INTERVIEW WITH BERNARD ROWE, MANAGING DIRECTOR OF GLOBAL GEOSCIENCE LIMITED (GSC)

“GSC Enters into Exploration Agreement with Buenaventura”

http://www.brr.com.au/event/52299

MONDAY, OCTOBER 13, 2008, 10:00 AM.

            BRR    Good afternoon and welcome to Boardroom Radio. Today we’re talking with Bernard Rowe, Managing Director at Global Geoscience Limited. Good

10                    afternoon, Bernard. Thanks for your time.

            GSC    Good afternoon, Tom. Thank you.

            BRR    Bernard, Global Geoscience has announced that it has entered an exploration agreement with a major mining company, can you provide some

15                    more details on this agreement and who the partner is?

            GSC    Yes, sure, Tom. We’ve signed an agreement with Peruvian company, Buenaventura, on a Mancha Pampa Copper-Gold Project in Peru. Under the terms of the agreement that we’ve signed, Buenaventura are going to earn an interest in the project by funding exploration. The initial part of that agreement

20                    will be an ability for Buenaventura to earn a 61% ownership in the project by spending $3 million on exploration over a five-year period. Once Buenaventura have earned the 61% ownership, then Global Geoscience will have the choice of contributing at 39% to maintain its interest in the project or we can elect to swap to a free-carried interest of 20% and that will be free-

25                    carried by Buenaventura through to completion of feasibility.

                        Now, Buenaventura may or may not be familiar to the listeners, but it’s quite a well-known company in Peru. It has been in operation for over 50 years, so it’s a longstanding Peruvian mining and exploration company that’s listed on

30                    the Peru and New York stock exchange. It operates seven mines in Peru and it also has interest in several other operations including the Yanacocha Gold Mine where it has a 43% interest with Newmont Mining.

                        Yanacocha might be familiar to… the name might be familiar to the listeners,

35                    it’s a very large gold mine in Northern Peru and it produces in the order of about 1.5 million ounces of gold per annum, so a very sizable mine.

                        Buenaventura is a very appropriate partner for a junior explorer like Global to have in Peru and it’s got a long history in Peru. It explores and operates

40                    mines and we are delighted to have them join us at Mancha Pampa.

            BRR    Okay, and can you give us a brief summary of the project at Mancha Pampa and why this has attracted the attention of this significant partner?

            GSC    Yes, well, the Mancha Pampa project is a true grassroots exploration project.

45                    Global Geoscience identified the area as a conceptual target through a method that we’ve developed in-house where we undertake original studies to identify areas that we think have increased prospectivity and we then go out and explore those areas on the ground but allowing us to focus in on relatively small areas rather than the typical regional exploration programs, so targeted exploration in these small areas. We picked a number of these targets in Peru several years ago. Mancha Pampa was just one of them. We went out and explored the area and we soon identified that we were getting strong levels of copper and gold in our stream sediment and soil samples,

5                      and so that’s how we first identified the project. Since then we’ve done several programs of intensive exploration on the mine prospect at Mancha Pampa, which we call Quillcata, and now we’ve got it to the stage where we’ve identified a strong copper geochemical anomaly in soils and rock chips over a distance of about 600 to 700 metres, a couple of hundred metres wide.

10                    In addition to the copper, there are also anomalous levels of gold and silver. We’ve found some extensive silica alteration and we’ve also mapped a porphyritic intrusive that seems to be associated with the mineralisation. So we see that what we’ve found at the Quillcata prospect are some of the ingredients that suggest that this area has potential to host porphyry copper-

15                    gold mineralisation and that’s what attracted the attention of Buenaventura.

            BRR    What are the milestones that need to be achieved and what’s the current state of operations at Mancha Pampa?

            GSC    Okay. Well, the first milestone that has to be achieved, following the signing

20                    of the agreement, is that Buenaventura are going to complete a surface exploration program which will comprise geological mapping and grand geophysical surveys at the Quillcata prospect. That’s a firm commitment from Buenaventura. It’s likely to be in the order…well, it will be a minimum expenditure of at least US$80,000 to complete that. We’re just coming up to

25                    the end of the Peru field season, so unfortunately the window of opportunity is closing on us so Buenaventura have until mid next year, so midway through the 2009 field season, to complete that surface work, so that’s the first milestone.

30                    The second milestone, which will be subject to results achieved, will mean that Buenaventura then has to complete a drilling program of at least 1000 metres and the date for that is to be completed by December 2008, so the end of next field season. So they’re the key milestones.

35                    The current state of operations at Mancha Pampa in conjunction with Buenaventura, we’re just about to start the first of the grand geophysical surveys, so that work will be completed in the next month, well before the end of this field season, and subject to the weather conditions, some of the other work that will involve geological mapping and additional geophysics will be

40                    conducted before the weather sets in.

            BRR    Bernard, thanks for your time. Listeners that was Bernard Rowe, Managing Director at Global Geoscience Limited. If you have any questions for Bernard or you’d like more information about this broadcast, please email

45                    brr@brr.com.au. I’m Tom McKay. Thanks for listening to Boardroom Radio.

INTERVIEW CONCLUDED

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