REDAURUM RED LAKE

S2N84SWei23 2 .9293 FAIRLIE TWP

MINES LIMITED

010

PRELIMINARY OPERATIONAL REPORT

ON

GEOPHYSICAL SURVEYS,

HUMLIN WEST EXTENSION

27 July 1986

INTRODUCTION

At the request of Mr. W.W. Cummins, VLF-EM and magnetometer surveys were carried out on 18 contiguous claims in Fairlie Township, District of Red Lake, Ontario, on behalf of Redaurum Red Lake Mines Limited. The surveys were completed by Mr. Ken Bernier of Sioux Lookout, Ontario during the period February to April of 1986. The data have been processed, plotted, and drafted by Redaurum personnel and by R.T. Marcroft and Assoc iates, Cartographic Consultants of Mississauga, Ontario.

The surveys were initiated as part of an on-going gold exploration project designed to delineate suitable targets for diamond drill investi gation on an area known as the Hum!in West Extension, on ground held by Redaurum. A total of 30 miles of VLF-EM, and 30 miles of magnetometer, surveys, were completed, for a total of 3168 stations per survey

The offices of Redaurum Red Lake Mines Limited are located at 111 Richmond St.W., Suite 908, Toronto, Ontario.

LOCATION l ACCESS

The property is located about seven miles west of the town of Red Lake, Ontario, and is easily accessible by boat from that locale.

The Humlin West Extension (Company project name) is situated within 18 contiguous claims: KRL 788406 - KRL 788409 inclusive and KRL 828264 - KRL 828277 inclusive. The area is underlain by a complexly folded and sheared sequence of andesitfcmetavolcanics, lean iron formation, and often highly altered ultramafic units of uncertain genesis.

PREVIOUS WORK

Redaurum Red Lake Mines Limited had not undertaken any work on the area under consideration prior to commencement of the EM and magnetic surveys covered by this report.

- 2 -

INSTRUMENTATION l SURVEY PROCEDURES

The VLF - EM survey was undertaken using a Geonics EM - 16 unit, manufactured by Geonics Ltd. of Mississauga, Ontario. Station NAA, Cutler, Maine (24.0 KHz) was utilized as primary signal source for optimum coupling. Data a-fc presented in two forms: as profile (1" E 20 35} in-phase and quadrature values, and as contoured Fraser filtered values. Instrument sensitivity is 1 #.

The magnetic survey was carried out using an EDA OMNI 4 magnetometer system with accompanying base station unit. The EDA unit measures total intensity values of the ambient magnetic field, and processes all field data to correct for diurnal drift. Data have been presented as corrected field values, and contoured at an, interval of 100 gammas. Instrument sen sitivity is ^ 1 gamma.

Both surveys were carried out on picketed survey lines spaced 200' apart; readings were obtained at a uniform interval of 50'.

RESULTS

As illustrated in the accompanying map of profiled data, the VLF - EM survey has delineated a number of conductive hor izons which broadly trend east-west. Several specific trends are defined in the data, at about 065 0 , 0900 , and 1000 - 110 0 . Detailed interpretation of the data is pending completion of current mapping by qualified geolo gists on the property. Preliminary observations suggest that certain of the conductor axes correlate with previously known pyrrhotite- and minor pyrite - bearing siliceous lean iron formation, and with exposed and drill interpreted zones of intense shear deformation.

An extensive zone of somewhat homogeneous magnetic response (up to about 2500 gammas intensity locally) trends across the northern - and eastern - most parts of the property. This response correlates broadly with serpentinous mafic and ultramafic units as mapped by the Ontario Geological Survey (Map 2125), and by company geologists employed by pre sent and past holders of the property. In contrast, the central and north- central areas are characterized by more heterogeneously anomalous response, within which individual anomalies range up to a maximum of 8000 gammas

- 3 -

intensity, and trend discordantly to the broad ultramafic - derived region noted above. The intensity and localized nature of these anomalies may suggest, in part, sources within magnetic - and/or pyrrhotite - bearing deformed iron formation and mineralized shear zones. However, it is again emphasized that detailed geophysical interpretation awaits proper geological control to be provided by field mapping in progress at the time of this writing.

SUMMARY ft RECOMMENDATIONS

The VLF - EM survey has defined a number of east - west trending conductor axes whose response can be attributed reasonably - as a preliminary observation - to both weakly mineralized shear systems and pyrrhotite and pyrite bearing lean iron formation. Correlation of certain of these with localized intense magnetic anomalies in the central part of the property is indicated by the data. The magnetic survey results additionally have defined a zone of broad signature and modest response which coincides with previously mapped serpentlnous units. A number of discontinuities within the contoured magnetics suggest the presense of northwest - southeast and northeast - southwest late fault axes.

The specific pertinence of individual anomalies from both data sets to on-going exploration for gold has not been assessed at the time of this writing. It is expected that the results of early diamond drilling, and current detailed geological mapping and sampling, will be compiled in the near future. Detailed geophysical interpretation of the present survey results will form an integral part of that compilation.

Resp

John F. Whitton

27 July 1986

Ontario

Min,s!'y Ol Nor'horn O '

Ties'tnes

iReport of Work

(Geophysica 1 , Geological, L- Geochemical and Expenditures)

Min.52N84SW8123 2 .9293 FAIRLIE TWP 900

Type o' S urveyisJ

^ Ground Magnetic and V.L.F. E.M. SurveysClairrT'HolcJerlsl

Redaurum Red Lake Mines Limited

i Township Of Area

i Fairlie TownshipiProspector's ticcnce No.

i T 1864Address

__Suke[908 - 111 Richmond Street West, Toronto, Ontario M5H 2G4 .... . .............____Survey Company l Date ol Survey Hrom a to) Ftotal Miles of line Cut

__K.J. Bernier, Highway 72, Sioux Lookout, Ont. j Day | M O i vr. | oav j MO.j vr. j 32 MilesQce&land)Name and Address of Author (of Goo-Tochmcal report)

W.A. Barclay. W.A. Barclay Exploration Services, 23 Grenadier Road, Toronto, Ont. M6R 1L1Credits Requested per Each Claim in Columns at rightSpecial Provisions

For first survey:

Enter 40 clays. (This includes line cutting)

For each additional survey: using the same grid:

Enter 20 days (for each)

i Days per i Claim

Geophysical

- Electromagnetic A n

- Magnetometer

- Riidiornetric

- Other

Geological

Geochemical

Man Days

Complete reverse side

and enter total(s) here

Geophysical

- Electromagnetic

Days per Claim

- Magnetometer i

- Radiometric

- Otheri -i ... -i -Geological

Geochemical

Airborne Credits Days per Claim

Note: S pecial provisions i Electromagnetic

credits do not apply

to Airborne Surveys. Magnetometer

Radiometric

Expenditures (excludes power stripping)

Mining Claims Traversed (List in numeiical sequence)

Type Of Work Performed

Performed on Claim(s)

Calculation of Expenditure Days Credits

Total ExpendituresTotal

Days Credits

Instructions

Total Days Credits may tie apportioned at the claim holder's choice. Enter number of clays credits per claim selected in columns at right.

Mining Claim

Prefix ; Number

C.R.L. 788406 ^788407

u;

788408c

788409 *'

828264 c

828265 (

828266 t

828267 t

828268 t

828269 *-

828270 t

828271 '

828272 (

828273 r

828274 ,

828275 * -

_ 8J8276 J,

. 82827JiLL

. .-.

Expend. Days Cr.

6p

^

i

67)^w

60

-

Mining Claim

Prefix 1 Number

/IS

Ovi

\

S'- lj\^...^.l..[^

,/' *RECEIVE winRED LAKE

^MINING Dn

^^XLSS-

Expend. Days Cr.

;"'ss

XArt6 j*

*^v

^

Total number of mining claims covered by this - report of work. 1 O

Date Recorded Holder or Agont (Signature)

Certification Verifying Report of Woik

l hereby certify that l hnvi) a poison.il and mMn.ite knowledge of the Kicts set forth m the Report of Work annexed hereto, having performed the work or witnessed s;ime durmo nnd or ;ift"'i us completion onci the annexed ropori is true.

1 and Postal Arjiirpss ot Person Ct-'rt;t V'* 1 '.)

John Whitton, Box 934, Red Lake, Ontario POV 2MO (Agent)D.ite COM.

//,.

Ministry ofNorthern Developmentand Mines

Ontario

Geophysical-Geologlcal-Geochemlcal Technical Data Statement

File—

TO BE ATTACHED AS AN APPENDIX TO TECHNICAL REPORTFACTS SHOWN HERE NEED NOT BE REPEATED IN REPORT

TECHNICAL REPORT MUST CONTAIN INTERPRETATION, CONCLUSIONS ETC.

Township c

Claim Hold

Survey Con

Author of ]

Address of

Covering D

Total Miles

SPECIAL

, Fairlie Townshipir Area rRedaurum Red Lake Mines Limited

erw ———————————————————————————————————

,pa ny K' J - Bernier , Highway 72, Sioux Lookoutreport W' A - B arcl ay Exploration ServicesA,,thor 2 3 Grenadier Road, Toronto, Ont. M6R 1L1ates of Survey

of T.iner.iit 3 2

, PROVISIONSCREDITS REQUESTED

ENTER 40 days (includes line cutting) for first survey.

ENTER 20 days for each additional survey using same grid.

2/86 to 11/04/86((incoming to office)

(ice S land)

DAYS- i - i per claim Geophysical

—Electromagnetic.....^^

— M?ignptnmftpr 0&Q

—Radiometric . ,,-Other

C,fr,rhfm\rst\

AIRBORNE CREDITS (Special provision credit! do not apply to airborne lurveyi)

Magnetome

DATE; d

Res. Geol.

ter RWtrnmagnetir RaHinmrtrir(enter days per claim) * * s

f ''

Previous SurveysFile No.

...,..............

Type D i

c

7 Author of Repdrt or AgenK

Qu^lifitations ______ A y ____ ""•"•'•^•fiOTite ^aimplder^tt^gR ^rJ*.,.................,..............^.,.....,,,^..

^ ^

0^//',# ,' \

*

k

MINING CLAIMS TRAVERSED List numerically

KRL 788406 tpr* lx 788407 n"mber)

788408 "

788409 -

828264 '

828265 '

828266 '828267 .

828268 .

828269 '828270 ,

828271 .

828272 .

828273 .

828274 '

828275 '

5JT 828276

hi 828277'ijv-

TOTAI.CI.ATMS

837 (85/12)

GEOPHYSICAL TECHNICAL DATA

GROUND SURVEYS — If more than one survey, specify data for each type of survey

Number of Stations 3 168 ~.—^~ . * r,.. J : ...

Station interval Profile scale

12,672

.val 50 feet Line snarincr .

••6" ——————————————————————————————

200 feetVLF - EM:- 1" ^ 2056

,rval VLF - EM:- 10X Magnetometers - 100 Gammas

Instrument. EDA OMNI 4

+ 1 GammaAccuracy — Scale constant.Diurnal correction methnH S ynchronous Reading Base Station

c, - u i - - i /u \ N ot aPP! icable Base Station check-in interval (hours)—^———————————————-——^——.^n c* *- i *- j i B ase L 1ne a t 0 + 00., 60,000 Gammas Base Station location and value __________________'———!^—————^——

Uh"C

t ZC4

V

l

Instrument Coil configuration Coil separation —

Accuracy _____ Method: Frequency————

Parameters

Geonics EM - 16Not Applicable

Not Applicable1

C] Fixed transmitterN.A.A., Cutler, Maine

D Shoot back24.0 KHz

(specify V.L.F. nation)In - P h ^e and Quadrature Values

In line Parallel line

Instrument.

Scale constantCorrections made.

Base station value and location.

Z

S

Qli

W3

3

Elevation accuracy.

Instrument .-——..-———— Method D Time DomainParameters — On time

-Off

l l Frequency DomainFrequency ————Range ———————

— Integration time.

Power.Electrode array — Electrode spacing . Type of electrode

SELF POTENTIALInstrument——————————————————————————————————————— Range.Survey Method ———————————————————————————————————————————

Corrections made.

RADIOMETRICInstrument———Values measured.

Energy windows (levels)^^^—^^-^—^^^—^———————-——-————————Height of instrument___________________________Background Count. Size of detector^————^^^—^———^——————-———————-—-——-——————.Overburden ^^^^^^——————^-^^^^^———————.————.^.^^^-—

(type, depth — include outcrop map)

OTHERS (SEISMIC, DRILL WELL LOGGING ETC.) Type of survey_______________________Instrument ————-—————————^^^^-^^^—— Accuracy__________________________Parameters measured.

Additional information (for understanding results).

AIRBORNE SURVEYS Type of survey(s) ———

Instrument(s) ——————(specify for each type of turvey)

Accuracy———^———...———.———(specify for each type of survey)

Aircraft used.-—————^———^—————————.—...-.—....—.—.

Sensor altitude.Navigation and flight path recovery method.

Aircraft altitude——————————————-—.————.———^—Line SparingMiles flown over total area———————————---.—.——————Over claims only.

GEOCHEMICAL SURVEY - PROCEDURE RECORD

Numbers of claims from which samples taken—

Total Number of Samples. Type of Sample.

(Nature of Material) Average Sample Weight———————

Method of Collection————————

Soil Horizon Sampled. Horizon Development. Sample Depth———— Terrain————————

Drainage Development——————————— Estimated Range of Overburden Thickness.

ANALYTICAL METHODS Values expressed in: per cent

p. p. m. p. p. b.

Daa

Cu, Pb,

Others—

Zn, Ni, Co, Ag, Mo, As.-(circle)

Field Analysis

Extraction Method. Analytical Method- Reagents Used——

Field Laboratory AnalysisNo. _________

SAMPLE PREPARATION(Includes drying, screening, crushing, ashing)

Mesh size of fraction used for analysis —-——

Extraction Method. Analytical Method . Reagents Used——

Commercial Laboratory (- Name of Laboratory^ Extraction Method——. Analytical Method - Reagents Used ————

.tests)

.tests)

-tests)

GeneraL General.

October 3, 1986 Your File: 40-86 Our File: 2.9293

Mining RecorderMinistry of Northern Development and MinesP;0. Box 324Red Lake, OntarioPOV 2(10

Dear Sir:

RE: Letter of Approval dated September 19, 1986

The Technical Assessment Work Credit statement which was Included with the above-noted letter was Incorrect due to typographic error. Enclosed 1s the corrected statement.

Please Inform the recorded holder of these mining claims and so Indicate on your records.

Yours sincerely,

J.C. Smith, Supervisor Mining Lands Section

Whitney Block, 6th Floor Queen's Park Toronto, Ontario M7A 1W3

Telephone: (416) 965-4888

SH/mccc: Redaurum Red Lake Mines

Toronto, Ontario

John WMttonRed Lake, Ontario

W,A. Barclay toronto, Ontario

Mr. G.H. FergusonMining 4 Lands Commissionertoronto, Ontario

Resident Geologist Red Lake, Ontario

End.

Ministry ofNorthern Developmentand Mines

Ontario

Technical Assessment Work Credits

CORRECTED COPYDate

October 3, 1986"

File

2.9293Mining Recorder's Report of Work No.

40-86

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Recorded Holder

Township or AreaREDAURUM RED LAKE MINES LIMITED

FAIRLIE TOWNSHIP

Type of survey and number of Assessment days credit per claim

Geophysical

Induced polarization

Other

40

20

Hays

Haus

Section 77 (19) See "Mining Claims Assessed" column

Geological

Gporhpmir.al

Man days | |

Special provision Cxl

D Credits have been coverage of claims

|~l Credits have been to work dates and

days

Hays

Airborne | |

Ground [x~1

reduced because of partial

reduced because of corrections figures of applicant.

Mining Claims Assessed

KRL 788406 to 409 inclusive 828264 to 276 inclusive

Special credits under section 77 (16) for the following mining claims

20 DAYS ELECTROMAGNETIC10 DAYS MAGNETOMETER

KRL 828277

Vlo credits have been allowed for the following mining claims[ | not sufficiently covered by the survey | | insufficient technical data filed

:' : The Mining Recorder may reduce the nbovo credits if necessary in order that the total number of approved assessment days recorded on each claim does not exceed the maximum allowed as follows: Geophysical - 80; Geoloyor.il - '10; Geochemical - 10; Section 77(19) - GO.

GRAVES ,TWP (M.-2I66)W. R

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THE TOWNSHIP-' -, PF . '^'

FAIRLIEDISTRICT OF ~ -

KENORA ^(PATRICIA PORTION)"i ^ - - ' 'v*

' RED LAKE ~ V/:'MINING DIVISION '' ' ^ w

SCALE:1-INChN4O CHAINS

LEGEND

PATENTED LANDCROWN LAND SALE tLEASESLOCATED , LANDLICENSE OF OCCUPATIONMINING RIGHTS ONLY ' SURFACE RIGHTS ONLY ,' ROADS r IMPROVED ROADS- , ^ KING'S ! HIGHWAYS - ^ ' RAILWAYS ' * * POWER LINES MARSH OR MUSKEG " xMINES -^ yCANCELLED '

X ^: lm.R,6:.S.R.O.

t——,—L*-*?Uv(lrf^^-*'l

'•r.-i' .P-

NOtES' —^T.- i' 1 ' -400' surface rights reservation- *~ along the shores of all lo"kes and r ivers

SEPj-1 0 1986

f-

-.DLAKE MINING DIVISIONr-

s-' li 1986

lit LiAl, ONfARIO

PLAN NO-M'2158

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