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TECHNICAL REPORT on the MT ROYAL and BELVEDERE PROPERTIES (SEPL 552 and SEPL 550), ABOVE ROCKS INLIER, JAMAICA

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TECHNICAL REPORT on the MT ROYAL and BELVEDERE PROPERTIES (SEPL 552 and SEPL 550), ABOVE ROCKS INLIER, JAMAICA TECHNICAL REPORT ON THE MT ROYAL AND BELVEDERE PROPERTIES (SEPL 552 and SEPL 550), ABOVE ROCKS INLIER, JAMAICA FOR CARUBE RESOURCES INC. Technical report prepared by Vern Rampton1 and Don I. Cummings2 1 – Carube Resources Inc, Carp, Ontario, Canada. [email protected] 2 – DC Geosciences, Aylmer, Quebec, Canada. E-mail: [email protected] May 25, 2011 TABLE OF CONTENTS Page 1.0 SUMMARY………………………………………………………………………………………………………………….. 3 2.0 INTRODUCTION…………………………………………………………………………………………………………. 4 3.0 DISCLAIMER………………………………………………………………………………………………………………. 6 4.0 PROJECT DESCRIPTION AND LOCATION……………………………………………………………………... 7 5.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES & PHYSIOGRAPHY………………………………. 9 6.0 HISTORY…………………………………………………………………………………………………………………….. 14 7.0 GEOLOGICAL SETTING……………………………………………………………………………………………….. 22 8.0 DEPOSIT TYPES…………………………………………………………………………………………………………. 30 9.0 MINERALIZATION……………………………………………………………………………………………………… 31 10.0 EXPLORATION………………………………………………………………………………………………………… 33 11.0 DRILLING………………………………………………………………………………………………………………… 42 12.0 SAMPLING METHODS AND APPROACH……………………………………………………………………. 42 13.0 SAMPLE PREPARATION, ANALYSIS, AND SECURITY………………………………………………… 42 14.0 DATA VERIFICATION………………………………………………………………………………………………. 42 15.0 ADJACENT PROPERTIES………………………………………………………………………………………….. 42 16.0 METALLURGICAL TESTING……………………………………………………………………………………… 42 17.0 MINERAL RESOURCE ESTIMATES……………………………………………………………………………. 42 18.0 INTERPRETATION AND CONCLUSIONS……………………………………………………………………. 43 19.0 RECOMMENDATIONS………………………………………………………………………………………………. 44 20.0 REFERENCES…………………………………………………………………………………………………………… 56 21.0 AUTHORS' CERTIFICATIONS AND SIGNATURES……………………………………………………….. 62 SCHEDULE A: SEPL DOCUMENTS SCHEDULE B: HISTORICAL WORKING NOTATIONS SCHEDULE C: MINERALIZATION NOTATIONS FROM LITERATURE SCHEDULE D: GLOSSARY 2 1.0 SUMMARY The Mt Royal Special Exclusive Prospecting License (SEPL) 552 and the Belvedere SEPL 550 are together 104 km2 in area and are 100% owned by Rodinia Jamaica Limited ("Rodinia") subject to a 2% net smelter return to Stuart Hall and David Wright ("Hall/Wright") of Australia. The licences allow exploration for Au, Cu, Ag, Mo, Pb and Zn and are in good standing. Carube Resources Inc. became a 100% owner of Rodinia on March 30, 2012. Within a 1 km2 area in SEPL 552, known as the Jobs Hill Exempt Area, Hall/Wright have certain rights to develop and/or sell to Rodinia the upper 30 m of ground for a period of three years ending July 27, 2013. The Above Rocks Inlier ("ABI") is located in east-central Jamaica. It consists of Cretaceous rocks of the (a) Mt. Charles Formation, which includes bedded greenish-gray bedded hornfelsed pelites, arkosic and conglomeratic beds, and (b) the Border Volcanic Group, which includes andesitic tuffs, lavas, agglomerates and conglomerates. These rocks have been intruded by Cretaceous–Early Tertiary Above Rock Intrusions comprised mainly of coarse-grained granitics in the granodiorite– adamellite composition range. The ARI is surrounded by Tertiary limestone except on its eastern edge where it is in fault contact with the Wagwater Formation, which consists primarily of conglomerates, sandstones and siltstones derived from older volcanic and sedimentary rock. The western edge of the Wagwater Belt is considered to be a normal fault, which may have been subjected to some recent (late Cenozoic) reverse movements. Mineralization in the ARI is related to Cretaceous geologic and tectonic events. In the early to mid Cretaceous, Jamaica was the site of island arc volcanism, with the actual island arc migrating eastward with time. Crustal thickening followed by rifting along NW structures and then compression facilitated intrusive and mineralization activity. Following a subsequent period of tectonic quiescence, a late Cenozoic tectonic revival—mainly E-W sinistral faulting—occurred. Little mineralization appears to be associated with this later tectonism other than possible remobilization along the E-W faults and fracture planes. Late NE-trending faults focusing mineralization could possibly be related to extension. The NNW trending faults are a case in point of structures associated with oblong intrusions with NW to NNW orientation, e.g. tonalites at Glengoffe–Freetown, and NW-trending mineralization, e.g. Sue River North–Lucky Hill. East–west trending faults in the ARI appear to have nil to minimal mineralization associated with them, but the NE trending fault at Jobs Hill is clearly the focus of copper ± gold ± silver mineralization. Exploration is recommended that can concurrently address the possible locations and extents of (1) porphyry mineralization, and (2) more narrowly confined veins, mineralized shear zones and skarns. The latter may be economically attractive deposits and may also be distally related to the porphyry systems. The objective of all recommended programs is quality trenching and drilling targets. In the Glengoffe–Freetown River area (the latter previously referred to as Sue River), NW trending tonalites bearing disseminated copper minerals and shear zones containing magnetite, copper, 3 sulphides and mineral-bearing quartz veins are evident. In addition to airborne magnetics and radiometrics flown along lines spaced at 100 m, it is recommended that widely spaced soil geochemical and soil gas surveys (50 x 200 m) be conducted, except in areas of known shear zones and tonalites. For areas where known tonalities and mineralized structures exist, closer spaced soil surveys (30 x 60 m) and mapping is recommended. In the Florence Hill area, relatively narrow NW trending magnetite skarns with associated copper mineralization within shear zones cross a number of granitic intrusions; some alteration indicative of porphyry systems is also evident. A widely spaced soil geochemical and soil gas survey (100 x 200 m) and more mapping and rock sampling of the general area underlain by granitics is recommended, in addition to property level airborne geophysics. In the vicinity of the mineralized shear zones, the sampling interval along lines could be reduced to 25 m. In the Allman Hill area, zones containing copper sulphides with magnetite are located along a NW- trending structural corridor running through the Allman Hill area. Tonalites, granite and hornfelsed sediments have been identified. It is recommended that data available be completely compiled and plotted in detail and that detailed mapping and soil sampling be continued to the east and southeast of the eastern Noranda soil grids and south of the western grids. Airborne magnetics and radiometrics with 100 m spaced lines are also recommended. At Jobs Hill, three types of mineralization, of which the dominant type is near-surface oxide mineralization, parallel a NE-trending shear to the east of the Flower River Fault. It is recommended that (i) the data from Jobs Hill be completely compiled into a digitized format, and (ii) the area beyond the limit of the Jobs Hill Exclusion Area, west of the Flower River Fault and SSE to the northern edge of the Kingsweston tonalite be soil sampled, at 50 x 50 m grid initially. If detailed mapping and rock sampling, complimenting these soil surveys, indicates areas of greater mineralization, the soil surveys should be gridded in more detail. At Kingsweston and Providence, tonalite and monzodiorite intrusions have been identified, but most copper mineralization is associated with NW-trending shear zones. It is recommended that area be mapped in detail and soil sampled on a 200 x 50 m grid with some shortening of sample intervals near identified mineralized shears. At Mount Friendship, no work is recommended until airborne magnetic and radiometric data are collected. If at the time data suggest denser or conductive buried bodies, it is recommended that geophysical surveys be completed to better define these bodies. 2.0 INTRODUCTION On March 30, 2012, Carube Resources Inc. (“Carube”) acquired 100% of Rodinia Jamaica Ltd (“Rodinia”) and all of its Jamaican assets, which include four Special Exclusive Prospecting Licences1 1 Special Exclusive Prospecting Licences are located by reference to a post or beacon that is typically set at convenient map coordinates. Boundaries are also located from map coordinates and topographical maps. Licences require semi-annual activity/prospecting reports to be filed and are renewable on a yearly basis at nominal cost. 4 (“SEPLs”), two of which—the Mt Royal (SEPL 552) and Belvedere (SEPL 550) properties—are the focus of this report (Figs. 1, 2). The objective of this report is to review the legal status, geological setting, mineralization, exploration history, stream and soil geochemistry, and geology of mineral prospects in the nearly contiguous Mt Royal and Belvedere properties, both located in the Above Rocks Inlier of west-central Jamaica. Recommendations for future exploration will also be addressed. The other two properties being acquired through the same agreement are located in different parts of Jamaica and are reviewed in separate reports (Rampton and Cummings, 2012a,b). Figure 1 Location of Mt Royal (SEPL 552) and Belvedere (SEPL 550) properties, Jamaica. Topographic image from http://en.wikipedia.org/wiki/Geography_of_ Jamaica #Climate. 5 Figure 2 Location of SEPL 550 and 552, showing boundary coordinates. This report has been prepared as part of a due diligence exercise for the purchase of the SEPLs by Carube and to assist in preparation of any prospectus that might be required to support an initial prospectus offering (IPO) on
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