Drilling

A total of 18,300 m of diamond drilling in 69 drill holes was completed on the Property including six holes totaling 1,953 m drilled by Placer Dome in 1993 and 63 holes totaling 16,347 metres drilled by GMC between 1995 and 1998. Drill hole spacing varied from 75 m in the center of the known mineralized zone to around 300 m on the periphery of the zone. Initial core diameter was HQ (63.5 mm) but core size was reduced to NQ (47.6 mm) as required by drilling conditions. The historical drill core is stored in covered wood racks at the camp site on the Vizcachitas property. Boxes are clearly marked although those boxes that are exposed to direct sunlight are often faded and difficult to read.

Drill Hole Locations

Los Andes Copper initiated a diamond drilling campaign in July 2007, initially aimed at confirming the previous results and checking the possibilities for expanding the deposit. The success of the initial program resulted in further drilling which remains ongoing. In July 2008 an interim resource estimate was released based on both historical and Los Andes drilling totaling 35,255 metres in 130 drill holes (see below). Highlights of the drilling are shown in the following tables:

Drilling Highlights

Geophysics

Induced polarization (IP), resistivity and spontaneous potential surveys were undertaken in 1996 to cover seven km2 of the property. Due to the rugged nature of the terrain, survey lines were initially located along drill roads and then up slopes that could be easily and safely negotiated by geophysical crews. Most of the area was surveyed with 50 m between stations and lines were 300 m to 500 m apart.

The results of the survey indicated three anomalous areas covering more than three square kilometres of the Vizcachitas property, that appear to represent separate high-sulfide portions of a major porphyry system. Geological mapping and drilling confirmed that the anomalies indicate the presence of pyrite ± chalcopyrite veinlets and pyrite-sericite alteration.

The northeast zone, located on the east side of the river Rocin, is characterized by an 85 millisecond IP anomaly centered at 366750E and 6414000N. The anomaly covers altered diorite intruding Farallones Formation andesite immediately east of the northern breccia zone.

The southeast sulfide zone, also on the east side of the river, is centered at 366600E and 6412900N, and has a strike length of about one kilometer in a northeast direction. The anomaly is underlain by andesite, dacite porphyry and minor breccia.

The third zone, is located on the west side of the river, peaks at 90 milliseconds, is more than one kilometer long, and is oriented in a north-south direction. Also, a separate part of this third zone trends to the southwest. The anomaly is underlain by quartz-sericite altered granodiorite.

Geochemistry

Both Placer Dome and GMC completed rock chip sampling on the Vizcachitas project. Results of over 2000 samples, collected by GMC along roads and drill pads, indicate two areas of concentration of significantly anomalous (> 2500 ppm) copper values. The first area covers the northern group of breccias, where copper mineralization occurs primarily as copper oxides and carbonates in potassic and quartz-sericite altered rock flour breccia and dacite porphyry. The second anomalous area covers the southern group of breccias where mineralization consists of hypogene chalcopyrite with some supergene chalcocite in dominantly quartz-sericite altered andesite and dacite porphyry. This southern area is also coincident with the southeast IP anomaly.

While high molybdenum values do not generally occur with high copper values, anomalous molybdenum values are present in both areas of anomalous copper. High molybdenum values are concentrated in the central breccia zone and are thought to be related to northeast trending sulfide veinlets.

RESOURCE ESTIMATE

The mineral resource estimate for the Vizcachitas deposit was prepared by Robert Sim P.Geo, utilizing commercial mine planning software (MineSight). The distribution of grades in the three-dimensional resource block model is strongly controlled by the underlying geology of the property and the geostatistical-based interpretation of the contained sample data. Mr. Sim is a qualified person with respect to NI 43-101 and is independent of Los Andes.

The mineral resource estimate was generated from drill hole sample assay results and a geologic model which relates to the spatial distribution of copperan molybdenum. Individual domains, reflecting distinct zones or types of mineralization, were defined and interpolation characteristics were defined for each domain based on the geology, drill hole spacing and geostatistical analysis of the data. The degree of confidence in the resources have been classified based on the proximity to sample locations and are reported, as required by NI43-101, according to the CIM Definition Standards for Mineral Resources and Mineral Reserves.

The following parameters have been used in classifying the Vizcachitas resources:
• Indicated Resources: Blocks in the model in which a minimum of three drill holes occur within a maximum average distance of 100 m. This can be achieved with drill holes spaced on a 140m grid pattern.
• Inferred Resources: Blocks in the model which do not meet the criteria defined above but are within a maximum distance of 200m from a drill hole

Sulphide Indicated Mineral Resources

Sulphide Inferred Mineral Resources

1. Copper equivalent is calculated using US$1.50/lb Cu and US$10.00/lb Mo according to the formula Cu eq% =Cu% + (Mo% x 6.67) and assumes 100% mining and metallurgical recoveries which remain uncertain.
2. Sulphide “base case” cut-off grade of 0.30%CuEq highlighted in tables.
3. Mineral resources do not have demonstrated economic viability.

The resource estimate also includes a near surface mixed leached/oxide zone which may have different metallurgical characteristics to the sulphide zone and has thus been separated out. Results for this “oxide” zone are shown below:

Oxide Indicated Mineral Resources

Oxide Inferred Mineral Resources

1. The degree of oxidation is highly variable and it is unknown what effects this may have on the metallurgical characteristics at this stage.  
2. Oxide “base-case” cut-off grade of 0.2% CuT  highlighted in tables.
3. Mineral resources do not have demonstrated economic viability

Copper and molybdenum grades were calculated using ordinary kriging into a 3D block model with blocks with a nominal size of 20m x 20m x 10m. The resource estimate is based on a total of 35,255 metres of diamond drilling in 130 diamond drill holes, including 17,790 metres of drilling in 69 holes completed in the 1990’s by Placer Dome SudAmerica Ltd. and General Minerals Corporation.

Technical Report