Physical Work Report

Stripping, Trenching, BlastingIn

Keefer Township Timmins West

Texas Gulf VMS Zone

Report by Glenn Galata May 31, 2003

C*

42A05SE2017 2.25863 DENTON

RECEIVED19 2003

GEOSCIENCE ASSESSMENT"

010

Introduction:

This work report outlines physical procedures and geological observations made during a manual stripping and trenching program performed within Keefer Township of the Timmins West camp. The areas of stripping and trenching were subsequently mudpack blasted at various locations to examine subsurface geological characteristics to define further areas of interest, which could be subjected to additional mechanical stripping procedures in the future. Incentives for the current work program were undertaken as a follow up to a previous mechanical stripping program performed between Sept 9-Sept 20 1999, which exposed areas of bedrock interest leading eastward beyond the overburden boundary on its eastern perimeter. This mechanical stripping program targeted the area previously outlined by an earlier OGS airborne survey, was also investigated for its base metal virtues by Texas Gulf Sulfur Co. in 1971. Core logs and assay results from the Texas Gulf, 3-hole, 93 3-foot diamond-drilling program formed the initial incentive to reinitiate exploration opportunities within this area of interest, and formed the basis of all subsequent exploration initiatives to the present time.

Geological mapping of the perimeter area discovered additional areas of outcropping that were recommended for smaller manual trenching operations. These trenches were to be used as a guide for additional mechanical stripping extensions of the primary area to the immediate east. This area was also the target of a follow-up Fixed Loop TEM survey, which was used to better define the results of the earlier HLEM program previously undertaken in!999. As a result, the exposures coincident with the TEM anomalies defined from the survey formed the basis for the procedures outlined within this report.

This target area lies just north of the Destor Porcupine Fault Zone and displays an extremely favorable environment for VMS style base metal deposition potential. Details of the previous mechanical stripping operation and HLEM procedures can be viewed in Assessment file T-4550

Location and Access:

The property is located within the south-east portion of Keefer Township in the Timmins west exploration camp. The claims are located approximately 20 kms west of the junction for highways 101 and 144. At roughly 1.5 kms west of the Star Lake entrance, a forestry access road leads south-east towards a cleared parking area which is then within a 5-10 minute walk of the project location. Maps provided with this report show the specific location. Driving time from Timmins to the project area is approximately 30 minutes.

Property:

The property consists of 117 unpatented claim units. The claims are on record as being held 100^0 by Frank Galata of Guelph Ontario. The area of work outlined within this report was performed within the central-east sector of Claim P947888. A map of the mechanically stripped boundary zone is being provided as a detailed location marker for the manual work to its East.

Work Program and Observations:

Between the periods of May 10 and May 13, 2002, an area 150 east of the mechanically stripped limits was chosen for manual stripping and blasting. This earlier mechanical stripping activity exposed areas of bedrock along its perimeter that exhibited Interflow Sediment Heterolithic Breccia characteristics and a program was undertaken to explore its extents. The provided map of the mechanically stripped zone outlines the areas worked. The work crew consisted of two individuals namely Frank Galata Jr. and Frank Galata Sr. A part time helper was also made available to aid in equipment transport and pit mucking requirements subsequent to mud blasting. 2.5 days were spent clearing trees and brush prior to stripping and cleaning of the area. Another 1.5 days were spent preparing clay mud for the explosive packs as well as the blasting and mucking. Axes, picks and shovels were used to perform the work along with manual washing of the exposures. Days 1-4 were approximately 9 hours long. Mobilization in and out of the site was one half day each for a total of 5 days of activity.

Two areas of interest were outlined. The first was an area (south zone) subjected only to shallow stripping and mud blasting. This area is located just 10 feet west of grid location 5600E, 4600N. This zone is the smaller of the two workings. The formation trends north south and covers an area approximately 4 feet wide and 15 feet long. Pillow explosive packs were laid over the lower part of the exposure and covered with extensive amounts of heavy clay mud prior to blasting. The exposed bedrock consisted of Sediment (Iron Formation) in contact with a Mafic Volcanic (Massive). The second area of trenching was performed 100 feet to the north, approximately l O feet west of grid location 5600E, and 4700N. This exposure is larger at approximately 18 feet wide by 23 feet long. Where the bedrock dipped beneath the overburden to the east of the exposure, a trench paralleling the exposure for approximately 5 feet deep, was dug. Where the bedrock dipped steeply beneath heavier overburden to the immediate north, two narrower (2 foot wide) trenches (2 and 4 feet deep) were extended six more feet to the immediate north. The exposed bedrock within the main trench consisted of Sediment (Interflow Volcanoclastics) in contact with Mafic Volcanics (Massive). The extended narrow trenching to the north displayed Mafic Volcanics (Massive). The Cherty appearance to the exposed bedrock is noted as an alteration feature.

Shallow subsurface observations after blasting within the south pit revealed Chalcopyrite seams in a banded iron formation containing roughly 3-5 "/-o sulphides. The north trench exposed a larger area of altered interflow sediments (chert) trending north, north-west which contained heavier amounts of Chalcopyrite seams. This structure appeared to dip beneath massive mafic volcanics exposed by the extended trenching to the north. The overall geological package appeared to be a distinct Interflow Sediment, Mafic Volcanic contact, which has also been observed at several other locations north of the mechanically stripped boundary.

Samples taken at the time of the blasting were sent for assay to X-RAL laboratories in Toronto which also included whole rock analysis. Sampling of the Cherty Interflow Sediment from the northern pit resulted in the submission of 3, 10 Lb bulk grab sample assemblages. Results returned up to 1790 ppm Copper, 2390 ppm Zinc, and 103 ppm Cobalt. Whole rock analysis on sample I indicate a highly siliceous component to the bedrock, which is consistent with Cherty Interflow Sediment characteristics.

Recommendations:

Because of this work program, plugger drilling of the showings is highly warranted to test the formation at depths greater than that obtainable through surface boundary blasting. Additional mechanical stripping of this area has also been recommended to the immediate east where several areas of Interflow Sediment and Heterolithic Breccia outcroppings are seen leading over towards the Keefer/Denton township line 400 feet further. Due to the geological surface mineralization in proximity to the TEM anomaly coincident with line 5600 E, a diamond drill hole should be performed to intersect the zone at depth.

Conclusions:

This external stripped and trenched chert zone is in addition to several such bedrock occurrences within the outer perimeter of the mechanically stripped area. These zones to the immediate north west of the mechanical stripping area contain anomalous Copper l Zinc mineralization as well as appreciable amounts of Molybdenum, and are seen to be commonly associated with Chert outcroppings in contact with Porphyritics. Due to a complicated geological setting consisting of numerous and diversified geological settings, a detailed geological mapping program will be undertaken in a future program to better define the association of these formations within the overall geological setting of the area.

Galata Property

NORTH BAY

SCALE l inch = 24 niles

GaJata Property

Keefer and Denton Townships

Property Location Map

Figure l

Figure 3 - Regional Geology

Star Lake

Keefer Township C?

Denton Township

cin

Work Report Location Mapeft

L 5000 N

L 4800 N

L 4600 N

L 4400 N

L 4200 N

P - 947872

5000 N

4800 N

L 4600 N

4400 N

i!Ji L 4200 N

L 4800 N

18 Feet

L 4700 N

Sample III(South Trench)

L 4600 N

L 4800 N

Sanple I(North Trench)

L 4700 N

Sanple II(North Trench)

L 4600 N

o oCD

LEGEND Trench Diagram5 Diabase4 Felsic Intrusive3 Sediment*

S Banded Iron Formation Interflow Volcanoclasllss

2 Intermedia le lo Felsic Volcanics l Mafic Volcanics

a massive b pillowedc heterolithic breccia d porphyritic flow

Modifiers

bx Breccia•my Amygdaloidalcb Carbon atlzedeh l Chertyfol Weakly lo moderately foliatedFol Highly foliatedqcs Quarlz-Carbonate stringersQV Quarlz Veinpy Pyritepo Pyrrhotite h weakly lo moderately shearedSH Strongly shearedsil Silicifiedv VesicularTr Trenchsib Survey Iron Bor

SymbolsIFl Foliation (Inclined, vertical, unknown)

•13818 Claim Post with lag numbers•l "sib Survey pin and tlxe• Trench

Claim Une

50 SOO

Feet

SGSCERTIFICATE OF ANALYSIS

Work Order: 068011To: Denton Resources

Attn: Glenn Galata

30 Ginger Court GUELPH ONTARIO, N1G 5B3

Date 05/06/03

Copy 1 to

P.O. No. Project No. No. of Samples Date Submitted Report Comprises

3 Rock 16/05/02 Cover Sheet plus Pages 1 to 4

Distribution of unused material:Pulps: Discarded After 90 Days Unless Instructed!!!Rejects: Discarded After 90 Days Unless Instructed!!!

Certified By

Dr. Hugh uza. General Manager

ISO 9002 REGISTERED

ISO 17025 Accredited for Specific Tests. SCC No. 456

Roport Footer: L.N.R. = Listed not received l.S. = Insufficient Sample n.a. = Not applicable -- ^ No result "INF = Composition of this sample makes detection impossible by this method M after a result denotes ppb to ppm conversion, 0A denotes ppm to "/o conversion

Subject to SGS General Terms and Conditions

Minerals Services 1885 Leslie Street Toronto ON M3B2M3 1(416)445-5755 f (416) 445-4152 www.sgs.ca

Member of the SGS Group (Societe Generate de Surveillancel

Work Order: 068011 Date: 05/06/03 FINAL ge l of 4

Kit-mem. McthiHl. Del.Urn.

SiO2 AI2O3 CaO MgO Na20 K2O Fe2O3 MnO TiO2 P2O5 Cr2O3 LOIXRF100 XRF100 XRF100 XRF100 XRF100 XRF100 XRF100 XRF100 XRF100 XRF100 XRF100 XRF100

0.01 Q.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01

n.a.n.a.

51.97n.a.

12.40 n.a.

n.a. n.a.

9.60 n.a.

n.a. n.a.

2.90 n.a,

n.a. n.a. 1.03 n.a.

n.a. n.a. 0.99 n.a.

n.a.n.a.

15.92n.a.

n.a. n.a.

0.20 n.a.

n.a. n.a. l.3ft n.a.

0.12

n.a. n.a.n.a. n.a.

0.02 2.70n.a. n.a.

snsWork Order: 068011 Date: 05/06/03 FINAL Page 2 of 4

Mrlhml. Drt.Liin. l'nits.

Sum Be Na Mg Al P K Ca Se Ti V CrXRF100 ICP70 ICP70 ICP70 ICP70 ICP70 ICP70 ICP70 ICP70 ICP70 ICP70 ICP70

0.01 0.5 0.01 0.01 0.01 0.01 0.01 0.01 0.5 0.01 2 l* ppm % % % % % % ppm ?fc ppm ppm

n.a. <(l.5 0.02 0.33 0.64 0.02 (1.16 O..18 1.0 0.05 27 57n.a. -CO.5 0.02 0.51 0.91 (1.02 0.20 0.37 1.0 0.05 26 27

TO.20 *:d.5 0.03 0.70 1.18 0.04 0.20 l).8(1 2.4 0.16 81 67n.ii. ^).5 0.02 0.34 0.63 0.02 l). 17 0.40 1.1 0.05 28 61

Work Order: 068011 Date: 05/06/03 FINAL Page 3 of 4

Klcmrnl. Mi-lhml. Dft.Liin. (nils.

Mn ICP70

2PP"'

244333555254

Fi-

ICP700.01

*

13.6912.836.93

13.92

Co ICP70

1ppm

978748

103

Ni 1CP70

1ppm

93834699

Cu ICP70

0.5ppm

1770321195

1790

Zn ICP70

0.5ppm

21901560576

2390

As ICP70

3ppm

OO0O

Sr 1CP70

0.5ppm

2.52.54.02.7

Y ICP70

0.5ppm

2.62.83.52.9

ZrICP70

0.5ppm

6.47.82.97.3

Mo ICP70

1ppm

-ci1

01

Ag ICP70

0.2ppm

1.91.10.61.9

Work Order: 068011

Elemenl. Mclliml. Dn.Liiii.fails.

Date: 05/06/03 FINAL

Cd Sn SbICP70 ICP70 ICP70 ICP70

l 10 5ppm ppm ppm

8 < 10 O

Ba*70

lpm

22282425

LaICP70

0.5ppm

3.74.23.14.1

WICP70

10ppm

CIO CIO

< 10< II)

Pb1CP70

2ppm

10y4

li

BiICP70

5ppm

OOOO

LiICP70

1ppm

710137

Page 4 of 4

MINISTRY OF NORTHERN DEVELOPMENT AND MINES

Transaction No: Recording Date: Approval Date:

Client(s):134600

Survey Type(s):

W0360.01049

2003-J UN-23

2003-J UN-26

Work Report Summary

Status: APPROVED

Work Done from: 2002-MAY-10

to: 2002-MAY-14

GALATA, FRANK

ASSAY PTRNCH

Work Report Details:

Claim*

P

P

P

P

P

P

P

P

P

P

947861

947862

947864

947865

947866

947867

947872

947888

947889

947895

Perform

SOSOSOSOSOSOSO

33,332

SO

SO

53,332

External Credits:

Perform Approve

SO

SO

SOSO

soSO

SO

53,332

SO

soS3.332

SO

Applied

S400

S400

S400

S400

S400

S400

S132

SO

S400

S400

S3.332

Applied Approve

S400

S400

S400

S400

S400

S400

S132

SO

5400

5400

53,332

Assign

50sosoSO

soso50

53,332

soSO

S3.332

Assign Reserve Approve Reserve Approve Due Date

0

0

0

0

0

0

0

' 3,332

0

0

53,332

SO

SO

SO

SO

SO

50

50

50

50

50

50

SO 2004-JUN-28

SO 2004-JUN-28

SO 2005-JUN-28

SO 2005-JUN-28

50 2005-JUN-28

SO 2005-JUN-28

50 2004-JUN-28

50 2004-JUN-28

50 2005-JUN-28

50 2004-JUN-28

50

Reserve:SO Reserve of Work Report*: W0360.01049

SO Total Remaining

Status of claim is based on information currently on record.

42A05SE2017 2.25863 DENTON 900

2003-Jul-04 11:02 Armstrong-d Page 1 of 1

Ministry ofNorthern Developmentand Mines

Date: 2003-JUN-26

Ministers du Developpement du Nord et des Mines Ontario

GEOSCIENCE ASSESSMENT OFFICE 933 RAMSEY LAKE ROAD, 6th FLOOR SUDBURY, ONTARIO P3E 6B5

FRANK GALATA 30 GINGER COURT GUELPH, ONTARIO N1G5B3 CANADA

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

Dear Sir or Madam

Submission Number: 2.25863 Transaction Number(s): W0360.01049

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.ca or by phone at (705) 670-5855.

Yours Sincerely,

Sheila Lessard (for)Ron Gashinski.Senior Manager, Mining Lands Section

Cc: Resident Geologist

Frank Galata (Claim Holder)

Assessment File Library

Frank Galata (Assessment Office)

Glenn Carl Galata (Agent)

Visit our website at http://www.gov.on.ca/MNDM/LANDS/mlsmnpge.htm Page: 1 Correspondence 10:18443

42A05SE2017 2.25863 DENTON 200

ONTARIOCANADA

WNBTUr OP NmtHCItN D MINES

PROVINCIAL MIHINaomet

Mining Land Tenure Map

Those winino to stake mining daime should consult WHH the Provincial Mining Raeorden}1 Offim of the Minifitly of Northarn DWmopment and Mln0B for additional Genera! Information and limitations This map may not ahow unregistered land tenure and Interest* Ininformation on the rtttut of the lands shown hereon. Thlt map Is not Intended for navioatlonsl, survey, or land title determination purposes as the Information Contact Information- Toll Free Map Datum: NAD B3 l""* indudino certain patents, leases, easements, rloht of ways,shown on this map li compiled from various souroes. Completeness ana accuracy are not guaranteed. Additional Information may also be obtained trirough the Provincial Mining Recorders' Office Tel: 1 (868) 41S-9M5 ea 67*to|ectton: UTM (8 deo/ee) Hooding rights, licences, or other forms of disposition of rights andlocal Land Titles or Registry Ofllce. or the Ministry of Natural Resources. Willet Sreen Miller Centre 933 Rarrney Lake Road Fax: 1(877) 670-1444 Topographic Data Source: Land Information Ontario interest from the Crown. Also certain land tenure md land uses

Sudbury ON P3E BBS Mining Land Tenure Source: Provincial Mining Recorders' Office *at r"uia w P™Wblt free entry to stake mlnln J dalms may not beThe information shown is derived from digital data available In the Provincial Mining Recorders' Office at the time of downloading from the Ministry of Northern Hom( pag(: ^^ mndm.gov.on.ca/MNDM/MINES/LANDS/mlsmnpge.htm Illustrated. Development and Mines web tile.

Date ; Time of Issue: Thu Jun 26 11:20:12 EOT 2003

TOWNSHIP l AREA PLAN KEEFER O-3237

ADMINISTRATIVE DISTRICTS l DIVISIONSMining DivisionLand Titles/Registry DivisionMinistry of Natural Resources District

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LAND TENURE WITHDRAWALS

IMPORTANT NOTICES

LAND TENURE WITHDRAWAL DESCRIPTIONSIdentifier Type Date Description

3561 Wsm Jan 1.2001 SEC.4J/70 FEB J/66 M, J. 9 R, 1715C*357B Wem Jan 1. 2001 860,43/70 FBB3/68 M * S. 171S063580 Wsm Jan 1,2001 8EC.42WO 02/3/66 M*S 1718063544 Wsm Jan 1,2001 RESERVED FOR PUBLIC USE S.R.O.3607 Wsm Jan 1,2001 BEC42/60 10f7'66M*S 1491133812 Wm Jan 1,2001 DUMPING STATION3696 Wsm Jan1, 2001 1B9S39 12 6 70 S.R.O. PUBLIC ACCESS RES.3708 Wsm Jan 1,2001 172S8* Z4 6 70 S.R.O. PUBLIC ACCESS RES.3717 Wem Jan 1,2001 1640*4 17/5/TZ 3.R.O.W 94/84 Wsm Jul4.1984 SURFACE RIGHTS ONLY WITHDRAWN FROM STAKINO, ORDER M3, NRW 94/8W-LL-C1584 Wem Aug 29, 2002 *a hrel** http^Avww.rtintlm.gov.on.ceMNDM'MINiSJLANDS/IMag/boreistaooaorW-LL-P1S77 Wem Nov21,2001 Mining end Surface rights withdrawal Section 35 of the Mining Act RS01999 OrdiW.2S/77 Ws Jan1,18tO S6C.43/70 W.29/7711WT7 B.R.0.1S8B43W66'63 Wm Jan 1.1983 DANA AND JOWSEY LAKES PARK RES. 6 R O. 171506. SEC.36/80 W 6S/83 MW.fIS/83 Wm NOV16 1983 DANA AND JOWSEY PARK RESERVE S R O SEC. .16/80 W.08/83 NOV. 18('831