SEPTEMBER, fi- COUGHLAN LAKE PROPERTY TASHOTA-NIPIGON MINES LIMITED THUNDER BAY MINING DIVISION ONTARIO GEOLOGY GEOPHYSICS

Transcription

1 fi- 4aL83SW COUGHLAN LAKE 010 TASHOTA-NIPIGON MINES LIMITED COUGHLAN LAKE PROPERTY THUNDER BAY MINING DIVISION ONTARIO GEOLOGY GEOPHYSICS FLANAGAN MCADAM A CO. CHIBOUGAMAU, P.Q. SEPTEMBER, 1983

2 42L03SWee COUGHLAN LAKE 010C TABLE OF CONTENTS Page l l l Section I INODUCTION II PROPERTY, LOCATION AND ACCESS III HISTORY IV RECENT WORK ON THE PROPERTY V REGIONAL GEOLOGY VI RESUME OF WORK DONE IN 1983 VII RESULTS OF THE GEOLOGICAL SURVEY GEOLOGY MINERALIZATION SUCTURE TABLE I - GEOLOGICAL SAMPLE RESULTS VIII RESULTS OF THE GEOPHYSICAL SURVEYS TABLE II - GEOPHYSICAL RESULTS SUMMARY IX CONCLUSIONS AND RECOMMENDATIONS PROGRAM ii iii Appendix l Appendix 2 References Claim List 1976 Geophysical Surveys

3 - l - I. INODUCTION This report describes the results of a detailed geological survey carried out during the summer 1983 on the Tashota Nipigon Mines Limited property located in the Coughlan Lake Area, Thunder Bay Mining District of Northwestern Ontario. The work was executed by Flanagan McAdam 4 Co. employees based in the town of Chibougamau, Quebec. II. PROPERTY, LOCATION AND ACCESS The property consists of thirty-seven (37) contiguous mining claims located in the southeast quarter of the Coughlan Lake f Area. {Claim Map #G-26). The claims are held by Tashota Nipigon Mines Limited and cover an area of approximately 1555 acres (622 hectare). A table, in Appendix I, gives a list of permit and claim numbers. The property is reached by gravel roads from a point three (3) miles east of the village of Jellicoe on the Beardmore - Geraldton highway (Hwy. #11). At this point, the Abitibi Power and Paper Company network of roads goes North-Northwest over a distance of 45 miles to the Tashota-Nipigon property. III. HISTORY The property has a long history of prospecting, development and production. In 1923, J. McKechnie discovered visible gold near the southern boundary of Claim KK524. McKechnie staked two claims around the showing. These two claims and an additional eight were acquired by Nipissing Mining Company Limited. Nipis sing Mining did some diamond drilling in In 1927, Tashota Gold Mines Limited was formed to acquire the property under the

4 - 2 - direction of H.H. Vaughan of Montreal. Surface stripping and test pitting were done the autumn of 1927 and a mining plant was taken in to the property over a winter road from Tashota Station. By August 1928, a two compartment shaft was sunk 225 feet with levels at 100 and 200 feet. Operations were suspended in February 1929 but surface drilling {2900 feet) was carried out that summer and underground operations resumed in September 1929 with 542 feet of drifting and crosscutting and a total of 5282 feet of diamond drilling. Operations were suspended in March 1930 and resumed in September 1931 to March With an increase in the gold price, the property was reopened in April 1934 by Tashota Goldfields Limited under the direction of Minefinders Ltd. In early 1935, a 50 ton mill was installed,.-- Production, with some interruptions, continued until The ore treated and metals recovered during production were: Tons Milled Gold oz. Silver oz. Copper Ibs. 51,200 12,355 14, ,430 (Data from O.D.M. Ann. Reports) During operations on the property, the No. l shaft was sunk to 367 feet with levels at 100,200 and 325 feet. As the ore at depth was found to dip 70 0 N and rake 68 C W a winze was sunk from the 325 level for an inclined length of 1300 feet with levels established at 475 and 625 feet. No mining was done below the 625 level. In 1937 a three compartment shaft, in clined at 70" was sunk from surface west of No. l shaft to the 100 foot level. As development work in the 475 and 625 levels did not find additional ore, the mining operations were stopped in late Tashota Nipigon Mines Limited was incorported in 1939 to retain the property. In 1967, International Mine Services Limited dewatered the mine for Tashota Mines Limited. They mapped the

5 - 3 - surface and some of the underground workings, drilled 11 holes (4002 feet) and sampled underground and the tailings area. The 1967 drilling programme was confined to investigating possible extensions of the 'A 1 gold zone previously mined by Tashota Goldfields and other promising areas on the property were not tested. In examining government and company records it appears that no additional work was carried out on the property for some years. However, prospecting, trenching and diamond drilling on the Coulee-Headway and Hopkins properties to the west and southwest of the Tashota-Nipigon claims has outlined several mineralized lenses with lead, zinc, silver and minor gold values. In 1975, a joint venture of Dejour Mines Limited, Lynx-Canada Explorations Limited and Canadian Reynolds Metals Ltd. discovered two small copper zones with important gold and silver values in the same volcanic belt 3 3/4 miles southwest of the Tashota claims. IV. RECENT WORK ON THE PROPERTY In 1976, the present group acquired control of Tashota-Nipigon Mines Limited which included the ten patented claims listed in the Appendix 1. At this time, the property consisted of 20 contiguous mining claims. After a review of the records, the geology and the results of several exploration programs carried out on adjoining properties of this greenstone belt, the company conducted geophysical work consisting of V.L.F., Mag. and E.M. surveys on several different parts of the property:-

6 - 4-1) In 1976, a A.B.E.M. survey outlined thirteen (13) electro magnetic anomalies with conductivity varying from fair to poor. A table, in Appendix 2, lists the conductive zones located on the 1976 grid. 2) In 1980, Troop Exploration and Development Ltd. carried out a small Maxmin-II survey revealing an excellent electro magnetic anomaly southeast of the Tashota shaft. The anomaly, at least 1100' long, shows very strong conductivity. 3) In 1981, Flanagan McAdam carried out Mag. and V.L.F. surveys covering most of the property. The Mag survey showed additional high magnetic zones while the V.L.F. confirmed several of the E.M. conductors (1976). 4) In 1982, 17 claims have been added to the North and the East of the property covering much of the volcanic belt and pro tecting any possible extension of the anomalies. t^ V. REGIONAL GEOLOGY The property is located on a narrow belt of Archean metavolcanic rocks, about 2^ miles wide, near the southeastern contact of a biotite-quartz monzonite stock. The area was mapped by the Ontario Division of Mines in 1972 and 1973 (Thurston, 1980) and the metavolcanics have been classified a part of the Wabigoon volcano-sedimentary belt of Goodwin (1970). In the immediate vicinity of the property, the metavolcanic belt consists mainly of pillowed to massive metabasalt interbanded with chlorite schist and intruded by irregular to semi-concordant bodies of gabbro and diorite. A regional diabase dyke intrudes all the above rock types.

7 - 5 - VI. RESUME OF WORK DONE IN ) Line Cutting The 1981 grid (L32W and L32E) has been brushed out and repicketed at 100' feet intervals. The lines, 200 feet apart, cover the limits of the old property (10 claims). One line in two, between the lines 32W and 30E, has been extended to the new boundaries and seven (7) new lines, at 400' feet intervals, have been added at the east of the property. A total of 31 miles of brushing out old lines and 15.3 miles of new cutting was performed on the property stations have been established. 2) H.E.M. Survey The horizontal electromagnetic survey was carried out using an Apex Parametrics Maxmin II unit employing both 444 hz and 1777 hz frequencies and a 200 foot reference cable. The in-phase and quadrature components were measured every 100 feet with an accuracy of 156 of the primary field. A total of 42 miles of Maxmin II have been performed on the property. 3) VLF-EM Survey The survey was carried out using a Crone Radem VLF-EM unit which measures dip angles. The readings were taken at 100 foot spacing on the grid using the Cutler Maine Transmitting station which transmits at a frequency of 17.8 Khz. The readings were then mathematically fil tered according to the Fraser method. The survey was only run over the extensions and the new lines for a total of 11 miles. *'' 4) Geological Survey The detailed geological survey carried on the Tashota- Nipigon Mines Property has used the grid line system to locate all the mapped outcrops.

8 - 6 - VII. RESULTS OF THE GEOLOGICAL SURVEY Geology Most of the outcrops are located in the south half of the property and more particularly in the southwest corner where about 80# of the outcrops are located. Outcrops, pit and trenches are abundant in the vicinity of the shaft. The north part of the property consists of low eskers and small swamps with suspected deep overburden. The rocks of the property are highly dominated by massive to pil lowed metabasalt interbanded with narrow chloritic schist and several horizons of iron formation (felsic tuff). The volcanics are intruded by irregular to semi-concordant masses of gabbro, diorite and porphyry dykes and are in contact to the South with a quartz monzonite stock. A north-south regional diabase dyke cuts all the above formations. The metabasalt occuring on the property is divided into three zones: 1) To the west of the shaft; the rock is medium green on fresh surfaces and light green to brownish on altered sur faces, fine grained, chloritized and mod. carbonatized with good pillow structures marked by highly chloritized rims. 2) In the vicinity of shaft; the rock contains abundant rusty spots (sulphide burns) and pillow rims are rusty due to disseminated pyrite. Also the rock is very hard (silicified), black, aphanitic and includes cherty zones between pillow). 3) To the East and South of the shaft: the rock is highly silicified, dark green to black, with pillow "centres" partially and/or completely replaced by epidote. Only one outcrop of porphyritic basalt has been observed on the grid (L8E/2200S). The feldspar phenocrysts measure up to 2 cm and form 15/6 of the rock.

9 - 7 - Narrow bands of chloritic schist are intimately associated with the basic volcanics. The contacts with the basalt are gradational and the zones include some irregular veinlets of quartz and carbonate. Oxide and sulphide facies iron formation is well exposed to the north and the north-east of the shaft. The rock is a fine to very fine grained volcano-sedimentary tuff consisting of alter nating beds of felsic (feldspathic), cherty and chloritic (argillaceous) material. The bedding is well developed and often marked by minor folding and faulting. A small quartz diorite body outcrops along the south side of the access road between line 32W to 26W. The rock is beige to light grey on altered surfaces with abundant rusty spots (sulphide burns) and concentrations along fractures. The rock is coarse grained, massive, homogeneous and composed of 70?6 feldspar, 20-30?6 mafics and up to IQji grey to bluish quartz. The gabbro is a medium green rock, coarse grained, massive and locally weakly magnetic. The unit is well marked by decreasing grain size at the contacts and by a rugged altered surface due to coarse pyroxene (amphibole) crystals occurring in positive f" relief. The diabase dyke differs from the gabbro by a light to medium grey colour, a well-developed ophitic texture and the rock is always highly magnetic. Other dykes on the property are associated with the porphyry group. They include quartz, quartzfeldspar and feldspar porphyry. The dykes are narrow, cannot be traced for more than a few meters and are marked by highly sheared contacts. The matrix is generally aphanitic, quite siliceous and the phenocrysts which vary from l to 4 mm don't exceed 25?i of the whole rock.

10 - 8 - A felsic intrusive, consisting of quartz-biotite-monzonite borders the metavolcanic belt to the south. The rock is pale to dark pink which becomes somewhat greenish near the contact with the volcanics. The unit is cut by abundant, fine grained mafic dykes, (3L) and large, up to 30 cm, sub-angular brecciated fragments occur in the monzonite. Mineralization The sulphides, pyrite, pyrrhotite and chalcopyrite, occur in all the rock types on the property in traces and semi-massive to massive concentrations. The occurrences have frequently been controlled by structures such as fractures and shear zones. Many showings, exposed by old workings such pits and trenches, have been sampled and examined in detail. L28WX1320'S: (17) LO/1470'S: (132) Trench on a strong to very strong shear zone. The rock is rusty, fractured, crumbly and the only visible minerals are carbonate, quartz, sericite, chlorite and limonite. The shear is intruded by irregular quartz-carbonate veins mineralized with pyrite-pyrrhotite (30?6) and chalcopyrite (1#). This zone is known as the 'West Showing' and it coincides with a good H.E.M. (1983) anomaly (cond. "G"). A grab sample which consists of quartz-carb.-sericite schist, with 1556 Po., 1056 py. and 1?6 cpy. as sayed: 1.48 oz/tonne AU., 0.46 oz/t Ag. and Cu. Contact zone between a chloritized mafic volcanic and a quartz-feldspar porphyry dyke. The contact is irregular and brecciated with a narrow (5 1 wide) highly oxidized zone apparently cutting the volcanic. The oxidized zone is mostly a fine grained quartz-carb.-sericite-chlorite assemblage with 10/6 pyrite-pyrrhotite and 1J6 chalcopyrite.

11 - 9 - A chip sample of the oxidized zone assayed: 1,700 ppb Au oz/t Ag., 0.21# Cu. No. H.E.M. correlation. L4E/500-S: (119) L14E/8+50S; (111) Contact between a mafic volcanic to the South and a felsic Tuff to the North: - The Iron Formation unit. The rock is a pale beige to light grey tuff, well-bedded and mineralized. The sulphides, mostly fine grained brecciated pyrite, up to 60?6 are closely associated with concordant quartz veins and also occur as narrow massive beds. Some disseminated pyr rhotite, chalcopyrite and magnetite have also been observed. This showing corresponds to the H.E.M. conductor "D". A grab sample col lected on a well-bedded section of tuff and sulphides assayed 95 ppb Au. The rock is a very fine-grained felsic tuff, light grey on the fresh fractures and rusty brown on altered surfaces. It is composed of narrow, alternating chloritized, cherty and felsic beds highly intruded by concordant quartz veins. Disseminated py., po., cpy. and up to 20/6 very fine grained magnetite occur in both quartz and felsic material. A H.E.M. strong conductive zone, called cond. "G", coincides with this outcrop. Minor folding and faulting are observed and could be responsible for the irregular shape (curves) of the anomaly. A geochemical assay from a grab sample return a value of 180 ppb Au.

12 L14EX2900'S: (173) L2WX2950'S: (183) Lew/2950'S: (191) Lew/3100'S: (192) The mineralization consists of 50# coarse-grained brecciated pyrite (locally up to 90?*) with minor pyrrhotite and traces cpy. The sulphides occur in a strong shear zone with quartz-carb. and little chlorite. The shear is 8' wide and the host rock is a fresh coarse grained gabbro. The mineralization appears to be pre- or syntectonic due to the presence of good continuous pyrite beds with deformation similar to the host rock. No H.E.M. conductor has been detected near this showing. A geochemical assay of a grab sample returned a value of 180 ppb. Au. The sulphides (S-15% py.-po, Tr. cpy.) are observed as narrow irregular veinlets and diss. grains in a^ quartz-carb.-chlorite-sericite east-trending shear zone. The host rock is a fine-grained schistose felsic dyke. Two grab samples sent for geochemical analysis gave no significant gold values. The show ing is directly located on a strong H.E.M. response of the conductor "J". fine-grained pyrrhotite as very fine veinlets (stockwork) and diss. grains occurring in a highly silicified basalt slightly sheared and brecciated. Some minor pyrite and very fine cpy. as a replace ment of pyrrhotite. The wall rocks are very highly oxidized. The shear trends N.W. and directly cor relates with the conductor "J". No significant gold values. S-20% py.-po. occurring in a N.W. trending shear. (Same system as 191). The host rock is a highly silicified basalt and the wall rock are also oxydized. The trench is located halfway (200 1 ) between conductors "J" and "K". No significant gold values.

13 LSW/3180'S: (193) L20WX3380'S: (56-A-B) The sulphides occurrence is the same as 192. The only notable change is the N.N.E. orientation of the shear zone. The trench is also located midway (200 1 ) between conductors "J" and "K" and there are no significant gold values. A mineralized quartz-carb.-sericite N.N.E. shear zone. The sulphides, 5-10^ py, po., occur in narrow irregular veinlets concordant with the shearing. The planes of shearing are locally fil led with cherty and graphitic material. The shear zone coincides with the strong H.E.M. response of the conductor "J" west. No significant gold values. Many other samples Which have been sent out for geochemical analysis, were selected on the basis of their location on H.E.M. conductors, alteration and the sulphide content. Table l lists all the samples sent for analysis. Structure The general trend of the volcanic belt is west-southwest for the major part of the grid. In the vicinity of shaft, the rocks trend southwest and dip to the North at Pillows have indicated that the rocks face North. Shearing and faulting appear to be prominent on the property and represent at least 2 different systems; One is parallel to the regional direction (240*) and is well-illustrated by outcrops located at L28W/1350S, L20W/3380S and L2W/2900S. The second system, presumably a later one, cuts the volcanic formation at an angle of 340" as indicated by outcrops located at L8E/2400S, L14E/2900S, L6W/3100S. It appears that shearing is a major control of sul phides on the property. Many concentrations of pyrite-pyrrhotite occur in quartz-carb-chlorite-sericite schists.

14 i 1S.: t'" 1- p r t. m 1 ^SAMPLE # LINE STATION GOLD ppb TABLE I SILVER COPPER ppm \ CORRELATION WITH H.E.M. COND (1983) f' *'"'' ii. f V J, f' i" Ir", l*' 1 i-- li T; i' r 1 tir 1: r i., t l 1 f l:;, i 1, t1 t r ^ A m 32W 30W SOW 30W 28W 28W 28W 28W 28W 26W 26W 26W 26W 18W 18W 20W 16W 6W 14E 4E 0 14E 2W 2W 2W 6W 6W 8W- 14E 1000 's 1350's 1400's 1400's 775's 650's 725's 1270's 1320' s 1350 's 1350's 1250's 1200's 900 's 1050's 3380 's 1775's 800 's 3000 's 500 's 1470's 2900's 2950's 2950's 3500's 2950's 3100's 3180's 850 's * * * 0.25 I. S ' I. S. 0.25* 0.2T I. S. O.OT Direct with Cond "C" 200 's of Cond "C" 250 's of Cond "C" 250 's of Cond "C" South Flank of "E" West Direct with Cond "E" West Direct with Cond "E" West Direct with Cond "C" Direct with Cond "C" South Flank of Cond "C" South Flank of Cond "C" Direct with Cond "C" North Flank of Cond "C" South Flank of "E" Direct with Cond "F" Direct with "3" West No correlation No correlation No correlation Direct with Cond "D" No correlation No correlation South Flank of "J" South Flank of "J" No correlation Direct with Cond "J" 200 'S. of "J", 200' N. of "K" 200' S. of "J", 200' N. of "K" - Direct with Cond "D" ill": 1; 1 *. t I. S. - oz/ton Insufficient Au sample - Results provided by Assayers Ltd, Rouyn, Quebec

15 The folding is also an important structural element on the property. The best examples could be seen on outcrops of the Iron Formations located at L20W/1300'S, LSW/SSO'S, L2WX900'S, L14EX850'S where a northwest fold with a 60 0 N.W. plunge is observed. This folding and also minor faulting has thickened the Iron Formation making the unit very difficult to trace from outcrop to outcrop. However, folding and faulting are directly responsible for the irregularities of H.E.M. axis locations of the different anomalies. VIII. RESULTS OF THE GEOPHYSICAL SURVEYS The results of the surveys are tabulated and assessed on Table II.

16 1 ''"'"W " ' :' ' ' j "1 : - "" l "*"V"' "~ W"e" y-:- ; mi**-" ±:'.f? f - -a^mmmllmmwpsii!^a]f!.^ta^lti;*'t*"f^'i'pijf'*^gw*^^ fji^-h--- -',i..:..-.., j n,,alf,ty,i^,,,:ta,,,,... -, rt,,,,, vj. -;.--i.-.yt^.f-.ff-,,,,,,,,!^.,:,,^. -^ -, - - ^ff^^^gfyj^fgaff,- Ifr. - - \^ TABLE IT 9 LOCATION FROM TO LENGTH AVERAGE EST. WIDTH INDICATED DIP H.E. M. INDICATED CONDUCTIVITY V.L.F. INDICATED CONDUCTIVITY MAGNETIC CORRELATION GEOLOGIC CORRESPONDENCE A A B B C C C (West) L22W/14N L14W/12+75N L2E/6N (East) L42E/3+50N (West) L32W/4+50S (Main) L12W/3+25S L12E/2N L20W/14N L4E/8N L34E/3+25N L50E/3+OON L16W/3+25S L8W/2+50S L20E/1+75S 200' 1,900' 3,250' 800' 1,600' Open West 400' 800' Narrow 65' 85' 45' 40' Narrow 50' 80 0 N N 80 0 N N N 7 Conformable ^?75 0 N Weak Strong Strong Strong Strong Weak Strong Weak along total length Weak-Mod. Mod.- L8W to L4W Weak-Mod. Discontinuous Weak Contineous "B" Weak-Mod. Discontinuous Very Weak Weak - Mod. Mod-Strong 100' North of Conductor Weak Background, Minor Trend Background, Minor Trend Mod. -Isolated Zone Series of Isolated Highs - dipoles As above Weak Background Basalt? N/O Basalt? N/O Basalt? N/O Basalt? N/O Basalt Basalt Basalt D L13W/4+75S D (East) L46E/2+OOS E (West) L32W/7S E L20W/8+25S F L24W/11+25S G L32W/10+50S H L8E/10S 1 (West) L24W/16+75S L34E/2+25S L54E/2+25S L24W/7+50S L8W/7+OOS L16W/11+75S L22E/9+OOS L10E/10S ' L18W/17S 5,250' 800' 800' Open West 1,200' Some East 800' 5,400' 200' 600' - 75' 50' 55' Narrow Extension (Weak) Narrow 50' Wider West Narrow Narrow N 80 0 N Conformable Conformable 7 Conformable 80-90" Conformable 7 Conformable Strong Moderate Moderate Weak-Mod. Strong on L16W Very Weak Very Strong West of L10W Very Weak Weak Mod. -Strong Weak Weak - Mod. Weak Weak Discontinues Mod. - Strong West of L10W Weak Weak Flanked by series of highs W of L12E Weak Background Strong Mod. - Strong Strong Narrow Zone Very Strong Mod. - Strong discontinuous Weak Qtz7Fdspr. dike in Basalts. Tuff 8. I-F in contact 9 Basalts Quartz Monzonite N/O Basalt - Mineral in trench - sulphides Basalt - Crosscut by Gabbro, Qtz./ Fdspr. dikes. Basalt - Gabbro Main Mineralized Zone. l. F. Tuffs. Area of Contact bet ween Tuff xfc Basalt Basalt

17 l-jsiitlfifliijlpiiiibiib^^ *., ;. - -,,--,*.,.j,.r -.,-j--..b7.^!.w, Br, M ixan.upjip.nyii,. ; -, ^ ;. : -.,..- -, "-' : '^ ' ' "' "' ' ' 7 - ' '"" : " '.^;-f*'f-". TABLE H ^k LOCATION FROM AVERAGE INDICATED H. E. M. INDICATED TO LENGTH EST. WIDTH DIP CONDUCTIVITY V.L.F. INDICATED MAGNETIC GEOLOGIC... CONDUCTIVITY CORRELATION CORRESPONDENCE 1 L2W/18+25S J (West) L20W/33+75S J L10W/29+50S J (East) L2E/27+50S K L12W/34+OOS K (East) LO/30S L L24W/31S - M L18W/19+50N N L22E/19N 0 L22E/17N LO/18+50S 200' L18W/32+50S 200' ' L2W/28+50S 800' L4E/27+50S 200' L2W/3UOOS L10E/30S 1,100' 1,000' L22W/29+75S 200' L26E/21N 450' Open East L26E/19N 450' Open East 7 Narrow 35' 40' 75' 55' Narrow Narrow 40' Narrow Narrow Weak 75 0 W Moderate 80"NW Strong? Weak - Mod. Conformable? Moderate Conformable N Weak Conformable Weak 80 0N Weak - Mod.? Weak Conformable? Weak Conformable Very Weak Weak Very Weak Very Weak Moderate Weak Very Weak Weak Weak Very Weak Isolated High Mag Zone Weak-Background Weak-Background Weak-Background Mod. Isolated Magnetics Strong Weak-Background Weak-Background Weak-Background Weak-Background Basalt Basalt Qtz. Veining with Sulphides Basalts altered at Qtz. veining Se some sulphides Basalt Basalt Some silification Basalt Massive Pillowed Basalts Basalt N/O Basalt? N/O Basalt? N/O SYMBOLS - Qtz. Quartz Fdspr. - Feldspar N/O No outcrop l. F. - Iron Formation

18 SUMMARY Twenty five distinct geophysical anomalies have been outlined by the H.E.M. survey. Anomalies A(w),A, B, B(e), C(w), C(Main), C, E(w), F, J(w), J, J(e), K, K(e), L, M, N, O, all occur in rocks mapped as mafic volcanics. Where outcrop concurs with the anomaly axes, shear and fracture systems of quartz, carbonate, chlorite and sulphides are usually present. It is expected that in the mafic volcanic rocks this type of veining, alteration, and sulphide mineralization of shears and fractures is the cause of the conductors. However, north of the baseline and to the east where deep cover and little outcrop have been observed, a case for a parallel, felsic volcanic/iron Formation, unit can be made. Anomalies A(w), A, B, B(e), may correspond to a covered felsic volcanic/iron Formation unit. This unit displays a general continuous character of moderately strong conductivity and a trend of moderately high magnetics. Anomalies M, N 4 O on the north part of the survey area appear as isolated conductors with minor magnetic correlation. Little" or no outcrop in this area.makes the nature of these anomalies more difficult to determine. It is most probable that these are caused by sulphide-bearing shears and fractures within the mafic volcanics. Anomalies C(w), C(m), and C are similar to 'M, N, and O 1 but a few local outcrops of the mafic volcanics lend more probability to their cause as being one of a discontinuous zone of sulphidebearing shears and fractures.

19 - 17- Anomalles E(w)S E, again appear to be a discontinuous zone of sulphide-bearing shears/fractures in the mafic volcanics which has been intruded by a gabbro Intrusive. Anomaly F occurs subparallel and a few hundred feet north of the inferred contact between the mafic volcanics, in which it occurs and the felsic volcanic/iron Formation to the south. It continues to the east into the gabbroic intrusive and although 1t is weakly conductive there are high magnetics associated with the west part of the anomaly located in the mafic volcanics. The cause of this is again sulphides in suspected shears. Anomalies J(w), J, and J(e) occur as a discontinuous moderately conductive zone located in the mafic volcanics. The zone has been intruded by several narrow quartz feldspar porphyry dykes and a gabbro dyke appears to separate anomaly J and J(e). Trenches fx along the length of the anomaly indicate altered shear zones with quartz-carbonate veining and up to ZW sulphide mineralization locally. Au assays from the zones are very low. Anomalies K and K(e), appear to be a discontinuous zone of weak to moderate conductivity. Strong magnetics are coincident with anomaly K and located to the south flank of K(e). The general area is characterized by shear zones in the mafic volcanics with associated sulphides and several trenches north of the anomaly have yielded low gold values. Anomaly L occurs as an isolated, weakly conductive, weakly magnetic zone located in the mafic volcanics most probably caused by a weakly mineralized shear.

20 Anomalies D, D(e), G, H, I(w) b l appear to be more closely associated with the felsic volcanic/iron Formation units. Anomaly D with a length of almost l mile passes from mafic volcanics in the west, through tuffs and Iron Formation in contact with the mafic volcanics in the central portion to its eastern limits where it crosscuts the diabase intrusive and then passes into an area of no outcrop. Strong conductivity and discontinu ous high magnetics characterize the zone. Very wide widths suggested by the H.E.M. suggest this zone may be coincident with the Iron Formation for a substantial part of its length. On the eastern and western limits, the zone may be reflecting a mineralized contact or shear zone as widths, conductivities and magnetics significantly lessen. Some minor Au values have been detected in trench samples from the zone. Anomaly D(e) is located in an area of no outcrop which has been interpreted as quartz monzonite. It is suspected that this zone of moderate conductivity is associated with a sulphide-bearing shear, which may be the extension of anomaly 'D 1. Anomaly G, which extends for more than one mile in length, exhibits a strongly conductive, and highly magnetic character typical of the underlying Iron Formation. This anomaly weakens where it is crosscut by gabbroic and diabase intrusives in the central portion. Samples from trenches on the western part of the zone have yielded economic Au values. Anomaly H appears to be a subordinate, subparallel zone to Anomaly G, closely associated with the Iron Formation. Anomaly I(w) is generally coincident with the old shaft located near the surface expression of the known A, B, C S D veins. f'

21 The anomaly is a weak conductor and has little or no magnetic correlation. The veins were typically vein quartz with free gold located in a host shear zone of biotite-chlorite-schist with or without sulphide mineralization. Anomaly I to the east in the mafic volcanics may be an extension of I(w) but is more likely a separate shear with minor disseminated sulphides. IX. CONCLUSIONS 8. RECOMMENDATIONS The Tashota property is located in an extremely favourable volcanic environment in contact with a quartz monzonite stock. Metabasalts, interbanded with chloritic schists and prominent iron formation are the host of fifteen (15) electromagnetic ano malies which are caused primarily by sulphide (po. py. cpy.) mine ralization. Limited mining has been carried out on the property * producing an average mill head grade of 0.24 oz/ton Au. This orebody appears to be open at depth and along strike to the east and west. Anomalous gold values have been found, from the surface sampling survey, adjacent to the old area of production. An anomalous gold value has been found on one other zone to the south. All geophysical anomalies should be tested by surface trench sampling where possible and/or by drill testing. It is recommended that core sampling should be done over the entire length of the holes until a good correlation between gold values, sulphides and rock type is established (N.B. - The gold may not necessarily be associated with the sulphides causing the H.E.M. anomalies).

22 PROGRAM 1) Trenching S Sampling of Electromagnetic Conductors $ 5,000. 2) Diamond Drilling a) Phase I To test lateral and depth extensions of the known gold zones - 20,000 ft 1500,000. b) Phase II To test electromagnetic conductors - 5,000 ft S Detailed follow-up of promising results from above - 5,000 ft. S125,000. S755,000. Respectfully Submitted Toronto, Ontario September 1983 D. S. McPHEE For FLANAGAN McADAM and CO.

23 - i - Appendix l Tashota - Nipigon Mini Patented Claims Unpatented Claims KK 522 KK 523 KK 524 KK 525 KK 526 KK 536 KK 537 KK 562 KK 563 KK

24 Appendix 2 The following table lists the conductive zones located in the 1976 surveys..anomaly From To Length Conductivity Magnetic Correlation 1 2 L32W 1100S L18W 1470S L16W 1200S L12W 1425S 1600' 600' Fair Fair C C 3 4 L 4W 425S L 8W 630S L 4E 375S L12W 520S 800 '* 400' Fair Fair C N 5 6 L44W 480S L36W 550S L26W 370S L30W 500S 1300' 600' Poor-Fair Poor X X 7 L36W 700S L26W 7 DOS 1000 ' Poor F 8 L 8W 150S Single Line Poor F 9 L 4W 520S Single Line Poor F 10 L 4E 630S Single Line Poor C L 4E 740S L 2W 900S Single Line Single Line Poor Poor C F 13 L16W 900S Single Line Fair C F - Flanking Magnetics N - No magnetic Correlation X - Cross-Cutting Magnetic C - Corresponding Magnetics

25 - iii - REFERENCES Derry, D.R Report on Proposed Exploration Programme on Tashota-Nipigon Mines limited Property. (Company Files) Consultants,D.S.M Tashota-Nipigon Mines Limited Caugnlan Lake Property. Flaherty, G.F Geologic Structural Features Pertinent to Ore Development at Tashota Goldfields Limited. (Company Files) Flaherty, G.F Mechanics of Structure at Tashota Goldfields Mine, Tashota, Ontario. C.I.M.M. Trans. Vol. 39. Goodwin, A.M Archean Volcanic Studies in the Lake of athe Woods - Manitou Lake - Wabigoon Region of Western Ontario, O.D.M. - Open File Report Hopkins, A Geological Report on the Onaman Mineral Belt. (Company Files) Hopkins, P.E Progress Report on Onaman Property of Hedway Red Lake Gold Mines Limited. (Company Files) Moorehouse, W.W Geology of the South Onaman Area. O.D.M. Vol. 47, Pt. 8. Tindale, J Summary Report on the Property of Tashota - Nipigon Mines Limited, Onaman Lake, Ontario. (Company Files) Thurston, P.C Geology of the Northern Onaman Lake Area. O.G.S. Report 208.

26 42L03SW COUGHLAN LAKE 020 TASHOTA-NIPIGON MINES LIMITED DIAMOND DRILLING - OCTOBER 1983 FOOTAGE DRILLED223I FEET CORE SIZE B.Q. CORE STORED IN SHED ON CLAIM K.K. 536 DRILLING BY: NORWESCON DEVELOPMENT LIMITED

27 ip,,,,^^.. :,-,r,^-^ -,,,,,,. r,,,,,,..,-,.. : ;:i.,. ^^- ^ ^ ffisfflbaseei^^ " ' *- DIAMOND DRILL RECORD Logged by Rick Middaugh Footage from To DESCRIPTION t Overburden p*-i*)*f.(s^.j-i!i^j5w'!pl^!;^ S Hole No. T-l-83 Start Fini Sheet No. 1/3 Oct. 6/83 Oct. Sample Au. Ag. No. From To Length oz/ton oz/ton Dark green fine grained mafic volcanics (tuffs?) Quartz veins with quartz rich tuffs? 30-50Z po py Dark green volcanics as above Massive po py section in top two feet shists (tuffaceous sediments? present Quartz veins with porphyry with chloritic/graphitic) Dark fine grained tuffs with quartz eyes Dark grey, quartz feldspar porphyry nil nil nil nil Contact gradational with above unit fine grained grey green blue quartz - eye lapilli tuff horizon (quartz porphyry?) Contact gradational with above unit Fine grained dark grey-brown metasediments contains grey coloured more siliceous almost cherty horizons up to 1.5 inches thick minor po py beds one 4" bed po py at 28.5 thin green chloritic beds (grey-brown sections are coarser grained and probably represent dirty volcanogenic metasediments) Quartz rich pink aplite dyke minor po py at contacts otherwise barren Metasediments as above some areas contain minor blue quartz-eye lapilli such as at 40.0 fine grained chloritic units often exhibit soft sediment deformation such as at nil nil nil nil nil 0.01 S t Altered green coloured diorite trace ruby sphalerite. FI

28 From Footage To DIAMOND DRILL RECORDS Hole No. T-l-83 Sheet No. 2/3 Sample Au. Ag. DESCRIPTION No. From To Length oz/ton oz/ton Green coloured altered quartz 'porphyry grades into next unit. minor blue quartz eyes Dark grey to blackish metasediments with some blue quartz eyes such as at 68.0 and 78.0 quartz vein at 84-85, , and veins esentially barren except for minor po py associated with contact area and any included host rock fragments as Nil 0.01 in Fine grained dark green volcanics as above. Gradational contact with above unit dark grey metasediments contains more siliceous grey coloured fine grained beds These are associated with thin po py bands. Gradational contact with above unit greywacke Metasediments minor po py. crossbedding at unit has thin green beds Metasediments greywacke as above. Thin bedded fine grained light green and grey units tuffaceous - sediments - shows soft sediment deformation and micro faults Fine grained green massive Volcanics light green alteration (carbonitizatlon?) random quartz carbonate stringers present a later quartz with po py stringers also present Fine grained green massive volcanics as above but contains lighter grey coloured siliceous beds with up to massive po py minor cpy sections cpy seems to be later than po py Quartz vein with po, py, cpy

29 Footage From To DESCRIPTION DIAMOND DRILL RECORDS Hole No. T-l-83 Sheet No. 3/3 Sample Au. Ag. No. From To Length 02 1 ton oz/ton Underground workings of the old Tashota Mine End of Hole. NO DIP TEST TAKEN. F3

30 **** E* /* - '** Logged by Rick Footage From To Middaugh DESCRIPTION DIAMOND DRILL R E CO R D S Sample No. From To Length Hole No. T-2-83 Start Finish Sheet No. 1/2 Oct. 8/83 Oct. 10/83 Au. Ag. oz/ton oz/ton Overburden Fine grained green volcanics and tuffs Grey medium grained slightly prophyritic diorite Fine grained green volcanics and tuffs 6" section at top of unit semi massive po py trace cpy some sections contain cherty horizons characterized by light grey colour and fine grained po, py such as at This is particularly true in lower portion of the unit Grey feldspar porphyry Fine grained green volcanics and tuffs 69 to 93 has bands of po py and some magnetite Some tuffaceous sediments present in unit Fine grained green grey to black banded tuffs and sediments po py and magnetite present soft sediment deformation evident Fine to medium grained dark green volcanics quartz/carbonate stringers minor po py - 4" quartz vein at Grey fine to medium grained feldspar porphyry Massive fine grained dark green volcanics Banded grey green to black tuffaceous sediments with po py contact gradational with upper unit Z po py in black chloritic graphitic? tuffs Banded as above unit magnetite and cherty beds also present

31 Footage from To DESCRIPTION DIAMOND DRILL RECORDS Hole No. T-2-83 Sheet No. 2/2 Sample Au. Ag. No. From To Length oz/ton oz/ton Banded tuffaceous sediments as'above with massive po py sections 233 to 233.6, to and to Quartz eye feldspar porphyry occasional quartz eye some foliation developed partially extrusive? Banded tuffaceous sediments as above an occasional blue quartz eye lapilli present in lower portion Gradational contact with above unit Quartz eye (lapilli) feldspar porphyry (extrusive) Banded tuffaceous sediments as above quartz and feldspar lapilli present Fine grained dark green to brown volcanics and tuffs End of hold. NO DIP TEST TAKEN F5

32 Logged bv Rick Mlddaugh Footage From To DESCRIPTION DIAMOND D RI LL RECORDS Hole No. T-3-83 Start Finish Sheet No. 1/1 Oct.13/83 Oct.14/83 Sample Au. Ag. No. From To Length oz/ton oz/ton O 8.0 Overburden Fine grained massive dark green volcanics occasional random quartz/carbonate stringers minor po py core is slightly darker in colour and medium grained at Grey tuffaceous sediments soft sediment deformation evident with up to 202 po py. unit contains some minor poorly developed lapilli (porphyry?) tuff sections such as Nil N.D Dark green massive volcanics as above Fine grained volcanic tuffs and sedimens Unit contains numerous quartz/carbonate stringers minor po py dark green to brownish grey in colour Quartz-eye lapilli tuff minor po py contacts with surrounding units. gradational , A Fine to medium grained dark green volcanics and minor sediments 3" chloritic bed exhibiting soft sediment deformation at minor po py Vuggy sections with epidote and py cubes at and " quartz vein at Nil Tuffaceous horizon with 50Z po py soft sediment deformation evident Fine grained grey green volcanic tuffs and sediments. Light grey brown medium grained feldspar porphyry foliation developed minor po py along foliation planes. End of hold. NO DIP TEST TAKEN F6

33 TASHOTA-NIPIOON MINES LIMITED From Logged by Rick Middaugh Footage To DESCRIPTION DIAMOND DRILL RECORDS Sample Au. Ag. No. From To Length oz/ton oz/ton Hole No. T-4-83 Start Finish Sheet No. 1/2 Oct. 16/83 Oct. 17/ Overburden Broken up fine grained dark green volcanics (boulder?) Broken up feldspar porphyry (boulder?) Fine grained light grey metasediment s with minor po py Fine to medium grained light green volcanics fairly extensive pink quartz veining with minor associated po py Between 53.0 and 74.0 there are some raetasediraentary beds with thin po py bands associated with them. From 105 to unit contains some blackish chloritlc/graphitic metasedimentary beds with thin po py bands associated with them. Soft sediment deformation exhibited. Shears at 105 and 106 minor po py milky white barren quartz veins at 88.2 to 90.0 and to Medium grained dark green volcanics with feldspar phenocrysts (feldspar porphyry?) Medium grained dark green volcanics Gradational contact with above unit unit contains more siliceous metasedimentary beds associated with po py beds the heavier the sulphides the more siliceous the host from to Vuggy epidote rich section Granitic complex light pinkish grey in colour. Crystals not distinct but rather a blurred appearance Highly altered raetasediments as above F7 JL78.7 Granitic complex as above.

34 If'"'*' ^ v-*i-, From Footage To DIAMOND DRILL RECORDS Hole No. T-4-83 Sheet No. 2/2 Sample Au. Ag. DESCRIPTION No. From To Length oz/ton oz/ton Fine to medium grained dark green volcanics Granitic complex as above. Fine grained dark green volcanics contains many fine hairline wavy quartz/carbonate veins. Granitic complex as above. Fine grained dark green volcanics. Light greyish white granitic complex. Highly altered fine grained dark green volcanics. Granitic complex as above. Highly altered volcanics as above. Granitic complex as above. End of hold. NO DIP TEST TAKEN. F8

35 - ~~* -** n*. ' From Logged by Rick Middaugh Footage To D E S C R I P T I 0 N.DIAMOND DRILL RECORDS Hole No. T-5-83 Start Finish Sheet No. 1/2 Oct.11/83 Oct.12/83 Sample Au. Ag. No. From To Length oz/ton oz/ton Overburden., Massive fine grained dark grey green volcanics many random hairline quartz/carbonate stringers. Dark grey quartz eye feldspar porphyry quartz eyes are blue while the feldspar is whitish in colour unit fairly siliceous trace po in parts of unit contacts fairly sharp and they appear somewhat sheared, Massive fine grained volcanics as above Two po py quartz/carbonate bands at 41.6 to 42.1 and 42.6 to 43.0 unit contains minor tuffs/sediments from 63.4 down section heavy po py with quartz between 59.2 to Volcanogenic sediments green chlorictic beds present Grey green cherty beds banded with black magnetic beds (up to h" thick") unit shows soft sediment deformation Many random quartz carbonate stringers magnetite beds less well developed down section unit grades from sediments to volcanic tuffs 93 to 103 contains areas of po py up to 10" thick Massive fine grained volcanics contacts very gradational 'l Volcanogenic sediments as above Massive green volcanics as above. Quartz vein sections to and to quartz is milky white and barren N.D. N.D Dark grey-black quartz feldspar porphyry partially extrusive? lapilli horizon? poorly developed.

36 p*--,*.^.abutts.-!*,.-.-..~*~ - 1 ':,- *., t- *UM.I,:.. *..,^,..-,N,,,f,j.. -,..-,i^u,^wv-5^ ~SMW-rT*WW^!WSW -"--- "s " ":: ~ ~ - ' "'i i--- " - - : - ' ; ". - :,- ' ~ J ' - " - :- -*. -? -. ' ; s! ' z ^ : - r ~. : -:. - -j -i. Prom * Footage To DESCRIPTION DIAMOND DRILL RECORD S Sample No. From To Length Hole No. T-5-83 Sheet No. 2/2 Au. Ag. oz/ton oz/ton Dark green volcanic tuffs and sediments as above minor po py Dark grey feldspar porphyry intrusive sharp contacts Massive fine grained volcanics as above Feldspar porphyry as above Fine grained volcanics as above Quartz vein tr cpy tr sph sharp contacts Volcanogenic tuffs and sediments as above more tuffaceous sections contain more po py such as at to last 4-5 feet of unit more sedimentary as bedding is much better developed. Unit in this area is more brownish in colour Light grey medium grained diorite quartz veins within it minor po py Quartz eye feldspar porphyry. This unit definitely shows extrusive characteristics. Bedding well developed and gradational contact with lower unit Volcanogenic tuffs and sediments as above Medium grained diorite no po py present slightly darker than above unit sharp contacts Volcanogenic tuffs and sediments as above End of hold. NO DIP TEST TAKEN. F10

37 " : *VT'T.r~-"- f-: v"" V "-. " Logged by From Footage To.^,^.. J.,.,...,..^. a-,..,, ,,r..-...^ ,.^..,.^. - ^... ) -..,.-^--:^.M^riMff^M^*.gi^a.:l^ "V**" DIAMOND "DRI Z L. RECORDS Hole No. T-6-83 Start Finish Rick Middaugh Sheet No * Lf3 Oct. 19/83 Oct. 21/83 Sample Au. Ag. DESCRIPTION No. From To Length oz/ton oz/ton Overburden. Badly broken up feldspar porphyry (boulder?) Badly broken up grey green fine grained volcanics. Fine grained volcanics as above barren quartz veins up to 4" random quartz/carbonate stringers minor po py lower part of unit more tuffaceous sediments. Gradational contact with above unit dark grey medium grained quartz feldspar porphyry partially extrusive? lower contact fairly sharp foliation (bedding?) fairly well developed in parts of the unit. Fine grained massive dark green volcanics random hairline quartz/carbonate stringers common minor po py usually associated with these stringers. Some thicker stringers present with very minor cpy present along with po py. Fine grained thinly banded cherty magnetite iron formation grey to black minor po py associated with random quartz/carbonate stringers 3" dark feldspar porphyry vein between 86.2 and Iron formation with massive po py sections in lower part of unit fine grained chloritic bands are present showing soft sediment deformation Fine grained dark green volcanics as above. Massive sulphide po py horizon " quartz vein at " quartz vein at Fll

38 ,,,.,-.:. Prom Footage To DIAMOND DRILL RECORDS Hole No. T-6-83 Sheet No. 2/3 DESCRIPTION Sample No. From Au. Ag. To Length oz/ton oz/ton Fine grained dark green volcanics as above 3" sulphide po py section at Quartz/ eye - feldspar porphyry foliated Nil minor po py (lapilli Horizon?). Fine grained grey brown tuffaceous sediments minor po py. Fine grained volcanics and tuffs to poorly developed lapilli horizon (porphyry) to well developed bedding minor po py decreasing up section F Cherty and magnetite banded iron formation Magnetite decreases down section unit grades into tuffs and lapilli tuffs with minor po py associated with random quartz carbonate stringers Quartz eye feldspar porphyry (lapilli Horizon) Fine grained banded grey-brown and green chloritic tuffs and metasedintents minor po py along bedding planes and associated with quartz/carbonate stringers Quartz eye feldspar porphyry lapilli horizon well foliated Minor sulphides Fine grained banded tuffs and sediments as above cherty sections contain minor po py and an occasional blob of cpy to fine grained green volcanics Fine grained banded tuffs and minor green chloritic metasedlmentary beds