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The Tent Mountain Mine 2020 JORC Report

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The Tent Mountain Mine 2020 JORC Report COAL RESOURCES FOR THE The Tent Mountain Mine ALBERTA AND BRITISH COLUMBIA, CANADA Competent Person’s Report Prepared for Montem Resources Alberta Operations Ltd. Alberta Coal Leases: 013 1306080819, 013 1306080820, 013 1306080821, 013 1306080822, 013 1305090663, 013 1305090664, 013 1305090665, 013 1305090666, 013 1305090667, 013 1305090668, 013 1305100739; BC Coal Lease CL389283; Plus Freehold Tenements Issue Date: April 7, 2020 Effective Date: February 20, 2020 Prepared By: DAHROUGE GEOLOGICAL CONSULTING LTD. SUITE 103, 10183 112 STREET, EDMONTON, ALBERTA T5K 1M1 T 780-434-9808 | F 780-439-9789 | WWW.DAHROUGE.COM Prepared and Signed By: Bradley Ulry, P.Geo., Dahrouge Geological Consulting Ltd. John Gorham, P.Geol., Dahrouge Geological Consulting Ltd. Matthew Carter, P.Geo., Dahrouge Geological Consulting Ltd. JORC Report Montem Resources TABLE OF CONTENTS 1 Executive Summary ......................................................................................................................................... 9 1.1 Project Description .............................................................................................................................. 9 1.2 Land Tenure ........................................................................................................................................... 9 1.3 Geology and Mineralization ............................................................................................................. 9 1.4 Exploration .......................................................................................................................................... 10 1.5 Development and Operations ...................................................................................................... 10 1.6 Mineral Resource Estimate ........................................................................................................... 10 1.7 Conclusions and Recommendations ......................................................................................... 12 2 Introduction .................................................................................................................................................... 15 3 Reliance on Other Experts ......................................................................................................................... 17 4 Property Description and Location ....................................................................................................... 19 4.1 Location ................................................................................................................................................ 19 4.2 Mineral Tenure .................................................................................................................................. 19 4.3 Tent Mountain Mineral Tenures ................................................................................................. 20 4.4 The Tent Mountain Mine Purchase Agreement .................................................................... 23 4.5 Permits, Approvals & Agreements ............................................................................................. 23 4.6 Coal Development Policy For Alberta ....................................................................................... 24 4.7 Indigenous Peoples Consultation ............................................................................................... 25 4.8 Environmental Liabilities .............................................................................................................. 27 4.9 Other Significant Factors and Risks .......................................................................................... 27 5 Accessibility, Climate, Local Resources, Infrastructure, and Physiography ......................... 28 5.1 Topography, Elevation, and Vegetation ................................................................................... 28 5.2 Infrastructure and Local Resources .......................................................................................... 28 5.3 Climate ................................................................................................................................................... 28 6 History ............................................................................................................................................................... 29 6.1 Historical Mine Grid and Coordinate Systems ...................................................................... 30 6.2 Topography ......................................................................................................................................... 30 6.3 Historical Drilling .............................................................................................................................. 30 Page 2 JORC Report Montem Resources 6.4 Historical Trenching and Adits ................................................................................................... 33 6.5 Underground Mining ....................................................................................................................... 33 6.6 Open Pit Mining ................................................................................................................................. 33 6.7 Historical Mineral Resources....................................................................................................... 35 6.7.1 2005 Norwest Corp. Resource Estimate ............................................................................ 35 6.7.2 2017 Geoff Jordan Associates Corp. Resource Estimate .............................................. 35 6.7.3 2018 Tamplin Resources Pty Ltd. Resource Estimate.................................................. 35 7 Geological Setting and Mineralization ................................................................................................. 37 7.1 Regional Geology .............................................................................................................................. 37 7.2 Structural Geology............................................................................................................................ 38 7.2.1 Regional Fault Structures ......................................................................................................... 38 7.2.2 Regional Fold Structures .......................................................................................................... 39 7.3 Property Geology .............................................................................................................................. 41 8 Exploration ...................................................................................................................................................... 45 8.1 Geological and Structural Mapping ........................................................................................... 45 8.2 Roadcut and Drone Measured Sections................................................................................... 47 8.3 Topography ......................................................................................................................................... 48 8.4 Aerial Drone Survey ........................................................................................................................ 48 8.5 Lake Bathymetry Survey ............................................................................................................... 49 9 Drilling ............................................................................................................................................................... 50 9.1 Air Rotary Drilling (“RAB”) ........................................................................................................... 53 9.2 Reverse Circulation Drilling ......................................................................................................... 53 9.3 6” Large Diameter Core Drilling (‘LDC’) .................................................................................. 54 9.4 HQ Diamond Drilling ....................................................................................................................... 56 9.4.1 2018 HQ Geotechnical and Geochemical Sampling Program .................................... 56 9.4.2 2019 HQ Geotechnical, Hydrogeological and Geochemical Program .................... 57 9.5 Collar Surveys .................................................................................................................................... 58 9.6 Downhole Surveys ........................................................................................................................... 58 9.6.1 Fracture and Bedding Orientation Measurements – Dipmeter ................................ 58 Page 3 JORC Report Montem Resources 9.6.2 Acoustic Televiewer (“ATV”) Surveys ................................................................................. 59 9.6.3 Optical Televiewer (“OTV”) Surveys .................................................................................... 59 9.6.4 Full Wave Sonic (“Sonic”) Survey .......................................................................................... 59 9.7 Monitoring Well Installation & Vibrating Wire Piezometer Installation ................... 59 9.8 Surficial Soil Geotechnical Drilling and Test Pitting Program ........................................ 59 9.8.1 Surficial Soil Geotechnical Test Pits ....................................................................................
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