The different prospects within the vicinity of Padcal can be generally divided into copper-gold porphyry prospects and the gold vein prospects. Sto. Tomas II, Bumolo, Bumolo 2/Sta. Fe, Southwest, Southwest Breccia and Tapaya fall under the copper-gold porphyry prospects while Butan, Midway and Copper Queen are classified within the gold vein prospects.

Mineralization within the Sto. Tomas II orebody is associated with the various diorite porphyry stocks (Dark diorite, Clear diorite, Andesite porphyry, and Quartz diorite/Tonalite) which have intruded the basement meta-andesite wallrocks of the Pugo-Zigzag Formation. These intrusive stocks are said to be related to the diorite and dacite porphyries of the Black Mountain Quartz Diorite. Among the porphyry stocks in the area, the dark diorite (DD) is the principal ore bearing rock. The inter-mineral clear diorite on the other hand is less mineralized than DD. The andesite porphyry (AP) is characteristically low in copper but high in gold while the post-mineral quartz diorite (QD/tonalite) is almost devoid of both copper and gold. Subsequent exploration drilling activities discovered a structurally controlled gold-rich, copper-poor zone at 400-500 meter level was also discovered at the northeast fringe of the orebody. It has an apparent thickness of 117 meters along drillhole intercepts and is noted to occur in CD and some meta-andesite. Likewise a deeper gold-rich interval of post-porphyry copper-gold mineralization was also intersected in one of the holes collared at the northeast, hosted in a sericitized quartz-gypsum vein in meta- andesite and located at approximately -150 meter level.

Two major north-northeast striking, southeast dipping structures played an important role in the formation of the Sto. Tomas II orebody; these are namely the Sta. Fe Fault and the Albian Fault. The latter is considered to be the conduit of mineralization, with the fault splitting into three branches at the orebody. However, no prominent exposure of the fault was observed at the mining levels. The Sta. Fe Fault on the other hand is the main structure affecting the behavior of the intrusive complex at depth, intercepting the orebody from 908 meter level downwards. Mineralization within the Sta. Fe Fault occurs in short intervals related to the gougy and sheared zones, as intercepted by different drillholes. Sulfides are observed as fracture fills as well as disseminated grains usually within the gouge material. The fault is interpreted to be pre- to syn-mineralization in timing, which would place it contemporaneously with the introduction of the structurally-controlled gold-rich zone.

The Sto. Tomas II orebody forms a roughly pipe-like deposit having lateral dimensions of 500 meters by 550 meters and a vertical extent of 730 meters. Copper and gold mineralization at levels above 745 meter level is generally focused within the main intrusives, with the occurrence of the quartz diorite body at 600 meter level causing an abrupt drop in both copper and gold grades. Subsequent mineralization below 745 meter level was observed to be within the wallrock-intrusive contact zones with extensions into the meta-andesite. Recent drilling from 773 meter level has also delineated the extent of the main intrusives up to around 400 meter level, where the said lithologies seemed to have "floored" into the meta-andesite. Evidences of a post-mineralization occurrence of the Sta. Fe Fault brought up the possibility of the truncation of the orebody at depth. Given the fault’s normal sense with a minor right-lateral component, a possible truncated half of the deposit might be situated to the northeast of the present location of the orebody.

LHD Block Caving will be continually employed in the remainder of the operating life of Padcal. The method has been used successfully for 50 years now and has undergone modernization from its roots of slusher machines.

Load-Haul-Dump (LHD) mining is a system of ore extraction in block caving using the Low Profile Loaders. It was introduced at 908 ML on May 1996 after a series of consultation with block caving experts and by 1999, Philex became a full LHD block caving operation.

Ore passing through transfer raises that are remotely located relative to crusher stations are collected at the Re-handling Level at 840ML. The ore is then hauled by 30-tonner Low- Profile Trucks (LPTs) and subsequently dumped at LTRs that lead to the Crushing Level at 773ML.

There are two (2) jaw crushers at the 773ML, the 4-4 Crusher Station and the 2-4 Crusher Station. Ore fragments bigger than 20cm in diameter report to the crushers for size-reduction.

Ore of suitable size drops to the Haulage Level at 745ML where they are carried by five (5) Feeder Belt Conveyors (FBCs). The FBCs feed two (2) collecting bins thate discharge onto the sacrificial conveyor then to the 2.7-km long Cable Hauled Conveyor (CHC).

Finally, the ore is transported by the CHC to the surface and discharged into the dump bin at the 1015ML.

Copper and gold will be recovered using flotation process.

The dewatered final concentrate filter cake having a moisture content of 10 to 11 percent is hauled by trucks for shipment to contracted copper smelters in Japan.