GM 61415 GROUND MAGNETIC SURVEYING, SURFACE SAMPLING AND CORE RELOGGING AND SAMPLING AT THE ST. CHARLES MAGNETITE DEPOSIT NTS 2.2 D 11
GROUND MAGNETIC SURVEYING, SURFACE SAMPLING AND CORE RELOGGING AND SAMPLING AT THE ST. CHARLES MAGNETITE DEPOSIT, BOURGET TOWNSHIP, QUEBEC
Company Name: Micrex Development Corporation Claim Group: CL-5206689 (A), CL-5206688 (A), CL-5206687 (A), CL- 5206686(A) Nature of Report: Property Evaluation: sampling, re-logging of core Work Conducted During: January 20 to February 2, 2003 Work Conducted By: APEX Geoscience Ltd. Location of Claims: Lots 44, 45, 46, 47, Range I, Bourget Township Lat.-Long.: 71°27W, 48°31N Author of Report: Andrew Turner, B. Sc., P. Geol. Date: April 21, 2004
REÇU AU MRN
MRNF-GÉOINFORMATION 2005 9 JUIN 2004 GM 61415 CENTRE DE SERVICES DES MINES
APEX Geoscience Ltd.
Apr 121, 2004 Andrew Turner, B.Sc., P. Geol. GROUND MAGNETIC SURVEYING, SURFACE SAMPLING AND CORE RELOGGING AND SAMPLING AT THE ST. CHARLES MAGNETITE DEPOSIT, BOURGET TOWNSHIP, QUEBEC
TABLE OF CONTENTS
INTRODUCTION 1
PROPERTY DESCRIPTION AND TERMS OF REFERENCE 1
LOCATION, ACCESS AND PHYSIOGRAPHY 4
PREVIOUS EXPLORATION WORK 4
GENERAL GEOLOGY 7
EXPLORATION 2003 7
1. Ground Magnetic Geophysical Surveying 9 2. Core Relogging and Sampling 9 3. Surface Sampling 17
CONCLUSIONS AND RECOMMENDATIONS 20
REFERENCES 23
CERTIFICATION 24
TABLES
TABLE PAGE
1 Permit Numbers
FIGURES
FIGURE PAGE
1 Project Location Map 2 2 Property (Claim) Map .3 3 Regional Geology .6 4 Property Geology .8 FIGURE PAGE
5 Total Field Ground Magnetic Profiles .10 6 DDH 99-01: Geology, Mag Susc. and Sample Locations 11 7 DDH 99-02: Geology, Mag Susc. and Sample Locations 13 8 DDH 99-03: Geology, Mag Susc. and Sample Locations 14 9 DDH 99-04: Geology, Mag Susc. and Sample Locations 15 10 DDH 99-06: Geology, Mag Susc. and Sample Locations 16 11 Surface Sample Locations (Relative to Total Field Ground Magnetics) .18 12 Sample Collection from the North Magnetite Zone .19 13 Sample Collection from the South Magnetite Zone 19 14 Proposed Drill Holes with Ground Magnetic Profiles 21
APPENDICIES
APPENDIX PAGE
1 List of Personnel AT END 2 Analytical Reports AT' END GROUND MAGNETIC SURVEYING, SURFACE SAMPLING AND CORE RELOGGING AND SAMPLING AT THE ST. CHARLES MAGNETITE DEPOSIT BOURGET TOWNSHIP, QUEBEC
Introduction
The St. Charles magnetite deposit is more accurately a series of magnetite/ilmenite (+/- apatite) occurrences that represent ultra-mafic pods contained within a large a.northosite intrusion. The occurrences are located along the north shore of the Saguenay River approximately 22km west northwest of Jonquiere, Quebec (Figure 1). The magnetite occurrences have been investigated on numerous occasions in the past but have not yet been the focus of a systematic exploration program. As a result, the size of resources, although described and surmised in many historical reports, is not properly understood. However, given the mapped extent of the magnetite-bearing rocks, the resource potential is significant.
The intent of the exploration work conducted by APEX Geoscience Ltd., on behalf of Micrex Development Corporation, was to examine the property and the nature of the magnetite occurrences and recommend an exploration program that would result in a proper assessment of the resource potential of the property. The 2003 exploration program comprised geophysical surveying (ground magnetics) and a re-examination of core from a previous exploration program. Between January 20 and Februar:y 2, 2003, APEX completed 14.4 line-km of ground magnetics and re-logged approximately 369.7m of core in 5 holes drilled on the property in 1999. A total of 88 samples of core: were collected by splitting of the old core (1999). In addition, 10 large grab samples comprising at least one 5-gallon pail each of rock were collected from outcrops of the magnetite unit on the property.
Property Description and Terms of Reference
The property is owned by Mr. Roch Cormier and comprises 4 lots (44, 45, 46 and 47) within Range I of the Bourget Township (Table 1) located approximately 22km west northwest of Jonquiere, Quebec. Figure 2 illustrates the location of the lots that: comprise the property relative to Rural Road 1, the Saguenay River, and other topographic features.
Micrex has agreed to purchase the property for a total amount of $2,500,000, the payment terms of which are as follows: $5000 in cash and $90,000 in shares of the Company were paid when the Agreement was signed. The balance of the purchase price will be paid in yearly minimum payments of $45,000 in cash or shares of the Company beginning in December 2003. The Vendor shall reserve from all production from the Claims a royalty based on finished tonnes of products shipped of $0.25 per tonne or 1% of the actual price received for the product (less GST and any Provincial or Federal royalty, tax or payment) whichever is higher. This royalty survives the sale, assignment or transfer of the Claims by Micrex.
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