Environmental & Social Review Summary
Project Number
31046
Company Name
REGULUS ARGENTINA SA
Date ESRS Disclosed
Oct 14, 2011
Country
Argentina
Region
Latin America and the Caribbean
Last Updated Date
Nov 30, 2016
Environmental Category
B - Limited
Status
Completed
Previous Events
Approved : Aug 19, 2011
Signed : Aug 19, 2011
Invested : Nov 9, 2011
Sector
Copper
Industry
Metals and Mining
Department
Regional Industry INF LAC & EUR
Project Description
The Rio Grande Cu-Au-Ag porphyry early exploration project is located in the high Puna of NW Argentina, 450km west of the city of Salta. The main activities currently being undertaken are trench sampling and core drilling. The property has 77 drill holes (33,000 meters) which was completed as of year-end 2008 by Antares Minerals however no resource estimate has yet been prepared. Previous work has focused on the near surface, oxidized mineralization which contains respectable grades of copper and gold, including large areas of low grade with variable areas of higher grade mineralization. With the economic slowdown in 2008 Antares Minerals focused on developing other assets and has in 2011 reinitiated activities at Rio Grande by initiating a drilling program for a total of 15,000 m utilizing two diamond drills.
The exploration camp (3700 meters) is located in the camp facilities of the abandoned Mina Arita Onyx which has been closed down for several years. The camps hosts up to 70 people during drilling campaigns. The exploration area is located at 4700 meters. The area is arid with precipitation of 100-200 mm per year.
The project has 12 full time staff with the balance being provided by contractors of which Boart-Longyear (drilling) is the largest.
The project is located in an area with existing access roads. Other infrastructure available but less accessible includes a gas pipeline extending from Salta to Chuquicamata copper mine in Chile, with a branch line to the Hombre Muerto lithium mine 75 km east of Rio Grande. A high tension power line also extends from Salta to Chuquicamata, and this line lies about 200 km from the project site.
The exploration camp (3700 meters) is located in the camp facilities of the abandoned Mina Arita Onyx which has been closed down for several years. The camps hosts up to 70 people during drilling campaigns. The exploration area is located at 4700 meters. The area is arid with precipitation of 100-200 mm per year.
The project has 12 full time staff with the balance being provided by contractors of which Boart-Longyear (drilling) is the largest.
The project is located in an area with existing access roads. Other infrastructure available but less accessible includes a gas pipeline extending from Salta to Chuquicamata copper mine in Chile, with a branch line to the Hombre Muerto lithium mine 75 km east of Rio Grande. A high tension power line also extends from Salta to Chuquicamata, and this line lies about 200 km from the project site.
Overview of IFC's Scope of Review
The review of this exploration project consisted of appraising technical, environmental, health, safety and social information submitted by the company, and assessing the company’s operations through a field visit to the Rio Grande exploration site in April 2011, where meetings were held with field personnel and members of the nearest community, Tolar Grande.
In line with similar previous investments, this Environmental and Social Review Summary (ESRS) covers Regulus’ activities at the early exploration pre-feasibility and pre-development stage
Background:
This project is related to an earlier IFC investment in Antares Peru disclosed in May 2009. Regulus is a new company that was “spun out” of Antares following their take-over by First Quantum in 2010 and as a result, IFC now owns 13.2% of the 36.2 million Regulus shares. Regulus holds only one asset, which is a 50% interest in the Rio Grande Project.
Subsequent to becoming a shareholder of Regulus, IFC conducted an appraisal mission to the new property in order to assess the environmental and social performance of the project and in collaboration with the project sponsor developed an environmental and social action plan (ESAP) to ensure compliance with IFCs Performance Standards.
In line with similar previous investments, this Environmental and Social Review Summary (ESRS) covers Regulus’ activities at the early exploration pre-feasibility and pre-development stage
Background:
This project is related to an earlier IFC investment in Antares Peru disclosed in May 2009. Regulus is a new company that was “spun out” of Antares following their take-over by First Quantum in 2010 and as a result, IFC now owns 13.2% of the 36.2 million Regulus shares. Regulus holds only one asset, which is a 50% interest in the Rio Grande Project.
Subsequent to becoming a shareholder of Regulus, IFC conducted an appraisal mission to the new property in order to assess the environmental and social performance of the project and in collaboration with the project sponsor developed an environmental and social action plan (ESAP) to ensure compliance with IFCs Performance Standards.
