GEOPHYSICAL REPORT CHU CHUA PROJECT Green Mountain Group. KAMLOOPS MINING DIVISION NTS 92P/8E, 82M/5W Lat: 51'24' N Long: 120'00' w

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I GEOPHYSICAL REPORT CHU CHUA PROJECT Green Mountain Group KAMLOOPS MINING DIVISION NTS 92P/8E, 82M/5W Lat: 51'24' N Long: 120'00' w I rvm #.,_..._..._._._.- $...-...! 1 VANCOUVER, B.C. 1 G E 0 I, 0.G 1 C A L B R A N C H ASSESSMENT REPORT Owner/Operator Minnova Inc 4th Floor 311 Water St Vancouver, B. C. Shelley Lear January 18, 1989

Table of Contents Pase INTRODUCTION... 1 General... 1 Location and Access... 1 Physiography... 1 Property and Ownership... 1 History... 4 Work Done... 4 LOGISTICS... 5 RESULTS... 5 CONCLUSIONS AND RECOMMENDATIONS... 6 ITEMIZED COST STATEMENT... 7 STATEMENT OF QUALIFICATIONS... 8 Table 1 Tables Claim Information... 4 Figure 1 Figure 2 Figure 3 Figure 4 Figure 5 Fisures Location Map... 2 Claim Configuration... 3 Linecutting Map 1:5000... in pocket MaxMin I1 444 Hz 1:2500... in pocket MaxMin I1 1777 Hz 1:2500... in pocket

1 INTRODUCTION General The Chu Chua property was optioned by Minnova Inc in August 1985 from Pacific Cassiar Ltd., Quinterra Resources Inc., and Vestor Explorations Ltd. This report covers a portion of the property called the Green Mountain Group. The group consists of six claim blocks totalling 85 claim units. Location and Access (Figure 1) The Chu Chua property is located about 24km NE of Barriere, B.C. Access is readily available from Highway 5 via the North Barriere Lake road and the Birk Creek logging road. Physioqraphv The claims lie in sub-alpine terrain with average elevations of 1800m to 2000m. Towards Dunn Creek, elevations drop to 900m and the topography on the slope of the valley is very steep. The climate is moderate to extreme with the snow free period extending from July to October. Property and Ownership Pertinent claim data for the Green Mountain Group is summarized in Table 1. Claim configuration is shown on Figure 2. All claims are 100% owned by Minnova Inc (formerly Corporation Falconbridge Copper).

0 20 50 10 K m LOCATION MAP CHU CHUA OPTION FIGURE

Mt Group /- Chu Chua CH1 sc1 I CH4 ) CHll / MNNOVAIM FILE O:\OWC\LOCCHUA 3000 metres CHU CHUA OPTION CLAIM CONFIGURATION & GRIDS Dmbo Figure 2

4 Table 1 Claim Units Record No. Expiry Date cc5 20 1455 Oct 24, 1989 CC6 9 1456 Oct 24, 1989 cc7 20 1457 Oct 24, 1989 cc9 12 1458 Oct 24, 1989 CH9 12 1469 Oct 24, 1989 DIXIE 4 12 6858 Nov 21, 1997 History Previous exploration on the claims was conducted by Craigmont Mines Ltd. They discovered a massive sulphide deposit on the Chu Chua property, south of the Green Mtn Group in 1978. Work on the Green Mtn area was confined to linecutting, geochemical sampling, geological mapping and limited diamond drilling. During 1979 a Dighem AEM survey was flown over the area (AR - July '79, Fraser & Dvorak). During the 1987 field season, Minnova conducted reconnaissance mapping on the CC7 claim in the vicinity of Green Mtn. Work Done During the 1988 field season work consisted of extending the Chu Chua Main grid to the north. A MaxMin I1 survey was conducted over most of the grid. Only a portion of the total grid area lies within the Green Mtn Group. Linecutting 28.8km extended main grid north MaxMin I1 19. lkm new grid lines covered

5 LOGISTICS Linecuttinq A cut grid consisting of 42.lkm was established by Bushworks Exploration Support Services Inc north of the Chu Chua Main grid. Of this total, 28.8km lie on the Green Mtn Group (Figure 3 ). MaxMin I1 The MaxMin I1 survey was conducted by MWH Geo-Surveys Ltd between Sept 10 to Sept 18, 1988. Coil spacing was 150m with stations at 25m along grid lines 100m apart. Frequencies used were 444 Hz and 1777 Hz. At each station, secant measurements were taken to correct for nominal coil spacing irregularities induced by rough terrain. The in-phase and quadrature values, read as a percentage of the primary field strength, were recorded for each of the frequencies. RESULTS MaxMin I1 Survey (Fig. 4,5) One weak anomaly is present on the 1777 Hz frequency map. This anomaly extends from line 12900N, 10750E to line 12100N, 11050E. It is strongest on lines 12700, 12500 and 12400 becoming progressively weaker towards the south and disappearing below line 12100. No anomalies were discernable on the 444 Hz frequency plot.

6 - CONCLUSIONS AND RECOMMENDATIONS The 1988 geophysical survey indicated one weak anomalous response. Further work including geological mapping, rock sampling and soil sampling on the grid is needed to evaluate the economic potential of this area. A magnetometer/vlf geophysical survey is also recommended.

7 ITEMIZED COST STATEMENT MaxMin I1 Survey Linecutting MWH Geo-Surveys Ltd. 6.5 days @ $575/day - Bushworks Exploration Services $3737.50 28.8km @ $320/km - $9216.00 Supervision and Report D. Blackadar 2 days @ $300 = $ 600.00 S. Lear 2 days @ $250 = $ 500.00 ----------- Total $14,053.50

STATEMENT OF QUALIFICATIONS I, Shelley R. Lear certify that: 1. I am an Exploration Geologist residing at 2393 W. 6th Ave., Vancouver, B. C. 2. I have a BSc in Geology from the University of British Columbia (1981). 3. I have practised my profession since 1981. 4. I personally carried out or supervised the work reported herein. Dated this \yh day of, 1989. 3C1MUQIT Y Shelley R. Lear Geologist