NI 43 -101 Technical Report of the Rovina Exploration Property South Apuseni Mountains, West-Central Romania 23 April 2010 Prepared By: In Collaboration With: CARPATHIAN GOLD INC. PRELIMINARY ECONOMIC ASSESSMENT - NI 43-101 TECHNICAL REPORT ROVINA VALLEY PROJECT, SOUTH APUSENI MOUNTAINS, WEST-CENTRAL ROMANIA Contents 1 SUMMARY ................................................................................................................... 1‐1 1.1 Geology ............................................................................................................................... 1‐3 1.2 Resource Statement ............................................................................................................ 1‐5 1.3 Geotechnical ....................................................................................................................... 1‐6 1.4 Mining ................................................................................................................................. 1‐7 1.4.1 Open Pit Mining .................................................................................................. 1‐8 1.4.2 Underground Mining .......................................................................................... 1‐9 1.5 Metallurgy and Processing ................................................................................................ 1‐10 1.5.1 Metallurgy ......................................................................................................... 1‐10 1.5.2 Processing ......................................................................................................... 1‐11 1.6 Transportation and Logistics ............................................................................................. 1‐12 1.7 Infrastructure and Site Layout .......................................................................................... 1‐12 1.8 Capital and Operating Costs .............................................................................................. 1‐12 1.9 Economic Analysis ............................................................................................................. 1‐14 1.10 Markets and Smelter ......................................................................................................... 1‐17 1.11 Environmental and Socioeconomics ................................................................................. 1‐17 2 INTRODUCTION AND TERMS OF REFERENCE ................................................................ 2‐1 3 RELIANCE ON OTHER EXPERTS ..................................................................................... 3‐1 4 PROPERTY DESCRIPTION AND LOCATION ..................................................................... 4‐1 4.1 Location ............................................................................................................................... 4‐1 4.2 Property and Title in Romania ............................................................................................ 4‐1 4.3 Land Tenure ........................................................................................................................ 4‐4 4.3.1 General................................................................................................................ 4‐4 4.3.2 Agreements ......................................................................................................... 4‐4 4.3.3 Surface Rights ..................................................................................................... 4‐5 4.3.4 Permits ................................................................................................................ 4‐5 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY............................................................................................................ 5‐1 5.1 Accessibility ......................................................................................................................... 5‐1 5.2 Climate ................................................................................................................................ 5‐1 5.3 Local Resources and Infrastructure..................................................................................... 5‐2 5.4 Physiography, Flora, and Fauna .......................................................................................... 5‐2 6 HISTORY ....................................................................................................................... 6‐1 7 GEOLOGICAL SETTING .................................................................................................. 7‐1 7.1 Regional Geologic and Metallogenic Settings ..................................................................... 7‐1 7.2 Rovina Property Geology .................................................................................................... 7‐2 TOC | i 21/05/2010 CARPATHIAN GOLD INC. PRELIMINARY ECONOMIC ASSESSMENT - NI 43-101 TECHNICAL REPORT ROVINA VALLEY PROJECT, SOUTH APUSENI MOUNTAINS, WEST-CENTRAL ROMANIA 7.2.1 Colnic–Rovina‐Ciresata Area ............................................................................... 7‐2 7.2.2 Rovina Deposit Geology ...................................................................................... 7‐5 7.2.3 Colnic Deposit Geology ....................................................................................... 7‐7 7.2.4 Ciresata Deposit Geology .................................................................................... 7‐9 8 DEPOSIT TYPES ............................................................................................................. 8‐1 9 MINERALIZATION ......................................................................................................... 9‐1 9.1 Rovina Deposit Mineralization ............................................................................................ 9‐1 9.2 Colnic Deposit Mineralization ............................................................................................. 9‐2 9.3 Ciresata Deposit Mineralization .......................................................................................... 9‐2 10 EXPLORATION ............................................................................................................ 10‐1 10.1 Coordinates and Datum .................................................................................................... 10‐1 10.2 Topography ....................................................................................................................... 10‐1 10.3 Geological Mapping and Related Studies ......................................................................... 10‐1 10.4 Remote Sensing and Satellite Imagery .............................................................................. 10‐2 10.5 Geophysics ........................................................................................................................ 10‐2 10.6 Geochemistry .................................................................................................................... 10‐3 10.6.1 Stream Sediment Sampling ............................................................................... 10‐3 10.6.2 Soil Geochemical Sampling ............................................................................... 10‐3 10.6.3 Rock Chip Sampling ........................................................................................... 10‐3 10.6.4 Mineralogical and Petrographic Studies ........................................................... 10‐4 11 DRILLING .................................................................................................................... 11‐1 11.1 Historical Minexfor Drilling ............................................................................................... 11‐2 11.1.1 Rovina Deposit .................................................................................................. 11‐2 11.1.2 Colnic Deposit ................................................................................................... 11‐2 11.1.3 Ciresata Prospect .............................................................................................. 11‐2 11.2 Carpathian Drilling ............................................................................................................ 11‐2 11.3 Carpathian Downhole Surveys .......................................................................................... 11‐3 11.4 Carpathian Dry Bulk Density Measurements .................................................................... 11‐3 12 SAMPLING METHOD AND APPROACH ........................................................................ 12‐1 12.1 Introduction ...................................................................................................................... 12‐1 12.2 Soil Sampling Procedures .................................................................................................. 12‐1 12.3 Channel Chip Sampling Procedures .................................................................................. 12‐1 12.3.1 Core Sampling Procedures ................................................................................ 12‐2 13 SAMPLE PREPARATION, ANALYSES AND SECURITY .................................................... 13‐1 13.1 Sample Preparation for Soil Samples ................................................................................ 13‐1 13.2 Sample Preparation of Rock Chip and Drill Core