Work Report #2 Mining Claims & MacGregor Township, G-062 May 11,2004 By: Marc Ciccarelli - Claim Holder

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9 2 7672 Work Report #2 Mining Claims 1247155 & 1247156 MacGregor Township, G-062 May 11,2004 By: Marc Ciccarelli - Claim Holder This report includes a brief geological description of the rocks on these claims which are being manually surface stripped to expose Agate and Amethyst occurrences. Also included are maps, photos from the various work sites on each claim, a list of hours worked and duties performed.. In 2001 these two claims were staked and recorded by myself, Marc Ciccarelli, of Thunder Bay, Ontario. The claims are located in the south-west corner of MacGregor Township, Thunder Bay District South. Assessment Notice was sent to the Surface-Owners in 2001 and surface stripping work and reporting to the MNDM has as been conducted since then. Access to the claims is made by foot from Copenhagen Rd., at a point just north of the intersection between Hi-way 11/17 and Copenhagen Rd. The rocks exposed are Quartz-Carbonate sedimentary rocks belonging to the Upper Gunflint Formation, Anemikie Series. A variety of rock types have been laid down in flat beds. Some rock types are very glasslike while others are more grainy in texture. A major fault strikes East-West across the claim areas and has formed a long ridge and several outcrops. Quartz veins have intruded into and filled some of the shattered and delaminated sedimentary rocks to form various types of Agate and Amethyst. Hours Worked - April A May 2004 April 16 April 17 April 19 April 20 April 22 April 28 April 29 May 3 May 5 May 10 May 11-4 hours - 3 hours - 4 hours - 3 hours - 3 hours - 7 hours - 6 hours - 2 hours - 4 hours - 5 hours - 2 hours Work performed includes clearing of vegetation and surface stripping of the overburden with hand tools. Agate and Amethyst pieces were sorted and separated from the other rock fragments and gravel which make up the overburden. TOTAL Hours ^ 43 43 Hours X S15 per Hour = S 645 Assessment work applied. 52A06NE2002 2.27672 MACGREGOR 010

9 2?6^ 2 Notice of Intention" * ~ and Mines to Perform Assessment Work To J.^sr itit of being the registered holder(s) of the surface rights of: recorded as Mining Claim(s) lol/concession/township/area l, A&C iccf/ee^i ^^^- of 776. being the holder of the above-mentioned mining claim(s) give notice as follows: 1. A review of the parcel register/abstract of title for the above-mentioned lands confirms that you are the registered holder of the surface rights to the lands. 2. It is my intention to carry out ground assessment work on the lands, commencing on/or about Jx^y *~3 lc^o in accordance with the Mining Act. Dated at 1 '5d i^!, this 23 ^ day of -r J*-*- y * Note: The Mining Act reads as follows: d ^ c ^Signature of Recorded Holder of Mining Claim(s) If there is an owner of the surface rights of the land comprising a mining claim, where a holder of the mining claim first proposes to do ground assessment work on such land, the holder shall give notice in the prescribed form to the owner of the surface rights of the holder's intention to perform work. A person who has given notice under this section may enter on the lands and perform the work at any time immediately following the day the notice is given. Send This Sheet to The Mining Recorder Certificate Confirming Notice of Intention to Perform Assessment Work Transaction number (office use) l, MARC dccak.e.^^1. of "7~76 Ajfe~^fr4*-^ /2p- certify that the annexed notice of my intention to perform assessment work was given to the holder of the surface rights on 31'-!-^ 3-Z (Date) Dated at ff ' 3 o ^^. this 2.3 ^-b day of Ju-^y -49-2.f Thunder Bay?7ft*c, ^ic^^jl^ 0242(02*8) --^lirj Division Signature of Recorded Holder of Mining Claim(s) JUL 23 2001 RECEIVED

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2. 27672 of N t UTM Zone 16 1000m grid 2.002. r tj OF /Om f S 2,65- //A5 w

2.27672 M 1 * jt ^e^ch. UTM Zone 16 1000m grid /r

Photos from Location A on claim #1247155. 2. 27672 A l. Agate piece found in shallow overburden. A2. Several different quartz veins cemented the shatter /one during and after the agate had formed A3. Glacier-polished surface rocks show vugs A4. Agate layers formed between de-laminated layers lined with sniokcy quartz. of glass-like rocks. A5. Agate attached lo bluish-grey cherty bedrock is A6. Agate has formed ill me unconformity between a found throughout the stripped hilltop and hillside. cherty series of rocks which overlie buff colored "grainstone"

Photos from Location B on claim #1247155. 3 near-parallel Quartz veins^'- 13" thick, are staggered^^and^lapart. The quartz in the win.-,.^in u. converge on a larger breccia area to the east, which seems to consist of mainly white Quartz with minor Amethyst. A shallow overburden was removed to expose the veins and see how they formed. Vugs have formed at various points along the exposed veins.

Photos at Location C on claim #1247156. 2. 27672 Here are photos of comparatively higher quality Agate, which was dug out of shallow trench at the south side of the road. Approximately ^53Lbs was removed from a 2'X5' and l' deep trench. The agate has formed in flat lying beds and consists of 3 phases: 1) Chalcedony 2) Crystallized Quartz 3} Carbon. Thin veins of Amethyst, Pyrite, and Fluorite are noted to cut through the small trenched area as well. Glacier- i u bedrock containing agate NW of Location C trench.

ONTARIO MINISTRY Work Report Summary OF NORTHERN DEVELOPMENT AND MINES Transaction No: Recording Date: Approval Date: W0440.00739 2004-MAY-17 2004-MAY-20 Status: APPROVED Work Done from: 2004-APR-16 to: 2004-MAY-04 Client(s): 393323 CICCARELLI, MARC ANDRE Survey Type(s): Work Report Details: Claim* Perform TB 1247155 S645 TB 1247156 SO PSTRIP Perform Applied Assign Reserve Approve Applied Approve Assign Approve Reserve Approve Due Date S645 S345 S345 3300 300 SO SO S300 S300 SO 0 SO SO 2005-JUN-06 SO 2005-JUN-06 S645 S645 S645 S645 S300 S300 SO SO External Credits: Reserve: SO SO Reserve of Work Report*: W0440.00739 SO Total Remaining Status of claim is based on information currently on record. 52A06NE2002 2.27672 MACGREGOR 900 2004-Jun-02 14:56 armstrong-d Page 1 of 1

Ministry of Northern Development and Mines Date: 2004-MAY-20 Ministere du Ontario Developpement du Nord et des Mines GEOSCIENCE ASSESSMENT OFFICE 933 RAMSEY LAKE ROAD, 6th FLOOR SUDBURY, ONTARIO P3E 6B5 MARC ANDRE CICCARELLI 103 S. WINDEMEREAVE., THUNDER BAY, ONTARIO P7B 4M5 CANADA Tel: (888) 415-9845 Fax:(877)670-1555 Dear Sir or Madam Submission Number: 2.27672 Transaction Number(s): W0440.00739 Subject: Approval of Assessment Work We have approved your Assessment Work Submission with the above noted Transaction Number(s). The attached Work Report Summary indicates the results of the approval. At the discretion of the Ministry, the assessment work performed on the mining lands noted in this work report may be subject to inspection and/or investigation at any time. If you have any question regarding this correspondence, please contact STEVEN BENETEAU by email at steve.beneteau@ndm.gov.on.ea or by phone at (705) 670-5855. Yours Sincerely, Ron C. Gashinski Senior Manager, Mining Lands Section Cc: Resident Geologist Marc Andre Ciccarelli (Claim Holder) Assessment File Library Marc Andre Ciccarelli (Assessment Office) Visit our website at http://www.gov.on.ca/mndm/lands/mlsmnpge.htm Page: 1 Correspondence 10:19419

S2A06NE2002 2.27672 MACGREGOR 200 ONTARIO CANADA MINISTRY OF IKMtTHeilN MveLomrefiT AND MINIS PROVINCIAL MINING RECORDER'S OFFICE Mining Land Tenure Map '\ Date i Time of Issue; Wed Jun 09 13:31:52 EOT 2004 TOWNSHIP l AREA PLAN MACGREGOR G-0672 ADMINISTRATIVE DISTRICTS l DIVISIONS Mining Division Land Titles/Registry Division Ministry of Natural Resources District Thunder Bay THUNDER BAY THUNDER BAY 'JS-.--5378000N TOPOGRAPHIC ~ i Administrative Boundaries { Township Concession, Lot K jjjj Provincial Park lyvi Indffln Reserve i" ": Cliff. Pit t Pile Contour r Mine Shafts 4 Mine Hetatmma M.M.M, Railway Road...,... Trail... Natural Gal Pipeline...,.. untie* i Tower Land Tenure Freehold Patent rjn Surface And Mining Rights i ^ i Surface Rights Only rj'l MWno RioUta Only Leasehold Patent f Surface And Mining Rights nn Surface Rights Only J s Mining Righto Only Licence of Occupation B m Uses Not Specified Surface And Mining Rights Surface Righto Only Mining Rfchts Only Land Use Purnl Order In CounoH (Not open for staking) Water Power Lease Agreement " ~ "" "^ Mining Claim Fled Only Mining Claims UNO TENURE WITHDRAWALS 34 J Aram Withdrawn from Disposition Mining Acts Withdrawal Types Warn SurtBca And Mining RigrilB VWfidrawn W8 Surtw* RJotiftf Only Wr*!*awn Wm Mining Warm Only W***wn W"im Ortor In Council Withdrawal Typos w*s W*rn Mining Ritflts Only W*i*iwrn "l IMPORTANT NOTICES Solo 1:4tist LAND TENURE WITHDRAWAL DESCRIPTIONS Identifier Type Dale Description 3351 W.70/77 Wan W8 Jan 1.2001 SURFACE AND WININO RIGHTS WITHDRAWN FROM STAKING ORC SUB. 200(4) THE MINING ACT Juie, 2001 W.70/77 Vim S.R.O. 123*28 UTM Zone 16 9000m grid Those wishing to stake mining claims should consult with the Provincial Mining Recorders' Office of the Ministry of Northern Development and Mines for additional General Information and Limitations information on the status of the lands shown hereon. This map Is not intended for navigational, survey, or land title determination purposes as the information Contact Information: shown on this map is compiled from various sources. Completeness and accuracy are not guaranteed. Additional information may also be obtained through the local Land Titles or Registry Office, or the Ministry of Natural Resources. This map may not show unregistered land tenure and interests in Toll Free Map Datum: NAD 83 *snd including certain patents, teases, easements, right of ways. Provincial Mining Recorders' Office Tel: 1 (888)416-9846 ext 57**iection; UTM (8 degree) flooding rights, licences, or other forms of disposition of lights and Willet Green Miller Centre 933 Ramsey Lake Road Fax: 1 (877) 670-1444 Topographic Data Source: Land Information Ontario interest from the Crown. Also certain land tenure and land uses Sudbury ON P3E 6BS Mining Land Tenure Source: Provincial Mining Recorders' Office **' restrw " Prohibit free entry to stake mining claims may not be The information shown is derived from digital data available in the Provincial Mining Recorders' Office at the time of downloading from the Ministry of Northern Home Page: www.mndm.gov.on.ca/mndm/mines/lands/mlsmnpge.htm illustrated. Development and Mines web site.