Assessment Report Title Page and Summary
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ASSESSMENT REPORT TITLE PAGE AND SUMMARY TITLE OF REPORT: Test Pit Program and Updated Pumice Volume Estimate, Vulcan-Salal Mineral Claims TOTAL COST: $9,741.00 AUTHOR(S):David E. Blann, P.Eng. SIGNATURE(S): NOTICE OF WORK PERMIT NUMBER(S)/DATE(S): MX-7-132 July,26, 2011 STATEMENT OF WORK EVENT NUMBER(S)/DATE(S ):Event #5532597 Dec. 1, 2014 YEAR OF WORK: 2014 PROPERTY NAME:Vulcan-Salal Property CLAIM NAME(S) (on which work was done): 564946 COMMODITIES SOUGHT: Dacite Pumice MINERAL INVENTORY MINFILE NUMBER(S),IF KNOWN: 092JW 039 MINING DIVISION: Lillooet Mining Division NTS / BCGS:092J 063 / 092J 073 LATITUDE: 50°41’09" LONGITUDE: 123°27’41" (at centre of work) UTM Zone: 10 EASTING: 467400E NORTHING:5615000N OWNER(S): Garibaldi Pumice Ltd. MAILING ADDRESS: 2501 – 9521 Cardston Court, Burnaby, BC V3N 4R8 OPERATOR(S) [who paid for the work]: as above MAILING ADDRESS: REPORT KEYWORDS (lithology, age, stratigraphy, structure, alteration, mineralization, size and attitude. Do not use abbreviations or codes) dacite, pumice, Mount Meager volcanic eruption, 2400 BP REFERENCES TO PREVIOUS ASSESSMENT WORK AND ASSESSMENT REPORT NUMBERS: Assessment Report #26432, 28481, 33493 TYPE OF WORK IN EXTENT OF WORK ON WHICH CLAIMS PROJECT COSTS THIS REPORT (in metric units) APPORTIONED (incl. support) GEOLOGICAL (scale, area) Ground, mapping Photo interpretation GEOPHYSICAL (line-kilometres) Ground Magnetic Electromagnetic Induced Polarization Radiometric Seismic Other Airborne GEOCHEMICAL (number of samples analysed for …) Soil Silt Rock Other DRILLING (total metres, number of holes, size, storage location) Core Non-core RELATED TECHNICAL Sampling / Assaying Petrographic Mineralographic Metallurgic PROSPECTING (scale/area) PREPATORY / PHYSICAL Line/grid (km) Topo/Photogrammetric (scale, area) Legal Surveys (scale, area) Road, local access (km)/trail Trench (number/metres) Underground development (metres) 564946 $9,741.0 Other TEST PITS 7/ 47.7 m TOTAL $9,741.0 COST Page 2 of 2 REPORT ON A TEST PIT PROGRAM AND UPDATED PUMICE VOLUME ESTIMATE Vulcan-Salal Mineral Claims Mine #0700166 Lillooet Mining Division NTS 092J 063 / 092J 073 UTM 10 467000E 5615000N Prepared for: Garibaldi Pumice Ltd. 2501 – 9521 Cardston Court, Burnaby, BC V3N 4R8 Prepared By: David E. Blann, P.Eng. Standard Metals Exploration Ltd. PO Box 1852, Squamish, BC V8B 0B3 April 2015 Summary The Vulcan-Salal mineral claims and lease are located approximately 75 km northwest of Pemberton, BC in the Lillooet Mining Division. The claims and lease total 983 and 225 hectares, respectively and are owned and operated by Garibaldi Pumice Ltd. (FMC #145571). The Mt. Meager volcanic complex eruption at 2350 BP produced the Bridge River Assemblage. At least three primary volcanic lithology units occur. Airfall from five eruptive cycles are the oldest and comprise early phreatomagmatic to magmatic pyroclastic rocks. Pyroclastic block and ashflow containing charred logs and pumice occur up to seven kilometres from the vent area and is the second eruption. Hard weathering lava of dacite composition occurs in the Lillooet valley and is the third eruptive phase. On the Vulcan-Salal claims, dacite pumice between 4 to 8 metres and locally up to 10 metres apparent thickness is recorded. Blacked soil containing charred material occurs at the contact with the original forest floor. Silt, volcanic ash, and organic rich soil overlie the pumice, locally containing heterolithic rock slide, debris flow and avalanche debris. A test pit investigation was carried out on the property between October 27, 2014 and November 3, 2014 by Garibaldi Pumice Ltd. A total of 7 test pits were completed. The test pit geology profiles consist of four primary lithology units: 1) a thin organic surface layer, 2) a fine grained clastic and silty layer comprised of pumicite with variable heterolithic and transported material, 3) a predominantly sand-sized pumicite layer, and 4) medium to coarse clastic dacite pumice to the original pre-eruption surface. Experience with mining, processing and sale of material from the adjacent lease, together with previous and current test pit programs, support the presence of a large scale, blanket-like deposit of pumice and pumicite material having commercial applications and meeting economic extraction parameters. The profiles observed in 2014 test pits are consistent with previous pit results, and expanded the area containing pumice to the north. Overall the deposit exists beyond the mined area for approximately 2.35 kilometres in length and over 1.0 kilometre in width. The 2014 test pit data was combined with previous data, and a set of profile sections prepared, stratigraphic layers interpreted, and the sections stitched together using ARC-GIS Target modelling software to generate total volumes of overburden, pumicite and pumice. The method cannot discern confidence levels (measured, indicated, inferred) for portions of the deposit. The result compares well with the previous estimate (2012) in which polygons allowed division of three classes of the resource; Instead, the material volumes generated using solid modelling here are thought to provide a reasonable and valid indicated total resource estimate that conforms to Canadian Institute of Mining, Metallurgy and Petroleum, in the Standards of Mineral Resources and Reserves Definitions and Guidelines adopted by CIM Council, August 20, 2000. A comparison with the 2012 polygonal method estimate is provided below. Standard Metals Exploration Ltd. Page | 2 Comparison of 2014 (computer modelled) and 2012 (polygonal method) Volume Estimates Overburden Pumicite Pumice (m3) (m3) (m3) 2014- section solid model Indicated 2,915,000 4,990,000 14,396,000 2012 polygonal Indicated 350,000 2,350,000 8,200,000 Inferred 550,000 1,950,000 6,800,000 Total 900,000 4,300,000 15,000,000 For both the 2012 and 2014 volume estimates, it is the authors’ opinion that both results for pumicite and pumice are quite similar and thought to provide confidence in the methodology of calculating volumes. The larger overburden volume for the 2014 estimate is largely the result of a single test pit section having more overburden than those on either side, and extrapolating this thickness for the entire section. Certain assumptions are made in the resource estimation process that require additional testing. These are more fully described within the text. It is clear that the deposit remains open in extent and additional volumes are achievable beyond the limits of current investigation, as well as within the defined area at depth, as many pits did not cut the full thickness of pumice. Data available provides sufficient confidence to allow volume estimates, however additional data such as detailed topography (LIDAR), differentially-corrected GPS coordinates of test pit locations, and more test pits or sonic-tube drill holes which cut the full thickness of pumice strata would improve confidence in material volumes and facilitate future mine planning. Standard Metals Exploration Ltd. Page | 3 Table of Contents Summary .......................................................................................................................................................... 2 Introduction ..................................................................................................................................................... 5 Location and Access ......................................................................................................................................... 5 Claim status ...................................................................................................................................................... 6 History .............................................................................................................................................................. 7 Regional Geology ............................................................................................................................................. 9 Local Geology ................................................................................................................................................. 11 2014 Test Pit Investigation and Resource Estimate ....................................................................................... 11 Resource Estimate Procedure and Assumptions ....................................................................................... 14 Results and Conclusions ................................................................................................................................. 17 Statement of Costs ......................................................................................................................................... 20 References ..................................................................................................................................................... 21 Statement of Qualifications ........................................................................................................................... 23 Tables Table 1 Mineral Tenures Table 2 Test Pit Summary Table 3 Resource Estimate Summary Figures Figure 1 Property Location Figure 2 Vulcan-Salal Mineral Tenure Locations Figure 3 Test Pit Locations Figure 4 Cross Section Location Plan Figure 5 Cross Sections Figure 6 Resource Volume Estimates Appendices Appendix 1 Test Pit Logs and Photographs Standard Metals Exploration Ltd. Page | 4 Introduction Standard Metals Exploration Ltd. completed three