Search Minerals Inc. Technical Report on the Deep Fox Project
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SEARCH MINERALS INC. TECHNICAL REPORT ON THE DEEP FOX PROJECT, NEWFOUNDLAND AND LABRADOR, CANADA NI 43-101 Report Qualified Person: Katharine M. Masun, M.Sc., MSA, P.Geo. November 12, 2019 RPA 55 University Ave. Suite 501 I Toronto, ON, Canada M5J 2H7 IT + 1 (416) 947 0907 www.rpacan.com Report Control Form Document Title Technical Report on the Deep Fox Project, Newfoundland and Labrador, Canada Client Name & Address Search Minerals Inc. 108-901 West Third St. North Vancouver, BC V7P 3P9 Document Reference Project #3121 Status & FINAL Issue No. Version Issue Date November 12, 2019 Lead Author Katharine M. Masun (Signed) Peer Reviewer William E. Roscoe (Signed) Project Manager Ian C. Weir (Signed) Approval Project Director Approval Jason J. Cox (Signed) Report Distribution Name No. of Copies Client RPA Filing 1 (project box) Roscoe Postle Associates Inc. 55 University Avenue, Suite 501 Toronto, Ontario M5J 2H7 Canada Tel: +1 416 947 0907 Fax: +1 416 947 0395 [email protected] www.rpacan.com TABLE OF CONTENTS PAGE 1 SUMMARY ...................................................................................................................... 1-1 Executive Summary ...................................................................................................... 1-1 Technical Summary ...................................................................................................... 1-4 2 INTRODUCTION ............................................................................................................. 2-1 3 RELIANCE ON OTHER EXPERTS ................................................................................. 3-1 4 PROPERTY DESCRIPTION AND LOCATION ................................................................ 4-1 Property Description ..................................................................................................... 4-1 Land Tenure ................................................................................................................. 4-1 Environmental Status and Permitting ............................................................................ 4-4 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE, AND PHYSIOGRAPHY ............................................................................................................... 5-1 Local Resources and Infrastructure .............................................................................. 5-1 Physiography ................................................................................................................ 5-2 6 HISTORY ........................................................................................................................ 6-1 Public Surveys/Studies ................................................................................................. 6-1 Exploration and Ownership History ............................................................................... 6-1 7 GEOLOGICAL SETTING AND MINERALIZATION .......................................................... 7-1 Regional Geology ......................................................................................................... 7-1 Local Geology ............................................................................................................... 7-5 Property Geology .......................................................................................................... 7-8 8 DEPOSIT TYPES ............................................................................................................ 8-1 Primary Magmatic Ree Deposits ................................................................................... 8-1 Secondary REE Deposits ............................................................................................. 8-3 Foxtrot and Deep Fox Deposits..................................................................................... 8-4 9 EXPLORATION ............................................................................................................... 9-1 Summary ...................................................................................................................... 9-1 2011 Ground Magnetometer Surveys ........................................................................... 9-4 UAV (Drone) Magnetic Survey ...................................................................................... 9-6 Deep Fox Channel Sampling ........................................................................................ 9-6 10 DRILLING .................................................................................................................... 10-1 11 SAMPLE PREPARATION, ANALYSES, AND SECURITY ........................................... 11-1 Sampling and Sample Preparation .............................................................................. 11-1 Sample Analyses ........................................................................................................ 11-4 Sample Security .......................................................................................................... 11-4 Quality Assurance and Quality Control........................................................................ 11-4 12 DATA VERIFICATION ................................................................................................. 12-1 Site Visit ...................................................................................................................... 12-1 Search Minerals Inc. –Deep Fox Project, Project #3121 Technical Report NI 43-101 – November 12, 2019 Page i www.rpacan.com Manual Database Verification ..................................................................................... 12-1 Independent Assays of Drill Core ................................................................................ 12-2 13 MINERAL PROCESSING AND METALLURGICAL TESTING ..................................... 13-1 14 MINERAL RESOURCE ESTIMATE ............................................................................. 14-1 Summary .................................................................................................................... 14-1 Resource Database .................................................................................................... 14-1 Geological Interpretation and 3D Solids ...................................................................... 14-4 Statistical Analysis ...................................................................................................... 14-8 Capping High Grade Values ..................................................................................... 14-12 Compositing .............................................................................................................. 14-12 Variography and Interpolation Parameters ................................................................ 14-14 NSR Cut-Off Value and Preliminary Open Pit Shell................................................... 14-19 Bulk Density .............................................................................................................. 14-20 Block Model .............................................................................................................. 14-23 Classification............................................................................................................. 14-23 Summary of Mineral Resource Estimate ................................................................... 14-26 Block Model Validation .............................................................................................. 14-27 Sensitivity Analysis ................................................................................................... 14-32 15 MINERAL RESERVE ESTIMATE ................................................................................ 15-1 16 MINING METHODS ..................................................................................................... 16-1 17 RECOVERY METHODS .............................................................................................. 17-1 18 PROJECT INFRASTRUCTURE .................................................................................. 18-1 19 MARKET STUDIES AND CONTRACTS ...................................................................... 19-1 20 ENVIRONMENTAL STUDIES, PERMITTING, AND SOCIAL OR COMMUNITY IMPACT ......................................................................................................................................... 20-1 21 CAPITAL AND OPERATING COSTS .......................................................................... 21-1 22 ECONOMIC ANALYSIS............................................................................................... 22-1 23 ADJACENT PROPERTIES .......................................................................................... 23-1 24 OTHER RELEVANT DATA AND INFORMATION ........................................................ 24-1 25 INTERPRETATION AND CONCLUSIONS .................................................................. 25-1 26 RECOMMENDATIONS................................................................................................ 26-1 27 REFERENCES ............................................................................................................ 27-1 28 DATE AND SIGNATURE PAGE .................................................................................. 28-1 29 CERTIFICATE OF QUALIFIED PERSON ...................................................................