAL SELLING PERU NOE

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Acari iron Peru, Eng. Noe Rodriguez Email: [email protected] Skype noerods

ACARI IRON MINE, EXPORTED

TO JAPAN YEARS AGO

PROPOSAL FOR THE SELLING OF

IRON MINE CONCESSION

JANUARY-2011

ACARI

PROJECT

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ACARI PROJECT/GENERAL INFORMATION ANNEX N°1

NAME OF THE PROJECT : ACARI

SIZE OF PROPERTY : 800 HAS.

LOCATION : BELLA UNION, CARAVELLI, AREQUIPA-

PERÚ.

DISTANCE FROM PACIFIC OCEAN : 29 KM (suggested construct port here)

DISTANCE TO SAN JUAN PORT : 60 KM (this needs to be reconstructed)

MAIN OUTCROPS OF IRON ORE : THE VEINN°4 HAS AN OUTCROP OF

1800 METERS OF LENGTH BY 4.50

METERS OF WIDTH (APPROXIMATELY).

QUALITY OF IRON ORE : MIXTURE OF HEMATITE - MAGNETITE

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ANNEX N°1

GEOPHYSICAL STUDIES DONE : STUDY OF ENGINEER GEOLOGIST,

WHO PRESENTS THE DIAMOND

DRILLINGS AND INITIAL RESERVES

OF 1'382.320 MT (DRILLED BY

PREVIOUS COMPANY) AND HIGHLY

PROBABLE OF 1’556,840 MT OF

IRON ORE MAGNETITE-HEMATITE OF

HIGH CONCENTRATION (TOTAL 3

MILLION TONS).

GEOPHYSICS STUDIES DONE : BY QUANTEC GEOSCIENCE OF PERU

(CANADIAN), STUDY PRESENTS 02

MAGNETIC BODIES OF 136 MILLION

CUBIC METERS (M3).

INFERRED RESOURCES BY GEOPHYSICS : OVER 500 MILLIONS TONS IRON ORE

(OBTAINED: 136M. M3 X 3.7 TONS/M3)

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ANNEX N°1

CHEMICAL ANALYSIS : Fe AL2O3 MgO CaO

62.3% 1.4% 0.7% 0.62%

Cu K NA S

0.01% 0.08% 0.01% 0.11%

TYPE OF IRON ORE : HEMATITE (Fe2O3) = 68%

MAGNETITE (Fe3O4) = 32%

MAGNETIC CONCENTRATION : FOR LUMPS ORES

FORECASTING Fe CONTENT = 63-64%

FOR FINES ORES

Fe CONTENT = 64-65%

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ACARI PROJECT – PRE-EXPLORATORY OPERATION ANNEX N°2

ANTECEDENTS

THIS DEPOSIT WAS ONE OF PREVIOUS MINES, WHICH WAS OPERATED UNTIL 1969 WITH

FINANCING OF “AMERICAN OVERSEAS FINANCE OF NEW YORK” AND MINING BANK OF PERU

(BANCO MINERO DEL PERU), HAVING EXPORTED TO JAPAN OVER 8 MILLIONS TONS OF HIGH

CONCENTRATION IRON ORE, DURING 6 YEARS OF OPERATIONS.

OBJECTIVE

TO CARRY OUT A PRELIMINARY VERIFICATION OF THE POTENTIAL IRON ORE RESOURCES IN

ACARI PROJECT TO PROVIDE SECURITY TO THE BUYER OR INVESTOR ABOUT THE IRON ORE

VOLUME AND IRON ORE QUALITY, IN ACCORDING TO THE FIRST DRILLING RESULTS, THE BUYER

GROUP CAN DECIDE TO CONTINUE OR RETIRE TO THE CONTRACT.

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PRE-EXPLORATORY OPERATION STUDIES ANNEX N°2

THE STUDIES OF THIS STAGE WILL BE AS FOLLOWS:

1. TERRESTRIAL GEOPHYSICS (MAGNETOMETRIC AND GRAVIMETRY), TO VERIFY THE EXISTENCE

OF MAGNETIC BODIES THAT CAN APPEAR UNDER THE ANOMALIES DETECTED IN THE STUDY

OF CANADIAN COMPANY QUANTEC GEOSCIENCE OF PERU, IT MEANS FROM 600 METERS

UNDER OF THE ACARI SURFACE.

2. ARE REQUIRED 2 DIAMOND DRILLS UNDER VEIN 4 WITH A DISTANCE OF 300 METERS

BETWEEN EACH DRILL AND A DEPTH OF 500 METERS IF THE CONTINUATION OF THE

MINERALIZATION ALLOWS IT.

3. SHOULD BE DRILLED OTHER DIAMOND DRILLS UNTIL VERIFYING THE CENTER OF THE

DETECTED MAGNETIC BODIES IN THE STUDY OF QUANTEC GEOSCIENCE OF PERU.

THE DRILLINGS WILL ALLOW THE POSSIBLE DETECTION OF OTHER NONFERROUS MINERALS

WITH COMMERCIAL VALUE AND ALLOW ALSO THAT THE INVESTOR GROUP DECIDES TO CONTINUE

OR TO SUSPEND THE DIAMOND DRILLS ACCORDING WITH THE INITIAL OBTAINED RESULTS

ABOUT THE QUALITY OF THE IRON ORE, IN OTHER MINERALS AND THEIR CONSEQUENT

COMMERCIAL VALUES.

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CANADIAN GEOPHYSICAL STUDY PRESENTS 02 MAGNETIC BODIES OF

136 MILLION CUBIC METERS (M3) FOR THE TOTAL 500 MILLION TONS IRON ORES.

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TERRESTRIAL MAGNETOMETRY BY CANADIAN COMPANY

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1. WE ARE CONTINUING THE GEOPHYSICAL GRAVIMETRY STUDIES SPECIFICALLY WITH THE PURPOSE OF

TO NEED THE DEPTH THE MAIN MINERALIZED BODIES AND THIS WAY THE GEOPHYSICAL COMPANY US

WILL BE ABLE TO PROJECT IN 3D (AUTO CAD) THE GEOMETRY OF EACH BODY AND ITS RESERVES

CONSIDERED, BEFORE COMING TO THE ADAMANTINE PERFORATION, WHICH WILL HAVE TO BE THE

RESPONSIBILITY OF THE BUYER, NEVERTHELESS THE NUMBER OF ADAMANTINE DRILLS SUFFICIENT TO

DETERMINE INDICATED RESERVES WILL BE OF 2 OR 3 DRILLS BY EACH BODY.

2. THE SALES PRICE WILL BE AGREED AFTER NEGOTIATIONS AND TALKING, AND AS EXAMPLE WE COULD

CONSIDER USD$ 1.00 (ONE DOLLAR) BY EACH ONE INDICATED TON REFERRED THE CONTENT OF FE=50%

OR MORE, THEREFORE THE AVERAGE OF LAW THAT OBTAINS, WILL ALLOW TO THE DIMINUTION OR

INCREASE OF THE FINAL PRICE OF THE IRON MINERAL.

3. THE PREVIOUS PROCEDURES TO THE CONTRACT OF ACTION TRANSFERENCE WILL BE THE FOLLOWING:

A. VISIT FROM INSPECTION TO THE IRON MINERAL DEPOSITS, BY THE GEOLOGISTS DESIGNATED BY THE

BUYER.

B. ELECTION OF THE CONCESSION OR CONCESSIONS THAT THE BUYER REQUIRES TO INCLUDE IN THE

CONTRACT.

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C. EVALUATION AND GEOPHYSICAL QUANTIFICATION OF POTENTIAL RESERVES (BODIES IN 3D) OF EACH

BODY CHOSEN BY THE BUYER.

D. DRILLING OF 2 OR 3 ADAMANTINE DRILLS ON BEHALF OF BUYING BY 100 METERS OF DEPTH.

4. THE MAIN BASES FOR THE CELEBRATION OF THE TRANSFERENCE CONTRACT, WOULD BE THE

FOLLOWING:

A. PAYMENT OF DEPOSITS TO OUR COMPANY, SIGNATURE OF THE TRANSFERENCE CONTRACT, BY AN

AMOUNT OF 10% OF THE VALUE OF THE INDICATED RESERVES OF THE MINERALIZED BODIES IN VIEW,

TAKING THE AVERAGE FROM CONTENTS OF IRON (FE) OBTAINED OF THE CHEMICAL ANALYSES OF THE

INDICATED ADAMANTINE PERFORATIONS AND AS IT BASES THE PRICE OF USD$ 1,00 BY METRIC TON,

WITH IRON FE=50% OR MORE.

B. PAYMENTS TO US, BY VALUATIONS OF INDICATED RESERVES, EACH 2000 - 3000 METERS OF

ADAMANTINE PERFORATION, FOR WHOSE EFFECT, THE PRICE BY METRIC TON OF CUBED RESERVES, ALSO

WILL HAVE TO BE BASED ON THE AVERAGE OF CONTENT OF IRON (FE), TAKING THE REFERENCE FROM THE

PRICE OF USD$ 1,00 BY METRIC TON, WITH IRON FE=50% OR MORE.

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C. WILL BE DUE TO DEFINE A TENTATIVE SCHEDULE OF ALL THE EXPLORATORY OPERATIONS, FROM THE

BEGINNING TO THE TERM OF THE EVALUATION OF EACH CONCESSION, TO MANAGING TO MEASURE

RESERVES, IN ALL THE DEPTH OF EACH BODY.

TAKE IN ACCOUNT THAT OUR CONCESSION HAS IN AVERAGE OF 65%, AND 50% IS TO SETUP A BASE ONLY.

ESTEEMED TOTAL PRICE: $ 500’000,000.00 (IT IS FOR YOUR IDEA ONLY)

NOTED THAT ALL THE TERMS AND CONDITIONS PRESENTED IN THIS CHAPTER SHALL BE

IMPROVED, EXPANDED OR CORRECTED IN TALKS TO DEFINE DESERVING VERY CLEARLY THE

TRUST AGREEMENT BETWEEN THE PARTIES.

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ACARI PROJECT/INFRAESTRUCTURE ANNEX N°6

ACARI OWNS TRAILS OF ACCESS

INSIDE CONCESSION FOR 60TONS TRUCKS.

AT 12 KM OF THE PANAMERICAN HIGHWAY

PORTS AND DISTANCES FROM ACARI

1. PISCO/230 KM (10M SEA DEEP)

2. SAN JUAN/60 KM (15M SEA DEEP)

3. SEA BAY/42 KM (200.000 TONS SHIPS)

PORT TO BE CONSTRUCTED HERE.

ELECTRIC LINE AT 15 KM.

WATER AT 18 KM.

ACARI

PROJECT

1

2

3

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PICTURES OF ACARI IRON CONCESSION

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ACARI IRON CONCESSION, SEA PORT TO BE RECONSTRUCTED AND REOPEN

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SOME REMARKS FOR THIS ACARI IRON CONCESSION-MINE ARE NEXT:

THE INTRUSIVE (THE STERILE) TO RETIRE IN THE SURFACE HAS DEPTHS FROM 20 METERS TO MORE, THUS IN THE FIRST 100

METERS OF DEPTH OF WEST BLOCK OF ACARI, IN THE WORST OF THE CASES THE STRIPPING RATIO COULD BE 1:1, AND

BELOW THE 100 METERS DEEP, THE EXPLOITATION WILL BE 95% OF IRON ORES. ULTIMATE DEPTH COULD BE 500 METERS,

SEE IMAGE 3D PAGE 6 THIS DOCUMENT, IN TERRESTRIAL MAGNETOMETRY REPORT OF CANADIAN COMPANY

HOWEVER AS EXISTS FOR EXAMPLE OTHER IRON MINES OF OUR NEIGHBOR CHINESE COMPANY NAMED SHOUGANG, NEAR SEA

LEVEL, THEN WE SUSPECT WE COULD HAVE FURTHER IRON RESERVES DEEP BECAUSE WE HAVE SAME MAGMATIC MATRIX OF

MARCONA (LACOLITE), BUT FOR NOW WE CONSIDER THE 500 MILLION TONS AS ENOUGH TO JUSTIFY THE CURRENT IRON

BUSINESS.

WE ESTIMATED AT THE WORST OF THE CASES THE TOTAL IRON CONTENT WILL BE OF 46% FE, SAME AS OUR NEIGHBOR

CHINESE COMPANY SHOUGANG IS WORKING CURRENTLY AND EXPORTING TO CHINA (PRODUCE PELLETS), BECAUSE WE HAVE

SAME MAGMATIC MATRIX OF MARCONA (LACOLITE) BUT IN THE BEST OF THE CASES, WE COULD HAVE THE SAME OR SIMILAR

SPECIFICATIONS OF THE SURFACE OUTCROPS, AND DRILLED PROVEN RESERVES, SAME SPECIFICATION OF THE EXPORTED

IRON ORE TO JAPAN IN YEAR 1968 : FE: 62.3% , AL2O3: 1.4% , MGO: 0.7% , CAO: 0.62% , CU: 0.01% , K: 0.08% , NA: 0.01% ,

S: 0.11%

TECHNOLOGY TO BE ADOPTED IN CASE BENEFICIATION IS MAGNETIC SEPARATORS (MAGNETIC PULLEYS), WE HAVE TWO

MAGNETIC TECHNOLOGY PROVIDERS WITH 94% OF EFFICIENCY, OUR NEIGHBOR CHINESE COMPANY SHOUGANG IS WORKING

WITH SUCH SAME EQUIPMENT AND OBTAIN CONCENTRATED IN DRY, THEIR INITIAL 46% FE UNTIL 68.5% FE, USING MAGNETIC

PULLEYS.

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If interested, contact us:

Regards.

Eng. Noe Rodriguez

Company: ARKESA

Emails: [email protected]

Landline: +511-722-0333

Mobile: +51-992456967

Fax (USA): +1-206-3330645

Skype: noerods

ACARI IRON ORES NOE PROPOSAL SELLING PERU NOE

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