REPORT ON. (Red-Chris Property) Ealue Lake Area, Liard Mining Division 57"45'N 129"45'W' 104 H/12W
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1 REPORT ON DAMOND DRLLNG on the CHRS 2 and CHRS 4 MNERAL CLAMS fl (Red-Chris Property) c Claim Owners: 0 pe ra to r : Ealue Lake Area, Liard Mining Division 57"45'N 129"45'W' 104 H/12W by J.M. Newell, P.Eng. Great Plains Development Co. of Canada Ltd. Silver Standard Mines Ltd. Texasgulf Canada Ltd. Texasgul f nc. Vancouver, B. C. August, MNERAL RESOURCY.5 DZANCH NO. m
2 . NTRO DUCT ON TABLE OF CONTENTS SUMMARY PROPERTY LOCATON, ACCESS AND TERRAN HSTORCAL OUTLNE 1978 DAMOND DRLLNG PROGRAMME CONC LU S ONS B OG-WP HY BL - PAG E APPENDCES APPENDX A DAMOND DRLL LOGS Holes 68-C78 to 72-C78 APPENDX B, STATEMENT OF EXPENDTURES APPENDX C STATEMENT OF QUALFCATONS Fig. 1 Fig. 2 Fig. 3 LST OF FGURES Location Map Property Claim Map Drill Hole Location Plan follows page 1 follows page 1 follows page 2
3 r- SUMMARY NTRODUCTON This report sumnarizes the results of a diamond drilling programme completed on the Red-Chris Property during June Work was conducted by Texasgulf nc. on behalf of Texasgulf Canada Ltd., Great Plains Development Company of Canada Ltd. and Silver Standard Mines Ltd. A total of metres of diamond drilling, in five holes, was completed during the 1978 program. Drilling was contracted to D.W. Coates Enterprises Ltd. of Richmond, B.C. who employed a diesel-powered Boyles BBS-1 wi re1 ine rig, recovering BQ core. PROPERTY LOCATON, ACCESS AND TERRAN The Red-Chris property, comprising 241 mineral claims, fractions and MGS units, is located northwest of Kluea Lake, some 20 km southeast of skut Village at approximately latitude 57"45'N, longitude 129'45'W (see Location Map: Fig. 1 and Property Claim Map, Fig. 2). Access is by helicopter from the Stewart-Cassiar Highway at Tatogga Lake or Eddontenajon, or by bulldozer trail leading southward from the 6.C. Railway access road west of Ealue Lake. vehicles only. HSTORCAL OUTLNE This trail is passable for tracked Mineral showings have been known for many years in the area lying between Kluea and Ealue Lakes. The present phase of exploration activity on these prospects began in 1969, when Great Plains Development Company of Canada Ltd. located the Chris and Money claims. Programmes of geological mapping, geochemical soil sampling, magnetic and induced polarization surveys, followed by trenching and diamond drilling, totalling 1230 metres in ten holes, were completed by Great Plains during the period The Red and Sus claims were located by Silver Standard Mines Ltd. in Geological, geochemical and geophysical surveys, followed by bulldozer trench'ing were completed in 1971.
4 ARMADLLO PEAK lllslon 31A
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6 Ecstall Mining Ltd., now Texasgulf Canada Ltd., became interested in Silver Standard's property in An option agreement was negotiated and a percussion drilling programm, totalling approxiamtely 900 metres in 14 holes, was completed. nitial results were encouraging and a mre thorough exploration program was proposed. n 1974, an agreemnt was negotiated with Great Plains whereby the Chris and Money claims were pooled with the Silver Standard and Ecstall holdings. During the period further geological, geochemical and geophysical surveys were undertaken and a total of 67 diamond drill holes and 30 percussion drill holes were completed, aggregating 12,265 metres and 2,280 metres respectively. As a result of this work, two zones of significant copper-gold mineralization were outlined; the broad, low-grade Main Zone and the much smaller, but higher grade East Zone. Comnercial production from these zones was not feasible under economic conditions prevailing in 1976, but it was apparent that the potential of the property would be enhanced if the tonnage of higher grade material, accessible to open pit mining, could be increased. To this end, a programme of bedrock surface geochemical sampling was completed over the Main Zone in 1977 in an attempt to define higher grade zones at the sub-outcrop. Anomalies defined by this work were tested by the 1978 drilling program forming the subject of this report DAMOND DRLLNG PROGRAMME Results of the 1978 diamond drilling programme were disappointing. high grade mineralization, comparable in tenor to the East Zone, was intersected. Geological and assay data are summarized in the drill logs included as Appendix A of this report. Drill hole collar locations relative to claim boundaries and previous No
7 0 DDH41 D3H 42 kj DDH 30 DDH 22 ODDH 23 0 CHR/S 2 OPUH ,000 N - 255,000 N ODDH 27 DDH 26 0 ODDH 2o DDH 71 8 PDH 42 CHR/S 4 OPDH 4' 0 Holes drilled prior to drill holes -254,000 N Texasgulf nc. 1 RED - CHRS CLAMS DRLL HOLE LOCATONS '78 Scolo n Foot
8 - 3- drill sites are shown on the Drill Hole Location Plan (Fig. 3) following page 2. t should be noted that core was logged in mperial units, to conform with data obtained prior to metrification. All core, from this and previous drilling programmes, is stored at the camp site, on the property. CONCLUSONS The new data obtained in 1978 do not alter earlier geological interpretations in any significant way, however they do indicate that higher grade mineralization intersected at depth in earlier drilling on the Main Zone, cannot be projected upwards to the sub-outcrop. The estimated tonnage of mineralized material available to open pit mining on the Main Zone, has been reduced by approximately 4%, the average grade remains unchanged and the stripping ratio has become slightly less favorable. The Red-Chris Property remains a significant copper resource, but cannot be considered an ore reserve under prevailing economic conditions. J.M. Newell, P.Eng.
9 BBLOGRAPHY Chaplin R.E. Forsythe, J.R. Forsythe, J.R. Forsythe, J.R. and Peatfiel d, G. R. Leitch, C.H.B. and Newell, J.M. McAusland, J.H. Panteleyev A. Assessment Report Report on nduced Polarization Survey, Red & SUS Mineral Claim Assessment Report Report on Geophysical Surveys, Percussion & Diamond Drilling, Chris, SUS and Red Mineral Claims Assessment Report Report on Geochemical Bedrock Surface Sampling and nduced Polarization Surveys, Red, SUS, Chris & Money Mineral Claims. Assessment Report Report on Percussion & Diamond Drilling, Chris, Red & Cougar Mineral Claims Assessment Report Report on Diamond Drilling Red & Chris Mineral Claims Assessment Report Report on Geochemical Soil Sampling Survey, SUS Mineral Claims "Chris, Red, SUS, Windy Property.'keology in British Co1umbia:'B.C.M.M "Red-Chris Deposit" Geological Fie1 dwork, B. C.M. M Reynolds, N.W. Assessment Report Report on Geochemical Soil Sampling Survey, Money Mineral Claims Assessment Report Report on Geoloqical Survey, Money Mineral Ciaims. Seraphim, R.H. and Hollister, V.F. "Structural Settings: Porphyry Deposits of the Canadian Cordillera". C..M. Special Volume 15, 1976.
10 APPENDX A DAMOND DRLL LOGS Holes 68-C78 to 72-C78
11 . ;.. i. ~..
12 TEXASGULF NC. DRLL HOLE LOG - TEXTURE,ALTER N FOOTAGE REC,Y~ EST. SAM. W N E R A L t AT 0 N, DESCRPTON L ETC. GEOL. GRADE NO. FROM 1 TO ASSAYS -._- A
13 HOLE NO. TEXASGULF NC. DRLL HOLE LOG.Daii 68 c78-3 PAGE NQ DESCRPTON FOOTAGE REC,Y EST. SAM. ASSAYS 1 FROM TO. 1 GRADE NO. cu 1 Ao.. Lo) 94% - 1 _ _3- -3-
14 HOLE NO. TEXASGULF NC. DRLL HOLE LOG bdh' 68 c% 4-, PAGE NQ 8 rexture,alter'n MNERALZATON, ETC. GEOL. FROM 1 TO 1 1 lrl" 1 q43% ASSAYS t
15 HOLE NO. TEXASGULF NC. DRLL HOLE LOG BJtj 68 C76 "":"" BOX b 127.3' to 150.5' / J
16 'HOLE NO. [TEXA-SGULF NC. DRLL HOLE LOG D H TE%TURE,ALTE R)N MNE RAL 2 AT ON, ETC. GRAY GEOL. DESCRPTON EST. GRADE SAM. 1 ASSAYS PAGE NQ 0. 2 % t
17 HOLE NO. TEXASGULF NC. DRLL HOLE LOG BDH 68 C78.PAGE NO. i 1 : f.- -_
18 TEXASGULF NC. DRLL HOLE LOG HOLE NO. ]PAGE NQ rexture,alte R'N #NE RAL ZAT ON, DESCRPTON FROM 1 TO A /*o%
19 ~~ TEXASGULF NC. DESCRPYON - HOLE NO. PAGE NQ 1 DRLL HOLE LOG - -~~ FOOTAGE FROM 1 TO t
20 P 4 HOLE NO, PAGE NQ TEXASGULF MC. DRLL HOLE LOG 0
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22 TEXASGULF NC. DRLL HOLE LOG 69 -c-t/& # rexture,alte R t N GRAPH r4 N E R A L Z AT 0 N, ETC. GEOL. DESCRPTON FOOTAGE REC,Y EST. SAM. ASSAYS FROM TO GRADE NO. G.c. Au 1 HOLE NO. PAGE Na
23 DRLL HOLE LOG 63c- 78 3
24 TEXASGULF 1NC. DRLL HOLE LOG HOLE NO. PAGE NQ ' 69.C.G 4 1 ASSAYS
25 0 ' OW SAVSSV '1030 '313 NOlldlt13S3Q 'NOlVZilVtl3NlH 3 9VlOOd ddvt13 Ntt1311Vt3tlfllX31
26 HOLE NO. TEXASGULF NC. DRLL HOLE LOG 69f -7g 6. ASSAYS PAGE NQ a.ao,,... -.~ L
27
28 t-..-- t 1 'KQV SAVSSW '8 1 8L-769 1
29 r TEXASGULF NC. DRLL HOLE LOG DESCRPTON FOOTAGE FROM 1 TO REC, ]HOLE NO. PAGE NQ 69L EST. SAM, ASSAYS
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31
32
33
34
35
36 TEXASGULF NC. DRLL HOLE LOG HOLE NO. [PAGE NQ 1 DESCRPTON FOOTAGE FROM TO RE C j / 00% loo%.-
37 i TEXASGULF MC. BRLL HOLE LOG rexture,alte R'N dneralzaton, DESCR PTlON ETC../ EST SAM. ASSAYS.. i '~ End d b le. J
38
39 HOLE NO. TEXASGULF NC. DRLL HOLE LOG 71 C s L - TEXTURE,ALT R N GRAPH MNE RAL Z AT ON, ETC. s5 GEOL. DESCRPTON t FOOTAGE EST. SAM. REC,Y FROM TO GRADE NO. 1 cu ASSAYS PAGE NO. 1
40
41 Y HOLE NO, TEXASGULF NC. DRLL HOLE LOG 4 PAGE NO.."-
42 ~~ ~ - HOLE NO, TEXASGULF NC. DRLL HOLE LOG BaH 71 C78 5 TEXTURE,ALTER'N G R A ~ MNE R AL Z AT 10 N, ETC.,~ GEOL. \ DESCRPTON ASSAYS FROM PAGE NQC r i 3 f 1 --._
43 ~~ 1 ~- 4 T HOLE NO. PAGE NO. TEXASGULF NC. DRLL HOLE LOG.D&H 71 C78 ti- -
44
45 HOLE NO. PAGE NQ TEXASGULF NC. DRLL HOLE LOG DOC1 72C i 1. J
46 7 TEXASGULF NC. DRLL HOLE LOG M N E R A L 2 AT i 0 N, DESCRPTON FOOTAGE E C' HOLE NO. ASSAYS &A 1 [PAGE NQ 0,002 Bo.o 9o.a , loo. 8,... - _
47 HOLE NO. TEXASGULF N c. DRLL HOLE LOG DOH 72c78 1 4, DESCRPTON - EST. jrade - SAM. 1 ASSAYS ]PAGE NQ 0.45 c. t t-!
48 TEXASGULF NC. DRLL HOLE LOG TEXTURE'ALTE R'N GRAPH HNERAL ZATON, ETC. GEOL. DESCRPTON FOOTAGE FROM - TO "t- HOLE NO. PAGE NO. 60.D 99 5'
49 TEXASGULF NC. DRLL HOLE LOG DESCRPTON U FOOTAGE REC,Y FROM TO EST. jradl SAM. ASSAYS 0.2. _. -a -..., _
50 APPENDX 8
51 STATEMENT OF EXPENDTURES 1978 Dri 11 i ng Programme RED- CHR S PROPERTY Tot a1 Cost Cost per Metre - DAMOND DRLLNG m. BQ dilling as per invoice D. W. Coates Enterprises Ltd. SUPERVSON, CORE LOGGNG, ASSAYS ETC. Salaries & Benefits, Tg Staff during period May 27-June 15, H.R. Schmitt, B.Sc. 15 $50 G.N. Mannard, 16 $32.50 J.M. Newell, P.Eng. 3 days (3 $170 Room &' Board 78 man-days (3 $25 Assays 118 Cu assavs (3 $ Au $ Compositing $0.50 Site Clean-up: Casual Labour C. Abou- June 9 G. Abou- June , $25, $ , , LOGSTCAL SUPPORT Tg Bell helicopter 25.2 $300 Veh i cl e, i ncl udi ng g asol i ne 7, Mi scell aneous traiel & communi cations , , REPORT PREPARATON TOTAL COST $39, $ COST DSTRBUTON Chris 2 Mineral Claim m. $33, Chris 4 Yineral Claim 63.1 m. 6,348.55
52 APPENDX C STATEMENT OF QUALFCATONS
53 STATEMENT OF QUALFCATONS H.\R. Schmi tt, 13. Sc. H.R. Schmitt obtained his B.Sc. degree in geology from the University of British Columbia in While attending university, he was employed by Texasgulf during the summer field seasons. Since graduation he has again been employed by Texasgulf during the f eld seasons, Over the period , Mr. Schmitt has obtained broad experience of the geology of Stikine District porphyry-copper gold deposits and he is highly competent to carry out the core-logging duties assigned to him on this project. G.N. Mannard G.N. Mannard has completed one year towards his degree in geology at Queen's University, Kingston. He has been employed by Texasgulf nc. as a junior field assistant during the 1977 and 1978 field seasons. He is competent to carry out the core-splitting duties assigned to him on this project.
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