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1

   

      

                    

  

  

    

       

Report

Drone Magnetometer Survey

Castle Silver Property Haultain and Nicol Townships Larder Lake Mining Division

Prepared for:

Canada Cobalt Works Inc.

       

                                                       

      

   

  

                                                

  

  

      

  

                       

Table of Contents

1.0 Introduction 2.0 Location and Access 3.0 Regional and Local Geology 4.0 Type of Mineral Deposit 5.0 Property History 6.0 Summary of 2018 drone magnetic survey 7.0 Processing 8.0 Discussion of Results 9.0 Conclusions and Recommendations

Statement of Qualifications

Appendices

Appendix I Geometrics MFAM specifications Appendix II Geometrics G856AX specifications (base station) Appendix III DJI M600 Pro specifications Appendix IV Project Costs (Invoice 2018‐29 and 2019‐15)

List of Maps

Map

Total Field Magnetic Survey – Contours

1st Vertical Derivative – Contours

  

                                        

                                                                 

                                              

                          

                                        

                                             

                   

1.0 Introduction

Leased Claims LEA‐19673, 19679, 19680, 19701, 19709, 19702 and 19703 are located in Haultain and Nicol Townships, Larder Lake Mining Division.

A general location and access map is presented as Figure 1. A detailed claim location map is presented as Figure 2.

On August 3, 2018 above claims were surveyed using a Geometrics MFAM magnetometer mounted on a DJI M600 drone. Zen Geomap of Timmins, Ontario, carried out the magnetic survey on a contract basis for the client.

The survey was performed in order to generate total field and 1st vertical derivative maps across the survey area. These maps help to visualize the structure and general nature of bedrock lying beneath overburden.

Data processing and maps were completed between Aug 4th and Sept 28th, 2018. Report was prepared between Feb 1st and Feb 15th, 2019.

                                                         

                                 

  

            

2.0 Location and Access

The claims are located approx 4 kilometers north east of Gowganda, ON. Access was gained from Timmins by travelling 241km on highways 101, 11, 66, 65 and 560 to Gowganda. The final 5km on gravel road is shown on Figure 1 below.

Figure 1 – Location and Access

                    

  

Figure 2 – Location of Lease Claims

                                     

                                     

                            

 

                        

         

3.0 Regional and Local Geology

On a regional scale, the Castle Silver Property sits in the southern part of the Superior Structural Province of the Canadian Shield.

On a local scale, the current survey covers rocks mapped as conglomerate Gowganda formation (Brown) and ultramafic – basalt, andesite (Green) as shown on Figure 3 below.

Figure 3 – Reference Fig.9 from 43‐101 report prepared by Claude Duplessis (Goldminds Geoservices) in July, 2015.

        

                                                       

     

                                             

                        

                      

                                          

                                                                        

                                                                                    

                            

                                      

                                                 

                        

                                        

4.0 Type of Mineral Deposit

Canada Cobalt Works Inc. is exploring for silver, nickel and cobalt on the Castle Silver Property. Vein deposits in the Gowganda region contain significant silver, nickel, cobalt and bismuth.

5.0 Property History

Silver deposits were first discovered in the Cobalt area in 1903. As prospectors continued to explore surrounding areas, silver deposits were soon discovered near Gowganda. Several properties in the Gowganda camp were producing ore by 1910.

The current magnetometer survey covers part of the historic Castle Trethewey Property, which produced 6,461,021 ounces of silver between 1920 and 1931. Agnico‐Eagle leased the property in 1979 and ceased exploration and operations in 1988. During that period a further 3,041,353 ounces of silver was recovered.

In more recent years (2011 to 2014), Castle Silver Property has been explored using diamond drill, MMI, stripping and mapping, channel sampling and ground geophysics.

Zen Geomap Inc. was hired on a contract basis to survey part of the property using a high‐sensitivity Geometrics MFAM magnetometer mounted on drone. The goal of the survey was to help visualize the structure and general nature of bedrock lying beneath overburden.

It is not within the project scope, to correlate new findings with past geophysics, diamond drilling, MMI, stripping, sampling or mapping. Recommendations provided later in this report, include compilation and correlation of new magnetic data with some of the more recent work listed above.

A detailed NI 43‐101 report was prepared by Claude Duplessis in July, 2015 for Castle Silver Mines Inc., Gold Bullion Development Corp and Takara Resources Inc.

Reference; Report Title: Takara Resources Inc., Castle Silver Property Gowganda, Ontario, Canada NI 43‐101 Technical Report. Effective Date: July 9th 2015.

                                                            

                 

                                     

                      

                

                      

  

                                            

                            

                      

                                              

                          

                         

6.0 Summary of 2018 drone magnetic survey

The program consisted of a drone magnetic survey carried out on a grid with N‐S lines spaced at 50m and E‐W lines spaced at 100m.

Total line kilometers: 31.3 Altitude: 60m AGL

A Geometrics MFAM magnetometer mounted on a DJI M600 Pro hexacopter drone was used to survey all grid lines.

A Geometrics G856AX proton procession magnetometer was operated as a base station throughout the survey to provide diurnal correction.

Equipment specifications are provided in Appendix I, II and III.

7.0 Processing

Magnetometer data was collected on 2 Geometrics MFAM sensors operating at 1000hz. The data was processed through a custom program operating in Python. This converts raw data from Geometrics MFAM into a format compatible with Geosoft Oasis Montaj.

Customized import templates were used within Geosoft, to identify and separate mag readings into organized grid and tie lines. This step eliminates extraneous mag data collected as the drone travels to and from the grid.

Grid and tie line data were corrected to remove heading error and lag. Corrected grid data was then leveled based on tie lines.

                         

                                   

  

                         

                                                                

                                        

                                

                           

                    

                                    

8.0 Discussion of Results

The magnetic survey shows values ranging between 55250 and 56500nT. Contours are included on the Total Field map.

The 1VD map shows steeply‐dipping magnetic features at approx Northing 5279600.

9.0 Conclusions and Recommendations

The magnetic survey completed over the claims has identified steeply‐dipping magnetic features within the southern half of survey.

This information can be used along with past information available for the Castle Silver Property. The location of existing silver, nickel and cobalt showings should be overlaid onto total field and 1VD maps.

I recommend overlaying past information onto new total field and 1VD maps. Compilation of data could include correlation of past geophysical surveys, diamond drilling, MMI, stripping, sampling and mapping.

Zen Geomap offers advanced 3D inversion modeling, which may provide further insight as well.

Recommended compilation work could be accomplished at a budget between $2,000 and $4,000. The cost of advanced 3D inversion modeling on this size of grid would be approximately $2,500.

__ _ , _ _...__ -

Statement of Qualifications

Author - Kevin Cool

Education i

from to Descript on - - -

1983 Photography - 1 year, Humber College, Toronto Ontario 1988 19 urvey Engineering Technician - 2 year honours diploma, Northern College Porcupine Campus ,_

_ _2014 Received Permanent Prospectors Licence, by reason of having held a Prospector's Licence for 25 years or more _ 2014 Aviation Ground School, Transport canada Compliant Unmanned Aerial System training seminar 2014 Radio Operators Certificate - Aeronautical

Companies awned and operated

1990_____2001 _ G_en_e _ra _l S_u_rveys & Explorat.ion - mining, exploration, aggregate, construction survey and computer drafting. _� -

2000 2005 B· ig Red Diamond Corp. - traded publicly on TSX Venture excahange under symbol DIA. Junior mining company exploring for diamonds. _ Participated in and managed regional-scale airborne geophysical programs, stream sampling, geochem sampling and camp construction. Property-scale work includes ground magnetometer, grid cutting and survey.

2005 2011 +Tru_ e North Mineral Laboratories Inc. - heavy mineral separation by heavy liquid. Crushing I pulverizing for other assay. 30+ employees. -- _IProvided services to the mining and exploration industry such as claim staking, till and geochem sampling, magnetometer survey.

2014 current UAV Timmins - drone aerial mapping and survey. 1st company to apply drone air photo survey as valid min ng claim assessment in Ontario. i2017 current Zen Geomap Inc. - drone magnetometer su rvey. 1st company to apply drone mag survey as valid mining claim assessment in Ontario.

I, Kevin Scott Cool, of 15 Prospector St., Gold Centre in the City of Timmins,

Province of Ontario, hereby certify that:

1) I am a graduate of Northern College of Applied Arts and Technology, May

26th

1990, Porcupine Campus, with a 2 year Honors Diploma in Survey

Engineering Technology

2) I have subsequently operated above businesses, directly engaged with the

mining and exploration industry.

3) I have been actively engaged in my profession since May, 1990, in all aspects of ground and airborne exploration programs including the

planning and execution of regional and property-scale programs,

supervision, data processing, maps, interpretation and reports.

Kevin Scott Cool

Zen Geomap 204-?0C Mountjoy ST. N. Timmins, ON P4N 4Vl

    

         

    

                                                                       

    

    

 

Appendix I

Geometrics MFAM Magnetometer Specifications

System Basics

‐ System utilizes 2 MFAM sensors ‐ Sensors are controlled by 1 sensor module ‐ Sensor module communicates with a Texas Instruments main board ‐ Sensitivity: 0.00003nT ‐ Sensors operate at 1000Hz (collect 1000 readings per second on both sensors)

Technical Specifications

 

 

     

Appendix II     

Geometrics G856AX  Proton procession magnetometer specifications 

Geometrics, Inc. G-856AX Operation Manual50

Reset Switch

Figure 23. Internal reset switch.

Specifications

� Displays - Six digit display of magnetic field to resolution of 0.1 gamma or timeto nearest second. Additional three-digit display of station, day of year, and linenumber.

� Resolution - Typically 0.1 gamma in average conditions. May degrade to lowerresolution in weak fields, noisy conditions or high gradients.

� Absolute accuracy - One gamma, limited by remnant magnetism in sensor andcrystal oscillator accuracy.

� Clock - Julian clock with stability of 5 seconds per month at room temperatureand 5 seconds per day over the temperature range of -20 to +50 degrees Celsius.

� Tuning - Push button tuning from keyboard with current value displayed onrequest. Tuning range 20 to 90 �T.

� Gradient - Tolerates gradients to 1800 gammas/meter. When high Tolerancegradients truncate count interval, maintains partial reading to an accuracyconsistent with data.

� Cycle Time - Complete field measurement in three seconds in normal operation.Internal switch selection for faster cycle (1.5 seconds) at reduced resolution orlonger cycles for increased resolution.

� Manual Read - Takes reading on command. Will store data in memory oncommand.

� Memory - Stores more than 5700 readings in survey mode, keeping track of

Geometrics, Inc. G-856AX Operation Manual 51

time, station number, line number day and magnetic field reading. In base stationoperation, computes for retrieval but does not store time of recording designatedby sample interval, allowing storage of up to 12,000 readings.

� Output - Plays data out in standard RS-232 format at selectable baud rates. Alsooutputs data in real time byte parallel, character serial BCD for use with digitalrecorders.

� Inputs - Will accept an external sample command.

� Special - An internal switch allows:o adjustment of Functions polarization time and count time to improveperformance in marginal areas or to improve resolution or speed operation

o three count averagingo choice of lighted displays in auto mode.

� Physical -o Instrument console: 7 x 10 ½ x 3 ½ inches (18 x 27 x 9 cm), 6 LB (2.7 kg)o Sensor: 3 1/2 x 5 inches (9 x 13 cm), 4 LB (1.8 kg)o Staff: 1 inch x 8 feet (3cm x 2.5m), 2 LB (1kg)

� Environmental: Meets specifications from 1 to 40°C. Operates satisfactorily from-20 to 50°C.

� Power - Depending on version, operates from internal rechargeable Gel-cells or9 D-cell flashlight batteries . May be operated from external power ranging from12 to 18 volts external power. Power failure or replacement of batteries will notcause loss of data stored in memory.

� Standard system (P/N 16600-02) components:o Sensor (P/N 16076-01) and sensor cable (P/N 16134-01)o Console (P/N 16601-01)o Staff, one top section (P/N 16535-01), two middle sections (P/N 16536-01)and 1 bottom section (P/N 16537-01)

o Carry harness (P/N 16002-02)o Two sets of rechargeable batteries (P/N 16697-01) and battery charger (P/N16699-01)

o Carrying case (P/N 16003-01)o Download cable (P/N 16492-01)o Hardcopy operation manual (P/N 18101-02)o Magnetometer CD (P/N 26648-01)

� Optional accessories:o Tripod kit for base-station operation (P/N 16708-02)o Gradiometer kit (P/N 166651-01)o Gradiometer carry/storage case (16003-01)

Appendix III - DJI Matrice 600 Pro Specifications c/J•

Specifications

• Aircraft Diagonal Wheelbase Dvnensions

Weight (wllh Sill TB47S Dell!!fleS) Weight (with six TB48S banenes)

Max Takeoff We,gnt Recommendeo Hovering Accuracy (P-GPS)

Max Angula, Velocity Max P,tch Angle

Max Wind Resistance Max Ascent Speed Max Descent Speed

Max Speed

Max Service Ceil ng Aoove Sea L.,,.,1

Hovering T1111e· (wrth six T847S batteries) Hovering T-me· (with six TB48S batteries)

Flight Control System

Supported OJI Gimbals

Retractable Lanc::1,ng Gear

Operating Temperature

• Remote Controller

Operating Frequency

Max Transmission Distance

Ttansmitter Powe< (EIRP)

V,deo Output Port Operating Temperature Battery

• Charger (Model: MC6S600)

Voltage Output Rated Power

Smgle Battery Port Output Pow,.,

• Standard Battery (Model: TB47S) Capacity

Voltage

Battery Type

Energy NetWe,ght

Operating Temperature Max Cha,g1ng Power

• Optional Battery (Model. TB48S)

Capacity Voltage BaneryType

Energy

NetWe,ght Operating Temp.:rature Max Charging Power

1133mm

1668 mm x 1518 mm x 727 mm wnn propellers

frame a,ms and GPS mount unfolded (including lano ng gear) 437 mm x 402 mm x 553 mm with propellers, frame arms and GPS mount folded (excluding landing gear)

95kg 10kg

15.5kg Venical :c0.5 m Horizomal. c: 1 5 m

P1tch 300°/s. Yaw: 150°/s 25°

8m/s 5m/s 3m/s 40 mpn I 65 kpn {no wmCl)

2170 propel :ers. 2500 m, 2195 p1ope11e,r s 4500 m No payload: 32 min. 6 kg payload: 16 mm No payload: 38 min. 5.5 kg payload: 18 mm A3Pro

Romn-MX; ZENMUSE"' 230, Zenmuse X5/X5R Zenmu,,t: X3. Lt::t11111.1s" XI Zenmuse 215 Series HD Gimbal: Z15-A7. Z15·BMPCC 215-50 111. Z15-GH4 Standard 14° to 104° F ( -10° to 40° CJ

920.6 MHz to 928 MHz (Japan); 5.725 GHz to ::>.825 uH.l, 2 400 GH.! to 2 4ts-> GHt

FCC Compliant 3.1 mi (5 km). CE Compliant 2 2 m1 (3.5 km) (Unobstrucled free ot 1111t:IIEmmet!)

10 dBm @900M. 13 dBm @5.8G. 20 dBm@ 2 4G HDMI. SDI, USS

14° to 104° F (-10° to 40° CJ 6000 mAh L1Po 2$

26.1 V

600W lOOW

4500 mAn

22.2V

LiPo 6S 99.9Wh

5959 14° to 104" t- \· 10" 10 ..o· CJ

180W

5700mAn 22.SV LiPo6S

129.96Wn 680g

14° to 104° F \-10· to 40" C) 180W

CE1313 & RoHs! Th,a, d(!,vlce ,om.p te> wrth p¥t 15 cf thee FCC R1,,ln..

Op,.r-.. uon b• :wbjoct to tJw foliowing two cond ·� (l) Ti. d� m..y not c.w� hermful interforMC» . .,,o (2) th:s cJe.vtce. mu-1-t accopt •ny tnterf�• rec.-i�. in,.;i...o.,�

.nterler-ence th.t m1y uuse undos..d op«at>on.

OJI ncotpot•tn HOM"" t�y

'hovering bme ,s Dase<l on !lying at 10 meters aoo...e sea 1eve11 n a no-w,no environment ano landing with a 10% battery level.

The twms HOMI 6nd HOMS H-Sh·Oof..-...tion 1"11..lwn.<11• lntfflaiee. ;ind tho HC>MI l090 aro tr�k.5 or rttg1s;t,ruwo ttbd.m.rb of t,OMI Uc•nsmg LLC .,.. U'le Uni�.ct States erd other countne:i.

Download the detailed user manual at:

www.dji.com/matrice600-pro

* This content is subiect 10 change without prior novce

MATRICE™ i s a uademark of OJI

Copynght © 2016 DJI AB Rights ReselVed

Designed by OJI Printed m China

Appendix IV 

Project Costs  Invoice 2018‐29 Invoice 2019‐15

[Withheld for client confidentiality.]

50 0 50 100 150

metres

NAD83 / UTM zone 17N

Scale 1:2500

CANADA COBALT WORKS INC.

CASTLE PROPERTYDRONE MAGNETIC SURVEY - CONTOURS

AUGUST 3, 2018

LARDER LAKE MINING DIVISIONCLAIMS/LEASES: POSTED ON MAPCONTOUR INTERVAL = 10, 50 nT

INSTRUMENT: GEOMETRICS MFAM MAGNETIC SENSOR M600 DRONE

SURVEYED BY: ZEN GEOMAP INC.

55280

55305

55325

55345

55370

55385

55395

55410

55425

55440

55455

55475

55495

55515

55535

55560

55580

55605

55630

55660

55680

55705

55730

55760

55790

55825

55865

55905

55945

55980

56015

56050

56080

56110

56150

56195

56250

56330

RESIDUAL MAGNETICSnT

LINE KMS. SURVEYED: 31.3

5279000N

5279100N

5279200N

5279300N

5279400N

5279500N

5279600N

5279700N

5279800N

5279900N

5280000N

5280100N

5280200N

5280300N

5280400N

5280500N

5280600N

5280700N

5279000N

5279100N

5279200N

5279300N

5279400N

5279500N

5279600N

5279700N

5279800N

5279900N

5280000N

5280100N

5280200N

5280300N

5280400N

5280500N

5280600N

5280700N

520300E 520400E 520500E 520600E 520700E 520800E 520900E 521000E 521100E 521200E 521300E

520300E 520400E 520500E 520600E 520700E 520800E 520900E 521000E 521100E 521200E 521300E

LEA-19673

LEA-19679

LEA-19701

LEA-19702

LEA-19709

LEA-19680

(HS 364)

(HS 357)

(HS 356)

(HS 358)

(LM 111)

(HS 355)

HS 353

HS 354

L30 E

L30 E

L40 E

L40 E

L51 E

L51 E

L61 E

L61 E

L70 E

L70 E

L80 E

L80 E

L90 E

L90 E

L100 E

L100 E

L111 E

L111 E

L121 E

L121 E

L130 E

L130 E

L140 E

L140 E

L150 E

L150 E

L160 E

L160 E

L170 E

L170 E

L180 E

L180 E

L190 E

L190 E

T1070 N

T1070 N

T10001 N

T10001 N

T10011 N

T10011 N

T10021 N

T10021 N

T10031 N

T10031 N

T10041 N

T10041 N

T10051 N

T10051 N

T10061 N

T10061 N

T10080 N

T10080 N

T10090 N

T10090 N

T10100 N

T10100 N

T10110 N

T10110 N

T10120 N

T10120 N

T10130 N

T10130 N

T10140 N

T10140 N

T10150 N

T10150 N

50 0 50 100 150

metres

NAD83 / UTM zone 17N

Scale 1:2500

CANADA COBALT WORKS INC.

CASTLE PROPERTYDRONE MAGNETIC SURVEY - CALCULATED 1VD MAGNETICS

AUGUST 3, 2018

LARDER LAKE MINING DIVISIONCLAIMS/LEASES: POSTED ON MAPCONTOUR INTERVAL = .5, 2.5 nT/m

INSTRUMENT: GEOMETRICS MFAM MAGNETIC SENSOR M600 DRONE

SURVEYED BY: ZEN GEOMAP INC.

LINE KMS. SURVEYED: 31.3

-20.25

-18.00

-16.25

-14.75

-13.25

-11.75

-10.75

-9.75

-9.00

-8.25

-7.25

-6.50

-5.75

-5.00

-4.50

-4.25

-3.75

-3.50

-3.25

-3.00

-2.50

-2.25

-2.00

-1.50

-1.25

-0.75

0.00

0.25

0.75

2.00

3.50

4.75

6.75

9.50

12.50

19.50

28.50

38.00

1VD MAGNETICSnT/M

5279000N

5279100N

5279200N

5279300N

5279400N

5279500N

5279600N

5279700N

5279800N

5279900N

5280000N

5280100N

5280200N

5280300N

5280400N

5280500N

5280600N

5280700N

5279000N

5279100N

5279200N

5279300N

5279400N

5279500N

5279600N

5279700N

5279800N

5279900N

5280000N

5280100N

5280200N

5280300N

5280400N

5280500N

5280600N

5280700N

520300E 520400E 520500E 520600E 520700E 520800E 520900E 521000E 521100E 521200E 521300E

520300E 520400E 520500E 520600E 520700E 520800E 520900E 521000E 521100E 521200E 521300E

LEA-19673

LEA-19679

LEA-19701

LEA-19702

LEA-19709

LEA-19680

(HS 364)

(HS 357)

(HS 356)

(HS 358)

(LM 111)

(HS 355)

HS 353

HS 354

L30 E

L30 E

L40 E

L40 E

L51 E

L51 E

L61 E

L61 E

L70 E

L70 E

L80 E

L80 E

L90 E

L90 E

L100 E

L100 E

L111 E

L111 E

L121 E

L121 E

L130 E

L130 E

L140 E

L140 E

L150 E

L150 E

L160 E

L160 E

L170 E

L170 E

L180 E

L180 E

L190 E

L190 E

T1070 N

T1070 N

T10001 N

T10001 N

T10011 N

T10011 N

T10021 N

T10021 N

T10031 N

T10031 N

T10041 N

T10041 N

T10051 N

T10051 N

T10061 N

T10061 N

T10080 N

T10080 N

T10090 N

T10090 N

T10100 N

T10100 N

T10110 N

T10110 N

T10120 N

T10120 N

T10130 N

T10130 N

T10140 N

T10140 N

T10150 N

T10150 N