BLACK PEARL MINERALS INC.

52F07SE0008 2.16968 MEGGISI LAKE 010 BLACK PEARL MINERALS INC. GEOPHYSICAL SURVEYS «SUNSHINE LAKE PROPERTY» Octobre 1996 «*

TABLE OF CONTENTS I - INTRODUCTION P. 1 II - PROPERTY P. 1 III - LOCATION & ACCESSIBILITY P. 2 IV - GEOPHYSICAL SURVEYS P. 2 V - CONCLUSIONS & RECOMMENDATIONS P. 4 MAPS 1 - Claim Map 1:20 000 2 - Location Map 1:100000 3 - Location Map 1:1 000 000 52F07SE0008 2.16968 MEGGISI LAKE 01OC

- 1 - I - INTRODUCTION: At the request of BLACK PEARL MINERALS INC., geophysical surveys were undertaken, by Exploration Services Reg'd, during the month of August, 1996, on the Company's «Sunshine Lake» property of northwestern Ontario. The surveys were carried out within the framework of an extensive exploration program in an attempt to evaluate the economic mineral potential of the area. II - PROPERTY: The property consists of 6 claims numbered as follows: 1150144 15 claim units 1150145 08 claim units 1178058 12 claim units 1178112 16 claim units 1178115 06 claim units 1178116 12 claim units Total 69 claim units

-2- III - LOCATION &ACCESS1BILITY: The «Sunshine Lake» property is located in the Meggisi Lake area of northwestern Ontario at an approximate distance of 45 Km south of the town of Dryden. From Dryden, the property is accessible by driving southeastwards along highway 502 for an approximate distance of 60 Km. From this point, a bush road leads westward towards the grid area. IV - GEOPHYSICAL SURVEYS: The surveys were carried out along a previously cut 1.9 Km long base line striking at 45. Cross lines, spaced at every 100 meter intervals extend on both sides of the base line to cover the claims. Magnetometer Survey: - Instrumentation: An Exploranium G-816 proton magnetometer was used for the survey; readings were taken at every 12.5 meter intervals. - Data Presentation: The magnetic data were plotted on a map at the scale of 1:5000; the report includes a map with the posted readings and also a map with the gamma contour intervals.

-3- - Observations: The 1,000 gamma contour line defines a magnetic anomaly straddling the base line from 21 W to 39 W. This segmented anomaly is relatively narrow and weak from 28 W to 36 W, then it widens into 2 seperate lobes having a combined width of 450 m. The magnetometer survey has also outlined an area, east of tie line 10 S which contains numerous small anomalies dispersed in a rather random fashion. A similar magnetic pattern has also been observed north of the 10 N tie line. Mafic intrusives are the probable cause of the anomalies outlined by the 1 000 gamma contour intervals. Electromagnetic Survey: - Instrumentation: The electromagnetic survey was carried out using an Apex Parametrics Maxmin II horizontal loop unit. Readings were taken at every 25 meter intervals tuned to the 444, 1777 and 3555 Hz frequencies. A reference cable of 100 m was used to carry out the survey. - Data Presentation: The E.M. data were plotted on maps at the scale of 1:5 000; the report

-4- includes a map for each of the 3 frequencies used with posted readings and profiles of the In-phase and Out-of-Phase componants. - Observations: The Maxmin horizontal loop survey has failed to outline any significant conductors. The abrupt In-Phase readings observed are caused by sharp and irregular topography. V - CONCLUSIONS & RECOMMENDATIONS: The magnetometer survey has defined a major feature straddling the base line, the pattern of which, suggests the presence of a mafic intrusive. Concentrations of randomly distributed small magnetic anomalies to the northwest and to the southeast indicate different geological environments. The electromagnetic survey has failed to outline any significant conductors. It is strongly recommended that an Induced polarization survey be undertaken in an attempt to outline zones of disseminated sulfides. Respectfully submitted: E. Chartrc, B.A., B. Sc.: 1 Oct. 15, 1996

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Ontario Ministry of Northern Development and Mines Report of Work Conducted After Recording Claim Mining Act Transaction Number Personal information collected on this form is obtained under the authority of the Mining Act. This information will be used for correspondence. Questions about this collection should be directed to the Provincial Manager, Mining Lands, Ministry of Northern Development and Mines, Fourth Floor, 159 Cedar Street, Sudbury, Ontario, P3E 6A5. telephone (705) 670-7264. Instructions: - Pie - Re Re -A I flllll Illll \ lflmm mi...._._ A sketch, showing the claims mo»»«..,. _ 900. 16968 j assessment work or consult the Mining 3roup. ate.; >mpany this form. Recorded Holder(s) Client No. Address Mining Division Dates Work Performed 27 From: To* ru hip/area To: Telephone No.?o$- 7 S/ M or G Plan No & Z frpfr / Work Performed (Check One Work Group Only) Work Group Geotechnical Survey Physical Work, Including Drilling /- j v Type 1 j!f>mf ( MA./' \ \J***'J \f*ffkf' ) /STif c-tho rfifl&fl}if-f7c^(_'s&fa*^ j ttl A /D e~/~? C- (^ofcm,) LtMe exrrws Cc M Rehabilitation Other Authorized Work f=/*l.t> SU.,f*.MSl**, RECEIVED Assays >' DEC 2 4 1996 Assignment from Reserve MINING LANDS BRANCH Total Assessment Work Claimed on the Attached Statement of Costs $ 5~ 3 3 */o Note: The Minister may reject for assessment work credit all or part of the assessment work submitted if the recorded holder cannot verify expenditures claimed in the statement of costs within 30 days of a request for verification. Persons and Survey Company Who Performed the Work (Give Name and Address of Author of Report) Name Address (attach a schedule if necessary) Certification of Beneficial Interest * See Note No. 1 "orl reverse side Date I certify that at the time the work was performed, the claims covered in this work report were recorded in the current holder's name or held under a beneficial interest by the current recorded holder. RoouiJuU Mutter or Agent (Signature) Certification of Work Report I certify that I have a personal knowledge of the facts set forth in this Work report, having performed the work or witnessed same during and/or after its completion and annexed report is true. Name and Address of Person Certifying Telepone No. Hit, Date Certif^d By (Signature) ^b For Office Use Only Total Value Cr. Recorded Dale i^spcss! 0241 (03/t1)

f :a *i gz i be sj I Q> -v - fc N 6N Oo 0< o a. 4: D o 0 N s< 00 VAJ O 8-0 0 0 8 0 Q > i> & i ^; IrO < 0 JP ^^ ' ^Ct) t ***v ^J 0 f\ V w 0 9 P f "^) ^ ^2? 6^ O l-s< olll 3 & -^ * I 0 1 ^EJCE IV Eb T "* «0 o 0 G 0 0 8f i J DEC 2 1199B»"* r 1ININ<$ LANI )S BRANCH Credits you are claiming in this report may be cut back. In order to minimize the adverse effects of such deletions, please indicate from which claims you wish to priorize the deletion of credits. Please mark (v) one of the following: 1. ETCredits are to be cut back starting with the claim listed last, working backwards. 2. U Credits are to be cut back equally over all claims contained in this report of work. 3. D Credits are to be cut back as priorized on the attached appendix. In the event that you have not specified your choice of priority, option one will be implemented. Note 1: Note 2: Examples of beneficial interest are unrecorded transfers, option agreements, memorandum of agreements, etc., with respecl to the mining claims. If work has been performed on patented or leased land, please complete the following: I certify that the recorded holder had a beneficial interest in the patented or leased land at the time the work was performed. Signature Date

Ontario Ministry ol Northern Development and Mines Minlslere du DeVeloppement du Nord et des mines Statement of Costs for Assessment Credit Etat des couts aux fins du credit devaluation Mining Act/Loi sur les mines Transaction No./N de transaction 1 69 6 8 Personal Information collected on this form Is obtained under the authority of the Mining Act. This Information will be used to maintain a record and ongoing status of the mining claim(s). Questions about this collection should be directed to the Provincial Manager, Minings Lands, Ministry of Northern Development and Mines, 4th Floor, 159 Cedar Street, Sudbury, Ontario P3E 6A5, telephone (705) 670-7264. Les renseignemenls personnels contenus dans la presenle formule sont recueillis en vertu de la Lol sur les mines et serviront a tenlr a jour un regislre des concessions minleres. Adresser loute quesiton sur la collece de ces renseignemenls au chef provincial des terrains miniers, ministere du Developpement du Nord el des Mines, 159, rue Cedar, 4e dlage, Sudbury (Ontario) P3E 6A5, telephone (705) 670-7264. 1. Direct Costs/CoOts directs Type Wages Salalres Contractor's and Consultant's Fees Drolls de ('entrepreneur et de I'expertconsell Supplies Used Fournltures utlllsees Description Labour Main<Toeuvre Field Supervision Supervision sur le terrain Type LMF <ncn~/ti L erm>/n/i6 /v^nc_ Wfte/Ve-rrc- Type Amount Montant </ ( ZJO 3J *4$% <?o9^ S^^7 Totals Total global ^flzo f We 010 2. Indirect Costs/CoOts indirects * * Note: When claiming Rehabilitation work Indirect costs are not allowable as assessment work. Pour le remboursement des travaux de rehabilitation, les cools Indirects ne sonl pas admlssibles en (ant que travaux devaluation. Transportation Transport Amount Montant Totals Total global Food and Lodging Nourrlture et hebergement Equipment Rental Location de materiel Type Mobilization and Demobilization Mobilisation et demobilisation Sub Total of Indirect Costs Total partiel des coots Indirects 2./C" Total Direct Costs Total des couts directs JO (3o Amount Allowable (not greater than 20% of Direct Costs) Montant admissible (n'excedant pas 20 % des couts directs) Total Value of Assessment Credit (Total of Direct and Allowable Indirect costs) Valeur totale du credit devaluation (Total des coflls directs «t Indirects admlsslbles 3 M O 5-3 Note: The recorded holder will be required to verify expenditures claimed in this statement of costs within 30 days of a request for verification. If verification Is not made, the Minister may reject for assessment work all or part of the assessment work submitted. Note : Le litulaire enregistr6 sera tenu de verifier les depenses demandees dans le present etat des cools dans les 30 jours suivant une demande a cet effel. Si la verification n'est pas effectuee, le minislre peut rejeter tout ou une partle des travaux devaluation prdsentes. Filing Discounts 1. Work filed within two years of completion is claimed at 100% of the above Total Value of Assessment Credit. 2. Work filed three, four or five years after completion is claimed at 50% of the above Total Value of Assessment Credit. See calculations below: Remises pour depdt 1. Les travaux deposes dans les deux ans suivanl leur achevement sont rembourses a 100 % de la valeur totale susmenlionnee du credit devaluation. 2. Les travaux de'posgs trois, qualre ou cinq ans apres leur achevement sont rembourses a 50 % de la valeur totale du credit devaluation susmenlionne. Voir les calculs ci-dessous. Total Value of Assessment Credit x 0.50 Total Assessment Claimed Valeur lolale du credit devaluation x 0,50 Evaluation lotale demandee Certification Verifying Statement of Costs I hereby certify: that the amounts shown are as accurate as possible and these costs were incurred while conducting assessment work on the lands shown on (he accompanying Report of Work form. Attestation de I'etat des couts J'attests par la presenle : que les montants indiques sont le plus exact possible et que ces defenses ont die engagees pour effectuer les travaux devaluation sur les terrains indiques dans la formule de rapport de travail ci-joint. that as (Recorded Holier, Agent, Position In Company) I am authorized Et qu'a litre de je suis autorisg A (III V «*/ j - - -- - (titulaire enreglslre, represenlanl, posle occupd dans la compagnle) to make this certification a faire cette attestation. Signature Dale 0?I2<0«91) Nota : Dans celte formule, lorsqu'll designe des personnes, le masculin est ulilisd au sens neutre.

Ministry of Northern Development and Mines April 21, 1997 Scott A. Rivett Mining Recorder 808 Robertson Street P.O. Box 5200 Kenora, ON P9N 3X9 Dear Sir or Madam: Ministers du Developpement du Nord et des Mines Ontario Geoscience Assessment Office 933 Ramsey Lake Road 6th Floor Sudbury, Ontario P3E 6B5 Telephone: Fax: (705) (705) 670-5853 670-5863 Submission Number: 2.16968 Subject: Transaction Number(s): W9610.00174 Status Approval After Notice We have reviewed your Assessment Work submission with the above noted Transaction Number(s). The attached summary page(s) indicate the results of the review. WE RECOMMEND YOU READ THIS SUMMARY FOR THE DETAILS PERTAINING TO YOUR ASSESSMENT WORK. If the status for a transaction is a 45 Day Notice, the summary will outline the reasons for the notice, and any steps you can take to remedy deficiencies. The 90-day deemed approval provision, subsection 6(7) of the Assessment Work Regulation, will no longer be in effect for assessment work which has received a 45 Day Notice. Please note any revisions must be submitted in DUPLICATE to the Geoscience Assessment Office, by the response date on the summary. NOTE: This correspondence may affect the status of your mining lands. Please contact the Mining Recorder to determine the available options and the status of your claims. If you have any questions regarding this correspondence, please contact Lucille Jerome by e-mail at jerome_l@torv05.ndm.gov.on.ca or by telephone at (705) 670-5858. Yours sincerely, ORIGINAL SIGNED BY Ron C. Gashinski Senior Manager, Mining Lands Section Mines and Minerals Division Correspondence ID: 10731 Copy for: Assessment Library

Work Report Assessment Results Submission Number: 2.16968 Date Correspondence Sent: A pril 21, 1997 Assessor: Lucille Jerome Transaction Number First Claim Number Township(s) / Area(s) Status Approval Date W9610.00174 1150144 MEGGISI LAKE Approval After Notice April 15, 1997 Section: 14 Geophysical EM 14 Geophysical MAG Correspondence to: Mining Recorder Kenora, ON Resident Geologist Kenora, ON Recorded Holder(s) and/or Agent(s): Gerald A. Harron MISSISSAUGA, ONTARIO, CANADA BLAINE RICHARD WEBSTER THORNHILL, Ontario Assessment Files Library Sudbury, ON Page: I Correspondence ID: 10731

Distribution of Assessment Work Credit The following credit distribution reflects the value of assessment work performed on the mining land(s). Please contact the Mining Recorder to determine if this affects the status of your claims. Date: April 21, 1997 Submission Number: 2.16968 Transaction Number: W 9610.00174 Claim Number Value Of Work Performed 1150144 17,600.00 1150145 9,400.00 1178058 14,110.00 Total: $ 4 1,110.00 Page: 1 Correspondence ID: 10731

I A T> X) X) 49 22' 30" 92?45' I 1224624 BOYER LAKE G-2572 _..._._i.._ 9 2 30' 49 22'30" LEGEND HIGHWAY AND ROUTE No - OTHER ROADS = TRAILS SURVEYED LINES TOWNSHIPS, BASE LINES. E TC LOTS, MINING CLAIMS PARCE LS f TC UNSURVEYED LINES LOT LINES PARCEL BOUNDARY MINING CLAIMS ETC RAILWAY AND RIGHT OF WAY -* UTILITY LINES NON PERENNIAL STREAM II78II6 FLOODING OR FLOODING RIGHTS i SUBDIVISION OR COMPOSITE PLAN " 1200650 RESERVATIONS ORIGINAL SHORELINE MARSH OR MUSKEG 178058 150144* 1200652 MINES TRAVERSE MONUMENT TOURIST CAMPS (OP-OUTPOST) DISPOSITION OF CROWN LANDS TYPE OF DOCUMENT SYMBOL PATENT. SURFACE & MINING RIGHTS. SURFACE RIGHTS ONLY. _. MINING RIGHTSONLY..._. 105473 LEASE. SURFACE & MINING RIGHTS ". SURFACE RIGHTS ONLY..._. H y T ", MINING RIGHTSONLY... LICENCE OF OCCUPATION... ORDER IN COUNCIL...... OC RESERVATION..._..._..._.. CANCELLED _..._..._....._... SAND & GRAVEL...... ro (X) (D oo O Lul 1105471 GO CD in c\j 6 NOTE: MINING RIGHTS IN PARCELS PATENTED PRIOR TO MAV 6. 1*13. VESTED IN ORIGINAL PATENTEE BY THE PUBLIC ACT. RSO 1,970. CHAP MO. SEC 63. SUSSEC 1 f REFERENCES WITHDRAWN FROM DISPOSITION M.R.O. - MINING RIGHTS ONLY S.R.O. - SURFACE RIGHTS ONLY UPDATED UJ M.+ S. MINING AND SURFACE RIGHTS ID O I- Description Order No Dete Disposition File V) D D o: Lul LJ O 2-16968 DATE OF ISSUE 1 7 1996 KENORA M 9 g g i s f SCALE : 1 INCH = 40 icm 0 1OOO J OOO 4OOO 6000 8OOO 0 200 METRlS 1OOO 11 KM! 2 OOO (7 KM) 49 15' I I 92 45' 44 43' 42' 41 40 39' 38 37' 36 35 34' 33' 3 2 ' 31 92 30' L-49 I5' AREA MEGGISI M.N.R. ADMINISTRATIVE DISTRICT FORT MINING DIVISION LAKE FRANCES/DRYDEN KENORA LAND TITLES/ REGISTRY DIVISION KENORA Ontario Ministryof Natural Resources v Land Management Branch DATE PUT IN SERVICE JUL 25 1996 KENORA MINING DIVISION THE INFORMATION THAT APPEARS ON THIS MAP HAS BEEN COMPILED FROM VARIOUS SOURCES, AND ACCURACY IS NOT GUARANTEED. THOSE WISHING TO STAKE MIN ING CLAIMS SHOULD CON SULT WITH THE MINING RECORDER, MINISTRY OF NORTHERN DEVELOP MENT AND MINES, FOR AD DITIONAL INFORMATION ON THE STATUS OF THE LANDS SHOWN HEREON X) EAGLE ROCK LAKE G-2672 493923 Oltt FEBRUARY, 1984 M. 2553 Numbtt G-2688

\ SUNSHINE LAKE 115O144 (SUNSHINE LAKE GRID MAP) 1 : 12,500 1678 1453 1316 1219 1135 1053 981 909 837 755 671 574 437 212 Magnetic Field Intensity (Gammas) Contour interval: 100 gammas RECEIVED DEC 24 189P $'.16968 Instruments: Geometries G 816 Proton Magnetometer APEX MaxMin II H.LE.M. unit 52F07SE0006 2.16968 MEGGISI LAKE 210 BLACK PEARL MINERALS INC. SUNSHINE LAKE PROPERTY 100m 0 200m 400m Surveys by: SERVICES EXPLORATION REG'D Rouyn-Noranda, Que. Data processing and Interpretation by: G. Lambert, P.Eng. MAGNETOMETER SURVEYS Contours of the Total Field Contour interval: 100 gammas N.T.S. inote: Location of topographic and cartographic information is approximate LAMBERT GEOSCIENCES Ltd. September 1996 SERVICES EXPLORATION REG'D

(SUNSHINE LAKE GRID MAP) 1 : 12,500 1678 1453 1316 1219 1135 1053 981 909 837 755 671 574 437 212 Magnetic Field Intensity (Gammas) Contour interval: 100 gammas RECEIVED DEC 2 4 1996 MINING LANDS BRANCH 2.16968 *w ^^ Instruments: Geometries G B16 Prof on Magnelomefer APEX MaxMin II H.LE.M. unit 52F07SEOOOB Z169G8 MEGGIS1 LAKE 220 BLACK PEARL MINERALS INC. SUNSHINE LAKE PROPERTY Surveys by: MAGNETOMETER SURVEYS Contours of the Total Field Contour Interval: 100 gammas 100m 0 200m 400m SERVICES EXPLORATION REG'D Rouyn Noranda, Que. Data processing and Interpretation by: G. Lambert, P.Eng. N.T.S. tiote: Location of topographic and cartographic information is approximate LAMBERT GEOSCIENCES Ltd. September 1996 SERVICES EXPLORATION REG'D

SUNSHINE LAKE 115O144 (SUNSHINE LAKE GRID MAP) I 1 : 12,500 R E C E! V E Q DEC 2 4 1996 MINING LANDS BRANCH Instruments: Geometries G 816 Proton Magnetometer APEX MaxMin II H.LE.M. unit luhmimiil 52R>7SEOOOe Z16968 MEGGISI LAKE 230 Profile base: 58,000 gammas Add 58,000 gammas to posted values BLACK PEARL MINERALS INC. 100m 0 200m Surveys by: SERVICES EXPLORATION REG'D Rouyn-Noranda, Que.? f SUNSHINE LAKE PROPERTY MAGNETOMETER SURVEYS Profiles of the Total Field Profile Scale: 1cm=1000 gammas Data processing and Interpretation by: G. Lambert, P.Eng. N.T.S. 1 o/e: Location o f topographic and cartographic information is approximate LAMBERT GEOSCIENCES Ltd. September 1996 SERVICES EXPLORATION REG'D

SUNSHINE LAKE 115O144 (SUNSHINE LAKE GRID MAP 1 : 12,500 IN-PHASE QUADRATURE PROFILE SCALE: 1cm=20% 2 * 1 69 RECEIVED DEC 2 4 1996 MINING l-andsbranch Instruments: Geometries G B16 Proton Magnetometer APEX MaxMin II H.LE.M. unit I I 5ZF07SEOOOB 2.169GB MEGGISI LAKE 240 BLACK PEARL MINERALS INC. SUNSHINE LAKE PROPERTY 100m 0 200m 400m Surveys by: f, SERVICES EXPLORATION REG'D Rouyn Noranda, Que. MAXMIN II H.LE.M. SURVEY In-Phase and Quadrature profiles Coil separation: 100 meters FREQUENCY: 1777Hz Data processing and Interpretation by: G. Lambart, P.Eng. N.T.S. Note: Location of topographic and cartographic information is approximate LAMBERT GEOSCIENCES Ltd. September 1996 SERVICES EXPLORATION REG'D

SUNSHINE LAKE 1150144 (SUNSHINE LAKE GRID 1 : 12,500 _J in-phase QUADRATURE 3 PROFILE SCALE: 1cm=20% \ 2-16968 RECEIVED DEC 2 4 1996 MININGLANDSBRANCH Instruments: Geometries G B16 Proton Magnetometer APEX MaxMin It H.LE.M. unit 52F07SE0008 2.16968 MEGGISI LAKE 250 BLACK PEARL MINERALS INC. SUNSHINE LAKE PROPERTY 100m 0 200m 400m Surveys by: SERVICES EXPLORATION REG'D Rouyn Noranda, Que. MAXMIN II H.LE.M. SURVEY In-Phase and Quadrature profiles Coil separation: 100 meters FREQUENCY: 3555Hz Data processing and Interpretation by: G. Lambert, P.Eng. N.T.S. Note: Location of topographic and cartographic information is approximate LAMBERT GEOSCIENCES Ltd. September 1996 SERVICES EXPLORATION REG'D

\ (SUNSHINE LAKE GRID MAP) I 1 : 12,500 IN-PHASE QUADRATURE PROFILE SCALE: 1cm=20% RECEIVED 2. * 6968 DEC 2 4 1996 MINING LANDS BRANCH^ Instruments: Geometries G 8T6 Pro/on Magnetometer APEX MaxMin II H.L.E.M. unit i52f07seooob 2.16968 MEGGISI LAKE 260 BLACK PEARL MINERALS INC SUNSHINE LAKE PROPERTY 100m 0 200m 400m Surveys by: SERVICES EXPLORATION REG'D Rouyn Noranda, Que. MAXMIN II H.L.E.M. SURVEY In-Phase and Quadrature profiles Coil separation: 100 maters FREQUENCY: 444Hz Data processing and Interpretation by: G. Lambert, P.Eng. N.T.S. 1 Nofe: Location of topographic and cartographic information /s approximate LAMBERT GEOSCIENCES Ltd. September 1996 SERVICES EXPLORATION REG'D