52E09SE8a85 2.8340 WHITEFISH BAY AND MA 010 GEOLOGICAL REPORT ON THE THREE ISLANDS CLAIM GROUPS LAKE OF THE WOODS, KENORA DISTRICT, ONTARIO N.T.S. 52E/9SW by ULRICH KRETSCHMAR, Ph.D. PATRICK CHEVALIER, B.Se. Prepared for BIGSTONE MINERALS LTD 8 KING STREET EAST, SUITE 1703 TORONTO, ONTARIO M5C 1B5 SEPTEMBER 1984 DIANNE SL ULRICH KRETSCHMAR Geologists R.R.*1. Severn Bridge, Ontario, POE 1NO, Canada (705)689-6431 SUMMARY Three properties: Jenny Leigh, Hay Island and Scotty Island were examined on Lake of the Woods. There are a large number of gold showings and current interest is generally the result of spillover from Nuinsco©s discovery of about l million tons, grading 0.20 oz/ton gold in the Cameron Lake area, about 50 km to southeast. A total of 40 man days were spent on geological mapping, sampling and report preparation on the three properties by Ulrich Kretschmar in August and September. There is a close similarity between the geology of the Jenny Leigh property and the adjacent Wendigo Mine where about 200,000 tons grading 0.33 oz/ton gold and 9.2X copper were produced during 1900-195}.. The value of this production would be about $30 million dollars at current metal prices. Major lithologies consist of mafic volcanics and interbedded differentiated ultramafic flows of probably komatiitic affinity. These are folded in a series of tight isoclinal drag folds on the Wendigo property and the mine horizon is repeated by a major east-west trending syncline on the Jenny-Leigh property. Mineralization on both the Jenny-Leigh property and at the Wendigo Mine occurs in gold-bearing conformable siliceous, locally graphitic interflow sediments. Associated sulfides are mainly chalcopyrite and minor pyrrhotite and pyrite. Two separate horizons have been identified on the Jenny-Leigh property and the potential for the occurrence of others is excellent. The best assay obtained from the stratiform mineralization is 0.15 oz/ton gold over 50 cm. A two stage program is recommended. Initial work is to consist of line-cutting, remapping, stripping, trenching and an I.P. survey. If results of this program warrant it, a 3000 ft. drill program is proposed. On the Hay Island property, fine-grained arsenopyrite and quartz occur as a matrix to a mafic volcanic breccia. Grab samples of the best mineralization gave 0.021 and 0.027 oz/ton gold. On Scotty Island, a 55 ft. shaft is sunk in green chloritic lapilli tuff, about 30 ft. from a quartz vein. No significant results were obtained. No further work is recommended for the Hay Island and Scotty Island properties. DI ANNE 81 ULRICH KRETSCHMAR Geologists R.R.*1, Severn Bridge, Ontario. POE 1NO, Canada (705)689-6431 52Ee9SE8eeS 2.8340 WHITEFISH BAY AND MA 010C CONTENTS SUMMARY INTRODUCTION................................ ... .. .. .. .. .. l WORK ACCOMPLISHED........................................................ l DISCUSSION AND CONCLUSIONS............................................... 2 RECOMMENDATIONS.......................... ... .. .. 3 LOCATION AND ACCESS...................................................... 4 LAND STATUS...................................................... .... .. 4 HISTORY OF EXPLORATION...................................... ....... .. 4 REGIONAL GEOLOGY.................................. .. ... ... .. ....... .. 9 PROPERTIES.................................... .. 12 JENNY-LEIGH...................................... .. ... ... .. .. ... .. ... 12 Geology............................................................. 12 Structure..................................... .. ... .... ... .. .. 13 Geophysics................................................. ......... 13 Mineralization................................. .. .... .. .. ... ..... 14 Showings No. l to No. 4........................................... 14 Stella Adit................................ ..... .. .. .. .. ... .. 15 Wendigo Mine...................................................... 19 HAY ISLAND .. ........................ 20 Geology.. .. ..... ................................. .. ..... ...... .. 20 Mineralization....................... ..... .. ..... ... .. .. ... .. .. .. 22 SCOTTY ISLAND . ... .. ... .. .. ... .. .. ... .. ... .. ........ ... .. ... .. .... 23 BUDGET................................................................... 25 REFERENCES CITED...................................... .. .. .. 26 CERTIFICATE............................................ ..... .. .. 27 DIANNE * ULRICH KRETSCHMAR Geologists R.R.*1, Severn Bridge, Ontario, POE 1NO. Canada (705)689-6431 LIST OF FIGURES Fig. l PROPERTY LOCATION AND REGIONAL GEOLOGY 5 Fig. 2 CLAIM MAP, SCOTTY ISLAND AND HAY ISLAND PROPERTIES....... 7 Fig. 3 CLAIM MAP, JENNY LEIGH PROPERTY. 8 Fig. 4 PRELIMINARY REGIONAL GEOLOGY IN VICINITY OF WENDIGO MINE. 10 Fig. 5 GEOLOGY OF THE JENNY-LEIGH PROPERTY (l in. = 200 ft).... (in pocket) Fig. 6 JENNY-LEIGH CLAIMS SKETCH MAP OF SHOWING NO. 2................. 16 Fig. 7 HAY ISLAND GEOLOGICAL MAP..................................... 21 Fig. 8 SCOTTY ISLAND GEOLOGICAL MAP................................... 24 LIST OF TABLES Table l: LIST OF CLAIMS 6 Table 2: ASSAY RESULTS, JENNY LEIGH PROPERTY 17 Table 3: ROCK GEOCHEMICAL RESULTS, JENNY LEIGH PROPERTY.. 18 Table 4: GEOCHEMICAL RESULTS, GEORGE HEENAN OCCURRENCE, HAY ISLAND. 22 Table 5: GEOCHEMICAL RESULTS, SCOTTY MINE, SCOTTY ISLAND........... 23 DIANNE 4 ULRICH KRETSCHMAR Geologists R.R.*1, Severn Bridge, Ontario, POE 1NO. Canada (705)689-6431 Page l INTRODUCTION Three properties: Jenny Leigh, Hay Island and Scotty Island, were examined on Lake of the Woods, an area that has seen sporadic exploration and mining of gold since 1868. There are a large number of gold showings and current interest is generally a result of spillover from Nuinsco©s discovery of about l million tons, grading 0.20 oz./ton in the Cameron Lake area, about 50 km. to the SE. Gold mines that are in a similar geologic setting to the Jenny Leigh are, Consolidated Professor, Shoal Lake (currently producing), Sultana and Wendigo, both on Lake of the Woods. Topography on the Jenny Leigh property is variable. The northern part which has been logged and which is underlain by basalt and differentiated flows forms a topographic high. Olivine-rich rocks and andesite weather low. WORK ACCOMPLISHED This is a summary report on geological mapping and sampling carried out by Ulrich Kretschmar and Patrick Chevalier in August and September on the Jenny-Leigh, Scotty Island and Hay Island properties in the Lake of the Woods. A total of 40 man days were spent by Ulrich Kretschmar on all three properties. The work consisted of geological mapping, locating claim posts, sampling of mineralized showings and examining nearby occurrences (Stella, Witch Bay, Wendigo Mine). Two days were spent on each of Scotty and Hay Island examining shoreline exposures, mapping outcrops and examining mineralization and workings. DIANNE A ULRICH KRETSCHMAR Geologists R.R.*1. Severn Bridge. Ontario. POE 1NO, Canada ( 705)689-6431 Page 2 DISCUSSION AND CONCLUSIONS Jenny-Leigh Property There is a close similarity between the geology of the Jenny Leigh property and the adjacent Wendigo Mine. Top determinations using differ entiation trends in flows permits delineation of complex isoclinal folds, which in turn shows that the Wendigo Mine stratigraphy has been repeated by a major syncline and occurs on the Jenny Leigh claims. Two and possibly three mineralized sedimentary interflow horizons have been located on the north limb of the syncline. These should also occur on the south limb. Current market value of the Wendigo production (about 200,000 tons grading 0.33 oz/ton gold and 9 .27, Cu during 1900-1951 and calculated at about $350 US/02, gold and $l US = $1.25 Canadian) is about $30 million Canadian. Assuming that mineralization of approximately the same grade and tonnage can be found, $30 million provides an estimate of the value of the target being sought on the Jenny Leigh property. Hay Island Grab assays from what appears to be the best mineralization gave 0.021 and 0.027 oz/ton Au respectively. These assay results do not warrant further follow-up. Scotty Island Three factors suggest no further work is necessary: 1. Assays are low. 2. The Scotty Island "mine" shaft is not on the claim group and 3. The shore line of Scotty Island is lined by cottages, the closest one being 550 ft. from the shaft. DIANNE 4 ULRICH KRETSCHMAR Geologists R.R.*1, Severn Bridge, Ontario, POE 1NO. Canada (705)689-6431 Page 3 RECOMMENDATIONS Jenny-Leigh Property 1. Cut lines on the Jenny-Leigh property at 150 ft. spacing (in between the existing 300 ft. lines) in the area bounded by L15W/6S, 15W/27S and L15E/6S, L15E/27S. (Total of 2.75 line-miles). Establish pickets at 25 ft. intervals. 2. Rechain existing lines in the new grid area. 3. Remap entire area covered by new grid at a scale of l in. = 150 ft. Map in location of trenches more accurately. 4. Clean out and freshen all trenches at Showings l to 4 and collect assay samples across widths. Strip the area around Showing No. 2 by bulldozer and backhoe. Panel sample the vein exposed in the Stella adit to get an idea of the variability of the mineralization. 5. Do IP survey using 100 ft. spacing of electrodes. 6. Drill off mineralized horizons, contingent on results of the above work. An estimated budget for this program is presented below. Hay Island and Scotty Island Properties No further work is recommended. DIANNE 4 ULRICH KRETSCHMAR Geologists R.R.*1, Severn Bridge, Ontario, POE 1NO, Canada (705)689-6431 Page 4