GM 15663 REPORT ON THE PROPERTIES

REPORT ON THE PROPERTIES

of

FAB METAL MINES LIMITED

by

Lionel R. Simard, M.Sc., P. Eng.

:4.*râi..s ~ ~eâNC:rAUX

Na / d b 4.„

Toronto, 1 November 20, 1964 i ~~~ ~.,..~ t ~ -1 ,~ ; REPORT ON THE PROPERTIES

of

FAB METAL MINES LIMITED

INTRODUCTION The Company holds title to mining properties located as follows: Ontario 1. Cardiff Township Quebec

2. Urban Township - Three Properties "A", "B" and "C" ~ 3. Carpiquet Township 4.. Barry Township New Brunswick 5. Parish of Bathurst, County of Gloucester. 6. Otter , County of Gloucester

The character, extent and condition of surface exploration and development of each are described below.

No surface plant or equipment is present on any of these properties.

There has been no underground exploration or development (except diamond drilling from surface, where mentioned) and no underground plant or equipment is present on any of the properties During 1964 work was done on the Barry Township property and on the New Brunswick property in the Parish of Bathurst.

Exploration work was carried out in the general area of Urban, Carpiquet and Barry Townships in Quebec. The company has acquired claims as a result of this work. 1. ONTAR:LO - CARDIFF TOWNSHIP

PROPERTY The company holds mining rights on eight surveyed and patented mining claims numbered .company to E0-6210, E0-7945, E0-7946, EO-6214 and E0-6215. The first six claims form a contiguous group and are largely covered by the waters of Paudash Lake. Claims EO-6214 and 6215 lie to the east of the previous group and are one claim removed. In addition the company holds title to both surface and mineral rights on the east one-half of lot 10, concession 4, Cardiff Township, containing approximately 40 acres. LOCATION, ACCESS, ETC. The property lies some 40 miles northeasterly from the City of Peterborough. It is easily reached from paved highway No. 28, which passes within 2 miles of the claim group, by secondary roads which traverse the claim group. The town of Bancroft is situated about 14 miles to the northeast of the property on highway No. 28. The claims adjoin to the south and east of the property of Bicroft Uranium Mines Limited which bas been a substantial producer of uranium oxides for the past four and a half years. This property is now the Bicroft Division of Macassa Gold Mines Limited. Topographical relief is rather low. There are a number of cleared fields scattered over the eastern area of the claims. Paudash Lake covers a large portion of the western half of the property. The land portion of the property has been generally cleared of timber. PREVIOUS WORK The economic potential of the property has been investigated by geological mapping, a geiger counter survey of all outcrop areas and by two diamond drill holes totalling 1,833 feet of drilling. GEOLOGY The area is underlain with biotite hornblende and granite gneisses and crys- talline limestone dolomite and greywacke and intruded with stocks and dykes of granite, syenite and gabbro. The consolidated rocks which outcrop on the eastern half of the property are composed of an assemblage of paragneisses including crystalline limestone, dolomite, greywacke and biotite gneiss. These have been intruded by small dykes of pink granite. The western portion of the property is covered by a part of Paudash Lake.

The east half of lot 10, concession 4, is underlain by sedimentary gneisses. There are no known radioactive occurrences on the property and there is no recorded program of exploratory work.

- 2 ECONOMIC GEOLOGY

Deposits of radioactive minerals including those of uranium, thorium and rare earths have been located in several places in the area. These are contained in pegmatite-like dykes usually located in the gneissic formations between the intrusive granites and the Precambrian limestone series. A substantial production of uranium oxides was obtained from three deposits in the area. Production has now ceased. A number of pink granite dykes mapped on the property in 1953 were found to be slightly radioactive.

In the northern part of the property, on claim E0-7945, two drill holes were completed early in 1951+ to attempt to reach the Bicroft Uranium Mines Ltd. ore zone on the assumed projection of its southerly strike projection and easterly dip. In hole No. 1 this zone or a similar one was entered at 598 feet below sur- face and in hole No. 2 at 783 feet below surface. Neither hole was continued to reach the footwafl of the zone. The best assays encountered were in hole No. 1 and are recorded as follows:

Vertical Depth (ft) Core Length (ft) % U308

817 1+.8 0.013 835 2.1+ 0.039 CONCLUSIONS • It seems probable that a geological horizon within which are found intrusive dykes containing radioactive minerals, enters the northwesterly part of the property at a depth of several hundred feet below surface. It has not been determined whether this represents the projection to the south of the Bicroft ore zone. However, there is a marked similarity between the characteristics of r,his zone and the one in which the Bicroft ore deposits occur. Any future effort to explore the property for deposits of radioactive minerals should be concentrated on the favorable horizon already indicated by previous diamond drilling.

RECOMMENDATIONS

Inasmuch as the future market for Canadian uranium production is considered uncertain at this time, it is recommended that no expenditures be made on the property, other than those required to retain title to the mining claims. How- ever, if the situation is clarified at some future date, in favor of new or increased production of uranium oxides, then some consideration should be given to additional diamond drilling on the property.

0

2. QUEBEC - URBAN TOWNSHIP - PROPERTY "A"

PROPERTY

The property of Fab Metal Mines Limited consists of seven (7) unpatented mining claims numbered as follows:

Certificate Claims Registered No.

i /~ -lC.~ - ~ .s 14'6-599- 1 A-285202 2 A-285203 ..,, g_ c ,S 178208 ,R 1 3 4 u 5 These claims are unsurveyed and may be oversize, possibly with an area of 400 acres. LOCATION, ACCESS, ETC. The ;property is located in the west central part of Urban Township, County of Abitibi East, Province of Quebec. The Penache and Macho rivers junction and flaw through the property. • The best means of access to the property is by aircraft based at Senneterre, Quebec. Numerous and rivers near and on the property afford many landing bases for bush aircraft.

TOPOGRAPHY AND PHYSIOGRAPHY The surface of the property is quite flat, broken only by a few low hills that seldom reach elevations of 75 feet above the swamp and muskeg. Bedrock exposures are scarce.

GEOLOGY The consolidated rocks in the immediate area are all Precambrian in age. They consist of Keewatin type intermediate to basic lavas, cut by minor basic intrusives.

The strike of the rocks is generally east west with dips from 40 to 80 degrees to the south.

Regionally the rocks have been closely folded, forming a large synclinorium, flanked by acid intrusives and gneissic derivatives. A regional fault, paralleling the Macho river lineament, passes near the • western limits of the property.

4 ECONOMIC GEOLOGY

Up to the present time, gold is the only metal that has been found in any quantity in the area. It usually occurs in quartz veins and mineralized shear zones. In the latter type, pyrite with lesser amounts of pyrrhotite and chalco- pyrite and other sulphides are generally disseminated throughout the rocks in these zones.

In the past, it can be stated that the covering mantle of overburden has prevented any systematic search for both gold and base metal deposits. Advanced instrumentation of geophysical methods affords a new approach to such overburdened areas.

PREVIOUS WORK

In November 1958 an aerial electromagnetic survey was conducted over the two northerly claims of the property as presently constituted. The results of this work indicated two relatively weak anomalous zones.

In 1959 the northern claims were included in widely spaced ground magnetic profiles and helicopter electromagnetic surveys.

In 1960 an electromagnetic survey was conducted which included claims No. 1 and 2 of Certificate 146559: This work consisted of a reconnaissance type electromagnetic survey. Pace and compass traverses were conducted from a cut and picketted base line. These traverses were run at right angles to the base line at intervals varying from 300 to 1150 feet. Additionally, some magnetic work was done on claim 2, Certificate 146559

An electromagnetic anomaly was outlined trending across the southern part of claim 2, Certificate 146559.1 It strikes N600E, astronomic, varies in width and exhibits ratios of the order of 0.5 to 0.6 of the in-phase to out-of-phase components of the secondary field. These ratios are a measure of the conductivity of the conductor and in this instance are diagnostic of a poorly conductive body.

The anomaly was investigated by 815 feet of diamond drilling in three holes. The holes all cut an interbanded sequence of rhyolite, rhyolite porphyry, quartz porphyry and tuffs. The tuffs are well bedded, graphitic and contain disseminated pyrite and pyrrhotite. A few grains of chalcopyrite were noted in one hole. Extensive sampling of the core returned assays of from nil and trace in gold and silver to highs of 0.06 ozs. in gold and 0.10 ozs. in silver per ton.

From these results it is concluded that the E.M. anomalous zone, which is coincident with the resistivity anomaly, is caused by well bedded tuffs, partly graphitic and carrying pyrite-pyrrhotite sulphide mineralization. In addition, disseminated magnetite is also present. The rocks are slightly sheared, but the shearing is not so intense as to suggest that a regional shear zone is present in this band of rocks on the property.

In October, 1962, 341.2 feet of diamond drilling in one hole, was bored on claim No. 1, Certificate 178208: The log of this hole, in the company files, shows that it intersected andesite and granodiorite which was described as coarse,

5 becoming intensely sheared in the last 4o feet and lightly mineralized with pyrite. Arr! The core was logged by Earl M. Wilson. IIP RECOMMENDATIONS

In view of the inconclusive results obtained from the diamond drilling, it is recommended that any further drilling be deferred pending further surface work in the form of prospecting, geological surveying and a magnetometer survey on the five claims, numbers 1 to 5 of Certificate No. 178208,' which have not been covered in this way. January 6. 1965

ob Metal Mines Limited fIuite 509 - Z5 Adelaidz St. West Toronto 1, Ontario

fie: Report for Qualification 1.1.1.4.01101910.0..100.411.011.01* Deer Sirs:

This letter will authorize you to make the following :...orrections to my report dated Novens,ber ZO, 1964:

Page 4, 4th line correct 146599 to 146559 V Page 7, Ind * correct Z16654 to Z16645

Page 8 # Ltd, * correct 175736 to 175787 (this correction to be made on carve map also) Page 9, Srd lane correct 199105 to 199105-A this correction to be made on corresponding map also) All thèse were errors 4224 the above changes will correct the report.

Yours very truly.,

iree>le 4443-6goe

tonal . Sizneeird, 1z,.. _Eng. 1..1,131g 2. QUEBEC - URBAN TOWNSHIP - PROPERTY "B" tr-s- ~. i • SUMMARY ~ X. 6 ~ G °( ~ This property consists of 10 unsurveyed and unpatented mining claims comprising numbers 1 to 5 inclusive of License No..-21665k,and numbers 1 to 5 inclusive of License No. 212867. The claims are contiguous and form a block 5 claims long north to south by 2 claims wide east to west, and cover an area of about 1+00 acres. There is no recorded history or, exploratory work on this ground prior to its acquifsition except that the claims were acquired as a result of an exploration program conducted by the company and to cover an aerial magnetic anomaly as shown on Map 1812G of the Geological Survey of Canada.

The property is underlain by acidic to basic lavas with some tuff and greywacke. It is situated in a general area in which there is base metal mineralization as well as precious metals. CONCLUSIONS and RECCfi4MENDATIONS The geology of the ground is considered to justify exploration. Planning of further investigation, if any, should be deferred pending results from the ground geophysical surveys, magnetic and electromagnetic, now in progress.

• 3. QUEBEC - URBAN TOWNSHIP - PROPERTY "C" SUMMARY This property consists of 15 unsurveyed and unpatented mining claims comprising numbers 1 to 5 inclusive of Licenses Nos. 218051, 218052 and 218058. The claims are contiguous and form a block 5 claims long, north to south by 3 claims wide east to west, and cover an area of about 600 acres. There is no recorded history of exploratory work on this ground prior to its acquisition, except that the claims were acquired as a result of an explor- ation program conducted by the company and to cover an aerial magnetic anomaly as shown on Map 1812G of the Geological Survey of Canada.

The property is in a swampy area with no outcrops. It is probably under- lain by basic to intermediate lavas. CONCLUSIONS and RECOMMENDATIONS The property is situated in an area known to be mineralized and the ground is worth of exploration. Planning of further investigation, if any, should be deferred pending results from the ground geophysical surveys, magnetometer and electromagnetic, now in progress.

7 3. QUEBEC - CARPIQUET TOWNSHIP

• PROPERTY This property consists of five claims as follows: Certificate No. l7578Y Claims 1 - 5 inclusive They form a contiguous group 5 claims east to west, situated in the east central portion of Carpiquet township. The claims are unsurveyed and unpatented and are thought to cover an area of about 200 acres. LOCATION, ACCESS, ETC. The property is reached by aircraft as it lies 90 miles northeast of Senneterre, an air base, and is 4 o miles from the nearest railroad or highway. TOPOGRAPHY The claims are on the higher ground in the district which rises from muskegs to the south. They are covered by stands of and poplar.

GEOLOGY The property is considered to be underlain by a belt of tuffs and greywackes within a larger area of greenstone. The greenstone occurs as a belt extending to the east where it is shown on Map 511 which accompanies Report No. 28, Wetetnagami River area of the Department of Mines, Province of Quebec. The greenstone belt is also described in Report No. 14+, Barry Lake area. The belt of sediments is less than a mile wide and lies about a mile south of the north contact between the Keewatin greenstones and granitic intrusives. Outcrops are rare in the area and surface mapping as a result is generalized. ECONOMIC GEOLOGY A limited amount of sampling and packsack drilling was done on rusty outcrop areas with rusty sections of weathered sulphides. During a survey by George W. Sander, covered by his report dated October 9, 1960, an E.M. anomaly was found in this area and is considered to be caused by a zone of pyrite and pyrrhotite carry- ing values in copper and nickel mineralization. The E.M. anomalies are not con- tinuous but lenticular in nature and there is a suggestion of more complicated structure than shown in the government maps. A Magnetometer survey was conducted over the zone of the electrical anomalies. Magnetic and Electromagnetic anomalies were found to coincide well.

During 1963 the program at the property consisted entirely of surface work in the form of prospecting, trenching, etc. Results of this work were inconclus- ive. No work was carried out on this property during 1964. RECOH,dENDATIONS It is recommended that an initial program of a minimum of 1,000 feet of diamond drilling be performed on the coincident E.M. and Magnetic anomalies in the western portion of the property which, except for geophysical work, is entirely unexplored.

8 4. QUEBEC - BARRY TOWNSHIP

PROPERTY The property consists of six (6) unpatented and unsurveyed mining claims numbered as follows:

Cert.No. 199104, Claims 1 to 5 incl., Cert.No. 199105, Claim 1 The group covers an area of approximately 240 acres, possibly a little more.

LOCATION, ACCESS, ETC. The group is situated in the north central portion of Barry Township in Abitibi East, Quebec. The Barry-Urban township line is the north boundary of the claim group. Macho river runs through the two southerly claims.

The claim group is most conveniently reached by air from Senneterre;, Quebec an air base some 80 miles distant to the southwest, as the closest railway or road are some 50 miles to the west.

TOPOGRAPHY In general relief is low with irregular hills and ridges rising less than 100 feet above the surrounding terrain. Small lakes are present on the north- westerly claim, No. 1 of Certificate No. 199104. The property is drained by the Macho river. Fair timber occurs close to the river. GEOLOGY General - The consolidated rocks of the area are all Precambrian in age. They consist of folded and schisted rocks, believed to be of Keewatin age, and including intermediate to basic lavas with associated basic intrusives, acidic lavas with minor acidic intrusives, pyroclastics and hornblende and mica schists and genisses; and a series of later intrusives including gneiss, granite, syenite, diorite, porphyries, diabase and pegmatite dykes. The greenstones (rocks of Keewatin age) have been closely folded, the axes of the folds arcing from N50°E in the westerly portion of Barry township to S8O°E to the northeast and then swinging abruptly southward, more or less paralleling the Barry Lake intrusive mass. The Souart granitic stock, possibly an offshoot of the Barry Lake gneiss, lies to the west. A larger gneissic mass lies in the next township to the north.

Major faulting is suggested by the displacement of the granite-greenstone contact at the south end of Lac aux Loutres in the southwest portion of Barry township. Its projection northwards on the assumed strike would place the fault near the claim group, possibly a little to the west of it. Small faults along and paralleling Macho river may be related to or form part of the major fault zone.

9 Up to now the only metal found in the area in deposits which could be of interest is Gold. It has been found in (1) quartz veins and (2) in mineralized • shear zones. Numerous quartz veins are present in the greenstone. They are usually small and discontinuous however.

Mineralized shear zones occur chiefly along the southern margin of the greenstone belt. Some, of considerable width, carrying low values in gold are known. The gold appears to be related to late quartz which filled spaces in fractures formed in the shear zones. Widespread overburden and few outcrops are characteristic of the area. Property Geology - The claim group is underlain by Keewatin greenstones which form part of an "open anticlinal fold" within the synclinorium.

Two fault zones are present on the property. One strikes North-South paralleling the Macho river on claim 199105-1 and the other striking northeast- erly and transecting the other fault near the island in Macho river at the Eastern boundary of the same claim. In 1961 aerial geophysical surveying disclosed a fair E.M. conductor with magnetic correlation just north of the island in Macho river in the vicinity of the traneection of the two fault systems mentioned above. A magnetic anomaly, with no E.M. correlation, was found one half mile northeast of the previous • anomaly This was corroborated by a ground magnetic survey. In October 1962 further ground magnetic surveying was done. The results of this suggested that the first anomaly mentioned extends for some 1200 feet northeasterly from Macho river and the second anomaly while very close to the projected strike is separated from it by about 1200 feet. It is of the order of 600 feet in length. Coverage in the magnetic survey was not complete, however, and it is possible that the two anomA lies are really one but cut and offset by a fault. In November 1962 a Weinke diamond drill was employed on the property. With this light equipment three holec were drilled in the anomalous area immed- iately north of Macho river. The rocks encountered were mostly andesite but also included were diorite and feldspar porphyry. Minor quartz and quartz car- bonate veins were logged. Sulphide mineralization was sparse. An attempt was made to drill three more holes in the same area but was not successful as the equipment could not cope with the gravel encountered in the overburden. 150 feet of core were recovered from the drilling. During 1964 a diamond drill hole was bored for a length of 80 feet. It is reported to have cut 3.5 ft. of diorite mineralized with pyrite and finished in andesite. Overburden frustrated further attempts at drilling with small equip- ment. CONCLUSIONS Geophysical surveys covering a portion of the property revealed interest- ing anomalous conditions in an area marked by fault zones. Very limited diamond drilling revealed the presence of intrusives in the greenstones in this area but with no significant mineralization. The work done so far has not been sufficient to prove nor disprove the potential of the geological conditions outlined.

RECCMNIENDATIONS Ground E.M. and Magnetometer surveys should be conduted over the whole property in systematic fashion. The anomaly outlined by aerial surveys in the portion of the property covered by the Macho river should be surveyed in the winter time when ice is available from which to work. An initial program of a minimum of 1,000 feet of diamond drilling should be done to test the known anomalous areas. This would allow two holes of 250 feet each to test the anomaly just north of the Macho river, one hole of 250 feet to test the anomaly 2500 feet northeasterly from Macho river and allow for one hole under Macho river. Any further drilling should be done with larger equipment than that used. This should overcome the problem posed by the overburden. The drilling should be deferred until the results of ground surveys, out- lined above, are known. The advisability of more drilling, particularly in the Macho river area, may be suggested by these results. 5. NEW BRUNSWICK - PARISH OF BATHTJRST COUNTY OF GLOUCFS'ia

GENERAL Exploratory work on this property during 1964 consisted of a gravity survey over a portion of the property and the boring of 2,351 feet in six diamond dri17 holes to test anomalies revealed by this and previously conducted geochemical surveys. All these holes, except 64-4, intersected sulphide mineralization, most of which is pyrrhotite-pyrite and which is regarded as the cause of the gravimetric response. Hole 1964-6 intersected a wide zone of low grade zinc- lead-copper-silt':2 mineralization but did not improve upon the base metal conteit of the earlier holes. The best intersection of hole 1964-6 was 5 ft. of 1.43% lead. Results from follow-up hole 1964-7 were inconclusive. However, due to excessive flattening of this hole it is doubtful whether the theory of the southerly plunge has been adequately tested. SUMMARY This large property is well situated with respect to copper-zinc-lead- silver orebodies in the district. It has been investigated by geological mapping, geophysical and geochemical surveys and by some 35,000 feet of diamond drilling. The most encouraging results appear.to lie in the vicinity of hole 1964-6.where insufficient work has yet been done to fully investigate base metal potential. CONCLUSIONS

There remain potentials yet to be investigated on this property which is well located between known orebodies. The geological setting is complex and requires serious study by a competent geologist familiar with the intracies of the geology of the immediate vicinity of the property.

RECOMMENDATIONS It is recommended that the geology of the property be thoroughly studied by a competent geologist familiar with the detailed local structural and economic geology to evaluate the potentials of the property. Provision should be made for drilling a minimum of 2,000 feet, at an estimated cost of $10,000 for the preliminR.ry.program expected from implement- ation of the previous recommendation. Additional drilling might well be requirec:.

PROPERTY

This property consists of eighty-one (81) Miring: claims, held under Mining License No. 882. Claim numbers are as follows:'

1450 claim (s) 6 & 7 1453 claim' 1 1451 claim s) 8 & 9. 1454 claim (2) 2 & 3 1452 claim 10• 1455. claim 4 1416 claims 11-20 incl. 1420 claims 7-10 incl. 1413 claims 11-20 incl. 1412 claims 15-20 incl. 1411 claims 11-20 incl. 1415 claims 11 & 12, 15-18 incl. 1414 claims 11-20 incl. 1408 claims 11-14 incl. 1419 claims 6-10 incl. 4262 claims 8A-14A incl. The property contfins approximately 3,796 acres. Its outer boundaries have been surveyed.

LOCATION, ACCESS, ETC. The group of claims is situated in the Pabineau River area, Parish of Bathurst, County of Gloucester in the Province of New Brunswick. The property is traversed by a good gravel road from the town of Bathurst, N.B. This road leads to the two mineral deposits of the Brunswick Mining and Smelting Company Limited, situated a few miles to the north and to the south of the subject property. The surface is relatively flat except along creek beds. It is covered by spruce and second growth hardwood. The Pabineau River crosses the southern part of the property.

GEOLOGY The consolidated rocks of the property consist of an interbanded series of sediments, Quartz Feldspar porphyry and Quartz Porphyry. All are believed to be of Ordovician Age. The formations strike generally northwest with westerly dips varying from 45 to 70 degrees. There are abrupt local changes in the attitude of these rocks, suggestive of minor structures, as regionally the rocks occupy a large fold. GrAr;tic rocks are present in the eastern portion of the property.

ECONOMIC GEOLOGY In the district there have been found numerous sulphide bodies carrying appreciable values in copper-zinc-lead and silver. These bodies are massive replacement types and almost invariably occur near or are associated with the Porphyry and chloritic sedimentary contacts. Sulphide mineralization occurs in other rock types but such deposits do not approach the tonnage and tenor of those which occur along the porphyry-chloritic sediment contact. A copper bearing zone in a rhyolitic formation has been reported by Maritime Mining Corporation Limited on their holdings south of Fab Metal Mines Limited, approximately one mile south of the common boundary.

- 13 - The rock formations present on the Fab property are essentially the same lithologically and of the sane stratigraphic sequence as those in which the better grade copper-zinc-lead-zilver deposits occur in the area. Local structures, such as drag-folding, strong shearing and subsidiary fracturing are major focal points for sulphide replacement. Close study of detail structure and lithology are required to locate favorable conditions. WORK DONE

Work done to date on the property includes the following: 1. A grouna magnetic survey of the entire property with check surveys over many areas. 2. An electrical resistivity survey of a large portion of the property. 3. An electromagnetic survey of 80% of the property with check work over selected areas.

4. Gravimeter profiles across anomalous cones in several parts of the property.

5. Mora than 35,000 feet of diamond drilling in more than eighty holes have been bored.

6. Geochemical surveying has been conducted over selected portions of the property. 6. NEW BRUNSWICK - OTTER LAKE AREA COUNTY OF GLOUCESTER

PROPERTY

This property consists of 25 unsurveyed and unpatented mining claims comprising Nos. 173701 to 173725 inclusive of License No. 8532 and has an area of about 1,000 acres.

LOCATION, ACCESS, ETC.

Tim, claims are situated near 47°4+l'N, 65°57'W in 21P/12 of the National Topographic system. They lie some 23 miles N25°W from Bathurst Station and may be reached from there by roads, either through Free Grant or Nicholas Denys which come to within about one mile. A bush road connecting the two passes through the claims. The property lies immediately south of Otter Lake which might possibly serve as an air base. It covers the flank of an aero- magnetic high as shown on ?yap 57G, the Bathurst Sheet. No work is thought to have been done on the property

The property in general lies at an elevation of 750 above sea level and provides the source or headwaters for 9 streams draining away from it in all directions.

GEOLOGY

The consolidated rocks in the district consist mainly of shale and lime- stone with minor volcanic and intrusive rocks considered to be of Lower Devonian age. Lead mineralization, about two miles to the north of the property, is shown on Map 640A (G.S.C. Tetagouche River).in the same general rocks as underlie the property.

CONCLUSIONS and BECCAMENDATIONS

Because of known mineralization in the area and because of the location of the claims on the flank of an aeromagnetic high, it is considered that there is justification for the necessary expenditures of a program of explor- ation.

This program could take the form of a geochemical drainage survey, geo- logical survey and ground geophysical surveys, both magnetic and electromagnetic along parallel lines 200 feet apart.

It is estimated that the recommended program can be done at a cost not exceeding $8,000.

- 15 - SUMMARY

The status of the various properties owned by the company is as follows:

1. Cardiff Township, Ontario This property lies in the Bancroft uranium area. Its potential value is its location adjoining the property of Macassa Gold Mines Limited formerly Bicroft Uranium Mines Ltd. a uranium producer.

2. Urban Township, Quebec Property "A" This property consists of 7 claims. Some geophysical surveying has been done and some 1,156 feet of diamond drilling in four holes was bored.

Property "B" This property was recently acquired as a result of exploration work and covers interesting aeromagnetic anomalies. Ground magnetic and electromagnetic surveys are now in progress.

Property "C" This property was also recently acquired as a result of exploration work and covers interesting aeromagnetic anomalies. Ground magnetic and electromagnetic surveys are now in progress.

3. Cauiquet Township - Quebec This property consists of 10 claims on which E.M. and Magnetometer surveys were conducted. Report in company files recommends drilling two holes.

4+. Barry Township, Quebec This property consists of 6 claims in the north central part of Barry Township. Claims are underlain by greenstont. Geophysical anomalies have been found in a fault zone area beneath Macho river and extending northeasterly. Inconclusive results from previous drilling of six holes with light equipment. During 196+ a hole was bored to 80 feet. It was reported to have cut 3.5 feet of diorite mineralized with pyrite followed by andesite to the bottom of the hole. Overburden frustrated further drilling with light equipment.

5 Parish of Bathurst, County of Gloucester, New Brunswick This large property is well situated between known orebodies. It has been the subject of extensive exploratory effort. These have taken the form of geological surveys, various types of geophysical surveys including gravity, geochemical and in excess of 35,000 feet of diamond drilling in more than 8o holes. It has been investigated for base metal, molybdenum and tin mineralization, among others. This work resulted in establishing the presence of two zones of disseminated sul- phides, one 2,600 feet long and the other 2,800 feet long. Metal content

-16- was low. One of seven holes drilled in 1964 returned 5 feet of 1.48% lead. This was drilled to test a weak gravity anomaly. In view of this result a detailed study of the geology of the property should be made. This should be done by a competent geologist thoroughly familiar with the intricacies of the structural and economic geology of the district.

6. Otter Lake Property]Gloucester Co., New Brunswick This 25;-claim property is in an area underlain mainly by shale and dolomite with minor volcanic and intrusive rocks. An occurrence of lead mineralization is known about two miles to the north in the same sequence of rocks. The property lies on the flank of an aeromagnetic high. The property is thus considered worthy of a preliminary explor- ation program.

RECOMMENDATIONS

1. Cardiff Township, Ontario These claims are patented and title should be kept in good standing by payment of taxes.

2. Urban Township, Quebec Property "A" It is recommended that an initial program of a minimum of 1,000 feet of diamond drilling be performed on the coincident E.M. and Magnetic anomalies in the western portion of the property which, except for geo- physical work, is entirely unexplored.

Property "B" Further investigation should be deferred until results from the geo- physical surveys, now in progress, are received and assessed.

Property "C" Further investigation should be deferred until results from the geo- physical surveys, now in progress, are received and assessed.

Carpiquet Township, Quebec Geophysical surveying should be extended to cover the whole property. Anomalous areas already disclosed should be drilled with equipment su'- ficiently powerful to overcame the difficulties posed by the overburden. The results from the surveys recommended above should be assessed. This could lead to recommendations for further drilling.

4. Barry Township, Quebec The whole of the property should be mapped geologically and the rest of the property not already so covered, be magnetically surveyed. Diamond drilling should then be done, amount unspecified, using equipment large and powerful enough to overcome known problems of penetrating over- burden.

5. Parish of Bathurst, County of Gloucester, New Brunswick That a new and complete assessment of the potentials of the property

. ~ by a competent geologist thoroughly familiar with the economic geology • of the local area, should be made. Provision for drilling a minimum of 2,000 feet of diamond drilling should be arranged in expectation of such a recommendation. It could be more. 6. Otter Lake Property, County of Gloucester, New Brunswick That this 25-claim group be the subject of a preliminary exploration program to consist in the main of ground geophysical surveys - magnetic and electromagnetic. The estimated costs of the various programs recommended are as follows:

1. Cardiff Township, Ontario Taxes only - nominal

2. Urban Township, Quebec Property "A" Completion of geophysical surveys - 5 claims $ 1,500

Property "B'_ No estimate at present time Property "C" No estimate at present time 3. Carpiquet Township, Quebec 1,000 feet of diamond drilling with proper equipment 8i500 4. Barry Township, Quebec Geological mapping, geophysical surveying and diamond drilling with proper equipment 12,000

5. Parish of Bathurst, New Brunswick Thorough review of previous work 5,000 Provision for diamond drilling recommendations expected — 2,000 feet minimum 10,000

6. Otter Laka, New Brunswick Magnetic and Electromagnetic Surveys 8,000 TOTAL $45,000

18

REFERENCES In preparing this report the following sources of information in the files 410 of the Head Office of the Company have been studied: 1. Report by Lionel R. Simard, October 31st, 1963. This report referred to further reports in the files at the Head Office of the Company. Pertinent references are included below. 2. Cardiff Township, Ontario - Report by M. Zurowski, Feb.17, 1960. Urban Township, Quebec 3. Report by George W. Sander, Sept.20, 1960 4. Log of hole drilled in 1963 - Earl M. Wilson Oct. 1, 1963. Carpiquet Township, Quebec 5. Report by George W. Sander, Oct. 19, 1963. 6. Report by M. Zurowski, Sept. 13, 1961. Barry Township, Quebec 7. Report by E. W. Wilson, Jan. 29, 1963. Parish of Bathurst, County of Gloucester, New Brunswick 8. Report by George W. Sander, May 26, 1959. 9. Report by M. Zurowski, Feb. 17, 1960. 10. Reports by C.G.Cheriton, April 1, 1960 and April 29, 1963. 11. Reports by A.B. Baldwin, Oct. 18, 1963, Feb. 21,196. and Oct.11,1964. • 12. Report by J.R. Mowat, Mar. 4, 1963. In addition the following government maps and reports were referred to: 1. Map 58G - Aeromagnetic Series, Department of Mines and Technical Surveys, Ottawa, published 1951. 2. Geological Map of the Maritime Provinces, Department of Mines and Resources, Ottawa, published 19+9 3. Map Area P-7 Upper parts of the Pabineau and Little River Areas, Dept. of Lands and Mines, Province of New Brunswick.

4+. Geological C3rcu1v No. 2- "Scene Radioactive Mineral Occurrences in the Bancroft Area" - Ontario Department of Mines, 1955. 5. Volume 65, Part 6, 1956 - Ontario Department of Mines, "Radioactive Mineral Occurrences in the Bancroft Area". 6. Map 52A - Haliburton Area, Ontario Department of Mines, Annual Report, Ontario Department of Mines, 1943, Vol. LII. 7. Geological Report No. 14 - Barry Lake Area, Abitibi Territory, Quebec Department of Mines, 1953. 8. Map 523G, Aerambgnetic Series, Department of Mines and Technical Survey, Ottawa, Canada, published 1951. • 9. Geological Report No. 12 - Kitchigama Lake Area, Abitibi Territory, Quebec Department of Mines, 1943. 10. Map No. 511 - Wetetnagami River Area, Geological Report No. 28, Department of Mixtes, Quebec, 1946. 11. Map 57G, Bathurst, Aeromagnetic series, G.S.C. 12. Map 910A, Maritime Provinces, Geological Survey of Canada. 13. Map 640A, Tetagouche River, Geological Survey of Canada. 14. Mem. 227, G.S.C. Jacquet River and Tetagouch River, F.I.Alcock, 1941. 15. P.63-24, Geology of the Austin Brook and Brunswick No. 6 Sulphide Deposits, Gloucester County, N.B., R.W.Boyle and J.L.Davis, 1964. 16. Mem. 183 - Geology of Chaleur Bay Region, F.J.Alcock, 1935 (Map 330A). 17. Map 1812G, Aeromagnetic Series, G.S.C.

18. Map #511, Barry Lake, G.S.C. 1940.

Respectfully submitted,

Lionel R. Sima.rd, M.Sc.,P.Eng. Toronto, Ontario November 20, 1964.

• CERTIFICATE I, Lionel E. Simard, of the City of Toronto, in the Province of Ontario, 410 hereby certify as follows: 1. That I am a practising Geologist with offices at Suite 403, 25 Adelaide St. West, Toronto, Ontario 2. That I am a graduate of Manitoba University with the degree of B.Sc., and have received the degree of M.Sc. from McGill University. I am a mem- ber of the Assoc. of Professional Engineers of the Province of Ontario. 3. That I have no interest either directly or indirectly, and I do not expect to receive any interest either directly or indirectly, in the properties covered in this report nor in the securities of Fab Metal Mines Limited. 4. That the accompanying report: (a) with respect to Property No. 1 Cardiff Township, Ontario, is based on information obtained from Company files as well as personal examination of the property. (b) with respect to Properties No. 2 "A", "B", and "C" in Urban Township, Quebec, is not based on personal examination but on information in Company files; reference to publications of the Department of Mines, Quebec and Geological Survey of Canada, which references are incorporated into the report; and on personal knowledge of the area. (c) with respect to property No. 3 in Carpiquet Township, Quebec, is not based on personal examination of the property, but on information in Company files and on references to publications of the Department of Mines, 411 Quebec, which references are incorporated into the report. (d) with respect to Property No. 4 in Barry Township, Quebec, is not based on personal examination of the property, but on information in Company files and on references to publications of the Department of Mines, Quebec, which references are incorporated into the report. (e) with respect to property No. 5 in the Parish of Bathurst, County of Gloucester, New Brunswick, is not based on personal examination of the property but on information in Compny files and on general acquaintance with the results of part of the investigation during its progress, in partic»1Ar the work done in 1958-1959. (f) with respect to property No. 6, Otter TAkQ, County of Gloucester, New Brunswick, is not based on personal examination of the property, but on government publications noted under references in this report. 5. That this certificate applies to properties at present awned by Fab Metal Mines Limited located in Cardiff Township, Ontario, Urban, Carpiquet and Barry Townships, Quebec, Parish of Bathurst, Gloucester County and Otter Lake, Gloucester County, New Brunswick. DATED at Toronto, Ontario, this 20th day of November, 1964.

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