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REVIEW of the ROCK CREEK RANCH PROPERTY Humboldt County, Nevada, USA for Discovery-Corp Enterprises Inc

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REVIEW of the ROCK CREEK RANCH PROPERTY Humboldt County, Nevada, USA for Discovery-Corp Enterprises Inc REVIEW OF THE ROCK CREEK RANCH PROPERTY Humboldt County, Nevada, USA for Discovery-Corp Enterprises Inc. by Christopher O. Naas, P.Geo. CME Consultants Inc. October 25, 2010 Latitude 40° 51’ Longitude 117° 32’ SUMMARY The Rock Creek Ranch property is located in Humboldt County, Nevada approximately 65 km east-southeast of Winnemucca. The Property falls within the Goldrun Mining District. The land status in this part of Nevada forms a checkerboard pattern of private lands and federal lands administered by the Bureau of Land Management (BLM), part of the U.S. Department of the Interior. The current Property consists exclusively of privately held lands. The property lies on a southwestward projection of the Getchell trend, which hosts the Pinson, Turquoise Ridge, and Twin Creeks gold mines in the Osgood Mountains. The deposits are located along the Getchell fault zone, and are hosted by the Preble, Valmy, and Comus Formations at the Pinson and Getchell mines. These mines collectively host over 15 million ounces of gold. The Property is located in the northern portion of the Sonoma Range. This range contains Cambrian to Cenozoic rocks that vary widely in composition have experienced multiple episodes of deformation. The Paleozoic rocks that host gold deposits along the Getchell Trend are represented on the northern third of the Property. The intrusions on the Property appear to be Tertiary granites and granodiorites, as well as Tertiary felsic to andesitic dykes. These intrude Paleozoic rocks of the Valmy formation: quartzites, intermediate to mafic flows and tuffs, and related rocks, the Preble formation: limestones, cherts, argillites, carbonaceous argillites, phyllites, quartzites and the Osgood formation: quartzites and argillites. Exploration to date has yet to identify any gold deposits but there are several encouraging geochemical pathfinder anomalies and some anomalous gold encountered in surface samples and drilling. The Stony Basin area appears the most encouraging with broad anomalous gold zones such as 0.35 g/t over 54.00 metres and narrower zones of moderate grades such as 1.75 g/t over 4.57 metres. At the Ranch House are several promising drill hole intersection were encountered including 1.16 g/t Au over 6.10 metres. Deep drilling was previously recommended to be carried out in areas of the surface and near surface gold and pathfinder anomalies. Only one deep hole has been completed in the Stony Basin area. That hole encountered a thick intrusive package at depth below the Upper Plate lithologies. The gold mineralization encountered on surface and the shallow drilling may represent ‘leakage’ from a deep, well-mineralized system. Further deep drilling would be required to test this hypothesis. Recommendations based on this review include identifying available Bureau of Land Management lands that are available for staking to fill in the intervening gaps in the private lands that make up the current Rock Creek Ranch property. Exploration data received for this review show need of compilation and validation to assist and guide exploration of the property including the identification of drill targets. A compilation and validation program (including site visit and claim research in Reno) is estimated to cost approximately CDN$ 50,000. ii TABLE OF CONTENTS page SUMMARY...........................................................................................................................ii 1.0 INTRODUCTION AND TERMS OF REFERENCE .......................................................1 2.0 RELIANCE ON OTHER EXPERTS ...............................................................................1 3.0 PROPERTY DESCRIPTION AND LOCATION.............................................................1 3.1 TITLE......................................................................................................................................5 4.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY .................................................................................................................7 4.1 ACCESSIBILITY ....................................................................................................................7 4.2 CLIMATE ...............................................................................................................................7 4.3 LOCAL RESOURCES.............................................................................................................7 4.4 INFRASTRUCTURE...............................................................................................................7 4.5 PHYSIOGRAPHY...................................................................................................................7 5.0 HISTORY .......................................................................................................................7 6.0 GEOLOGICAL SETTING ..............................................................................................9 6.1 REGIONAL GEOLOGY .........................................................................................................9 6.2 PROPERTY GEOLOGY ....................................................................................................... 11 6.3 ECONOMIC SETTING......................................................................................................... 12 6.3.1 Getchell Gold Trend ........................................................................................................ 12 6.3.2 Northern Battle Mountain Trend ...................................................................................... 16 7.0 DEPOSIT TYPES..........................................................................................................17 8.0 MINERALIZATION.....................................................................................................17 9.0 EXPLORATION ...........................................................................................................17 9.1 INTRODUCTION.................................................................................................................. 17 9.2 EXPLORATION HISTORY.................................................................................................. 20 10 INTERPRETATIONS AND CONCLUSIONS ...............................................................27 10.1 INTERPRETATION.............................................................................................................27 10.1.1 Stony Basin Area ........................................................................................................... 28 10.1.2 Ridge Spring Area ......................................................................................................... 28 10.1.3 Canyon Area.................................................................................................................. 29 10.1.4 Ranch House Area ......................................................................................................... 29 10.1.5 North Ranch Area .......................................................................................................... 29 10.2 CONCLUSIONS.................................................................................................................. 29 11.0 RECOMMENDATIONS .............................................................................................31 11.1 PHASE 1 ............................................................................................................................. 31 11.2 PHASE 2 ............................................................................................................................. 31 12.0 REFERENCES............................................................................................................33 13.0 CERTIFICATE............................................................................................................35 iii LIST OF TABLES page Table 1: Summary of geophysical surveying, Getchell/Getty (after Stewart and Gosson, 1989) .....................................................................................................................................20 Table 2: Summary of drilling, Getchell/Getty .......................................................................21 Table 3: Significant intersections, >0.5 g/t Au ......................................................................21 Table 4: Summary of geophysical surveying, Sovereign (after Stewart and Gosson, 1989)...23 Table 5: Summary of drilling, Sovereign ..............................................................................23 Table 6: Significant intersections, >0.5 g/t Au ......................................................................23 Table 7: Significant intersections, >0.5 g/t Au (1990 drilling)...............................................24 Table 8: Significant intersections, >0.5 g/t Au (1991 drilling)...............................................25 LIST OF FIGURES page 1. General Location Map (1:5,000,000)..............................................................................2 2. Property Location Map (1:250,000) ...............................................................................3 3. Land Status Map, Rock Creek Ranch Area (1:100,000)..................................................4 4. Land Status Map with Adelaide-Crown Property, Rock Creek Ranch Area (1:100,000).6 5. Regional Geology, Rock Creek Ranch Project (1:250,000) ..........................................10 6.
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