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Barringer Geoservices Report in Addendum ASSESSMENT WORK REPORT FOR THE YEAR 1989 SUBMITTED BY B.S.A. INVESTORS LTD. PREPARED BY DAVID E. ARO, P.E. JUNE 1990 . -7, GEOLOGICAL BRANCH ASSESS.MENT REPORT TITLE PAGE (REVISED) ASSESSMENT WORK REPORT FOR YEAR 1989 MINERAL CLAIMS: RCRL Nos. 1 through 6,21, and 22 MINING DIVISION: Clinton NTS LOCATION: Dog Creek Sheet No. 92-0/9 LATITUDE AND LONGITUDE: North 51"36' to North 51"41' West 122"19' to West 122"27' OWNER: BSA Investors Ltd. 1281 West Georgia Street, 9th Floor Vancouver, B.C. V6E 357 OPERATOR: BSA Investors Ltd. CONSULTANT: David E. Aro, P.E. 6928 Well Spring Road,8V 21 Salt Lake City, Utah 84047 AUTHOR OF REPORT: David E. Ar0,P.E. DATE SUBMITTED: 8 June 1990 TABLE OF CONTENTS Introduction .................................. 1 .. Index Map ..................................... 2 . Summary of Work ............................... 3 Cost Analysis ................................. 4 Author's Qualifications ....................... 6 Claim and Topographic Map ..................... 7 -/ Exploration Report ............................ 8. INTRODUCTION The assessment work was conducted on a group of claims located on the Gang Ranch. The area lies west of the Fraser River on the Interior Plateau of British Columbia. The claims were located on Crwon Lands held under lease by the Gang Ranch. The owners of the claims, BSA Investors Ltd., are the same corporate entity as the owners of the Gang Ranch. The area is accessible from either Clinton,B.C. or Williams Lake,B.C. by public roads. These roads are not paved all of the way but the gravel portions are well maintained. The claim group is accessible from the Gang Ranch headquarters by driving north from the ranch on 2700 Road. The original group of 22 claims lies in the area bounded on the north by Word Creek, on the east by the Fraser River, and on the south by Churn Creek. The 8 claims for which this assessment work was done are bounded roughly by Word Creek on the north, the Fraser River on the east, and Prentice Gulch on the south. No new access roads were constructed to accomplish this assessment work. The entire group of claims is shown on the claim map which is a part of this report, and which is based on the Dog Creek Sheet No. 92-0/9. These claims were staked on behalf of BSA Investors in 1989 as a result of prior airborne magnetometer and VLF surveys. There is no known history of exploration or mining in this claim area. There is some evidence of old placer efforts along the bank of the Fraser River and in Churn Creek to the south, but these sites do not show any extensive work. This project is at an early stage of exploration and no data is available with which to make an economic evaluation of the property. The entire group of claims, as originally staked, consisted of 22 claims named RCRL Nos. 1 through 22, for a total of 398 Claim Units. The group of claims for which this assessment work is filed are RCRL No. 1 through No.6, RCRL No.21, and RCRL No.22, for a total of 156 Claim Units. W INDEX MAP GANG RANCH, B.C. Page 2 Page 3 SUMMARY OF WORK Geochemical Geochemical soil sampling was conducted on the claims in June 1989 as part of a second phase of exploration. A total of 430 soil samples and 53 rock chip samples were collected. All samples were assayed for gold, silver, copper, arsenic, and antimony. This amounted to 2,415 chemical determinations. Several anomolous areas were defined which were coincident with anomolies from prior aerial surveys. Geophysical k Induced polarization (IP) surveys were conducted along 4 miles of tk .r 4Kh) line with 50 meter dipole spacing. The locations of these IP lines are shown on the claim map which is a part of this report. The details of the IP work are discussed in the Barringer Geoservices report in Addendum "B". Geologic A geologic survey was conducted over the entire area of the 22 claim group. This was done on a reconnaissance basis to better define the geology of the claim area and to refine the published information that was regional in content. Glacial debris and basalt flows obscure the geology of the area in large part. Page 4 Gang Ranch - Phase Two Exploration - Cost Analysis Barringer Geoservices 1500 West Sixth Avenue - Suite 300 Golden, Colorado 80401 us $ CAN$ Labor - M. Weber, S. Park 22,551 26,531 Material - field supplies 506 595 Assaying - 551 samples 12,765 15,081 Travel and Subsistence 3,920 4,612 Fee 4 ,500 5,294 Home Office Charges - K. Reinbold 2,448 2 ,880 - S. Perry 16,590 19,518 74,511 Peter E. Walcott & Associates Ltd. 605 Rutland Court Coquitlam, B.C. V3J 3T8 Induced Polarization Survey Crew P. Walcott, A. Walcott, T. Kocan, D. Waymouth 14, 788 17,398 17,398 David E. Aro, P.E. 6928 Well Spring Road, 8V Salt Lake City, Utah 84047 Consulting Fees 22,200 26,118 Expenses 8,347 9,820 35,938 Total Cost - Phase Two Exploration $ 127,847 i I v- amm BARRINGER LABOh i *. P.O. BOX 5832 I DENVER, COLORADO 80217 1 BARRINGER LABORATORIES IN%. I k 15000 WEST 6TH AVE., SUITE 300 INVOICE NO: GOLDEN, COLORADO 80401 PHONE: (303) 277-1687 DATE: B3517 12-1 2-89 lr 1 sr N H W I 0 P I P E -EC B.S.A. Mining Company Ltd. D P. 0. Box 217 T Lima, PA 19037 T OL J 'L EERMS PROJECT NO. WORK ORDER NO. PURCHASE ORDER NO. 4UIHORIZATION NO. SACES/SHIfflNG NO. NET 30 DAYS 283-08 Dave Aro Final Accounting Ganff Ranch Phase I1 ExDloration. B.C., Canada 1 Labor 22 ,551 W Material . 506 Sample Analysis* 12,765 Travel/Subsistence 3,920 I.P. Contractor/Equipment 34,788 Subtotpl costs 54,530 Fee @&? Estimate 4,500- Total Project 59,030- - Less Total Billed (50.000) Total Due $ 9,030 *Note: Over estimate due to geochem sampling of I.P. survey lines. 1.- TOTAL DUE b $9,030 SALES DEPARTMENT 4 Page 6 i SUMMARY OF EXPERIENCE David E. Aro, P.E. Consulting Mining Engineer 6928 Well Spring Road, 8V Salt Lake City, Utah 84047 Telephone 801-566-5946 Fcsimile 801-566-3545 Education - Colorado School of Mines, Engineer of Mines Degree, 1952 Professional Engineer Registrations - State of Idaho, No. 3118 State of Utah, No. 4462 State of New Mexico, No. 6742 State of Montana, No. 4937E State of Washingt.on, No. 16237 Experience Exploration experience in eleven Western States, Mexico, 'Canada, Ecuador, Uruguay. Engineering experience with open pit and underground mines, geologic mapping programs, metallurgical testing, and mine production planni-ng. Design experience in metallurgical plants, flowsheet design, equipment selection, pollution control systems, and the design of mineral. recovery plants. Operations Management experience includes Mine Superint- endent, Manager of Mining and Milling Operations, Project Manager, Branch Manager for an engineering/construct firm, and Vice President of Geology and Engineering. Construction Management experience includes the construction of additions to existing plants, installation of pollution control systems, and the construction of new plants on bare sites. Engineering Manager and Construction Manager on new plant construction. I DAVID E. ARO CONSULTING MINING ENGINEER Page 7 ADDENDUM "A" CLAIM LOCATION AND TOPOGRAPHIC MAP BASED ON SHEET NO. 92-0/9 Scale 1:50,000 Page 8 ADDENDUM "B" PHASE TWO EXPLORATION REPORT PREPARED BY BARRINGER GEOSERVICES AUGUST 1989 Page 9 W PHASE TWO EXPLORATION GANG RANCH, BRITISH COLUMBIA, CANADA PREPARED FOR : B.S.A. MINING COMPANY, LTD. 1442 WEST BALTIMORE PIKE LIMA, PENNSYLVANIA 19037 W PREPARED BY: BARRINGER GEOSERVICES A DIVISION OF BARRINGER LABORATORIES INC. 15000 WEST 6TH AVENUE SUITE 300 GOLDEN, COLORADO 80401 AUGUST, 1989 EXECUTIVE SUMMARY Detailed soil sampling was completed over eight areas on the deeded land of the Gang Ranch in June 1989 as part of the second phase of an integrated precious metal exploration program. Seven of the eight areas were defined by anomalous stream sediment geochemistry and airborne geophysical anomalies in September, 1988; the eighth area was identified by an anomalous silver value in a rock chip sample. A total of 430 soil samples and 53 rock chip samples were collected; all samples were analyzed for gold, silver, copper, arsenic and antimony. Soil samples in -Anomaly 6 (Word Creek) defined two areas of anomalous gold values associated with felsic intrusive rocks in an intermediate to mafic intrusive complex of Jurassic age. Each of these areas is coincident with the margins of aeromagnetic highs and may reflect mineralization associated with alteration zones adjacent to the intrusive complexes. Maximum gold values in the soil were 110 ppb Au; a stream sediment sample in the center of the western anomaly in Anomaly 6 contained 427 ppb Au. A sample of hornblendite in the eastern anomaly yielded 165 ppb Au in outcrop. The remaining areas produced several samples containing high gold values that were not supported by elevated copper, arsenic, or antimony values and are thought to be due to detrital specks U of gold in glacial till overburden. High arsenic values in Page 11 w Anomaly 5 rock chip samples may warrant additional investigation but this area is assigned a low priority. A total of four miles of Induced Polarization (Ip) data were acquired on three lines at the Gang Ranch between the 14th and 22nd of July, 1989. Induced Polarization is the most commonly-used ground geophysical exploration tool for metal deposits and their associated zones of alteration. A two mile long IP line was acquired from south to north crossing Gaspard Creek to test Anomaly 1.
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