The Cármenes Project is a highly prospective area for carbonate-hosted breccia “pipe” style mineralization, with evidence of high grades of copper, nickel, cobalt and gold. Breccia pipe deposits typically occur in clusters, and the area is highly prospective for discovery of additional breccia pipes. Initial exploration priorities include the former Profunda and Providencia mine areas, targeting extensions to the copper-nickel-cobalt mineralization beneath the mine workings and recently mapped gossans. Numerous other smaller historical mine workings occur throughout the project area, highlighting the potential for additional breccia pipes and other styles of mineralization. 

Pan Global has commenced systematic exploration in the Cármenes Project following an initial phase of reconnaissance sampling and a detailed review of past exploration in the area. The program includes detailed mapping and surface geochemistry surveys, drill planning at Profunda and Providencia, and follow-up of targets identified from past exploration. 

Table 1 (below) includes assay results from new rock samples recovered by Pan Global from within the underground mine workings and surface gossans at Providencia and Profunda, and previously unreported underground sample results acquired with the mineral rights from the previous owners, “Sociedad de Investigación y Explotación Minera de Castilla y León, S.A.” (SIEMCALSA). 

The Pan Global and SIEMCALSA rock samples were assayed using the same laboratory and sampling protocols. The underground samples consisted of rock chips from the walls of former mine tunnels/stopes. Average grades from the combined Pan Global and SIEMCALSA underground samples at Providencia and Profunda, include:

Providencia (22 samples) – 2.53% Cu, 1.28% Ni, 0.68% Co, 0.6g/t Au, 3.1g/t Ag

Profunda (8 samples) – 10.3% Cu, 0.18% Ni, 0.19% Co, 0.1g/t Au, 15.6g/t A

Reconnaissance mapping by Pan Global at the Providencia target has identified breccias hosting the historical mine workings, and surface gossans, over an area more than 300 x 100 meters. The target area at Profunda has similar dimensions. Assay results for six samples of gossans (rock chips of gossan outcrops and float) collected at Providencia average 3.8g/t Au, 0.41% Cu, 0.28% Ni, 0.10% Co and 3.7g/t Ag. The results highlight additional untested potential for significant gold and copper-nickel-cobalt mineralization beneath the gossans outside the mine workings. 

Table 1 – Rock sample assay results, including grab samples or rock chips from the walls in the historical underground mine workings at Providencia and Profunda, and samples of gossan from the Providencia target

Álvaro Merino P.Geo., Pan Global’s Vice President, Exploration, and aqualified person as defined by National Instrument 43-101, has reviewed the technicalinformation that forms the basis for this webpage.

A plan map of the Providencia target and gossan sample locations is provided in Figure 1 below. Cross sections through the Providencia and Profunda mines with sample locations are provided in Figure 2.

Figure 1 – Providencia Target geology map and gossan sample locations

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Figure 2 – Providencia (left) and Profunda (right) cross sections showing the breccia pipes and underground rock sample locations

The Cármenes Project area comprises three Investigation Permit’s (total 4,028 hectares) that were acquired 100% by Pan Global from the Spanish state-owned exploration company SIEMCALSA together with all associated exploration data, and two additional granted Investigation Permits (total 1,625 hectares) that were obtained as a result of mineral rights applications by the Company’s wholly owned subsidiary, Minera Águila Sociedad Limitada (MASL). There are no royalties on any of the mineral rights. 

The Profunda and Providencia copper-cobalt-nickel mines were operated continuously between 1860 and 1880, and intermittently until the 1930s. Mine grades (unverified) include 1.9% Cu, 1.8% Ni, 0.9% Co at Providencia and 2.2% Cu, 1.5% Ni, 0.9% Co at Profunda. (1) The mines produced copper and cobalt concentrates, both containing nickel. Underground mining extended to approximately 100m depth below surface at Providencia and 260m depth at Profunda, and mineralization remains open to depth and along strike at both. Artisanal mining occurred elsewhere in the area to the 1960s. 

SIEMCALSA began exploring in the area from 2009 to 2017, and through a Joint Venture (JV) on part of the area with Riedel Resources (ASX: RIE) from 2017 to 2019 when exploration stopped. SIEMCALSA focussed on four target areas, Profunda, Providencia, Fontun, and Valverdin. The exploration data indicates numerous other untested targets that require follow-up exploration.

Four diamond drill holes were completed during the SIEMCALSA JV with Riedel Resources, testing IP-chargeability targets. This included hole CMN-3, that drilled in the main breccia at the Profunda mine, intersecting grades of 7.72% Cu, 0.11% Co, 0.09% Ni, 0.44% U and 0.24% Zn over 1.95m in the wall of a 7-meter-wide previously mined stope (2). The Providencia mine area was outside the JV and not drilled. 

(1) Instituto Geológico y Minero de España, Mongografia N.^o 4 – Recursos Minerales, 2003, pp186-187

(2) Riedel Resources media release and ASX Announcement dated October 26, 2018 titled “Drilling Programme Highlights Exploration Potential and Validates Exploration Strategy”: https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2995-02039382-6A905981

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QA/QC 

Rock samples delivered to the ALS sample preparation facility in Seville were prepared and assayed at the ALS facility in Ireland. All samples were crushed, split and pulverized using methods CRU-31, SPL-22Y and PUL-31. Gold analysis was by 30gm Fire assay with AA finish (Au-AA23). Multi element analysis was undertaken using a 4 acid digest with ICP-AES finish (ME-ICP61). Overgrade samples were analyzed using 4 acid digest with ICP-AES finish (OG62). Certified reference materials were inserted at a 1/25 samples. The grab sample results are selective by nature, and may not be representative of average grades for the mineralization.

Álvaro Merino P.Geo., Pan Global’s Vice President, Exploration, and a qualified person as defined by National Instrument 43-101, has reviewed the technical information that forms the basis for this webpage. 

A Brief History of Mining in the region of León, Spain

The history of mining in the region of León, Spain, is at least 3,000 years old. Mining has played a significant role in the development of the country, particularly during Roman times but also in the Middle Ages and the modern era.

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Ancient Times and Roman Era

Mining in León dates to prehistoric times, with early inhabitants exploiting surface mineral deposits. However, it was during the Roman occupation (1st Century BC to 5th Century AD) that mining in León attained a higher level of production, particularly in the recovery of gold. The most notable mining operation was Las Médulas, near the present-day town of Ponferrada. This vast open-pit mine was one of the largest in the Roman Empire, using advanced techniques like hydraulic mining to extract gold. The mining methods used by the Romans produced a profound and enduring landscape still visible today. 

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Middle Ages to Early Modern Period

Following the decline of the Roman Empire, mining activity in León decreased significantly. During the Middle Ages, artisanal-scale mining continued on a small scale, primarily driven by monastic orders and feudal lords who mined for various minerals, including iron and silver. The technological limitations of the time restricted large-scale operations, but mining remained a vital part of the local economy.

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The Industrial Revolution and Modern Era

The Industrial Revolution in the 19th Century led to a revival in León's mining industry, particularly with the advent of coal mining. Coal became the dominant mineral extracted, essential for fueling the burgeoning steel and rail industries in Spain. Towns like Fabero and Villablino grew around coal mines, drawing workers from across the region and contributing to urbanization and economic growth.

During the 20th century, León continued to be a critical area for coal production, especially during periods of industrial expansion and in response to energy crises. However, the latter part of the century saw a decline due to the depletion of easily accessible coal seams and competition from other energy sources.