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Geophysics Report on Monmouth and Cardiff Twps

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Geophysics Report on Monmouth and Cardiff Twps PO Box 219, 14579 Government Road, Larder Lake, Ontario, P0K 1L0, Canada Phone (705) 643-2345 Fax (705) 643-2191 www.explorationservices.ca SKEAD HOLDINGS LTD. Magnetometer Survey Over the EMPIRE-B ZONE Cardiff-RE Property Monmouth and Cardiff Townships, Ontario Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario TABLE OF CONTENTS 1. SURVEY DETAILS .................................................................................................................................... 3 1.1 PROJECT NAME ............................................................................................................................. 3 1.2 CLIENT ......................................................................................................................................... 3 1.3 LOCATION ..................................................................................................................................... 3 1.4 ACCESS ........................................................................................................................................ 4 1.5 SURVEY GRID ............................................................................................................................... 4 2. SURVEY WORK UNDERTAKEN ................................................................................................................. 5 2.1 SURVEY LOG ................................................................................................................................. 5 2.2 PERSONNEL .................................................................................................................................. 5 2.3 SURVEY SPECIFICATIONS .............................................................................................................. 5 3. OVERVIEW OF SURVEY RESULTS .............................................................................................................. 6 3.1 SUMMARY INTERPRETATION ........................................................................................................... 6 LIST OF APPENDICES APPENDIX A: STATEMENT OF QUALIFICATIONS APPENDIX B: THEORETICAL BASIS AND SURVEY PROCEDURES APPENDIX C: INSTRUMENT SPECIFICATIONS APPENDIX D: LIST OF MAPS (IN MAP POCKET) LIST OF TABLES AND FIGURES Figure 1: Location of Empire-B Zone within Cardiff RE Property ........................................................... 3 Figure 2: Claim Map with Empire-B Traverses ....................................................................................... 4 Figure 3: Magnetic Plan Map over Cardiff-RE Property ......................................................................... 6 Figure 4: Summary Interpretation ........................................................................................................... 7 Table 1: Survey Log ............................................................................................................................... 5 CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page ii Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario 1. SURVEY DETAILS 1.1 PROJECT NAME This project is known as the Cardiff-RE Property – Empire-B Zone. 1.2 CLIENT SKEAD HOLDINGS LTD. 28 Ford St. Sault Ste. Marie, Ontario P6A 4N4 1.3 LOCATION The Empire-B Zone is located on the township boundary between Monmouth and Cardiff Townships with the traverse area covering a portion of mining claims 4217448 and 4211818, within the Southern Ontario Mining Division. Figure 1: Location of Empire-B Zone within Cardiff RE Property CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page 3 Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario Figure 2: Claim Map with Empire-B Traverses 1.4 ACCESS Access to the property was attained from Highway 121 approximately 19.3km west of its intersection with highway 28. From here, Legacy Road was used for the final ½ kilometer north to the property. 1.5 SURVEY GRID The traversed lines were established using a GPS in conjunction with the execution of the survey. The GPS operator would establish sample locations while remaining approximately 12.5m in front of the magnetometer operator. GPS waypoints and magnetic samples were taken every 12.5m along these controlled traverses. The GPS used was a Garmin GPSMAP 62s with an external antenna for added accuracy. CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page 4 Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario 2. SURVEY WORK UNDERTAKEN 2.1 SURVEY LOG Date Description Line Min Extent Max Extent Total Survey (m) April 30, 2012 Mobilize from Larder Lake to Bancroft. May 1, 2012 Locate survey area, access and begin survey. 0 500S 62.5N 562.5 100E 500S 125N 625 200E 500S 0 500 300E 500S 0 500 400E 500S 0 500 500E 450S 0 450 600E 425S 0 425 0N 0 600E 600 May 2, 2012 Locate access on north end of survey area. Local claims road is private and chases crew from bush. Crew returns to south access and completes survey. 0 187.5N 400N 212.5 100E 225N 400N 175 200E 0 400N 400 300E 0 400N 400 400E 0 400N 400 500E 0 800N 800 600E 0 800N 800 700E 500S 325N 825 800E 500S 300N 800 900E 500S 150N 650 1000E 500S 0 500 0N 600E 1000E 400 May 3, 2012 Demobilize from Bancroft to Larder Lake. Table 1: Survey Log 2.2 PERSONNEL Tyler Potts of Larder Lake, Ontario conducted all the magnetic data collection with Mark Geddes also of Larder Lake responsible for the GPS control and GPS waypoint collection. 2.3 SURVEY SPECIFICATIONS The survey was conducted with a GSM-19 v7 Overhauser magnetometer with a second GSM-19 magnetometer for a base station mode for diurnal correction. A total of 10.525 line kilometers of no grid mag was performed between April 30th and May 3rd, 2012. This consisted of 842 magnetometer samples taken at 12.5m intervals. CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page 5 Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario 3. OVERVIEW OF SURVEY RESULTS 3.1 SUMMARY INTERPRETATION Figure 3: Magnetic Plan Map over Cardiff-RE Property CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page 6 Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario Over the survey area, some magnetic variance can be seen. It is most predominant in the northern regions with the strongest region located in the vicinity of the creek system north of the baseline. Figure 4: Summary Interpretation The magnetic survey indicates the presence of north-easterly trending linear features throughout the survey area. The strongest of these occur near the baseline region and have been labeled A. Com- paring the current magnetometer dataset to a historic spectrometer dataset indicates a relationship between the elevated magnetic regions and the elevated uranium and thorium ppm counts. This may indicate that there is a marked increase in the magnetic response of the pegmatic uranium ore zone. This allows for an additional survey to be performed in a reconnaissance mode to better isolate areas with better mineral potential. I would recommend further magnetic surveys over the property along with some additional work along these magnetic highs. Magnetic unit B is a magnetically depressed region. Based on the geology maps, this magnetic unit most likely represents a syenite unit. CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page 7 Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario Magnetic unit C dominates the southern part of the survey area. From field observations and compar- ison to the geology map, this magnetic unit most likely represents a gneiss. Through this appears magnetically elevated regions labeled D. These regions appear to be labeled as marble on the geol- ogy map; however, no evidence of this was seen in the field. I would recommend further magnetic and spectrometer surveys in the region. Both of these tools ap- pear to successfully highlight regions of pegmatite. This in turn will leave to targets for further explo- ration. CANADIAN EXPLORATION SERVICES LIMITED PLAN-EXECUTE-DISCOVER-DEVELOP Page 8 Magnetometer Survey SKEAD HOLDINGS LTD. Cardiff-RE Property Cardiff and Monmouth Townships, Ontario APPENDIX A STATEMENT OF QUALIFICATIONS I, C. Jason Ploeger, hereby declare that: 1. I am a geophysicist (non-professional) with residence in Larder Lake, Ontario and am presently em- ployed as Geophysical Manager of Canadian Exploration Services Ltd. of Larder Lake, Ontario. 2. I graduated with a Bachelor of Science degree in geophysics from the University of Western Ontario, in London Ontario, in 1999. 3. I have practiced my profession continuously since graduation in Africa, Bulgaria, Canada, Mexico and Mongolia. 4. I am a member of the Ontario Prospectors Association, a Director of the Northern Prospectors Associa- tion and a member of the Society of Exploration Geophysicists. 5. I have no interest, nor do I expect to receive any interest in the properties or securities of Skead Hold- ings Ltd. 6. I am responsible for the final processing and validation of the survey results and the compilation of the presentation of this report. The statements made in this report represent my professional opinion based on my consideration of the information available to me at the time
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