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Gold/Mining/Energy : SUDBURY AREA AND THE PGM PLAY -- Ignore unavailable to you. Want to Upgrade?


To: Just G who wrote (297)7/20/2000 9:46:39 AM
From: Brumell  Respond to of 349
 
The following is a bit off topic but very relevant to the mining industry. Those who follow it will be impressed. Kidd Creek has been an amazing story. There will be others...
_________________________________________________________

• Thursday, 20 July, 2000

--------------------------------------------------------------------------------

Kidd deep mine project gets OK

$640-million development will extend life of the mine through to 2020

Christmas came early this year for Timmins as joy is sweeping the city at the news its biggest employer and taxpayer will spend $640 million to extend the life of the Kidd Creek Mine to at least 2020.

It is also the biggest single capital project in the history of Timmins and it will unlock an estimated 26.2 million tonnes of ore containing zinc, copper and silver.

Although the news was long awaited and development crews have been working at Kidd Creek for some time, formal approval by the board of directors of Falconbridge Ltd. was required.

That approval came Wednesday and caused excitement across the community.

The companys announcement was quickly faxed and phoned throughout the business sector, especially to those who provide supplies and services to the base metal mine.

Timmins Mayor Vic Power calls it terrific news for the city.

The mayor adds there are immediate benefits, such as the 200 jobs created by the need for shaft sinking and ramp development work, and long-term benefits, such as guaranteeing the more than 500 jobs in the mine and 1,100 jobs in the Kidd Metallurgical Division.

Timmins Chamber of Commerce president Ross Stringer says it means the local economy will remain healthy and vibrant for many years to come.

It also means residents can make long-term plans and business people can have confidence in the city's future.

Sandra Deem, co-owner of ClaimPost Realty Ltd., the largest real estate firm in Timmins, says the announcement will give the local real estate market a shot in the arm.

Banks, credit unions and other lending institutions feel secure financing mortgages when there is a 20-year time frame for the economy.

The project is being called Mine D or the Deep Mine, which will go from the 2,100-metre (6,930-foot) level to 3,100 metres (10,230 feet), and full production is expected to begin in 2004.

Development of Mine D will take place in two stages, says Dan Gignac, general manager of the Kidd Mining Division.

Stage 1 will take the mine to approximately 2,700 metres (8,910 feet) in depth.

Stage 2, which will begin development in 2009, will extend the mine down to 3,100 metres.

This will make Kidd the deepest base metal mine in the world.

According to the company's feasibility study which was completed in June 2000, Mine D will contribute two million tonnes of ore annually when full production levels are achieved.

The majority of the $640 million, which includes a provision for inflation, will be spent during stage one.

This will include a number of start-up components, such as the sinking of a new internal shaft ($13 million), the installation of a new ventilation and refrigeration system ($42 million) and the acquisition of new mobile underground equipment ($35 million).

Power says the news confirms our belief that the Timmins area is indeed the richest mineral deposit in the world with a great future.

In fact, the Falconbridge announcement alone brings us at least to the year 2020., the mayor says. It behooves all of us to have 20-20 vision.

Deem says confidence in the future is necessary for any community to prosper and improve.

Falconbridges announcement will send a tidal wave of confidence throughout not only Timmins but Northeastern Ontario, she predicts.



To: Just G who wrote (297)7/20/2000 9:32:35 PM
From: lorne  Read Replies (1) | Respond to of 349
 
Hi Just G. Do you know if anyone is following this one.
I think if they are drilling holes in the Totten and old Victoria
mines area they can't help but find something ? :-)

REGULATORY APPROVAL OF THE AER ACQUISITION;

DEEP DRILLING, GEOPHYSICAL PROGRAMS UNDERWAY

ON SUDBURY BASIN Ni/Cu/PGM TARGETS

 

Crowflight Minerals Inc. is pleased to announce the commencement of exploration at its recently optioned AER (Kidd) Ni/Cu/PGM deep prospect. The AER Option, which received regulatory approval on July 13, 2000, is located immediately northeast and tying on to the property boundary of Inco’s recently discovered deep high-grade Totten deposit on the Worthington Offset dyke. On April 12, 2000, Inco announced a resource at the Totten deposit of 8.4 million tonnes grading 1.42% nickel, 1.90% copper and 4.7 grammes per tonne platinum group metals. Inco stated that the deposit is still open to depth and drilling continues. Inco plans to test additional geophysical targets along the Worthington Offset dyke.

Crowflight’s exploration program on the Worthington Offset dyke will consist of:

1: an Audio-Magneto-Telluric (AMT) geophysical survey to identify deep targets within and proximal to the Worthington Offset dyke;

2: a VLF EM-electromagnetic and magnetic survey over the entire property commencing July 17, 2000;

3: A 1700-metre -75° diamond drill hole which will be probed when completed using a down-hole Pulse EM system. The hole should reach projected depth in about a month.

The preliminary deep hole will generate a geological section, assist in the interpretation of the AMT survey, and permit down-hole Pulse EM geophysical surveys to locate any anomalies that may be present within a radius of several hundred metres of the drill hole.

For further information, please contact Dr. James M. Patterson, Vice President, Exploration at (416) 368-0114 or fax (416) 368-0198.
crowflightmineralsinc.com



To: Just G who wrote (297)7/26/2000 6:28:21 PM
From: John E.Quinn  Respond to of 349
 
Hi Just G;

Here is another interesting article on the Sudbury area play and associated geology.

SANDCHERRY CREEK
Ni-Cu-PGM PROPERTY

(FOY OFFSET)

Tyrone Township
(G-4116)

Ontario

Sudbury Mining District

ABSTRACT

The Sandcherry Creek Ni-Cu-PGM Property located in Tyrone Township, is approximately 50 km”s northwest of Sudbury, Ontario. The property is comprised a total of seven contiguous claims, consisting of 56 units, 896 ha., situated over the “radial” Foy Offset. The Foy Offset is one of 10 similar quartz diorite dyke like features which have developed around the peripheral region of the Sudbury Basin structure. Each of the ten offset dykes are known to host several mineral occurrences some with significant Ni-Cu-PGM bearing mineral deposits. 8 of the 10 dykes have substancial mineral deposits, some of which are currently being mined.

The offset dykes of the Sudbury Basin area are essentially composed of quartz diorite. The various dykes generaly have similar geometric-petrographic and mineral deposit characteristics and can be classified into three particular types as based on their location and attitude relative to the main mass of the Sudbury Igneous Complex (SIC). Classification of the dykes include:
a) Radial Offset Dykes, b) Parallel or Concentric Offset Dykes, c) Discontinuous Quartz Diorite Occurrences.

The Foy offset dyke on the north side of the Sudbury Basin, which hosts the former Ross Mines, has the same characteristic as that of the Copper Cliff and the Worthington offset dykes on the south side of the Sudbury Basin. Both the Copper Cliff and Worthington offset dykes are host to the rich Copper Cliff North and South Mines, Totten and Worthington Mines..

Recent exploration work by Inco on the Worthington and Copper Cliff Offset on the south side of the Sudbury Basin by INCO, represents a very positive example of the rich upside potential of the offset dykes. Brief highlights as paraphrased from the Sudbury Star are as follows:

Six drill holes were bored through (Worthington Offset at the Totten Mine) with up to 3.3 per cent nickel, 5.4 per cent copper and 8.7 grams per ton of platinum-group metals. The thickness of the zone ranged from 6.3 to 35.6 meters.

"High grade mineralization" has been found in two areas located near Inco's Copper Cliff South Mine.
One high-grade deposit has been located "by drilling in a new zone 1,800 meters north of the Copper Cliff South Mine shaft at a depth of 900 meters with thickness’ of 7.8 meters grading 4.16 per cent copper and 5.9 per cent nickel and 8.4 meters grading 6.76 per cent copper and 1.73 per cent nickel.
"This mineralization (of the Copper Cliff Offset) also contains high concentrations of platinum-group metals and gold," the release stated.

A second ore body near South Mine is "an extension to the Kelly Lake deposit situated about 2,100 meters south of the Copper Cliff South shaft." Thickness’ range from 13 meters to 28 meters, with grade varying from one- to 2.8-per cent copper, one- to 2.2-per cent nickel and high concentrations of platinum-group metals and gold.

In conclusion several of the major Ni-Cu ore deposits such as the Frood-Stobie, Copper Cliff North and South Mines, including the Worthington and Totten Mines are excellent examples of rich mineral deposits associated with the quartz diorite intrusive rocks within the Sudbury Mining Camp. These deposits also contain appreciable quantities of platinum group metals, including gold and silver.

There are several Ni-Cu-PGM bearing occurrences and deposits that have been explored and mined in and around the former Ross Mines located on the Foy Offset. Production from the property has been estimated at 208,550 tons. Preproduction ore reserves reported by Nickel Offsets Ltd., in 1940 stood at approximately 360,000 tons grading 1.9% Ni., 1.45% Cu., and $1.98 per ton in precious metals. In 1943-44 had an average grade of the mineral deposits stood at 4.30% Ni., 3.50% Cu., 0.14% Co.,
and 0.18 ounces per ton of Platinum Group Metals.

INTRODUCTION

The Sandcherry Creek Ni-Cu-PGM Property consists of two blocks of mining claims located in Tyrone Township, is approximately 50 km”s northwest of Sudbury, Ontario. The property is comprised a total of seven contiguous claims, consisting of 56 units, 896 ha., situated over what is known as the Foy Offset. The claim blocks are owned by geologists David Beilhartz and Harold Tracanelli. Together the property covers approximately 9 km of strike length of the Foy offset quartz diorite dyke. The Foy Offset is one of a number of radiating intrusive dykes thought to be genetically related to the very productive Sudbury Igneous Complex. The offset dykes which often extend for quite some distance from the outer edges of the Sudbury Basin, are known to host a significant number of the major and productive Ni-Cu-PGM bearing mineral deposits.

LOCATION and ACCESS

The property is located in Tyrone Township (G-4116) in the Sudbury mining district, Ontario. The center of the property is situated approximately 50 km’s north of the City of Sudbury Ontario. Sudbury is a major mining and industrial technology centre with a readily avaliable supply of labor, including manufacturing and mineral processing facilities. The exploration, development and future exploitation of new mineral deposits will draw on these avaliable resources, and help to support the economic prosperity of the community. Two high tech, Ni-Cu-PGE smelters are currently operating in the Sudbury area. A major power transmission line is located a few miles to the east of the Tyrone Township mining property.

Easy access to the property can be afforded through numerous logging roads which transect the property. These roads originate off the main E. B. Eddy Forest Products, Dunbar road network that run northeast of highway 144. The road system begins near the small village of Benny located approximately 75 km’s north of Sudbury.

MINING PROPERTY OWNERSHIP

The Sandcherry Creek Ni-Cu-PGM Property consists of a contiguous group of 56 claim units approximately 9.6 kms (6 miles) in length, and covering an area of approximately 896 ha., (2240 acres).

The mining property has been subdivided into essentially two key elements being identified as the “North” and the “South Blocks."

The North Block is made up of three claims having a total of 22 units (approx. 352 ha.)

1229649 8 Units
1230028 6 Units
1230029 8 Units
22 Units

The “North Block” is currently controlled by:

David Beilhartz.
Box 1, Site 16,
R.R.# 1 Whitefish
Ont. P0M 3E0

(705) 866-1631

e-mail: dbeilhar@vianet.on.ca

The South Block is made up of four claims having a total of 34 units (approx. 544 ha.)

1230790 8 Units
1229656 8 Units
1226950 6 Units
1226951 12 Units
34 Units

The “South Block” is currently controlled by:

Harold J. Tracanelli
192 North Shore Road.
Box 122
Onaping.
Ont. P0M 2R0

(705) 966-1517

e-mail: sputnick@cyberbeach.net

The claims are available for option as a complete property or can be optioned as separate entities.

BREIF GEOLOGY

The Sudbury Structure is a presumed meteorite / astrobleme, impact site at the junction of the Archean Superior and Proterozoic Southern provinces of the Canadian shield. The structure forms a northeast-southwest trending elliptical ring like feature measuring approximately 60 km’s long and 27 km’s wide. The Sudbury Nickel Irruptive / Sudbury Igneous Complex (SIC), is a late Archean differentiated, thoelitic “layered” intrusion formed around the outer edges of the presumed impact site.

The SIC consists of an upper granophyre portion which grades into a lower norite portion. In addition there is a sulfide ore and inclusion bearing sublayer to the norite. This sublayer forms a thin discontinuous layer about the outer margin of the irruptive. The massive, disseminated and breccia associated mineral deposits are often found in or near embayment like features within the lower norite, and sometimes within the adjacent country / foot wall rocks. Rare earth and trace element geochemistry indicate that the offsets are genetically related to the lower mass / felsic norite of the SIC. The metal rich rocks of the SIC sublayer were injected outwards into the adjacent country rocks, as radial and concentric dyke like features known as the quartz diorite offsets. To date at least 10 similar quartz diorite dyke like features which have developed around the peripheral region of the Sudbury Basin structure. Each of the ten offset dykes have known mineral occurrences some with significant Ni-Cu-PGM bearing mineral deposits, while 8 of the 10 dykes have substancial mineral deposits, some of which are currently being mined.

The various dykes generaly have similar geometric-petrographic and mineral deposit characteristics and can be classified into three particular types as based on their location and attitude relative to the main mass of the Sudbury Igneous Complex (SIC).

Classification of the dykes include: a) Radial Offset Dykes, b) Parallel or Concentric Offset Dykes,
c) Discontinuous Quartz Diorite Occurrences.

Radial Offset Dykes

The radial offset dykes extend outwards from embayment like features developed with in the foot wall of the SIC. These dykes which include the Foy, Copper Cliff, Worthington, Whistle and the Ministic offset radiate, uninterrupted into the surrounding country rock like the spokes of a wheel over distances of many kms. Recent exploration work by Inco on the Worthington and Copper Cliff Offset on the south side of the Sudbury Basin, represents a very positive example of the rich upside potential of the offset dykes.

Parallel or Concentric Offset Dykes

These continuos-semi continuos dykes have developed somewhat parallel to the contacts of the SIC, with massive zones of Sudbury breccia. Offsets of this type include the Hess, Frood-Stobie, Manchester, Kirkwood and McConnel.

Discontinues Quartz Diorite Occurrences

There are several of these quartz diorite occurrences found adjacent to the main mass of the SIC, and host the rich and famous Creighton and Maclennan mine deposits.

The majority of massive sulphide Ni-Cu-PGM bearing mineral deposits occur around the outer “rim” of the SIC. There are a number of equally important massive sulphide deposits that occur on the offset dykes, including Copper Cliff South Mine, Worthington Mine, Whistle Mine, Ross (Foy) Mine to name a few. Within the quartz diorite offset dykes, sulphide deposits are thought to accumulate at locations that have an abundance of country rock inclusions within the dyke, or where the intrusives are associated with significant concentrations of Sudbury breccia masses. The sulphide accumulations; massive to disseminated; are also said to occur and are often associated with marked changes in the strike of the offset dykes. The mineral deposits and mineral occurrences on the Foy offset for instance occur at fairly regular intervals of 3000 to 4000 feet +/- apart. The Foy offset has an estimated and continuos strike length of some 30 km’s.

The Sandcherry Creek Ni-Cu-PGM Property was essentially staked to cover the North west trending, Foy offset quartz diorite dyke located within Tyrone Township. A large portion of the Foy offset dyke has been accurately located and mapped during exploration worked carried out several years ago by INCO. In 1996-97 some very extensive and detailed work was carried out on the Foy offset by Christina Rangi Wood M. Sc. Geo. The results of her work have been very thorough described in a paper entitled "Origin and Emplacement of the Hess Offset Dyke, North Range of the Sudbury Impact Structure."

The offset dyke can be easily distinguished from the granitic host rocks in the field, as well as with geophysical methods, such as magnetic and by geochemical methods. Some of these methods have been used to distinguish the diroritic rocks from other intrusive rocks in the area.

Ground magnetometer work carried out by INCO appears to indicate that in places the offset dyke may have an estimated thickness of approximately 60-70 meters. Mapping along the strike of the offset dyke has shown that the intrusive changes strike direction at several locations along its length. At several locations within the Foy offset dyke, up to 20% granitic host rock inclusions, and Sudbury breccia masses have been observed. These inclusions are commonly rounded and can be altered, indicating significant assimilation by the quartz diorite.

Disseminated sulphide minerals have been identified at various locations along the length of the offset dyke. Pyrrhotite < chalcopyrite < pyrite generally occurs in quantities of up to 1%, with localized occurrences of 5 to 10% sulphide minerals having been noted. A representative grab sample collected from the “Maki Sowing," on the quartz diorite, less than 100 meters south of the South Block boundary returned values of 0.34% Ni., 0.54% Cu., 0.01 oz/ton Au., 0.024 oz/ton PGM’s. A representative grab sample collected from the newly discovered “Beilhartz Showing” on the North Block was assayed and returned values of 0.05% Ni., 0.11% Cu., 44 ppb Au., 141 ppb Pt., 189 ppb Pd.

Previous Work

Over the years various amounts and types of work have been carried out along much of the length of the Foy offset dyke within Tyrone Township. The vast majority of the work was carried out in the southern portions of Tyrone Township. Some of the work that was carried out has been quite systematic, while some of the work has been rather limited. In many instances much of the work clearly indicated the presence of the Foy offset quartz diorite dyke. Over the years several ground geophysical and geological surveys and diamond drill programs were undertaken over certain portions of the offset dyke. Remarkably the geological mapping and diamond drilling, showed the strong presence of the offset dyke having substancial widths and hosting the characteristic pyrrhotite and chalcopyrite mineralization. The quartz diorite, with associated country rock fragments and breccias were also noted within the offset. Remarkably in many instances' assays were never reported. Over the years, much of the exploration work appears to have been focused on the identification of Ni-Cu bearing massive sulphide deposits. It is strongly suspected that very little attention has been directed towards the search for enriched PGM’s areas thought to be associated with dispersed / disseminated pyrrhotite / chalcopyrite mineralization. It would appear that many of the areas of disseminated mineralization were essentially overlooked. It is currently understood that rich PGM bearing mineral deposits can occur within zones of disseminated sulphides.

It is believed that the Foy offset represents a very significant and unique opportunity with a strong upside potential for hosting PGM bearing, disseminated sulphide deposits.

A thorough review of the Sudbury Resident Geologist office assessment file contains detailed exploration records for Tyrone Township as far back as 1949. It is strongly suspected, and it is highly probable that exploration work may have been carried out prior to 1949.

Exploration efforts have been directed towards the Foy offset for many years, most notably concentrated around the Ross-Nickel Offset No. 1 and No. 2 Mines located in Foy Township. The Ross mine property was first explored by Mr. Thomas B. Ross in the spring of 1891, and was essentially the second major discovery after the Levack Mine property to be made on the so called “North Range.”

The areas around the Ross Mine were explored for many years, while the property saw production between the years from 1943 to 1957. Five main mineralized bodies containing appreciable amounts of pyrrhotite-chalcopyrite and pentlandite were identified within the mine. The sulphide mineralization is hosted within the quartz diorite intrusive. Production from the property has been estimated at 208,550 tons. Preproduction ore reserves reported by Nickel Offsets Ltd., in 1940 stood at approximately 360,000 tons grading 1.9% Ni., 1.45% Cu., and $1.98 per ton in precious metals. Some limited production of 10,300 tons from the No.1 mine in 1943-44 had an average grade of 4.30% Ni., 3.50% Cu., 0.14% Co., and 0.18 ounces per ton PGM’s. Most of the production is said to have been derived from the Ross No. 2 mine. In 1953 a 300 ton per day Ni-Cu concentrator was built and the concentrates were shipped to the Falconbridge Smelter in Falconbridge, Ontario.

Since the closing of the mine the property has been owned-explored and optioned to various companies such as Falconbridge Ltd, Nickel Offset Mines Limited, Tex-Sol, Canhorn Mining, and was extensively explored by Inco Ltd in the mid 1980’s.

On the Sandcherry Creek Ni-Cu-PGM Property, the earliest work on record was carried out by Falconbridge Nickel Mines Ltd. The company started in mid 1949 to 1952 concentrating on the Foy offset in the southern part of Tyrone Township. The Company carried out a ground magnetometer, detailed geological mapping and diamond drilling around the “Maki Showing." Some diamond drilling was also carried out to the north of the Maki Showing. A 4 line, moderate magnetic anomaly was identified approximately 550 meters to the north of the Maki Showing.
In 1950 Inco also held some ground on the Foy offset and carried out some limited diamond drilling. Four holes were drilled by Inco, with the most northerly hole being put down north of Schkowona Lake, on the North Block. Each of the holes was successful in cutting the Foy offset quartz diorite dyke, with its associated disseminated sulphide mineralization.
In 1967-68 Falconbridge Nickel Mines Ltd., returned to the area, and carried out additional diamond drilling on the Maki Showing. As a result of their work, the company proceeded to patent a large number of claims in Foy Township, with a small part of the block extending into the very southern limits of Tyrone Township.

Also in 1967 Anaconda American Brass Ltd., held some ground on the offset, at which time they carried out a ground resistivity, magnetometer survey and geological mapping programs in the Sandcherry Lake area.

In 1967, INCO carried out some very limited diamond drilling just south of Schkowona Lake, on what is the South Block.

In 1972 Flintrock Mines Ltd, and Alchib Developments Ltd, carried out a ground magnetometer and electromagnetic surveys on their ground that extended northwards to Sandcherry Lake.

In 1987 Kidd Creek Mines Ltd., carried out a ground electromagnetic survey, concentrating their efforts on the offset dyke within Foy Township.

From 1987 to 1989, BP Resources Canada Ltd., carried out a systematic airborne MAG and electromagnetic survey over what is now the South Block. In 1989 the company proceeded to drill 2745 meters in 7 holes, at selected locations extending along strike northwards towards Sandcherry Lake.
In each of the holes drilled, the quartz diorite dyke, associated disseminated sulphide mineralization / host rock fragments and Sudbury breccia were observed. Unfortunately not a single assay was reported.

Also during 1987 to 1989, INCO held a large block of claims; now part of the North Block; extending along the strike of the offset near Sandcherry Lake in Tyrone Township. A ground magnetic and electromagnetic and a geological survey was carried out by the company. The results of the magnetic survey clearly denoted the position of the offset dyke for a considerable distance along strike. Follow up geological mapping resulted in the identification of many surface exposures of the quartz diorite, sulphide mineralization, brecciation etc. INCO collected many samples, but unfortunately not a single assay was reported.

In the spring of 1999, David Beilhartz; B.Sc.; Geo. carried out some reconnaissance prospecting in an area in between Schkowona Lake and Venetian Creek, which resulted in the identification of the new Beilhartz Showing. A surface sample collected from the showing on what is referred to as the North Block was assayed and returned values of 0.05% Ni., 0.11% Cu., 44 ppb Au., 141 ppb Pt., 189 ppb Pd.

AREA ACTIVITY

There has been a significant resurgence in mineral exploration around the Sudbury Mining Camp, most notably in an attempt to identify PGM bearing sulphide deposits within intrusive bodies around the periphery of the historic metal rich Sudbury Basin. Over the past year, numerous companies such as Pacific Northwest Capital, Flag Resources, Mustang Gold, Champion Bear Resources, Freewest Resources, Minescape Explorations, were all in the process of ongoing exploration programs. A number of the companies are in the process of exploring very significant prospects, and have been able to arrange J. V equity and private financing. To date several millions of dollars have been invested on several PGM mineral exploration projects, and several millions of dollars will be committed towards future exploration on these projects. To date there a couple of the projects; the Mustang Gold-East Bull Lake, and the Pacific Northwest Capital-River Valley projects have recently been joint ventured to two major South African interests. It is hoped that future exploration and development on these projects will help to spur on further interest within the region.
Potential financing, will lead to ongoing exploration that will hopefully lead to the discovery of future mineral deposits in other areas such as the Sandcherry Creek NI-Cu-PGM Property.

It is believed that the North and South Blocks of the Sandcherry Creek Ni-Cu-PGM Property on the Foy offset dyke in Tyrone Township, represents a very significant opportunity with very positive upside PGM / mineral potential. Exploration efforts carried out in the past, combined with recent discoveries clearly demonstrate that the Foy offset remains a high priority target.

WORK PROGRAM PROPOSAL

As a result of a thorough and in-depth review of the avaliable information covering the area of concern, the following work program has been formulated:

Numerous surface exposures of the quartz diorite dyke were identified and mapped during the 1988 INCO program. Surface samples were collected from many of the outcroppings, but no assays were reported. During recent reconnaissance prospecting additional quartz diorite outcrops were identified; most notably the Beilhartz Showing outcrop; that had not been previously identified by the INCO geologists.

The discovery of a new showing, clearly demonstrates the need for more detailed and concentrated prospecting efforts along the length of the offset dyke. Hands on prospecting followed up by deep penetrating geophysical methods over a well-established grid system will help to identify and focus on potential, massive and or disseminated, PGM bearing targets within the offset dyke. Diamond drilling of specific targets will help to test and evaluate surface targets. A thorough review of all data upon the completion of the exploration program, will help to determine wether further more extensive work is warranted.

The basic elements that the vendors are proposing for a potential option deal on the Sandcherry Creek Ni-Cu-PGM Property have been listed below. Please note that all terms that may be presented are negotiable.

1. Cash settlement upon signing

2. Three year deal, with consecutive payments on each anniversary date

3. Issuance of company shares upon signing, and with each subsequent anniversary payment

4. Earn in yearly work commitments

5. 2.5% NSR or 5% NPI

6. Royalty “Buy-Out”

7. Deal fully transferable

8. Return property in good standing, with minimum of 1 year assessment work if no longer interested in
following through with agreement

9. Provide all project related data to vendors. Do not dispose of any data or diamond drill cores

The size and type of property we have to offer is a very rare occurrence in Sudbury Mining Camp. It is difficult to assemble a mining property of such an extensive size with such highly productive geology where there has been such a lack of significant exploration. The blocks are available for option as one block or as separate parcels.

As my partner and I are both geologists, we will be looking conduct at least some of the exploration work on the property, and would act as contractors / consultants. Therefore work commitments are being sought.

If your firm is interested in participating in this exciting “ground floor” exploration opportunity please contact the property vendors listed below.

Respectfully.

David Beilhartz (705) 866-1631

dbeilhar@vianet.on.ca

Harold J. Tracanelli (705) 966-1517

sputnick@cyberbeach.net