MCARTHUR REPORT ON A GEOLOGICAL SURVEY RECEIVED NOV MAC-2 MNING LANDS SECTIOI PRICE AMAX MINERALS EXPLORATION. S.

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2.5172 MCARTHUR 010 REPORT ON A GEOLOGICAL SURVEY RECEIVED MAC-2 NOV - 5 1982 MNING LANDS SECTIOI PRICE 035-05 NTS: 42-A-6/3 AMAX MINERALS EXPLORATION Timmins, Ontario August, 1982 S. Davies

TABLE OF 42A93NWee87 3.S172 MCARTHUR 010C Page SUMMARY... l INTRODUCTION...,... 2 LOCATION AND ACCESS... 2 TOPOGRAPHY AND RESOURCES... 2 PREVIOUS WORK From Assessment Files... 3 Found In Field... 3 SURVEY METHOD...'... 3 REGIONAL GEOLOGY... 4 PROPERTY GEOLOGY... 4 CONCLUSIONS AND RECOMMENDATIONS... 5 LIST OF FIGURES FIGURE l LOCATION SKETCH... After Page 2 FIGURE 2 COMPILATION SKETCH... After Page 4 FIGURES CLAIM SKETCH.'... After Page 5 LIST OF TABLES TABLE l TABLE OF FORMATIONS... After Page 4 LIST OF APPENDICES APPENDIX A SCHEDULE OF CLAIMS... After Page 5 LIST OF MAPS MAP l GEOLOGICAL SURVEY MAP... Back Pocket

-1- SUMMARY During June of 1982, a geological survey was per formed on four (4) claims in central McArthur township, District of Timiskaming, Ontario. The property is underlain by mafic metavolcanics (basalt) which is intruded by gabbro. The airborne electromagnetic survey conducted in 1980 outlined two (2) anomalies on the property. It is recommended that detailed ground geophysics be conducted to delineate future diamond drill hole targets.

-2- INTRODUCTION A detailed geological survey was carried out on a group of four (4) claims in-mcarthur township during June of 1982. The claim numbers are P-618272-75, and are record ed in the name of Amax of Canada Limited. The property covers two (2) electromagnetic anoma lies located during a helicopter-borne survey carried out by Amax in August of 1980. LOCATION S ACCESS The group of four (4) claims is situated in central McArthur township in the District of Timiskaming, Ontario. An old trail crosses the south-western claims. This trail can be reached by driving approximately 2.5 km north along a logging road. The logging road exits east off Papakomeka Lake road at the McArthur-Bartlett township line. TOPOGRAPHY AND RESOURCES - The relief of the property is high with a series of ridges running north-south, east of Mountjoy River. The western claims are covered predominantly by swampy ground.

t - l MCARTHUR L...J Project 035-05, Mac-2 Scale: 1:250,000.

-3- Vegetation consists of pine and poplar in the eastern claims and alder swamp in the west claims. Water for diamond drilling is available from the Mountjoy River which runs through claim P-618273 and from the small lake in P-618274. PREVIOUS WORK From Assessment Files Abitibi Asbestos, 1973,ran magnetic and electro magnetic geophysical surveys on the property. They re commended two (2) holes, neither of which were drilled. Found in Field None SURVEY METHOD The survey was performed by S. Davies and L. de St. Jorre during June of 1982. Air photos at a scale of l" s 1 /4 mile and air photo blow-ups at a scale of 1:5,000 were used as control while mapping. Traverse lines were run using pace and compass at 125 metre intervals across the claims.

-4- REGIONAL GEOLOGY Early Precambrian (Archean) metavolcanic and pluton ic rocks underlie most of the area. Two cycles of volcanism are recognized, each con sisting of a lower unit of ultramafic metavolcanjcs, an overlying unit of mafic metavolcanics and an upper unit of intermediate to felsic metavolcanics. A pretectonic, layered gabbroic sill and minor fel sic epizonal intrusions are largely confined to the lower sequence of metavolcanics. Late tectonic stocks of granodiorite and monzonite were emplaced within the metavolcanic-metasedimentary succession. The lower sequence of mafic and ultramafic meta volcanics was intruded by a large complex granitic batholith composed of at least three separate intrusive phases. Diabase dykes are numerous and are not confined to a specific metavolcanic sequence. The major structural features in the area consist of a domal structure in Geikie township that is flanked by large synclines to the north and south, and numerous north-trending faults which are probably part of the Onaping Lineament. PROPERTY GEOLOGY The property is situated on the south margin of a

Acme OJ1 S Gas 1966 Paymaster 1960 V6. V7 lg 3g B IB LEGEND DacJte AndestJte Basalt Granite Quartz Diabase Gabbro Fault - inferred Geologjcal Contact - j nf erred - observed Outcrop Acme Oil S Gas 1966 - Geophysics - 2 holes drilled; hjt I.P. Paymaster 1960 - E. M. S mag. surveys - 6 holes drilled for Pe 3n I. F. - 3 holes drilled for Nj Jn per j dot j te AMAX MINERALS EXPLORATION PROJECT Price (035) GROUP 035-05, Mac-2 TOWNSHIP McArthur SURVEY Compjlatj on DATE August 1982 SCALE l"s \ mile

TABLE OF FORMATIONS PHANEROZOIC CENOZOIC Quaternary - Pleistocene and recent Unconformity - PRECAMBRIAN LATE PRECAMBRIAN, MIDDLE PRECAMBRIAN - Olivine, quartz diabase Huronian Supergroup Cobalt Group Gowganda Formation: Greywacke, arkose, conglomerate Unconformity EARLY PRECAMBRIAN (ARCHEAN) Mafic Intrusive Rocks Diabase Intrusive Contact Felsic Intrusive Rocks Intrusive Contact- Metamorphosed Mafic and Ultramafic Rocks Gabbro, serpentinized peridotite, quartz gabbro --- Intrusive Contact-. METAVOLCANICS AND METASEDIMENTS Intermediate to Felsic Volcanics: Tuff, breccia, massive to pillowed flows, interlayered siltstone, greywacke Mafic Metavolcanics: Massive and pillowed flows, tuff, volcanic breccia, pyroclastic rocks Ultramafic Metavolcanics: Serpentinized peridotite, spinifex texture flows, tuff, carbonatized peridotite

-5- large porphyritic granodiorite pluton which intrudes the Lower Volcanic Group. The majority of the bedrock consists of fine to medium grained, massive basalt. Pillow basalts were found in P-618275 but tops could not be determined. The basalt was poorly foliated. Two gabbroic intrusions were found trending approx imately north-east. They are very fine grained, slightly mag netic in places but not conductive. Mineralization was very minor fc*t.53q, consisting of disseminated pyrite in the mafic metavolcanics. CONCLUSIONS AND RECOMMENDATIONS The property is located on the margin of a granitic pluton in contact with mafic metavolcanics. The airborne geophysical conductor was not ex plained by the geological survey. It is recommended that detailed ground geophysical surveys should be conducted to delineate future diamond drill hole targets. Respectfully submitted, Timmins, Ontario S. Davies August, 1982

(i CLAIM SKETCH Project 035-05 MAC-2 McArthur Tov.mshjp Scale: l" ^ \ mjle

APPENDIX A SCHEDULE OF CLAIMS PROJECT PRICE 035-05 Claim Group Township Number Claim Numbers Recording Date Mac-2 MacArthur 4 P-618272 May 25, 1981 035-05 -- P-618273 May 25, 1981 P-618274 May 25, 1981 P-618275 May 25, 1981

DECLARATION I, Joseph A. Macpherson, of the City of Sudbury, in the Province of Ontario, with a mailing address of 255 Algonquin Blvd. West, Timmins, Ontario, do hereby declare: 1. I am a geologist employed by Amax of Canada Limited, with offices at 255 Algonquin Blvd. West, Timmins, Ontario. 2. I completed an honours B.Se. programme (geology) in 1980 at Laurentian University in Sudbury, Ontario. 3. I did personally set forth the facts as outlined in this report and did conduct or supervise, or review, the work contained herein. 4. I do not have, nor do I expect to have, any interest in the properties held by Amax of Canada Limited. Dated at Timmins, Ontario

Ministry o! Report of Work Natural,-,.. -,.. Resources (Geophysical, Geological, Ontario Mt Geochemical and Expenditures) Type of Survey(s) Claim Holder(t) Add rex Survey company 035-05 Tho Mi Geological Survey U(*f6c* /- l I nstructions: Please type or print. tf number of mining claims traversed exceeds space on this form, attach a list. Note: Only days credits calculated in the " F vnonhitnroc" *ominn maw hft Bntflrori Amax of Canada Limited 2.5173 MCARTHUR 900 255 Algonquin Blvd. West, Timmins, Ontario. P4N 2R8 Amax Minerals Exploration Name and Address of Author (of Geo-Technlcal report) Date of Survey (from 6 to) t 06 82 i Day l Mo. f Yr. Day'1 Mo. Yr. Total Mllei of line Cut - Sandra Davies, 255 Algonquin Blvd. West, Timmins, Ontario, P4N 2R8 Credits Requested per Each Claim In Columns at right Special Provisions For first survey: Enter 40 days. (This includes line cutting) For each additional survey: using the same grid: Man Days Enter 20 days (for each) Complete reverse side and enter total(s) here Geophysical - Electromagnetic - Magnetometer - Radiometric - Other Geological Geochemical Geophysical - Electromagnetic - Magnetometer - Radiometric - Other Geological Days per Claim 20 Days per Claim Mining Claims Traversed (List In numerical sequence) Mining Claim " Prefix P Number 618272 618273 618274 618275 Expend, Days Cr. t 20 20 20 20 Mining Claim Prefix Number T^rff D C FT vj FIVrD C 1 v fc ** ^/finii OCT20198Z Expend. Days Cr. 4G LANDS SE CTION Airborne Credits Geochemical Days per Claim Note: Special provisions credits do not apply to Airborne Surveys. Electromagnetic Magnetometer Radiometric Expenditures (excludes power stripping) POK Type of Work Performed TS^I Performed on Claim(s) u v' Calculation of Expenditure Days Credits Total Total Expenditures Days Credits 7* - -. f"-""\ Hulj, FP'?/* i 19S2 PM,1.pAljtSji&Li-. * R E:CC SEP tpt No. )RDED,,,...,.;... S * 15 * Instructions Total Days Credits may be apportioned at the claim holder's choice, Enter number of days credits per claim selected in columns at right. For Office yse Only Total Days Cr. Data Reco/ded Recorded Total number of mining claims covered by this report of work, Date Recorded Holder of Agent (Signature) Sept, 22, 1982 Certification Verifying Report of Work Date Approved as Recorded Branch Regional M lnlno Recorder 1 hereby certify that 1 have a personal and intimate knowledge of the facts set forth in the Report of Work annexed hereto, having performed the work or witnessed same during and/or after its completion and the annexed report is true. Name and Postal Address of Person Certifying J. Macpherson t 255 Algonquin Blvd. West, Timmins, Ont. P4N 2R8

Ontario Ministry of Natural Resources Geotechnical Report Approval ONIAHiD 3!.NiUKS SLCKOARIAT JAN 2 8 1S83 File Mining Lands Comments UlriU. Ur I!!!'. PiluV!\'1.,!AL GO - To: Geophysics Comments li Approved [~] With to tee again with corrections Date Signature To: Geology - Expenditures Comment! < O 90 Approved j~] With to tee again with corrections DTo: Geochemistry Comments i l imjv rf/ft [^Approved Wish to see again with corrections Date Signature [ JTo: Mining Lands Section, Room 6462, Whitney Block. (Tel: 5-1380) 1593(81/10)

1983 07 25 2.5172 Mr. William L. Good Mining Recorder Ministry of Natural Resources 60 Wilson Avenue Timmins, Ontario P4N 2S7 Dear Sir: RE: Geological Survey on Mining Claims P 618272 et al 1n the Township of McArthur. The Geological Survey assessment work credits as listed with my Notice of Intent dated June 30, 1983 have been approved as of the above date. Please Inform the recorded holder of these mining claims and so Indicate on your records. Yours very truly, E.F. Anderson Director Land Management Branch Whitney Block, Room 6450 Queen's Park Toronto, Ontario M7A 1W3 Phone:(416)965-1380 R. Pichettermc cc: Amax of Canada Limited 255 Algonquln Blvd. Nest Timmins, Ontario P4N 2R8 cc: Resident Geologist Timmins, Ontario

ntario Ministry oi Natural Resources Technical Assessment Work Credits 1983 06 30 File 2.5172 iecorded Holder 'ownshlp or Area AMAX OF CANADA LIMITED MCARTHUR TOWNSHIP Type of survey and number of Assessment days credit per claim Mining Claims Assessed Geophysical Electromagnetic Magnetometer..days.days P618272 P618275 -- 73 Radiometric.days Induced polarization,.days Section 86 (18) Geological ^ Geochemical. 20.days.days.days Man days D Special provision E Airborne d Ground H C3 Credits have been reduced because of partial coverage of claims. Q Credits have been reduced because of corrections to work dates and figures of applicant. 77(16) Special credits under section the following mining claims 15 days credit: Geological P618274 Yo credits have been allowed for the following mining claims LJ not sufficiently covered by the survey l l Insufficient technical data filed The Mining Recorder may reduce the above credits if necessary in order that the total number of approved assessment days recorded on each claim does not exceed the maximum allowed as follows: Geophysical 80; Geological 40; Geochemical 40; Section 86(18)-60:

Ministry of Natural Resources Your file: 1983 06 30 Mr. William L. Good Mining Recorder Ministry of Natural Resources 60 Wilson Avenue Timmins t Ontario P4N 2S7 Dear Sir: Our file:. 51 72 Enclosed are two copies of a Notice of Intent with statements listing a reduced rate of assessment work credits to be allowed for a technical survey. Please forward one copy to the recorded holder of the claims and retain the other. In approximately fifteen days from the above date, a final letter of approval of these credits will be sent to you. On receipt of the approval letter, you may then change the work entries on the claim record sheets. For further information, if required, please contact Mr. F.W. Matthews at 416/965-1380. Yours very truly, E.F. Anderson Director Land Management Branch Whitney Block, Room 6450 Queen's Park Toronto, Ontario M7A 1W3 Phone: 416/965-1316 R. P1chette:mc cc: Amax of Canada Limited 255 Algonquln Blvd. West Timmins, Ontario P4N 2R8 cc: Mr. 6.H. Ferguson Mining ft Lands Commissioner Toronto, Ontario Ends:

Ontario Ministry of Natural Resources Notice of Intent for Technical Reports 1983 06 30 2.5172 An examination of your survey report indicates that the requirements of The Ontario Mining Act have not been fully met to warrant maximum assessment work credits. This notice is merely a warning that you will not be allowed the number of assessment work days credits that you expected and also that in approximately 15 days from the above date, the mining recorder will be authorized to change the entries on his record sheets to agree with the enclosed statement. Please note that until such time as the recorder actually changes the entry on the record sheet, the status of the claim remains unchanged. If you are of the opinion that these changes by the mining recorder will jeopardize your claims, you may during the next fifteen days apply to the Mining and Lands Commissioner for an extension of time. Abstracts should be sent with your application. If the reduced rate of credits does not jeopardize the status of the claims then you need not seek relief from the Mining and Lands Commissioner and this Notice of Intent may be disregarded. If your survey was submitted and assessed under the "Special Provision-Performance and Coverage" method and you are of the opinion that a re-appraisal under the "Man-days" method would result in the approval of a greater number of days credit per claim, you may, within the said fifteen day period, submit assessment work breakdowns listing the employees names, addresses and the dates and hours they worked. The new work breakdowns should be submitted direct to the Lands Management Branch, Toronto. The report will be re-assessed and a new statement of credits based on actual days worked will be issued. 846

366 1982 11 12 2.5172 Mining Recorder Ministry of Natural Resources 60 Wilson Avenue Timmins, Ontario P4N 287 Dear Sir: Ve have received reports and maps for a Geological Survey submitted under Special Provisions (credit for Performance and Coverage) in Mining Claims P 618272 at al in tht Township of HcArthur. This material will be examined and assessed and a statement of assessment work credits will be issued. Yours very truly, E.F. Anderson Director Land Management Branch Whitney Block, Room 6450 Queen's Park Toronto, Ontario M7A 1W3 Phone: 416/965-1380 DV:sc cci Amax of Cnaada Limited Timmins, Ontario Attnt Sandra Davies.

November 4, 1982 MINERALS EXPLORATION (A Division of AMAX OF CANADA LIMITED) 255 Algonquin Blvd. West Timmins, Ontario P4N 2R8 Telephone: (705) 264-5247 Our File: 035-05 Mr. F. W. Matthews, Ontario Ministry of Natural Resources, W1617, Whitney Block, Queen's Park, Toronto, Ontario. M7A 1W3 RECEIVED NOV - 5 1982 AWNING LANDS SECTION Dear Sir: Re: Mining Claims P.618272 et al., McArthur Township Enclosed herewith please find two (2) copies of a report along with accompanying plan concerning a Geological Survey which was carried out over a total of four (4) contiguous mining claims located in McArthur township, northeastern Ontario. A Report of Work concerning this survey has been filed with Mr. William Good, Mining Recorder for the Porcupine Mining Division. Thank you. Yours truly, AMAX OF CANADA LIMITED [ Rosemary Tittley (Mrs.) Land Recorder Encs. 2 c.c. K. Clemiss/E. Barclay, Toronto

Ministry of Natural Resources FUc. Ontario GEOPHYSICAL - GEOLOGICAL - GEOCHEMICAL TECHNICAL DATA STATEMENT TO BE ATTACHED AS AN APPENDIX TO TECHNICAL REPORT FACTS SHOWN HERE NEED NOT BE REPEATED IN REPORT TECHNICAL REPORT MUST CONTAIN INTERPRETATION, CONCLUSIONS ETC. Type of Survey (s). Township or Area. Claim Holder(s) Geological Survey McArthur Amax of Canada Limited MINING CLAIMS TRAVERSED List numerically Survey Company Author of Report Address of Author.^ Amax Minerals Exploration Sandra Davies 255 Alqonquin Blvd. M., Timmins, Ont Covering Dates of Survey June 1982^-^ (linecutting to office) Total Miles of Line Cut.^ ^. ^- ^^ - SPECIAL PROVISIONS CREDITS REQUESTED ENTER 40 days (includes line cutting) for first survey. ENTER 20 days for each additional survey using same grid. Geophysical Electromagnetic. Radiometric. DAYS per claim 20 (prefix) P L p (number) mm.,.mm.. i M J l AIRBORNE CREDITS (Special provision credits do not apply to airborne survey i Magnetometer..Electromagnetic.. Radiometric (enter days per claim) DATE: Sppt.. 1. -J\^fjt Author of Report or Agent Res. Geol...Qualifications. Previous Surveys File No. Type Date Claim Holder TOTAL CLAIMS. 837 (6/79)

GEOPHYSICAL TECHNICAL DATA GROUND SURVEYS^ If more than one survey, specify data for each type of survey Number of Stations Station interval Profile scale Contour interval. Number of Readings Line spacing U Instrument Accuracy Scale constant Diurnal correction method Base Station check-in interval (hours). Base Station location and value Instrument ECTROMAGNETIC Coil configuration, Oii] separation Accuracy. Method: O Fixed transmitter O Shoot back D In line Fr en uen rv CD Parallel line Parameters measured. Instrument Scale constant. Corrections made. io Base station value and location. Elevation accuracy. D (J Q Z Instrument - Method D Time Domain Parameters On time - Off time Delay time Integration time. Power. Electrode array Electrode spacing. Type of electrode l l Frequency Domain _ Frequency Range -,

SELF POTENTIAL Instrument Range. Survey Method Corrections made. RADIOMETRIC Instrument. Values measured. Energy windows (levels)............. ^^ ^^ ^.^ ^ -. Height of instrument Background Count. Size of detector - - - -^ - - - -... ^^^ ^ Overburden -.^^.--- ^^--^^.-^^^..^ ^^ ^ ^.^. (type, depth include outcrop map) ^OTHERS (SEISMIC, DRILL WELL LOGGING ETC.) Type of survey ^ -....-.- --.-^ ^. Instrument -. ^. Accuracy^ - - --- -. -^^^^-^^ ^ Parameters measured. Additional information (for understanding results). iclrne-slirviiys Type of survey(s)^ ^ Instrument(s) (specify for each type of survey) Accuracy ^ (specify for each type of survey) Aircraft used- -. -^^ --... Sensor altitude- Navigation and flight path recovery method. Aircraft altitude Line Sparing Miles flown over total area- -.-.---... ^^^^-^^..-... -Over claims only.

GEOCHEMICAL SURVEY - PROCEDURE RECORD Numbers of claims from which samples taken. Total Number of Samples. Type of Sample. (Nature of Material) Average Sample Weight Method of Collection ANALYTICAL METHODS Values expressed in: per cent p.p. m. p. p. b. Cu, Pb, D a Zn, Ni, Co, Ag, Mo, As.-(circle) Soil Horizon Sampled. Horizon Development. Sample Depth Terrain Drainage Development Estimated Range of Overburden Thickness. SAMPLE PKI^AJKATION (Includes drying, screening, crushing, ashing) Mesh size of fraction used for analysis Others Field Analysis (. Extraction Method. Analytical Method- Reagents Used Field Laboratory Analysis No. - Extraction Method Analytical Method Reagents Used - Commercial Laboratory (- Name of Laboratory Extraction Method,. Analytical Method Reagents Used ^^ ^..tests).tests).tests) GeneraL General.