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2. 218 84 Drilling Report on the Havilah Trap Rock Property Galbraith Township, Ont. By John Archibald, BSc. Geol. August l, 2000. 41J05NE2001 2.21884 GALBRAITH 010 RECEIVED JUL 3 1 QEOSCIEWCF ASSESSMENT OfFICE ^——

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Page 1: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

2. 218 84

Drilling Reporton the

Havilah Trap Rock Property Galbraith Township, Ont.

By

John Archibald, BSc. Geol.

August l, 2000.

41J05NE2001 2.21884 GALBRAITH 010

RECEIVEDJUL 3 1

QEOSCIEWCF ASSESSMENT OfFICE ^——

Page 2: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

Drilling F porton th

Havilah Trap Ro k PropertyGalbraith Two., Ont. g 2 l R R 4

TABLE OF CONTENTS

1.0 Summary 2.0 Introduction 3.0 Property Status

3.1 Claims3.2 Ownership3.3 Location3.4 Access3.5 Climate, Topography & Vegetation3.6 Infrastructure

4.0 History of the Area

5.0 Geology5.1 Regional Geology5.2 Local Geology5.3 Mineralization

6.0 Property Description 6.1Resource 6.2Ore Reserves

7.0 Conclusions

References

41J05NE2001 2.21884 GALBRAITH 0 10C

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2.21884Figure l Location and Geology MapFigure 2 Claim MapFigure 3 Geology Map of Galbraith Township

Table l Land Holdings Table

Page 4: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

Drilling Reporton the

Havilah Trap Rock Property Galbraith Twp., Ont.

1.0 SummaryThe property, which includes the former producing, Havilah Gold

Mines, is located some 50 kilometers east of Sault Ste Marie, Ontario and 25 kilometers north of the town of Bruce Mines.

The 67 unpatented and four patented claims which comprises the

property group, located in Galbraith Township, are in the immediately

vicinity of the Havilah Gold Mine workings ( on the 4 patented claims), a

low tonnage past producer with reported grades averaging 7.06 grams/tonne gold (0.2 oz/ton). The 'Chimney' vein, a splay off the main

'Ophir' vein, reported grades up to 10.6 grams/tonne in gold over an average width of 3.4 meters. Mineralization occurs in quartz veins within

shearing which cut the Nipissing Diabase sill covering the area.More recently, the industrial mineral potential of this property has

excellent potential as an alternate supplier of trap rock. The property is

almost completely underlain by a Nipissing diabase sill feature having the

same composition as Ontario Trap Rock located east of the town of Bruce Mines. A conservative estimate of the resource on this property puts a

figure of 160 million cubic yards of trap rock resource over at least ten of

the claims, thus indicating a mine life of 256 years at a production rate of

l million tons per year.The recent drill program consisted of one hole drilled vertically

through the diabase sill to enable the company to obtain a good cross-

section of the diabase from which to sample and analyze for consistency of

material. The preliminary test program will require further drilling and

delineation of the diabase to determine the exact extent of this resource

over this property,The next stage which will include a pre-feasibilty study of the trap

rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a

supply of trap rock to the general industry including the northern U.S.

market. This product can be used for rock wool, filler/extender and in the

filtration industries due to its unique chemical makeup.

Page 5: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

ONTARIO2. 218 84

HavilahAProject

soo

Kilometers

4

1000

Project Location

Figure: l

LOCATION MAP

HAVILAH MINE PROJECT

GALBRAITH TOWNSHIP

Page 6: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

2.0 Introduction

The Havilah property historically da ,es back to 1892 when it first

went into production for gold. The present property includes the original patented mining claims surrounding the shaft and workings and adjacent

claims covering much of the large scarp of diabase. The property is located in the District of Algoma, Ontario within the Sault Ste. Marie Mining

Division.The author has reviewed the assessment file data and several

private reports pertaining to the area of interest and has visited the property on numerous occasions.

3.0 Property Status

3.1 ClaimsGold Insight Resources Ltd., staked sixty-four unpatented mining

claims and has interest in the mining rights to four patent claims in Galbraith Township. The claims are contiguous to the patented claims surrounding the original Havilah Gold Mines past producing mine as shown

in Figure # 2.

Table 1: LAND HOLDINGS TABLE

PROJECT TWP.

Havilab Galbraith

Total

CLAIM BLOCK

1 2 3 4 5 6 6

CLAIMS

16 11 4

12 12 11 67

CLAIM NO'S

1236499^ 1236500

15013 - 15016 1230936 1230937 1238520

RECORDING DATE

July 28, 1999 July 29, 1999 Patented May 2 1,2001 May 2 1,2001

i 27, 2000

3.2 Ownership

The property in Galbraith Township consists of 63 unpatented claims

owned 10096 by Gold Insight Resources Ltd. and 4 patented claims upon which Gold Insight has an option to purchase the surface rights.

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2. 21 834

Q.Xen

GALBRAITH TOWNSHIP

Q o: LJ CD SSM 1236500

(11 Units)

HAVILAH GOLD MINE

SSM 1236499 ( 16 Units)

MILE

Figure 2:

CLAIM LOCATION MAPHAVILAH GOLD MINE

SAULT STE. MARIE AREA

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Page 9: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

3.. Location

The four patented and 63 unpatented mining claims ar 2 located in

the 1st. and 3rc* concessions, Lots 1 2 and 7 of Galbraith Township in the District of Algoma approximately 50 kilometers east of Sault Ste. Marie. The property occurs 25 kilometers north of the town of Bruce Mines which

is located on the Trans-Canada Highway #17 west.

3.4 Access

The property can be accessed by an all-weather gravel road which

transects the patented claim group. Paved highway #638 passes within 250 meters of the northwest corner of claim 1213688. Another east-west

trending concession road cuts through the northern portion of the 12 claim group (SSM 1238250) located in Concession l and 2, lot 7 of Galbraith

Township.

3.5 Climate, Topography Se Vegetation

The climate in the area is consistent with Lake Superior, typically

cold and moist coastal weather patterns. The climate is characterized by hot, humid summers and long, cold winters. The moderating effect of Lake

Superior causes substantial periods of precipitation and low lying ground

fog.Much of the property is covered by surficial glacial tills and gravels

deposited by the last ice movement. Fine sediments comprised of sands, gravels and thin layers of humus and days cover areas in and around the

southeast end of Havilah Lake and the southv st portion of the property

which has been cleared for farming. The centi ^ portion is occupied by a prominent diabase sill which stands in relief for more than 40 meters

above the surrounding area. This area is characterized by steep-sided cliffs

and rugged, exposed bedrock terrain.The vegetation, on the land area not cleared for fanning, consists of

secondary growth of spruce, pine, maple, birch and the occasional oak. More than two-thirds of the land area is covered by bush lot and is uncultivated.

Page 10: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

3.6 Infrastructure

The Great Lakes Power Limited transmission line is located within

the Galbraith Group of claims crossing the property from east to west.

Supplies, services and qualified manpower are readily available from

Bruce Mines or the areas surrounding Sault Ste. Marie. The road networks

through the area are well established with two all weather, black topped

highways running south to Bruce Mines or due west to Sault Ste. Marie.

4.0 History of the Area

Mineral exploration hi this area dates from the late 1800's. Bruce

Mines, the first copper mine in Canada, is located 50 kilometers east of

Sault Ste. Marie and began production in 1892. Numerous other copper

and gold showings were located mostly associated with carbonate vein

systems in the Nipissing Diabase.The Ophir/Havilah Gold Mine was first discovered in 1891 by a local

farmer and production first began in 1892. An old Bureau of Mines

Reports indicate that the mine saw production between 1892 and 1895

when 5800 tonnes of ore was mined grading 7.06 grams/tonne gold (0.206

oz/ton) producing 1002 ounces of gold (Archibald 1988). The 'Chimney'

Vein, a splay off the main 'Ophir' Vein, reported to have yielded from 8.9

to 10.6 grams/tonne gold over an average width of 3.4 meters (Ludwig

1984). The property was in production from 1900 to 1902 (940 tonnes

grading 7.1 grams/tonne gold, Ludwig 1984) and from 1909 to 1911 (730

tonnes grading 7.7 grams/tonne gold). Underground development work

was undertaken in 1921 and from 1936 to 1937.

5.0 Geology

5.1 Regional Geology

The rocks to the east of Sault Ste. Marie consist of the

Paleoproterozoic Huronian Supergroup (2500 to 2200 Ma) which forms

part of the southern structural province of the Canadian Shield (after

Bennett etal, 1991.).The supergroup consists of sedimentary and subordinate volcanic

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Wtst Part

5;;avJ Pai*oiwe ' ••'••••-i

•:-X-II C*tnvillt Ptovinct

Cobalt group recks

Frt-Cooaii ^^— Huronian rocks

Southern Provmet (Huronian Supergroup)

UesaprorerozoiC 'OCXs f '- ' PoKoorolerozOK rocks

Suptrlor Provinct

f - j CaoOfO-onofihostf*

l___l Cmniiic ana aneim: rocks

VtmsOuarti-ccrBoofllt-cholcopyritt-pyrlli-pyrrNjtli* : sp*cu!aritt veins:

Q :! wi'f. m.nof ?oW Q O' •'"1 uqnihc:ni gold

A Zinc -Iced- silver -C3pp*f -bearing•f

Gold - bearing. Oioriz-crscnoOTritt-pvriit xtn nvnor

3 Ducribution of hydrothermal veins in the soudiweswm put of the Huronian Supergroup (modified from Pearson 1980).

Page 12: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

rocks which lie u^ conformably upon Archean rocks of the Superior Province and f on i the Penokean Fold Belt, up to 160 km wide in places. Rocks in the supe/group extend from the east shore of Lake Superior, eastward along the north shore of Lake Huron to Sudbury, and northeastward, across the Cobalt Embayment, to the Noranda area in Northwestern Quebec, a distance of about 450 km. Southwest of Sudbury, the Huronian Supergroup attains its greatest thickness of about 12 km. The sequence thins northward due to the wedging out of basal units, a thinning of clastic units, and erosion within the sequence.

The Huronian Supergroup consists of 4 groups, which in ascending stratigraphic order are: the Elliot Lake, Hough Lake, Quirke Lake and Cobalt groups. The Elliot Lake Group at the base of the Huronian Supergroup contains Witwatersrand-type uranium deposits. It is the only group that contains volcanic rocks and turbidities and has significant lateral variations in thickness and rock type. The overlying Hough Lake, Quirke Lake and Cobalt groups form sedimentary cycles of conglomerate, overlain by either mudstone, siltstone or carbonate, and are capped by coarse, cross-bedded sandstone.

Several igneous intrusions are spatially associated with rocks of the Huronian Supergroup including the Nipissing diabase dated at 2219 million years.

Gabbroic rocks, referred to as Nipissing Diabase are the most abundant and widespread igneous rocks intruding the Huronian Supergroup. Nipissing intrusive rocks form dikes, sills, undulating sheets up to several hundred meters thick and bodies which are interpreted as cone sheets. The distribution of these tholeiitic intrusions is nearly uniform across the Penokean Fold Belt and the Cobalt Embayment. It occupies over 8096 of the land surface of this property.

Rocks of the Huronian Supergroup have been affected by an orogeny prior to intrusion of the Nipi? lg diabase at about 2200 million years which has been dated at betv\ ^n 1700 to 1900 Ma. (Bennett et al, 1991).

5.2 Local Geology

The main Havilah Gold Mine and adjacent unpatented claims are underlain predominantly by a Nipissing diabase sill which has conformably intruded along the western arm of a tightly folded anticlinal structure on the contact of the Huronian Gowganda and Mississaugi quartzite units. These units strike northwest to southeast at about 125

Page 13: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

Ministryof |*^"* s "*" NaturalResources

Or JK ni,rnMi

Ontario

ONTARIO GEOLOGICAL SURVEY PRELIMINARY MAP P30J (1977 REVISION)

GEOLOGICAL COMPILATION SERIES

SAULT S; MARIE SHEETDISTRICT OF ALGOMA

*O*K I:IJ*.UO. In* 1*2*1*1

H It h*MI: 41JM. 12: K/l. 2. 7. i l. M" 12tM6.2iMo.2tMo.naoa.niia. mw. *n*o

SOURCES OF INFORMATION

l. J. Utf*. N74.M.i fer P. l. QM*. w*

* OM*t* Unextn. OM^o *f Mkm; *M Oule*! c*

rVtt *l U* pubflcMlMi r-rt k* *JM*M* limd* k*h*L it k t . -- - -miWHMlM*!•m......

1177: Cufcjlcil Conn. 41** *l ft* SMMSu. MvtiS tt.DMrM*f

l. G. Pyt. OlncMr. Cioleiml frinck. Mf Mg* tt MUM. Onurb MWttrr tt MM* A now m.

ift Pt***. Me f JOJ 11*77RnMont. GMI ^M*. S*.Soli l:1)t.7ZO ' 1 Inch M lmrtn. Cwnp*t:lx 1*74.1171.

Page 14: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

and dip steeply south. The diabase shows a dire structural relationship to the sedimentary units although the thickness an contacts are not observed due to the extensive overburden covei in the low lying areas which cover many of the contacts. One Nipissing diabase dike, striking about 070 , can be observed to cut the property. Also several local faults cut the property hi an east-west ( at 100 degrees) and northwest trend. The regional pattern of faulting in the area appears to be northwest at about 310 degrees and northeast at around 065 degrees.

5.3 Mineralization

The Nipissing Diabase magmatic province was formed by the emplacement of large volumes of tholeiitic magma into the Early Proterozoic Huronian supracrustal belt within central Ontario. This produced a series of undifferentiated to differentiated diabase intrusions stretching from Sault Ste. Marie, in the west, to Cobalt in the east.

The diabase intrusive on the property appears as a large northwest- southeast trending sill which observed on the west side of the property has good mining potential since the cliff exposures stand up for at least 40 metres in many places.

The single drill hole was placed strategically in the centre of the group to intersect one of the thickest parts of the diabse sill. This hole provided samples to determine the general composition of the diabase as part of the preliminary study of the trap rock potential. The results are appended to this report and show the whole rock composition of the samples and their relative compositional makeups. Further work will be required in other areas of the property to ascertain whether the sill is uniform and equally thick all across the property.

Once detailed sampling is carried out to determine if the sill is homogenous in composition and its trap rock qualities are determinea a reserve estimate can be made of the tonnage and grade of material. There is a core group of four patent claims which can be exploited and bench/bulk tested with very little additional permitting or approvals needed from the Ministry. With adequate funding, this can be done within several months after inception.

Page 15: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

CLAIM PLAN HAVILAH GOLD MINE AREA

GALBRAITH TWP.G-3274

r*

Magnetic Ordination U**d. (For current data, ask attn* Recorder's Office.)

Page 16: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

6.0 Property Desci ^tion

6.1 Resource

It is noted that the Nipissing Diabase resource on the property has had

no previous assessment as to its quality or tonnage but one can roughly

estimate that there is in excess of 256 million tons of raw material within

easy access by open pit means on at least ten of the 67 claims within the

group. With very little effort and mapping, it appears that at least three

quarters of the group is underlain extensively by this same diabase sill

structure.

6.2 Ore Reserves

There are no delineated ore reserves in gold on the Havilah property

but the industrial product, trap rock, which is composed of iron rich diabase,

has been conservatively estimated at 256 million tons or more of material. If

the grade and thickness is consistent to what was recently sampled and with

a market price of 25 dollars per ton (in Canadian dollars, F.O.B. Toronto), this

resource could be valued at more than 6.4 billion dollars as a raw resource

for the mineral wool and road-building industry. The key here is market

niche and cost of transportation to the end user.A pre-feasibility report will go a long way in determinhig if this

resource is economic.

7.0 Conclusions

The property is considered to be in the early stages of exploration. The

only known significant gold showings occur within the patented claims

although appreciable values in gold f—*m rock outcroppings have been

returned from both the patented and onpatented claims. Almost no work has

been done on the unpatented claims since the early 1980's. Overburden is

reported to be a few feet to tens of feet thick in places and is a hindrance to

bedrock mapping.The claims are underlain by favourable geology and structure as

evidenced by the regional government mapping and the airborne geophysical

surveys.There remains a good possibility of finding additional gold

mineralization within the boundaries of the Gold Insight Resources Ltd.

claims.

Page 17: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

Due to lie recent start-up of the Ontario Trap Rock quarry open) lion just twenty idlometres south of this property, management is attempting to raise sufficient funds to carry out a feasibility study on the Nipis iing Diabase resource covering much of the property. In order to start this process, a preliminary program of one drill hole was placed to obtain samples for whole-rock analysis to determine if the diabase is of good consistency and composition to be used as trap rock. It is felt that this material, due to its unique, strategic location, could be easily shipped south into the United States by truck and lake carriers, being accessible to much of the northeastern U.S. market

August l, 2001. Concord, Ontario.

BSc. P.Geol. FGAC

Page 18: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

TABLE 2 : BUDGET PHASE I - Pre-Feasibility Progran

Havilah Mine Property - 67 claims

A) PROGRAM PLANNING- l man, 6 days @ 54007 day, + expenses 5 3,000.00

B) UNECUTTING CONTRACT- 41 km @ 5425/km, 4 men, 14 days

C) GEOLOGY- 2 men, 3 weeks @ 5250- Assaying 100 rocks @ SIS/sample

S HX5OXOO S 1,500.00

S 17,425.00

S 1 2,000.00

D) BACKHOE TRENCHING- Backhoe/oper., 80 hrs @ 5100/hr- Geologist, l man 2 weeks @ 5250- Labourers, 2 men, l week @ S150- Rent water pump, hose etc.- Assay,100 rocks @ SIS/sample

S 10,000.00S 3,500.00S 2,100.00

5500.005 1,500.00

5 17,600.00

E) DIAMOND DRILL PROGRAM-10,000 Feet of NQDrilling @ 520/ft.- Geological services (logging/sampling)

- Analysis X Lab work 545x500

G) SUPPORT SERVICES- Supervision, 10 days @ 5400/day- Vehicle rental, @ 52000/month-Phone- Reid Equipment & supplies- Freight- Fuel- Food and lodgings, 110 mandays- Mob & demob

5200,0005 8,000

5 22,500

54,000.005 2,000.00

S 500.0054,000.00

5 500.005 1,000.005 9,000.005 5,000.00

5230,500.00

526,000.00

H) K ports and Maps-14 mandays + supplies

I) Corporate and Office overhead: @ 1096 of totalS 5,000.00 5 10,568.00

J) CONTINGENCY 1096

Total for the Phase I Exploration Program

5 12.799.00.5334,892.00

Page 19: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

REFER JCES

Ahern, L. L. 1988. Report on the Magnetic and VLF-EM Surveys on theProperty of Mr. Richard Mori, Galbraith Township, Ontario.September 1988 ; unpublished report by H. Ferderber GeophysicsLtd., 12 pgs.

Archibald, J.C. 1988. Summary Report on the Ophir/Havilah Gold Mine forRichard Mori Galbraith Township, District of Algoma, Ontario,September 22,1988; unpublished report, 31 pgs.

Archibald, J.C. 1992. Soil Geochemistry Survey over the Ophir/Havilah GoldMine Property for Gold Insight Resources limited, GalbraithTownship, District of Algoma, Ontario.May 1,1992; unpublished report 13 pgs.

Bennett, G. et al.,1991. Geology of Ontario, Chapter 14, The HuronianSupergroup and Associated Intrusive Rocks pp 549-591, in OGSSpecial Volume 4 Part 1,1991.

Campbell, RA. 1989. Report on the Combined Airborne Geophysical Surveyon the Property of Mr. Richard Mori, Galbriath Township, Ontario.August 15, 1989; unpublished report by H.Ferderber Geophysics Ltd.13 pgs.

Campbell, R.A. 1992. Report on the Total Field Magnetic and VLF-EMSurveys on the Property of Richard Mori, Galbraith Township,Ontario. January 27, 1992; unpublished report by H. FerderberGeophysics Ltd. 9 pgs.

Card, K.D. and Pattison, E.F.1973. Nipissing Diabase of the SouthernProvince, Ontario; in Geological Association of Canada Special Paper12, pgs.7-30.

Goodwin, A.M. and Ridler, R. 1970. The Abitibi Orogenic Belt; GeologicalSurvey of Canada, Paper 70-40, pgs. 1-30.

Kilburn, L.C., 1990. Valuation of mineral properties which do not containexploitable reserves; CIM Bulletin, Vol 83, No 940, August 1990,pgs.90-93.

Lawrence, R.D. 1988. Evaluating Properties That Have No Proven OreReserves; The Northern Miner December 26, 1988, pg.2.

Ludwig, E 1984. Geology and Economic Potential of the Ophir Mine,Galbraith Township, District of Algoma; unpublished report February6, 1984, 9 pgs.

Ontario Geological Survey, 1979. Geological Compilation Series Map 2419Sault Ste. Marie - Elliot Lake Scale 1:253,440.

Pearson, G. C. 1979. Copper Metallogeny, North Shore Lake Huron, Ontario;unpublished PhD thesis, Queens University, 403 pgs..

Thompson, L S. 1991. Valuing Mineral Properties Without QuantifiableReserves; CIM Mineral Economics Symposium paper January 17,1991,19 pgs.

Page 20: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

l OCT 27 '99 12'43R1 CHflUNCEY flSS ' LABS&BORATORIES LTD.

33 Chauncay Avenut , Toronto, Ontario, H8Z 222 Tal: (416) 239-3527 FAX: (416) 239-4012

P.2

RECEIVED FROM: REPORT NO.

CERTIFICATE OF ANALYSIS

SONIC SOIL SAMPLING INC. DATE: OCTOBER 19, 199** AR-249-02 SAMPLES OF: ROCK

11ATK RECEIVED: SEPTEMBER 23, 1999 ATTENTION: MK, -fOHN ARCHIBALD

ix.^X*.J ^RESULTS IN PPM 6 fty* r 'Ji'V

SAMPLE; A-32 A-33 'A-34 A- 35AgAs

BBaBeRtCdC*CO.CrCuHgUiitoNiPb

SSbSe8nSrTeTh

UVWy

Zn*r

A12O3 ftFia2C3 ft

CaO ft"a2O ftK20 ftMgO ftMnO ftP2O5 ftT1O2 ftLOI ft

10782< 10

34< 10< 10

14< 10309

22621< 10< 10< 10273281

6.33 ft< 10< 10< 1037

< 10< 10< 10 -

55< 10< 10

5917

2.66 ft30.20 ft1.55 ft.50.22.96.05.05.189.54 ft

7,098

< 10454< 10

17< 10< 102253

164< 10< 10< 10

66736< 1 0< 10* 1011228< 10< 1 0< 1097

< 10< 10105

81

12.73 ft8.47 *2.43 ft4.04 ft3.24 ft1.56 ft.09 *.09 *.60 ft1.56 %

6.120

< 10216< 10< 10< 1 0< 109334

216< 10

10< 10133

51< 1 0< 10< 10< 10191< 10< 10< 10232< 10

1512164

15.45 ft16.16 *8.09 ft2.78 ft2.10 ft5.34 ft.22 ft.09 ft1.13 11.14 ft

fi.?.< )0< 106.1. S< 10< 10< 10< .1.035

13837

< JO?3

< 109934

< 10< 1 0< 10< 10122* 1 0< 10< 30134< 1 0

1469

111

19.04 *10.48 ft

.39 ft4,87 ft4.92 14.01 ft,09 ft.14 tt.78 ft2.41 *

6.6 X . 4 A C< 10< 10480< 10< \0li

< 108229

17,7< .1040

< 104428

< 3 0< 10< 10< 10206< 1C< J O< 1.0430< 10

39.172197.

12.73 *22.44 ft

5.81 ft3.07 *1,57 ft5.37 'j.30 *..32 ft3,09 *T. 75 ^

J van Engelen Mgr

Page 21: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

2. 218 84Havilah Trap Rock Property

Commodity: Au, Ag, Cu, Trap Rock

Location : 25 kilometres north of the Town of Bruce Mines or 40 km. east of Sault Ste. Marie, Ontario in the District of Algoma

Geology: Property is underlain by a large, thick sheet of Nipissing Diabase as a sill intruded into mainly Mississauga quartzites. Keweenawan in age, the diabase is equigranular and typical of a siliceous, mafic iron diabase similar hi composition to the Ontario Trap Rock diabase being mined just east of Bruce Mines north of the Highway 17.

History of Development: The property has seen three periods of production (1892-94, 1900 and 1922) for gold where over 1030 ounces of gold and 214 ounces of silver were extracted from a series of en-echelon quartz-carbonate veins cross-cutting the diabase sill at N75 E, dipping 80 S. and extending for over 1,300 feet hi length. Other noteworthy mineralization includes chalcopyrite, lead, zinc, magnetite and tourmaline.

Description of Work: The drill program consisted of one vertical drill hole located in claim SSM 1236499 (see Hg. 2) just north of the concession road which was placed to intersect the diabase sill and determine both its thickness and compositional make-up for study purposes to detemine whether the diabase can be an effective trap rock candidate and whether further work is warranted to do a full feasibility study on its relative merits. The hole was drilled to a depth of 100 metres and intersected equigranular, medium to fine grained, reddish green to dark green weakly lineated Nipissing

o Diabase. One also observed minor quartz-carbonate veinlets cross- o cutting the jointing/bedding structure and occupying minor stress

fractures in the core at all angles. The main metallic minerals observed was minor disseminated pyrite and majj notite.

Approximately 13 samples were sent in for whole rock analysis to determine their total compositional makeup in silica, magnetite

l and mafic minerals,il Results: The study was a success as the composition was favorable if S one compared it to the Ontario Trap Rock material. The diabase sill

on the Havilah property contained the correct mineralogy hi the s proportions required for further study and for use in the extender 3 and rock wool industry. The next stage will determine how much

diabase exists and what the viable economic factors are necessary to d develop this resource. This stage will require the use of an expert hi a the field at a cost of roughly 5350,000 Cdn. to determine.K o

Page 22: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply
Page 23: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

20 LINE z

(jl UM IT'S)

HAVILAH LAKE

15016

.,— _ — l " ' uy. t, — — —j - *— , —

SSM1236499 (16 UNITS)GALBRAITH TWP.

- ROAD-— - TRAIL

Q - BUILDING

- FORESTJ- - STEEP HILL

1 OUTCROP RIDGE-l-

LOCATION PLANGOLD INSIGHT RES. LTDLOT 12

Page 24: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

DIAMOND DRILL 1ECORDNAME OF PROPERTY Gold Inoight Rt r . Ltd. ———————————HOLE H n Ql-1 LENGTH 1 f 1 O. m*tr9SLOG ATIOW fH LI i T l **| n B -uOutn central pa j. L faSKi 4TiTiine DEPARTURE . ., ELEVATION 0.0 AZIMUTH DIP -QOSTARTEC

00CD

SCO

1

1Oire iCO LU

I

I

3

1 Jniv IR onm FINISHFD Tiii-u- in 2nmFOOTAGE

FROM

0.0

2.0

100.0

TO

2.0

100.0

m

DESCRIPTI ON

- Casing (Temporary -to give water return)

FOOTAGE

0.0

100 0-W W U L \f

DIP

-90

-ony W

No core recovered; odd boulder cored + sand/gravel- diabase (Nip. Diabase sill) of fine to med. grainedosition; buff reddish to dark green color to pinkishto joint planes/contactsP/fractures and bedding- odd qtz.carb. veining + fracture filling at

corree

planesall angl*with larger veins (i-1" width) mainly at 0-30 to core a?- odd fracture fill with py/mgt. but sulphides mainly asflecks throughout core but less than ^ in composition- core weakly magnetic, mainly equigranular, med. to haiwith H 40!,* silica content S odd white qtz. vein- odd lense/layer of fine grained gabbro; almost daciticin compos i t ion ( vole. ?) ie.@ 25 . 3m. (6") 35. 6-37. 2m. , 75. 1m.which may be contact chill margin or fine grained intrus- most fresh chill margins have increased py content

END OF HOLE - Ended in diabase but coarser grained; morein color with increased magnetite contentNote: 13 samples for Multi-element geochem. 4 for gold values (P. P. M.)

.

-

"*"

AZIMUTH

NO.

P-

alo

s toisdis

2

ive

redd

J-l

1-21-3J-4i-51-61-71-81-91-101-111-121-13

S?

ig/c

FOOTA .

SAM

-i-

^

con

3 .

natei

Lsh

i*-i-i-i-i-k-i0-J-i-J-i-i

DIP

0 LE

AZIMUTHHfM P NO. UJ- J. SHEET Mn J. UJ. i

REM A RKS

Core at 668 MiBw^ftv*Concord, On t.

O/- f LOGGED BYJ. Archibald \ \J^BSc. eol . L"

FOOTAGEFROM

ose

i axis

ial

5.0

15.0

25.025.335.035.640.050.060.070.080.090.098.0

TO

6.0

16.0

26.026.036.037.241.051.061.071.081.091.099.0

TOTAL

1 m.

1 m.

1 m..6m.1 m.1.6m.1.0m.1.0m.1.0m1.0m.1.0m.1.0m.1.0m.

ASSAYS4

?

1

Z

~\v

OZ/TON OZ/TON

Page 25: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

sample number

H-lH-2H-3H-4H-5H-6H-7H-8H-9

H-10H-l 1H-l 2H-l 3

rock description

NIP. DIABASE *:1 % very fine-grained Po.NIP. DIABASE '\-2tK very fine-grained Po.NIP. DIABASE Traces Po.NIP. DIABASE -dtt very fine-grained Po.NIP. DIABASE 1 % very fine-grained Po.NIP. DIABASES <1% very fine-grained Po.

NIP. DIABASE 2ft very fine-grained Po.NIP. DIABASE ^ y* very fine-grained Po.(NIP. DIABASE 1"fc vejy fine-grained Po.NIP. DIABASE Traces. Po. Liflth grey staining.NIP. DIABASE 1 0yfcveryf.g. Po. Ligth grey staining.NIP. DIABASE ^ 0X. very fine-grained Po.NIP. DIABASE ^ 'K very fine-grained Po.

DRILL-HOLE HOLE 01-1

GOLD INSIGHT RES. LTD.

GALBRAITH TWP. SSM1236499

Page 26: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

LOCATION PLAN

Page 27: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

DRILL-HOLE CROSS-SECTION HOLE 01-1 JULY 20, 2001.

SSM 1236499-i

-J**, i o, C/

0-0 D* /tt -t

-//"i-

"--A/A t /r*

•ffi**

- A/-/O

f*-*

. e *M

Page 28: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

33 CiiTel: (416) 235 -352

Toronto, Ontario, MGZ 2Z2 FAX: (416) 239-4012

CERTIFICATE OF ANALYSIS

RECEIVED FROM: SONIC SOIL SAMPLING INC. DATE: 20/07/01REPORT NO. AR-248-02 SAMPLES OF: ROCKDATE RECEIVED: JULY 20, 2001. , ATTENTION: MR. JOHN ARCHIBALD

RESULTS IN PPM

SAMPLE: H-l H-2 H-3 H-4 H-5

AgAsB

BaBeBiCdCeCoCrCuHgLaMoNiPbS

SbSeSnSrTeThUVWYZnZr

-.203 1e2O3 1CaO *Na20 1K2O %MgO %MnO 1P2O5 1T1O2 1LOI %

7.021

< 1091

< 10< 1011

< 10104170793

< 10< 10< 10120965

< 1014

< 10< 1058

< 10< 10< 10109< 10< 1010219

2.60 *13.16 %3.50 %.58 %.17 1

25.77 1.17 %.07 l;.45 %3.10 1

4.010

< 1049

< 10< 1011

< 101201006372< 10< 10< 10156866

< 10< 10< 10< 1071

< 10< 10< 1058

< 10< 109014

2.76 %13.07 %3.16 %.62 1.16 %

31.09 %.17 1.05 %.28 %3.72 1

7.618

< 1039

< 10< 1010

< 1011692661

< 10< 10< 10137423

< 10< 10< 10< 1062

< 10< 10< 1051

< 10< 107711

3.9112.78 v3.37 %.62 %.11 *

32.84 *.15 %.05 %.25 %3.30 %

6.012

< 10107< 10< 1010

< 1083155586

< 10< 10< 1078614

< 1010

< 10< 10163< 10< 1 0< 10173< 10118536

9.09 %12.54 %6.66 %1.32 1.29 %

21.49 %.15 %.07 %.68 %4.22 %

5.915

< 1060

< 10< 1010

< 101051554110< 10< 10< 10124318

< 1010

< 10< 10110< 10< 10< 1089

< 10< 107617

5.31 %12.50 *4.18 1.80 %. 14 %

29.56 %.15 1.07 1.38 *7.42 %

2.111

< 1044

< 10< 1011

< 101231004161< 10< 10< 10147319

< 10< 10< 10< 1068

< 10< 10< 1055

< 10< 108112

4.40 113.60 13.55 %.59 %.11 %

34.22 %.17 %.05 1.25 %3.66 %

[cj J. van 6ngci..n v":j - .^ i*; ft;

Page 29: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

4 Chauncey Avenue, Toronto, Ontario, M8Z 2Z2 -il: (416) 239-3527 FAX: (416) 239-4012

CERTIFICATE OF ANALYSIS

DECEIVED FROM: SONIC SOIL SAMPLING INC. DATE: 20/07/01REPORT NO. AR-248-03 SAMPLES OF: ROCKDATE RECEIVED: JULY 20, 2001. ' ATTENTION: MR. JOHN ARCHIBALD

RESULTS IN PPM 6 %

SAMPLE; H-7 H-8 H-9 H-10 H-ll H-12

AgAsB

BaBeBiCdCeCoCrCuHgLaMoNiPbS

SbSeSnSrTeThUVWYZnZr

A12O3 1Fe203 1CaO 1Na20 *K2O 1MgO %MnO %P205 1T1O2 1LOI %

3.724

< 1070

< 10< 1011

< 101142062160< 10< 10< 10129035

< 1013

< 10< 1068

< 10< 10< 10114< 10< 109726

' J t13.69 13.68 1.73 %.19 %

30.26 %.17 %.09 1.45 16.65 1

2.014

< 1052

< 10< 1012

< 101211258101< 10< 10< 10141815

< 10< 10< 10< 1070

< 10< 10< 1073

< 10< 108317

3.97 %13.16 %3.88 *.67 %.16 %

31.44 %.17 1.05 1.33 %4.10 1

1.615

< 1054

< 10< 1010

< 10119126670

< 10< 10< 10138512

< 10< 10< 10< 1062

< 10< 10< 1071

< 10< 107815

3.29 112.93 13.65 1.62 *.17 *

31.45 %.17 1.09 %.33 %4.24 %

6.121

< 1058

< 10< 1010

< 10113133959

< 10< 10< 101306< 10< 10< 10< 10< 1076

< 10< 10< 1072

< 10< 107816

4.02 %12.63 *3.83 %.67 %.16 1

29.83 %.15 *.05 t.32 %3,86 %

3.617

< 1059

< 10< 1010

< 10108155671

< 10< 10< 10126911

< 1012

< 10< 1075

< 10< 10< 1087

< 10< 107421

4.46 %12.81 14.10 f.75 %.19 %

29.15 1.15 %.09 1.40 %2.67 %

2.712

< 1056

< 10< 1010

< 10112141466

< 10< 10< 10130714

< 10< 10< 10< 1076

< 10< 10< 1077

< 10< 108315

4.76 112.84 %4.32 *.80 1.17 1

30.74 1.17 %.05 1.33 %3.18 %

Page 30: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

33 Chauncey Ava ue, Toronto, Onvario, M8Z 2Z2 Tel: (416) 239- N 527 FAX: (416) 239-4012

CERTIFICATE OF ANALYSIS

RECEIVED FROM:

REPORT NO.

DATE RECEIVED:

SONIC SOIL SAMPLING INC. DATE: JULY 20, 2001,

AR-248-01 SAMPLES OF: ROCK

JULY 20, 2001. ATTENTION: MR. JOHN ARCHIBALD

SAMPLE NO:

H-13

Au PPM

18.3

Pd PPM

.9

Pt PPM

1.8

Mgr.

Page 31: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

ONTARIO MINISTRY OF NORTHERN DEVELOPMENT AND MINES

Transaction No: Recording Date: Approval Date:

Client(s):297244

Survey Type(s):

W0150.30548

2001-JUL-31

2001-SEP-20

Work Report Summary

Status: APPROVED

Work Done from: 2001-JUL-15

to: 2001-JUL-18

GOLD INSIGHT RESOURCES LTD.

ASSAY PDRILL

Work Report Details:

Claim*

SSM

SSM

1236499

1236500

Perform

311,011

SO

S11.011

Perform Approve

311,011SO

511,011

Applied

36,525

34,486

311,011

Applied Approve

S6.525

S4.486

511,011

Assign

34,486

SO

34,486

Assign Approve

4,486

0

S4,486

Reserve

sososo

Reserve Approve

sososo

Due Date

2002-AUG-05

2002-AUG-05

Status of claim is based on information currently on record.

41J05NE2001 2.21884 GALBRAITH 900

2001-Sep-26 13:50 Armstrong-d Page 1 of 1

Page 32: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

Ministry ofNorthern Developmentand Mines

Date: 2001-SEP-20

Ministers du Developpement du Nord et des Mines Ontario

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

GOLD INSIGHT RESOURCES LTD. 111 GARRISON VILLAGE DR., APT. 204 NIAGARA-ON-THE-LAKE, ONTARIO LOS 1JO CANADA

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

Dear Sir or Madam

Submission Number: 2 .21884 Transaction Number(s): W0150.30548

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 JIM MCAULEY by email at [email protected] or by phone at (705) 670-5855.

Yours Sincerely,

Ron GashinskiSupervisor, Geoscience Assessment Office

Cc: Resident Geologist

John Charles Archibald (Agent)Gold Insight Resources Ltd. (Assessment Office)

Assessment File Library

Gold Insight Resources Ltd. (Claim Holder)

Visit our website at http://www.gov.on.ca/MNDM/LANDS/mlsmnpge.htrn Page: 1 Correspondence 10:16415

Page 33: DRILLING RPT GALBRAITH TP · rock, will cost in the order of S350.000. to determine if the Nipissing Diabase unit is of such quantity and quality that it can be marketed as a supply

General Information and Limitations

r uiiiT)h**n*ii *i* vrm vry *r* Kri HIM wliwB AidWhmnl uiffrimHtun mar adti ** oblnhiM Hiroujti Hw inr fi l "iih Tit

Milt twhi*i vondigiti d*ti iviMlimiM Pnhrinc^l Ninhy R*:(.rri.r*' o A Ih? lime or HuhnlDMltig li*ni ihtt Miwtuv orKnrtlwrn Pw*lonm*nt *i**iw*s wu ski,

PFtOVlHCIM MWlhfi MAP

Data/Time of Issue Aug 2 2001

TOWNSHIP y AREA

GALBRAITH

08:23ti eastern

PLAN

G-3274

ADMINISTRATIVE DISTRICTS / DIVISIONSMining Division Sault Ste. Marie

Land Tltlea^Registry Division ALGOMA

Ministry o! Natural Resources District SAULT STE MARIE

TOPOGRAPHIC LAND TENURE

mit Bill ̂ al

Q Q Q

eB D

LAND TENURE WITHDRAWALS

l ^"^ i3 *""' w*1-l "Wl ' :"" I:" llp' c'*' i"h

IMPORTANT N OTICES

LAND T ENURE WITHDRAWAL DESCRIPTIONS

VULU ".W

V1/.4CL7-5

lilt.)* WJ.LtJ*b*f '-"Hi HA r

W.nrirTfli'irf JH** iUSP 1*

IMPORTANT NOTICESAraoiwidtr H+ilch iPKltl r wu** kirn iHTi|*lo-n ci randitbuj tutwt that a

fitting ntffllntrri H M • •xlti *n' jirtvuie t.