RECEIVED. Power-stripping Program. APR Mishi Property. Mishibishu lake Area. Sault Ste. Marie Division. April 19, M.A.

Transcription

1 Power-stripping Program RECEVED APR Mishi Property Mishibishu lake Area Sault Ste. Marie Division April 19, 2010 M.A. Tremblay Goulais River, ON

2 Table of Contents ntroduction pg 1 Ownership & Claim Status 1 Location & Access 1 Previous Work 2 General Geology 4 Economic geology 4 Power-stripping Program 5 Results & Recommendations 7 Certificate 8 List of Figu res General Location Map after pg 1 Claim Map 2 Trench Map after pg 3 List of Tables Sample Descriptions after pg 7 Daily Logs after pg 7

3 ntroduction The Mishi Property consist of 2 claims (16 units), located immediately east of the Magnacon Mine & Mill Complex of Wesdome Mines, in the Mishibishu Lake Greenstone Belt, Sault Ste. Marie Mining Division, Northeastern Ontario. A small power stripping program was carried out on the property in March 2010 by M T Enterprises of Wawa, Ontario, under the direct supervision of the author. Ownership & Claim Status The property is owned jointly by the author and J. Robert and is subject to an option agreement with Avaranta Resources Ltd of Toronto, Ontario. The following is a list of the claims, sizes and Due Dates: units April 20, unit November 11, 2010 Location & Access The property is located 40km west of Wawa, Ontario, in the Mishibishu Lake Area, Sault Ste. Marie Mining Division, District of Algoma, Northeastern Ontario. The property lies within NTS Sheet 42C/03 and centered on UTM co-ordinate rnE mN. Vehicular access to the property is gained from Highway 17 North, 50 km north of Wawa, then west 50km along the Paint Lake

4 '" t ONTARO ~ QUEBEC till L...,...,. c.n.kto" [J ldngf<k U.S.A. U.S.A. o Scale FGURE 1 Figure 1. Regional-scole map showing the location of the Mishibishu Properties.

5 Road to the Magnacon Mine & Mill complex, then east along Mishibishu East Road for 5km where old tractor roads lead south-east through the heart of the claim block. Previous Work The Mishibishu area has seen sporadic exploration since the early 1900s through to about 1935 when high grade gold was discovered north of Mishibishu Lake. n 1937 Hollinger Consolidated Mines, Macassa Mines and Erie Canadian Mines carried out prospecting, stripping, trenching and diamond drilling on their properties. Parts of the Erie Canadian claims covered the subject property. Erie Canadian noted shearing and quartz veining. n the 1980's, the discovery of the Hemlo orebodies led to a large influx of investment in gold exploration in the region. Most notably in the vicinity of the Mishi Property, was the development of the Magnacon Mine and the Mishi Pit deposit, both located on strike to the west along the Mishibishu Lake Deformation Zone. The Magnaton had published reserves circa 1990s of 8g/t while the Mishi Main zone comprised 4g/t. Wesdome Mines operates the Eagle River Mine 15km south of the property where they have to date produced over 800,000 ounces of gold. Ore from Eagle River is milled at the Magnacon Complex. Wesdome is currently evaluating the possibility of a fourth phase of mining at the Mishi Pit. Beginning in 1983, MacMillan Energy conducted, solely and later with partner Granges AB, numerous exploration programs including airborne surveys, linecutting, prospecting, soil geochemistry, geology and diamond drilling on their Mishi Project, which included the subject property and close to 1000 claims to both the east and west of

6 Lln.lZ-16 """""" the Muscocho-Magnacon properties. On the Mishi North Grid they intersected the 'Mishi North zone' in hole M-166 with a value of 4.2g/0.9m. Hole M-166 is located on the subject property. Granges also discovered the Katzenbach and University River Zones eastsoutheast of the Mishi Property. Work carried out on the Mishi Property to date includes a power-stripping project by the author and J. Robert in 2005 and an airborne survey by Norcanex in 2006/2007. A small prospecting project in 2009 was carried out by J. Robert and the author.

7 General Geology The Mishi property is located within the Mishibishu Lake Greenstone Belt, and Archaean aged metavolcanic-metasedimentary complex. Both metavolcanics and metasediments have been intruded by basic and felsic intrusives. The basic intrusives within the belt range from ultrabasic sills to bodies of gabbro and quartz-diorite. The felsic intrusives in the area include feldspar porphyries, quartzmonzonites, granodiorites and syenites. The most prominent of the intrusives is the Mishibishu Lake stock, which is a body of massive prophyritic monzonite. t intrudes the volcano-sedimentary rocks around Mishibishu, Mishi and Katzenbach Lakes. The north contact of the stock occurs around the south part of the subject property. The stock is roughly oval in shape and covers an area of approximately 11 square miles. All units in the area are cut by a series of late diabase dykes ranging in width from several centimetres up to 60m. Economic Geology The Mishibishu Lake Deformation Zone (MLDZ) is a strongly deformed and altered volcano-sedimentary package that trends northwest and averages 150m wide along its 16 km strike length. The general dip of the rocks and the deformation zone is moderate (40-45deg) to the northeast. Within the zone, the strong deformation obliterates most original rock textures, producing highly schistose rocks of varying composition. Alteration assemblages are quartzchlorite-carbonate, quartz-chlorite-sericite and quartz-sericite schists. Gold mineralization within the MLDZ occurs in two forms: within

8 siliceous mylonites and as gold bearing fractures within deformed quartz-ankerite veins. The mylonitic zones contain anomalous values but the high grade values appear to be restricted to quartz-carbonate veins, which are commonly found within sericite, green mica and ankerite rich areas. The quartz and quartz-carbonate veins are mineralized with pyrite, pyrrhotite, arsenopyrite, rare sphalerite, rare galena and visible gold. Sphalerite and galena appear to be restricted to the highest grade sections. Gold production within the Mishibishu Lake greenstone belt is in roughly 900,000 ounces, all of which was produced within the past 25 years Power Stripping Program M T Enterprises of Wawa were engaged to carry out a small power stripping program over an area containing old pits in pyritic

9 2010 powers tripping at Erie Canadian Showing quartz ankerite veining. The area is believed to be the old Erie Canadian showing (circa 1936). An area 75m by up to 15m was uncovered around the old trenches. Two different orientations of veining were uncovered. Due to the dry and frozen conditions at the time, power-washing was not possible. A 4 by 6m sump was excavated for washing at a later date when conditions permit.

10 East-northeast trending quartz-ankerite 54mS 2010 powerstripping program Results & Recommendations Quartz veining with pyrite and rare chalcopyrite and alteration similar to that at the nearby Magnacon and Mishi mines was uncovered during the 2010 program. Two orientations were noted during examination of the stripped area, however power washing is required to map these shears and faults in detail. A drill collar noted in the 2009 program is likely DDH M-166 which had an intersection of 4.2 g/t/0.9m. The orientation of the strongest mineralization in the stripped area was not likely tested by this hole.

11 Hydraulic washing of the strip, followed by channel sampling is strongly recommended prior to a more comprehensive program of geological mapping, prospecting geophysics and diamond drilling if the sampling warrants. April 19, 2010

12 Certificate, Michael Alexander Tremblay, of Fenwick Township, District of Algoma, do hereby certify that: 1. am a graduate of the Sault College AAT Geological Engineering Program (1983) and that have worked in mineral exploration continuously since graduation. 2. have a 50% interest in the subject property. 3. was present and directly involved in the project. 4. This report and the recommendations are based on personal observations and the study of all available technical data. Fenwick Township April 19, 2010 M.A. Tremblay

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15 Jim Mcauley Geoscience Assessment Ofiice 933 Ramsey Lake Rd-3rd Floor Sudbury, ON P3E 6B5 June 30, 2010 rew M.A. Tremblay 1078 Mission Road Goulais River, Ontario P0S 1E0 tel/fax: , c: The mechanical stripping was undertaken by MT Enterprises of Wawa. Michel Poulin is the owner/operator of MT Enterprises. The pricing of the job was negotiated as $1500/d. 've used Mr. Poulin in the past and was satisfied that would get my monies worth, and that it would be worth his while to undertake such a small job in such a remote location. His time breaks down as follows: March 27, :00-6:30am -Load machine and pickup on float 6:30-9:30 am -Float equipment to Magnacon Tailings Dam 9:30-12:00pm -unload walk machine to job site 12:00-6:00pm -mechanical stripping 6:00pm-8:30pm -demobe to home(wawa) March 28, :00am-8:30am 8:30am-4:00pm 4:00pm-6:00pm 6:00pm-9:00pm -mobe to site mechanical stripping walk machine to float load equipment-float to back to shop(wawa) MT Enterprises spent roughly 30 hrs on the job for a total of $3000, equal to $100/hr. My own time on this stage of the work was: March 27,2010 8:00am-9:30am mobe to Magnacon Dam 9:30am-3:45pm supervise stripping operations 3:45pm-6:00pm demobe to Wawa

16 March 28, :00am-10:00am 10:00an-4:00pm 4:00pm-6:00pm mobe to site supervise stripping operations demobe to wawa Yours, trust this will be an adequate accounting of the time spent on this project. Mike Tremblay

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