- Veritas Gold
CR SA, Costa Rica 
Veritas Mining
CR SA, Costa Rica- Veritas Resources
CR SA, Costa Rica - The Costa Rica
Gold Belt - About
Costa Rica
Tres Hermanos gold mine / El Recio gold mine: The Company has acquired a 100% lease interest in the concession. The initial lease term is 20 years and has a renewal option. The Company also has an option to purchase the concession outright after the second year for consideration of $1,200,000. The lease agreement is subject to a royalty of 3% of net sales revenue (NSR) to the owner. The mine is located 110 km North West of the capital, San Jose, Costa Rica and is readily accessible via a good 7.5 km gravel road off the Pan American Highway. The concessions have water, power, telephone, and permits are in place. There is a ready and experienced workforce in the nearby village of Las Juntas. The Tres Hermanos vein system, which can be traced on surface for a considerable distance, has been mined to a depth of 210 m. No workings are below this level (no. 7).
Historical records indicate that between 1884 and 1999, 2.2 million tons of ore at a reported average grade of 0.48 oz/ton had been mined. Since then only free miners (a free miner is a prospector or miner who extracts ore from mines on a non contractual basis) have been working the concessions, recovering small tonnages at a reported average grade of +1.0 oz/ton. Reserve calculations indicate diluted reserves of 825,000 tons at 0.319 oz/ton. The deposit is open at depth and on strike.
The Company is planning to construct a mill at Tres Hermanos. Workers develop road as part of development on Tres Hermanos Geologists review maps at entrance to tunnel Tres Hermanos. The El Recio Concession has been acquired from the same owner on exactly the same terms as Tres Hermanos. $25,000 has been paid as consideration for both Tres Hermanos and El Recio after which, except for paying all necessary government charges (Cannons), the royalties are the only consideration remaining. Said royalties will be payable from production.
Boston Ore supply Agreement: The Boston deposit lies to the northeast of Tres Hermanos and El Recio. The Boston Concession is owned by a syndicate of some 60 local miners who wish to continue to work the property. Veritas Mining has a 10 year renewable agreement with the Concession owners to accept delivery of ore produced based upon a formula of tonnage and ore grade, less certain deductions for equipment, explosives and safety supplies provided by the Company. This arrangement is commercially attractive to the Company. Four levels are readily accessible for immediate ore production and mining is underway. The vein system is narrow with corresponding high grades. Available records indicate that an average mining grade of 0.3 to 1.00 oz/ton can be anticipated. As in other concessions in this area, bonanza type chutes with higher grades have been encountered and documented. There has been no recent formalized activity in these deposits except for the mining done by the free miners who simply follow the vein system and mine material that is in excess of 1.0 oz/ton to make it worth their efforts. Consequently no recent grade and reliable and documented tonnage reserve figures are available at this time. Veritas Mining has commenced mining and an inventory is being compiled based on underground drilling and detailed mapping.
Tres Hermanos, El Recio and the Boston concessions are located in close proximity and exhibit the same characteristic vein structures. Veins in the El Recio deposit are wider than Tres Hermanos; the wider veins will allow the use of larger underground equipment resulting in lower mining costs, thus offsetting the slightly lower grades. As with all deposits in this area bonanza type chutes carry considerably higher grades.