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52H02NW2007 2.23486 LITTLE STURGE LAKE 010
A Report on Detail Airborne Geophysical Survey on the Nipigon Plate Property,
ofEAST WEST RESOURCE CORPORATION
CANADIAN GOLDEN DRAGON RESOURCES LTDAVALON VENTURES LIMITED
Disraeli Claim Group
Thunder Bay Mining Division, Ontario^ 0 O S} Province of Ontario ** O'
. O ^ O
y z*
RECEIVED"AP O 5 2002
QEOSCIENCF ASSESSMENT OfFICE
forEast West Resource Corporation402 - 905 W Pender StreetVancouver, British Columbia V6C 1L6andCanadian Golden Dragon Resources Ltd500 - 20 Maud StreetToronto, Ontario M5V 2M5
April 3rd, 2002
Roger J Caven, BASc, P Eng, Consulting GeophysicistRR# 5, 479 Ocean View Drive, Gibsons, British Columbia, CANADA VON l V5 Tel/Fax: (604) 886-0479, e-mail: rogei^caveni^telus.net (Sunshine Coast)
TABLE OF CONTENTSSummary Page 3Introduction 4Location and Access 5Property - Description and Location 5Geological Setting of Host Rocks and Ore 5General Geology of the Lake Superior - Nipigon Area 6Previous Work 7
Drilling 7 Airborne EM - Magnetic Survey - MEGATEM SYSTEM 7
Airborne High Sensitivity Magnetic Survey, Terraquest 8Discussion of Results 8Geology of the Disraeli Claim Group and Vicinity 8Distribution of Work Performed 9Conclusions and Recommendations 9References 10Certificate of Author 12
Operations Report - High Sensitivity Magnetic Airborne Survey, Disraeli - Little Sturge Projects, Lake Nipigon, Ontario, for Teck Corporation, April 3, 2002.
Location Map Scale 1:1,600,000Claim Maps Scale 1:50,000Reduced Map over Disraeli with flight lines, with EM Interpretation Scale 1:50,000
In PocketFlight lines over Disraeli claims with previous EM interpretation Scale 1:25,000
SUMMARY
East West Resource Corporation and Canadian Golden Dragon Resources Ltd have jointly optioned two PGE properties (Seagull/Wolf Mountain and Disraeli) with contiguous claims, in the Nipigon Plate from Avalon Ventures Ltd, and have begun to explore the areas for economic mineralization with Avalon Ventures Ltd.
The Nipigon Plate - Lake Superior area has been interpreted to be a favourable setting for Noril'sk type PGE bearing massive sulphide deposits. The tectonic setting and geological host rock types are identical to the Noril'sk region. The existence of major copper nickel deposits in the region such as the Duluth Gabbro complex deposits, and the Great Lakes Nickel deposit within the Crystal Lake Gabbro, as well as the presence of PGE values in the previously unknown ultramafic body (Seagull Pluton) on the south side of Lake Nipigon, suggests that favourable mafic intrusive bodies occur in the Nipigon Plate.
A 3D model based on the magnetic data over the Seagull Pluton (Leckie Lake Stock) to the south suggested that previously unknown features were present at depth. Mineralized horizons, or layers were found at depths of 569 to 583 m in particular. Mineralogical studies have shown that a cumulate PGE-Ni-Cu sulphide zone is present in the ultramafic. Similar conditions are expected on the Disraeli claim group, where ultramafic rocks have been found, but not adequately outlined for drilling to be carried out in an effective way.
This report deals with the recent detail airborne geophysical (magnetic) survey over the Disraeli claims, April 1 st - 3rd . The total area extends beyond the Disraeli claims to include the Little Sturge area, which will be covered separately. Previously in August, 2001, Fugro Airborne Surveys flew the "Rift Area" with the Megatem covering several claims groups in the Nipigon Plate. That survey was intended to find if electromagnetic conductors were present, and the interpreted conductive features are shown as octagons on the present map. The present survey aims to outline the magnetic features of ultramafic rocks, where the higher susceptibility layers are associated with mineralization.
The following information has been abstracted from the "Report on the Nipigon Plate Platinum Group Element - Nickel - Copper Properties, Thunder Bay Mining Division, Ontario, for Canplats Resources Corporation", October 16th , 2000, by R Caven and K Gunnison ("Canplats Report"):
"The Nipigon Plate - Lake Superior area has been interpreted to be a favourable setting for Noril'sk type PGE bearing massive sulphide deposits. The tectonic setting and geological host rock types are identical to the Noril'sk region. The existence of major copper - nickel deposits in the region such as the Duluth Gabbro complex deposits, and the Great Lakes Nickel deposit within the Crystal Lake Gabbro, as well as the presence of PGE values in a previously unknown ultramafic body (Seagull Pluton) on the south side of Lake Nipigon, suggests that favourable mafic intrusive bodies occur in the Nipigon Plate.
INTRODUCTION
The Nipigon Plate is one of the largest areas of Proterozoic rocks in the world and it includes the second most extensive area mafic intrusions after the Bushveld Complex in South Africa. Between Thunder Bay in the south to Armstrong in the north, widespread diabase (dolerite) sills of olivine - tholeiite composition called the Logan Sills cover a 200 km by 250 km area (over 40,000 square kilometres). Adjacent to this area, beneath Lake Superior, the Keweenawan flood basalts occur with up to 30 km of thickness. These lavas and the diabase (dolerite) sills are similar in geological setting to the Noril'sk - Talnakh nickel - copper - platinum group metal producing region of north central Siberia.
Within Lake Superior, the Mid-continental Rift extends south-westward to Texas and is the tectonic setting for the flood basalts. A failed arm of the Mid-continental Rift extends northward through the Nipigon Plate and takes the form of the Black Sturgeon Fault. The importance of this fault has now been recognized and has been extended northward another 150 km, by re- interpretation of the aeromagnetic data. It is now apparent that this fault and a series of parallel faults are the main structures that are related to the mafic intrusives of the Logan Sill event, as well as older and younger intrusives. Evidence for the presence of an older rift system in the Lake Nipigon Area was discovered during the course of this investigation which suggests the presence of an early basin, graben, or trough which controlled the deposition of the Sibley sediments and is related to a series of alkali felsic intrusions. This setting should also be explored for Olympic Dam- type mineralization in addition to exploring for Noril'sk type mineralization in the younger mafic intrusions. The older rift system was likely reactivated during the formation of the Mid-Continental Rift.
It has been proposed for the last 10 years that there is a similarity between the Lake Nipigon - Lake Superior region and the Noril'sk area (Naldrett, A J, and Lightfoot, P C (1993), Duzhikov, O A, Distler, V V, Strunin, B M M, Krtychyan, A K, Sherman, M L, Sluzhenikin, S S, and Lurje, A M (1993), Society of Economic Geologists, Special Publication No 2, Giant Ore Deposits. Ed: Whiting, B H, Hodgson, C J, and Mason, R). Naldrett (1993) establishes this fact in a paper presented at Queens University as part of a symposium on Giant Ore Deposits and he concludes: "The Lake Superior area has the correct regional tectonic setting (triple junction and associated rifting), has a widespread development of basalt, and some of the basalts show evidence of chalcophile element depletion. What then is missing from the equation in the Lake Superior area that so far has precluded a "Giant", Noril'sk - type deposit being found there? One obvious point is the lack of recognition of major faults of trans-crustal magnitude, that have served as the locus for ore-bearing magma."
In March of 1999, East West Resource Corporation and Canadian Golden Dragon Resources Ltd jointly optioned two platinum - palladium properties in the Lake Nipigon area of Ontario, near Thunder Bay, from Avalon Ventures Ltd (News Release March 11, 1999). The Wolf Mountain property on the north margin of the Seagull intrusion consists of 478 claim units, and the Disraeli Lake group about 10 kilometres to the north, on the east side of Disraeli Lake consists of 287 claim units. Fig 1 shows the location of the claim groups.
The Wolf Mountain claim group, acquired by Avalon Ventures Ltd in 1997, covering the Leckie Lake stock portion of the Seagull intrusion, had been explored by Avalon Ventures Ltd by a ground magnetic survey, geological mapping, trenching, and drilling of eight diamond drill holes. Assays yielded anomalous values of platinum group elements both in drill core and unconsolidated surface material. The Disraeli property was acquired by Avalon at the same time but had less work.
I
l THUNDER BAY
LOCATION AND ACCESSThe properties are located north of the comer of four map sheets (NTS 52 A/15, 52 A/14, 52 H/2, and 52 H/3, 890 00' W/ 490 00' N), northwest of Thunder Bay (Figure 1) with access via bush roads off the Dorion Road, leading east from Highway 527, which extends north from Thunder Bay to Armstrong. Distance from Thunder Bay is approximately 90 km to the Disraeli property.
PROPERTY
530 - Disraeli
Claim Number
TB 1227524TB 1233914
TB 1233917
TB 1233918
TB 1233919TB 1233922
TB 1233923
TB 1233924
TB 1233925
TB 123991 5TB 12399 16
TB 123991 7
TB 123991 8
TB 1239919
TB 1239920TB 1239921
TB 1239922
TB 1240020
TB 1240350TB 1240351
TB 1240352
Grand Total
Lake: G-0067
Recorded
05-Apr-OO
05-Apr-OO
05-Apr-OO
05-Apr-OO
05-Apr-OO
05-Apr-OO
05-Apr-OO
05-Apr-OO
05-Apr-OO
03-Dec-99
03-Dec-99
03-Dec-99
03-Dec-99
03-Dec-99
03-Dec-99
03-Dec-99
03-Dec-99
05-Apr-OO
30-May-OO
30-May-OO
30-May-OO
LECKIE
Due Date
05-Apr-02
05-Apr-02
05-Apr-02
05-Apr-02
05-Apr-02
05-Apr-02
05-Apr-02
05-Apr-02
05-Apr-02
03-Dec-02
03-Dec-02
03-Dec-02
03-Dec-02
03-Dec-02
03-Dec-02
03-Dec-02
03-Dec-02
05-Apr-02
30-May-02
30-May-02
30-May-02
LAKE,
Units
6
16
16
16
12
12
16
16
12
15
12
16
16
16
16
12
10
16
16
16
4
287
G-0071 LITTLE STURGE LAKE
Work Required $
2,400
6,400
6,400
6,400
4,800
4,800
6,400
6,400
4,800
6,000
4,800
6,400
6,400
6,400
6,400
4,800
4,000
6,400
6,400
6,400
1,600
GEOLOGICAL SETTING OF HOST ROCKS AND ORE.An extensive area of flood basalt covering and flanking widespread sediments containing sulphate evaporites and local coal measures (methane sources), which are in turn intruded by 30 - 350 m thick dolerite (diabase) sills, characterizes the geological setting of the Noril'sk camp. A major northeast trending fault known as the Noril'sk - Kharayelakh Fault is the main controlling feature that localized the mafic to ultramafic intrusions and dolerite sills. This fault is steeply dipping and is deep seated and may have tapped the mantle. The overall setting is a rift tectonic environment and is proximal to a triple junction of faults where two rift systems meet. All of the above characteristics are found in the Lake Superior - Nipigon area, including a major fault structure (the Black Sturgeon Fault) and a triple junction in Lake Superior associated with the Midcontinental Rift of North America.
GENERAL GEOLOGY OF THE LAKE SUPERIOR - NIPIGON AREA Sibley SedimentsThe Sibley Group of sediments occur on the north shore of Lake Superior and extend north-ward as far as Armstrong, Ontario, and form the base for the Nipigon Plate. This would be roughly a 200 km by 150 km area that has subsequently been intruded and capped by the Logan diabase sills. Age dating by Rb/Sr methods have suggested an age of 1339 +I- 33 Ma, Franklin (1970), however, mapping by Sutcliffe (1987) suggests that an older date is possible for the base of the Sibley. In the vicinity of English Bay on Lake Nipigon fragments of Sibley have been observed by Sutcliffe to be mixed with felsic volcanic fragments that are related to a high level alkali intrusion that yields an age of 1537 Ma. Fragments of a quartzite and grit - shale units were observed in the alkaline porphyry intrusive by Gunnison (Canplats Report), suggesting the Sibley or lower sections existed when the alkali body was intruded. Therefore this suggests that an older rift system existed, as old as 1537 Ma. Tanton (1931), Franklin (1970, 1980, 1982), Cheadle (1986), Mcilwaine and Wallace (1976), Wallace (1981), and Sutcliffe (1991) have described the stratigraphy and geological setting of the Sibley in detail.
The importance of the Sibley to the search for PGE - nickel deposits in the Nipigon Plate area is that a source of sulphur is desirable for the generation of sulphide deposits within the mafic - ultramafic bodies. Franklin (1970, 1982) notes that barite occurs in the lower and middle formations (Pass Lake and Rossport) and that gypsum and anhydrite occur in the middle and upper formations (Rossport and Kama Hill). In addition methane gas and hydrogen sulphide occur, particularly in association with stromatolite horizons in the Rossport and Kama Hill formations. It is therefore concluded that abundant sources of sulphur were available to later mafic - ultramafic intrusions to generate sulphide bodies. This same geological setting occurs at the Noril'sk and Talnakh PGE - Ni - Cu mining camps in northern Siberia, C l S (formerly USSR), where sulphate-bearing sediments and coal measures are in contact with mafic intrusions.
Mid Proterozoic Mafic IntrusionsThe mid Proterozoic mafic intrusions in the vicinity of the Nipigon Plate consist of two known suites of rocks, an early stage ultramafic - picrite event, the full extent of which is unknown, and the diabase - dolerite Logan Sills which are very extensive, 200 km x 120 to 250 X 200 km. These two events are followed by other mafic intrusives southwest of Thunder Bay, namely the Pigeon River dykes, which cut the Logan Sills and the Crystal Lake gabbro - Mollic dyke which cut the Pigeon River dykes. Further away to the east of the Nipigon Plate a series of carbonatite syenite complexes occur such as the Coldwell complex which contain phases of gabbro - norite hosting large low grade copper - PGE values. These intrusions are also related to a failed arm structure that trends northeast from the Midcontinental Rift beneath Lake Superior and are dated at 1.05 billion years, Good P J, and Crockett J H (1994).
The geology of the picrites and Logan sills in the Thunder Bay region has been described by Pye (1953), Blackadar(1954), Geul (1970, 1973).
PREVIOUS WORK
East West Resource Corporation and Canadian Golden Dragon Resources Ltd in collaboration with Avalon Ventures Ltd have subjected the area to an extensive examination. The aeromagnetic map shows the nearly circular Seagull Pluton with the Leckie Stock on the northern rim, and the elongated Disraeli Lake intrusion to the north.
A detailed ground magnetic survey had been acquired by Avalon Ventures Ltd earlier, covering the Leckie Stock. This data was used to obtain a 3D inversion showing the approximate shape of the body including subtle layering. The model is that of magnetic susceptibility, and is produced with the aid of a computer program developed by the Geophysical Inversion Facility at the University of British Columbia. Mathematical inversion of 2D data into a 3D representation need to be consistent with geological parameters, and features of the model have been checked against the drilling and found to be essentially in compliance. In particular layering such as seen in drilling, can be seen in the model and subsequently found in outcrop further to the west, outside the earlier known limits of the Leckie Stock, confirming the dip.
DrillingDuring the year 2000 to date five diamond drill holes, DOO-01 to DOO-05, were drilled on the Disraeli property, the description of the results is appended as drill logs and assay sheets to the report September 8, 2000. The drill results have confirmed the existence of layering within the body. "Two of the shallow drill holes intersected the dark upper ultramafic phase and Sibley sediments below, with carbonate units as well as red bed shale-sandstone. In the case of hole D5 the drill hole continued through 30 m of Sibley into an olivine gabbro sill that is similar in appearance to the olivine gabbro sill in Seagull and Fox Mountain. Sibley Sediments occur below this sill as well" (from Canadian Golden Dragon Resources Ltd Annual Report 2001). The detail descriptions of the drill core are contained in the drill logs and assay sheets appended to the report: "Progress Report on the Wolf Mountain and Disraeli Properties for East West Resource Corporation, Canadian Golden Dragon Resources Ltd, and Avalon Ventures Ltd", September 8, 2000, by Roger J Caven.
Airborne EM - Magnetic survey - Megatem system On August 20th, 2001 a survey was flown over the Disraeli - Wolf Mountain claim groups in the Nipigon Plate area, Thunder Bay Mining Division, by Fugro NV, Geoterrex - Dighem Division as part of a larger survey, using the high-powered Megatem System. Megatem is the latest fixed- wing airborne electromagnetic system to be introduced in the past 15 years. The time-domain EM system was designed to operate at high altitudes as well as to provide exceptional depth penetration and precise target definition, which are achieved through a large and powerful transmitting loop and multiple frequencies and receiver coils. The transmitter loop has an area of 400 square metres with four turns (effective loop area of 1600 square metres) and a dipole moment of over one million ampere-metres squared capable at operating at waveform (pulse) frequencies from 12.5 Hz to 90Hz. The receiver is an improved version of the Geotem system with receiving coils in three orthogonal directions (two horizontal axes and one vertical axis) and able to acquire both dB/dt (decay of secondary field measured between pulses) and B-field (secondary field measured during pulse on-time) data. The receiver coils with horizontal axes (in direction of flight and across flight direction, respectively) respond to vertical or steeply dipping conductors, whereas the receiver coil with vertical axis responds primarily to horizontal conductors.
8
AIRBORNE HIGH SENSITIVITY MAGNETIC SURVEYApril 1-3, 2002, a detailed aeromagnetic survey was flown by Terraquest Ltd under contract to Teck Corporation (January 2002), and data to be processed and plotted by Controlled Geophysics
Inc (CGI). The aircraft was a specially equipped Cessna 206U, with three high sensitivity
magnetometers, GPS receiver, and altimeters. The flight line direction was N68Q with a nominal
100 m separation, and five tie-lines across the Disraeli claims. The coordinates for the survey are
NAD27 UTM, UTM Zone 16. The total area to be flown extends beyond the Disraeli claims to
cover the Little Sturge area, which will be reported on separately. The data are plotted as total
magnetic field contours as well as vertical gradient contours. Claim outlines are added to the maps. A copy of the full Terraquest Operations Report is appended.
Discussion of ResultsThe Megatem airborne survey produced a number of responses on the property particularly in
the northern part. Interpretation by Fugro indicates that the conductors have depths varying from
30 to 166 metres. No conductive sediment, such as graphitic shale has been reported to be
present in the sequence and therefore the conductors are likely reflecting the existence of
sulphides. The EM conductors are shown as filled octagons with size varying dependent on CTP (conductivity-thickness-product). The majority of EM responses occur over the Disraeli portion of the claims, while only three show on the Seagull claims. From drilling results it is known that the
mineralization is predominantly disseminated, with possible massive sulphides occurring at greater
depth and not necessarily very apparent in the airborne results with flight line separation of 1000
metres.
The detail magnetic survey is presented by Terraquest as contour maps for total magnetic
intensity as well as vertical magnetic gradient at a scale of 1:50,000. The magnetic data will be
processed for 3D inversion using the computer program from the UBC Geophysical Inversion Facility to delineate the magnetic structure of selected features.
Further information on the work at the Leckie Lake Stock (Wolf Mountain) can be found in earlier
reports on the property.
GEOLOGY OF THE DISRAELI CLAIM GROUP AND VICINITY
"The Fox Mt Dike on the east side of the Disraeli property is composed of an olivine gabbro and is possibly the feeder for the gabbro sills. This unit is low susceptibility and therefore expresses itself
as a magnetic low. Fragments (xenoliths) of Sibley occur in the dike and one remanent
determination suggests this unit is positively polarized. Hence Fox Mt may be a later phase of the Seagull-Disraeli intrusion but is not a feeder for these rocks nor a feeder for Logan Sills since the
Logan, Seagull, and Disraeli are reversely polarized."
"Contacts with Fox Mt and Disraeli have now been observed which show Fox Mt intrudes Disraeli
and dips 600 to the east. The Fox Mt Dike may in fact be part of a large sill or cone intrusion due to the crescent shape to the series of exposures and magnetic pattern. This would link to the Little
Sturge area, which may be the other half of the Fox Mt intrusion and ultramafic complex." (from
Canadian Golden Dragon Resources Ltd Annual Report 2001).
The detail magnetic survey will be processed by 3D inversion to outline the higher susceptibility
rocks, which carry the mineralization, similar to the situation at the Seagull intrusion.
DISTRIBUTION OF WORK PERFORMED
The following work has been determined for each claim: Claim Coverage km 1227524 10.25 1233914 14.951233917 28.251233918 26.751233919 19.801233922 17.301233923 28.801233924 27.801233925 19.701239915 24.351239916 19.901239917 26.451239918 26.851239919 25.751239920 27.051239921 19.551239922 14.501240020 24.70124035012403511240352
Total 402.70 km
CONCLUSIONS AND RECOMMENDATIONS
The existence of airborne EM conductors in the absence of known graphitic occurrences points to the possible presence of massive sulphide deposits on the property. The interpretation presented after the survey also indicates that the anomalies would be at depths of 30-166 metres. In order to locate such conductors on the ground would require an EM system capable of penetration to the depths indicated. The conductors may be located with a MaxMin instrument, or mapped with a time-domain EM system (pulse EM). The high sensitivity airborne magnetic survey is tightly controlled using GPS and thus equal to a ground magnetic survey. Very little or no ground magnetic survey would be necessary. Fugro NV geophysicists maintain that the Megatem EM does not respond to magnetite, thus leaving the main magnetic anomalies reflecting the host rocks, which would be in the form of mafic intrusives.
Further ground electromagnetic and induced polarization surveys are recommended for this claim group prior to further drilling, with the added information obtained from the 3D inversions of the magnetics to be taken into account.
Respectfully submitted April 3rd, 2002.
Roger J Caven, P Eng, FGAG
W
10
REFERENCES
Blackadar, R G (1954). Differentiation and assimilation in the Logan Sills. Ph D thesis, University of Toronto.
Canplats Report: "Report on the Nipigon Plate Platinum Group Element - Nickel - Copper Properties, Thunder Bay Mining Division, Ontario", for Canplats Resources Corporation, formerly International Colby Resources Corporation, by R Caven and K Gunnison, October 16th , 2000.
Caven, R J (2000). Progress Report on the Wolf Mountain and Disraeli Properties for East West Resource Corporation, Canadian Golden Dragon Resources Ltd, and Avalon Ventures Ltd, September 8, 2000. Company report.
Caven, R J (2001). Update to Progress Report on the Wolf Mountain and Disraeli Properties for East West Resource Corporation, Canadian Golden Dragon Resources Ltd, and Avalon Ventures Ltd, August 23, 2001. Company report.
Caven, R J (2002). A Report on Airborne Geophysical Survey on the Nipigon Plate Property, of East West Resource Corporation, Canadian Golden Dragon Resources Ltd, and Avalon Ventures Limited, Disraeli-Seagull Claim Group, February 6,2002.
Cheadle, Burns A (1986). Alluvial - playa sedimentation in the lower Keweenawan Sibley Group, Thunder Bay District, Ontario. Canadian Journal of Earth Sciences, Vol 23, No 4, p 527 - 542.
Coates, M E (1972). Geology of the Black Sturgeon River Area, District of Thunder Bay; Ontario Department of Mines and Northern Affairs, Report 98, 41 p, incl maps 2233, 2234, 2235, and 2236, scale 1^ Y2 mile.
Duzhikov, O A, Distler, V V, Strunin, B M M, Krtychyan, A K, Sherman, M L, Sluzhenikin, S S, and Lurje, A M (1993), Society of Economic Geologists, Special Publication No 2, Giant Ore Deposits. Ed: Whiting, B H, Hodgson, C J, and Mason, R
Franklin, J M (1970). Metallogeny of the Proterozoic rocks of the Thunder Bay district, unpublished Ph D thesis, University of Western Ontario, London, 317 p.
Franklin, J M, Mcilwaine, W H, Poulsen, K H, and Wanless, R K (1980). Stratigraphy and depositional setting of the Sibley Group, Thunder Bay district, Ontario, Canada, Canadian Journal of Earth Sciences, Vol 17, No 5, p 633 - 651.
Franklin, J M (ed. 1982). Proterozoic geology of the northern Lake Superior area, Geol Assoc of Canada Field Trip Guide Book 4, 71 pages.
Geul, J J C (1970). Geology of Devon and Pardee Townships and the Stuart Location. Ont Dept of Mines Geology Report 87, accompanying map 2207, re:Great Lakes Nickel Deposit.
Geul, J J C (1973). Geology of Crooks Township, Jarvis and Prince locations and offshore islands, District of Thunder Bay, Ontario Division of Mines, Geological Report 102, 46 p.
11
Good, D J, and Crockett, J H (1994). Genesis of the Marathon Cu - platinum group elementdeposit, Port Coldwell alkalic complex, Ontario: A mid-continent rift related magmatic sulphide deposit. Economic Geology, Vol 89, p 131 - 149.
Mcilwaine, W H, Wallace, H (1976). Geology of the Black Bay Peninsula Area, District of Thunder Bay, Ontario. Ontario Division of Mines, GR 133 incl map 2304, scale 1'^1 mile.
Naldrett, A J (1993). Ni - Cu - PGE Ores of the Noril'sk Region, Siberia: A Model for Giant Magmatic Sulphide Deposits Associated with Flood Basalts,in Society of Economic Geologists, Special Publication No 2, Giant Ore Deposits. Ed: Whiting, B H, Hodgson, C J, and Mason, R.
Naldrett, A J, and Lightfoot, P C (1993), Society of Economic Geologists, Special Publication No 2, Giant Ore Deposits. Ed: Whiting, B H, Hodgson, C J, and Mason, R
Pye, E G (1953). A petrographic study of the textures of basic and ultrabasic igneous rocks; unpublished PhD thesis, University of Toronto, Toronto, Ontario, 93p.
Sage (1998). Operation Ignace- Armstrong, Obonga Lake - Lac des iles Area, Geology of Area II: Part 1 - Super crustal rocks, Part 2 - Granites, Granite-Super crustal Relationships, OGS Open File Report 5978, 443 p, maps P. 962, and P. 963.
Sutcliffe, R H (1987). PhD Thesis, University of Western Ontario, London, Ontario.
Sutcliffe, R H (1991). Proterozoic Geology of the Lake Superior Area in Geology of Ontario, OGS Special Volume 4 pt 1, p 627 - 660.
Tanton, T L (1931). Fort William, Port Arthur, and Thunder Cape map areas, Thunder Bay District, Geological Survey of Canada, Memoir 167, 222 p.
Wallace,H (1981). "Keweenawan geology of the Lake Superior Basin", in Proterozoic Basins of Canada, Ed: F H Campbell, GSC Paper 81-10, pp 399 - 418.
Gupta, V K (1991) Shaded image of total magnetic field of Ontario, east-central sheet, Ontario Geological Survey, Map 2586, scale 1:1,000,000
12
CERTIFICATE OF QUALIFICATIONS
l, Roger J Caven, of 479 Ocean View Drive, Gibsons, British Columbia, hereby certify that:
1. l am a graduate of the University of Toronto, Faculty of Applied Science and Engineering, Engineering Science Course, Geophysics Option (1967).
2. l am a registered Professional Engineer in the Provinces of British Columbia and Ontario.
3. l am a Fellow of the Geological Association of Canada, and an Active Member of theSociety of Exploration Geophysicists, the Australian Society of Exploration Geophysicists, the European Association of Geoscientists and Engineers, Society of Economic Geologists, and IEEE.
4. l am presently employed as an independent Consulting Geophysicist, with address in Gibsons, British Columbia.
5. l have been employed in my profession since graduation, by Barringer Research Inc as a Senior Geophysicist, and with UMEX Inc as Chief Geophysicist in charge of exploration, and as a Consulting Geophysicist since 1983.
6. The information contained in this report was obtained through a study of information listed in the references, airborne surveys over the property, as well as having worked extensively in the Canadian Shield, particularly in northwestern Ontario on the Thierry Ni-Cu-PGE deposit near Pickle Lake, on exploration for nickel sulphides and other mineralization in that region.
Dated at Gibsons, British Columbia, this 3rd day of April, 2002.
Roger J Caven, P Eng, FGACv Consulting Geophysicist 'O:
"
B-065
OPERATIONS REPORT
HIGH SENSIVITY MAGNETIC AIRBORNE SURVEY
DISRAELI - LITTLE STURGE PROJECTS
LAKE NIPIGON, ONTARIO
for
TECK CORPORATION
by
TERRAQUEST LTD.
April 3, 2002
TABLE OF CONTENTS
1.0 INTRODUCTION2.0 SURVEY AREA3.0 EQUIPMENT SPECIFICATIONS
31. AIRCRAFT32. AIRBORNE GEOPHYSICAL EQUIPMENT33. BASE STATION
4.0 SURVEY SPECIFICATIONS41 LINES AND DATA42 TOLERANCE S43 NAVIGATION AND RECOVERY44 OPERATIONAL LOGISTICS
5.0 DATA PROCESSING 6.0 SUMMARY
3333467777889
APPENDIX I APPENDIX D
PersonnelCertificate of Qualification
MAPS1) Total Magnetic Field2) Calculated Vertical Magnetic Gradient and Measured Horizontal Magnetic Gradient
1.0 INTRODUCTION
This report describes the specification and results of an airborne geophysical survey carried out for TECK CORPORATION, 3 rd Floor, 200 Burrard Street Vancouver, BC, V6C 3L9, attention Mr. Fred Daley, Vice President Exploration, telephone 604-687-1117, fax 604-687-6100. email [email protected]. The survey was performed by Terraquest Ltd, 1373 Queen Victoria Avenue, Mississauga. Ontario. Canada L5H 3H2. telephone 905-274-1795, fax 905-274-3936 and email [email protected].
The purpose of the survey of this type is to collect geophysical data that can be used to prospect directly for anomalous magnetic areas in the earth's crust which may be caused by or related to economic minerals. Secondly, the geophysical patterns may be used indirectly for exploration by mapping the geology in detail, including the faults, shear zones, folding, alteration zones and other structures.
To obtain this data, the area was systematically traversed by an aircraft carrying geophysical equipment along parallel flight lines spaced at even intervals and oriented so as to intersect the geology and structure in a way as to provide optimum contour patterns of the geophysical data.
2.0 SURVEY AREA
The survey area is in northern Ontario southwest of Lake Nipigon, approximately 90 kilometres north of the Thunder Bay, and approximately 10 kilometres southwest of Black Sturgeon Lake. The survey area is irregular in shape; the east west axis averages 17 kilometres and the north south axis averages 16 kilometres. The survey is approximately 49 degrees 10 minutes north and 88 degrees 55 minutes west. The survey coordinates in the NAD27 datum Zone 16 as supplied by the client are as follows:
353500.0 5438000.0 AREA CORNER l353500.0 5450000.0 AREA CORNER 2366000.0 5455000.0 AREA CORNER 3373000.0 5440000.0 AREA CORNER 4373000.0 5436000.0 AREA CORNER 5367500.0 5436000.0 AREA CORNER 6367500.0 5438000.0 AREA CORNER 7
3.0 EQUIPMENT SPECIFICATIONS
3.1 AIRCRAFT
The survey was carried using a single engine Cessna 206U aircraft registration C-GGLS, which carries three high sensitivity magnetometers. It is equipped with long range tanks, outboard tanks (total 9 hours range), tundra tires, cargo door and full avionics.
The aircraft has been extensively modified to support a tail stinger and two wing tip extensions. The transverse separation between the wing tip sensors is 13.5 metres and the longitudinal separation to the tail sensor is 7.2 metres. Considerable effort has been made to remove all ferruginous materials near the sensors and to ensure that the aircraft electrical system does not create any interference or noise. The figure of merit using Geological Survey of Canada standards is approximately 9 nT uncompensated and approximately 0.8 to 1.2 nT compensated depending on the latitude and geological environment..
The aircraft is owned and operated by Terraquest Ltd. under full Canadian Ministry of Transport approval and certification for specialty flying including airborne geophysical surveys. The aircraft is maintained at base operations by a regulatory AMO facility. Leggat Aviation Inc. and when in the field, by a Terraquest Ltd. AMB who is also in association with Leggat Aviation Inc.
3.2 AIRBORNE GEOPHYSICAL EQUIPMENT
The primary airborne geophysical equipment includes three high sensitivity cesium vapour magnetometers. Ancillary support equipment includes a tri-axial fluxgate magnetometer, video camera, video recorder, radar altimeter, barometric altimeter, GPS receiver. OPS receiver with a real-time correction service, and a navigation system. The navigation system comprises a left/right-up/down indicator for the pilot and a screen showing the survey area, planned flight lines, and the real time flight path. All data were collected and stored by the data acquisition system. The following provides detailed equipment specifications:
Cesium Vapour Magnetometer Sensor (mounted in tail stinger and wing tip extensions)Model CS-2Manufacturer ScintrexResolution 0.001 nT counting at 0. l per secondSensitivity +I- 0.005 nTDynamic Range 15,000 to 100.000 nTFourth Difference 0.02 nT
Tri- Axial Fluxgate Magnetic Sensor (for compensation, mounted in midpart of tail stinger)Model MAG-03MCManufacturer Bartington Instruments Ltd.Input 24-34 VDC, ^0 milliampsField Range +I- 100,000 nanoteslaInternal noise at IHz to l kHz: 0.6 nT rms.Bandwidth O to l kHz maximally flat, -12 dB/octave roll off beyond l kHzFreq. Response l to 100 Hz^7-0.5 07o; 100 to 500 Hz;H-M.507o; 0.5 to l kHz:HV-5.007oCalibration. Accuracy +/-0.50/oOrthogonality 4-7-0.5 07o worst casePackage alignment +/-0.5% over full temperature rangeScaling Error absolute^A0.5070; between axes: +/-0.5%
Video Camera (mounted in belly of aircraft)Model VDC-2982 (colour)Manufacturer SanyoSerial Number 698000-30Specifications Vi\ 470hr, 1.3LX, 12 VDC. C/CS, EI/ES, backlite compensationLens Rainbow 2/3", 4.7 mm, FI.8-360, auto iris
Video RecorderModel Camcorder model VL-2 3 9 Manufacturer Sharp Media 8mm cassette Serial Number 610516300
Radar AltimeterModel KRA-10AManufacturer KingSerial Number 071-1114-00Accuracy 5^0 up to 2,500 feetCalibrate accuracy WoOutput Analog for pilot, converted to digital for data acquisition
Barometric AltimeterModel LX18001 ANManufacturer SensymSource coupled to aircraft barometric system
Navigation Interface (console mounted in rack with remote displays for pilot)Model PNAV2001Manufacturer Picodas Group Inc.Data input real time processing of GPS output dataPilot readout left/right and up/down pilot indicatorOperator readout screen modes: map, survey and lineData recording all data recorded in real time by PDAS 1000
Real-Time GPS Correction (connects to Novatel GPS receiver see below) Model Landstar Mark in Manufacturer Racal Antenna post type Operating temperature 0-50 "C Broadcast Services Service Satellite Link: American Satellite Corp. (AMSC)
L band broadcast (1525 to 1559 MHz satellite bandData update 2 seconds, Data latency 5-6 secondsCold acquisition 12 secondsReacquisition 7 seconds
Power supplies:
1) PC6B converter to convert 13.75 volt aircraft power to 27.5 volts DC.2) Power distribution unit located in the instrument rack, manufactured by Picodas Group
Inc., interfaces with the aircraft power and provides filtered and continuous power at 13.75 and 27.5 VDC to components.
3) The 1000A console manufactured by Picodas Group Inc. contains three 32 VDC switching power supply for the cesium vapour magnetometer sensors; console also provides switching power for fluxgate magnetometer (real time magnetic compensation), radar altimeter, barometric altimeter, and ancillary equipment.
Data Acquisition System (mounted in rack)Model PDAS 1000Manufacturer Picodas Group Inc.Operating System MSDOSMicroprocessor 80486dx-66 CPUCoprocessor Intel 80486dxMemory on board 8 MB, page interleaving, shadow RAM for BIOS, EMS 4.0Clock real time, hardware implementation of MC14618 in the integrated
peripheral controllerI/O slots 5 AT and 3 PC compatible slots Display electroluminescent 640 x 400 pixels Graphic display scrolling analog chart with 5 windows operator selectable, freeze
display capability to hold image for inspection Recording media standard hard drive with extra shock mounts, standard floppy drive and
quarter inch tape backup (QIC format)Sampling selectable sampling for each input type: 1.0, 0.5, 0.25, 0.2, 0. l seconds Inputs 12 differential analog input withl6 bit resolution Serial ports 2 RS-232C (expandable) Parallel ports 10 definable 8 bit I/O, 2 definable 8 bit outputs
The PDAS 1000 contains several boards as described below:
Magnetometer Board (three boards, one for each magnetometer sensor)Model PCBManufacturer Picodas Group Inc.Input range 20,000 - 100,000 nTSampling 1,000 per secondBandwidth selectable 0.7. 1.0 or 2.0 HzResolution 0.0001 nTMicroprocessor TMS 9995Firmware 8 Kbit EPROM board residentInternal crystal 18,432 kHzCrystal accuracy absolute O. O l "/oHost interfacing 8 kByte dual port memoryAddress selection within 20 bit addressing in 8 kByte software selectable stepsInput signal TIL, CMOS, open collectible compatible or sine wave with decouplerInput impedance TO^l kOhm
Magnetic compensation for aircraft and heading effects is done in real time. Raw magnetic values are also stored and thus compensation with different variable can be performed at a later date.
OPS Differential Receiver BoardModel OPS card 3 951 RManufacturer NovatelAntenna Model 511, low profileChannels 12Position update 0.2 second for navigationAccuracy position with SA implement 100 metres, with no SA 10 metres,
velocity 0. l knot time recovery Ipps, 100 nsec pulse width Data recording all raw GPS and positional data logged by PDAS 1000
Analog Processor BoardModel PCBManufacturer Picodas Group Inc.
Provides separate A/D converter for each analog input with no multiplexing; each channel is sampled at a rate of 1,000 samples per second with digital processing applied
3.3 BASE STATION EQUIPMENT
High sensitivity magnetic base station data was provided by a cesium vapour magnetometer logging onto a notebook and with time synchronization from the GPS base station receiver.
The magnetometer is the same as used in the aircraft, a CS-2 magnetometer manufactured by Scintrex. The processor is also the same as used in the aircraft but is housed in a portable box model MEP-710. manufactured by Picodas Group Inc. The logging software is written by Picodas Group Inc., BASEMAG version 5.02 for an IBM compatible PC (notebook) with RS232 input. It supports real time graphics, automatic startup, compressed data storage, selectable start/stop times, plotting of data to screen or printer at user-selected scales, and fourth-digital difference and diurnal quality flags which are set by user in BASEPLOT. Time recorded is taken from the base GPS receiver.
The GPS base station data are provided by a GPS receiver, with logging onto a notebook. These data were used to perform post flight differential corrections using C3NAVs software to the flight path data.
Model MX 4200DManufacturer MagnavoxSerial number 5057Type continuous tracking, LI frequency, C/A ode (SPS). 6-channel
independentReceiver sensitivity -143 dBm Costas thresholdLogging rate l per second
4.0 SURVEY SPECIFICATIONS
4.1 LINES AND DATA
Survey lines 2674 kmTie lines 190 kmTotal Survey 2864 kmSurvey Line Interval 100 metresTie Line Interval 2 kmSurvey Line Direction 068.3 degreesTie Line Direction 335 degreesTerrain Clearance 80 metres (mean terrain clearance)Average Ground Speed 60 metres/secondData Point Interval 6 metres
4.2 TOLERANCES
Line Spacing: Reflights will take place if the final differentially corrected flight path deviates from theintended flight path by -t-7-25"Xo of the line spacing over a distance greater than l kilometre.
Terrain Clearance: The aircraft terrain clearance will be smoothly maintained at 800 metres MTC in adrape mode. Reflights will take place if the final differentially corrected altitude deviates from theflight altitude by +/-20% over a distance of one kilometre or more.
Diurnal Magnetic Variation: The airborne survey will be confined to periods in which the diurnal activity is6 nT or less over a chord of 2 minutes in length.
GPS Data: GPS data shall include at least four satellites for accurate navigation and flight path recovery.There shall be no significant gaps in any of the digital data including GPS and magnetic data.
4.3 NAVIGATION AND RECOVERY
The satellite navigation system was used to ferry to the survey sites and to survey along each line. The survey coordinates of each area outline was supplied by the client and was used to establish the survey boundaries and the flight lines. The Clark 1866 ellipsoid for Canada East was used with x-y-z delta shifts of 10, -158 and -187 respectively. The UTM zone is 16.
The flight path guidance accuracy is variable depending upon the number and condition (health) of the satellites employed. The selective availability normally imposed by the military was at a minimum during this period and consequently the accuracy was for the most part better than 10 metres. Real-time correction using the Racal (receiver and broadcast services) improves the accuracy to about 3 metres or less. Post flight differential correction, which corrects for satellite range errors, using the base station data improves the accuracy of the recovered flight to less than 2-3 metres.
A video camera recorded the ground image along the flight path. A video display screen in the cockpit enabled the operator to monitor the flight path during the survey.
4.4 OPERATIONAL LOGISTICS
The base of operations was in Thunder Bay. Ontario. The base station (combined high sensitivity magnetic and OPS) was set up at a trailer on private property about 15 minutes from the airport, well away from cultural interference.
5.0 The crew mobilized to the area on April 1st and set up the base station. The survey was flown over next few days including survey, tie. boundaries, compensation, reflights. testing and Figure of Merit. Operations were hindered slightly by weather.
DATA PROCESSING
The data were transmitted via an FTP site to Controlled Geophysics Inc. (CGI) processing laboratory in Thornhill, Ontario, Canada where it was reviewed thoroughly for quality control and tolerances on all channels. This included post flight differential OPS corrections to the flight path, making flight path plots, importing the base station data, creating a database on a flight by flight basis, and posting the data. All data were checked for continuity and integrity. Any errors or omission or data beyond tolerances were flagged for reflight and the crew was notified by return FTP transmission, ready for their flight in the morning.
The final processing involved tie line leveling in the standard manner by tying the survey lines to the tie lines using GEOSOFT software. The total field was gridded and microlevelled in the Fourier domain (generally less than l nT corrections) to reduce any linear noise along the flight path without degrading the geologic signal. The vertical magnetic gradient was calculated from the final processed total magnetic field gridded data. The final levelled datasets were gridded and were contoured.
The measured horizontal gradient was obtained as follows: a) the transverse gradient is the value from the left sensor minus the value from the right sensor divided by their separation, b) the longitudinal gradient is the difference between the tail sensor and the average of the left and right senors, and divided by the longitudinal separation, c) the horizontal gradient is the vector sum of the transverse and longitudinal gradients. In addition every other line is flipped to accommodate the flight direction and a shift is applied to equalize the sensors.
The final processed magnetic data were not plotted as maps but rather supplied directly to the client as digital files of the gridded data. The horizontal gradient is files include plotted as vectors along the flight lines on the same plot as the calculated vertical gradient.
The final processed database and gridded data are included in the CD-ROM archive.
6.0 SUMMARY
An airborne high sensitivity magnetic survey with three magnetometers was performed at 80 metre mean terrain clearance. 100 metre line interval, 2 kilometre tie line interval, and data sample points at 6 metres along the flight lines. A high sensitivity magnetic and a GPS base station located in Thunder Bay, Ontario recorded the diurnal magnetic activity and reference GPS data during the survey for adherence to survey tolerances and post flight corrections in the flight path.
The data were subjected to final processing to produce digital files only of total magnetic field and calculated vertical magnetic gradient combined with vectors of the measured horizontal gradient which are plotted along the flight lines. All data have been archived on a CD-ROM.
Respectfully Submitted.
TERRAQUEST LTD.
Charles Q. Barrie, M. Se.
10
PERSONNEL
APPENDIX I
Field: Pilot Operators
{Catherine Haight Kevon Chapelle
Office: Chief Geophysicist Manager
Chris Vaughan (CGI) Charles Barrie
11
APPENDIX II
CERTIFICATE OF QUALIFICATION
I. Charles Barrie, certify that I:
1) am registered as a Fellow with the Geological Association of Canada and work professionally as a geologist.
2) hold an Honours degree in Geology from McMaster University. Canada, obtained in 1977,
3) hold an M. Se. in Geology from Dalhousie University, Canada, obtained in 1980,4) am a member of the Prospectors and Developers Association of Canada,5) am a member of the Canadian Institute of Mining, Metallurgy and Petroleum,6) have worked as a geologist for over twenty five years.7) am employed by and am an owner of Terraquest Ltd., specializing in high sensitivity
airborne geophysical surveys, and8) have prepared this operations and specifications report pertaining to airborne data
collected by Terraquest Ltd..
Mississauga, Ontario, Canada Signed
Charles Q. Barrie, M. Se. Vice President, Terraquest Ltd.
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ONTMIO MINISTRY OF NORTHERN DEVELOPMENT AND MINES
Work Report
Transaction No: W0240.00769
Recording Date: 2002-APR-05
Approval Date: 2002-JUN-24
Client(s):
301086 AVALON VENTURES LTD.
Survey Type(s):
AMAG
Summary
Status: APPROVED
Work Done from: 2002-MAR-31
to: 2002-APR-03
Work Report Details:
Claim*
TB 1227524
TB 1233914
TB 1233917
TB 1233918
TB 1233919
TB 1233922
TB 1233923
TB 1233924
TB 1233925
TB 1239915
TB 1239916
TB 1239917
TB 1239918
TB 1239919
TB 1239920
TB 1239921
TB 1239922
TB 1240020
External Credits:
Reserve:
Perform
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S675
S500
S445
S721
S698
S498
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Perform Approve
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.00769
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SO 2002-DEC-03
SO 2002-APR-05
so
Status of claim is based on information currently on record.
52H02NW2007 2.23486 LITTLE STURGE LAKE 900
2002-Jul-04 10:13 Armstrongjj Page 1 of 1
Ministry ofNorthern Developmentand Mines
Date: 2002-JUN-28
Ministere duDeveloppement du Nord etdes Mines Ontario
GEOSCIENCE ASSESSMENT OFFICE 933 RAMSEY LAKE ROAD, 6th FLOOR SUDBURY, ONTARIO P3E6B5
AVALON VENTURES LTD. 851 FIELD STREET THUNDER BAY, ONTARIO P7B 6B6 CANADA
Tel: (888) 415-9845 Fax:(877)670-1555
Dear Sir or Madam
Submission Number: 2.23486 Transaction Number(s): W0240.00769
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 [email protected] or by phone at (705) 670-5855.
Yours Sincerely,
Ron GashinskiSenior Manager, Mining Lands Section
Cc: Resident Geologist
Robert Stuart Middleton (Agent)
Assessment File Library
Avalon Ventures Ltd. (Claim Holder)
Avalon Ventures Ltd. (Assessment Office)
Visit our website at http://www.gov.on.ca/MNDM/LANDS/mlsmnpge.htm Page: 1 Correspondence 10:17218
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ADMINISTRATIVE DISTRICTS l DIVISIONSMining Division Thunder BayLand Titles/Registry Division THUNDER BAY
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____ROGER J C WEN, P ENG____
forEAST WEST RESOURCE CORPORATION CANADIAN GOLDEN DRAGON RES. LTDB065 DISRAELI CLAIMS, NIPIGON AREA
Detail Magnetic Survey with EMThunder Bay Mining Division
Thunder Bay, On t a r i o
Date: Apr 03. 2002 MAP: NTS Drawn by: R J Caven Map*:
