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NFLD/3162

1st Year Assessment Report on

Prospecting, Panning, Rock Sampling and Radiometric Survey

Rambler Extension, Baie Verte, North East Newfoundland Property

Lin. # 018024m

Lin. # 018032m

Map Sheet 12H/16 &2E/13

Submitted by:

Gary Lewis

for:

Unity Resources Inc.

December11, 2011

Work year: 2010-11

Total claims Lic #018024m = 27 Expenditures $ 7,000.00

Total claims Lic #018032m = 7 Expenditures $ 1,625.20

Total expenditures: $8,625.20

TABLE OF CONTENTS

Page I. Introduction 1 II. Location & Access 1 III. Physiographic Setting 1 IV. Previous Work 7 V. Geology & Mineralization 8 VI. Prospecting 2010-11 9 VII. Conclusions & Recommendations 9 VII. References 10 VIII. Expenditures 12

FIGURES

Fig. I. Property Location 2 Fig. II. Claims Location & Regional Geology 3

Fig. III. Goverment Aeromag Map 4

Fig. IV. Traverse & Sample Location Map Lic 018027m 5

Fig. V. Travers & Sample Location Map Lic 018032m 6

APPENDICES

App. I. Sample Assay Data

Page 1

Introduction The property was staked in 2010 for its possible Gold Base metal targets and possible large tonnage Uranium potential.

LOCATION

Region: Newfoundland

UTM Zone: 21

Latitude: 49.8907322026405

Easting: 567949

Elevation (m): 160

NTS Area: 12H/16

Longitude: 56.0540457824339

Northing: 5526692

Location Uncertainty (m): 250

ACCESSIBILITY

The L-5 property lies 11.5 km southeast of the town of Baie Verte; 2.0 km southeast of the highway junction 414 and 418. A mining road connects the East Mine with the Main Mine which is connected by a road to highway 414.

PHYSIOGRAPHIC SETTING The central part of the Rambler area is relatively flat lying averaging 150 metres in elevation. Approximately a third of the area is covered by ponds and bog, the rest is heavily forested, mainly by spruce.

Figure I ( Property Location Map)

Page 2

Figure II ( Claims Location& Geology)

Page 3

Goverment Aeromag Map

Figure IV

Page 4

Figure V Travers and Sample Location Lic # 018024m

Page 5

Figure V Travers and Sample Location Lic # 018032m

Page 6

Page 6

Previous Work

The L5 Target occurrence was discovered in the fall of 2004 by diamond drilling of coincident airbourne EM and IP anomalies.

Between 1903 and 1961 the ground in the Rambler area was explored by various companies. On January 20, 1961, Consolidated Rambler Mines Limited was incorporated and obtained a 30 year lease on the property. The East deposit was originally known as the B.A. Norris Zone and was discovered by trenching an oxidized zone. During 1961, Consolidated Rambler carried out gravity and self-potential surveys which indicated an anomaly. Six drill holes totalling 5,062 feet (1518.6 m) indicated copper values in widths up to 20 feet (6 m). By 1963, 51 holes were drilled outlining a deposit of 2,000,000 tons grading 1.65% Cu. Shaft sinking commenced in December 1964 and by December 1965 was completed to a depth of 1,125 feet (337.5 m). Production commenced on tune up basis in September 1966 and on regular basis in April 1967. In 1973, the shaft was driven another 527 feet (158.1 m) downwards. During 1974, drilling was completed to check the downward extension of the main ore zone and other potential at depth. Due to the low grade of the remaining mineralized ground and low copper prices, production ceased in December 1974. This property was held by Consolidated Rambler Mines Ltd. under Fee Simple Grant (Vol. 1, Fol. 51) but reverted to the crown as exempt mineral lands in 1987. This property is part of a study being carried out by the Nfld. Dept. of Mines who will invite exploration and development proposals on a parcel of properties once held by Consolidated Rambler Mines. On June 25, 1988, the Honourable Jerome W. Dinn, Minister of Mines, announced in Baie Verte that government has completed its evaluation of the proposals submitted for the exploration and development of the Rambler properties in Baie Verte and has decided to accept the proposal from the Rambler Joint Venture. The Rambler Joint Venture is a Group of three companies, Teck Exploration, Petromet Resources Limited and Newfoundland Exploration Company Limited, who have committed to spend $3.84 million on exploration of the Rambler Properties in the next 12 months. The financing of the $3.84 million exploration program will be provided by Newfoundland Exploration and Petromet Resources while Teck Corporation will finance and manage any subsequent mining developments.

GEOPHYSICAL EXPRESSION

The target is a coincident airbourne EM and IP anomaly.

Page 8 Geology and Mineralization

Geological Province: Appalachian

Tectonic Zone: Dunnage

Stratigraphic Unit: Pacquet Harbour Group

Geological Age: Lower Ordovician

Rock Type(s): Quartz chlorite schist, quartz sericite schist. The Baie Verte Peninsula is underlain by two distinct structural and lithic belts which are separated by a major arcuate, structural zone referred to as the Baie Verte Line (Hibbard, 1983). Rocks to the west of the Baie Verte Line belong to the Fleur de Lys Belt. This belt is part of the Humber Tectonostratigraphic Zone. The rocks lying to the east of the Baie Verte Line belong to the Baie Verte Belt which is part of the Dunnage Tectonostratigraphic Zone. This belt is comprised of four main lithic elements: 1) Cambro-Ordovician ophiolitic sequences of the Advocate, Point Rousse and Betts Cove complexes and the Pacquet Harbour Group; 2) Ordovician volcanic cover sequences of the Snooks Arm and Flat Water Pond groups; 3) Silurian terrestrial volcanic and sedimentary rocks of the Micmac Lake and Cape St. John groups, which unconformably overlie the Ordovician sequences; and 4) and Siluro-Devonian intrusive rocks (e.g. the Burlington Granodiorite and Cape Brule Porphyry). The Cambro-Ordovician sequences represent vestiges of Iapetus and have been interpreted to have formed in supra-subduction zone ophiolitic and primitive island-arc environments. The Pacquet Harbour Group is an incomplete Early Ordovician ophiolite consisting dominantly of a moderately to steeply northerly dipping sequence of variably deformed and metamorphosed mafic volcanic rocks, lesser felsic volcanic rocks, mixed mafic and felsic volcaniclastic rocks, and shallow-level intrusive rocks. The base and top of the group are not exposed and the thickness is unknown due to a combination of poor exposure, complex structure, and complex stratigraphy; the maximum outcrop width across the group is approximately 15 km, though this does not represent the true thickness of the sequence. Along its southern margin the Pacquet Harbour Group is overlain by Silurian subaerial felsic volcanic rocks of the Cape St. John Group that is in uncomformable and extensional fault contact. The southern Paquet Harbour Group is also intruded by Silurian to Devonian, felsic plutonic rocks including the Burlington Granodiorite and the Cape Brule Porphyry; the latter intrudes the group to the west and south and the former to the north and east.

Page 9 Prospecting 2010-11 Lic # 018024m A total of 7 man days were spent on this property. We accessed the property via Quad in the summer and Snow machine last winter. We prospected the brooks and streams. We collected sed samples with a split spoon and or an auger. The samples were about 1 kg. The samples were collected in plastic bags. These samples were panned in a hot flow tub that we constructed at the shop. This was done to control quality of panning and to speed up the sampling procedure. We panned several brooks on the property but no gold was visible. Three samples were sent for assay from our traverses. No new showings were found. lic# 018032m A total of 3 man days were spent on this property. We accessed the property via Quad and truck and snow machine in the winter. Last winter we were able to access some of the river by machine. Also the river was walked last summer. Time was spent to locate old showings and cut lines. We prospected the brooks and streams. We collected sed samples with a split spoon and or an auger. The samples were about 1 kg. The samples were collected in plastic bags. These samples were panned in a hot flow tub that we constructed at the shop. This was done to control quality of panning and to speed up the sampling procedure. Several brooks on the property but no gold was visible. One sample was sent for assay. Old showing were not found.

Conclusions and Recommendations Due to the limited exposure in the claim area, detailed grids should be established at location of proposed cross cutting faults. A more detail soil sampling program should also be completed around areas with anomalous results from previous work on L-5 and new area located from the program proposed above. This should be followed by trenching, to fully assess the property potential. Geophysical surveys, including magnetic , IP and controlled-source VLF should be completed in more prospective areas. Previous drilling on L-5 should be drilled to the north to test the extension to old workings. A trenching program should be completed to determine the source of mineralized float.

Further prospecting and trenching in select areas should determine the next step in the ongoing exploration along the L-5 trend.

Page 10 References

Brown, B B 1971: Diamond drilling report for project 6735a on the Ming Zone in the Ming Bight area, Newfoundland. Consolidated Rambler Mines Limited Unpublished report [GSB# 012H/16/0269] Burton, D H 1982: Drill logs for exploration and development drilling for the period June 1977 to February 1982 for extended licence 24, fee simple grant volume 1 folio 79 and mining lease in the Mings Bight area, Newfoundland. Consolidated Rambler Mines Limited Unpublished report, 615 pages. [GSB# 012H/16/0776] Burton, D M 1982: Underground diamond drilling report for 1981 for fee simple grant volume 1 folio 79 in the Ming mine in the Baie Verte area, Newfoundland. Consolidated Rambler Mines Limited Unpublished report, 55 pages. [GSB# 012H/16/0756] Coates, H 1991: Geology And Mineral Deposits Of The Rambler Property. In Metallogenic Framework Of Base And Previous Metal Deposits, Central And Western Newfoundland [Field Trip 1]. Compiled by H. S. Swinden, D. T. W. Evans, and B. F. Kean, Geological Survey of Canada, Open File 2156, pages 184-193. [GSB# NFLD/2045] Colt, M J 1972: Diamond drilling data from Ming mine-Rambler area, Newfoundland. Consolidated Rambler Mines Limited Unpublished report [GSB# 012H/16/0277] Consolidated Rambler Mines Limited 1977: Drill hole logs and assays from the Ming Mine, Newfoundland. Consolidated Rambler Mines Limited Unpublished report [GSB# 012H/16/0116] Gale, G H 1971: An investigation of some sulfide deposits of the Rambler area, Newfoundland. PhD thesis, University of Durham. 267 pages. [GSB# 012H/0279] Heenan, P R and Truman, M P 1972: The discovery and development of the Ming zone, Consolidated Rambler Mines Limited, Baie Verte, Newfoundland. Canadian Institute of Mining and Metallurgy, Transactions, pages 1-10. [GSB# 002E/13/0255] Heenan, P R 1973: The discovery of the Ming zone, Consolidated Rambler Mines Limited, Baie Verte, Newfoundland. Canadian Institute of Mining Bulletin, Vol. 66, pages 78-88. [GSB# 002E/13/0255] Hibbard, J and Gibbons, R V 1983: Geology of the Baie Verte Peninsula, Newfoundland. Mineral Development Division, Department of Mines and Energy, Government of Newfoundland and Labrador Department of Mines and Energy, Mineral Development Division, Memoir 02, 297 pages. [GSB# NFLD/1497]

Kambampati, M V 1984: Geology, petrochemistry and tectonic setting of the Rambler area, Baie Verte Peninsula, Newfoundland. MSc thesis, University of New Brunswick. 292 pages. [GSB# NFLD/1895] Page 11

Mikkelborg, E 1974: Ming ore makes the difference. Canadian Mining Journal, Vol. 95, No. 12, pages 48-50. [GSB# 012H/16/0491] Quinn, H A 1945: The Rambler area, northeastern Newfoundland. Canadian Mining Journal, Vol. 66, No. 5 [GSB# 012H/16/0066] Sahay, H and Sullivan, J 1979: Underground mining operations, mining of the Ming orebody by the Consolidated Rambler Mines Limited. Canadian Institute of Mining Bulletin, Vol. 72, No. 809, pages 91-96. [GSB# 012H/16/1302] Tuach, J 1974: The Rambler mines. Unpublished report [GSB# NFLD/0738] Tuach, J 1974: The Consolidated Rambler deposits. In Ore deposits and their tectonic setting in the Central Mobile Belt of northeast Newfoundland. Geological Association of Canada-Mineralogical Association of Canada, Field Trip Manual, No. A-3 and B-3, pages 61-70. [GSB# NFLD/0782] Tuach, J 1984: Geology and sulfide mineralization in the Rambler area, Newfoundland. In Mineral deposits of Newfoundland-a 1984 perspective. Mineral Development Division, Department of Mines and Energy, Government of Newfoundland and Labrador Report 84-03, pages 91-97. [GSB# NFLD/1468] Tuach, J 1988: 7. Geology and sulphide mineralization in the Pacquet Harbour Group. In The volcanogenic sulphide districts of central Newfoundland, a guidebook and reference manual for volcanogenic sulphide deposits in the early Paleozoic oceanic volcanic terranes of central Newfoundland. Edited by H. S. Swinden and B. F. Kean, Geological Association of Canada-Mineralogical Association of Canada-Canadian Society of Petroleum Geologists, Field Trip Guidebook, No. A2 and B5, pages 49-53. [GSB# NFLD/2417]

Page 12

SUMMARY OF WORK 2010-11 (Expenditures)

Lin. # 018024m Map Sheet 12H/16

Lin. # 018032m Map Sheet 12E/13

Travel by truck , ferry and Plane Len Lewis - 2

days Gary Lewis 4 days

Aubrey Budgell 2 days Brian Penney 2-days

Total of 10 man days @ $300/day 3,000.00 Meals for 10 man days @ $40/day 400.00 Fuel for 1 trips @ $450/trip 450.00 Fuel for 2 trips @ $200/trip 400.00 Truck Rental @ $75.00/Day @ 2-3 units @ 10days 750.00 Fuel Misc 500.00 Snow machine Rental 2 @ $60/Day @ 2 Days 240.00 Bikes Rental @ $50/DAY @4 days 200.00 Hotel Accommodations $131.10/Day @ 2 nights 232.20 Cabin Rental $50/Day @ 4 nights 200.00 Report Fee and research 1000.00

Assays 4 @ ICP-30 $40.00 160.00 Sub - Total $ 7,832.00 Administration costs10% $ 783.20

Total $ 8,625.20

Lic # 018024m SAMPLE # LAB # UTM E UTM N TYPE DESCRIPTION V/G

T_1

P-1 XXX 05 68122 55 26 875 STREAM SED no

R-1 95967 05 68122 55 26 875 Mafic Float no

P-2 XXX 05 68201 55 26 749 STREAM SED no P-3 XXX 05 68240 55 26 539 STREAM SED no P-4 XXX 05 68090 55 26 338 STREAM SED no P-5 XXX 05 67944 55 26 199 STREAM SED no P-6 XXX 05 68236 55 26 057 STREAM SED no

P-7 XXX 05 68280 55 25 880 STREAM SED no P-8 XXX 05 68132 55 25 568 STREAM SED no T-2

R-2 95968 05 67725 55 27 032 Quartz Float no

P-9 XXX 05 67725 55 27 032 STREAM SED no P-10 XXX 05 67674 55 26 888 STREAM SED no P-11 XXX 05 67631 55 26 659 STREAM SED no

P-12 XXX 05 67921 55 25 868 STREAM SED no P-13 XXX 05 67811 55 25 537 STREAM SED no P-14 XXX 05 67808 55 25 364 STREAM SED no P-15 XXX 05 67657 55 25 349 STREAM SED no R-3 95969 05 67338 55 27 491 Mafic Float Minor Quartz no

T-3 P-16 XXX 05 67424 55 26 713 STREAM SED no

P-17 XXX 05 66795 55 26 793 STREAM SED no P-18 XXX 05 66579 55 26 658 STREAM SED no Lic # 018032m

SAMPLE # LAB # UTM E UTM N TYPE DESCRIPTION V/G

T_4

P-19 XXX 05 74323 55 20 428 STREAM SED no

P-20 XXX 05 74434 55 20 413 STREAM SED no P-21 XXX 05 74298 55 20 313 STREAM SED no P-22 XXX 05 73972 55 20 017 STREAM SED no R-4 95986 05 73972 55 20 017 Mafic Float no