520a8NW0828 S20e8NWea23A1 KAPKICHI LAKE 010

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A GEOMAGKETIC SURVEY AKD AN ELECTROMAGNETIC CHECK x'

SURVEY OF 31 CLAIMS .'

OF

KAPKICHI KSCKBL MIKES LIMITED

Pickle Lake Area, Patricia District,

FOR

THE DIRECTORS

Haileybury, Ontario February 10, 1958

, \

E. L. MacVeiifh, B.A., H.S,.

M/J'S

COKTByTS

1. Foreword2. Property fr Access3. Ceolocy (f Mineral Deposits4* Geomagnetic Survey Procedure5. Electromagnetic Survey Procedure6. Interpretation of Results7* RecooMandations8. Survey Data b AssessiMnt Work

Distribution9. Certification

a. Goonaffnetic Contour Map Sheet "A"Scal'e l" to 200*

b. Ceonaf;netic Contour Map Sheet "B"Scale l" to 200'

c* Ulectroaaj?netic Check Profiles tt ContoursScale l" to 200*

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FOREWORD

A geophysical survey of the Kapkichi Nickel

Mines was undertaken to explore the claim holding* for copper and

nickel sulphide occurrence* Previous inforoation gained on neigh

boring ground showed that known sulphide outcrops bearing copper

and nickel were present in areas of marnetic anomalies. During the

recent survey geomagnetic work was carried out over 31 claims held by

Kapkichi Nickel Mines and the Magnetic anomalies checked by electro

magnetic survey work,

FROPERTT b ACCRSS

The Kapkichi Nickel Hine property is composed

of 43 unpatented claims, approximately 1720 acre*, filed with the

Mining Recorder at Sioux Lookout, Ontario, as followat-

PA.17486 to 17488 inc. 3 claimsPA.17489 to 17502 inc.., 14 claimsPA.20870 to 20880 inc. - 11 claimsPA.20891 to 20896 inc. ~ 6 claimsPA.15457 to 15465 inc. 9 claims

43 claim*

The 31 ci alma surveyed are PA.17489 to 17502 inc., PA.20670 to

20880 inc., PA.20891 to 20896 inc.

The property is located on Kapkichi Lake 8

miles due west of Pickle Lake, Ontario. Access is gained from

Savant Lake, o station on the Canadian Kational Railway 300 miles

east of hlnnipOR. From Savant Lake a daily bus runs 110 miles

north to Pickle Luke townaite from which aircraft sorvice ' -

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th* local area.

GEOLOGY AMD MINERAL DEPOSITS

The Kapkichi Nickel property la located geologi

cally at the weat end of the Pickle Lake belt of greenatone rocka.

Thia belt, which ia flanked northweat and aoutheaat by granite, is

approximately 4 milea wide and extenda 28 milea to the northeast. It

dipa steeply to the north and probably repreaenta the north limb of

a laree anticline aa deacribed by M. E. Hurst of the Ontario Depart

ment of Minea. The greenstone rocka are compoaed of andeaitic and

baaaltic lava flowa with aome interbedded aedimenta including dia-

continuoua iron formation baada. The general atrike ia M 50 o-75oEaat.

Pre-Algoman baaic intruaivea and Algoman acid

intruaivea are found in the greenstone area with late intruaivea of

Keweenawan diabaao. The Keewatin rocka are frequently aheared in a

northeast-southwest direction parallel to the atrike of the green

stone and fractured in a northweat-aoutheaat direction at richt anglea

to the atrike and ahearing. Mineralisation ia aaaooiated with both

the ahearinc and the fracturing in the Pickle Lake belt.

Rock aamplea taken from the Kapkichi Nickel pro

perty during the surrey ahowt (l) (2) baaic intruaivea, probably

diorite, (3) slate, probably tuff, (4) (5) (8) biotite granite gneiaa,

probably dyke, (6) aerloite schist, probably intrusive, (7) rhyolite.

GF.OMAGNUTJC SURVEY PROCEDUUg

The survey was carried out from a main base line

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K 85O E fro* which picket line* were extended north and south

to the property boundaries. Picket line* were spaced 400* apart ex

cept in anomalous areas where picket lines were spaced 200* apart*

Magnetic stations were read at 100* intervals on all picket lines,

base lines, and oast-west property boundaries.

Magnetic readings were Bade with a Sharpe

Schmidt type A-2 Vertical Field Magnetometer with a sensitivity of

19*7 gammas per scale division. The Main Control Station is located

at the junction of the main base line and picket line - 00. A total

of 38.5 miles of line was cut, chained and picketed, and 2,418 vac-

net ic stations were read and recorded.

A tie-in was nade with an Ontario Government

Station located on the Teck-Lebol Township boundary near Kirkland

Lake at 02t40 P.M., January 28, 1958 reading 1588 gammas. The re

ported value of the station is 58,030 gammas absolute plus or minus

25 gamnas.

ELECTROMACKETIC SURVEY PROCEDURE

The Ronka Horizontal Loop Electromagnetic method

employed on the survey of the Kapkichi Nickel Mines property makes

use of two horizontal electromagnetic loops. These are connected by

a cable with a separation distance of 200 feet and are carried by two

operators along established picket lines.

The primary electromagnetic field is originated

in a transmitting coil by one operator at 876 cps. The second opera

tor takos readings of t ltd effect of the induced secondary field caus-

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ed by a conductor such as a sulphide son** This is accomplished by

tuning two potentiometers to an audible null* The readings on the

potentiometers measure the In Phase and Out of Phase components of

the secondary field by recording an increase or decrease in the COM*

pensating voltage.

In the field stops are Made at 100' intervals

for readings. These are plotted on the accompanying map. The In

Phase readings are shown on the left of the picket lines and the

Out of Phase readings on the right expressing plus and minus com

pensating voltage changes in percentage.

Profiles are plotted as a continuous line for

In Phase readings and a broken line for Out of Phase readings. Nega

tive readings are shown to the left and positive readings to the

right. The profile scale is one-tenth of on inch equal to one per

cent compensating voltage change*

Contours have been used to outline electrically

conductive areas as indicated by the lower readings of the In Phase

component*

The readings indicative of a sub-surface con

ductor are the deeper minus readings on the In Phase associated

with near zero or positive readings on the Out of Phase*

Results of an electromagnetic survey should be

interpreted with the available information on the geology and topo

graphy of the property as well as data from any other geophysical

surveys. This is an aid in distinguishing those anomalies caused

by sulphide mineralization from sources such as graphitic zones,

wot clay filled depressions, B!.ore line drop of f B, etc.

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ISTERPRETATIOK OF RESULTS

The results of th* geomagnetic survey hay* indi

cated four anomalous areas of significance for mineral exploration.

These are ahown on the accompanying map* aa anomalies "A", "B", "C",

and "D".

"A* Anomaly

The largest and strongest magnetic anomaly found

on the property ia Anomaly "A" located on picket linea 4V to l2Cast

and between the baae line and distances 1800* north. Readings tip to

231000 gammas were obtained in the "A* Anomaly area over a background

for the property of 500 to 700 gammas. The magnetic anomaly covers

an area 2400* long and 1200* wide with a atrike of li 40O W and pro

bably repreaents a baaio intrusive sheet or plug dipping to the

northeast,

An electromagnetic check survey carried out over

the high magnetic readings in the "A* Anomaly area shows the pre

sence of a atrong conductor aaaociated with the magnetic anomaly.

The conductor axia strikes H 40O W crossing picket lines 00 - 25 -

4 E and 8E. Low In Phase readings associated with near sero or high

Out of Phase re acline a mark this location as a strong subsurface con

ductor 200' to 400* wide and indicated on atrike for 1200*. The

zone ia to open the southeast where electromagnetic readings termin

ated along the baae line* The reaults are interpreted as being a

cone of massive and disseminated aulphides associated with a basio

intrusive rook, the whole dipping to the northeast at 50O to ?0O .

The presence of rich copper bearing float found

in the overburdened "A" anomaly area at 600X on line 2'Ji and 700'K

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on lin* 00 la strong evidence that the underlying conductor von* im

a copper bearing aulphide deposit. An analysis of five pounds of

th* float material returnedi- copper - 5,24*, silver - 1.03 os*, per

ton, cold - 0.02 oss. per ton, nickel - trace, platinum - trace.

"D" Anomaly

On strike of Anomaly "A" to the southeast is a

son* of hijrh magnetic readings south of the Bain base line on picket

lines 14E to 24C, Readings in this area reach 4300 ga BUM s in s

general background of 400 to 600 gammas. The anomaly area is 200*

to 300* wide and 1200* long. The *D* signetle anomaly is such narrow

er than the "A" anomaly and shows a vertical dip.

An electromagnetic check surrey over the "D*

anomaly area, while incomplete, revealed some significant readings

on lines 16E, 20E, 22E, and 24B. The results show a conductor sons

aasociavtJ with the higher magnetic readings in anomaly "D" and

located on atrike of anooaly "A*. The interpretation for anomaly "D"

is the same as Anomaly "A" namely that sulphide mineralisation is pre

sent with a basic intrusive which in the anomaly "D" area is a verti

cal feature.

"C" Anomaly

On the south shore of Kapkichi Lake crossing

picket linos 20E to 32B is a magnetic anomaly 100' to 200* wide

and 1400' long atriking parallel to the anomaly "A* conductor sone.

Heading* in the area show a high of 2800 gammas over a background

of 500 to 700 gammas. An electromagnetic check survey over the

high magnetic readings in the "C" anomaly show a moderately high

conductor aono indicative of uulphido Generalization. The associa-

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t ion of the hi*h magnetic readings with a conductor axis and tb*

paralleliaa of tha "A", "B", and "C" sonaa itxlicate a common inter-

pratation for all three anomalies.

*g* Anomaly

Magnetic readinga up to 2500 gammaa war* ob

tained at tha north boundary of tha property on linaa 40E and 448

and tha survey extended 500* north on six picket linaa. An electro

magnetic check aurrey showed a weak conductor zone aaaociatad with

the magnetic anooaly, Tha conductor axia atrikea eaat-west. This

anomaly ia 3000' waat and on atrike of a copper and nickel occurr

ence at tha eaat aide of tha property which haa bean diamond drill-

ad by Thompeon-Lundmark Cold Minaa Limited showing pyrite, pyrr

hotite and chalcopyrite aaaociatad with a diorite intrusive. Dur

ing the recent aurrey a mile of magnotoootar check readings were

carried out over the known sulphide area with readinjra up to 4400

gammaa. Ko electromagnetic check work was carried out in the area

diamond drilled* Anomaly "D" ia probably a disseminated sulphide

occurrence aaaociated with an aaat-wast diorite intruaive similar

to that explored by diamond drilling at tha eaat aide of the pro

perty.

RECQMMEKDATIOKS

The *A" Anomaly thowa a atrong conductor tone

200' to 400' wide and 1200' long open at the aouthoant end. Rich

copper bearing float la found on aurface near the anomaly. It ia

recommended that the sone be diamond drilled. A preliminary diamond

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drill hole proposed to invest isate the anomaly i* as followsi-

Diamond Drill Hoi* "V*

Collar Location - Picket Line 4E * 1000'K beari&ff - S 10O V \ncla - SO0 Length - 750'

Anomaly "D" shows a x one of moderate conductivity

on strike of the "A" Bone and may be an extension of the "A" x one.

It is recommended that additional electromagnetic work be carried

out in the "O" anomaly area. It is also recommended that this xone

be diamond drilled and a preliminary diamond drill hole proposed to

investigate the anomaly is as followsi-

Diamond Drill Hole "D*

Collar Location - Picket Line 24E * 900 'S Hearing - S 40O W Angle - SO0

- 600*

The "C* Anomaly shows a subsurface conductor

interpreted to be sulphides associated with a basic intrusive.

It is recommended that the anomaly be investigated by a peel iml nary

drill hole located as follcwsi-

Diamond Drill Holo "C*

Collar Location - Ticket Line 20E - 900 'M nearin* - X S5O E Annie - SO0 Length - 450*

It is also recommended that additional electro-

ac no tic work be carrinri out covering the area from picket line 4V

to 36C and for distances of 1500' north and south of the main base

line on all picket lines.

Two other geological structures which conform

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with a northwest-southeast strike in the area are Keweenawan dia

base dyke* and a system of fracture* and faulting. The "A", "D",

and "C" anomalies are not represent at ive of diabaae dyke formation.

Mineralised fault or fracture conea with asaociated mtlphide and

magnetite mineralisation might give reaulta similar to the *A" t

"Bw , and "C" anoawlie*.

Keapectfully submitted by.

Haileybury, Ontario ...February 10, 1958. E. L. HaeVeifh, B.AV^ N. S,

SURVEY MATA b ASSBSSMEKT WORK DISTRIBUTION

Detail* of a Geomagnetic C' Electromagnetic burvoy.

The au r ve y was begun December let, 1957 And completed February 1st, 1958. A total of 38.5 miles of line was cut, chained and picketed over which geomagnetic reading* ware taken at 100* interval*, la addition 4.0 mile* of line were read at 50* interval*. A total of 2,418 magnetic station* were read and recorded using a Sharpe Schmidt type A-2 magnetometer. An electromagnetic check *urvey followed the geomagnetic survey using a Ronka Horisontal Loop electromagnetic survey unit. A total of 6.6 miles of picket line was surveyed in this manner.

The following is a break-down of the actual man days required to complete the survey.

(a) Linecutting - Dec. 1st to Jan. 20th, 1958 Contractor - Hugh Haullton, Haileybury, Ont.

140 daya x 4 560 days

(b) In* t rumen t Operators It Assistants - Dec* 10 to Feb. 1st P. Blake, Haileybury, On t. If Assistant

90 days x 4 360 days K. Newman, Kirkland Lake, On t. (f Assistant

40 days x 4 160 day*

(c) Consultants - Field - Jan 9-10-11, 1958E. L. HacVeigh, Haileybury, Ont.

3 daya x 4 12 days

(d) Office b Draughting - Jan. 1st to Feb. 10, 1958E. L, HacVeigh, Haileybury, On t. 14 day* x 4 56 day*C. F. Greenacre, So. Porcupine, On t, 10 days x 4 40 day*John Kewman, So. Porcupine, On t. 10 day* x 4 40 day*M. P. MacVeigh, Haileybury, Ont. 7 day* x 4 28 day*

Total Credit 1256 day*

Aasesanent Work Distribution

On each of the following thirty-one (3D claims - 40 day*i PA.17489 to 17502 inc., TA.20870 to 20880 inc., PA.20891 to 20&96 inc.

31 claim* x 40 day* 1240 day*

E. L. MacVeigh Consulting Geologist

February 10,1958

ENGINEER'S CERIFICATE RE: REPORT OF DATE FEBRUARY 10. 1958 ON A GEOMAGNETIC SURVEY AND AN ELECTROMAGNETIC CHECK SURVEY OF THIRTY-ONE CLAIMS FOR KAPKICHI NICKEL MINES LIMITED IN THE PICKLE LAKE AREA. PATRICIA DISTRICT, ONTARI07

I, EDWIN LESTER MACVEIGH, of Hailybury In the Province of Ontario, hereby certify:-

THAT l am a Consulting Geologist and reside at Haileybury, Ontario.

THAT I am a graduate of the University of Illinois with the degrees of Bachelor of Arts and Master of Science and have been

practising my profession as a Geologist since 1932 in Northern Ontario and Quebec.THAT I have no direct, indirect or anticipated interest in the mining claims mentioned in this report nor in the shares of Kap

kichi Nickle mines Limited.THAT the accompanying report is has e, d on a personal examination

of the property on January 9-10-11, 1958.

DATED this 10th day of February, 1958

E. L. Macveigh, B.A.,M.S.

DUPLICATE COPYPOOR QUALITY ORIGINAL

TO FOLLOW

E. L. MACVEIOHCONSULTING QioLooirr

GEOPHYSICAL. SURVEYS

BOX 425

HAILEYBURY. ONT. Fobrwory 10, 19|i.

•rt mi iHf? VB f.W. V.l.i..f.fWZI OV'TOT; J

I, WWW LL5TCR JUCYE1CH, of llaUoytvry i* IH* Proviaea of Oatari*, karaty rtlfri-

1. THAT I MI a C*o*MlU*c 0*olo*Ut *ad r**14* *t Mail.ybtory,

Ovtorio.

2. THAT A M a gfMittat* of t h* 0*iv*r*ity of fllia*i* with Ik*

of feaefeftler of Art* and M*at*r of Se leat* aad hav*

y p*t-*f*aaioe aa a G*el*alat a loo*

att4 vuabac.

THAT l hava ne dii^ct, indlraat or aatielpatad lutar*at in tha

i o in* elaiaa aaileAvd In tKia raport wwr ia tti* aaaraa of Rap-

Ida h l Xioktl Uinoa Livitotf.

Tli/tT tb* aveoaipaajrintf roport la baaod OB a paraeaal

of t ha |MS*porty o* January 9-10-11,

DATtD IhU lOtK day of r.bruary,

FOR Abb i r i

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PICKLE LAKE AfiEA. PAT&/C1* D/STff/CT

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sulphide rhowingTHOMPSON-LUNDMARK

DIAMOND DRILLING

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TecJc-iebe/ Tbw/rs/f/p , Ja/ttsary

20896

520e8NWeCi28 520a8NW0023A1 KAPKICHI LAKE 210

E.L. MACVEI6H B.A., M.S. REB. 10, 1958

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