DAVE SAUNDERS 2 saunders 2 .21442 magnetometric and electromagnetic vlf surveys bx geosig inc. on smiley lake property 52 a 14 may 19th, 2001 received

DAVE SAUNDERS 2 .21442

MAGNETOMETRIC AND ELECTROMAGNETIC VLF SURVEYS

bX GEOSIG INC.

on SMILEY LAKE PROPERTY

52 A 14

May 19th, 2001

RECEIVEDMAY 2 t* 2 001

GEOSCIENCE ASSESSMENT

/AAPGGQ

f ——————————————

J PfERRE SIMONEAU

Pierre Simoneau, geol. M.Sc.

52A14NW2002 2.21442 SMILEY LAKE 010

TABLE OF CONTENTS

PAGE

1. INTRODUCTION....................................................................................................................... l

2. PROPERTY, LOCATION AND ACCESS.................................................................................. l

3. CLAIMS..................................................................................................................................... l

4. PERSONNEL AND INSTRUMENTATION............................................................................... l

5. FIELD WORK AND PROCEDURE............................................................................................ l

6. MAGNETOMETRIC SURVEY..................................................................................................2

6.1 Process of data and work ..................................................................................................2

6.2 Presentation of the results.................................................................................................2

7. ELECTROMAGNETIC VLF SURVEY...................................................................................^

7.1 Process of data and work ..................................................................................................2

7.2 Presentation of the results.................................................................................................3

8. CONCLUSION...........................................................................................................................3

52A14NW2002 2.21442 SMILEY LAKE 0 10C

1. INTRODUCTION

At the request of Mr. Dave Saunders, prospector, a magnetometric and electromagnetic VLF surveys were carried on the Smiley Lake Property. An old grid was identified and a new grid was flagged. Geophysical surveys were carried out by Geosig Inc in May 2001. The magnetometric and VLF surveys covered the grid for a total of 13.6 km.

2. PROPERTY, LOCATION AND ACCESS

The property is located 80 km north of Thunder Bay. The Smiley Lake property is accessible by a logging road connecting to the Highway 527 around km 70. The property is located 15 km west of the main Highway.

3. CLAIMS

The geophysical surveys covered only a partial section of the property. Two ( 2 ) claims were covered by ground work. They are #1215553 and 1242418.

4. PERSONNEL AND INSTRUMENTATION

The Mag-VLF survey was carried out by Pierre Simoneau, geol. M.Sc.

The following instruments were used for the Mag-VLF survey:

- GSM-19WV field work, GEM System Inc., Richmond Hill, Ont. n/s 45369- GSM-19W base station, GEM System Inc., Richmond Hill, Ont. n/s 45349- GSM-19W mag sensor, GEM System Inc., Richmond Hill, Ont. n/s 4426556- GSM-19W mag sensor, GEM System Inc., Richmond Hill, Ont. n/s 4426558- GSM-19V(1) VLF sensor, GEM System Inc,. Richmond Hill, Ont.

The report was written by Pierre Simoneau, geol. M.Sc.

The maps and pseudo-sections were drawn and interpreted by Pierre Simoneau.

5. FIELD WORK AND PROCEDURE

The geophysical work was contracted to GEOSIG INC.

The magnetometer and the VLF surveys were done between May 13 and May 16, 2001

The grid extends in a SW-NE direction with NW-SE lines from 12+OOW to 8+OOE, with 200 m between each line. The main base line is at 0+00. The lines were flagged north and south of the baseline.

The Mag and VLF survey covered all the lines (except part of the baseline) for a total of 13.6 km. VLF stations (Cutler, Maine and Jim Creek (Seattle), Washington) were read at 12.5m separation, with detailed readings at 6.25m.

6. MAGNETOMETRIC SURVEY

6.1 Process of data and work

The measurements for the magnetic total field were taken in a mobile mag mode with a four (4) seconds sampling readings and label readings taken each 12.5 meters and some details at 6.25m.

A GSM-19WMV was used on the field with a GSM-19W base station with a 15 seconds registering readings period. The magnetic readings have been automatically corrected for diurnal variations when the data was dumped with a base value of 59100 gammas. The magnetometer system measures the value of the total magnetic field with a precision of 2.0 gammas.

6.2 Presentation of the results

Geophysical data was processed and presented on maps using the computer software programs; Geosoft and Microstation.

The magnetic results are presented on a profile map ( no. 3 ) and a total field contour map ( no. 4 ) at the metric scale of l : 2 500.

The property magnetic background is around 58 000 gammas with a maximum of 77984 gammas and a minimum of 40 000 gammas. The small high linear magnetic anomalies correspond to thin iron formations (usually less than 15m) and have a direction that generally crosscut the lines at an angle of 20 east of the baseline . At the southern end, the linear magnetic features a fold .

Most of the magnetic anomalies are just beside a VLF anomalie. This could be a result of pyrrhotite-pyrite or pyrite layers in oxide facies Iron Formations.

7. ELECTROMAGNETIC VLF SURVEY

7.1 Process of data and work

A GSM-19WMV was used on the field. The readings were taken at 12.5 meters spacing with some details at 6.25m. The VLF survey was made with two main stations - Cutler (NAA, 24,0 kHz) and Jim Creek-Seattle (NLK, 24,8 kHz).

7.2 Presentation of the results

The results are presented on profiles maps No. l and 2 at the metric scale of 1: 2,500.

The VLF survey detected seven (7) anomalies . A VLF anomaly is not usually a drilling target without other indicators. It is suggested to confirm a VLF anomaly with other geophysical method prior to drilling.

8. CONCLUSION

Reinterpreting the old surveys with the new one with what we say on the field make beleive that there is two syncline carrying conductors and narrow Iron Formations.

The geophysical campain gave interesting information about this property. Part of the property was covered by a previous VLF and MAG survey. This survey conducted with new instruments confirm the presence of 7 VLF. anomalies. These anomalies have an east-west trend.

9. CERTIFICATE of QUALIFICATIONS

I, Pierre Simoneau of 2-309 Catherine Street, Thunder Bay, Ontario, hereby certify:

1. I am a graduate of University of Quebec at Chicoutimi (1987) with a Master degree in Earth Sciences M.Sc.

2. I have been employed as an exploration geologist and geophysicist on a full time basis since 1987, prior to that as a geological assistant for four field seasons.

3. I am presently employed as a project geophysicist and geologist with GEOSIG Inc. of 3700 Chaudiere Blvd., Sainte-Foy, Quebec.

4. The information contained in this report was obtained from geophysical survey conducted on the Smiley Lake property carried out by Geosig Inc. and on data obtained from the Ontario Ministry of Northern Development and Mines' assessment files archived in Thunder Bay, Ontario.

6. I am a member of the Association Professionnelle des Geologues et Geophysiciens du Quebec (APGGQ), a member of the (APQ) Association des Prospecteurs du Quebec, a member of the (NWOPA) Northwestern Ontario Prospector Association and a member of the CIM.

7. I have disclosed in this report all relevant material which, to the best of my knowledge, might have a bearing on the viability of the project and the recommendations presented.

APGGQ

\ PIERRE SIMONEAU j\ —zr; - 7*. N 3 19 '•* ^. ^

Pierre Simoneau, M.Sc. geol.

Geosig Inc.

Dated at Thunder Bay, Ontario, this 19th day of March, 2001

Appendix A

Claim Abstracts and Claim Map

MINING LAND TENUF

MAP

DttvfTlmttltem Hnr 1 11001

TOWNSHIP l AREA PLAN

SMILEY LAKE AREA O-O 762

ADMINISTRATIVE D ISTRICTS l DIVISIONSMining Dtvllion Thundir O.J

Ltnfl TlllcWR*gl*Trr DI'li Ion THUNDER BAY

ItInHIrv ot Miluril RHOdrcii Dulricl THUNDER BAT

TOPOGRAPHIC LAND TENURE

aQ

Q

QQ

Q Q Q

LAND TEN UREWI THOR*

'"; ip: j; J IKPORTAHT

LAND TINUItl WITHDRAWAL DEICHIPTIONI

IPORTAHT NOTICES

Mining Lands - Mining Claims Abstract Summary http://www.mci.mndm.gov.on.ca/Ckims/Cf Claims/elm csr4.CFM

Mining Lands - Mining Claims Summary

Thunder Bay - Division 40

CLAIM NUMBER:Unit Size:Township/Area:Lot Description:Staker:Recorded Holder:Recording Date:Due Date:Work Required:Total Applied:Work Performed:Total Reserve:Present Work Assignment:Claim Bank:Claim Status:

TB 1215S5315SMILEY LAKE

(Click Claim Nunfeer for Details)

(G-0762)

SAUNDERS, DAVID BRUCE (E30O95) SAUNDERS, DAVID BRUCE ( 100.00 %)1999-Mmy-202001-MAY-206000OOOOoACTIVE

(Click Reserve for Details)

Back j Main Menu l Mining Lands |

Copyright 2001 for On t, a ri o

This information is provided as a public service, but we cannot guarantee that the information is current or accurate. Readers should verify the information before acting on it.

1 sur l 01-05-22 12:40

Mining Lands - Mining Claims Abstract Summary http://www.mci.mndm.gov.on.ca/Claims/Cf Claims/elm csr4.CFM




TB 121555516SMILEY

(Click Claim Nunber for Details)

LAKE (G-0762)

SAUNDERS, DAVID BRUCE SAUNDERS, DAVID BRUCE

(E30095) ( 100.00

1999-May-252001-MAT-256400OOO (Click Reserve for Details)

OoACTIVE

l Back l Main Menu l Mining Lands


l sur l 01-05-22 12:39

Milling Lands - Mining Claims Abstract Summary http://www.mci.mndm.gov.on.ca7Claims7Cf^Claims7clm csr4.CFM




TB 121555812SMILEY

(Click Claim Number for Details)

LAKE (G-0762)

SAUNDERS,SAUNDERS,

DAVID DAVID

BRUCEBRUCE

(E30095) ( 100.00

1999-May-252001-MAT-254800OOOOOACTIVE


Back l Main Menu l Mining Lands |

Copyright 2001 Queen's Priirtêj for Oniario


l surl 01-05-22 12:42

Mining Lands - Mining Claims Abstract Summary http://www.mci.nindm.gov.oaca/Claims/Cf Claims/elm csr4.CFM




TB 121555912SMILEY

(Click Claim Ntafcer for Details)

LAKE (G-0762)

SAUNDERS, SAUNDERS,

DAVID BRUCE DAVID BRUCE

(E30095) ( 100.00

1999-May-252001-MAT-254800OOOOOACTIVE


l Back \ Main Menu \ Mining Lands


l sur l 01-05-22 12:44

Mining Lands - Mining Claims Abstract Summary http:77www.mci.mndm.gov.on.ca7Claims7Cf^Claims7clm^sr4.CFM




TB 123318615WHITEFIN LAKE


(G-0778;

SAUNDERS, DAVID BRUCE SAUNDERS, DAVID BRUCE

(E30095) ( 100.00

1999-May-192001-MAT-196000OOO (Click Reserve for Details)

OoACTIVE


Copyright 2001


l surl 01-05-22 12:50

Mining Lands - Mining Claims Abstract Summary http://www.mci.mndm.gov.on.ca/Claims/Cf^Claims/clm csr4.CFM



CLAIM NUMBER:Unit Size:Township/Area:Lot Description:Staker:Recorded Holder:Recording Date:Due Date:Work Required:To tal Applied:Work Performed:Total Reserve:Present Work Assignment:Claim Bank:Claim Status:

TB 123318715WHITEFIN LAKE

(Click Claim Niatoer for Details)

(G-0778)

SAUNDERS, DAVID BRUCE (E30095) SAUNDERS, DAVID BRUCE ( 100.001999-May-192001-MAT-196000OOO (Click Reserve for Details)

OoACTIVE



l surl 01-05-22 12:52

Mining Lands - Mining Ckims Abstract Summary http:77www.mci.rnndm.gov.on.cayClaims7Cf-Claims7clm-csr4.CFM



CLAIM NUMBER: Unit Size: Township /Area : Lot Description : S taker: Recorded Holder: Recording Date : Due Date : Work Required : Total Applied : Work Performed: Total Reserve : Present Work Assignment: Claim Bank: Claim Status :

TB 1233188 (Click Claim Nunfcer for Details)

12 WHITEFIN LAKE (G-0778)

SAUNDERS, DAVID BRUCE (E30095) SAUNDERS, DAVID BRUCE ( 100.00 t)1999-May-19 2001-MAY-19 4800 0 00 (Click Reserve for Details)

0 0 ACTIVE


Copyright 2001 Queen 's


l sur l 01-05-22 12:55

Mining Lands - Mining Claims Abstract Summary http:77www.mci.mndm.gov.oaca7Ckims7Cf-Claims7clm csr4.CFM



CLAIM NUMBER:Unit Size:Township/Area:Lot: Description:Staker:Recorded Holder:Recording Date:Due Date:Work Required:Total Applied:Work Performed:Total Reserve:Present Work Assignment:Claim Bank:Claim Status:

TB 1233190 (Click Claim Hunter for Details)

6SMILEY LAKE (G-0762)

SAUNDERS, DAVID BRUCE (E30095) SAUNDERS, DAVID BRUCE ( 100.00 "fc)1999-May-252001-MAT-252400OOOOOACTIVE



Copyright 2001 Queen


Isurl 01-05-22 12:57

Mining Lands - Mining Claims Abstract Summary http://www.mci.mndm.gov.on.ca/Claims/Cf Claims/elm csr4.CFM



CLAIM NUMBER:Unit: Size:Township/Area:Lot Description:Staker:Recorded Holder:Recording Date:Due Date:Work Required:Total Applied:Work Performed:Total Reserve:Present Work Assignment:Claim Bank:Claim Status:

TB 124241816SMILEY LAKE

(Click Claim Nugfcer for Details)

(G-0762)

RICHARD, MARTIN JOSEPH (K23012) SAUNDERS, DAVID BRUCE ( 100.00^)2001-Feb-142003-FEB-146400OOO (Click Reserve for Details)

OoACTIVE

Back l Main Menu l Mining Lands

Copyright 2001 Q'.;een ' s


l sur l 01-05-22 12:45

Milling Lands - Mining Claims Abstract Summary http://www.mci. mndm.gov.onca/Claims/Cf^Claims/clm csr4.CFM




TB 124241915SMILEY LAKE


(G-0762)

RICHARD, MARTIN JOSEPH (K23012) SAUNDERS, DAVID BRUCE ( 100.00 %)2001-Feb-142003-FEB-146000OOOOOACTIVE




l surl 01-05-22 12:48

Appendix B

Equipement Specifications

magnetometer, GSM-19 filei/WCI/Geosig/Gem/testl .htm

GSM-19 Overhauser

Magnetometer l VLF

GSM-19 overhauser magnetometer Features

Sensitivity = 0.02 nT

Absolute Accuracy * 0 .2 nT

Sample Rates up to 5 Hz

Low Power Consumption

General

"Overhauser" Once you experience it, you'll never go back to proton. Overhauser technology brings you sensitivities one to two orders of magnitude better than proton, yet in a light weight package. This is because the overhauser magnetometer consumes less power than proton magnetometer, allowing a lighter weight for batteries.

What is the Overhauser technique? The Overhauser sensor contains the electrons' fluid that has been added to a hydrogen rich in the form of "free radial". The resulting mixture yields a sensor with 5000 times gain in proton polarization. Since the Overhauser polarization effect does not require static magnetic fields, but uses radio frequency fields transparent to protons, measurement can be done concurrently with polarization. The result is a sensor with much greater sensitivity, that can be sampled much more rapidly than the standard proton sensor.

Overhauser magnetometer systems therefore maximize resolution while minimizing power consumption. Even with Walking Gradiometer systems, sampling at rates of once per second; Even in cold temperatures of - 40 zero degrees Celsius and greater, the internal rechargeable battery can still be relied on for a 10 hour day, or longer.

The GSM-19 Overhauser is a State-of-the-Art Magnetometer l VLF system and offers the data quality, reliability, and extensive list of capabilities, and options, that allow it to meet a very wide spectrum of applications.

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magnetometer, GSM-19 file:77;C|Ajeosig7Gem7testl.htm

Instrument Description

"Physical Overview"

The parts of the GSm-19 magnetometer/gradfometer are as follows :

The sensor is a dual coil type designed to reduce noise and improve gradient tolerance. The coils are elec trostatically shielded and contain a proton rich liquid in a pyrex bottle, which also acts as an RF resonator.

The sensor cable is coaxial, typically RG-58/U, up to 100m long.

The staff is made of strong aluminium tubing sections (plastic staff optional). This construction allows for a selection of sensor elevations above ground during surveys. For best precision the full staff length should be

used. Recommended sensor separation in gradiometer mode is one staff section (56cm from sensor axis to

sensor axis), although two or more sections are sometimes used for maximum sensivity.

The console contains all the electronic circuitry. It has a 16 keys keyboard, a 4 x 20 character alphanumeric display, and sensor and power/input/output connectors. The keyboard also serves as an ON-OFF switch.

The power/input/output connector also serves as RS232C input/output and optionally as analog output and/or contact closure triggering input.

The keyboard, front panel, and connectors are sealed i.e. the instrument can operate under rainy conditions.

The charger has 2 levels of charging, full and trickle, switching automatically from ont to another. Input is normally 110V 50/60HZ. Optionally, 12 VDC input can be provided.

The all-metal housing of the console guarantees excellent EMI protection.

"Software Version 4.0"

There are several major versions of software for the GSM-19. As of August 92, GEM Systems added a major software upgrade to its GSM-19 family, enhancing its capabilities. This new generation of software (version 4.0) has the following advantages:

Diurnal correction (reduction) with interpolation can be used in conjunction with other GSM-19 models with software version 4.0 (or special software for correction with an EDA Mag Base station). This allows the base

mag to run with longer cycle time Previous software could do interpolation only with fast GSM-19 types.

Memory filing system. Now 50 files can be stored in a directory, and mode of operation can be changed without erasing memory. With the software previous to version 4.0, only 1 file could be retained in memory, and this would be lost when modes of operation were switched.

Line and station numbers have been enlarged. Lines can now be 5 digits as opposed to 4 digits in previous software. Station numbers are now 7 digits as opposed to 6 in the previous software.

2sur5 01-05-2213:51

magnetometer, GSM-19 file^/CI/Geosig/Gem/test l .htm

Standard Features

The GSM-19 magnetometer console features a real time graphic display of the current profile. In addition digital display of the current reading, current position, and warning messages are provided. The console design, with internal rechargeable battery pack, allows the unit to be completely sealed against the elements. With the built in heater for the display the GSM-19 magnetometer is ready to go wherever your surveys may take you.

Tuning is automatic worldwide, with provision for manual override. In high gradient conditions the GSM-19 magnetometer monitors the signal decay rate and displays a warning message when the gradient becomes too great. Filters for rejection of 50 or 60 Hz noise are provided.

Diurnal corrections may be done in traditional fashion with one magnetometer unit as a base station and a second unit used as the mobile field unit. At the end of the survey the two units are connected and the field unit creates a corrected data file (which still includes the raw data file) based on the temporal drift recorded by the base station.

As a standard feature GSM-19 magnetometer also offer the capability of making tie point measurements for automatic diurnal corrections. To use this feature the operator records a base value and then loops back to this point periodically during the survey to record another measurement, and thus build a file of the drift. In this way a single instrument may be used to make diurnal corrections.

The RS-232 port on the GSM-19 magnetometer will output data as it is collected. This allows interface to GPS loggers that will accept RS232 data. The standard GSM-19 magnetometer may be operated in a remote mode via computer. Memory storage is 512 K in the standard unit, and may be upgraded to 2 MB.

Grid coordinates are stored with either numeric or compass designations. A seven digit number may be used to designate lines and positions. Line and position spacing is entered so that with every reading the position may be automatically updated. An End of Line feature allows the next line to be quickly selected, plus changes the sign on the position spacing. If the previous line had been adding positions as the operator moved, then on the next line, positions will be subtracted as the operator moves. The operator may also easily manually enter his grid position for cases where gaps in the line are necessary.

'•Walking Mag Option"

The GSM-19 magnetometer is the first to offer the "Walking Mag" concept. The reason for this is the outstanding advantage the Overhauser sensor has in this application. With the "Walking Mag" option the operator may select a sample rate of up to two samples per second. At this rate Overhauser technology can still deliver a noise level that is quite acceptable, about 0.1 nT, and the lower power consumption means that a full day of surveying can still be done with just the internal rechargeable battery.

As shown in Figure 1 the near continuous data from the "Walking Mag" technique provides increased definition for any type of survey. For surveys with densely spaced grids, such as archaeological or environmental surveys, field productivity is markedly improved, typically by a factor of five.

When in the Walking Mag mode the operator still presets his line and station spacing. When a known station is passed a grid update key is pressed and the current reading is tagged with this station. Readings taken between these marked positions are then linearly interpolated for their grid position when data is transferred to a computer.

A further refinement of the Walking Mag concept is the Hip Chain Option. This option uses a hip chain to trigger the magnetometer to take a reading at discrete intervals. A Hip Chain consists of an optical encoder that records revolutions of a wheel wound with disposable cotton string. The string is tied off at the beginning of a line, and as the operator walks the string is pulled out, and the magnetometer is automatically triggered. With the Hip Chain option sample rates up to five samples per second are supported.

Omnidirectional VLF

3sur5 01-05-2213:51

magnetometer, GSM-19 fileVy/CI/Geosig/Gem/testLhtm

The GSM-19 VLF features a three coil design, with new larger coils in 1997, to achieve a non orientation capability with excellent sensitivity. Up to three VLF stations may be recorded, along with the magnetic reading, with the pressing of a single key.

As each VLF station is read the total field strength is displayed. This value may be used to determine if a station's signal is strong enough to obtain useful data. At the end of each reading the in phase, out of phase, and horizontal components are displayed and recorded for each station.

To determine what stations are available the Scan feature may be used. The entire VLF spectrum is scanned and stations with their corresponding signal strength are displayed. Automatic tilt compensation is provided up to ten degrees. Beyond this a warning message appears with display of the amount of tilt in each direction, enabling the operator to correct his position and take the reading again.

For Walking Mag applications a Walking VLF option is also available. With this option a single VLF station may be measured at sampling rates up to once per second. In this mode both magnetic and VLF readings may be collected at the one hertz rate.

Simultaneous Gradiometer

Many mining, environmental, and archaeological applications may benefit from using the gradient measurement. For near surface anomalies, generally twenty meters depth or less, the gradient anomaly will be larger, and narrower, than the total field anomaly. This permits the more accurate location of the target, and gives better sensitivity. The gradient measurement has the added value of being free from diurnal drift.

The most accurate gradient measurements are made when both sensors are polarized and measured at precisely the same time. In this way any slight movement of the sensor staff pole will not affect the reading. With the GSM-19 Gradiometer Option the pressing of a single key will initiate measurement of both the total field and gradient. Both readings are displayed and stored.

Specifications

Overhauser Performance

Resolution: 0.01 nTRelative Sensitivity 0.02 nTAbsolute Accuracy: 0.2nTRange: 20,000 to 120,000 nTGradient Tolerance: Over 10.OOOnT/mOperating Temperature: -400C to *60"C

Input l Output: 6 pin weatherproof connector, RS-232C, and (optional) analog output

Power Requirements: 12V, 200 mA peak (during polarization), 30 m A stanby. 300mA peak in gradiometer mode.

Power Source: Internal 12V, 1.9 Ah sealed lead-acid battery standard, others optional. An External 12V power source can also be used.

Battery Charger: Input: 110/220 VAC, 50/60 Hz and / or 12 VDC (optional). Output: 12V dual level charging.

Operation Modes

4sur5 01-05-2213:48

magnetometer, GSM-19 file:WC|7Geosig7Gem7testl.htm

Manual: Coordinates, time, date and reading stored automatically at min. 3 second interval.Base Station: T ime, date and reading stored at 3 to 60 second intervals.Walking Mag: T ime, date and reading stored at coordinates of fiducial.Remote Control: Optional remote control using RS-232 interface.Input/Output: RS-232 or analog (optional) output using 6-pin weatherproof connector.

Operating Parameters

Power Consumption: Only 2Ws per reading. Operates continuously for 45 hours on standby.

Power Source: 1 2V 2.6Ah sealed lead acid battery standard, other batteries available

Operating Temperature: -500C to +60 C

Storage Capacity

Manual Operation: 29,000 readings standard, with up to 116,000 optional. With 3 VLF stations: 12,000 standard and up to 48,000 optional.

Base Station: 1 05,000 readings standard, with up to 419,000 optbnal (88 hours or 14 days uninterrupted operation with 3 sec. intervals)

Gradiometer: 25,000 readings standard, with up to 100,000 optional. With 3 VLF stations: 12,000, with up to 45,000 optional.

Omnidirectional VLF

Performance Parameters: Resolution D.5% and range to ±200Vo of total field. Frequency 15-30 kHz

Measured Parameters: Vertical in-phase 4 out-of-phase, 2 horizontal components, total field coordinates, date, and time.

Features: Up to 3 stations measured automatically, in-field data review, displays station field strength continuously, and tilt correction for up to ±10" tilts.

Dimensions and Weights: 93 x 143 x 150mm and weighs only 1 .Okg.

Dimensions and Weights

Console: 223 x 69 x 240m mSensor: 1 70 x 71 mm diameter cylinderSensor staff: 4 x 450mm sections.Weight: Console: 2.1kg Sensor and Staff Assembly: 2.0kg

Terraplus Canada, 52 West Beaver Creek Rd., Richmond Hill, Ontario, Canada L4B 1L9Tel (906) 764-6606 Fax (906) 764-8093

5sur5 01-05-22 13:48

ONTMIO MINISTRY OF NORTHERN DEVELOPMENT AND MINES

Transaction No:

Recording Date:

Approval Date:

Client(s):191663

Survey Type(s):

W0140.30145

2001-MAY-22

2001-SEP-21

Work Report Summary

Status: APPROVED

Work Done from: 2001-MAY-13

to: 2001-MAY-16

SAUNDERS, DAVID BRUCE

LC MAG VLF

Work Report Details:

Claim#

TB

TB12155531215559

Perform

36,000

36,053

312,053

Perform Approve

36,000

36,053

312,053

Applied

36,000

34,800

510,800

Applied Approve

56,000

54,800

510,800

Assign

50

30

30

Assign Approve

0

0

50

Reserve50

51,253

51,253

Reserve Approve

5051,253

51,253

Due Date

2002-MAY-20

2002-MAY-25

Status of claim is based on information currently on record.

52A14NW2002 2.21442 SMILEY LAKE900

2001-Sep-28 10:13 Armstrongjd Page 1 of 1

Ministry ofNorthern Developmentand Mines

Date:2001-SEP-21

Ministere du Developpement du Nord et des Mines Ontario

GEOSCIENCE ASSESSMENT OFFICE 933 RAMSEY LAKE ROAD, 6th FLOOR SUDBURY, ONTARIO P3E6B5

DAVID BRUCE SAUNDERS 962 EASTERBROOK AVE. BURLINGTON, ONTARIO P7E1K7 CANADA

Tel: (888)415-9845 Fax:(877)670-1555

Dear Sir or Madam

Submission Number: 2 .21442 Transaction Number(s): W0140.30145

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.

NOTE the costs for this submission are above the industry standards for the amount of work reported.

If you have any question regarding this correspondence, please contact LUCILLE JEROME by email at [email protected] or by phone at (705) 670-5858.

Yours Sincerely,

Ron GashinskiSupervisor, Geoscience Assessment Office

Cc: Resident Geologist

David Bruce Saunders (Claim Holder)Pierre Simoneau (Agent)

Assessment File Library

David Bruce Saunders (Assessment Office)

Visit our website at http://www.gov.on.ca/MNDM/LANDS/mlsmnpge.htm Page: 1 Correspondence 10:16429

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Mh*Hi*

**lM*,

(to* d

lr*l

l*J N^pl*Hr,h o

Ll**w* tf Oecuprthn

^J terirnt SMUH

f.' Jlil." , r - '

LAND T ENURE WITHDRAWALS

IMPORTANT NOTICES

LAND T ENURE WITHDRAWAL D ESCRIPTIONS

**a Vhm JlPlUWi SIC t ION !W**rH

IMPORTANT NOTICES

a

•-—— MINING LAND TENLK

. MAP

Dttt l Tim* el IHU* Ivp II1001

TOWNSHIP l AREA

SMILEY LAKE AREA

PLAN

O-0762

ADMINISTRATIVE DISTRICTS l D IVISIONSWining DM.ion Thundu Bi,

Llnd TKtM/FUflHtry DI vi. Ion THUNDER BAYMlnMIty or NMutil RMDumi* Dlitrkt TKUNOEK MY

TOPOGRAPHIC LAND TEN U*E

8 ..-™,,.. ~.,-..

Q .——,.JH**ll*llii

B w-*.*..**..B .—r"D .-MÛ™, vn~**HH*1

Q *~...,.,..M

52A14NW2002 2.21442 SMILEY LAKE 210

Geophysical Legend

Phase Outphase

-80 -4Q O +40 +80X

Phase

Outphase

Total field

Total Reid'-2.4 3 .2

Phase Outphase

10 20 30 405S

Total Field

Sourct of map: Canada topographic banmop, turvtjr* ond mapping branch, Diparhnwit of Enerajr, M'mn and flaMiirc*i.

Tn* coordonoti (ystem It In Unlvirnl Troncvtrt* Mircotor t UTM ) grid, N.A.D. 27, Zonfl 16.

Tin cpproximot. mm dicBnotton it I'OS1 Eott in 2OOI.

Tht omuol chong* decr*otinj 2.T.

Location

Smiley Lxjk Property

ShebandowanjShabaq

Shebandowan La

.21442VLF Survey

Cutler, Maine, 24.0 kHzPROJECT

Smiley Lake Property

'ave saunders

Geosig Inc .

PROJECT Smiley Lake

TC UNSHIP __________

D i STRICT Thunder Bay, Ontario

N.T.S. 52 A 14

SCALE 1=2 500

O 25 50 75 100m.

DATE

Executed byPierre Simoneou, g[ol.

Geomatic by Pierre Slmoneau05-01

05-01Interpreted by pierre Simoneou 05-01

Map no 1Project no

O

oN D

i

H

f*

Geophysical Legend

Phase Outphase -so -4o o +40 +ao%

Phase•—— —v

Outphosfl

Total Reid

Total Field

r'-2.4 i . 2

Phase Outphasr05 10 15 2055

Total Reid

Sourtt of mop; Canada topographic bctefnop, lurvtyi end nHppin) branch, Dcparhmitf of Efl*rgy, Mm** and

Tht eoordoitott tyttem li In Unlnriol TnxuvtrM htarcirtor t UTM ) grid, N.A.D. 27", Zou* 16.

Th* apprsximal* m*oi duflnoHor is \'OS Ec*t m 2OO1. The aimuol chfflijo dicrtaiing Z.T.

Location

Smiley Lake\ X Property^ w

Shebandowanhabaq

Shebandowan La

Ka ka bel*Falls

Thur Ba\

-~)5350000

SurveyMAP

Seattle, Washington, 24.8 kHzPROJECT

Smiley Lake PropertyFOR :

ave Saunaeaunaers

CONSULTING-EXPERTS IN GEOPHYSICS

Geosig Inc .

PROJECT Smiley Lake

TOWNSHIP ,^-———.^——^.

DISTRICT Thunder Bay, Ontario

N.T.S. 52 A 14

SCALE ^•2 500

25 50 75 100m.

Executed byPierre Simoneau. gjol.DATE

Geomatic by Pierre Simoneau05-01

05-01Interpreted by Pierre Simoneau 05-01

Map no 2Project no ______

o n

CN O

Geophysical Legend

Phase Outphase

-ea --to o +40

Phase—— -^,

Outphase

Total Reid

Total Held

r

)-2.4 3.2

Phase OutphaserO 10 20 30 4OJ5

Total Reid

Axis

v

Source of m ap: Canada topographic banmap, tuntyi and mapping branch, Dtparhnant of Enirgy, Minx and RaMurcai.

Thi caordonot* lyittm It In Unlvir.ol Tronivww Mereotor ( UTM } grid, N.A.D. 27, Zou* 16.

Tils opproximoti rnton declination [i 1*05' Eoft h 20OI. Th( mutual chonjt ggcrtotiflg 2 .T.

Location

Smiley uqke Property

Shebandowanhabaq

Shebandowan La

Thur Bo\

uperior

V:\x x \

v\x x

x

^

MIF S urvey

Interpretation^ 3JECT

Smiley Lake Property

*a,ve

.-S-^TING-EXPEBTS W GEOPHYSICS

Geosig Inc.

ÔJECT Smiley Lake

UNSHIP _______

STRICT Thunde^Bay, Ontario -c 52 A 14

5 I ALE - 2 500

O 25 50 75 1 00m.

DATE

Executed byPierre Simoneau, gjoi.

Geomatic by Pierre Simoneau05-01

________ 05-01 Interpreted by pjerre Simoneou 05-01

5Map no Project no

o **(N

ai

M

C4

c* oo

l

o

OV

xV

V

VNS

\\

"^ i \^

O,tt

X

X

X

VX x\

V

\

V

VX

xx

x \V \ x

-\*

X X

V'O

x xx x x

x

a v Vx

\A

X.

V\\ \

XX

o

\•" ^

/

i ^

Y

x xx x

Vx

x

x , xxx*

V

\

2.21442Datum Value o f 5 7700 g ammas = O gammcs on c ontours

Magnetometer Survey

Total Field Contours

Smiley L&ke Property

Geosig Inc.

PROJECT Smiley joke

TOWNSHIP

DISTRICT Thunder Boy. Ontario

N.T.S. 52 A 14

SCALE

2.21449 SMILEY LUCE

Geophysical Legend

o

io o

-2000 -1000 g +1000 +2000

TOTAL FIELD

-H 60750

Sourci of mop: Canada topographic baitmap, lurviyi and mapping branch, Qtpartmwit of Entrjy, Minti and Rtuurcei.

Thi coordoniti syt(*m It In Unlvtrul Traiivtrii Mercator ( UTM ! grid, N.A.D. 27, Zen 16.

Thi approximate niMn d*efinaHan tt TOS1 Eoif in 2001.

Tht animal chan]* dicreuing Z-T.

Location

Smiley LXjk Property

k l 4 4 Magnetometer SurveyMAP

Profiles and PostingsPROJECT

Smiley Lake PropertyFOR :

'ave launders

Geosig Inc.CSSSULTOKi-EXPERTB m GEOPHYSICS

ROJECT Smiley Lake

OWNSHIP ————^——

DISTRICT Thunder Bay. Ontario

N.T.S. 52 A 14

SCALE 1 = 2 500

O 25 50 75 100m.

DATE

Executed bypierre Simoneou, gjol.

Geomatic by Plerre Simoneau05-01

__________ 05-01

Interpreted by pjerre Simoneau 05-01

Map no 3Project n o

O

oM

Hm

O

V.

W

v-V

y

W

00,'O

Documents

DAVE SAUNDERS 2 saunders 2 .21442 magnetometric and electromagnetic vlf surveys bx geosig inc. on smiley lake property 52 a 14 may 19th, 2001 received