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. -". --...... GEOCHEMISTRY REPORT HMPLESTILTSKIN #l-5, CEASAR, NOT ALL THERE WILLY'S FIRST MINERAL CLAIMS SKEENA MINING DIVISION NTS 103 P/8W LATITUDE 53O 21'N LONGITUDE 132O2O'W DATES OF WORK: July 7, 1981 to July 18, 1981 OWNER OPERATOR WRITTEN BY Gordon G. Richards JMT Services Corp. Gordon G. Richards, P.Eng. James S. Christie, Ph.D. October 26, 1981

LIST OF ILLUSTRATIONS INTRODUCTION IKATXON AND ACCESS TOPOGRAPHY AND VEGETATION MINERAL CLAIMS GEOLOGY GEOC-sTRY - General - structure TABLE OF CONTENTS - Alteration and Mineralization - General - Gold - Arsenic - Mercury CONCLUSIONS AND RECOMMENDATIONS STATEMENT OF COSTS STA- OP QUALIFICATIONS - Gordon G. Richards James S. Christie PAGE i 1 1 4 4 4 5 5 6 6 7 7 7 8 9 10

INTRODUCTION The claims cover an extension of a west north-west trending mineralized belt that has been traced for over 10 kxa from Gospel Point on Rennel Sound to the Courte Sb-Au Prospect on Upper Riley Creek. Reconnaissance geochem sampling in 1978 provided ananalous Au-As-Hg geochem from base of slope silts within the claims. A subsequent programme completed in August 1979 consisted of grid soil sampling, geological mapping and rock chip sampling. That prograrmne located an. anarralous geochem pattern some 2000 m long in the southeast portion of the claims. A follow-up programme was undertaken to provide more detailed geochemical and geological information on which to base possible drill targets (assessment report dated November 1980). Results of the follow-up programme indicated a zone 400 metres long by 100-175 metres wide of strong alteration and anomalous arsenic and weak gold geochem, which may extend northwest another 150 metres under a swamp. The zone almost certainly extends southeast another 500 metres across a swampy hillside based on several preliminary soils. The current programme extended the reconnaissance geochemical sampling over portions of Rumplestiltskin Y2 and #5 mineral claims where no previous work had been done. 1. LOCATION AND ACCESS The property is located on a hill south of the headwaters of Riley Creek and the upper drainage of Phantom Creek northwest of Yakoun Lake, Graham Island, Queen Charlotte Islands. The property is readily accessible by all weather private logging roads connecting Queen Charlotte City and Rennell Sound. These roads are open to the general public after working hours and on weekends or by special arrangement. The anomalous zone described below crosses the road at an oblique angle and is nowhere more than 400 metres from the road. Access to the northern part of the property is easily made via the Riley Creek road system.

6. e2 TR 9 n.eli I f L 2426 3.s O Y 1 21 w FIGURE 2 CLAIM MAP RUMPLESTILTSKIN PROPERTY SCALE 1:50,000

3. I Property J MT SERVICES CORP. RUMF'LESTILTSKIN MINERAL CLAIMS PROPERTY LOCATION MAP FIGURE 1

' 4. TOPOGRAPHY AND VEGETATION Elevations on the claim group range from 900 feet above sea level along the upper drainage of Phantom Creek to 1900 feet on the hill to the northwest. Valley bottoms and ridge top are covered in mixed cypress-pine swamps and mature hemlock-spruce forest. Hill slopes are heavily timbered with hemlock-spruce-cedar. Overburden is relatively thin, generally less than 5 metres except in the valley bottom where depths of as much as 30 metres are estimated. Outcrop is rare on the ridges and sparse on the valley floor occurring only along some sections of the larger creeks. Nearly continuous exposure of bedrock exists in the numerous creeks draining the hill slopes up to an elevation of about 1400 feet. Abobe this elevation creeks have not developed and outcrops are few. MINERAL CLAIMS The property consists of the eight claims listed below: CLAIM NAME UNITS RECORD NO. RUMPLESTILTSKIN #I 4 655 (7) #2 9 656 (7) Y3 4 657 (7) #4 8 1184 (3) 15 6 1185 (3) WILLY'S PIRST 2 764 (9) 8 763 (9) 4 617 (6) GEOLOGY General - The geology is very much as described by Sutherland-Brown in B. C. Dept. of Mines Bulletin 454. Rocks of the Yakoun Formation of Jurassic age outcrop on the hill between the headwaters of Riley and Phantom Creeks. They are divisible into three mappable units. The lowermost unit is mixed argillite, argillaceous tuff with minor andesite and occurs in the southwestern and western parts of the survey. Above this unit is a distinctive looking light to medium grey wispy bedded tuff. Tbe third unit lies above this marker unit and is like the first except?

5. that it contains more volcanic detritus and much carbonaceous material including trunks of trees up to 2' in diameter. South of the headwaters of Phantom Creek rocks of the Longarm Formation of Cretaceous age outcrop down to the road or possibly as far as the east flowing tributary to Phantom Creek. They are calcareous siltstones and sandstones recognized in a few outcrops by the characteristic fossil Inoceramus. The 2200 foot high hill at the east end of the property is underlain by porphyritic andesite of the Tertiary Masset Formation. Float of similar material is abundant on the hill south of the road above the area underlain by Longarm Formation, The east end of the hill north of the road is underlain by porphyritic andesite that also may be Masset Formation. Small quartz feldspar porphyry dykes, not mapped, occur in the sedimentary part of the Yakoun Formation in two altered zones -- one by the road and the other at the northwest end of the property. 1. Structure - Two faults have been mapped on the property that roughly parallel the major Riley Fault System. The Longarm Formation is probably in contact with the Yakoun Formation along a major east-west or west northwest trending fault. The alteration pattern in this area also appears to be affected by such a fault that may be a control of mineralization, Bedding attitudes are steep, have' a general northwest trend but change to a more northerly attitude in the Long- Formation. 2. Alteration and Mineralization - ltj0 clay-carbonate-silica alteration zones with accompanying disseminated and fracture pyrite occur on the property. Both zones contain a few quartz feldspar porphyry dykes. One zone, occuring along the northern boundary of the claims in a tuff-sediment sequence, is 300 metres wide by 800 metres long. The other zone, along the road in the southern part of the claims, occurs in a similar tuffaceous sedimentary package but also occurs in calcareous siltstone of the Longarm Formation. This zone has local tourmalinization andcontains more pronounced zones of silicification. Carbonate has been destroyid in the silica zones.

This second alteration zone is 100 to 200 metres wide and 2000 metres long. The zone may be open to the west but weakens to the east. 6. b ' GEOCHEMISTRY General - The geochemical sampling described in this report was undertaken to evaluate an area that had not been previously sampled or explored. Soil lines were run 150-200 metres apart with a sample interval of 50 metres on lines approximately parallel to the contours. The sample locations are shown on Figures 3. Rock chips were taken where appropriate from outcrops showing signs of mineralization or alteration. In total, 167 soil and silt samples and 5 rock chip samples were collected and analysed for gold, arsenic and mercury. Soil samples were collected using rock hammers and scoops and augers where necessary from the B Horizon where possible, from depths of 1 cm to 50 an. Stream sediments were collected from active creek beds using stainless steel scoops. Rock chip samples were made from 3-10 rock chips small enough to fit into standard gusset kraft sample bags. Gold, arsenic and mercury g- 'cal analyses were done on the -80 mesh fraction by Vangeochem Labs Ltd., 1521 Pemberton Avenue, North Vancouver, B.C. using the following procedures: - Aqua Regia - ion exchange - Atomic Absorption GOLD - ARSENIC - Perchloric - nitric disolution - Colorimetric MERCURY - Aqua Regia - flameless Atomic Absorption The current samples 81-G-(364-443) and 81-JM-(125-214) have been added to Figure 3 which accompanied a previous report. These new samples are all located in the top left (northwest) corner of the map area on Rumplestiltskin 2 and 5 mineral claims. - Gold - Gold values obtained in the survey range from and averaged 10 ppb. 1 to 30 ppb Au Samples with gold values exceeding 20 ppb gold are considered anomalous. Only 7 samples returned values in the range of 20-30 ppb Au and these do not cluster or form a pattern.

~ U 7. Arsenic - Values obtained in the survey ranged from 2 to 60 ppm As, and averaged about 10 ppn. Ten samples with arsenic contents exceeding 20 ppm As are anomalous, but only sample G-415-60 ppm As is strongly anomalous. The anamalous values form a spotty inconsistent pattern and there is no apparent correlation with ananalous gold or mercury values. Mercury - Mercury values obtained in the survey range fran 30 to * 430 ppb Hg and averaged about 100 ppb. None of the values obtained are considered to be significantly anomalous. W coe3clusions AND RECOMMENDATIONS The current geochem sampling programme has failed to indicate an anomalous values of significance in he northwest part of the property on the Runplestiltskin #2 and #5 mineral claims. The sample density is believed to be adequate to draw a conclusion that the occurrence of coannercial gold mineralization within the area sampled is most unlikely No further work is warranted or reconnaended in that area. It would be prudent to continue to hold the ground until evaluations of the known anomaloies occuring on the southeastern part of the property and on the caurte praperty to the north have been completed. - L ~..

W STATEMENT OF COSTS RUMPLESTILTSKIN Y1,2,3,5 MINERAL CLAIMS (SWAMP GROUP) 8. 1981 GEocfIEMIcAc PROGRAMME GEOLOGIST C. Harivel July 7 (5) 19 (4) (Supervision) J. Mustard July 7-10 (Technician) P. Stuart July 7-10 (Technician) lday @ $200 $ 200.00 4 days@ $110 440.00 4 days $110 440.00 Meals - field - 9 mandays @ $25 225.00 Motel - 2 roam - 2 nights 180.00 Truck rental 4 days @$60 240.00 Camp and field supplies - soil bags, string, flagging, 125.00 Freight - samples and equipment 50.00 Airefares - 2 - lway Vancouver-Sandspit 210.00 Report and drafting - #6483 Vang-hm 800.00 1.840.30 $4,750.00

STATEMENT OF QUALIFICATIONS hereby certify that, I, Gordon G. Richards of Vancouver, British Columbia, do 1. I am a Professional Engineer of the Province of British Columbia residing at 6195 Qnas Lane, Richmond, B.C., V7C 3K8 2. I am a graduate of the University of British Columbia B.A.Sc. 1968, M.A.Sc. 197k 3. I have practised my profession as a mining exploration geologist continuously since 1968. w 4. This report is based on my personal knowledge of the district, and mapping of the geology at the property. / Gordon G. Itichards, P.Eng.