52F16NW2003 2.19034 WEBB 010

2 .19034

REPORT ON A MAGNETOMETER SURVEYON THE TOT LAKE CESIUM PROPERTY

WEBB TOWNSHIPONTARIO

for CHAMPION BEAR RESOURCES LTD.

Dec, 1998 Seymour M. Sears

SUMMARY

A ground magnetometer survey was carried out over a portion of Claim P 1163139 in Webb Township, northwestern Ontario. The Claim covers a pegmatite dyke that hosts a known cesium prospect. The work was designed to determine the magnetic signature of the pegmatite dyke and to provide basic information and a control grid for continued exploration of the property.

The survey suggests that the pegmatite dyke has a distinct magnetic signature. Detailed magnetometer surveying along lines layedxjut parallel to the country rock stratigraphy may outline additional pegmatite bodies that can then be tested for rare metal mineralization.

Respectfully submitted.

Wawa, Ontario Seymour M. Sears, B.A.. B.Se. Dec, 1998 Geologist

52F16NW2003 2.19034 WEBB 010C

TABLE OF CONTENTS

PAGE

SUMMARY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . iINTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . IPROPERTY LOCATION AND ACCESS . . . . . . . . . . . lREGIONAL AND PROPERTY GEOLOGY . . . . . . . . . . . . lWORK HISTORY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . lWORK PROGRAM AND RESULTS . . . . . . . . . . . . . . . . . . . 4CONCLUSIONS AND RECOMMENDATIONS . . . . . . . . . . 4STATEMENT OF QUALIFICATIONS . . . . . . . . . . . . . . . . . 7

TABLE OF FIGURES

Fig. 1. REGIONAL LOCATION MAP . . . . . . . . . . . . . . . . . . 2Fig. 2. PROPERTY LOCATION MAP. . . . . . . . . . . . . . . . . . 3

LIST OF MA PS

Map l) GROUND MAGNETOMETER SURVEY . . . . . . . . Back Pocket

INTRODUCTION

This report presents a summary of the results from a magnetometer survey carried out in November, 1998 on the Tot Lake Cesium Property of Champion Bear Resources Ltd. The work was carried out by personnel of Sears, Barry and Associates Ltd. of Wawa, Ontario.

PROPERTY, LOCATION AND ACCESS

The Tot Lake Cesium property is located 35 km northeast of Dryden, Ontario (Figure 1). It is situated approximately 1 km south of Tot Lake in Webb Township (Fig 2). The group consists of two claims totalling fourteen (14) claim units. The claims are numbered as follows:

Claim # P 1163139 (12 units) P 1230155 (2 units)

Access to the property is by means of a 500 metre walking trail. This trail departs eastwards from a logging road at a point located 26.7 kins northeast of the Dryden Airport.

REGIONAL AND PROPERTY GEOLOGY

The Tot Lake Property is underlain by Archean Aged Volcanic and Intrusive rocks that are situated along the southeast margin of the Gullwing Lake granitic complex. (Breaks, 1984, OGS Map P.2623).

Cesium occurs on the Tot Lake property as the mineral pollucite, an anhydrous silicate of the feldspathoid group. It is hosted in a highly evolved pegmatite dyke in association with spectacular crystals of spodumene. The pegmatite dyke that hosts the mineralization strikes approximately north-south on the claim, crosscutting the east-northeast trending volcanic stratigraphy.

WORK HISTORY

The most significant work in the area is geological mapping and detailed lithogeochemical surveys by Dr. F Breaks on behalf of the Ontario Geological Survey.

95'

Tlmqilni (l

.Klrkloni) Loh*0

Tot Lake Property

of CHAMPION BEAR RESOURCES

so o 100 . zool l l_l l l

Mill.

SEARS.BARRY B ASSOCIATES INC

Fig. h Regional Location Map of Ontario.

26.7 tons to Dryckn Airport Road

Figure 2: Location Sketch, Tot Lake Property of Champion Bear Resources Ltd., Webb Township, Ontario.

WORK PROGRAM AND RESULTS

Overview

The 1998 work program on the Tot Lake Property included the following:

Linecutting (Base Line (0.75 kms) Cross Lines (9.6)) - 10.35 kms (Orientaton of Baseline - 0750) Ground Magnetometer Survey (10 m spacing) - 9.6 kms (960 readings)

(5 m spacing) - 0.75 kms (150 readings)

Magnetometer Survey

The ground magnetometer survey was completed using a Geometrics G-816 Portable Proton Magnetometer. This instrument measures the total intensity of the earths magnetic field in gammas^ A Geometrics G-856A recording Base Station magnetometer was used during the survey to monitor the diurnal variations of the magnetic field. This data was then utilized for correcting the field data. The Base Station was located at 500 West on the Baseline. It had a value of 58,822 gammas.

Magnetic intensities were observed at 5.0 metre intervals along the Baseline in an effort to determine whether or not the north-south trending pegmatite body exhibits a recognizable magnetic signature. The 10 metre spacing along the cross lines was designed to obtain the magnetic character of the country rocks underlying the grid. Detailed lines parallel to the stratigraphy are planned as the next phase to attempt to locate other crosscutting pegmatite bodies similar to the one which hosts the cesium mineralization. The diurnally corrected data was plotted at a scale of l: 1250 and contoured (Map T L-1).

The survey defines a broad area having a background of 58,900 gammas. Within this occur local narrow zones of higher and lower magnetic response trending approximately parallel to the baseline. A disruption of these features indicates a probable west-northwest trending fault extending from 300 North on Line 450 West to 300 South on Line 200 East. Scattered single line anomalous values (highsand lows) within this apparent fault structure suggest a possible diabase dyke association.

A 20 to 30 metre wide band of relatively low values (58,700 gammas) occurs along and south of the baseline. The pegmatite body that hosts the cesium prospect is centered at 00 along the Baseline. Magnetic readings directly over the dyke average 59,750 gammas, approximately 150 gammas below background oon the grid. Data from the survey show a possible north-south trending low feature of a similar character along line 50 East, north of the Baseline.

CONCLUSIONS AND RECOMMENDATIONS

A ground magnetometer survey was conducted along 10.35 kilometres of grid lines covering the Tot Lake cesium bearing pegmatite body in Webb Township, northwestern Ontario. The survey suggests that the pegmatite dyke may have a weak magnetic signature. The data collected along the grid lines has provided

a database which can now be used to locate and delineate other pegmatite dykes. Detailed data should be collected along 075" trending lines located within selected parts of the grid. These lines will be parallel to the country rock stratigraphy. In this way, north-south trending pegmatite bodies that may crosscut the country rocks should be identifiable. The initial work should be focused in the area of Line 50 East north of the Baseline. The work should be accompanied by detailed geological mapping and extensive litho-geochem sampling across the entire grid. If successful, this work should be followed up by stripping and diamond drilling.

Wawa, Ontario Respectfully Submitted, August, 1997

Seymour M. Sears, B. A., B.Se. Geologist

STATEMENT OF QUALIFICATIONS

l, Seymour M. Sears, of Wawa, Ontario do certify that:

1. l am a consulting geologist tor Sears, Barry and Associates Ltd., P.O. Box 2058, Wawa, Ontario.

2. l am a B. Se. Graduate in Geology and a B. A. Graduate in Psychology from Mount Allison University, Sackville, New Brunswick.

3. I have been practicing my profession continuously since 1972.

4. I am a Fellow of the Geological Association of Canada.

December, 1998 Respectfully submitted,

22 Caverhill Street P.O. Box 2058 Wawa, Ontario POS 1KO

Seymour M. Sears, B. A., B. Se. Geologist

REFERENCES

Breaks, F.W. and Kuehner, S

1984: Precambrian Geology of the Eagle River-Ghost Lake Area, Kenora District; Ontario Geological Survey, Map P.2623, Geological Series - Preliminary Map, Scale l :31,680; Geology 1980 - 1983.

DEC-30-98 WED 13:02 SEARS BPRRY ft nSSOCIaTES 70S 856 1147 P. 02

Ontario wi not \\j ^ M|BejP*""1*""? or Aaaeaament Work Performed on Mining LandMining AM, Subaeotton H(2) md M(l). B.S.O. i*M

weeUona 65(2) md *4(3) of in* Mining AM. Undw wclion 8 o* Ine w the acieKment work and correspond with Iha mining land hoM*. amt, Ministry ol Northern Development and Mine*, Sth Floor,

52F16NW2003 2.19034 WEBB 900

1. Recorded hoMer(s) (Attach a list If necessary)

wording a claim, use mpn 0240.0240. 1 /~\. l 9 o- S 4Name

Addrets |^oo^"- 9**- r/.

Client Number

ILL

MaimTJ-T

Addreit

Telephona Number

FM Numbir

COkntNi

-//V?

Telephone Number

Fax Number

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cc o-

2. Type of work performed: Check ( ** ) and report on only ONE of the following groups for this declaration.

Qeolechnlcal: prospecting, surveys, assays and work under section 18 (regs)

r i Physical: drilling, stripping,i ' trenching and associated assays

( j Rehabllltallon" '

Work Type Office Use

Commodity

Total s value of Jf Work Claimed ff

Dates WorkPerfotrned l&l*?

T'

Global Positioning System Dale (if available) Township/Area.20.

l '*-| ?*\ Monttl l VMf

NTS

Mining Division

M or O-Pl*ri Numlwf Resident Geologist

Please remember to: - obtain a work permit from the Ministry of Natural Resources as required;- provide proper notice to surface rights holders before starting work;- complete and attach a Statement ol Costs, form 0212;- provide a map showing contiguous mining lands that are linked for assigning work:- include two copies of your technical report.

3. Pereon or companies who prepared the technical report (Attach a list if necessary)

N1S e^wyp^r M. Sk-LM fW* kf M * 4" o*.}Address ' '

So't 2-OS"*- 1/JeuuJf^. (P-v"fx^io PCt S /jfOName

AtMieu

Name

AiWross ' '

Telephone Number

(vdr) Sr-^"6-olO f f'Fax Number J

Telephona Number

Fei Number

Telephone Number

Fax Number

4. Certification by Recorded Holder or Agent

^RECEIV&D

DEC 3 0 1908

GEOSCIENCF ASSESSMENT OFFICE

'- f^l *" ftucf" . . . ' . O'g-ft^S' . ,, do hereby certify that 1 have oersonal knowledae of the farts set

forth in this Declaration ol Assessment Work having caused the work to be performed or witnessed the same during or after its completion and, to the best of my knowledge, the annexed report is true.

Telapnone Number(7 o*) ZS-^ IT- /.

DEC 30 '98 12=00 705 856 1147 PPGE.0S

P. 03BEC-30-98 WED 13:03 SE*RS B*RRY 8. *SSOCIflTES 70S 856 1147

6. Work (o b* recorded md distributed. Work can only be aligned lo claims that are contiguous (adjoining) to the mining land where work was performed, at the time Work W83 performed. A map showlno Ihe continuous Hnk mu,t accompany thietorm.mutt accompany this lorm. . Vvf *- -^ gg

NHnfnf ChMi nUffibf?* Or H work wtJ 00119 Oft ofncr OBQrota mining tend. *ftow ki (Ms column In* loettton number Indtottod on Ih* claim mtp.

•9

•9

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3

4

5

6

7

8

9

10

11

12

13

14

15

TB 7827

1234567

1234668

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Numbtr *f CMffl Unit*. For olhtr mining land. Hal hidtf**.

18 ha

12

2

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-

--

Column Totals

VchM oi nofk PCfformtd on mlt Ci ttm of O(nVmining tand

S28,82S

0

t 8, 892

4S2S7 tJL

WS7

Velu* of work •ppH*d to Ihh cliim.

N/A

*24,000

S 4,000

^yoo*"

^•800

Vdut of work •wlgn*d lo oln*r mining dtlmi.

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0

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^

B*nk. ViKi* or work lo b* distributed M * lulur* deli.

12,825

0

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* +S7**-

9034

t-s?/M. . do hereby certify (hat the above work credits are eligible Under

^r^ (Print Frt Mint)subsection 7 (1) of Ihe Assessment Work Regulation 6/96 for assignment to contiguous claims or for application to

Ihe claim where the work was done.TSto

7-f if f

t. Instructions for cutting back credit* that are not approved.

Some of Ihe credits claimed hi this declaration may be cut back. Please check { ^) In Ihe boxes below to show how

you wish lo prioritize the deletion of credits:

o? 1. Credits are lo be cut back from (he Bank first, followed by option 2 or 3 or 4 as Indicated.

^J2 2. Credits are to be cut back starting with Ihe claims Rsted last, working backwards; or

D 3. Credits are to be cut back equally over all claims listed In this declaration; or

D 4. Credits are to be cut back as prioritized on Ihe attached appendix or as follows^ \e

DEC 3 O 1998GEOSCIEMCF ASSESSMENT

.______OFFICE____Note: If you have not Indicated how your credits are lo be deleted, credits will be col back from ther Bank Ural,

followed by option number 2 If necessary.

for Office Use Only

DU* Approved

AppnvM tor Mending by Mining R*cord*r (S^i

OIK Notfcdion Sim

rotn vdM ci CfttfH Approved

DEC 3(3 '99 12 = 01a^f, I 1 47

l on tt* ton* fc obtakwd under M tuWrty gf Amain 1(1) e) **' l IM. UnderMctfon t of DM MMng Act, tu MbnptUon li i pvMc raoai*. Thh MbnMton *H M uMd le review V* MMwntM wortc Md eorrMpofld wMith* mining ton* hold*/. OuMdoni iboul M* ce**cltoo ihouW b* *wct*d W It* CM*I MWng feconter. MlnWiy of Norm** C MMI. Mh floor. (33 A*m**y L*kt Ho*J. Sudbwy. OnUrta. MC MS.

Work Ty(K

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Unlttof WorkDtptndlng on IM qrp* of *ort. M fi* numbc el hcuo/dir* mrkM. n*lrn d *IIVng, Uo- mtutt at (rM On*, mmter ol uinpin. Me.

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Atioclaled Cotti (e.0. lupplto*. moblllutton md demobnizatton).

Trentportetlon Cotit

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Food Md Lodging Cotte

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Coil Per Unit of work

*Joo*,f** J. ft*.

2 1—— ̂ * J.

ToUI Viliit of AsMttment Work

ToUI Cert

— —————————"* 3. /OS--*

-*1 /, i- 5-^. -S" 0

600-' 0

9 Q Q*^ v O

-^5;aS7. e *

Ctfcutellon* of Filing Oftcounte:

V Work fitod within two yvai* of pcrformanc* to dtinwd tt 10CKH of ttw above Total Valu* of A*s4ssm*ni Work. 2. It work Is filed after two years and up lo five years after performance, R can only bo claimed at SOTt of the Tola!

Value of Assessment Work. If this situation applies to your claim*, use the calculation below:TOTAL VALUE OF ASSESSMENT WORK x 0.60 Total S value of worked claimed.

Note:- Work older than 5 years le not eligible for credit- A recorded holder may be required to verify expenditures claimed In this statement of costs with request for verification and/or correction/clarification. H verification and/or correction/clarification Is Minister may reject all or part of the assessment work submitted.

Certification verifying costa:

l. ———-^7 ** * ̂ ^ k ^"••ft'-y . do hereby certify, that the amounts shown are as i

reasonably be determined and the costs were Incurred while conducting assessment work on the

the accompanying Declaration of Work form aa —————-.c*, q-e f\T~________

to make this certification.

IWCEiVEDDEC 3 O 1998

CCS604WEHW ASSESSMENT

tgtrt. v MM c tir, pnJten

*H UUJIUUK! i

. l am authorized

SignMun

DEC 30 '98 12=01 705 856 1147 PAGE.04

Ministry of Mlnistere duNorthern Development Developpement du Nordand Mines et des Mines Ontario

Geoscience Assessment Office 933 Ramsey Lake Road

January 21, 1999 6th FloorSudbury, Ontario

CHAMPION BEAR RESOURCES LTD. P3E 6B52005-9TH STREET, S..W.,CALGARY, ALBERTA Telephone: (888) 415-9846T2T-3C4 Fax: (877)670-1555

Visit our website at: www.gov.on.ca/MNDM/MINES/LANDS/mlsmnpge.htm

Dear Sir or Madam: Submission Number: 2.19034

Status Subject: Transaction Number(s): W9830.00108 Deemed Approval

We have reviewed your Assessment Work submission with the above noted Transaction Number(s). The attached summary page(s) indicate the results of the review. WE RECOMMEND YOU READ THIS SUMMARY FOR THE DETAILS PERTAINING TO YOUR ASSESSMENT WORK.

If the status for a transaction is a 45 Day Notice, the summary will outline the reasons for the notice, and any steps you can take to remedy deficiencies. The 90-day deemed approval provision, subsection 6(7) of the Assessment Work Regulation, will no longer be in effect for assessment work which has received a 45 Day Notice. Allowable changes to your credit distribution can be made by contacting the Geoscience Assessment Office within this 45 Day period, otherwise assessment credit will be cut back and distributed as outlined in Section #6 of the Declaration of Assessment work form.

Please note any revisions must be submitted in DUPLICATE to the Geoscience Assessment Office, by the response date on the summary.

If you have any questions regarding this correspondence, please contact Steve Beneteau by e-mail at steven.beneteau@ndm.gov.on.ca or by telephone at (705) 670-5855.

Yours sincerely,

ORIGINAL SIGNED BYBlair KiteSupervisor, Geoscience Assessment OfficeMining Lands Section

Correspondence ID: 13312

Copy for: Assessment Library

Work Report Assessment Results

Submission Number: 2.19034

Date Correspondence Sent: January 21, 1999 Assessor: Steve Beneteau

Transaction Number

W9830.00108

Section:14 Geophysical MAG

First Claim Number

1163139

Township(s) l Area(s)

WEBB

StatusDeemed Approval

Approval Date

January 20, 1999

Correspondence to:

Resident Geologist Sioux Lookout, ON

Assessment Files Library Sudbury, ON

Recorded Holder(s) and/or Agent(s):

Seymour Sears WAWA, ON

CHAMPION BEAR RESOURCES LTD. CALGARY, ALBERTA

Page: 1Correspondence ID: 13312

TRIM LINE

li W, t*-

•-Q

sLU

•^r^

0010 lo

REFERENCESAREAS WITHDRAWN FROM DISPOSITION

M.R.O.-MINING RIGHTS ONLY

S.R.O. -SURFACE RIGHTS ONLY

M.+ S. - MINING AND SURFACE RIGHTS

DMcription Order No. Otto Dlipotition Fit*

JAN D AND GRAVEL

BRAVEL FILE N? 137297

MN. H. WUVEL RESERVE N? IAZ7

JUNE 16/92 R Ok tfU

Qo

O) Q.Oi—Q

Mcilraith Twp.-tW i ^^.*v*9 i ^t

l____ — __^.- — -_ —

11631481216292

' \\ Wh-f—————11

Gullwing

11787107/63/39

//63/3T-

-a

Q. ^K

oLU

•r tssecAo

o . *1 "?. s lj /i'*-^ Laval Twp.

LEGEND

HIGHWAY AND R^UTE No.

OTHER ROADS f* TRAILS SURVEYED LINES:

TOWNSHIPS, BASELINES, ETC. 'LOTS, MINING CLAIMS, PARCELS, ETC

UNSURVEYED LINES:LOT LINESPARCEL BOUNDARYMINING CLAIMS ETC.

RAILWAY AND RIGHT OF WAY UTILITY LINES NON-PERENNIAL STREAM FLOODING OR FLOODING RIGHTS SUBDIVISION OR COMPOSITE PLAN RESERVATIONS ORIGINAL SHORELINE MARSH OR MUSKEG MINES TRAVERSE MONUMENT

t L

DISPOSITION OF CROWN LANDS

TYPE OF DOCUMENT SYMBOL

PATENT, SURFACE ft MINING RIGHTS.._.....-....... 0

" .SURFACE RIGHTS ONLY....__............... 9

" . MINING RIGHTS ONLY .....,..__m......^. 9

LEASE, SURFACE ft MINING RIGHTS———————— B" .SURFACE RIGHTS ONLY._...,,...—........M. O" , MINING RIGHTSONLY..........-....—..——— B

LICENCE OF OCCUPATION ,._..,....................... T

ORDER-IN-COUNCIL .........................——...._. OC

RESERVATION ___.......__.........,................. (J)CANCELLED ___.———.._..,....................... *SAND 4c GRAVEL ._.....___........,.-... (J)

NOTE: MINING RIGHTS IN PARCELS PATENTED PRIOR TO MAY C, 1*13, VESTED IN ORIGINAL PATENTEE |Y THE PU1LIC LANDS ACT, R.S.O. 1970. CHAP. 3*0, SEC- 63. SUBSEC 1.

SCALE: 1 INCH ^ 40 CHAINS

FEETO 10OO 2000 4OOO 6OOO 000

O 2OO METRES

100Oli KM)

20OO(2KM)***

TOWNSHIP

WEBBM.N.R. ADMINISTRATIVE DISTRICT

DRYDENMINING DIVISION

PATRICIALAND TITLES/ REGISTRY DIVISION

KENORA

Mini s try of LandNatural Management

Resources BranchOntario

MAY 1985 Numb*.

G-2^88

THE INFOftMATOfJ THAT APPEARS ON THIS MAP HAS BEEN COMPILED FROM VAMOU8 SOURCES. AND ACCURACY IS NOT GUARANTEED. THOSE WISHING TO STAKE MIN ING CLAIMS SHOULD CON SULT Mm* THE MINING RECORD*-*, MINISTRY OF NORTHERN DEVELOP MENT AND MINES, FOR AD DITIONAL INFORMATION ON THE STATUS OF THE LANDS SHOWN HEREON

TRIM LINE

52F16NW2003 2.19034 WEBB200

%-v

Lfl './l 'J)ae w x ae 35-J -4 -J -J -JOB C1* 30 ae J.-j o ' -j ae

L/I Vi Vi V* 'v* w oo M 30 ae 50

L/i V* L/lcc* x

52F16NW2003 2.19034 WEBB

ft'rWrnp

rt

500'

^(5.7 Am* ffi Of)*'1'" Aiipotl Hood I'ltilcul Isih-

Key Map

d] ^580^6 gammas IEK 5860ft-58800 raQ 5880^;-59000 gammasD 5900^ 59300 gammasl l 59300;-59600 gammasCD ;*55NSQlO gammas

50m

.4iJ3-.. l' ;:'

^-•f ?g. ;. ..^

Swfo J.'/^O

Instrutncni: Geometrics (18m

-- ...-.j. :: -.^ ^i*#lti

Operator: Jack faniitg^m

fyue Station til W) H'ftlMt BiO

Fp:-!t::- -Jri.- *. F :"

/4.VAYXWW

RESOURCES L

in Property

R SURVEY

Issfcr.: .L.-•rP:-". - ;:f-:;.

Date: Dec,41