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Advanced Exploration - Escondida -
El Victor Underground

Underground drifting is in progress along a 1.7-kilometer mineralized structural corridor connecting the Escondida and El Victor zones. Over 1,179 meters of underground development in three separate headings, or about 57% of the project, was complete by the end of 2005. Approximately 756 meters of development remained. An additional 181 meters of underground development was completed at El Victor East. Although the El Victor drift has been placed marginal to the mineralized zone for optimum drilling advantage, approximately 64% of the development rock (4,983 tonnes) has been ore-grade material and shipped to the leach pads, at an average grade of 0.91 g/t of gold and12.5 g/t of silver.

A single underground core rig began drilling at El Victor in January 2006, with 23 holes (1,750 m) completed to date.