Ocros

Prospective for: Porphyry Copper/Molydbenum

Update:

An abandoned adit dating from mining activities (circa 1950's) on the eastern edge of the concessions was re-opened by an independent operator seeking access to high grade copper ore, without the permission of the Company. The old workings, referred to locally as the Eldorado mine adit, are over one kilometer east, and about 300 metres lower than the nearest of seven drill holes completed by the Company in 2007 and 2008. In August 2014, eighteen representative two-metre long horizontal rock chip samples were taken over a distance along the adit of about 300 metres. The exposed rock in the adit is characterized as feldspar-hornblende-porphyry, with strong potassic alteration throughout, and mineralization in the form of disseminated chalcopyrite-bornite, as well as chalcopyrite and bornite in sulphide vein stockwork and quartz veins. Native copper is also observed in the samples. Copper assays from the eighteen (18) samples ranged from 0.01% to 4.72%, with an average of 0.99%, and included anomalous gold and silver.

The information from the old underground workings indicates that the center of copper enriched porphyry system is located further to the east, and at a lower elevation than the area tested by Condor's initial drill program. Further detailed sampling of the adit is currently planned with the objective of defining new drill targets to test from surface or within the adit.

Location:

The 19.7 sq km Ocros property is located 180 km NW of Lima at elevations ranging between 2250m and 3550m and on the continental-scale West Fissure fault system, host to the majority of South America's most significant copper resources

Ownership:

85% interest. The property vendor holds a 1% net smelter returns royalty, and a 15% interest carried to commercial production. Condor has the right to purchase the royalty at any time for US$2,000,000. The property vendor's interest is fully-carried and non-contributing until the completion of a feasibility study, at which time the property vendor will receive an additional 1 million shares. All costs incurred by Condor on behalf of the property vendor following completion of the feasibility study will be recouped with interest from the property vendor's 15% share of production proceeds.

Geology/Mineralization:

The property covers an intensely altered, copper-mineralized target measuring 6 sq km in area, with mineralization presently exposed over a vertical extent of more than 700m. High grade "exotic" copper mineralization, comprising secondary copper-rich chrysocolla cementing gravels at the bedrock-gravel interface is also present, representing a second separate high-grade copper exploration target.

Summary of Work to Date:

Sampling of the property in July 2007 returned widespread anomalous Cu, Au, Ag, Mo, Pb and Zn assays within the area targeted for drilling. A total of 118 of the 128 samples collected (92%) returned values in excess of 100 ppm Cu, including 76 samples (59%) in excess of 500 ppm, 51 samples (40%) in excess of 1000 ppm, 18 samples in excess of 0.5% Cu and 11 samples (9%) assaying more than 1% Cu.

A Phase I drill program designed to test the continuity of the highly anomalous surface copper mineralization at depth commenced in November 2007 and was completed in April 2008. A total of 7 holes totaling 2,803 meters of diamond core drilling were completed. The best intercept was found in drill hole OCR-001 with 251.3 m grading 0.15% Cu, including 54 m of 0.41% Cu from 316.0 to 370.0 m depth. The remaining holes included OCR-002 with 81.9 m grading 0.11% Cu, OCR-003 with 102.0 m of 0.11% Cu, OCR-005 with 12.0 m of 0.16% Cu, OCR-006 with 10.0 m of 0.21% Cu and a second interval deeper in the hole which returned 19.6m grading 0.12% Cu. The seven widely-spaced drill holes at Ocros tested only a small portion of the 2 sq km porphyry copper target and further evaluation and drilling are required.