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AGOSTON MORVAY (Owner & Operator) GEOLOGICAL ASSESSMENT REPORT (Event 5436964) for AGOSTON MORVAY (Owner & Operator) on a STRUCTURAL ANALYSIS on the Lardeau Group (Tenures 1017648 & 1017649) Revelstoke Mining Division BCGS Maps 082K.064 Centre of Work 5,607,095N, 479,345E Author & Consultant Laurence Sookochoff, PEng Sookochoff Consultants Inc. June 19, 2013 ____________________________________________________________________________ Lardeau Group Agoston Morvay Event 5436964 ____________________________________________________________________________ TABLE OF CONTENTS page Summary ------------------------------------------------------------------------- 4. Introduction ---------------------------------------------------------------------- 5. Property Description and Location ------------------------------------------- 5. Accessibility, Climate, Local Resources, Infrastructure and Physiography ------------------------------------ 6. History: Lardeau Group Area ------------------------------------------------- 7. TRIUNE - Minfile 082KNW026 ------------------------------------------ 8. CROMWELL - Mi nfile 08KNW058 ------------------------------------ 9. FREE COINAGE - Minfile 082KNW109 --------- ---------------------- 10. H.Y.M. - Minfile 082KNW142 -------------------------------------------- 10. SILVER BELT- Minfile 082KNW159 ----------------------------------- 11. ALICE L. - Minfile 08KNW165 ----------------------------------------- 11. GUS 3 & 4 - Minfile 082KNW178 --------------------------------------- 11. Geology: Regional -------------------------------------------------------------- 11. Geology: Lardeau Group Area --------------------------------------- 15. TRIUNE - Minfile 082KNW026 ------------------------------------------ 16. CROMWELL - Minfile 08KNW058 ------------------------------------ 16. FREE COINAGE - Minfile 082KNW109 ------------------------------- 17. H.Y.M. - Minfile 082KNW142 -------------------------------------------- 17. SILVER BELT- Minfile 082KNW159 ----------------------------------- 18. ALICE L. - Minfile 08KNW165 ----------------------------------------- 19. GUS 3 & 4 - Minfile 082KNW178 --------------------------------------- 19. Geology: Lardeau Group ---------------------------------------------- 19. Mineralization: Lardeau Group Area -------------------------------- 20. TRIUNE - Minfile 082KNW026 ------------------------------------------ 20. CROMWELL - Minfile 08KNW058 ------------------------------------ 21. FREE COINAGE - Minfile 082KNW109 ------------------------------- 21. H.Y.M. - Minfile 082KNW142 -------------------------------------------- 22. SILVER BELT- Minfile 082KNW159 ----------------------------------- 22. ALICE L. - Minfile 08KNW165 ----------------------------------------- 22. GUS 3 & 4 - Minfile 082KNW178 --------------------------------------- 25. Structural Analysis: Tenures 1017648 & 1017649 -------------- -- 25. Interpretation and Conclusions ------------------------------------------------- 28. Selected References ------------------------------------------------------------- 30. Statement of Costs -------------------------------------------------------------- 31. Certificate ------------------------------------------------------------------------ 32. ____________________________________________________________________________ June 19, 2013 Sookochoff Consultants Inc. Page 2 of 32 ____________________________________________________________________________ ____________________________________________________________________________ Lardeau Group Agoston Morvay Event 5436964 ____________________________________________________________________________ Table of Contents (cont’d) TABLES Table 1. Lardeau Group Tenures ------------------------------------------ 5. Table 2. Minfile Properties in the Area of the Lardeau Group; Geological Summary --------------------------------------------- 23. Table 3. Minfile Properties in the Area of the Lardeau Group; Workings and Mineralization Summary ----------------------- 24. Table 4. Approximate UTM Location of Cross-Structures ------------ 25. ILLUSTRATIONS Figure 1. Location Map ---------------------------------------------------- 5. Figure 2. Lardeau Group Access from Revelstoke --------------------- 7. Figure 3. Lardeau Group Access from Trout Lake --------------------- 8. Figure 4. Lardeau Group Claim Map and Access Roads -------------- 8. Figure 5. Lardeau Group Geology, Claim, & Minfile ----------------- 15. Figure 6. Lineaments as Indicated Structures on Tenures 1017648 & 1017649 ---------------------------- 25. Figure 7. Rose Diagram from Lineaments on Tenure 1017649 ------ 26. Figure 8. Rose Diagram from Lineaments on Tenure 1017648 ------ 27. ____________________________________________________________________________ June 19, 2013 Sookochoff Consultants Inc. Page 3 of 32 ____________________________________________________________________________ ____________________________________________________________________________ Lardeau Group Agoston Morvay Event 5436964 ____________________________________________________________________________ SUMMARY The three claim Lardeau Group is located 430 kilometres east of Vancouver and covers an area of 573 hectares. It is accessible by paved road and secondary roads from Revelstoke southward for 99 kilometres to the northwestern and the eastern portions of the Property. The Lardeau Group is within the Kootenay Arc which is a 400 kilometre long curving belt of early Paleozoic to Mesozoic sedimentary, volcanic, and crystalline metamorphic rocks trending northeast for 160 kilometres across Washington State into British Columbia, thence north along Kootenay Lake and northwest into the Revelstoke area. The Property is also located at the southern portion of the historic Slocan Mining Camp where active exploration began around 1865, became one of the most productive mining camps in the province, and achieved peak production in 1918. The camp and surrounding areas includes 175 documented mineral deposits of which more than half are mineral producers; 13 mines have produced more than one million grams of silver. An indication of the potential mineral zones to be located in the area is from the Rambler Mine which was one of the largest past producers in the area. Three ore shoots were explored and developed by workings over a horizontal distance of 610 metres and by 14 levels to an approximate depth of 400 metres below the surface. During its mine life a total of 189,421 tonnes of ore was mined from which 108,959,934 grams (3,503,143 ounces) silver, 839 grams (27 ounces) gold, and significant quantities of cadmium, lead, and zinc were recovered. The Lardeau Group is situated along the west limb of an anticline and predominantly covers the Lardeau Group of rocks with the uppermost Broadview Formation in the eastern potion in a fault contact with the lowermost Index Formation in the western portion. The Minfile mineral property mineralization in the area of the Tenures 1017648 & 1017649 Claim Group, of which seven are described herein, tend to be associated with northerly and northwesterly trending quartz veins up to 1.5 metres wide with up to a reported 3,086 grams per tonne silver. All of the Minfile mineral properties, except the Gus 3 & 4, described herein are former producers with mineralization hosted in the Lardeau Group Formations underlying the uppermost Broadview Formation. The Gus showing is also the only Minfile reported in the Broadview Formation to the east of the Silver Cup Ridge and hosts “high precious metal values” (gold and/or silver?) in a mineralized quartz vein occurring conformable to a northwest trending schistosity. The Broadview Formation also hosts the Okanagan mineral zone (Minfile 082KNW024) to the west of the bountiful Index Formation and the Silver Cup ridge where assays of 65.1 grams (2.1 ounces) per tonne gold are reported from an average sample across the 0.91 metre wide vein in the Okanagan shaft and 469.7 grams (15.1 ounces) per tonne gold from a sample of pyrite free from quartz and without any visible gold. The 65.1 gram gold value from unsorted “ore” is the highest reported of the seven included Minfile properties and possibly from the entire area. It appears that the gold particles in pyrite are generally so fine that visible gold cannot be seen even under microscopic examination. As a result of the current Structural Analysis, six structural intersections were indicated. As all six are located within, or at a contact with the Broadview Formation there is an added benefit to the exploration of the six locations not only for the silver that predominates in the Slocan Camp veins but for the higher gold content which could facilitate the classification of a mineral zone to an economic resource. In the exploration, any pyritic mineralization should not be considered as an alteration product but regarded as a potentially economic mineral zone. ____________________________________________________________________________ June 19, 2013 Sookochoff Consultants Inc. Page 4 of 32 ____________________________________________________________________________ ____________________________________________________________________________ Lardeau Group Agoston Morvay Event 5436964 ____________________________________________________________________________ INTRODUCTION In March, 2013 a Structural Analysis was completed on Tenures 1017648 & 1017649 of the Lardeau Group. The purpose of the structural analysis was to delineate potential structures which may be integral in geological controls to potentially
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