PROSPECTING S ROCK SAMPLING REPORT

FOR THE

HAYS LAKE AREA PROPERTIESLOCATED ON CLAIM # 1247018, 1218341, 1218342 IN PRISKE TOWNSHIP,

THUNDER BAY DISTRICT, ONTARIO(CLAIM MAP#G-0631)

PRISKE TOWNSHIPWORK PERFORMED BETWEEN THE DATES OF:

8 SEPTEMBER 2002 TO 11 SEPTEMBER 2002

9 4 K.V l

m M

George Daniels (Client Number #124014)Box 526 Terrace Bay, Ontario

Tel/Fax: 807-825-9097Prospector and Acting as an Agent for Sam Kravchik (Client Number # 303745)

October 14, 2002

CO W M

FL8 O 7 2003

GEOSCIENCc ASSESSMENT____ OFFICE

oH O

TABLE OF CONTENTS

i .^INTRODUCTION"2. o LO^T-TON"OF" PROPERTYMAP 1 CLAIM MAP —- — -

'

4 -l WORK CONDUCTED ^September 8th 2002 ON CLAIM # 1247018 MAP 2 PROSPECTED AREA^CLAIM l# 1 2470 18^ " " ' " " — ~— —- - '4.2 WORK CONDUCTED ON September 9th 2002 ION "CLAl'M* 121 8342 4.3 WORK" CONDUCTED QNfSeptember 10411 2002 ON CLAIM # 1218342

AREA CLAIM #1 21 8342 - DAY ONE PROSF ' ECTED A^EA C LAI M # 1 2 1 8342 -DAY TWO

4^4 WORK" CON i DUCTED ON September 1 1 th 2002 ON CLAIM # 121 8341 MAP 5 PROSPECTED AREA ̂ CLAIM # 121 8341 MAP 6 ̂ OlpG (CAL SETTI NC3 MAP OF TH E HAYS LAKE AREA MAP 7 PROJECT LOCATION MAP " "" "~ ~~ " " ~~" ASSAY RESU LTS

1.0 INTRODUCTION

In September 2002, the prospecting and sampling was conducted on claims # 1247018, 1218341 and 1218342 to investigate quartz veins for gold and other polymetalic visible mineralization.

The claims are in a good standing and registered under the name of Sam Kravchik.

Claim #1247018- 16 units Claim #1218341 -4 units Claim # 1218342 - 16 units

A total of 4 days were spent prospecting by the author of this report and his assistant. Access to the properties was gained by water over Hays lake. A motor boat was rented for the period of 4 days, to simplify and provide a faster access to the properties and transportation of samples.

2.0 LOCATION OF PROPERTY

The claim #1247018 is located on the North-Western shore of Hays Lake, 5.2 km East of Schreiber. The Singleton Gray occurrence is located on this property at 42D/14SE. The old workings, once thought to have been submerged by the flooding of Bluejay Lake and the creation of Hays Lake were discovered and prospected. Access to this claim is by roads that brunches of Trans Canada HWY 17 just east of Schreiber. During the summer time, the access can be gained by boat, traveling west on Big Duck Creek that runs off the Aguasabon River into Hays Lake, and then traveling north-northwest. Also, accessible by boat from the south shore of Hays Lake. (MAP 1)

The claim #1218342 is located on the north portion of Hays Lake arm, approximately 7.0 km East of Schreiber. The claim is located on the west side of the Hays Lake. Access to this claim can be gained by 4x4 road that brunches east of Perry Street of Schreiber. During the summer time, the access can be gained by boat, traveling west on Big Duck Creek that runs off the Aguasabon River into Hays Lake, or any other boat launching facilities along the south shores of Hays Lake and then traveling north. Alternatively, the access to the claim can be gained by trail traveling along the power line, broken gravel road. (MAP 1)

The claim #1218341 is located on the north portion of Hays Lake arm, approximately 7.5 km East of Schreiber. The claim is located on the east side of the Hays Lake. Access to this claim can be gained by 4x4 quad, on the road that brunches east of Perry Street of Schreiber. During the summer time, the access, can be gained by boat, traveling west on Big Duck Creek that runs off the Aguasabon River into Hays Lake, or any other boat launching facilities along the south shores of Hays Lake and then traveling north. Alternatively, the access to the claim can be gained by trail traveling along the power line, broken gravel road. (MAP 1)

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1247018

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3.0 GENERAL GEOLOGY AND MINERALIZATION

Hays Lake properties is comprised of Archean rocks of the Terrace Bay- Schreiber greenstone belt. The belt is the western extension of the Hemlo greenstone belt, the two being bisected by intrusive rocks of the Coldwel Alkalic Complex.

The general geology of the Hays Lake properties consists of granitoid intrusive rocks of the Terrace Bay Batholith in contact with an Archean mafic metavolcanic sequence to the north.

Minor intermediate to felsic metavolcanics, iron formation, clastic metasediments and crosscutting mafic to intermediate-felsic intrusives (quartz-feldspar porphyry porphyry) are mapped in the area (Carter, 1981; Harcourt, 1936). The Terrace Bay Batholith is largely massive, homogeneous, equigranular and medium- grained granodiorite. Minor phases of diorite, tonalite and quartz-feldspar porphyry porphyry are reported within the contact zone.

Distinct geological environments for gold exploration are identified on the Hays Lake properties and broadly defined in terms of their proximity to the Terrace Bay Batholith.

The "Gold Range Ridge" (Patterson, 1987), a fracture zone of intersecting conjugate northeast, east, and northwest-trending faults and shears in the volcanic sequence at the margin of Terrace Bay Batholith. Intense hydrothermal alteration, base metal mineralization and spectacular gold values are reported locally.

The fracture zone overlaps an amphibolite grade contact metamorphic aureole (hornblende-hornfels) extending out 300-500rn from the Terrace bay Batholith.

Gold mineralization mainly occurs as quartz veins, composite quartz-carbonate veins, stockworks and hydro thermally-altered metavolcanics and intrusives. Accessory metallic minerals include disseminated pyrite, chalcopyrite, sphalerite, galena, molybdenite and tellurides. Hydrothermal alteration of the metavolcanics consists of sericitization, carbonatization, sillicification, pyritization and sodium depletion (Schnieders, 1988).

4.0 WORK PROGRAM

A total of four days were spent prospecting, and sampling and a total of 27 samples were collected during 4 day prospecting, for further investigation and geochemical analysis and assays.The samples were sent to Mr. Sam Kravchik via Greyhound currier services forv further inspections, tests, and analysis.

4.1 September 8th 2002 sampling on Claim # 1247018, located in Priske Township (Claim map#G-631)

Arrived by boat.Traveled northwest and prospected diorite outcropping. Small pine, alders, and spruce trees cover the area. Collected 5 chipped samples, along 150 meters of diorite outcrop. Observed under 10X magnification dissemination of fine grained pyrotite approximately 207o. Bagged it and numbered them as claim # 1247018 samples # 1,2,3,4,5. Continued traveling west along Stony Creek, and down south towards Hays Lake and came across an small fine quartz vein approximately 7.5 cm wide and showing on surface approximately 2.5 meters long and disappearing under heavy overburden. The quartz veins that l examined with 10X magnification, showed a little polymetalic mineralization, approximately Q.5% and minor calcopyrite. Rust stains observed in quartz. No visible gold was present. Chipped a sample with my grabhoe, sample # 6.

The area is mixed with mafic intrusive rocks, felsic to intermediate metavoclanic rock and mafic to intermediate metavolcanic rock. Where the major part of rock is Mafic to intermediate metavolcanic rock.Traveling south-southeast towards the Hays Lake bay. On my way back, l came across quartz porphyry outcropping, l have examined some broken quartz porphyry rock, although mainly iron pyrite was present. Traveling south, a narrow pit was observed. Continued southeast, came across a narrow gray-pink quartz feldsparporphyry. The quartz is outcropping approximately 1.5m long on surface before dipping under heavy overburden. The vein is approximately 15cm wide. A chip was broken with my grab hoe and examined under 10X magnifier and mineralization was present approximately 1-207o appeared to be like iron sulphide with some calcopyrite and marked it as a sample # 7 claim # 1247018, No visible gold was present or observed.

A total of 7 samples were collected.

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4.2 September 9th 2002 prospecting and sampling on Claim # 1218342, located in Priske Township (Claim map #G-631)

My helper and l, traveled along Hays Lake by Boat towards the north arm of the lake. Our goal and destination was to reach the mouth of a creek that drains into Hays Lake on its north part, in order to collect till samples and alluvial gravel samples for further geochemical analysis and collect rock samples for gold values and base metal including polymetalics.

Walked north on claim # 1218342 along the west bank of the north arm of Hays Lake. Prospected quartz feldspar porphyry and observed stains of rust and minor mineralization on a broken up rock near the shore. One sample was collected and marked Claim # 1218342 sample # 1.

Most of the area is mafic to intermediate metavolcanic rocks and minor felsic to intermediate metavolcanic rock s well as the small portions of mafic intrusive rocks. The vegetation is small jack pine, alders, and cedar in the wet areas. Continued moving further north, approximately 900 meters and turned south. 70 meters south of the beaver dam l have collected 4 broken samples across 25 meters they resembled the color and structure of the host rock, l figured that they broke out from the original host and marked them as Claim # 1218342 sample # 2, 3,4, 5.These samples are quartz feldspar porphyry with pink tinge to them they were heavily mineralized with iron pyrite sulphide. Some calcopyrite was observed. Continued moving further south to the point of origin. A total of 5 samples were collected.

4.3 September 10th 2002 prospecting and sampling on Claim # 1218342, located in Priske Township (Claim map #G-631)

Traveled along Hays Lake by Boat towards the north arm of the lake. Started walking northwest on claim # 1218342 along towards a small pond. 3 samples of till and alluvial were collected on the wet banks of the creek. The sample # 1 on claim # 1218342, was collected at the drainage point at Hays Lake. Approximately 30 Ib. of till and alluvial were collected from approximately 3 feet deep. Samples were left at the location to be collected on our way back.Samples 2, 3, 4, 5 on claim # 1218342 were till and alluvial gravel. The creek was in a very low, near drying water level. That indicates non-derivable materials such as delivered by strong streams, which make heavy minerals travel long distances, and in this case all element findings will probably be considered as a local material. Continued moving north and west and crossed Stony Creek. Observed a collapsed pit with pink quartz feldspar porphyry with very little mineralization. Started walking south, southeast and crossed Stony Creek and started walking south. Sample # 7 was collected approximately 20 meters of the shore of Stony Creek. The sample was granitic feldspar porphyry with pink tinge to it with a little iron pyrite mineralization in it. Sample was taken to be considered as dimension or building stone. Went through several weathered quartz porphyry veinlets approximately 0.5" inch wide and showing few meters on surface. 2 samples were chipped and collected few meters apart. Sample # 6, 8 claim #1218342 Sample # 9 has the similar structure and characteristics as a ^ sample # 7. Passed Stony Creek to its west side, although no mineralized rock was found. We went back east, and collected sample #10 approximately half way into the claim, which is 800 meters. That sample was a broken up rock with a traces of galena calcopyrite and some iron sulphide. The rock also was similar to the sample # 7 and # 9, which are common in the area. Continued back to a starting point to collect the till and alluvial gravel samples left behind. A total of 10 samples were collected.

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4.4 September 11 th 2002 prospecting and sampling on Claim # 1218341, located in Priske Township (Claim map #G-631)

Traveled north on Hays Lake by Boat towards the end of the north arm of the lake. Claim # 1218341 is located on the east side of the Hays Lake. Started walking southeast on claim # 1218341. Located an outcrop of Iron formation. The area was previously stripped and washed, l broke and chipped with my grabhoe from the outcropping striped rock and collected 3 samples # 1, 2, and 3, Claim # 1218341 approximately 125 meters apart, moving south. The rocks are mafic intrusives. Samples are stained with rust, carrying approximately 1 07o of iron pyrite. Sample # 3, contains 1 07o iron pyrite with minor showing of calcopyrite. Continued moving east across small swamp. The vegetation is jack pine, alders, spruce trees and cedar on wetland. Walked along the claim boundary north. Located an iron formation approximately 150 meters north of the claim boundary. Prospected further north. Located second iron formation outcrop. The area was also striped and washed in the past. Broke a chip from the outcropping stripped rock and observed similar mineralization approximately 1 07o of iron pyrite with minor calcopyrite, recorded as sample # 4. Continued prospecting north, approximately 160 meters, broke another sample from an outcropping stripped rock. Recorded it as sample #5. Which contains approximately 1-2 07o of iron pyrite with some minor calcopyrite. All my observations are performed under the 10X magnification lens.

A total of 5 samples were collected.

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MINERAL OCCURRENCES IN THE NIPIGON - MARATHON AREA Schreiber - Hemlo Resident Geologist's District

INSIil MAP B

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PROJECT LOCATION MAP

SAM KRAVCHIK'S LAB ASSAY HAYS LAKE PROPERTIES

SEPTEMBER 2002

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v, : - 121314151617181920212223242526272829

Sample #123'4

5|6[6771-12-13-14-15-11-22-23-24-25-26-27-28-29-210-212345

Claim #12470181247018124701812470181247018124701812470181247018124701812183421218342121834212183421218342121834212183421218342121834212183421218342121834212183421218342121834212183411218341121834112183411218341

Materialdiorite 2"Xo pyrolitediorite 207o pyrotitediorite 2 0Xo pyrotitediorite 207o pyrotitediorite 207o pyrotitequartz vein, Q.5% mineralization. Rust stains.quartz vein, Q.5% mineralization. Rust stains.quartz 1-2"7o iron sulphide calcopyritequartz 1-2 0Xo iron sulphide calcopyritequartz feldspar, stains of rust, minor mineralization.quartz feldspar, iron pyrite sulphide. Calcopyrite.quartz feldspar, iron pyrite sulphide. Calcopyrite.quartz feldspar, iron pyrite sulphide. Calcopyrite.quartz feldspar, iron pyrite sulphide. Calcopyrite.alluvial graveltilltill and alluvial gravel mixtill and alluvial graveltill and alluvial gravelquartz porphyrygranitic feldspar iron pyrite mineralization.veinlets quartz porphyryfeldspar with iron pyrite mineralization.galena, calco, iron sulphide.mafic intrusive, rusty, 1 "h pyritevolcanic, rusty, 1 "/o pyritevolcanic, rusty, 1 "/o pyrite, calcopyritevolcanic, rusty, 1 "/o pyrite, calcopyriteIron pyrite, minor calcopyrite

Method #11114646411111777

N/AN/A

1111111111

Weight185. 18 grams185. 18 grams185. 18 grams185. 18 grams185.18 grams185. 18 grams185. 18 grams185.18 grams185. 18 grams185. 18 grams185.18 grams185. 18 grams185. 18 grams185. 18 grams2.25 kg (Dry)3.75J^g (Dry)4.5 kg (Dry)N/AN/A185.18 grams185.18 grams185.18 grams185. 18 grams185. 18 grams185.18 grams185. 18 grams185. 18 grams185. 18 grams185. 18 grams

AUOZ/T0.064

0.080.0730.0690.1120.082

0.120.0750.0950.065

0000

N/AN/AN/AN/AN/A

L 00

0.0670

0.0710.073

00

0.0960.177

# Chromltes (Kim)

•-X

211

N/AN/A

Cr diopside

58

13N/AN/A

Pyrope Garnet

000

N/AN/A

Eclogite Garnet

002

N/AN/A

llmentites

000

N/AN/A

ONTMIO MINISTRY OF NORTHERN DEVELOPMENT AND MINES

Transaction No:

Recording Date:

Approval Date:

Client(s):303745

Survey Type(s):

W0340.00211

2003-FEB-05

2003-APR-08

Work Report Summary

Status: APPROVED

Work Done from: 2002-SEP-08

to: 2002-SEP-11

KRAVCHIK, SAM

ASSAY PROSP

Work Report Details:

Claim*

TB 1218341

TB 1218342

TB 1245801

TB 1247018

External Credits:

Reserve:

Perform Perform Approve

31,249 51

51,525 S1

SO

S1.249 51

84,023 54

SO

S823

5823

,249

,525

SO

,249

,023

Applied

SO

5053,200

SO

S3,200

Applied Approve

soso

S3.200

SO

53,200

Assign Assign Approve Reserve

S 1,249 1,249 SO

5702 702 S823

SO 0 SO

51,249 1,249 SO

53,200 S3.200 S823

Reserve Approve Due Date

SO 2003-JUN-04

5823 2003-JUN-04

SO 2004-FEB-06

SO 2003-FEB-06

5823

Reserve of Work Report*: W0340.0021 1

Total Remaining

Status of claim is based on information currently on record.

42D14SE2010 2.24959 PRISKE 900

2003-Apr-24 13:33 Armstrong_d Page 1 of 1

Ministry ofNorthern Developmentand Mines

Date:2003-APR-10

Ministere du Developpement du Nord et des Mines Ontario

GEOSCIENCE ASSESSMENT OFFICE 933 RAMSEY LAKE ROAD, 6th FLOOR SUDBURY, ONTARIO P3E 6B5

SAM KRAVCHIK 117 THORNRIDGE DRIVE THORNHILL, ONTARIO L4J1F1 CANADA

Tel: (888) 415-9845 Fax:(877)670-1555

Dear Sir or Madam

Submission Number: 2.24959 Transaction Number(s): W0340.00211

Subject: Approval of Assessment Work

We have approved your Assessment Work Submission with the above noted Transaction Number(s). The attached Work Report Summary indicates the results of the approval.

At the discretion of the Ministry, the assessment work performed on the mining lands noted in this work report may be subject to inspection and/or investigation at any time.

A good prospecting report accompanies this submission.

NOTE: All future submissions will credit the analysis at a cost similar to those of a commercial lab.

If you have any question regarding this correspondence, please contact BRUCE GATES by email at bruce.gates@ndm.gov.on.ea or by phone at (705) 670-5856.

Yours Sincerely,

Ron GashinskiSenior Manager, Mining Lands Section

Gc: Resident Geologist

Sam Kravchik (Claim Holder)

Assessment File Library

Sam Kravchik (Assessment Office)

Visit our website at http://www.gov.on.ca/MNDM/LANDS/mlsmnpge.htm Page: 1 Correspondence 10:18173

ONTMHOCANADA

Mining Land TenureMa P

480000E

5415QOON ft.:'{

5413000NS.;:*

""' 5415000N

", M14000N

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48MOOE 4860006 487000E 4B8QOQE 4890006 4900006 491000E 4920QOE 49300QE

UTM Zone 16 KXJOm grit)

General Information and Limitations

Date l Time of Issue: Tue Apr 08 13:55:52 EOT 2003

TOWNSHIP l AREA PLAN PRISKE G-0631

ADMINISTRATIVE DISTRICTS l DIVISIONSMining Division Thunder BayLand Titles/Registry Division THUNDER BAYMinistry of Natural Resources District NIPIGON

TOPOGRAPHIC Land Tenure

*

m BED

LAND TENURE WITHDRAWALS

IMPORTANT NOTICES

LAND TENURE WITHDRAWAL DESCRIPTIONS

GOV 0,C, OAliiD APRIS.

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