Cawood Assessment Report

GM 53585 CAWOOD ASSESSMENT REPORT

CAWOOD ASSESSMENT REPORT VOLUME 1

93Regional Reconnaissan Grenville Province, Quebeç

March 1995 Np,TURF~~ S \ REÇU (POn prepared ! p ! ca S~ t-) c for 5 ,qq5 I d ~~✓ Pacific Coast Mines Inc. B(RFA/ `y ~ y~ L 5301 B Capital Boulevard MONTpUG~ lpNA 5~ Raleigh, NC 27604 USA AL

and

Bedford Resource Management Inc. 40 King St. West, Suite 1107 Toronto, Ontario M5H 3Y2 CANADA

MRN - S.I.S.E.M. 1996/04 GM 53585

Prepared by:

J. Bruce Robbins, M.Sc.A., P.Geol. Exploration JBR Enrg. 704 Bonair Beloeil, Quebec J3G 2B5 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Table of Contents INTRODUCTION 1

KIPAWA NEPHELINE SYENITE

Summary 4 Location, Access and Status 4 Land Use Limitations 4 Previous Work 4 Geology 6 Samples 6 Mineralogy and Chemistry 7 Reserves 7 Conclusions 7 Recommendations 7 References 8

STE.-VERONIQUE NEPHELINE SYENITE

Summary 9 Location, Access and Status 9 Land Use Limitations 9 Previous Work 9 Geology 11 Samples 11 Mineralogy and Chemistry 11 Reserves 12 Conclusions 12 Recommendations 12 References 12

GRACEFIELD NEPHELINE SYENITE

Summary 14 Location, Access and Status 14 Land Use Limitations 14 Previous Work 14 Geology 14 Samples 16 Mineralogy and Chemistry 16 Reserves 17 Conclusions 17 Recommendations 17 References 17

CAWOOD NEPHELINE SYENITE

Cawood Assessment Volume 1 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Summary 18 Location, Access and Status 18 Land Use Limitations 18 Previous Work 18 Geology 19 Samples 19 Mineralogy and Chemistry 21 Reserves 21 Conclusions 21 Recommendations 22 References 22

CERTIFICATE OF QUALIFICATION 23

APPENDIX 1 USBRC REPORT ON KIPAWA APPENDIX 2 USBRC and IMD REPORTS ON CAWOOD

List of Tables and Figures

Figure 1: Location of Nepheline Syenites Investigated 1993 2 Figure 2: Cawood Property Map 3 Figure 3: Kipawa Alkaline Complex 5 Figure 4: Ste.-Veronique Alkaline Complex 10 Figure 5: Gracefield Alkaline Complex 15 Figure 6: Cawood Alkaline Complex 20

Table 1: Cawood Property Claim Information 1 Table 2: Kipawa Samples 6 Table 3: Kipawa Magnetic Separation Results 7 Table 4: Kipawa Chemistry of Non-Magnetic Fraction 7 Table 5: Ste.-Veronique Chemistry 11 Table 6: Ste.-Veronique CIPW Normative Mineralogy 12 Table 7: Gracefield Chemistry and CIPW Normative Mineralogy 16 Table 8: Cawood Modal Mineralogy 21

Cawood Assessment Volume 1 ii EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Introduction

At least a dozen known and potential occurrences of nepheline-bearing rocks in Quebec were researched and evaluated during the investigation of possible economic nepheline syenite deposits in 1993. Four of these areas were verified in the field: Kipawa, Ste.- Veronique, Gracefield, and Cawood (Figure 1). All of the examined occurrences are within the Quebec segment of the Grenville Province.

The evaluation and field reconnaissance work was undertaken by Exploration JBR Enrg. (EXJBR) and Bedford Resource Management Inc. (BRM) for Pacific Coast Mines Inc. (PCMI) between June and October, 1993. It involved the research of previous work conducted in the areas, as well as field prospecting and sampling of the nepheline syenites. Promising samples were submitted to one of two laboratories for processing and analysis:

Jack Kriens Pat Colville I.M.D. Laboratories (IMD) U.S.B.R.C. 721 Bayview Drive, Unit 6 26877 Tourney Road Barrie, Ontario L4M 6E7 Valencia, California 91355 CANADA U.S.A.

The samples were cleaned of oxidized and weathered surfaces, crushed to -30 mesh, passed through a magnetic separator, and analyzed for product chemistry.

The results of this prospecting and sampling indicated that the Cawood nepheline syenite was the only occurrence which had economic potential.

This reconnaissance program culminated, in October 1993, with the staking of the property in Cawood township, Quebec (Figure 2). The claims are registered in the name of Peter Akerley of BRM, who is acting as an agent for PCMI. The property is comprised of 10 contiguous claims covering an area of 400 hectares:

Table 1

Claim Nut1tiber Township Range Lot Area (ha) 5112689 Cawood IV 15 40 5112690 Cawood IV 16 40 5112691 Cawood IV 17 40 5112692 Cawood IV 18 40 5112693 Cawood IV 19 40 5112694 Cawood IV 20 40 5112695 Cawood IV 21 40 5112696 Cawood V 17 40 5112697 Cawood V 18 40 5112698 Cawood V 19 40

The following report summarizes the information collected on the four prospect areas evaluated in Quebec.

Cawood Assessment Volume 1 1

Location of Nepheline Syenites Investigated 1993

adapted from NGS March 91 Map 200 km Lambert Conic Conformal Projection 1 Kipawa 2 Ste. Veronique 3 Gracefield 4 Cawood

Figure 1 Cawood Property Map

~ ô f, . ~ m ~ ALLEYN ~ r i I .-45'54'N + J45'54'N~ ~~ . CAWOOD ~` ô I

~ ad l â i u' Range VI ~t~`` I ti lt-° Lac Firstly I 1

CO CD rn 1 CD CO CO N N N ~~ Lac Pack .,-- "r"' ~Range V 1161., •e"" N... ~ ~ LO ID ~ 1

19 18 1,~

V' M N %— C. Q) 1 O) O) O) O) O) O) CO • CD CO CO CO CO CD ~ N N N N N ~ ..—~ .,— .I. T.`• Range IV 4~ 1 ~ ~ ~ ~— ~-- ii,t[) t1) tn t,() in I.[) •

21 20 19 18 17 16 15 Lac Double / ÿ 1 ~ ',...T ° Ii~ ~ •Z ca a° • Lac Foster Range III , ~

Range II 45°50'N +45'50'N

-V CAWOOD t -___„„1._ I ^ ~ .,, 1_„ Lac George \ J.B.Robbins 95 • adaptation of M.E.R.Q. Cawood Township Claim Map

NTS 31F/16-003

1:50,000

0 500 1000 2000 3000 m Figure 2 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Kipawa Nepheline Syenite

Summary

Favorable analytical results from a nepheline syenite sample collected from the Kipawa complex, in late 1992, necessitated the examination of this occurrence. A field evaluation was completed in June of 1993. It was concluded that due to the limited extent of the nepheline syenite zone and to the isolated location of the prospect relative to transportation routes and destination markets that no additional work was warranted.

Location. Access and Status

Township McLachlin NTS 31 /L UTM Zone 17 N 5191755 E 684110 HAE 260m

Access to the area is gained by gravel logging roads departing from a store located on the southeast side of the road to Kipawa, 9 km northeast of Temiscaming, Quebec. The main gravel road leads east for 38 km to a secondary road on the left. This secondary road passes close to McKillop Lake, approximately 8 km north of the intersection. The main outcrop is located on the western shore of McKillop Lake.

The railway and highway are both approximately 48 km from the prospect. The nearest deep water port is 350 km west at Kilarney on Georgian Bay. Infrastructure may be found at Temiscaming, a major pulp and paper town.

The nepheline syenite occurs on Crown land, which is presently open for staking.

Land Use Limitations

The nepheline bearing zone extends under a lake. Some hunting and fishing clubs have property in the region. Lac Kipawa is a popular fishing locale.

Previous Work

No exploration work has been reported on the nepheline syenite at McKillop Lake. Lyall conducted the preliminary mapping of the region in 1959. Tremblay-Clark and Kish examined the uranium potential of the region in 1978. Both of these reports briefly mention the occurrence of nepheline at McKillop Lake. Tremblay-Clark and Kish were responsible for filing this occurrence with the Quebec government. UNOCAL recently (1990-91) effected an exploration program for REE's on the southern portion of the complex (GM 50480, 50481). They flew a scintillometric survey, excavated trenches and drilled several holes on their property. Allen (1992) has written a paper discussing the results of this work. UNOCAL still held these claims in 1993.

Cawood Assessment Volume 1 4

Kipawa Alkaline Complex Quebec

adapted from Allan, 1992 NTS 31L 0 5 10 km

Kipawa Alkaline Complex Antiform Axis

Paragneiss (Quartzite, Muscovite Gneiss) Synform Axis

Granite Gneiss 0 Sampling Location Figure 3 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Geology

The nepheline syenite is part of an irregularly shaped alkaline intrusive complex (Figure 3). The complex has been affected by at least two phases of deformation: northeast trending folds (F1) have been refolded by later northwest trending folds (F2) represented by the Lac Sairs antiform. The deformation is most intense in the noses of these folds, particularly in the northwestern and southern parts of the complex. The nepheline syenite is observed in narrow bands within the gneisses along the western segment of the Lac Sairs antiform.

The Kipawa complex rocks occur as heterogeneous banded gneisses with three principal facies:

1. syenitic to monzonitic leucocratic rusty gneiss (which contains minor nepheline) 2. banded mafic gneiss with leucocratic and melanocratic layers 3. weakly gneissic peralkaline granite with quartz (typically has large zircons)

The relationship between these facies and the nepheline syenite is unclear due to lack of outcrop, although, the nepheline syenite is found within the syenitic rusty gneiss. The nepheline bands are observed in three locations over a 4 km2 area. These bands display less deformation than the adjacent gneiss (homogenous deformation). The main nepheline outcrop is located at the southern tip of a narrow peninsula, jutting just southeast into McKillop Lake. The peninsula is 150 m long and 5-7 m wide. Only the easternmost 7 meters is nepheline syenite. Within this zone, narrow bands of nepheline syenite (<1 m wide) alternate with gneissic monzonite trending 308° and dipping near vertical. Although the nepheline bands exhibit a promising mineralogy, the entire unit's bulk mineralogy contains more albite and less nepheline (10%) than what is sought for glass grade specifications. The nepheline grains range from 5 mm to 4 cm.

Samples

A sample of the nepheline syenite was sent to PCMI by the author in December 1992. This sample is equivalent to N2 in Table 2. The following samples were collected in June, 1993, on the point on McKillop Lake:

Table 2 ...... Sampte Description MA-93 albite gneiss MN-93 nepheline gneiss NL selected nepheline grains N2 representative nepheline syenite N3 nepheline syenite (<1% mafics) N4 nepheline syenite (mixed mafics) N5 nepheline syenite (<1% mafics; lake water stain)

Cawood Assessment Volume 1 6 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Mineralogy and Chemistry

The sample taken by the author in December, 1992 was examined by USBRC in January, 1993. The following is quoted from USBRC Report TSE 9211-15 (Appendix 1):

The sample was crushed to provide a -30 mesh (600 micron) magnetic separator feed. Two size fractions were run, producing the following results:

Table 3 Fraction of Sample (%) -30 to +60 Mesh -60 to +140 Mesh Magnetic 0.2 1.7 Paramagnetic 6.2 10.8 Non-Magnetic 93.6 87.5

The chemistry of the non-magnetic fraction is as follows:

Table 4

-30 to +60 Mesh -60 to +140 Mesh Si02 53.6 51.1 A1203 26.3 24.6

Fe203 0.2 0.2 MgO <0.1 <0.1 CaO 0.2 0.3 Na20 11.7 12.0 K20 5.4 5.0 Ti02 <0.01 0.01 LOI 0.9 1.1

GE Brightness of 77 at -100 mesh (150 micron) grind.

Reserves

No geologic reserves have been calculated for the Kipawa nepheline syenite prospect.

Conclusions

The nepheline syenite present in the Kipawa complex is of high quality relative to the specifications required by the glass industry. However, the nepheline syenite appears to be restricted to a few, small meter-wide bands which extend under McKillop Lake. In addition, the transportation distance and presence of zircon, REE's and uranium minerals in the complex would make the potential exploitation of this prospect uneconomic.

Recommendations

Cawood Assessment Volume 1 7 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

None.

References

Allan, J.F., 1992. Rare Earths and Mineralization of the Kipawa Yttrium-Zirconium Prospect, Quebec. Explor. Mining Geol., V.1, No. 3, p. 283-295.

Lyall, H.B., 1959. Preliminary Report on McLachlin-Booth Area, Temiscamingue Electoral District. RP-391, M.E.R.Q., Quebec, 13 pp., 1 map.

Tremblay-Clark, P. and Kish, L., 1978. Le District Radioactif de Kipawa. DPV-579, M.E.R.Q., Quebec, 28 pp., 1 map.

UNOCAL, 1990. Report on Prospecting, Geological Mapping, Sampling and a Radiometric (Scintillometric) Survey, Kipawa Project. GM 50481, M.E.R.Q., Quebec, 55 pp., 5 maps.

UNOCAL, 1991. Report on Exploration Works: Geological Mapping, Prospecting, Trenching, Bulk annd Channel Sampling, Diamond Drilling Programme with 26 Logs of Holes 90-KBZ-01 to 90-KBZ-05 and 90-KU-13 to 90-KU-34 and Radiometric Logging, Kipawa Project. GM 50480, M.E.R.Q., Quebec, 442 pp., 57 maps.

Cawood Assessment Volume 1 8 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Ste.-Veronique Nepheline Syenite

Summary

The Sainte-Veronique alkaline complex is one of five potassic, alkaline plutons located in the Mont-Laurier area of southwestern Quebec. Nepheline syenite is a minor, late component of this complex. This nepheline syenite was evaluated in the field during August, 1993. No further work is warranted due to the low grade of nepheline encountered and to the proximity of expensive homes and cottages.

Location. Access and Status

Sainte-Veronique is located 40 km east of Mont-Laurier, Quebec and 260 km northwest of Montreal.

Township Turgeon Range V Lots 43 and 45 NTS 31 J/10, J/11 UTM Zone 17 N 5158500 E 498000

The Ste.-Veronique alkaline complex is accessed from the town of Ste.-Veronique by driving north to Gingras Lake (5 km). The nepheline syenite outcrops are reported to be 500 m west of this lake. During our visit to the area, access was denied by the surface landowner.

The nephelinitic parts of the complex, according to the M.E.R.Q., lie on Crown land which is open, without restrictions, for staking. However, parts of this land have surface owners which have long-established and expensive houses on the land. This might mean that the land is included as municipal land (Municipality of Ste.-Veronique), which would restrict any exploration and mining activities in the area. The municipal status has not been verified, and restrictions are not apparent from the M.E.R.Q. maps.

Land Use Limitations

A recreation and cottage area exists on the northeastern and western inferred nepheline mineralization. Claims may be staked and exploration can be conducted with minimal restrictions, but surface improvements are significant enough to hamper any wish to mine in the area.

Previous Work

No prior exploration work has been reported on this complex. Regional mapping was conducted by Aubert de La Rue in 1948. Rive mapped the area of the pluton for the Quebec government in 1976. Corriveau (1989) used Rive's maps and samples and wrote a thesis on the complex without conducting any further field studies.

Cawood Assessment Volume 1 9

Ste. Veronique Alkaline Complex Quebec

N \ I / \ \ S

A -- — / 0 1 km / F —1- ---

J.B.Robbins 95 TURGEON TOWNSHIP adapted from Corriveau 1989 NTS 31J/10,11 Fenite, Biotite Gneiss F,B,M,P Syenite Marble, Pelite

Hybrid Zone Shonkinite

Nepheline Syenite Pyroxen ite Figure 4 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Geology

A nepheline syenite unit is shown on the Rive (1976) geologic map, but is believed to be inferred (Figure 4). Extensive glacial deposits cover this area, and outcrop must be sporadic. Aubert de la Rue (1948) did not see nepheline. We did identify very minor nepheline during our visit, but not in amounts that would justify calling the rock a nepheline syenite. Corriveau (1989) did not visit the area, but used Rive's samples to do her thesis. The geology of the complex is described by Corriveau (1989):

In contrast to all other potassic bodies in the Mont-Laurier area, the Sainte-Veronique pluton consists of a central, moderately inward dipping layered body of pyroxenite and shonkinite, rimmed by syenite with an outer margin of miaskitic nepheline syenite (Rive, 1976). The syenite rim is homogenous, gray, with well-oriented plates of alkali feldspar and 20 modal percent interstitial biotite, clinopyroxene rimmed by amphibole, apatite, and titanite. The outer margin of nepheline syenite is in contact with quartzo-feldspatic, pelitic or biotite gneisses and amphibolite with a steep gneissic structure concordant with the plutonic contact. Fenitization and recrystallization along the contact has been documented up to 100 meters into the country rock.

The complex has not been deformed. This distinguishes it in age from the Bancroft and Blue Mountain events. Also, the undersaturated rocks have probably been generated by the assimilation of marble by the shonkinite-pyroxenite magma. Thus the nepheline is very minor and the unit has a limited extent and quality.

Samples

No samples were collected on our visit.

Mineralogy and Chemistry

The results of XRF and neutron activation analysis of two plutonic nepheline syenite samples (Corriveau, 1989) are as follows:

Table 5

S693 51265 Si02 55.33 56.20 T102 0.64 0.69

A1203 19.60 18.03

Fe203 4.80 4.52 MnO 0.10 0.10 MgO 1.00 1.45 CaO 2.32 1.95 Na20 3.40 3.60 K20 8.47 9.43 P205 0.48 0.48

Cawood Assessment Volume 1 11 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

LOI 1.83 1.55 TOTAL 97.62 98.00 K20/Na20 2.50 2.60 Mg# 29.20 38.80 K/Na 1.64 1.72 Agapaitic Index 0.77 0.89

The mineralogy of the same two nepheline syenite samples, as calculated from the CIPW norm, is as follows:

Table 6

S693 S126a >''. Orthoclase 50.06 55.74 Albite 23.58 18.14 Anorthite 8.37 5.19 Leucite 0.00 0.00 Nepheline 2.81 6.67 Diopside 0.00 1.13 Olivine 5.63 5.67 Magnetite 1.18 1.11 Ilmenite 1.22 1.31 Apatite 1.13 1.13 Corundum 1.42 0.00 TOTAL 95.41 96.09

The Al2O3, Na20 and K20 results in Table 5 show that the Ste. Veronique "nepheline syenites" are atypical. They are not rich enough in A1203 and Na20 to be chemically classified along with other miaskitic nepheline syenites. In fact, S693 and S1265 plot very near to the subalkaline field on Currie's (1976) Na20+K20 vs. Si02 and Agpaiitic Index vs. Si02 diagrams, far away from all other miaskitic nepheline syenites. This further demonstrates that the undersaturated rocks were probably formed from the assimilation of marble by the shonkinite-pyroxenite magma.

Reserves

None.

Conclusions and Recommendations

No further work is warranted due to the low grade of nepheline reported.

References

Aubert de La Rue, E., 1948. Nominingue and Sicotte Map Areas: Labelle and Gatineau Counties. RG-23, M.E.R.Q., Quebec, 62 pp., 1 map.

Cawood Assessment Volume 1 12 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Corriveau, L., 1989. Plutonism in the Southwestern Grenville Province. unpublished Ph.D. thesis, McGill University, Montreal, Quebec.

Currie, K.L., 1976. The Alkaline Rocks of Canada. Bulletin 239, G.S.C., Ottawa.

Rive, M., 1976. Region de Sainte-Veronique Area. RG-182, M.E.R.Q., Quebec.

Cawood Assessment Volume 1 13 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Gracefield Nepheline Syenite

Summary

The Gracefield nepheline syenite is one of five potassic, alkaline plutons located in the Mont-Laurier area of southwestern Quebec. Nepheline syenite is a minor, late component of each of the intrusions. The Gracefield complex was field checked during August, 1993. It was concluded, based on this field examination and additional research that, due to limited size and marginal chemistry, this prospect did not merit any additional work.

Location. Access and Status

Township Wright (Northfield; Cameron) NTS 31 J, K UTM Zone 17 N 5111500 E 427500

The Gracefield complex is located approximately 115 kilometers north of Ottawa adjacent to highway 105. It is approximately 8 kilometers north of and 1 km west of the town of Gracefield.

There is no ground staked on the nepheline zones, however, there is recent interest in the surrounding area for zinc exploration.

Land Use Limitations

None known. Some farms cover a part of the complex.

Previous Work

Aubert de La Rue did the regional mapping in the 1950's. Gauthier studied the zinc occurrences in the region in 1982. Durocher (1977) and Corriveau (1989) did research work on the Gracefield pluton for their respective theses. No prior exploration work has been conducted on the complex.

Geoloay

The Gracefield pluton (Figure 5) is composed of two bodies of syenite with minor miaskitic nepheline syenite (Durocher, 1977). A number of variable phases of hybrid syenite and rare carbonatite dikes surround the pluton. The core is comprised of a syenite characterized by biotite, brown hornblende, and interstitial calcite in one body and random books of biotite up to 10 cm across in the other.

Cawood Assessment Volume 1 14

Gracefield Alkaline Complex Quebec WRIGHT (NORTHFIELD, CAMERON) TOWNSHIP

J.B.Robbins 95 NTS 31J, K adapted from Corriveau, 1989

Nepheline Syenite

Biotite Syenite Biotite Hornblende Calcite Syenite

O, M, 0 Paragneiss, Marble, Orthogneiss Figure 5 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

The nepheline syenite is observed at five separate localities in the southern half of the complex and is believed, by Corriveau (1989), to represent two dikes. These dikes, which are between 200 and 500 meters long and 100 meters wide, have been interpreted to cross-cut the outer syenite pluton and country rocks but may themselves be truncated by the inner-pluton. The nepheline is found as small subhedral crystals making up approximately 10% of the rock. In addition to the mineralogy reported by Corriveau (Table 6), Durocher (1977) reports the presence of microperthite, biotite and minor sulfides filling the interstices. The nepheline has also been observed as small inclusions within large microperthite grains. Once again, we did identify very minor nepheline during our visit, but not in amounts that would justify calling the rock a nepheline syenite. The complex has not been deformed. This distinguishes it in age from the Bancroft and Blue Mountain events. Also, the undersaturated rocks have probably been generated by the assimilation of marble by the syenite magma. Thus the nepheline is very minor and the unit has a limited extent and quality.

Samples

No samples were warranted. No nepheline was identified in the field.

Mineralogy and Chemistry

Geochemical Analysis and CIPW Normative Mineralogy from Corriveau, 1989:

Table 7

Mineralogy g291a Chemistry 9231a ' Orthoclase 37.65 Si02 53.92 Albite 27.24 TiO2 1.56 Anorthite 8.89 A1203 17.72 Nepheline 6.33 Fe203 5.93 Diopside 3.06 MnO 0.09 Magnetite 7.29 MgO 2.64 Ilmenite 2.96 CaO 3.73 Apatite 2.12 Na2O 4.60 TOTAL 96.53 K20 6.37 P205 0.90 LOI 2.01

The Al2O3, Na2O and K20 results for sample g291a in Table 7 show that the Gracefield "nepheline syenites" are atypical. They are not rich enough in A1203 and Na2O to be chemically classified along with other miaskitic nepheline syenites. In fact, g291a plots very near to the subalkaline field on Currie's (1976) Na20+K2O vs. Si02 and Agpaiitic Index vs. SiO2 diagrams, far away from all other miaskitic nepheline syenites. Both the Gracefield and Ste. Veronique samples plot very near to one another in these diagrams. This further demonstrates that the undersaturated rocks were probably formed from the assimilation of marble by the syenite magma. Ste. Veronique and Gracefield are geochemically similar and thus related.

Cawood Assessment Volume 1 16 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Reserves

No geologic reserves.

Conclusions

The nepheline syenite of the Gracefield complex does not have suitable chemical attributes to be considered, based on the information examined.

Recommendations

No further work is warranted.

References

Aubert de La Rue, E., 1953. Kensington Area: Gatineau and Labelle Counties. RG- 50, M.E.R.Q., Quebec, 35 pp., 2 maps.

Aubert de La Rue, E., 1956. Trente-et-Un-Milles Lake Area: Electoral Districts of Papineau, Labelle and Gatineau. RG-67, M.E.R.Q., Quebec, 27 pp., 1 map.

Corriveau, L., 1989. Plutonism in the Southwestern Grenville Province. unpublished Ph.D. thesis, McGill University, Montreal, Quebec.

Currie, K.L., 1976. The Alkaline Rocks of Canada. Bulletin 239, G.S.C., Ottawa.

Durocher, M.E., 1977. Petrology of the Gracefield Pluton. unpublished M.Sc. thesis, University of Ottawa, Ottawa, Ontario, 143 pp.

Gauthier, M., 1983. Metallogenie du Zinc dans la Region de Maniwaki-Gracefield, Quebec. MM 82-03, M.E.R.Q., Quebec, 107 pp., 4 maps.

Cawood Assessment Volume 1 17 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Cawood Nepheline Syenite

Summary

The Cawood nepheline syenite came to the attention of PCMI during research for the 1990 Grenville project. After reviewing the published material on the complex, it was determined that further examination and sampling was necessary.

Prospecting and sampling of the Cawood complex was conducted on August 10, 1993. The complex is nepheline rich. Most of the units contain nepheline; modal nepheline contents vary from 5 to 35%, with a mafic content ranging from 5-25%. It was determined that the area be staked. Additional prospecting will be required to determine the extent and composition of the nepheline syenite zones.

Location. Access and Status

Township Cawood Range IV, V Lots 15 to 20 NTS 31 F/16-003 UTM Zone 18 N 5078750 E 406350

The prospect is situated in Cawood township, approximately 9 km south of the town of Danford Lake, Quebec. Danford Lake can be reached from Ottawa-Hull by following highway 105 North for 65 km to Kazabazua and then turning onto highway 301 West. The town is 10 km west of the turnoff.

Ottawa is the hub of rail transport in this region. CP Rail operated a rail-line between Hull and Maniwaki in the past. CP representatives revealed the line was recently sold to a private tourist company operating a passenger train between Ottawa and Wakefield.

Ten lots were staked by EXJBR and BRM for PCMI in 1993. Nine of the ten lots have surface owners. They do not hold any mineral rights.

Land Use Limitations

None known. The land has no improvements.

Previous Work

No exploration work has been filed with the government for Cawood. Lots 19 and 20 in range IV were staked prior to 1985. An attempt to identify the former owner of these claims, at the M.E.R.Q., was futile. No work was filed and these claims were subsequently dropped.

Cawood Assessment Volume 1 18 EXPLORATION JBR ENRG. 704 Bonair, Beloeii, Quebec J3G 2B5 CANADA (514) 467-0767

Ralph Kretz conducted the regional mapping of the area (off and on) between 1955 and 1977. His report presents a very detailed analysis of the region. The only published description of the complex is in Kretz's report.

Geology

The Cawood complex is a north-northwest trending, semi-circular body of gneissic nepheline syenite, 1.2 km long and 400 m wide (Figure 6). According to Kretz (1977), it is in contact with marbles to the west and gray plagioclase gneiss to the south, east, and northeast. The northern and eastern part of the area is covered by glacial overburden. No contacts were observed in the field.

Prospecting indicated an increase . in nepheline content from the southern contact towards the interior of the complex. The southeasterly trending ridge consists of an homogenous gray to white nepheline gneiss with 10% nepheline on average. The top of the ridge contains gneisses with a higher nepheline content (15-20%). The rocks with the highest nepheline content, which exceeds 30% in some places, occur on the north and northwest slope of the mountain. Scattered outcrop and boulders on the western side of the complex, an area of approximately 300 by 400 meters, consistently contain more than 20% nepheline. The samples (CAW-01(I,U,R)-93) submitted for analysis are from this general area. The extent of this nepheline zone was undetermined due to the overburden cover and sparse outcrop in the sampling area.

The nepheline syenite is a white to buff colored rock on the weathered surface. The weathering does not penetrate more than 5 mm and does not include iron staining. The characteristic pitted surface caused by differential weathering of nepheline is present. The fresh surface is white to gray with black hornblende and biotite. The nepheline grains are 3-4 mm on average and pearly gray, whereas the feldspars are 1-3 mm and milky white. Some of the feldspars are iridescent. The mafic minerals are 2-4 mm in size and consist primarily of hornblende, with lesser biotite, magnetite and possible pyroxene (aegirine).

Samples

MR-61 was collected during the 1990 Grenville project and is not believed to represent the nephelinitic part of the complex. Three samples, CAW-01(I,U,R)-93, were collected from the same area and forwarded to USBRC, IMD and the PCMI Raleigh office on August 16, 1993.

Cawood Assessment Volume 1 19 adapted from Kretz 1977 Pleistocene to Recent

n P Unconsolidated Material 0 i 2 km Grenvillian and Pre-Grenvillian I Granitic, Syenitic, Dioritic Rocks and Anorthosite (gneissic)

G heteroaernw granitic roda r• Sampling Location gray X heterogenous pink granitic and syenitic rocks • CW-01-93 Figure 6 P homogenous gray or pink aronde, granodiorde quartz diorite, syenile, anorthosde C,F CAWOOD ALKALINE COMPLEX

K Pink K-Feldspar Gneiss Cawood Alkaline Complex I I G Gray Plagioclase Gneiss Quebec ▪ M Marble, Skam EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Mineraloay and Chemistry

IMD (CAW-011-93) and USBRC (CAW-01U-93) conducted a mineralogical and chemical analysis on the samples submitted (Appendix 2). The mineralogy of the Cawood nepheline syenite is as follows:

Table 8

Mineral :'< 1104-74 (Kretz) j 1145-74 (Kretz) CAW-Of (1,U)-93 Nepheline 20 10 20-25 Plagioclase 40 40 40 K-Feldspar 20 40 20 Hornblende 10 10 10-15 Biotite 2 - 2 Pyroxene - - 2 Magnetite 2 2 <1 Ilmenite - - - Pyrite 0.1 0.1 - Calcite 0.1 0.2 - Apatite 0.1 - - Sphene 2 - - Garnet - - - Zircon - - - Corundum - - -

Reserves

No reserves have been calculated. The complex occupies a 400 x 1200 meter area which equates to approximately 60-65 million tonnes of rock to a depth of 50 meters.

Conclusions

The Cawood complex contains a significant amount of nepheline syenite with a nepheline content exceeding 20%. The visual estimations conducted suggest the A1203 content, alkali content and Na to K ratio could fit the parameters of nepheline syenite produced for use in glass and ceramics. No refractory impurities, such as zircon or corundum, were observed in the samples. The mafic content of the Cawood nepheline syenite is greater than that in the Unimin ore, but appears to be of a grain size that should liberate within the mesh product parameters (-30 to +200) required by the glass and ceramic industry. The location of the prospect in an undeveloped region of Quebec and proximal to a major highway is beneficial in several ways:

1) a low cost acquisition through staking. 2) an established local infrastructure. 3) a transportation advantage versus Unimin for markets in Eastern Canada and the Northeastern U.S. 4) the Quebec government is more receptive to mining than the other provinces.

Cawood Assessment Volume 1 21 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Recommendations

A field program involving mapping and sampling should be conducted to determine the resource potential of the Cawood area. This program should identify the variability in lithology and mineralogy as well as develop a crude reserve estimate.

References

Kretz, R., 1977. Fort-Coulonge-Otter Lake-Kazabazua Area: Geological Report. DP- 514, M.E.R.Q., Quebec, 315 pp., 4 maps.

Kretz, R., 1957. Preliminary Report on Thorne-Leslie-Clapham Area: Pontiac Electoral District. RP-346, M.E.R.Q., Quebec, 6 pp., 1 map.

Cawood Assessment Volume 1 22 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Certificate of Qualification

I, J. Bruce Robbins, do hereby certify:

That I am and have resided at 704 Bonair, Beloeil, Quebec, Canada since 1976.

That I am a graduate of McGill University and hold a Master of Science Applied degree in Mineral Exploration (1992) and a Bachelor of Science (Honours) degree in Geological Sciences (1989) from this university.

That have been practicing my profession as a geologist since 1989, and as a registered professional geologist since 1993.

That I am a registered professional geologist, number 825, in Quebec, Canada.

That I am a member of the Society of Economic Geologists, the Canadian Institute of Mining and Metallurgy, the Prospectors and Developers Association of Canada, the Association des Prospecteurs du Quebec, and the Mineralogical Association of Canada.

That the accompanying report is based on the writer's personal and technical experience in mineral exploration as well as the study of the available data pertaining to the property, combined with five months of work on this project.

That I do not hold nor do I expect to receive any interest, either directly or indirectly, in the Cawood property of Pacific Coast Mines Inc. and Bedford Resource Management Inc. ••~~ dated at Beloeil this ‘06>,. 31 day of March, 1995 ~~~ô~ ° uE ~ ~~~ = ARGGQ ~~'11 __BRUCERUCE ROBBINS J. Bruce Robbins, M.Sc.A., G ~ No 825 ~ .~ +,Q`~~FC ~ C PNP ...~.••~

Cawood Assessment Volume 1 23 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

APPENDIX 1 USBRC REPORT ON KIPAWA

Cawood Assessment Volume 1 paw

Technical Service Report No.

DISTRIBUTION: TSE 9211-15 D. E. Buck R. J. Deal R. B. Kistler QUEBEC NEPHELINE SYENITE R. C. Munro G. L. Toll B. Watson January 12, 1993 T. I. Anaheim T. I. Chessington

The contents of this report are "Company Confidential" and should not be disclosed to or discussed with persons outside of U.S. Borax without approval of U.S. Borax Research Corporation.

Technical Service Requested by: D. Crouse

Author:

P.Â. Colvil e Industrial Minerals Specialist Technical Service Report No. TSE 9211-15

TITLE: Quebec Nepheline Syenite SUBMITTED BY: P.A. Colville

BACKGROUND

The sample is from a syenite intrusive that has undergone gneissic metamorphism. The location is in the Grenville province, western Quebec. The sample requires preliminary analysis as a potential Nepheline Syenite product. RESULTS The sample was crushed to provide a-30 mesh (600 micron) magnetic separator feed. Two fractions were run: Screen Size -30 + 60 -60 + 140 (-600 micron + 250 micron) (-250 micron + 106 micron)

-30 + 60 - 60 + 140 % Magnetic .2 1.7 % Paramagnetic 6.2 10.8 % Non-Magnetic 93.6 87.5 Chemistry non-magnetics:

SiO2 53.6 51.1

Al2O3 26.3 24.6

Fe2O3 0.2 0.2 MgO <.1 <.1 CaO 0.2 0.3 Na2O 11.7 12.0 K2O 5.4 5.0

TiO2 <.01 .01 LOI 0.9 1.1

1 Technical Service Report No. TSE 9211-15

DISCUSSION

This specimen has a high proportion of feldspar and nepheline with a low mafic content of hornblend-pyroxene, biotite and trace pyrite and magnetite. Separation is readily accomplished by magnetic separator giving a non-mag product of excellent chemistry. Despite staining described as due to moss and lakewater; the non-mag product has GE Brightness of 77 at a -100 mesh (150 micron) grind.

The results on this specimen are quite favorable, and justify further work to define a deposit.

2 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

APPENDIX 2 USBRC and IMD REPORTS ON CAWOOD

Cawood Assessment Volume 1 Technical Service Report No. TSR-9306-12 .

TITLE: Quebec Nepherine Svenite

SUBMITTED BY: Patricia A. Colville

BACKGROUND:

A sample of Nepheline Syenita was collected from a prospect located several kilometers north of Cawood, Quebec, 75 Km northwest of Ottawa, Ontario. Preliminary analyses were requested to determine the rock can be upgraded to a Nepheline Syenite product by magnetic separation.

PREPARATION:

The sample was roll crushed, then screened, giving a distribution as follows:

+30 mesh (500Ym) 47.5% -30 + 60 mesh (500 x 250prn) 28.5% -60 + 140 mesh (250 x 106pm) 14% -140 mesh (106pm) 10%

The 30 x 60 and 60 x 140 fractions were judged to be well liberated and suitable for separation usina the OSNA rare earth magnetic separator.

RESULTS:

Magnetic separation, chemistry and mineralogy given in the attached table.

DISCUSSION:

This is a light colored crystalline nepheline syenite. The mafic content is low and is restricted to single crystals and accumulations near grain boundaries rather than dispersed as inclusions in the feldspar or nepheline. Separation gives an 80% recovery of clean nepheline syenite product with a chemistry very close to commercial product specifications. The worst problem with this sample is ,...2% calcite and this may be present because the sample was collected from a surface.

RECOMMENDATION:

This is an excellent prospect and worth pursuing.

A-2 Quebec Nepheline Syenite (Cawoodl

30 x 50 mesh 60 x 140 mesh 500 x 250 pm 250 x 106 pm

% Meg 21.1 19.4 % Non Mag 78.9 80.6

Chemistry of Non Mag Si02 57.1 56.7 A1203 24.1 23.3 Fe203 .12 . .08 Mg0 <.02 <02 CaO 1.37 1.29 Na20 8.44 8.46 • K20 7.1 6.9 Mn0 .02 .01 Ti02 <.05 <.05 LOI 1.08 1.05

Estimated Mineral Content of Non Magnetic Fractions K-feldspar - micrcciine 40% Na feldspar - albite 23% Nepheline 35% Calcite 2%

Estimated Mineral Content of Magnetic Fractions Feldspar & Nepheline 55% Mica - Biotite 20% Hornblende 20% Calcite 2% Magnetite -.3% No Sulfides!. II1 \ I.M.D. Laboratories Ltd. Industrial Minerals Development 721 Bayview Drive Unit # 6 Barrie, Ontario, CANADA L4M 6E7 Tel: (705) 722-3008 Fax: (705) 722-3490

PROCESSING OF A NEPHELINE SYENITE SAMPLE

I.M.D. PROJECT # 93283 - N.S. Q c; E u t G

Prepared for:

Mr. D. Crouse, Geologist, U.S. Borax Corp. Raleigh, N.C.

Prepared by:

J. Kriens, I.M.D. LABORATORIES LTD.

September, 1993

INTRODUCTION

The sample of nepheline syenite submitted was processed by the standard processing technique employed for the evaluation of nepheline syenite rocks as practised by commercial producers of nepheline syenite. The sample was obtained from a surface showing.

The sample processed by the technique described in this report resulted in a product with a chemical composition similar or better than commercially marketed nepheline syenite.

Of specific interest is that the product as produced has a higher alumina (Al2O3) and alkali (Na2O + K2O) content than Canadian and Norwegian nepheline syenite.

The residual iron (Fe203) content at 0.085% Fe2O3 is slightly below the 0.09% specified limit for "A" grade (low iron) nepheline syenite. The sample being from a surface outcrop may have been weathered which could affect the Fe2O3 content.

The non-magnetic i.e. final product, was tested for the presence of heavy, refractory minerals and found to contain less than 0.01% by weight.

PROCESS DESCRIPTION

CRUSHING, GRINDING, SCREENING

The crude sample was crushed first in a jaw crusher to - 1/2" followed by staged closed circuit rolls crushing, operating the crusher in closed circuit with a vibratory screen and a 30 mesh screen opening. The sample was crushed until all of the material was passing 30 mesh.

This was followed by removal of unwanted fines, i.e. material finer than 150 mesh.

Samples were taken of the crude -30 mesh material, the -30 x 150 mesh and the -150 mesh material. Each of these were analyzed for their chemical composition.

The following product balance was obtained in the crushing/grinding/screening part of the process.

-30 + 150 mesh 87.11% - 150 mesh 12.89%

I.M.D. Laboratories Ltd. The chemical composition of the unprocessed -30 mesh, 30 x 150 mesh and -150 mesh was as follows:

ELEMENT - 30 MESH - 30 + 150 MESH - 150 MESH

SiO2 54.20 54.00 54.50 Al2O3 23.10 23.00 22.80

Ca0 1.77 1.87 2.25

MgO 0.09 0.10 0.10

Na2O 8.76 8.76 8.41

K2O 6.90 6.83 6.81

Fe2O3 3.84 4.04 3.24

MnO 0.07 0.07 0.07

TiO2 0.22 0.22 0.22

L.O.I. 0.97 1.03 1.42

MAGNETIC SEPARATION

Magnetic separation of the -30 x 150 mesh material was conducted using an Eriez induced roll magnetic separator. The -150 mesh material could not be effectively processed by dry magnetic separation and was therefore processed by wet, high intensity separation using a Boxmag-Rapid magnetic separator.

Initial tests concentrated on at what level of magnetic intensity the bulk of the magnetic and/or paramagnetic minerals could be removed.

It was found that most of the magnetics could be removed at relatively low intensity. (0.2 amp. appr. 2400 gauss). 8.29 % of material reported to be magnetic fraction. This was followed by a second separation at 0.8 amp appr. 5000 gauss, which recovered 7.65% of paramagnetic material. The resulting non-magnetic fraction was then given two high intensity passing at 35 amp. which is roughly equivalent to 12,500 gauss. In the first high intensity pass 3.9% of the material reported as the paramagnetic fraction and 1.90 % in the second high intensity pass. Samples of the non-magnetics were taken following medium, 1st. and 2nd. high intensity magnetic separation.

I.M.D. Laboratories Ltd. MAGNETIC SEPARATION PRODUCT BALANCE BASED ON -30 x 150 MESH FEED TO SEPARATOR *

% Magnetics % Non-Magnetics

Low Intensity Separation 8.29 91.71

Medium Intensity Separation 7.65 84.06

First High Intensity 3.90 80.16

Second High Intensity 1.90 78.26

* The -30 x 150 mesh fraction was 87.11% of the original sample weight.

The overall recovery of -30 x 150 mesh i.e. final non-magnetic product based on original sample weight is:

78.26 x 87.11% _ 68.17% 100

The submitted sample had a higher content in mafic minerals than typical Canadian (Blue Mountain) nepheline syenite. However, this is only a first sample and not too much should be made from this. Typical recovery at Blue Mountain is in the range of 80%.

The samples as taken had the following chemical composition:

ELEMENT 0.8 AMP. 1ST. 3.5 AMP. 2nd. 3.5 AMP. NON-MAGNETICS NON-MAGNETICS NON-MAGNETICS

SiO2 56.50 56.60 56.80

A1203 24.10 24.30 24.30

Ca0 1.73 1.50 1.50

MgO 0.02 0.02 0.01

Na20 8.85 8.94 8.90

K20 7.18 7.20 7.24

Fe203 0.17 0.13 0.085

Mn0 < 0.01 < 0.01 < 0.01

TiO2 0.018 0.011 0.008

L.O.I. 1.24 1.05 1.06

I.M.D. Laboratories Ltd. These results clearly show this material to be high in nepheline content based on the high Al2O3 and combined Na2O - K2O values.

It also shows that it is possible to achieve a Fe2O3 content of less than 0.2 % by only low and medium intensity magnetic separation. This is advantageous if a higher iron "B" grade is required, which could be produced at a higher recovery rate.

The level of CaO in the product is not typical and was originally considered to be due to either anorthite or a calcium bearing alteration product of nephelite such as cancrinite. X-ray diffraction and microscopic examination confirmed the presence of calcite, which is not a common association in nepheline syenite. (See mineralogical report attached). This is not of concern as long as the level of CaO is relatively constant in the product.

CONCLUSIONS ON -30 x 150 MESH PRODUCT

Based on the results obtained on this first sample the deposit from which the sample was taken is of significant interest as it offers the potential for a good quality nepheline syenite product.

PROCESSING OF -150 MESH FINES

Initial attempts to process the minus 150 mesh fines by dry magnetic separation was not successful. To see if these fines could be upgraded to an acceptable quality wet magnetic separation was employed. Sequential separations were made at 2.0 - 8.0 amps. and twice at 25 amps.

The product balance from wet magnetic separation was as follows:

% by weight

2 amp. magnetics 3.32 % 8 amp. magnetics 3.83% 25 amp. magnetics 3.08% 25 amp. magnetics 2.37%a

Total Magnetics 12.6%

Final Non-Magnetics 87.4%

I.M.D. Laboratories Ltd. The final non-magnetic -150 mesh product had the following chemical composition.

ELEMENT 90

SiO2 56.10 Al2O3 24.00

Ca0 1.89

MgO 0.04

Na2O 8.94

K2O 7.18

Fe2O3 0.109

MnO <0.01

TiO2 0.039

L.O.I. 1.54

Results indicate that is possible to process the fines to a relatively low iron product and similar chemical composition as the -30 x 150 mesh product using wet, high intensity magnetic separation. The practicality or viability of doing this on a commercial basis is doubtful. The tests were only conducted to determine if it was possible to achieve acceptable product quality.

HEAVY MINERAL SEPARATION

Non-magnetic -30 x 150 mesh material was tested for the presence of refractory heavy minerals. 200 grains of the material was suspended and slowly agitated in tetra-bromo ethane with an S.G. of 2.86. Heavy minerals were allowed to settle out following cessation of agitation. The total heavy mineral content obtained was less than 0.01% by weight which is excellent, indicating the sample to be free of corundum or zircon which are deleterious.

OVERALL CONCLUSIONS

The deposit from which the sample was obtained should be further investigated.

I.M.D. Laboratories Ltd. CAWOOD ASSESSMENT REPORT VOLUME 2

March 1995

prepared for

Pacific Coast Mines Inc. 5301 B Capital Boulevard Raleigh, NC 27604 USA

and

Bedford Resource Management Inc. 40 King St. West, Suite 1107 Toronto, Ontario M5H 3Y2 CANADA

Prepared by:

J. Bruce Robbins, M.Sc.A., P.Geol. Exploration JBR Enrg. 704 Bonair Beloeil, Quebec J3G 2B5 CANADA EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Summary

Ten claims are being held by Bedford Resource Management Inc. (BRM) for Pacific Coast Mines Inc. (PCMI) on the Cawood prospect, covering a total area of 400 hectares. The claims have been registered with the M.E.R.Q. and registration allows PCMI to hold the mineral rights for two years from December 12, 1993.

The 1994 field program objective was to determine the geologic resource potential of this nepheline syenite occurrence. Exploration JBR Enrg. (EXJBR), through BRM researched PCMI's land holdings, cut grid, completed surface geological mapping, and sampled representative nepheline syenite areas.

A total of seventeen large volume samples were collected from representative locations across the complex in 1994. Five baseline samples from the southwestern portion of the complex yielded a product with an Fe203 content of less than 0.087% in the -30 x +200 mesh fraction, which is in the range of commercial product. Screening these products at -40 x +200 mesh resulted in 11 sample products with an Fe203 content of less than 0.084%.

Two of the processed samples were introduced to soda lime glass batches to produce a composition typical to container glass. The glass batches were subsequently analyzed for seeds and grains, which were found to be in the acceptable range for the industry. No significant variability was identified between either sample or standard materials.

Microscopy indicated that there are three interrelated causes of minor remnant iron in the final product:

1) liberated particles of weakly magnetic biotite, amphibole, and pyrite not removed by the magnetic separation process 2) non-liberated ferromagnesian fragments entrained with the feldspar and nepheline 3) ferromagnesian crystallites encased within the feldspar and nepheline

A more aggressive grinding method might liberate additional iron-bearing minerals, but would result in a grain size that is finer than the typical specifications for glass grade feed.

The samples that have produced a low-iron product are clustered in the southwestern portion of the complex containing common biotite nepheline syenite. This low-iron zone covers a surface area of 250 m by 500 m, although no consistency of ore has been proven over this section. Assuming a depth of 20 m, there are at least 6.5 million tonnes of possible ore. If the ore and product are proven to be homogeneous enough over this area, more than 20 years of reserves are possible. Detailed surface mapping and stripping, as well as large sample extraction and testing are initially recommended for this zone. An adequate sample size should be determined before selecting a drill core dimension for a twenty hole drill program to test the depth extent of the ore.

Cawood Assessment Volume 2 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Table of Contents

Summary 1 Introduction 2 Location and Access 2 Property Description 4 Topography 7 Drainage and Utilities 7 Previous Work 7 Regional Geology 9 Property Geology 10 Sample Analyses 12 Product Testing 14 Potential Reserves 15 Conclusions and Recommendations 15 Certificate of Qualification 17 Bibliography 18

List of Tables and Figures

Figure 1: Property Location Map 3 Figure 2: Property Map 5 Figure 3: Surface Owner Map 6 Figure 4: Regional Stratigraphy and Regional Geology Map 8 Figure 5: Property Geology Map (in Pocket) Figure 6: Sample Location Map 13

Table 1: Claim Descriptions 4 Table 2: Surface Owners 4 Table 3: Processing Results for 17 Samples 14

APPENDIX 1 Sample Descriptions APPENDIX 2 Lab Reports

Cawood Assessment Volume 2 ii EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Introduction

Pacific Coast Mines Inc. (PCMI) owns a 100% interest in a property in Cawood township, located approximately 7 km southwest of the town of Danford Lake, Quebec. The property covers a nephelinitic gneiss complex that is comparable to that found at Unimin's Nephton-Blue Mountain mine in Ontario. No work had been conducted on this complex prior to 1990.

Exploration JBR Enrg. (EXJBR), through Bedford Resource Management Inc. (BRM), effected an exploration program for PCMI from May to September, 1994. The following work was accomplished:

• the completion of twelve, north-south, 100 meter spaced, 1700 meter long flagged lines which were chained at 50 meter intervals (23.4 km of line in total).

• geological line mapping at 1:2000 scale over the grid with 25 meter spaced observations.

• reconnaissance mapping over the remainder of the property, and area.

• the saw and chisel extraction of 17, representative, 25 to 50 kg samples cut across the banding.

• whole rock geochemistry, mineral processing and testing of the 17 samples was conducted by I.M.D. Laboratories.

The report presents and evaluates the data obtained from this exploration program. Recommendations for future work are provided after this assessment.

Location and Access

The property is located approximately 80 km northwest of Hull, south of the town of Danford Lake, Quebec (Figure 1). Access is gained from Hull by following Route 5 and 105 Nord to Kazabazua [80 km] and turning onto Route 301 Ouest to Danford Lake [15 km]. The project may be reached from the town of Danford Lake by following Cawood Road south for approximately 8 km.

Three all-season gravel roads bound the property: Cawood Road, to the east, Baseline Road to the south, and Lac Presley Road, to the north. Two AN accessible gravel roads traverse the property in Range IV through lots 18 and 19, and lot 15. There are several timberjack trails cut on the lots.

Cawood Assessment Volume 2 1

CAWOOD PROPERTY

QUEBEC Kazabazua Danford Lake

Venosta Otter Lake Cawood Schwartz Low ■ USA

Ladysmith QUEBEC Property Location Map

Wakefield (La Peche) Shawville Gatineau Provincial Buckingham • Park 148

GATINEAU

• Orleans Renfrew V• IER Amprior VCR HULL • Aylmer NTS 31 F, G ONTARIO m OTTAWA 1:500,000

J.B.Robbins 95 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Property Description

The property is situated in the northeastern quadrant of Cawood township in Ranges IV and V (Figure 2). The claims are registered in the name of

Peter C. Akerley Bedford Resource Management Inc. Suite 1107, 40 King Street West Toronto, Ontario M5H 3Y2 who is acting as an agent for PCMI. The property is comprised of 10 contiguous claims covering an approximate total area of 400 hectares:

TABLE 1:

Claim Number . Township Range Lot Area 5112689 Cawood IV 15 40 ha 5112690 Cawood IV 16 40 ha 5112691 Cawood IV 17 40 ha 5112692 Cawood IV 18 40 ha 5112693 Cawood IV 19 40 ha 5112694 Cawood IV 20 40 ha 5112695 Cawood IV 21 40 ha 5112696 Cawood V 17 40 ha 5112697 Cawood V 18 40 ha 5112698 Cawood V 19 40 ha

There are eight surface owners, as recorded on May 16, 1994, on these claims (Figure 3):

TABLE 2:

~ zvvner•s.. arne Range. Lofts) IV 15,16,17 Michael Ladurantaye IV 18 Giles St. Amour IV 18 (south of road) Paul Desjardins, Earl Stroud IV 19,20 Alton Mason IV 19 (southern 250m) Williamsport Fish and Game IV 21 Richard Ashby V 17 Maurice Beauregard V 18 Diana Peck V 19 the "Crown"

All surface owners accepted and signed an access agreement allowing PCMI to conduct line cutting, mapping and sampling work during 1994.

Cawood Assessment Volume 2 3 Cawood Property Map

3 3 ,i ~ b I., • 9 n ALLEYN n r i I •••-45'54'N + 45'54'N •••••— • CAWOOD A i 8 o .4 ~ti'es U' Range VI 1

i,,a~ Lac Prestly I

! " < co r-- co vi 1 CO N N Lac Pack 'T' T"" V". Range V 1116-1, ,••- .gl r LO L() LA I 19 . 18 1 . ft\L

d'M N•-0 CD I O) CA (A 0) (A 0) 00 • • CO (0 (0 CO CD N N N N N e-' , e- •-- ~ e- Range IV ~ I r- .a- r- e- ,t- T.- ln L17 L( ) Ln 10 Ln Ln

21 20 19 18 17 16 15 Lac Double / ~ 17 ~~ `~ /` 1i7 " q a°• Lac Foster Range III et 1

\\ —~~ / ~ Range II 45°50' N +45°50'N

CAWOOD m / 1 nm n r Lac George \ ~ J.B.Robbins 95 '

adaptation of M.E.R.Q. Cawood Township Claim Map

NTS 31F/16-003

1:50,000

0 500 1000 2000 3000 m Figure 2

Cawood Nepheline Syenite Surface Owner Map

J.B.Robbins 95

I ALLEYN CAWOOD

Range VI U •

Lac Pack Range V

Range IV

Lac Double

A: Williamsport Fish and Game B: Desjardins/Stroud Range HI Lac Foster

Range II

Lac George

adaptation of M.E.R.Q. Cawood Township Claim Map

1:50,000

0 500 1000 2000 3000 m

Figure 3 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Topography

The region lies on the northern crest of the Ottawa River Valley and Graben. The topography is typical of this segment of the Grenville. There are low, steep-sided hills rising above sharply incised river valleys and flat glacial sand plains. The topography is a good indicator of the underlying lithology: marbles and paragneiss on the plains and intrusives on the mountains.

The property lies on the eastern edge of the Kazabazua River Valley. The southern portion of the claim group is characterized by abundant outcrop due to the presence of Cawood mountain, which rises 500 feet above a surrounding plain. The mountain has a steep (50 degree) south slope and a shallow (10 degree) north slope. The remainder of the property is covered by the thick Kazabazua Plain glacial sand and river gravel deposits, hence rock exposures are sporadic. This gravel is quarried for road ballast in the region.

Drainage and Utilities

The Kazabazua River bounds the claim group to the west, cutting through lot 21 in Range IV. There are few rapids along its generally flat course. All its tributaries are small, meter wide streams. Several small ponds and streams exist on the property, most of which are blocked by beaver dams. Cawood and Baseline Roads have electric power-lines which hook up to Danford Lake. A telephone line runs along Cawood Road.

Previous Work

The region had been mapped geologically by Ralph Kretz for the M.E.R.Q. and is discussed in several of his reports. His interest was focused on the description of the various skarns and the origin of the paragneisses. Mr. Kretz worked on the region surrounding the property in the 1970's and included the nephelinitic rocks in his regional map (Kretz, 1977). He presents two modal analyses of these rocks in the report.

BRM geologists visited the region in 1990 as part of an industrial mineral reconnaissance program conducted for PCMI. Two whole rock analyses were taken of the complex's mafic units.

No other documented exploration work has been conducted on the property.

Cawood Assessment Volume 2 6 Regional Geology Figure 4

adapted from Kretz 1977 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Regional Geology

The region is mainly comprised of Proterozoic Grenville Province rocks of the Central Meta-Sedimentary Belt (CMB) (Figure 4). These rocks have been subjected to upper amphibolite-granulite facies metamorphism. In general, the area includes a package of grenvillian paragneiss, marble and orthogneiss (K feldspar gneiss) which has been intruded by late Proterozoic plutons and later Phanerozoic easterly trending diabase dikes. Some Ordovician sedimentary rocks unconformably overlie the sequence and Pleistocene glacial deposits partially cover most of the area. The Phanerozoic Ottawa Graben, as evidenced by long, parallel normal faults, cuts through the area from WNW to ESE and some of the late diabase and alkaline intrusives are related to this structural event. All ages have been determined relatively by Kretz (1977).

Part of the property area is covered by gray plagioclase paragneisses and marble of the Thorne Zone (Kretz, 1977). These interlayered rocks are the oldest in the region, and appear to be contemporaneous. Potassium feldspar gneisses (orthogneiss) of the Danford Lake Belt occur to the northeast of the property. These rocks are distinguished from the various intrusives by their finer grain size (1 mm) and abundance of potassium feldspar. They are considered to be a metasomatized or metamorphosed gray plagioclase gneiss, since they locally grade into gray plagioclase (paragneiss) along strike (Kretz, 1977).

Kretz (1977) has defined five styles of intrusives in this region:

i) undeformed diabase and carbonatite dikes. ii) heterogeneously deformed gray granitic, discordant, gneissic intrusives. iii) heterogeneously deformed pink granitic and syenitic, discordant, gneissic intrusives. iv) mafic to felsic, homogeneously deformed, discordant, intrusives. v) mafic and ultramafic rocks occurring as conformable sills or plutons in the marble, gneiss and amphibolite

The regional mapping done by Kretz identified the Cawood complex as the only principal pluton within the property area. There are several small pegmatite and diabase dikes that cut this region. The Cawood complex was classified by Kretz as an homogeneously deformed, discordant intrusive, but the complex could be related (not genetically, but structurally) to the potassium feldspar gneiss rocks. They both lie along the eastern contact of a specific marble and gray plagioclase gneiss unit. This same potassium feldspar gneiss unit is associated with the unusual Stag I, II, and Ill syenites and a small biotite-scapolite anorthosite (Kretz, 1977).

The structure of the region is complex. All primary structures have been rotated onto early phase deformational structures manifested as gneissic banding, hence determining the early deformation history is virtually impossible. However, there appears to be two dominant late phases of deformation that are evident from field measurements. All earlier structures (gneissic banding) have been rotated along a NW trending axial plane, S1, in the western portion of the region. S1 has been refolded

Cawood Assessment Volume 2 8 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

during a subsequent deformational event that has an axial, S2, oriented to the NE. D1 dominates the area extending 100 km to the west of Cawood and does not occur in the eastern portion of the region. S2 dominates the area extending 100 km to the east of Cawood, and does not occur in the western region. It would seem that the belt of rocks around the property lie within a suture zone between an older belt of higher grade orthogneisses (Central Gneiss Belt; CGB) to the west and a younger belt of lower grade paragneisses (CMB) to the east. An examination of 1:250,000 scale maps indicates that this observation holds true. The suture zone extends through at least 200 km, from Cawood, north to the Lac Camatose area. The suture is probably a continent-continent collision zone where the CMB was thrust onto the CGB. The potassium feldspar gneisses of the Otter Lake Belt (Kretz, 1977) are probably the metamorphic result of this compression on the gray plagioclase gneiss and marble.

It is interesting to note that the Late Proterozoic Cawood complex lies at the same structural-stratigraphic position within the Elzevir Terrane of the Grenville Province as does the Blue Mountain nepheline syenite, but 260 km along trend further to the northeast. From field observations, the most important association is that it lies proximal to the boundary between the CMB and the CGB. I would propose that the Blue Mountain, Cawood complex and potassium feldspar gneiss of the Danford Lake Belt (Kretz, 1977) are related to an earlier suture zone (as that described above) which was later affected by the Otter Lake event.

Several long easterly to southeasterly faults crosscut the region. The Low Fault, south of the property is the largest, having a sinustral strike-slip displacement of 1 to 2 miles (Kretz, 1977). Some normal faults, related to the Ottawa Graben system have been observed on the property.

Property Geology

The Cawood complex is a fairly homogenous, semi-circular body of gneissic nepheline syenite 1600 m long by 600 m wide (Figure 5). The entire Cawood complex is enclosed within the claim block with the majority of the exposures on the property consisting of alkaline complex rocks. Outcrop and float represent approximately 10-15% of the surface with prominent exposures along the steep southern face of the mountain. Some marble and skarn exposures are present in the northwest of the claim area but the western and northern limits are predominantly gray plagioclase gneisses. Exposures to the north, south and east of the complex are limited due to accumulations of glacial material. The glacial direction, as taken from striae, is at 170 degrees.

The gray plagioclase gneiss outcrops on the western side of the complex. It is composed of rusty gray to red plagioclase, biotite, and hornblende and is well banded. Several pegmatites and granitic dikes and bands are seen in the gray plagioclase gneiss. Marbles are rare on the property, being found mostly along the Kazabazua River in lot 19 of Range V and along the eastern side of the northern nose of the Cawood complex. They are coarse, white and primarily comprised of either calcite and/or dolomite and contain graphite. The marbles typically have bands of other minerals such as diopside, olivine, chondrodite, and garnet. Skarns are also seen in this area, and are mineralogically complex. They usually contain calcite-hedenbergite-garnet and are

Cawood Assessment Volume 2 9 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767 associated with small pods of marble. It assumed that the complex is in contact with these marbles along it's northern nose and eastern edge due to the lack of exposure and the presence of calcite and graphite in the syenites of this area. The southeastern edge of the complex also has some boulders of syenite which contain enclaves of marble.

The Cawood complex contains a complete spectrum, from mafic to felsic, of igneous alkaline rocks. Undersaturated albitites and gabbros, diorites or intermediate rocks, and nepheline syenites and pegmatites were observed in the field. Nepheline syenites are common to abundant within the intrusive complex.

The nepheline syenite is typically white to pale gray, medium-grained, slightly gneissic and contains hornblende, biotite, magnetite and aegirine as mafic minerals. The grain size ranges from fine to coarse. Pegmatitic bands are common in the interior of the complex. Major minerals include nepheline (>25%), orthoclase and alibitic plagioclase. An iridescent plagioclase feldspar is abundant in the intermediate facies nepheline syenite. There appears to be a zoning of biotite-bearing syenites in a thin pod in the southeast and broadly, in large pods, across the western portion of the complex. Biotite seems to be more abundant in the pegmatitic fades. There may be a zoning of K and Na within the nephelinitic rocks. It would appear that the biotite facies has a pinkish nepheline caused by intergrowth with kalsilite and pink K-feldspar. The hornblende- aegirine facies has a blueish nepheline (sodalite from weathering) and albite. No obvious ring-type zoning is present.

There exists a gradational transition from gray plagioclase gneisses to nephelinitic gneisses (fenite or transitional zone) along the contact of the complex. The best examples of the transition zone in the field are seen on L7+00E at 6+50N and L4+00E at 11+OON. This zone may be up to 50 meters wide in some areas. The gneiss grades from tan to a pink then white "syenite" that increases in Na content and decreases in mafic minerals toward the center of the transition zone. The rock then grades to white syenite that contains increasing biotite, hornblende and aegirine up to 15%, and increasing nepheline content up to approximately 20%. There is also some coarsening of the syenite toward the center of the complex. The syenite appears to increase in competency away from this transition zone, which may be associated with the minor calcite that is occasionally present at this contact. Calcite seems to be present near the contact with the marbles, near normal faults, and near surface (weathering of plagioclase). Near the faults it is post-grenvillian alteration.

The gneissic banding of the mafic minerals (biotite/hornblende) was measured in the field. Zones of high strain, indicated by nepheline augens and frequent, thin mafic-rich (90% mafics) to mafic-poor (10% mafics) banding, are common near the contacts of the complex. Some small pods of medium grained to pegmatitic units displayed igneous textures (no gneissic banding). The folding is complex. All primary elements (bedding and earlier cleavages) have been rotated onto a single plane or gneissic banding. There are 2 apparent folding events. These dominant directions of folding were mentioned in the regional geology above. The deformation events have folded the complex into a synform with a SW trending nose and a SE plunging fold axis. Some normal faults were observed in the field. There are two conjugate (60 degree) sub-vertical joint sets and one sub-horizontal set which resulted from lithologic unloading. Mapping concentrated

Cawood Assessment Volume 2 10 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

principally on defining the boundary of the alkaline rocks, and mapping the alkaline rocks.

Sample Analyses

A total of 17 large volume samples were collected, in 1994, from representative locations across the complex (Appendix 1; Figure 6). These samples were removed from outcrops with the assistance of a rock-saw with a dry diamond blade. Sufficient sample was collected so that 20 to 25 kg of material remained after the crude samples were cleaned of weathered and oxidized surfaces.

The samples were processed and analyzed by Jack Kriens of I.M.D. Laboratories (Appendix 2). The samples were processed as follows:

1. samples were reduced to -4 inch for jaw crusher feed. 2. jaw crusher reduction of material to -3/4 inch. 3. the -3/4 inch material was staged roll crushed to -30 mesh in closed circuit with a vibratory screen. 4. the -30 mesh material was screened on a 200 mesh screen to remove fines. 5. a 500 gram sample was taken of the crude 30 x 200 mesh product for reference. 6. the samples were subjected to low, medium and high intensity magnetic separation. 7. the crude and non-magnetic samples were analyzed for chemistry using XRF.

Additional testing on some of the samples included heavy media separation to isolate refractory heavy minerals and analysis at -40 to +200 mesh, which dramatically reduced the iron content of the product. The chemistry of the final product is shown in Table 3.

Cawood Assessment Volume 2 11 Ij h. v .205

(

.202

2 Cr .206 \CC Sample Locations

A C1N-01-93 B CW-01-94 C CW-02-94 D CW-03-94 E CW-04-94 F CW-05-94 G CIN-06-94 H CW-07-94 CW-08-94 J CW-09-94 K CW-10-94 L CW-11-94 M CW-12-94 N CW-13-94 O CW-14-94 P CAW-02-94 Q CAW-03-94 R CAW-04-94

21 ) •ANN '.46\ FI3,urc 4,0 Cawood Property Sample Location Map .202 253\

• 23 Nepheline Syenite

• Sample Location

20 Lot Number \ \ EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

TABLE 3:

Sarripie AI203 ; SiO2 Ca° hIa20 tC20 Fe203 LOI CW-01-93 24.30 56.80 1.50 8.90 7.24 0.085 1.06 CW-01-94 23.80 57.60 1.68 8.50 7.20 0.107 1.19 CW-02-94 24.20 56.40 2.33 9.35 5.92 0.153 1.55 CW-03-94 23.50 57.50 1.94 8.88 6.87 0.118 1.28 CW-04-94 23.90 57.30 1.71 8.87 6.69 0.079 1.17 CW-05-94 23.60 56.50 2.47 8.73 6.64 0.138 1.72 CW-06-94 23.80 57.50 1.77 8.55 7.04 0.127 1.14 CW-07-94 22.20 59.20 2.67 7.91 6.13 0.110 1.76 CW-08-94 23.00 57.80 2.87 8.44 5.70 0.121 1.83 CW-09-94 24.20 57.20 1.79 9.84 5.79 0.087 0.89 CW-10-94 23.40 59.50 1.45 8.64 6.94 0.075 0.85 CW-11-94 23.70 57.20 1.81 9.26 6.42 0.086 1.30 CW-12-94 24.10 57.10 1.57 9.31 6.53 0.106 0.99 CW-13-94 23.30 58.70 1.37 8.91 6.62 0.174 0.82 CW-14-94 23.70 56.30 1.99 8.51 5.82 0.117 0.98 CAW-2-94 21.80 61.10 2.67 8.26 4.38 0.093 1.72 CAW-3-94 23.70 58.00 1.54 8.20 7.12 0.128 1.19 CAW-4-94 24.00 57.40 1.65 9.16 6.37 0.097 1.15

All samples were crushed and screened to 30 x 200 mesh, passed through magnetic separation, and analyzed for chemistry, LOI, and refractory mineral content. Samples CW-01, 02, 03 were crude surface samples with weathered surfaces. All other samples had prepared surfaces.

An additional pass on the high intensity magnetic separator was tested on a number of products that had Fe203 contents of 0.10%. This determined if the iron content of the samples could be improved without excessive losses to recovery. Minimal improvements were made in purity, but the 0.08% level was not reached with any of these marginal samples.

Product Testing

Non-magnetic product samples from CW-04 and CW-10 were submitted to Corning C.E.L.S. Laboratory Services for batch melt testing and dispersion staining with polarized light (Appendix 2). Hand samples of CW-01, CW-04, and CW-12 were included for thin section analysis and photomicroscopy to identify iron-bearing minerals.

Product samples CW-04 and CW-10 were introduced into separate soda-lime glass batches to produce a composition typical to container glass (C.E.L.S. #14990-001). The batches were mixed and melted at 1400 °C and then annealed at 540 °C. Cores were drilled into each crucible and slices from the cores were analyzed for seeds and grains. Both batches were in acceptable range for seeds (bubbles) and had no grains (stones). No significant variability was identified between either sample nor standard materials.

Cawood Assessment Volume 2 13 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Hand samples of CW-01, CW-04 and CW-12 were submitted for thin section work and product samples CW-04 and CW-10 were analyzed through dispersion staining. Both series of tests were used to help in the identification of iron-bearing minerals and residual iron in the ore and products (C.E.L.S. #14990-002). The analyses indicated that there are three interrelated causes of iron in the final product:

1. liberated particles of weakly magnetic biotite, amphibole, and pyrite that were not removed by the magnetic separation process. 2. non-liberated ferromagnesian fragments entrained with the feldspar and nepheline components of the sample. 3. tiny ferromagnesian crystallites encased within the feldspar and nepheline components.

A more aggressive grinding method might liberate additional iron-bearing minerals, but would result in a grain size finer than the typical specifications for glass grade feed.

Potential Reserves

The baseline samples that produced low-iron products are clustered in the southwestern section of the complex in a zone that contains common biotite nepheline syenite. Although the samples only represent outcrop without any sampling at depth, they do occur in an area covering 250 m by 500 m that to a depth of 20 meters would contain a possible volume of 6.5 million tonnes of ore. If this ore can be proven to yield a consistent product, more than 20 years of reserves are possible.

Conclusions and Recommendations

This exploration program concluded with the preliminary characterization of the complex and the definition of nepheline bearing zones. It therefore allowed for the identification of the brute potential of the nepheline syenite, which is quite promising. However, the lithological and structural aspects of the nepheline bearing zones have yet to be examined in detail. A very crude reserve estimate of 6.5 million tonnes must be better defined. The homogeneity of the product from this reserve must be tested. This will be established through the following proposed program:

Phase II

• the completion of a 100 m spaced surveyed grid over the entire property, with 25 m surveyed grid on detail areas. • an elevation survey of the grid. • a survey of all of the lot boundaries. • digitization of data into AUTOCAD to generate an adequate base map for use in mapping. • geologic and structural mapping of the property at 1:2000 scale on the digitized base. • bulldozer and back-hoe stripping of the western low-iron nepheline zone and subsequent detail mapping at 1:500 scale or less.

Cawood Assessment Volume 2 14 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

• extraction of 20 non-weathered 100 kg blast samples for product tests. An adequate sampling size should be determined from these tests in order to select a proper core diameter for drilling. • transport and market studies.

Phase Ill

• two 10 tonne bulk-sample blast extraction from the zone for further product testing. • drilling of identified nepheline "ore" zones; 20 holes of HQ to 100 m of vertical depth.

It would require at least 3 months of work to complete Phase II. The proposed program components can be better defined once the decision to proceed to Phase II has been established.

Cawood Assessment Volume 2 15 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Certificate of Qualification

I, J. Bruce Robbins, do hereby certify:

That I am and have resided at 704 Bonair, Beloeil, Quebec, Canada since 1976.

That have been practicing my profession as a geologist since 1989, and as a registered professional geologist since 1993.

That I am a registered professional geologist, number 825, in Quebec, Canada.

That I do not hold nor do I expect to receive any interest, either directly or indirectly, in the Cawood property of Pacific Coast Mines Inc. and Bedford Resource Management Inc.

dated at Beloeil this ~~ ~~ôô 31 day of March, 1995 '~~~ ire ~ APGGQ - ~ ,~,~~~ ~ 4 `' . BRUCE ROBBINS ~ J. Bruce Robbins, M.Sc.A., P.!~oeol f ~'~~ N° 825 .~ Ve It •~;FC Cp,NP~ °~~~..~.••

Cawood Assessment Volume 2 16 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

Bibliography

Kretz, R. 1959, The Chemical Petrology of Garnet, Biotite and Hornblende Gneisses from Southwestern Quebec. Ph.D. Thesis, Chicago State University, 402 Pp.

Kretz, R. 1977, Fort-Coulonge-Otter Lake-Kazabazua Area-Geological Report. M.E.R.Q. DP-514, 315 pp.

Guillet, R.G. 1993, "Nepheline Syenite" in Industrial Minerals and Rocks, 6th Edition, edited by Donald D. Carr: S.M.M.E., Littleton, Colorado, pp. 711-730.

Cawood Assessment Volume 2 17 EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

APPENDIX 1 SAMPLE DESCRIPTIONS

Cawood Assessment Volume 2 1 CAWOOD PROJECT Sample Descriptions PCMI/USB

Number Date Northing Easting Wt. Type Sampler Description Ne Plag Ksp Wsp Bio Horn Cal Mt Sul ROCK CW-01-94 09-Jun-94 9+12N 13+00E 12 kg grab/saw PA 3 areas sampled across 25-20 50+ 25-20 tr. CNmhg outcrop a 100 m width gray mostly fresh, unweathered

CW-02-94 09-Jun-94 6+50N 9+00E 12 kg grab PA sample taken over 100 m area 20-25 30-25 30-25 20-25 20-25 min. min. CNmb/hg outcrop centered on this point gray **either all Bio or all Horn minor surface weathering <0.5cm

CW-03-94 09-Jun-94 13+50N 8+50E 10 kg grab PA GPS location: UTM 18 15 65 15 2 3 CNmbg boulder 405982 mE gray 5079751 mN 2 types of rock: main 15 65 15 2 3 one is heavily banded with Bio 10 25 60 2 3 the rock is very granular weathered quite a bit

CW-04-94 10-Jul-94 9+45N 6+95E 45 kg saw JBR 1 x 1 m saw area 10-15 65 20 min. min. <1 CNm/cbg outcrop remove 5 mm weathering white to competent; some jointing gray banded: 60% c. gr. felsic rich 40% med. gr. mafic rich moderately foliated

CW-05-94 10-Jul-94 9+45N 6+95E 45 kg saw JBR 1 x 1 m saw area 10-15 65 20 min. min. <1 CNm/cbg outcrop remove 5 mm weathering white to competent; some jointing gray banded: 40% c. gr. felsic rich 60% med. gr. mafic rich moderately foliated

CW-06-94 10-Jul-94 8+80N 6+50E 45 kg saw JBR 1 x 1 m saw area; 0.15 m deep 15 65 20 min. min. <1 CNmbg outcrop remove 5 mm weathering gray very competent sub-horizontal rusty jointing which disappears at depth moderately to weakly foliated

Exploration JBR Enrg. Page 1 J.B.Robbins, M.Sc.A., P.Geol. CAWOOD PROJECT Sample Descriptions PCMI/USB

Number Date Northing Easting Wt. Type Sampler Description Ne Plag Ksp Wsp Bio Horn Cal Mt Sul ROCK CW-07-94 10-Jul-94 11+35N 7+20E 45 kg saw JBR 1 x 1 m saw area 10 50 20 20 min. min. CNmbg outcrop remove 5 mm weathering gray competent; no jointing observed moderately to weakly foliated

CW-08-94 10-Jul-94 16+85N 7+95E 30 kg saw JBR 2 x 0.5 m channel 20 50 10 20 min. 1 <1 CNmbg outcrop perpendicular to foliation gray remove <5 mm weathering very competent; no jointing moderately foliated

CW-09-94 10-Jul-94 11+10N 3+90E 50 kg saw/grab JBR 1 x 1 m saw area 15 20 50 15 v. min min. ? CNmhg outcrop remove 5 mm weathering white to competent; no jointing gray moderately to strongly foliated

CW-10-94 10-Jul-94 11+10N 3+90E 50 kg grab JBR 10 x 10 m grab area 15 20 50 15 v. min min. ? CNmhg outcrop remove 5 mm weathering white to competent; no jointing gray moderately to strongly foliated

CW-11-94 10-Jul-94 7+25N 7+05E 45 kg saw JBR 1 x 1 m saw area 10 10 60 15-20 min. min. CNmhg outcrop remove <5 mm weathering gray competent; some jointing moderately foliated

CW-12-94 10-Jul-94 6+55N 7+85E 40 kg saw JBR 1 x 1 m saw area 25 65 10 1 min. CNmh outcrop removal of 5-10 mm weathering white granular moderately competent very weakly foliated lineation in mafics

CW-13-94 10-Jul-94 6+20N 10+20E 35 kg saw JBR 1 x 1 m saw area 10 30 40 15 v. min nil 5 CNc/mh outcrop at crest of hill beige to removal of 5 mm weathering white competent; jointing? No banding; igneous texture 5 % sphalerite

Exploration JBR Enrg. Page 2 J.B.Robbins, M.Sc.A., P.Geol. CAWOOD PROJECT Sample Descriptions PCMI/USB

Number Date Northing Easting Wt. Type Sampler Description Ne Plag Ksp Wsp Bio Horn Cal Mt Sul ROCK CW-14-94 10-Jul-94 9+25N 16+20E 35 kg saw JBR 1 x 1 m saw area 20 65 15 v. min min. CNch(g) outcrop removal of 10 mm weathering gray very competent very weak foliation igneous texture

CAW-01-94 16-Sep-94 9+35N 7+00E 18 kg saw JBR resample CW-04-94 10-15 65 20 min. min. <1 CNm/cbg outcrop see description above white to AND combined sample gray

11+OON 4+00E 18 kg saw JBR resample CW-10-94 15 20 50 15 v. min min. ? CNmhg outcrop see description above white to gray

CAW-02-94 16-Sep-94 12+30N 6+00E 10 kg saw JBR 10 30 35 20-25 min. CNmbg outcrop gray

'CAW-03-94 16-Sep-94 7+25N 12+90E 10 kg saw JBR 15 60 25+ min. CNmhg outcrop gray

CAW-04-94 16-Sep-94 8+25N 11+00E 10 kg saw JBR 15 60 7 7 CNmh/bg outcrop gray

NOTES:

Ne nepheline Plag 'plagioclase Ksp pink K feldspar Wsp white feldspar: mix of albite-plagioclase/orthoclase that is too fine to estimate Bio biotite Horn hornblende Cal carbonate (calcite) Mt magnetite Sul sulfides: pyrrhotite, pyrite, sphalerite ROCK according to stratigraphy defined in report min. minor minor> trace tr. trace c. gr. coarse grained med. gr. ,medium grained

Exploration JBR Enrg. Page 3 J.B.Robbins, M.Sc.A., P.Geol. EXPLORATION JBR ENRG. 704 Bonair, Beloeil, Quebec J3G 2B5 CANADA (514) 467-0767

APPENDIX 2 LAB REPORTS ON CAWOOD

Cawood Assessment Volume 2 2 I.M.D. Laboratories Ltd. Industrial Minerals Development 721 Bayview Drive Unit # 6 Barrie, Ontario, CANADA L4M 6E7 Tel: (705) 722-3008 Fax: (705) 722-3490

June 30, 1994

Mr. D. Crouse U.S. Borax Inc. 5301 B Capital Blvd. Raleigh, NC 27604

Dear Dave,

Following is a brief report on the three samples of nepheline syenite that we have processed.

At this time we will give you only the most pertinent information on the results as well as our observations on the material.

The samples were processed as follows:

1) Large pieces of rock were reduced to -4" to facilitate jaw crushing 2) All of the sample material was jaw crushed to - 3/4"

3) The -3/4" material was staged rolls crushed to minus 30 mesh using a rolls crusher operated in closed circuit with a vibratory screen equipped with a 30 mesh screen cloth.

4) The -30 mesh material was then screened to remove fines by screening the -30 mesh material over a 150 mesh screen.

5) A 500 gram sample was taken of the crude -30 mesh material for reference and chemical analysis. OBSERVATIONS ON SAMPLES AND CRUSHING BEHAVIOUR

Each of the three samples contained pieces of rock that came from surface. Some oxidation was observed particularly samples #2 and 3.

It was observed that part of each sample was quite friable and tended to break down very quickly. This indicates that some of the pieces were not very competent and are softer than some of the other pieces. It was further observed that more fines were generated than would be typical for fresh unaltered rock.

The following recovery of -30 x 150 mesh raw product was obtained.

Sample # % -30 x 150 mesh % -150 mesh

CO-W 1 82.8 % 17.2% CO-W 2 83.2 % 16.8% CO-W 3 83.8 % 16.2%

Small 50 gram samples were taken of the -30 x 150 and -150 mesh material.

MAGNETIC SEPARATION

Each of the three samples were processed by dry induced roll magnetic separation. The following separating conditions were employed.

* 1 Low intensity pass at 2500 gauss

* 1 Medium intensity pass at 6000 gauss

* 1 High intensity pass at 12000 gauss

The feed rate to the separator was 3000 gram/minute which is equivalent to 750 gram/min. per inch of roll width.

Most of the opaque mafics were extracted during the low and medium intensity separation pass. The waste fractions were dense black. The high intensity pass removed lighter coloured waste, part of which were middling type particles.

I.M.D. Laboratories Ltd. The following amounts of magnetic waste were removed during separation.

Process Fraction Sample CO-W-1 Sample CO-W-2 Sample CO-W-3

Low Intensity Waste 8.73% 7.28% 7.31% Medium If 12.90% 14.74% 16.67% High 3.54% 3.90% 4.45%

Non Magnetics 74.83% 74.08% 71.57%

Total 100% 100% 100%

The overall recovery, based on crude rock, is 100% and was calculated as follows:

% Overall Recovery Sample CO-W-1 61.95% Sample CO-W-2 62.23% Sample CO-W-3 59.98%

CHEMICAL ANALYSIS

Each of the crude -30 mesh and the final non magnetic products were analyzed for their chemical composition using X-Ray fluorescence. The following results were obtained:

I.M.D. Laboratories Ltd. CRUDE - 30 MESH CHEMICAL COMPOSITION

ELEMENT Sample Sample Sample CO-W-1 CO-W-2 CO-W-3 % % %

SiO2 54.70 52.70 54.20 A1203 22.50 22.30 22.00

Ca0 2.43 3.35 2.45

Mg0 0.08 0.19 0.12

Na20 8.27 8.67 7.89

K20 5.29 5.18 6.06

Fe203 4.44 5.68 5.63

Mn0 0.13 0.16 0.18

TiO2 0.28 0.34 0.32 L.O.I. 1.00 1.53 1.11

I.' .O. LabaratonPa I t.} NON MAGNETIC PRODUCTS

CHEMICAL COMPOSITION

ELEMENT Sample Sample Sample CO-W-1 CO-W-2 CO-W-2 % % %

SiO2 57.60 56.40 57.50 A1203 23.80 24.20 23.50

CaO 1.68 2.33 1.94

Mg0 0.01 0.03 0.01

Na20 8.50 9.35 8.88

K20 7.20 5.92 • 6.87

Fe203 0.107 0.153 0.118

Mn0 trace trace trace

TiO2 0.02 0.03 0.03 L.O.I. 1.19 1.55 1.28

Fe203 BY ATOMIC ABSORBTION ANALYSIS Sample CO-W-1 0.109 . Sample CO-W-2 0.148 Sample CO-W-3 0.114

I.M.D. Laboratories Ltd. COMMENTS ON ANALYSIS

The residual Fe203 content is higher than desirable. Further reduction in Fe203 may be achieved by additional magnetic separation. Microscopic examination indicated the presence of some middling particles as well as oxidized grains. The presence of calcium carbonate was confirmed by effervescence as dilute hydrochloric acid was added to the non magnetic products.

No tests were conducted with regards to the presence of refractory heavy minerals.

Best Regards,

Jack Kriens I.M.D. LABORATORIES LTD.

I.M.D. Laboratories Ltd.

~ ~~ I.~ !.M.D. Laboratories Ltd. ~i` ~_ Induetriat Minera!e Dev iopment 721 Beyriew Drive Unit ü 6 Barrie, Onarlo, CANADA LAM 6E7 Tel: (705) 722-3008 Fax: (705) 722-3490

DATE: SEPTEMBER 5, 1994

TO: U.S. BORAX

ATTENTION: DAVID CROUSE

FAX: (919) 954-0143 PAGES : - .

FROM: J. ERIENS I.M.D. LABORATORIES LTD.

FAX: (705) 722-3490 TELEPHONE: (705) 722-3008

RE: RESULTS OF ADDITIONAL HIGH INTENSITY MAGNETIC

SEPARATION PASS The additional pass over the magnetic separator did little to improve the Fe203 content of the product.

Initial Fe203 After 2nd. Hi-Int. Pass

C.W. 05 0.138 0.119

C.W. 06 0.127 0.114

C.W. 07 0.110 0.090

C.W. 08 0.121 0.116

C.W. 12 0.106 0.102

C.W. 13 0.174 0.162

C.W. 14 0. 117 0.117

I did not have a chance to closely examine the products under the microscope to see if I can determine the cause. May be able to do that later this week. r will also try to do a re-separation on samples 1, 2 and 3.

I am faxing you a handwritten table on the recoveries and copies of the crude rock - product analyses. I just was not able to prepare a report for you.

I.M.D. Labotalot{es L' ~ ER-0`- "} i'II-iPl I. ::~~'~ •,:~,~~,l.~.. l.i'l. L, Lr4t! r:~e i r-. r- I- i L.

'.?" 23:15 P. 1

'1ALY'T I CAS, t5mRV Z rv x....mOnATnFY Altaura Blvd., Aurora, Ont. L4G 3S5 .one/Fax 1-905-713-0597

?i1Q 2RUJECT C. 93315

CiO:fl:t.liL AliAI.YSES C? AZPI!*_..' :-`i5 S7II:11Z C.ttIUC.' August 24. 1994

ID t'a203 S403 ,*,1203 Na20 K20 C80 :'.=C TiO2 14Yy0 LC/ To:11

Cw-04 C 2.41 55.8 22.9 8.81 6.41 2.16 0.11 0.14 0.04 1.23 100.10 Ca-0S C 4.30 54.1 22.4 8.44 5.61 2.83 0.20 0.27 0.12 1.22 99.44 Cd-06 C 4.69 54.6 22.4 9.79 6.12 2.7? 0.09 0.26 0.11 0.00 100.05 CW-07 C 5.33 55.4 20.3 7.36 5.54 3.5:. 0.18 0.31 0.03 1.32 100.03 C'i-08 C 5.05 53.6 21.4 7.33 5.54 3.5c 0.18 0.42 0.11 2.15 99.81

C1-09 C 4.79 54.3 23.5 9.50 4.79 2.2C 0.11 0.19 0.06 0.54 99.56 C1-10 C 2.14 58.2 22.4 6.06 5.43 1.62 0.13 0.11 0.02 0.70 99.39 C4-11 C 3.80 54.a 23.0 8.52 :.63 2.4':, 0.17 0.25 0.06 1.13 95.79 CW-12 C 3.82 54.7 23.3 8.61 5.77 2.24 0.15 0.27 0.07 0,64 95.79 Cv-13 C 6.20 54.8 21.5 7.98 5.14 3.1e 0.15 0.36 0.15 0.46 SS.90

C:-14 C 4.08 55.9 22.3 3.01 3.17 2.80 0.23 0.32 0.08 0.87 93.7; SEP-05-4 MON 17:0'P I.Pt.L. Lf+E:O F:G:T ORIE '4 LTD. 70,1 7 2- z4s.e F.•i~ 4

NA-14'2'TIC.A~L.s..KV'2C~c,s = TÇ t 0 Allaura Blvd. , Aurora, Ont. I.4G 355 hone/Fax 1-905-713-0597

IFm F.tcQJtCT No. 93:25

C?tFIiICAI. ANALYSEZ GF NT-?K£'.,:?tL S?ENIiS PRGGUCT Ae4utt 22. 1994

ID 7.203 S102 Al2:3 N 2G 1(20 Cao W 0 41C2 :+t0 1.01 Total

C3ii-4-? 0.079 67.3 23.9 8.87 6.69 1.71 <0.05 0.02 0.01 1.17 99.79 cow-5-1. 0.138 56.5 23.6 3,73 6.64 2.47

,15i C3ii-9-D 0.087 31.2 24,2 9.84 5.79 1.79 c0.03 0.01 0.01 0.89 99.79 COW-10-p 0.073 59.8 23.4 8.54 6.94 1.45 CQ.45 0.01 <0.01 0.83 100,80 .-'? r,t Cow-11-D 0.086 57.2 23.7 9.26 6.42 1.61 <0.05 0.02 <0.01 1.30 99.82 ,,t~! COst-12-p 0.106 57.1 24.1 9.31 6.53 1.57 <0.05 0.02 <0.01 0.99 95.72 COW-13-p 0.174 53.7 23.3 5.91 6.62 1.37 <0.05 0.03 0.01 0.42 99.95

COW-14-P 0.11; 56.3 23.7 8.51 5.32 1.99 c0,05 0.03 <0.01 0.96 99.74 V /

"..24111 I 3 00 62.10 r of - jo xiS-D /4s C •5~ ) Flr.✓.a CO wl ro .e.reo%o1 92uN G Gwve •Qiu .t, ( ,3 ). eyfU 3.2o ~.9.s5 % (/9) ro A/41-y' /y.A.4r/Cl: e A-(olelc 4 S. Afo.4 4144,ec.r..74 flowc-r.oCd r

3.998 41.03 2 3.23

41•`ï 3 41.69. 75-. 3a

78y.

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7o.

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9. 25- 71.y-l?

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6j. S? ~~~.. I.M.D. Laboratories Ltd. rnduatiiel M.inwala Dav,ttoprnent 721 ea;vie'u Drive Unit #r 6 Berrla. Ontario. CANADA L4M EE7 Tel: (705) 722-30013 rax: (705) 722•3490

FAX: (919) 954-0143 PAGES: FIVE including covering page

TO: U.S. BORAX INC.

ATTENTION: DAVID CROUSE

DATE: NOVEMBER 22, 1994

FROM: J. RRIENS I.M.D. LABORATORIES LTD. BARRIE, ONTARIO

FAX: (705) 722-3490 TELEPHONE: (705) 722-3003

Dave,

Following are the results on the last three nepheline syenite samples.

We have not done any work on magnetic separations at 40 mesh or any heavy mineral separations.

Please advise if you wish us to proceed with .magnetic separations on all of the samples or only the high iron products. Also, do you wish us to do heavy minerals.

After you sent me the comments made by Corning I was not sure if you want us to proceed.

Regards,

Jack Kriens ` ~Î I.M.D. Laboratories Ltd, ~ ~ IndvS!ria: Mine.•316 OG':CIOprT`.Cnt 721 BdyVÎew Qr1V9 Unit # 6 Barrlo, OnarlO, CANACA 1.441 6E7 TeL- (705) 722-3008 FAx (705) 722-3490

November 22, 1994

U.S. Borax Inc. 5301E Capital Blvd. Raleigh, NC 27604

Attentions Mr. David Crouse

Dear Dave,

Following are our results on the last three nepheline syen_te samples.

The samples were crushed and staged rolls crushed to 30 mesh followed by removal of the -200 mesh fraction.

The resulting -30 x 200 mesh was then processed by dry high intensity magnetic separation. Each sample was given one pass at low intensity to remove strongly magnetic minerals, followed by one pass at medium intensity and two passes at high intensity.

Feed rates to the separator were set at 3000 grams/minute for a 4" roll width. This is equal to 30,000 grams/minute for a typical commercial magnetic separator of the induced roll type. This feed rate is thus equal to 1.8 metric ton per hour.

For the low intensity pass an Qua' ro magnetic drum would be sufficient.

The magnetic fractions, particularly the low-medium intensity magnetics are very dean with minimal losses of nepheline Benite. I.M.D. Laboratories Ltd. Industrial Minerals Development 721 Bayview Drive Unit # 6 Barrie. Ontario. CANADA L4M 6E7 Tel: (705) 722-3008 Fax: (705) 722-3490

PROCESSING OF NEPHELINE SYENITE SAMPLES

I.M.D. PROJECT # 93325

I.M.D. REPORT # 93325-1

SUMMARIZING DATA AS REVEALED IN REPORTS DATED JUNE 30, SEPTEMBER 5 AND NOVEMBER 22, 1994

Prepared for:

U.S. BORAX CORPORATION RALEIGH, N.C.

Prepared by:

J. KRIENS I.M.D. LABORATORIES LTD. BARRIE, ONTARIO

DECEMBER 30, 1994 TABLE OF CONTENTS

PAGE

1.0 INTRODUCTION 1

2.0 SUMMARY 2

3.0 SALLE PR.EPAR.ATION 3

3.1 FINES REMOVAL 3

3.2 MAGNETIC SEPARATION 3

3.3 MICROSCOPIC EXAMINATION 4

4.0 TEST RESULTS - SAMPLES COW 1 - 14 6

4.1 CRUSHING - SCREENING 6

4.2 MAGNETIC SEPARATION 7

4.2.1 COMMENTS ON MAGNETIC SEPARATIONS 9

5.0 ADDITIONAL SEPARATION TESTS 16

5.1 MAGNETIC SEPARATION OF TWO DIFFERENT SIZE FRACTIONS 18

6.0 CONCLUSIONS ON MAGNETIC SEPARATION 18

7.0 PRODUCT CHEMISTRY 19

I.M.D. Laboratories Ltd. 1.0 INTRODUCTION

This report outlines results obtained from processing a group of nepheline syenite samples submitted by the U.S. Borax Corporation, Raleigh, N.C. Exploration Department.

All of the samples submitted were obtained from surface exposures sampled by U.S. Borax from a property under evaluation.

The objective of the processing work was to determine the quality and yield of product that could be achieved by simple dry processing techniques as are commonly used in processing nepheline syenite by nepheline syenite producers.

The process consists of size reduction and screening to the desired particle size, followed by multi-pass magnetic separation.

I.M.D. Laboratories Ltd. 2.0 SUMMARY

Testwork as conducted on the nepheline syenite samples has shown that most of the samples can be upgraded to a quality similar to other commercial nepheline syenite products.

To achieve this requires that the material be reduced first to 40 mesh by the appropriate crushing and grinding method followed by removal of fines smaller than 200 mesh and then processed by several stages of magnetic separation.

Magnetic separation requires one pass at 2000 gauss which can be done using an electromagnet drum type separator, followed by one pass at approximately 6000 gauss to remove the bulk of the mafic minerals and two passes at 12000 gauss i.e. high intensity.

Product recovery is below the typical level obtained on the Blue Mountain ore type which contains less mafic minerals.

The nepheline syenite contains calcite, the amount of which varies from sample to sample. For commercial considerations it is important to minimize the variation in calcite content of the product.

Product chemistry is otherwise similar to the Unimin nepheline syenite. The ratio of Na2O to K2.O is different than for the Unimin product but this should not be a point of concern.

Further more detailed sampling, preferably by core drilling, should be given consideration to verify deposit uniformity.

I.M.D. Laboratories Ltd. 3.0 SAMPLE PREPARATION

The samples were processed as follows:

Each sample was jaw crushed to -3/4" followed by staged rolls crushing, operating the rolls crusher in closed circuit with a vibratory screen equipped with a 30 mesh screen deck.

The procedure produced a -30 mesh product containing fines finer than 200 mesh. Material finer than 200 mesh is unacceptable in nepheline syenite products as used in the glass industry and therefore have to be removed. It is advantageous to remove the fines prior to magnetic separation as they influence the efficiency of magnetic separation.

3.1 FINES REMOVAL

Removal of -200 mesh fines was accomplished by screening the -30 mesh material on a. vibratory screen equipped with a 150 mesh screen. In actual plant practice this unit operation would be performed by an air classifier.

3.2 MAGNETIC SEPARATION

After removal of fines the 30 x 200 mesh material was processed by magnetic separation using an "Eriez" induced roll high intensity magnetic separator. Each sample was first processed at low magnetic intensity to remove strongly magnetic minerals, followed by a medium intensity pass to remove the bulk of the dark mafic minerals and one high intensity pass to remove paramagnetic minerals. The relative magnetic intensities were 2500, 6000 and 12000 gauss for low, medium and high intensities.

Analyses of the products indicated relatively high residual iron content. Products with high Fe203 content after one high intensity pass were given an additional high intensity pass and re-analyzed for Fe203.

I.M.D. Laboratories Ltd. The second high intensity pass did not result in significant improvement in the Fe203, indicating that either the iron is in solid solutions or is present as inclusions, not responding to the additional separation.

3.3 MICROSCOPIC EXAMINATION

Microscopic examination of individual size fractions prepared by screening the separated products indicated that the coarse -30 x 40 mesh fraction contained a relatively high number of grains with attached mafic minerals. These middling type particles obviously were not removed during the separation. This indicated that in order to achieve better separating efficiency, it is necessary to reduce particle size to 40 mesh rather than 30 mesh in order to achieve better liberation.

To show this, a nlimher of the -30 x 200 mesh separated products were screened at 40 mesh and the -40 mesh fraction analyzed for iron content. These analyses showed that the Fe203 content of the -40 mesh fraction was significantly lower than the original -30 x 200 mesh separated product.

To further illustrate this, a portion of crude unseparated -30 x 200 mesh material from sample # COW 14 was screened over a 40 mesh screen to produce a -30 x 40 and -40 x 200 mesh fraction. Each of these two samples were processed separately by magnetic separation using a low, medium and two high intensity passes.

The results were quite revealing as the separate -30 x 40 mesh had almost twice the Fe203 content of the -40 x 200 mesh fraction and significantly lower than the original -30 x 200 mesh- after two high intensity passes as given below.

I.M.D. Laboratories Ltd. SAMPLE 4 COW 14

Original -30 x 200 mesh -40 x 200 mesh -30 x 40 mesh 2 high intensity passes

% Fe203 0.117 0.097 0.173

Sample COW 14 was one of the lower quality samples of the submitted samples.

Based on these findings it is clear that, in order to optimize the iron content, it is advisable to reduce the ore to -40 mesh. This will reduce recovery as more fines will be generated by grinding to -40 mesh, rather than 30 mesh.

It may be possible to derive a ceramic grade product from the -200 mesh fraction by using wet high intensity separation. The economics of this should be evaluated.

Tables 1 and 2 give the recovery of -30 x 200 mesh and minus 200 mesh and recovery from magnetic separation. Chemical analyses for this group of samples are given on tables 3 and 4.

I.M.O. Laboratories Ltd. 4.0 TEST RESULTS - SAMPLES COW 1 - 14

4.1 CRUSHING - SCREENING

TABLE * 1

% -30 x 200 % -200

COW 1-93 82.80 17.20

COW 2-93 83.20 16.80

COW 3-93 83.80 16.20

COW 4-93 81.30 18.70

COW 5-93 84.10 15.90

COW 6-93 79.90 20.10

COW 7-93 82.80 17.20

COW 8-93 82.30 17.70

COW 9-93 84.40 15.60

COW 10-93 85.10 14.90

COW 11-93 82.60 17.40

COW 12-93 85 .50 14.50

COW 13-93 82.90 17.10

COW 14-93 81.80 18.20

CAW 2-94 89.20 10.80

CAW 3-94 87.81 12.19

CAW 4-94 88.95 11.05

I.M.D. Laboratories Ltd. 4.2 MAGNETIC SEPARATION

Each of the three samples were processed by dry induced roll magnetic separation. The following separating conditions were employed.

* 1 Low intensity pass at 2000 gauss

* 1 Medium intensity pass at 6000 gauss

* 1 High intensity pass at 12000 gauss

The feed rate to the separator was 3000 gram/minute which is equivalent to 750 gram/minute per inch of roll width.

I.M.D. Laboratories Ltd. TABLE # 2

MAGNETIC SEPARATION RECOVERY

$ $ $ $ $

SAMPLE # LOW INT. MEDIUM INT. HIGH INT. NON OVERALL WASTE WASTE WASTE MAGNETICS RECOVERY

COW 1-93 8.73 12.90 3.54 74.83 61.95 COW 2-93 7.28 14.74 3.90 74.08 62.23 COW 3-93 7.31 16.67 4.45 71.75 59.98 COW 4-93 3.98 9.36 4.03 83.23 67.66 COW 5-93 4.93 15.69 4.09 75.30 63.33 COW 6-93 6.05 23.59 7.84 62.52 49.95 COW 7-93 10.00 13.29 3.96 72.52 60.24 COW 8-93 1. 1:91 12.66 5.26 70.18 57.76 COW 9-93 5.60 12.40 3.86 78.13 65.94 COW 10-93 3.51 6.91 1.74 87.82 74.33 COW 11-93 8.25 11.80 3.48 76.40 63.17 COW 12-93 4.70 14.88 3.98 76.44 65.36 COW 13-93 9.97 24.07 7.38 50.59 48.57 COW 14-93 7.56 18.23 5.63 68.58 56.10 CAW 2-94 8.78 13.07 6.44* 71.72 63.97 CAW 3-94 4.78 17.37 8.35* 69.50 61.02 CAW 4-94 7.04 15.94 6.74* 70.30 62.53

* TWO THIGH INTENSITY PASSES 4.2.1 COMMENTS ON MAGNETIC SEPARATIONS

Most of the magnetics are removed during the low and medium intensity pass. Mafic mineral content is relatively high but is readily removed.

Samples COW 1 - 14 only received a single high intensity pass. Subsequent to this separation selected samples were given an additional high intensity pass, results of which are shown in table # 5.

CAW 2 - 4 - 94 were given two high intensity passes.

Overall recovery is generally lower than for the ore processed by Unimin, basically because of the higher mafic content of the submitted samples.

I.M.D. Laboratories Ltd. TABLE # 3 La)

CHEMICAL ANALYSIS - CRUDE -30 MESH

ELEMENT COW 1 COW 2 COW 3 COW 4 COW 5 COW 6 93 93 93 93 93 93

% % % % % %

SiO2 54.70 52.70 54.20 55.80 54.10 54.60 Al2O3 22.50 22.30 22.00 22.90 22.40 22.40

Ca0 2.43 3.35 2.45 2.16 2.83 2.78

MgO 0.08 0.19 0.12 0.11 0.20 0.09

Na2O 8.27 8.67 7.89 8.81 8.64 8.08

K2O 5.29 5.18 6.06 6.43 5.81 6.12

Fe2O3 4.44 5.68 5.63 2.41 4.30 4.89

MnO 0.13 0.16 0.18 0.04 0.12 0.11

TiO2 0.28 0.34 0.32 0.14 0.27 0.26 i L.O.I. 1.00 1.53 1.11 1.23 1.22 0.80 ô G g 10 ..a 0~. .a r A TABLE # 3 (b)

CHEMICAL ANALYSIS - CRUDE -30 MESH

ELEMENT COW 7 COW 8 COW 9 COW 10 COW 11 COW 12 93 93 93 93 93 93

% % % % % %

SiO2 55.40 53.60 54.30 58.20 54.80 54.70

Al 2O3 20.30 21.40 23.50 22.40 23.00 23.30 Ca0 3.61 3.56 2.20 1.63 2.49 2.24

MgO 0.18 0.18 0.11 0.15 0.17 0.15

Na2 O 7.36 7.83 9.50 8.06 8.52 8.61

K2O 5.58 5.54 4.79 6.43 5.63 5.77

Fe2 O3 5.33 5.05 4.79 2.14 3.80 3.82 MnO 0.09 0.11 0.06 0.02 0.06 0.07

TiO2 0.31 0.42 0.19 0.11 0.25 0.27 L.O.I. 1.82 2.15 0.54 0.70 1.13 0.84

11 TABLE # 3 (c)

CHEMICAL ANALYSIS - CRUDE -30 MESH

ELEMENT COW 13 COW 14 CAW 2 CAW 3 CAW 4 93 93 94 94 94

SiO 2 54.80 55.90 56.60 55.00 54.60

A1203 21.50 22.30 20.30 21.90 22.10 CaO 3.18 2.80 2.90 2.58 2.73

Mg0 0:15 0.23 0.06 0.09 0.12

Na20 7.98 8.01 7.74 7.82 8.47

1<20 5.14 5.17 3.86 6.02 5.36

Fe203 6.20 4.08 6.65 4.95 5.22

Mn0 0.15 0.08 0.13 0.13 0.06

TiO2 0.36 0.32 0.35 0.30 0.32 L.O.I. 0.46 0.87 1.29 0.99 0.88

TABLE # 4 (a)

CHEMICAL ANALYSIS - SEPARATED PRODUCTS -30 x 200 MESH

ELEMENT COW 1 COW 2 COW 3 COW 4 COW 5 COW 6 93 93 93 93 93 93

• %

SiO2 57.60 56.40 57.50 57.30 56.50 57.50

A1203 23.80 24.20 23.50 23.90 23.60 23.80 CaO 1.68 2.33 1.94 1.71 2.47 1.77

MgO 0.01 0.03 0.01 <0.05 <0.05 <0.05

Na20 8.50 9.35 8.88 8.87 8.73 8.55

K20 7.20 5.92 6.87 6.69 6.64 7.04

Fe203 0.107 0.153 0.118 0.079 0.138 0.127 Mn0 trace trace trace 0.01 0.01 0.01

TiO2 0.02 0.03 0.03 0.02 0.02 0.02

~.. L.O.T. 1.19 1.55 1.28 1.17 1.72 1.14 0 E ag 13 TABLE # 4 (b)

CHEMICAL ANALYSIS - SEPARATED PRODUCTS -30 x 200 MESH

ELEMENT COW 7 COW 8 COW 9 COW 10 COW 11 COW 12 93 93 93 93 93 93

SiO2 59.20 57.80 57.20 59.50 57.20 57.10

A1203 22.20 23.00 24.20 23.40 23.70 24.10 CaO 2.67 2.87 1.79 1.45 1.81 1.57

Mg0 <0.05 <0.05 <0.05 <0.05 <0.05 <0.05

Na20 7.91 8.44 9.84 8.54 9.26 9.31

K20 6.13 5.70 5.79 6.94 6.42 6.53

Fe203 0.110 0.121 0.087 0.075 0.086 0.106 Mn0 0.01 0.01 0.01 <0.01 <0.01 <0.01

Ti02 0.02 0.05 0.01 0.01 0.02 0.02 i L.O.I. 1.76 1.83 0.89 0.85 1.30 0.99 P E 14 »â ~.0 0~ TABLE 4 (c)

CHEMICAL ANALYSIS - SEPARATED PRODUCTS -30 x 200 MESH

ELEMENT COW 13 COW 14 CAW 2 CAW 3 CAW 4 93 93 94 94 94

SiO 2 58.70 58.50 61.10 58.00 57.40 A120 3 23.30 23.70 21.80 23.70 24.00 CaO 1.37 1.99 2.67 1.54 1.65

Mg0 <0.05 <0.05 0.01 0.04 0.04

Na20 8.91 8.61 8.26 8.20 9.16

K20 6.62 5.82 4.38 7.12 6.37

Fe203 0.174 0.117 0.093 0.128 0.097 Mn0 <0.01 <0.01 <0.01 <0.01 <0.01

TiO2 0.03 0.03 0.008 0.009 0.011 r ~ L.O.I. 0.82 0.98 1.72 1.19 1.15 ô E g 15 as ,:m ~ 5.0 ADDITIONAL SEPARATION TESTS

Selected samples with high residual iron content which had only received one high intensity pass were re-processed by giving them an additional high intensity pass over the magnetic separator.

The second pass products were analyzed for Fe2O3 and the results compared to the original Fe2O3 content with the following results:

TABLE # 5 SAMPLE # INITIAL Fe2O3 AFTER 2ND. HIGH INTENSITY COW 05 0.138 0.119 COW 06 0.127 0.114 COW 07 0.110 0.090 COW 08 0.121 0.116 COW 12 0.106 0.102 COW 13 0.174 0.162 COW 14 0.117 0.117

Results show that the second high intensity pass is only partially effective in reducing the Fe2O3 content. Microscopic examination of prepared size fractions clearly showed that the fraction 30 x 40 mesh contained many grains to which mafic minerals were- attached. These middling type particles obviously did not respond to the magnetic separation, contributing to the high residual iron content of some of the product.

To illustrate this fact selected (separated) samples were screened to remove the -30 x 40 mesh fraction and the -40 mesh fraction analyzed. This gave the following results as shown on table # 6.

I.M.D. Laboratories Ltd. TABLE # 6

Fe2O3 CONTENT OF -40 X 200 MESH SIZE FRACTION

SAMPLE # ORIGINAL Fe2O3 -40 x 200 MESH A.NALYS I S FRACTION

COW 4 - 93 0.079 0.078 COW 5 - 93 0.119 0.078 COW 6 - 93 0.114 0.096 COW 7 - 93 0.090 0.069 COW 8 - 93 0.116 0.076 COW 9 - 93 0.087 0.069 COW 10 - 93 0.075 0.062 COW 11 - 93 0.086 0.073 COW 12 - 93 0.102 0.078 COW 13 - 93 0.162 0.102 COW 14 - 93 0.117 0.094

CAW 2 - 94 0.093 0.072 CAW 3 - 94 0.128 0.084 CAW 4 - 94 0.097 0.082

These results clearly show that the -40 x 200 mesh fraction is much cleaner than the original -30 x 200 mesh fraction. This confirms the microscopic observations. In the -30 x 40 mesh fraction the mafic minerals were not completely liberated resulting in poor separating efficiency.

To show this, a sample of crude unseparated -30 x 200 mesh was screened into two fractions i.e. -30 x 40 mesh and -40 x 200 mesh. Each of these fractions was then processed by magnetic separation using a low, medium and two high intensity passes.

This gave the following results:

I.U.D. Laboratories Ltd. 5.1 MAGNETIC SEPARATION OF TWO DIFFERENT SIZE FRACTIONS

SIZE FRACTION SIZE FRACTION -30 X 40 MESH -40 x 200 MESH % MAGNETICS % MAGNETICS

Low Intensity Waste 3.91 9.68 Medium Intensity Waste 21.05 15.73 1st. High Intensity Waste 7.21 4.39 2nd. High Intensity Waste 2.65 2.14

Non Magnetics 65.17 68.09

% Fe203 0.173 % . 0.098 %

6.0 CONCLUSIONS ON MAGNETIC SEPARATION

The separation of a 40 x 200 mesh fraction results in a significant lower Fe203 level than if the separation is made at -30 x 200 mesh. The original separation test on the -30 x 200 mesh fraction gave a Fe203 of 0.117% while the -40 x 200 fraction iron content is 0.098%.

Sample # COW 14 is one of the lower quality samples.

■

I.M.D. Laboratories Ltd. 7.0 PRODUCT CHEMISTRY

The resulting products after magnetic separation show minor variability in the Al2O3, CaO, Na2O and K2O content. Part of the CaO is contributable to the presence of calcite, which in itself is uncommon for nepheline syenite.

Samples COW 7-93 and CAW 2-94 are lower in Al2O3, Na2O and K2O, indicating a lower nephelite content. The chemical value of these two samples is below the typical value for commercial grades of nepheline syenite.

The ratio Na2O : K2O is different than for Blue Mountain Unimin nepheline syenite, which typically has a 2:1 ratio for Na2O : K2O while these samples are in the l.3 to 1.5 : 1 Na2O : K2O ratio.

The variation in CaO content is of some concern. With uniformity of utmost importance in glass raw materials, the variation as shown by these samples is greater than what is likely to be acceptable. Uniformity can be improved by selective mining and/or blending.

Recovery is lower than for the Unimin ore which has typical product yields in the low 80% range. This lower recovery is caused by the higher level of mafic minerals present in the submitted samples.

Further work on the deposit is considered warranted.

I.M.D. Laboratories Ltd.

l LLB -Laooracory JCrY1L.S Technology Sales & Licensing HP ME 03 078 G6 Corning, New York 14831 800-235-2357 607-974-6601 fax 607-974-6522 Page 1 of 3 October 19, 1994

Mr. David L. Crouse CELS Client No.: 14990-001 CORNING U.S. Borax Inc. Date Received : 15-SEP-94 5301 B Capital Boulevard Date Reported : 18-OCT-94 Raleigh, NC 27604 Reviewed & /~ I Approved by vl~ 4) Wayne A. Wallding Copy to: CELS File Business Manager

SAMPLE IDENTIFICATION: Nepheline Syenite; CW-4 and CW-10

ANALYSIS REPORTED: Exhibit A Isothermal Melts with Seed (Bubble) and Grain (Stone) Counts

COMMENTS:

Client Purchase Order No. Direct questions regarding this report to Wayne Wallding, CELS office.

NOTE: This report shall not be reproduced except in full, without the written approval of CELS - Corning Laboratory Services.

CONFIDENTIAL: This CELS report information is to be used only for account 14990.

Page 2 of 3 LABORATORY ANALYSIS REPORT

CELS Client No.: 14990-001

Exhibit A: Isothermal Melts with Seed (Bubble) and Grain (Stone) Counts

Nepheline Syenite Samples CW-4 and CW-10 were introduced to soda lime glass batches to produce a composition of that typical to container glass. That target composition being: Oxide Wgt. % Si02 73.3 Na2 O 13.5 Ca0 10.8 A1202 1.9 K20 .5 MgO .1 The batch weights used were: Batch Weights (gms) Raw Material CW-4 Batch CW-10 Batch Common Sand 439 437 Common Soda Ash 138 138 Common Limestone 124 124 Common Salt Cake 2.5 2.5 Nepheline Syenite CW-4 47.0 0 Nepheline Syenite CW-10 0 49.0 These batches were mixed and then melted in 500 cc sized platinum crucibles for 2 hours at 1400°C. The glass was annealed at 540°C in the crucibles and after cooling 1 1/2„diameter cores were core drilled from each crucible. Slices were then taken from each core and ground and polished on both sides. The slices were measured for number of seeds (bubbles) and grains (stones). These results are as follows: Melt Seeds/cu.in. Grains/cu.in. CW-4 8100 0 CW-10 8150 0 Typical feldspar and nepheline syenite materials used in the industry fall into the same range for seed and grain counts when melted in batches under the same conditions. These standard batches typically yield seed counts in the 7900-8300 per cubic inch range and grain counts of <1 per cubic inch.

CONFIDENTIAL: This CELS report information is to be used only for account 14990. Page 3 of 3 LABORATORY ANALYSIS REPORT

CELS Client No.: 14990-001

Exhibit A: Isothermal Melts with Seed (Bubble) and Grain (Stone) Counts

There is no significant difference in meltability between materials CW-4 and CW-10, nor standard materials. Samples of the polished core slices are being sent with this report.

CONFIDENTIAL: This CELS report information is to be used only for account. 14990. 5 .uwrpuraccu CELS —Laboratory Services Technology Sales & Licensing HP ME 03 078 G6 Corning, New York 14831 800-235-2357 607-974-6601 fax 607-974-6522 Page 1 of 7 November 1, 1994

Mr. David L. Crouse CELS Client No.: 14990-002 CORNING U.S. Borax Inc. Date Received 04-OCT-94 5301 B Capital Boulevard Date Reported : 31-OCT-94 Raleigh, NC 27604 Reviewed & Approved by Wayne A. Wallding Copy to: CELS File Business Manager

SAMPLE IDENTIFICATION: Nepheline Syenite Rock Samples and Non-Magnetic Fraction Product Samples

ANALYSIS REPORTED: Exhibit A Microscopic Analysis with Polarized Light Microscopy/ Dispersion Staining (PLM/DS)

COMMENTS:

Client Purchase Order No. Direct questions regarding this report to Wayne Wallding, CELS office.

NOTE: This report shall not be reproduced except in full, without the written approval of CELS - Corning Laboratory Services.

CONFIDENTIAL: This CELS report information is to be used only for account 14990. GENERAL REPORT INFORMATION

1. Further Assistance

If further assistance is required regarding this report, please call 800-235-CELS for a reply ro your questions.

2. Confidentiality

All analytical data and consulting commentary of the client's account will be secured and held in the strictest confidence. All reports are marked CONFIDENTIAL for use only by CELS for the client. However, with the client's prior consent, CELS may, when deemed appropriate, consult with the proper Corning division.

3. Liability

Notwithstanding any contrary provision in any client purchase order or other document, CELS or Corning Incorporated total liability for any work performed hereunder shall be limited ro replacement of, or refund of an amount nor to exceed the sales price of the services rendered. Corning's selection of one of these alternatives shall be client's exclusive remedy. IN NO CASE WILL CORNING BE LIABLE FOR CONSEQUENTIAL OR SPECIAL DAMAGES EVEN IF CORNING HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. Your acceptance of delivery and payment for the services covered hereby or any parr of them shall be deemed to constitute your assent ro the terms of the general report information to the exclusion of all conflicting terms on any of your purchase orders.

4. Invoicing and Payment

Purchase orders should be submitted for all samples not assigned a CELS standing account number. All purchase orders should specify invoicing instructions and include desired invoicing address. However, concerning payment, without regard to any conflictive provision in any purchase order, all services performed by CELS have payment terms of net 30 days. 4

Page 2 of 7 LABORATORY ANALYSIS REPORT

CELS Client No.: 14990-002

Exhibit A: Microscopic Analysis with PLM/DS

Results and Discussion

Three nepheline syenite rock samples and two non-magnetic fraction product samples were analyzed by petrographic (PLM) and dispersion staining (PLM/DS) techniques in order to investigate causes of low level iron (e.g.: approx. 0.08 Wt. % Fe 203 ) in the final product. This analysis indicates there are three inter-related causes of iron in the final product: 1) liberated particles of weakly magnetic biotite, amphiboles, and pyrite that were not removed by the customer's magnetic separation process, 2) non-liberated ferromagnesian fragments entrained with the feldspar and nepheline components of the sample, and 3) tiny ferromagnesian crystallites encased within the feldspar and nepheline components. A somewhat more aggressive grinding of the raw material accompanied with a more efficient magnetic separation should cut the iron content in the final product in half but a finer sized product is probably not desired. More efficient magnetic separation alone will probably not achieve a significant reduction of iron in the final product.

Petrographic analysis of the thin-sectioned rock samples identified nearly similar mineralogical compositions. Sample CW-01-94 seemed to contain a higher frequency of the tiny ferromagnesian crystallites encased within the feldspar and nepheline zones. Otherwise, the three specimens were comprised of feldspars, nepheline, cancrinite, amphiboles, biotite mica, calcite, corundum, and opaque minerals including pyrite.

Micrographs #1 through =3 depict the presence of the tiny ferromagnesian (amphiboles) crystallites present in the feldspars of the thin-sectioned nepheline syenite rocks. The thin-sectioned specimens will be returned with this report.

Dispersion staining (PLM/DS) analysis of the non-magnetic fraction ~_. product samples, CW-4 and CW-10, identified the same mineral constituents as were identified in the thin-sectioned rock specimens. The benefits of being able to examine these final product specimens are most apparent in that the presence of non-liberated ferromagnesian mineral fragments entrained with the feldspar and nepheline particles could be directly proven. Micrographs #4 and 45 show a few cf these features.

High intensity rare-earth magnetic separation of the two non-magnetic fraction products was able to isolate additional iron-bearing mineral particles from each sample. The separation of sample CW-4 removed 0.04 Wt. % of the total product--the separated particles were later identified to be biotite mica, amphiboles, and pyrite. The separation of sample CW-10 removed less than 0.03 Wt. % of the total product. Biotite mica and amphiboles were identified but pyrite was not included.

CONFIDENTIAL: This CELS report information is to he used only for account 14990. Page 3 of 7 LABORATORY ANALYSIS REPORT

CELS Client No.: 14990-002