CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN...

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec DIAGNOS Inc. 1 May 2016 (December 2016 Update) CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN (Baie James) KIMBERLITE PROJECT, QUEBEC Prepared by: DIAGNOS Inc. 7005 Taschereau Blvd, Suite 340 Brossard, Québec Canada, J4Z 1A7 May 18 th , 2016 (December 2016 Update)

Transcript of CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN...

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 1 May 2016 (December 2016 Update)

CARDS EVALUATION REPORT,

SOUTH LG4 – HIGH EASTMAIN (Baie

James) KIMBERLITE PROJECT,

QUEBEC

Prepared by: DIAGNOS Inc. 7005 Taschereau Blvd, Suite 340 Brossard, Québec Canada, J4Z 1A7

May 18th, 2016 (December 2016 Update)

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 2 May 2016 (December 2016 Update)

1.0 SUMMARY In 2016 DIAGNOS used its proprietary Computer Aided Resource Detection System

(CARDS) to target the kimberlite potential of the South LG4-High Eastmain (Baie James)

area, lies to eastern portion of the Superior Province. This territory became a focal point for

diamondiferous kimberlites exploration following the discovery of diamonds in the Renard

and the Beaver Lake sectors. The Renard kimberlites are recognized for their large stones,

like famous transparent diamond weighing more 4 carats.

The purpose of this study was to identify favorable exploration kimberlite targets based on

the analysis of all available geophysical and surface data using artificial intelligence and data

mining techniques.

During the months of January 2016 through to March 2016, over 23,912 km2 were subject

to evaluation by DIAGNOS in the Northern Quebec region between the 50th and the 55th

parallels using a mosaic of two leveled and merged airborne magnetic-spectrometric

surveys of the South LG4 and the High Eastmain areas, Baie James (Sigeom, MRN,

Quebec).

Twelve (12) known kimberlite pipes of the Renard and the Beaver Lake originated from the

Sigeom database (MRN, Quebec) and from the Stornoway Diamond Corporation (NI 43-101-

Report, 2013) where used as positive training data. Two (2) different models, such as the

Kimberlite Similarity algorithm (KSM) and the Positive-Negative algorithm, at a 60m

resolution were generated over the South LG4-High Eastmain modeling area.

DIAGNOS generated two categories of 16 and 106 Kimberlite Pipe Targets (KPT_BJ_2016)

based on two levels of similarity at 95% and 90%.

In May 2016 DIAGNOS staked 131 non-contiguous claim blocks covering two groups of 9

and 28 Kimberlite Pipe Targets based on two levels of similarity at 95% and 90%, beside

the new diamond Renard mine and the new 167 extension road.

A first phase of exploration work program is suggested to be conducted over these 131

property claims regarding 37 CARDS kimberlite targets, for a total amount $154,551.95.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 3 May 2016 (December 2016 Update)

Table of Contents

1.0 SUMMARY ........................................................................................................... 2

2.0 INTRODUCTION ................................................................................................ 5

3.0 RELIANCE ON OTHER EXPERTS ........................................................................... 6

4.0 PROJECT LOCATION .......................................................................................... 7

5.0 GEOLOGICAL SETTING ...................................................................................... 8

5.1 Regional Geology ........................................................................................... 8

5.2 Local Geology .............................................................................................. 10

5.3 Mineralization .............................................................................................. 10

6.0 CARDS MODELLING AND PREDICTION SYSTEM................................................... 13

6.1 Modeling ..................................................................................................... 14

6.1.1 Kimberlite Similarity Model (KSM) ............................................................ 14

6.1.2 Positive-Negative Model .......................................................................... 14

6.2 Methodology................................................................................................ 15

7.0 VARIABLES .................................................................................................... 16

8.0 TRAINING DATA.............................................................................................. 22

9.0 MODELS ........................................................................................................ 35

9.1 Kimberlite Similarity Model (KSM) .................................................................. 35

9.2 Positive-Negative Model ................................................................................ 37

10.0 RESULTS..................................................................................................... 37

11.0 CONCLUSION & RECOMMENDATIONS ............................................................. 45

12.0 REFERENCES ............................................................................................... 48

13.0 DELIVERABLES ............................................................................................ 48

14.0 CERTIFICATE OF QUALIFICATION .................................................................. 49

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 4 May 2016 (December 2016 Update)

List of Figures

Figure 1 : South LG4-High Eastmain (Baie James) kimberlite project location (Quebec

geological map provinces after Theriault & Beausejour, DV 2012-06, MRN) ....................... 7

Figure 2 : Bedrock geology of the South LG4-High Eastmain (Baie James) kimberlite project

area (after Theriault & Beausejour, DV 2012-06, MRN) ................................................ 11

Figure 3: Residual Magnetic Intensity (D’Amours, 2010: DP 2010-03 & DP 2011-01) ........ 18

Figure 4: Spectrometry-Potassium (D’Amours, 2010: DP 2010-03 & DP 2011-01) ............ 19

Figure 5: Topography (SRTM) .................................................................................... 20

Figure 6: Training points ........................................................................................... 34

Figure 7: Diagnos Staked CARDS Kimberlite Targets..................................................... 44

List of Tables

Table 1: NTS SRNC 50k Maps sheet number over the South LG4-High Eastmain (Baie

James) kimberlite project ............................................................................................ 8

Table 2: Primary and derivative variable data set for Positive-Negative Modeling ............. 21

Table 3: Primary and derivative variable data set for Kimberlite Similarity Modeling (KSM) 21

Table 4: Calculated neighboring variables .................................................................... 21

Table 5: List of known kimberlite pipes ....................................................................... 23

Table 6: List of confirmed negative anomalies .............................................................. 26

Table 7: Similarity coefficients, window size of 300 meters for kimberlite pipes ................ 36

Table 8: Similarity coefficients, window size of 500 meters for kimberlite pipes ................ 36

Table 9: Performance of Positive-Negative models for kimberlite pipes............................ 37

Table 10: Staked CARDS Kimberlite Pipe Targets – Similarity 95% ................................. 38

Table 11: CARDS Kimberlite Pipe Targets – Similarity 90%............................................ 39

Table 12: Claim List .................................................................................................. 40

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 5 May 2016 (December 2016 Update)

2.0 INTRODUCTION In January 2016, DIAGNOS Inc. (DIAGNOS) used its proprietary Computer Aided Resource

Detection System (CARDS) to target the kimberlite potential of the South LG4-High

Eastmain (Baie James) area. Twelve (12) known kimberlites pipes (the Renard and the

Beaver lake clusters) in the study area are related to the Otish kimberlitic volcanic event

(550.0 + 3.5 Ma to 640.5 + 28 Ma) in Quebec (Moorhead et al., 2003).

CARDS uses data mining techniques to analyze digitally compiled exploration data and

identify areas, target zones, with high statistical probability of similarity to known areas of

mineralization.

Using CARDS, DIAGNOS generated target zones on the South LG4-High Eastmain (Baie

James) kimberlite project area with high similarities to known “signatures” of areas of

known kimberlite pipes.

The region is well suited for analysis by CARDS due to the large amount of information

available. The elements of the database used to construct the models were originated from

the Sigeom database (MRN, Quebec) and from the Stornoway Diamond Corporation (NI 43-

101-Report, 2013).

In May 2016 DIAGNOS staked 131 non-contiguous claim blocks covering two groups of 9

and 28 Kimberlite Pipe Targets based on two levels of similarity at 95% and 90%, beside

the new diamond Renard mine and the new 167 extension road. These targets are

presented in tables and attached map and discussed at the end of this report.

The purpose of this report is to present the modeling results, to describe the methodology,

the modeling process, the utilized data and the exploration program proposed for 37 staked

kimberlite targets.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 6 May 2016 (December 2016 Update)

3.0 RELIANCE ON OTHER EXPERTS In the course of this study, DIAGNOS used data originated from the Sigeom database (MRN,

Quebec) and from the Stornoway Diamond Corporation (NI 43-101-Report, 2013). The

author has not taken any action to verify or assess reported data. If not commented, the

author considers the documentary sources as reliable, technically valid and usable with

some restriction related to the present frame of work and the experience of the authors.

Kimberlite targets on the South LG4-High Eastmain (Baie James) project were generated

using DIAGNOS proprietary Computer Aided Resource Detection System (CARDS).

Generation of these targets using “data mining techniques” was carried out by the “CARDS

team” at DIAGNOS consisting of Riadh Kobbi, Data Modeling Manager, co-author of sections

6.0 to 10.0 of this report, with the collaboration and under the supervision of Houssem Ben

Tahar, B.Eng. Statistics, M.Sc., Vice-President, Development and Business Intelligence at

DIAGNOS. The author has relied on the opinion and work of the “CARDS team” at DIAGNOS

responsible for target zone generation using CARDS.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 7 May 2016 (December 2016 Update)

4.0 PROJECT LOCATION The area of the South LG4-High Eastmain (Baie James) kimberlite project covers a total

aggregated surface area of 23,912 km2 located in the Northern Quebec between the 50th

and the 55th parallels (Figure 1).

Figure 1 : South LG4-High Eastmain (Baie James) kimberlite project location (Quebec

geological map provinces after Theriault & Beausejour, DV 2012-06, MRN)

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 8 May 2016 (December 2016 Update)

It covers 25 NTS SRNC 50k Map sheets (Table 1 & Figure 2).

Table 1: NTS SRNC 50k Maps sheet number over the South LG4-High Eastmain

(Baie James) kimberlite project 032B15 032B16 033A13 033A14 033A15 033A16 033B10 033B09 033A12 033A11 033A10 033A09 033B07 033B08 033A05 033A06 033A07 033A08 033B02 033B01 033A04 033A03 033A02 033A01 032P16 5.0 GEOLOGICAL SETTING Portions of the regional geology, local geology and mineralization sections have been taken

in its integral form from: “The Renard Diamond Project, Québec, Canada Feasibility Study

Update, Stornoway Diamond Corporation - NI 43-101 Technical Report – February 28,

2013, 320p.”

5.1 Regional Geology The area covered by the the South LG4-Eastmain (Baie James) kimberlite project “is located

within the eastern portion of the Superior Craton (Superior Structural Province), (Figure 1).

The Superior Province forms the Archaean core of the Canadian Shield, and is the largest

contiguous region of Archaean crust remaining on the globe. It is considered to be an

amalgamation of small continental fragments of Meso-Archaean age and Neo-Archaean

oceanic plates, with a complex history of aggregation between 2.72 Ga and 2.68 Ga. Since

about 2.6 Ga, the Province has been tectonically stable (Percival, 2006)”.

“The Superior Province is surrounded by provinces of Paleo-Proterozoic age on the west,

north and east (Churchill Province), and Meso-Proterozoic age (Grenville Province) on the

southeast. Margins of the Superior Province were affected during Paleo-Proterozoic and

Meso-Proterozoic tectonism. Proterozoic and younger activity is limited to rifting of the

margins (Mid Continent Rift System), emplacement of numerous mafic dyke swarms,

compressional reactivation and large-scale rotation at ca. 1.9 Ga, and failed rifting at ca.

1.1 Ga (Percival, 2006)”.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 9 May 2016 (December 2016 Update)

“Quaternary glacial cover in the area was controlled by the New Québec Ice Divide. From

the divide, ice flowed north and northeast toward Ungava Bay and west to southwest

toward Hudson Bay. Glacial lineaments are well developed and widespread. Eskers and

hummocky to discontinuous, unmoulded, ground moraine deposits are also common”.

“There are five known episodes of kimberlitic volcanism in Québec (Moorhead et al., 2003);

from south to north, the kimberlite fields are:

x Témiscamingue: six diatreme facies pipes intruding the Pontiac Subprovince. Two

age dates, 125 Ma (Rb-Sr) and 142 Ma (U-Pb) have been obtained. Kimberlites are

hosted in the northwest-trending Témiscaming structural zone.

x Desmaraisville: five hypabyssal pipes and numerous dykes located in the central

portion of the Abitibi Subprovince. Age date of 1104 Ma (Rb-Sr fromphlogopite).

Hosted in the Waswanipi–Saguenay Tectonic Zone; pipes are in close proximity to

northeast-trending Proterozoic dykes.

x Otish: at least 12 pipes intruding the northeast portion of Opatica and Opinaca

Subprovinces. Age dates range from 550.0 + 3.5 Ma at Beaver Lake to 640.5 + 28

Ma at Renard. The kimberlite field is associated with the southern end of the

Mistassini-Lemoyne structural zone, and near-northwest, and northeast-trending

Proterozoic diabase dykes.

x Wemindji: kimberlitic sills intruding Archaean-age gneisses of La Grande

Subprovince, located at the western end of the Wemindji–Caniapiscau structural

zone where it intersects the northeasterly projection of the Kapuskasing zone.

x Torngat: diamond-bearing dykes recognized in the Paleo-Proterozoic Rae Province

near the Archaean Nain Craton. These dykes were classified as carbonatized

ultramafic lamprophyres and dated at 550 Ma”.

“The Renard Cluster is considered to be part of the Otish kimberlitic volcanic event”.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 10 May 2016 (December 2016 Update)

5.2 Local Geology

The South LG4-High Eastmain (Baie James) kimberlite project area is situated between the

La Grande greenstone (volcanic) belt to the north and the Otish Mountains to the south

(Figure 2). The Otish Mountain and Mistassini groups of Proterozoic, clastic,

metasedimentary rocks overlie the Archean lithologies, marginal to the Grenville Province.

“Granite–gneiss and retrograde granulite gneisses of sedimentary origin are the

predominant lithologies in the project area; however, lesser granite and granodiorite may

also be present. The gneisses may contain relict metasedimentary and metavolcanic rock

assemblages, as well as associated mafic and ultramafic intrusive rocks. Minor linear belts

of supracrustal metavolcanic rocks occur throughout the area, generally trending east-west

or west-northwest. Northwest-trending, Proterozoic Mistassini Swarm diabase and gabbro

dykes up to 30 m wide cross-cut all lithologies. Isolated outliers of Proterozoic clastic

metasedimentary rocks are present in the area (O’Connor and Lépine, 2006)”.

“Metamorphic grade within the Foxtrot area is primarily amphibolite facies with local

granulite facies being reported near Lac Minto (Percival et al., 1994). Higher-grade

lithologies in the north are interpreted as supracrustal relicts dating to 3.1 Ga. Granite and

granite gneiss are dated at 2.7 Ga and local felsic and intermediate intrusive rocks are

dated at 2.5 Ga”.

“Glacial overburden within the project is can be up to 30 m thick, but is on average 12 m

thick in the area of the Renard Cluster. Glacial deposits consist of till, eskers, moraine and

post-glacial sediments, and their orientation reflects ice transport from the north-

northeast”.

5.3 Mineralization

“The Renard kimberlite pipes and Lynx and Hibou dykes were emplaced into granitic and

gneissic host rocks, and contain diamonds of potential economic interest. The bodies

comprise a late Neo-Proterozoic to Cambrian kimberlite field in Québec (Girard, 2001;

Moorhead et al., 2002; Letendre et al., 2003)”.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 12 May 2016 (December 2016 Update)

“The kimberlite pipes are typically spaced between 50 m and 500 m from each other.

Geophysical data and drill information from delineation and bulk sampling programs indicate

that, in general, most of the Renard kimberlites are irregular and elliptical in planar view.

Surface areas of the kimberlite portion of the pipes range from 0.1 ha to 2.01 ha.”

“The Renard kimberlite pipes comprise root zone to diatreme facies rocks characterized by a

complex internal geology. These pipes can be classified as “typical” South-African-style

kimberlites (Hawthorne, 1973, Clement and Skinner, 1979, Clement, 1982 and Field and

Scott Smith, 1999). In most pipes, with the exception of Renard 3 and Renard 10, the

dominant phase is a MVK that can be classified as TKB. In general, these TKBs are

extensively altered and have a massive texture. They consist of varying amounts of olivine,

juvenile clasts and country rock xenoliths that are poorly sorted, typically loosely packed

and less commonly clast supported, all set within a highly altered interclast matrix. In many

pipes a secondary pipe-filling phase is present that is typically a more coherent or

transitional kimberlite characterized by lower country rock xenolith content and higher

olivine content set within a dominantly crystalline groundmass. In all bodies, HK is present

as both dykes and irregularly shape intrusions that are found within each pipe infilling

phase, between contacts of phases and along pipe margins. These are typically considered

later stage intrusions”.

“The Renard bodies are all associated with extensive cracked country rock (CCR) and with

the exception of Renard 3, Renard 7 and Renard 8, have a significant marginal country rock

breccia (CRB). The marginal CCR consists of both broken and solid country rock with minor

amounts of HK dykes and veins throughout. Minor zones of extensively fractured to

brecciated country rock are also present in this unit. The CRB typically lies between the

main kimberlite units and the CCR and is characterized by dominantly broken and

pulverized country rock, with an overall dilution of 95% or greater. CRB contains from 0% -

5% kimberlite, present as olivine in the pulverized country rock matrix. Locally, the CRB

may also contain more than 10% diamond-bearing kimberlitic material, in the form of late-

stage, cross-cutting HK dykes”.

“Each Renard kimberlite contains a variety of phases that are distinguishable from one

another by differing macroscopic and microscopic properties as well as diamond grades.

Whole rock trace element compositions suggest that the Renards have a close affinity to

Group I kimberlite (after Skinner, 1989), with some melnoitic overlap, likely due to

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 13 May 2016 (December 2016 Update)

contamination by country rock (Birkett et al., 2004). However, petrographic analyses of

these rocks support Group I kimberlite classification”.

6.0 CARDS MODELLING AND PREDICTION SYSTEM CARDS is a state of the art computer system that uses the latest artificial intelligence and

pattern recognition algorithms to analyze large digital exploration data sets and produce

exploration targets. CARDS Uses many layers of gridded data (variables) to learn the

“signature” of known mineralized sites (positive cells) in a given area. The area is then

scored and cells with a high similarity to the sought “signature” are identified.

The primary layers of gridded data can be:

¾ Geophysical surveys: MAG, EM, IP, gravity, radiometry

¾ Geochemical surveys: soil, stream sediment, lake bottom, till

¾ Digital elevation models

¾ Satellite imagery

¾ Geological maps: rock type, alteration

¾ Proximity to interpreted lineaments, mapped faults and shear zones

¾ Proximity to lithological contacts or specific intrusive suites

¾ Proximity to a geochemical anomaly

But these data layers may contain only part of the information because single point readings

taken alone have little meaning. The neighborhood around each individual cell also contains

important information and patterns. For example, there is no good reason for mineralization

to occur at a single elevation; but when all the cells of the topography grid are combined,

patterns such as: linear ridges, drainage patterns, circular patterns, etc. can appear and in

some cases be an indicator of structure or lithology. The same logic applies to geophysical

grids; it might be that certain slopes near a high values have statistical significance. Such

patterns can be represented by 1) calculating the derivatives of the primary grids and

2) calculating “neighborhood” variables, which allow the characteristics of all cells within a

specified distance (neighborhood) to be weighed into the evaluation of each individual cell.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 14 May 2016 (December 2016 Update)

These many extra calculated layers are imputed in CARDS along with the primary layers

creating an important training database. Each cell in this database is identified as positive or

unknown, based on drill hole and rock sample assays, and linked to its own set of

characteristics (primary, derivative and neighboring variables). Several algorithms are then

used to identify the unknown cells that have a set of characteristics most similar to the

signature of the positive cells.

The quality and usefulness of results derived from CARDS modeling is dependent on a

variety of factors including the coverage, quantity, variety and quality of geoscientific and

historical exploration data processed. In addition, where interpreted data is used, it is also

dependent on the adequacy of the interpretation.

Targets generated by CARDS should be evaluated in conjunction with all readily available

geological data in the evaluation of the economic potential of a property as well as in the

outlining of exploration targets.

6.1 Modeling In order to study the accuracy of predictions and to validate modeling results, two methods

are used and compared on the modeling area.

6.1.1 Kimberlite Similarity Model (KSM) The KSM consists of computing, over a moving window, a first-order regression between a

vertical cylinder model anomaly and the gridded magnetic data (Mag) over the project area.

The same procedure is applied with derivative in z magnetic data and the analytical signal

data (Asig). Only the results where the absolute value of the similarity coefficient is above a

certain threshold and satisfy certain conditions were retained.

6.1.2 Positive-Negative Model The Positive-Negative Model is based on decision trees using all existing variables (primary

variables, derivative variables and neighboring variables) in the database. This model allows

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 15 May 2016 (December 2016 Update)

finding which variables discriminate the best positive sites versus negative sites. These

variables were then used to make predictions for all other unknown sites.

6.2 Methodology The modeling process can be summarized as follows:

1- Prepare the database

¾ Compile all available gridded data layers covering the modeling area (magnetic,

radiometric, topographic, etc.).

¾ Calculate derivatives (dx, dy, dz, 2dz, analytical signal (Asig), tilt, etc.) of selected

primary layers (magnetic and topographic) and create 8 derivative grids for each of

these layers.

¾ Use a moving window to capture the neighboring patterns around each point and

create the 22 neighborhood grids for each primary layer and each derivative layer.

¾ Identify the positive points (known kimberlites) and the negative points (confirmed

negative anomalies), and associate them to their closest cell.

2- Run the KSM algorithm

¾ Run the KSM with all positive points (known kimberlites) and three magnetic

variables (Mag, dz of Mag and Asig of Mag) using the first window (300m x 300m).

¾ Run the KSM with all positive points (known kimberlites) and three magnetic

variables (Mag, dz of Mag and Asig of Mag) using the second window (500m x

500m).

¾ Generate 72 similarity coefficients for each cell in order to measure the similarity

degree between the positive Kimberlite Pipes and unknown cells.

¾ Aggregate the KSM results and assign to each cell the frequency of similarity

coefficient above 0.9.

3- Run the Positive-Negative algorithm

¾ Get all existent information about the positive and negative sites.

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CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 16 May 2016 (December 2016 Update)

¾ Split randomly the learning data set in different sub-sets to avoid over-fitting in

learning process and to assure optimal model which can be generalized and

applicable to different regions.

¾ Generate a signature that discriminates between positive points and negative points

using the hole of existent information.

¾ Train different decision trees on the training group to get the most likely signature of

positive and negative points (the result from one unique tree is not robust).

¾ Aggregate the different rules of the trees by getting a similarity between 0

(negative) and 1 (positive) computed as the average of the different classifications

by giving the same importance to each tree.

¾ Run the new rules on the unseen group of sites (test group) to evaluate the accuracy

of the tool.

¾ Classify the points in the study area (other sites with no assay results) by scoring

following rules: if the average similarity computed from the trees is over considered

threshold so the site will be considered as positive.

4- Generate exploration targets based on the best similarity values.

7.0 VARIABLES A total of 552 variables for models using the Positive-Negative algorithm and 3 variables for

model using the Kimberlite Similarity algorithm which derived from data originated from the

Sigeom database (MRN, Quebec), were used as inputs in the prediction modeling process.

These layers of data are classified in three categories:

1. Primary data: leveled and merged airborne magnetic-spectrometric survey

(Figures 3 & 4) and topography (SRTM), (Figure 5).

2. Derivative data: dx, dy, dz, analytical signal, tilt, etc. for magnetic and

topography (SRTM) layers (Tables 2 and 3).

3. Neighboring data: sum, median, standard deviation, etc. (Table 4).

The geophysical data set used for this model originated from the Sigeom database (MRN,

Quebec). They consist of a mosaic of two leveled and merged airborne magnetic-

Page 17: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 17 May 2016 (December 2016 Update)

spectrometric surveys (cell size 60m) of the South LG4 and the High Eastmain areas

(D’Amours, 2010: DP 2010-03 & DP 2011-01), (Figures 3 & 4).

Neighboring variables (Table 4) have been calculated for all of the measured and calculated

variables for the regional data set; this way, the characteristics of all points within a

specified distance are weighed into the evaluation of that point. A moving windows of 300m

is used around each individual cell in order to select neighboring cells for this calculation.

In all, a total of 552 variables (24 x 23) for Positive-Negative modeling and 3 variables for

Kimberlite Similarity modeling were used for the study area. The primary and derivative

variables can be found as grid files and databases in the data CD accompanied with this

report. All of the above data originated from the Sigeom database (MRN, Quebec). Only the

SRTM (Shuttle Radar Topographic Mission) topography (Figure 5) was used by DIAGNOS to

characterize the topography input. Data was gridded to a 60m cell size (model resolution)

which corresponds to 6,642,222 data points.

Page 18: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

18

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Figu

re 3

: R

esid

ual M

agne

tic

Inte

nsity

(D’A

mou

rs,

2010

: D

P 20

10-0

3 &

DP

2011

-01)

Page 19: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

19

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Fi

gure

4:

Spe

ctro

met

ry-P

otas

sium

(D

’Am

ours

, 20

10:

DP

2010

-03

& D

P 20

11-0

1)

Page 20: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

20

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Fi

gure

5:

Topo

grap

hy (

SRTM

)

Page 21: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 21 May 2016 (December 2016 Update)

Table 2: Primary and derivative variable data set for Positive-Negative Modeling

Variables Description

1 RMI Residual Magnetic Intensity

2 RMI_dx Calculated derivative of RMI in x

3 RMI_dy Calculated derivative of RMI in y

4 RMI_dz Calculated vertical derivative (dz) of RMI

5 RMI_2dz Calculated second vertical derivative (dz) of RMI

6 RMI_ASIG Calculated analytical signal of RMI

7 RMI_TDR Calculated tilt derivative of RMI

8 RMI_HD_TDR Calculated horizontal derivative of RMI _TDR

9 Kper Potassium

10 TCngyh Total Count

11 Thppm Thorium

12 Uppm Uranium

13 K_TC_Ratio Potassium / Total Count

14 U_Th_Ratio Uranium / Thorium

15 Th_K_Ratio Thorium / Potassium

16 U_K_Ratio Uranium / Potassium 17 SRTM Topography

18 SRTM_dx Calculated derivative of SRTM in x

19 SRTM_dy Calculated derivative of SRTM in y

20 SRTM_dz Calculated vertical derivative (dz) of SRTM

21 SRTM_ASIG Calculated second vertical derivative (dz) of SRTM

22 SRTM_2dz Calculated analytical signal of SRTM

23 SRTM_TDR Calculated tilt derivative of SRTM

24 SRTM_HD_TDR Calculated horizontal derivative of SRTM _TDR

Table 3: Primary and derivative variable data set for Kimberlite Similarity Modeling (KSM)

Variables Description

1 RMI Residual Magnetic Intensity

2 RMI_ASIG Calculated analytical signal of RMI

3 RMI_dz Calculated vertical derivative (dz) of RMI

Table 4: Calculated neighboring variables

Variable Description

1 _hood_sum Sum in the neighborhood

2 _hood_abssum Sum of absolute values in the neighborhood

Page 22: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 22 May 2016 (December 2016 Update)

Variable Description

3 _hood_min Minimum in the neighborhood

4 _hood_max Maximum in the neighborhood

5 _hood_avg Average in the neighborhood

6 _hood_stddev Standard deviation in the neighborhood

7 _hood_reldev Relative deviation in the neighborhood

8 _hood_kurtosis Kurtosis (measure of the "peakedness") in the neighborhood

9 _MedianGradient Median gradient in the neighborhood

10 _DistGravCenter Distance from gravity center in the neighborhood

11 _hood_hslope Horizontal slope in the neighborhood

12 _hood_hslope_min Minimum of horizontal slopes in the neighborhood

13 _hood_hslope_max Maximum of horizontal slopes in the neighborhood

14 _hood_hslope_sum Sum of horizontal slope in the neighborhood

15 _hood_hslope_avg Average of horizontal slopes in the neighborhood

16 _hood_hslope_stddev Standard deviation of horizontal slopes in the neighborhood

17 _hood_vslope Vertical slope in the neighborhood

18 _hood_vslope_min Minimum of vertical slopes in the neighborhood

19 _hood_vslope_max Maximum of vertical slopes in the neighborhood

20 _hood_vslope_sum Sum of vertical slopes in the neighborhood

21 _hood_vslope_avg Average of vertical slopes in the neighborhood

22 _hood_vslope_stddev Standard deviation of vertical slopes in the neighborhood

8.0 TRAINING DATA The training data set was built using :

x Twelve (12) known kimberlite pipes of the Renard and the Beaver Lake (Table 5)

originated from the Sigeom database (MRN, Quebec) and from from the Stornoway

Diamond Corporation (NI 43-101-Report, 2013).

x One hundred and eleven (111) confirmed negative anomalies (DDH collars location)

regarding kimberlites (Table 6) originated from the Sigeom database (MRN, Quebec).

The spatial distribution of the training points used in model area is illustrated in Figure 6.

The Kimberlite Similarity model (KSM) was generated using 12 (twelve) known kimberlite

pipes, while the Positive-Negative model was generated using 12 (twelve) known kimberlite

pipes and 111 (one hundred and eleven) confirmed negative anomalies regarding

kimberlites.

Page 23: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

23

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Tabl

e 5:

Lis

t of

kno

wn

kim

berlite

pipe

s N

r K

imb

erl

ite P

ipe

Occ

urr

ence

X

_N

AD

83

_U

TM

_Z

18

Y

_N

AD

83

_U

TM

_Z

18

D

imen

sion

s at

Su

rface

(m

)

Dep

th C

ove

r (m

) Y

ear

of

Dis

cove

ry

No

tes

Fro

m R

efer

ence

s

1 Ren

ard

1 68

8906

58

5637

8 21

0 x

70

6.0

2001

“Dia

trem

e-zo

ne k

imbe

rlite

with

over

all r

egul

ar s

hape

. Slig

htly

elo

ngat

e no

rth-

sout

h, s

ub-c

ircu

lar

shap

e at

sur

face

” (S

torn

oway

D

iam

ond

Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

2 Ren

ard

2 68

9266

58

5526

5 15

3 x

70

22.0

20

01

“Dia

trem

e-zo

ne k

imbe

rlite

with

irre

gula

r sh

ape

near

su

rfac

e. S

light

ly e

long

ate

nort

h-so

uth

at s

urfa

ce.

Siz

e of

kim

berlite

port

ion

of p

ipe

incr

ease

with

dept

h. P

artly

cove

red

by

lake

” (S

torn

oway

Dia

mon

d Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

3 Ren

ard

3 68

9451

58

5519

7 12

0 x

24

12.0

20

02

“Roo

t-zo

ne k

imbe

rlite

with

over

all i

rreg

ular

sha

pe”

(Sto

rnow

ay D

iam

ond

Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

4 Ren

ard

4 68

8818

58

5558

1 17

8 x

110

11.0

20

02

“Par

tly

cove

red

by s

hallo

w

lake

(ab

out

0.4

ha).

D

iatr

eme-

zone

kim

berlite

with

over

all r

egul

ar s

hape

. Slig

htly

elo

ngat

e, e

ast-

wes

t tr

endi

ng s

ub-c

ircu

lar

shap

e at

sur

face

” (S

torn

oway

Dia

mon

d Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

5 Ren

ard

65

6890

01

5855

857

330

x 90

8.

0 20

02

“Dia

trem

e zo

ne k

imbe

rlite.

Slig

htly

elo

ngat

e no

rth-

sout

h tr

endi

ng ir

regu

lar

shap

e at

sur

face

” (S

torn

oway

Dia

mon

d

Page 24: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

24

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Nr

Kim

berl

ite P

ipe

Occ

urr

ence

X

_N

AD

83

_U

TM

_Z

18

Y

_N

AD

83

_U

TM

_Z

18

D

imen

sion

s at

Su

rface

(m

)

Dep

th C

ove

r (m

) Y

ear

of

Dis

cove

ry

No

tes

Fro

m R

efer

ence

s

Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

6 Ren

ard

7 68

8854

58

5666

4 28

5 x

124

5.0

2002

“Dia

trem

e-zo

ne k

imbe

rlite

with

over

all r

egul

ar s

hape

an

d su

b-ci

rcul

ar s

hape

at

surf

ace”

(Sto

rnow

ay

Dia

mon

d Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

7 Ren

ard

8 68

9074

58

5558

5 80

x 5

0 8.

0 20

02

“Dia

trem

e-zo

ne k

imbe

rlite

with

over

all r

egul

ar s

hape

an

d su

b-ci

rcul

ar s

hape

at

surf

ace”

(Sto

rnow

ay

Dia

mon

d Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

8 Ren

ard

9 68

8754

58

5539

8 16

3 x

35

10.0

20

03

“Low

er d

iatr

eme

to r

oot-

zone

kim

berlite.

Elo

ngat

e,

nort

h-so

uth

tren

ding

, el

liptica

l sha

pe a

t su

rfac

e.

Bod

y sh

ape

dips

to

the

east

with

dept

h. E

ntirel

y co

vere

d by

2-4

m d

eep

lake

“(Sto

rnow

ay D

iam

ond

Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

9 Ren

ard

10

6886

07

5857

159

370

x 12

3.

0 20

03

“Nor

th-n

orth

wes

t tr

endi

ng

dyke

-lik

e ki

mbe

rlite.

Po

ssib

le b

lind

intr

usio

n.

Alm

ost

entire

ly c

over

ed b

y 3

m d

eep

lake

” (S

torn

oway

D

iam

ond

Cor

pora

tion

- N

I 43

-101

Rep

ort-

2013

).

Page 25: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

25

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Nr

Kim

berl

ite P

ipe

Occ

urr

ence

X

_N

AD

83

_U

TM

_Z

18

Y

_N

AD

83

_U

TM

_Z

18

D

imen

sion

s at

Su

rface

(m

)

Dep

th C

ove

r (m

) Y

ear

of

Dis

cove

ry

No

tes

Fro

m R

efer

ence

s

10

Lac

Bea

ver

Tich

1

6852

00

5782

600

1978

“La

kim

berlite

d'O

tish

est

co

mpo

sée

d'un

e ch

emin

ée

et d

e dy

kes

adja

cent

s de

di

men

sion

s va

riab

les.

Cet

te m

orph

olog

ie r

appe

lle

les

com

plex

es d

e ki

mbe

rlite

dési

gnés

com

me

" bl

ow "

qui

son

t de

s ch

emin

ées

embr

yonn

aire

s ra

ttac

hées

à d

es d

ykes

“ (S

igeo

m).

11

Lac

Bea

ver

Tich

2

6855

00

5782

150

1978

“La

kim

berlite

d'O

tish

est

co

mpo

sée

d'un

e ch

emin

ée

et d

e dy

kes

adja

cent

s de

di

men

sion

s va

riab

les.

Cet

te m

orph

olog

ie r

appe

lle

les

com

plex

es d

e ki

mbe

rlite

dési

gnés

com

me

" bl

ow "

qui

son

t de

s ch

emin

ées

embr

yonn

aire

s ra

ttac

hées

à d

es d

ykes

“ (S

igeo

m).

12

Lac

Bea

ver

Tich

3

6796

50

5763

600

1978

“La

kim

berlite

d'O

tish

est

co

mpo

sée

d'un

e ch

emin

ée

et d

e dy

kes

adja

cent

s de

di

men

sion

s va

riab

les.

Cet

te m

orph

olog

ie r

appe

lle

les

com

plex

es d

e ki

mbe

rlite

dési

gnés

com

me

" bl

ow "

qui

son

t de

s ch

emin

ées

embr

yonn

aire

s ra

ttac

hées

à d

es d

ykes

“ (S

igeo

m).

Page 26: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

26

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Tabl

e 6:

Lis

t of

con

firm

ed n

egat

ive

anom

alie

s

Nr

Nr.

DD

H

Sig

eom

N

r. D

DH

O

rig

inal

X_

NA

D8

3_

UT

M_

Z1

8

Y_

NA

D8

3_

UT

M_

Z1

8

Yea

r

Dep

th

(m)

Lith

olo

gy

Sig

eom

N

r. R

epo

rt

Sig

eom

H

old

. N

ame

1 12

5336

36

3-03

-11

6732

30

5739

740

2003

62

GM

613

36

Doc

usci

ence

In

c,Ex

plor

atio

n D

ios

Inc

2 12

5335

36

3-03

-05

6732

30

5740

380

2003

11

I3

A,H

B,P

X,B

O,P

G,M

G

GM

613

36

Doc

usci

ence

In

c,Ex

plor

atio

n D

ios

Inc

3 12

5339

36

3-03

-23

6736

80

5741

550

2003

16

I1

B(B

O),

CL,

[IU

]I2J

G

M 6

1573

D

ocus

cien

ce

Inc,

Expl

orat

ion

Dio

s In

c

4 12

5341

36

3-03

-19

6737

80

5743

580

2003

25

M

12-I

1B

GM

615

73

Doc

usci

ence

In

c,Ex

plor

atio

n D

ios

Inc

5 12

5338

T-

04-0

4 67

3836

57

5147

0 20

04

243

I4P,

[EN

]I1B

-I1

B-I

4P

GM

615

22

Ditem

Ex

plor

atio

ns I

nc

6 12

5332

O

B 0

0-07

67

6164

57

5164

0 20

00

33

G

M 5

9943

D

item

Ex

plor

atio

ns I

nc

7 14

1150

W

B11

67

5636

57

5188

0 20

08

202

S1,

QZ,F

P,SR

/S4,

QZ,F

P,S

R

GM

639

86

Ditem

Ex

plor

atio

ns I

nc

8 14

1149

W

B08

68

2913

57

5603

0 20

08

228

S1,

QZ,F

P[FA

]/S6D

-S6D

,LM

[FA]

GM

639

86

Ditem

Ex

plor

atio

ns I

nc

9 14

5504

W

B13

68

9825

57

5723

0 20

10

43

S1,

QZ,S

R,P

G,F

K

GM

652

73

Ditem

Ex

plor

atio

ns I

nc

10

1253

28

OB 0

0-06

67

9030

57

5743

0 20

00

42

I3[a

e],M

G+

+/I

1B

GM

593

76

Ditem

Exp

lora

tion

In

c

11

1423

32

WB14

68

8800

57

5810

0 20

10

51

S1[

SA][

FA]S

R,P

G

GM

652

73

Ditem

Ex

plor

atio

ns I

nc

12

1473

16

WB15

69

2950

57

5846

0 20

10

40

S1[

SA]S

R,P

G

GM

652

73

Ditem

Ex

plor

atio

ns I

nc

13

1254

01

WB-0

3 68

2065

57

5881

0 20

07

151

M1,

HM

G

M 6

3719

D

item

Ex

plor

atio

ns I

nc

14

1385

10

WB12

67

6375

57

6353

0 20

08

172

V[S

C][

FO]

GM

639

86

Ditem

Ex

plor

atio

ns I

nc

15

4288

7 85

038-

01

6676

05

5763

700

2004

96

M

1,PY

,MG

-I1

G,P

Y G

M 6

1385

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

16

3668

1 85

037-

01

6681

80

5763

980

2004

10

2 M

1,PG

,BO

,QZ,H

B-

I1B/I

4P,S

T G

M 6

1385

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

Page 27: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

27

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Nr

Nr.

DD

H

Sig

eom

N

r. D

DH

O

rig

inal

X_

NA

D8

3_

UT

M_

Z1

8

Y_

NA

D8

3_

UT

M_

Z1

8

Yea

r

Dep

th

(m)

Lith

olo

gy

Sig

eom

N

r. R

epo

rt

Sig

eom

H

old

. N

ame

17

4284

7 O

B 0

0-05

68

0759

57

6462

0 20

00

12

M16

,EP,

CC,P

Y G

M 5

9943

D

item

Ex

plor

atio

ns I

nc

18

4284

8 O

B 0

0-02

67

5320

57

6443

0 20

00

25

I1G

-I1

C,P

Y,CP

GM

599

43

Ditem

Ex

plor

atio

ns I

nc

19

3667

9 G

03-0

86-

02

6673

30

5764

260

2004

10

2 I1

G-I

4P-

I1G

/M1

GM

613

85

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

20

3668

0 G

03-0

86-

01

6673

30

5764

260

2009

10

2 M

1,[M

A],

[IU

]I1G

-I4P

-M

1,[I

U]I

1G

GM

613

85

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

21

4284

9 O

B 0

0-03

67

6928

57

6488

0 20

00

19

I4B,A

M,S

T,C

L,[e

n]I1

B

GM

599

43

Ditem

Ex

plor

atio

ns I

nc

22

4286

4 85

065-

01

6740

80

5765

410

2004

99

M

1-I1

B-I

1G-

M1/

I1G

,[EN

]M

1 G

M 6

1385

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

23

1448

20

MLO

-07-

01

6773

54

5770

790

2007

21

0

I2D

(I1B

)[EQ

][FA

]FP,

QZ,

AM

,MG

,Si,P

Y/I

3B

GM

649

66

Virgi

nia

Ener

gy

Res

ourc

es I

nc

24

4286

6 T-

04-0

3 67

3870

57

7287

0 20

04

78

M1,

[SH

]/I1

B,H

M,C

L G

M 6

1522

D

item

Ex

plor

atio

ns I

nc

25

4286

5 T-

04-0

2 67

7891

57

7537

0 20

04

66

M1,

BO

,HB/I

1G,N

G

GM

615

22

Ditem

Ex

plor

atio

ns I

nc

26

4286

1 12

5-02

-05

6835

47

5779

370

2002

35

M

22/I

1B

GM

605

15

Ditem

Ex

plor

atio

ns I

nc

27

4286

3 12

5-02

-06

6845

54

5779

750

2002

21

I1

B-M

1(BO

)-I1

G/M

1(BO

)-I1

G

GM

605

15

Ditem

Ex

plor

atio

ns I

nc

28

4285

9 12

5-02

-04

6834

70

5779

930

2002

45

M

22/I

1B

GM

605

15

Ditem

Ex

plor

atio

ns I

nc

29

1405

45

DIO

-45

6952

50

5803

270

2008

40

I3

A[G

M][

EQ]

AM

,PG

,MG

G

M 6

3933

Ex

plor

atio

n D

ios

Inc

30

1405

44

ST-

2 70

1935

58

0811

0 20

08

39

I1B[G

M][

EQ]

PG,F

P,Q

Z,M

G[F

A]S

i,EP

GM

639

33

Expl

orat

ion

Dio

s In

c

31

9447

5 D

ORO

T8-

01

6831

75

5807

610

2006

91

V3B

[ME]

[FO

],CB-I

1N

GM

627

20

Res

sour

ces

Dia

nor

Inc

32

1372

42

ST-

5 70

2205

58

0873

0 20

08

56

I1C,B

O[E

Q]P

G,Q

Z,F

P,M

G-

I3A[I

U]-

I1G

[IU

]HM

GM

639

33

Expl

orat

ion

Dio

s In

c

Page 28: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

28

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Nr

Nr.

DD

H

Sig

eom

N

r. D

DH

O

rig

inal

X_

NA

D8

3_

UT

M_

Z1

8

Y_

NA

D8

3_

UT

M_

Z1

8

Yea

r

Dep

th

(m)

Lith

olo

gy

Sig

eom

N

r. R

epo

rt

Sig

eom

H

old

. N

ame

33

9447

6 33

C-0

8 68

1035

58

1058

0 20

05

94

I1C[M

A][

HJ]

[PG

][G

F]/M

16[

HJ]

G

M 6

2953

Ex

plor

atio

n D

ios

Inc

34

9412

5 02

-P54

67

3920

58

2127

0 20

02

74

I1B(M

22)[

FO],

FK,B

O

GM

605

43

Res

sour

ces

Maj

esco

r In

c

35

1407

67

P-66

65

2222

58

2077

0 20

08

80

I1B[G

G][

PG]

FP,P

G,B

O,Q

Z

GM

639

33

Expl

orat

ion

Dio

s In

c

36

1378

77

02-P

20

6568

80

5823

280

2002

60

M

22

GM

605

43

Res

sour

ces

Maj

esco

r In

c

37

9412

3 33

C-1

0 68

6290

58

2873

0 20

05

19

I3A[H

J]

GM

629

53

Expl

orat

ion

Dio

s In

c

38

9412

2 33

C-0

9 68

6435

58

2881

0 20

05

27

I3A[H

J]

GM

629

53

Expl

orat

ion

Dio

s In

c

39

9412

4 33

C-1

1 68

6802

58

2905

0 20

05

23

I3A[H

J]

GM

629

53

Expl

orat

ion

Dio

s In

c

40

9412

1 33

C-0

7 68

6975

58

2912

0 20

05

126

V3B

(M16

)[M

A]/

I1N

/I1F

[IU

],Q

Z+

G

M 6

1769

Ex

plor

atio

n D

ios

Inc

41

9411

8 02

-P4A

66

9960

58

2985

0 20

02

81

M22

,FK,B

O,

CL

GM

605

43

Res

sour

ces

Maj

esco

r In

c

42

1407

60

02-P

59

6584

50

5830

420

2002

51

I1

B/I

1C/M

1,BO

G

M 6

0543

Res

sour

ces

Maj

esco

r In

c

43

1378

87

PCSH

-9

6496

47

5830

780

2008

67

I1

C,B

O[P

O]F

P,PG

,QZ,B

O,

AM

,MG

,HM

G

M 6

3933

Ex

plor

atio

n D

ios

Inc

44

1378

82

33C-0

2 64

6209

58

3072

0 20

04

93

M1,

BO

[GF]

[G

M],

MG

[DI]

G

M 6

1769

Ex

plor

atio

n D

ios

Inc

45

1407

64

33C-0

1 64

6209

58

3072

0 20

04

144

M1,

BO

[GF]

[G

M],

MG

[DI]

G

M 6

1769

Ex

plor

atio

n D

ios

Inc

46

1378

76

02-P

38

6682

70

5831

590

2002

57

I1

B,F

P[FO

] G

M 6

0543

Res

sour

ces

Maj

esco

r In

c

47

1407

68

PCSH

-10

6491

97

5831

290

2008

57

I1C,B

O[P

O],

FP[G

M][

GG

]PG

,QZ,F

P,BO

,AM

,MG

GM

639

33

Expl

orat

ion

Dio

s In

c

48

1378

88

PCSH

-11

6511

47

5831

620

2008

60

I2

J[PO

]FP,

CL

,PG

,BO

,HM

G

M 6

3933

Ex

plor

atio

n D

ios

Inc

49

1407

59

02-P

37

6673

90

5832

610

2002

62

I1

B,B

O[G

M]

GM

605

43

Res

sour

ces

Maj

esco

r In

c

50

1382

15

HCSH

-14

7030

85

5834

290

2008

56

M6(

I2J)

BO

[EQ

][FO

]PG

,BO

,QZ,F

P-[I

N]I

1G,B

O

GM

639

33

Expl

orat

ion

Dio

s In

c

Page 29: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

29

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Nr

Nr.

DD

H

Sig

eom

N

r. D

DH

O

rig

inal

X_

NA

D8

3_

UT

M_

Z1

8

Y_

NA

D8

3_

UT

M_

Z1

8

Yea

r

Dep

th

(m)

Lith

olo

gy

Sig

eom

N

r. R

epo

rt

Sig

eom

H

old

. N

ame

51

1378

83

33C-0

3 64

7021

58

3240

0 20

04

121

I1B,F

P[G

F][

GM

][EQ

]QZ,

BO

,MG

[DI]

[IU

]

GM

617

69

Expl

orat

ion

Dio

s In

c

52

1378

84

33C-0

4B

6463

19

5832

410

2004

23

GM

617

69

Expl

orat

ion

Dio

s In

c

53

1407

65

33C-0

4A

6463

19

5832

410

2004

17

GM

617

69

Expl

orat

ion

Dio

s In

c

54

1378

85

33C-0

6 64

5232

58

3304

0 20

04

124

M6,

BO

,[G

M],

PG,[

FO]-

I1B[I

U]F

p,P

G,Q

Z,B

O,M

G

GM

617

69

Expl

orat

ion

Dio

s In

c

55

1407

69

PCSH

-12

6500

67

5834

590

2008

75

I1

G,F

P,PG

,BO

,QZ,M

G-

I2J[

IU]

GM

639

33

Expl

orat

ion

Dio

s In

c

56

1415

58

HCSH

-17

6938

30

5836

390

2008

38

I1

C,B

O[E

Q],

PG,F

P,Q

Z,B

O,M

G

GM

639

33

Expl

orat

ion

Dio

s In

c

57

1407

66

33C-0

5 64

7329

58

3516

0 20

04

101

M1,

BO

[GF]

[G

M]

GM

617

69

Expl

orat

ion

Dio

s In

c

58

1378

89

PCSH

-14

6521

67

5835

820

2008

64

I1

C,B

O[P

O]F

P,PG

,QZ,B

O,

AM

,MG

G

M 6

3933

Ex

plor

atio

n D

ios

Inc

59

1407

70

PCSH

-15

6554

07

5837

380

2008

42

M6,

BO

,PG

,FP

,QZ,M

G-

[IN

]I1G

-[I

N]I

2J

GM

639

33

Expl

orat

ion

Dio

s In

c

60

1378

79

02-P

9 66

6357

58

3801

0 20

02

75

I1B,F

P G

M 6

0543

Res

sour

ces

Maj

esco

r In

c

61

9411

7 02

-P5

6721

80

5838

240

2002

78

I1

C

GM

605

43

Res

sour

ces

Maj

esco

r In

c

62

1378

86

P-69

65

3196

58

3838

0 20

08

63

I1C[P

O]F

P,B

O,P

G,Q

Z,B

O,

AM

,MG

G

M 6

3933

Ex

plor

atio

n D

ios

Inc

63

1403

49

G02

-022

-01

67

8202

58

4050

0 20

07

133

M1-

I1/I

1G[F

O]Q

Z,F

P,BO

,MG

[D

I],P

Y[D

I]

GM

631

58

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

64

9411

6 02

-P35

67

3320

58

4201

0 20

02

53

I1B,B

O,F

K/M

8(BO

)[M

A]-

M22

G

M 6

0543

Res

sour

ces

Maj

esco

r In

c

65

1407

62

02-P

10

6641

50

5843

250

2002

99

M

1,BO

/I1B

,BG

M 6

0543

Res

sour

ces

Page 30: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

30

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Nr

Nr.

DD

H

Sig

eom

N

r. D

DH

O

rig

inal

X_

NA

D8

3_

UT

M_

Z1

8

Y_

NA

D8

3_

UT

M_

Z1

8

Yea

r

Dep

th

(m)

Lith

olo

gy

Sig

eom

N

r. R

epo

rt

Sig

eom

H

old

. N

ame

O

Maj

esco

r In

c

66

9412

0 G

02-0

02-

01

6810

70

5844

100

2005

15

0 M

1/I1

D-

I1G

,BO

G

M 6

1692

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

67

1378

78

02-P

7B

6612

10

5843

420

2002

51

I1

B

GM

605

43

Res

sour

ces

Maj

esco

r In

c

68

1378

80

02-P

7A

6612

10

5843

540

2002

51

M

1(M

4)/I

1B,

FP[Z

F]

GM

605

43

Res

sour

ces

Maj

esco

r In

c

69

9411

9 02

-P33

67

6320

58

4535

0 20

02

60

M22

(M1,

I1B

?),B

O

GM

605

43

Res

sour

ces

Maj

esco

r In

c

70

1407

61

02-P

1 65

8465

58

4638

0 20

02

27

I1B,F

P/M

1,B

O,/

I1B,B

O

GM

605

43

Res

sour

ces

Maj

esco

r In

c

71

1369

47

D06

-15

6523

37

5847

450

2008

63

I1

G

GM

639

33

Expl

orat

ion

Dio

s In

c

72

3273

4 02

-P31

67

4650

58

4822

0 20

02

50

M22

,BO

-M1-

M22

G

M 6

0543

Res

sour

ces

Maj

esco

r In

c

73

1369

28

02-P

51

6610

50

5849

150

2002

54

M

1,BO

,SR

GM

605

43

Res

sour

ces

Maj

esco

r In

c

74

3273

5 02

-P22

67

7485

58

4980

0 20

02

51

I1B,F

K-

M1,

BO

G

M 6

0543

Res

sour

ces

Maj

esco

r In

c

75

3274

5 85

124-

01

6890

75

5852

700

9999

19

5 M

1[gf

](M

G)

+[v

n]I1

G

GM

612

86

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

76

1369

46

D06

-07

6534

68

5852

250

2008

39

I2

J[G

F][G

M]

[EQ

]BO

,PG

,Q

Z,M

G

GM

639

33

Expl

orat

ion

Dio

s In

c

77

3281

9 85

103-

02

6877

73

5853

610

2005

15

GM

616

92

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

78

3282

0 85

103-

03

6877

73

5853

610

2005

27

0

M1[

sa]-

M1(

I1B)[

gm][

gg]/

M1-

I1B[b

r](H

M)

+

GM

616

92

Ash

ton

Dia

mon

ds

(Can

ada)

In

c,D

iaqu

em I

nc

79

3266

3 85

103-

01

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Page 31: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

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ay 2

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Page 32: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

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Page 33: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

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n Rep

ort,

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th L

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igh

East

mai

n (B

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es)

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ect,

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bec

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OS I

nc.

33

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ay 2

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e)

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Page 34: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

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Page 35: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 35 May 2016 (December 2016 Update)

9.0 MODELS Two prediction models were generated on the South LG4-High Eastmain (Baie James)

kimberlite project in order to optimize the scoring and training data sets. One model used

the Kimberlite Similarity (KSM) algorithm, while the other model was generated using the

Positive-Negative algorithm.

9.1 Kimberlite Similarity Model (KSM)

The KSM algorithm was applied to identify the possible kimberlite. The procedure computes,

over a moving window (300m x 300m), the similarity coefficient between the real magnetic

kimberlite anomaly and the magnetic data (RMI) over the LG4-High Eastmain (Baie James)

kimberlite project area. We used the signature of the 12 known kimberlite pipes over the

project area (Table 6).

The same procedure was applied with the derivative in z of magnetic data (RMI_dz) and the

analytical signal data (RMI_ASIG). We repeated the same method with a larger moving

window (500m x 500m).

For each one of the 6,669,056 points, we calculated 72 similarity coefficients with kimberlite

pipes (36 similarity coefficients with a 300m x 300m window and 36 other with a 500m

x500m window kimberlite), as shown in Tables 6 and 7.

For example, ρi

1 in Table 6 is the similarity coefficient between the 90,000 square meters

(300m x 300m) window around the Renard 1 kimberlite pipe and the same dimension

window around the point i by using the magnetic variable (RMI).

The ρi55 in Table 7 is the similarity coefficient between the 250,000 square meters (500m x

500m) window around the Renard 8 kimberlite pipe and the same dimension window around

the point i by using the derivative in z of magnetic data (RMI_dz).

Page 36: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

East

mai

n (B

aie

Jam

es)

Kim

berlite

Proj

ect,

Que

bec

DIA

GN

OS I

nc.

36

M

ay 2

016

(Dec

embe

r 20

16 U

pdat

e)

Ta

ble

7: S

imila

rity

coe

ffic

ient

s, w

indo

w s

ize

of 3

00 m

eter

s fo

r ki

mbe

rlite

pipe

s

Ren

ard

1 Ren

ard

2 Ren

ard

3 Ren

ard

4 Ren

ard

65

Ren

ard

7 Ren

ard

8 Ren

ard

9 Ren

ard

10

Lac

Bea

ver

Ti

ch 1

Lac

Bea

ver

Ti

ch 2

Lac

Bea

ver

Ti

ch 3

RM

I ρi 1

ρi 2 ρi 3

ρi 4 ρi 5

ρi 6 ρi 7

ρi 8 ρi 9

ρi 10

ρi 11

ρi 12

RM

I_dz

ρi 13

ρi 14

ρi 15

ρi 16

ρi 17

ρi 18

ρi 19

ρi 20

ρi 21

ρi 22

ρi 23

ρi 24

RM

I_ASIG

ρi 25

ρi 26

ρi 27

ρi 28

ρi 29

ρi 30

ρi 31

ρi 32

ρi 33

ρi 34

ρi 35

ρi 36

Tabl

e 8:

Sim

ilarity

coe

ffic

ient

s, w

indo

w s

ize

of 5

00 m

eter

s fo

r ki

mbe

rlite

pipe

s

Ren

ard

1 Ren

ard

2 Ren

ard

3 Ren

ard

4 Ren

ard

65

Ren

ard

7 Ren

ard

8 Ren

ard

9 Ren

ard

10

Lac

Bea

ver

Ti

ch 1

Lac

Bea

ver

Ti

ch 2

Lac

Bea

ver

Ti

ch 3

RM

I ρi 37

ρi 38

ρi 39

ρi 40

ρi 41

ρi 42

ρi 43

ρi 44

ρi 45

ρi 46

ρi 47

ρi 48

RM

I_dz

ρi 49

ρi 50

ρi 51

ρi 52

ρi 53

ρi 54

ρi 55

ρi 56

ρi 57

ρi 58

ρi 59

ρi 60

RM

I_ASIG

ρi 61

ρi 62

ρi 63

ρi 64

ρi 65

ρi 66

ρi 67

ρi 68

ρi 69

ρi 70

ρi 71

ρi 72

Page 37: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 37 May 2016 (December 2016 Update)

9.2 Positive-Negative Model The Positive-Negative model is based on decision trees of 552 variables in the database

(primary variables, derivative variables and neighboring variables).

A total of 500 Positive-Negative models for kimberlite pipes were run based on all 552

variables to find which of them discriminate the best positive sites versus negative sites.

These models have a very high performance (Table 8) with a good classification rate (1 for

kimberlite pipes model), high specificity (1 for kimberlite pipes model) and high sensitivity

(1 for kimberlite pipes model).

Table 9: Performance of Positive-Negative models for kimberlite pipes

Specificity 1

Sensitivity 1

False Positive 0

False Negative 0

Good classification rate 1

10.0 RESULTS The Kimberlite Similarity Model (KSM) for kimberlite pipes generated 72 similarity

coefficients for each unknown point. Only the points having at least one similarity coefficient

above 0.9 were retained. A total of 906,724 points were selected with this criteria and have

been scored by the 500 Positive-Negative models.

The rules of the Positive-Negative models were applied to classify the points that have at

least six similarity coefficients, among the 72 similarity coefficients, above 0.9. At last, 16

Kimberlite Pipe Targets (KPT_BJ_2016) with a similarity of 95% and 106 Kimberlite Pipe

Targets with a similarity of 90% were defined.

Page 38: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 38 May 2016 (December 2016 Update)

In May 2016 DIAGNOS staked 131 non-contiguous claim blocks covering two groups of 9

and 28 Kimberlite Pipe Targets based on two levels of similarity at 95% and 90%, beside

the new diamond Renard mine and the new 167 extension road (Figure 7).

Both Staked CARDS Kimberlite Pipe Targets groups are presented in Tables 10 and 11.

These tables include the following columns: Target id; Target (coordinates (X, Y); Similarity

(Positive-Negative Model); Frequency of the Absolute value of the Similarity Coefficients

above 0.9 (KSM); and actual Statut.

The list of 131 claims including permit numbers and area covered is presented in Table 12.

Table 10: Staked CARDS Kimberlite Pipe Targets – Similarity 95%

Nr Target_Id X

UTM NAD83 Z18

Y UTM

NAD83 Z18

Similarity (%)

Frequency of the

Absolute Value of the

Similarity Coefficients Above 0.9

(KSM)

Statut

1 Kimb_BJ_2016_008 650460 5849040 95 7 Diagnos Inc.

2 Kimb_BJ_2016_060 642780 5805480 95 6 Diagnos Inc.

3 Kimb_BJ_2016_071 664560 5847360 95 6 Diagnos Inc.

4 Kimb_BJ_2016_072 664560 5847420 95 6 Diagnos Inc.

5 Kimb_BJ_2016_073 664620 5847420 95 6 Diagnos Inc.

6 Kimb_BJ_2016_086 677580 5759760 95 6 Diagnos Inc.

7 Kimb_BJ_2016_090 679920 5792880 95 6 Diagnos Inc.

8 Kimb_BJ_2016_112 695460 5861580 95 6 Diagnos Inc.

9 Kimb_BJ_2016_117 700740 5860080 95 6 Diagnos Inc.

Page 39: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 39 May 2016 (December 2016 Update)

Table 11: CARDS Kimberlite Pipe Targets – Similarity 90%

Nr Target_Id X

UTM NAD83 Z18

Y UTM

NAD83 Z18

Similarity (%)

Frequency of the

Absolute Value of the

Similarity Coefficients Above 0.9

(KSM)

Statut

1 Kimb_BJ_2016_007 642720 5780940 90 7 Diagnos Inc.

2 Kimb_BJ_2016_014 693060 5863800 90 7 Diagnos Inc.

3 Kimb_BJ_2016_015 694740 5864760 90 7 Diagnos Inc.

4 Kimb_BJ_2016_059 637800 5844060 90 6 Diagnos Inc.

5 Kimb_BJ_2016_061 644400 5806860 90 6 Diagnos Inc.

6 Kimb_BJ_2016_062 646440 5807520 90 6 Diagnos Inc.

7 Kimb_BJ_2016_063 646500 5807580 90 6 Diagnos Inc.

8 Kimb_BJ_2016_064 646560 5807580 90 6 Diagnos Inc.

9 Kimb_BJ_2016_065 654240 5851440 90 6 Diagnos Inc.

10 Kimb_BJ_2016_066 654240 5851500 90 6 Diagnos Inc.

11 Kimb_BJ_2016_067 656220 5784660 90 6 Diagnos Inc.

12 Kimb_BJ_2016_068 660120 5790840 90 6 Diagnos Inc.

13 Kimb_BJ_2016_069 660180 5782620 90 6 Diagnos Inc.

14 Kimb_BJ_2016_070 660240 5782560 90 6 Diagnos Inc.

15 Kimb_BJ_2016_074 664680 5851860 90 6 Diagnos Inc.

16 Kimb_BJ_2016_075 664680 5851920 90 6 Diagnos Inc.

17 Kimb_BJ_2016_076 671700 5822580 90 6 Diagnos Inc.

18 Kimb_BJ_2016_077 671880 5751840 90 6 Diagnos Inc.

19 Kimb_BJ_2016_079 673260 5788500 90 6 Diagnos Inc.

20 Kimb_BJ_2016_084 676560 5760000 90 6 Diagnos Inc.

21 Kimb_BJ_2016_085 676620 5760000 90 6 Diagnos Inc.

22 Kimb_BJ_2016_092 684240 5829360 90 6 Diagnos Inc.

23 Kimb_BJ_2016_093 684240 5829420 90 6 Diagnos Inc.

24 Kimb_BJ_2016_108 691080 5873160 90 6 Diagnos Inc.

25 Kimb_BJ_2016_109 693060 5863860 90 6 Diagnos Inc.

26 Kimb_BJ_2016_113 698100 5834940 90 6 Diagnos Inc.

27 Kimb_BJ_2016_116 700560 5857740 90 6 Diagnos Inc.

28 Kimb_BJ_2016_118 701280 5857500 90 6 Diagnos Inc.

Page 40: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 40 May 2016 (December 2016 Update)

Table 12: Claim List

Claim Nr. NTS

Sheet Area (Ha)

Date of Registration

Expiry Date

Required Work ($)

Required Fees ($)

Claim Holder

2450996 32P15 53.19 2016-07-07 2018-07-06 780 59.67 Diagnos inc.

2450997 32P15 53.19 2016-07-07 2018-07-06 780 59.67 Diagnos inc.

2450998 32P15 53.18 2016-07-07 2018-07-06 780 59.67 Diagnos inc.

2450999 32P15 53.18 2016-07-07 2018-07-06 780 59.67 Diagnos inc.

2451000 32P16 53.19 2016-07-07 2018-07-06 780 59.67 Diagnos inc.

2451001 32P16 53.19 2016-07-07 2018-07-06 780 59.67 Diagnos inc.

2451002 33A08 52.77 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451003 33A08 52.77 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451004 33A08 52.76 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451005 33A08 52.76 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451006 33A07 52.6 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451007 33A07 52.61 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451008 33A07 52.6 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451009 33A07 52.6 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451010 33A07 52.6 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451011 33A07 52.6 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451012 33A07 52.59 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451013 33A07 52.59 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451014 33A07 52.59 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451015 33A07 52.59 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451016 33A07 52.59 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451017 33A07 52.59 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451018 33A07 52.58 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451019 33A07 52.58 2016-07-07 2018-07-06 87.75 138.24 Diagnos inc.

2451032 33A10 52.2 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451033 33A10 52.2 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451034 33A10 52.19 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451035 33A10 52.19 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451036 33A10 52.18 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451037 33A10 52.18 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451038 33A10 52.18 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451039 33A15 52.17 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451040 33A15 52.17 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451041 33A15 52.17 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451042 33A15 52.15 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451043 33A15 52.15 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451044 33A15 52.15 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

Page 41: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 41 May 2016 (December 2016 Update)

Claim Nr. NTS

Sheet Area (Ha)

Date of Registration

Expiry Date

Required Work ($)

Required Fees ($)

Claim Holder

2451045 33A15 52.14 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451046 33A15 52.14 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451047 33A15 52.14 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451048 33A15 52.13 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451049 33A15 52.13 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451050 33A15 52.13 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451051 33A15 52.13 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451052 33A15 52.13 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451053 33A15 52.12 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451054 33A15 52.12 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451055 33A15 52.12 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451056 33A15 52.12 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451057 33A15 52.12 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451058 33A09 52.45 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451059 33A09 52.45 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451060 33A09 52.44 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451061 33A09 52.44 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451062 33A09 52.39 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451063 33A09 52.39 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451064 33A09 52.39 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451065 33A09 52.38 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451066 33A09 52.38 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451067 33A09 52.38 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451068 33A09 52.34 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451069 33A09 52.34 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451070 33A09 52.33 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451071 33A09 52.33 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451072 33A16 52.1 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451073 33A16 52.1 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451074 33A16 52.09 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451075 33A16 52.09 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451076 33A16 52.08 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451077 33A16 52.08 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451078 33A16 52.07 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451079 33A16 52.07 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451080 33A16 52.06 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451081 33A16 52.06 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451082 33A16 52.06 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451083 33A16 52.05 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

Page 42: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 42 May 2016 (December 2016 Update)

Claim Nr. NTS

Sheet Area (Ha)

Date of Registration

Expiry Date

Required Work ($)

Required Fees ($)

Claim Holder

2451084 33A16 52.05 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451085 33A16 52.05 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451086 33A16 52.02 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451087 33A16 52.02 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451088 33A16 52.01 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451089 33A16 52.01 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451090 33A16 52.02 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451091 33A16 52.02 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451092 33A16 52.02 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451093 33A16 52.02 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451094 33A16 52.01 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451095 33A16 52.01 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451096 33A16 51.92 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451097 33A16 51.92 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451098 33A16 51.93 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451099 33A16 51.91 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451100 33A16 51.91 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451101 33A16 51.92 2016-07-08 2018-07-07 87.75 138.24 Diagnos inc.

2451189 32P16 53.12 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451190 32P16 53.12 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451191 32P16 53.12 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451192 32P16 53.12 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451193 32P16 53.11 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451194 32P16 53.11 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451195 32P16 53.11 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451196 32P16 53.11 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451197 32P16 53.1 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451198 32P16 53.1 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451199 32P16 53.1 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451200 32P16 53.1 2016-07-12 2018-07-11 780 59.67 Diagnos inc.

2451201 33A01 52.81 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451202 33A01 52.81 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451203 33A01 52.8 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451204 33A02 52.87 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451205 33A02 52.87 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451206 33A02 52.86 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451207 33A02 52.86 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451208 33A02 52.87 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451209 33A02 52.87 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

Page 43: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 43 May 2016 (December 2016 Update)

Claim Nr. NTS

Sheet Area (Ha)

Date of Registration

Expiry Date

Required Work ($)

Required Fees ($)

Claim Holder

2451210 33A02 52.85 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451211 33A02 52.85 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451212 33A02 52.86 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451213 33A02 52.86 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451214 33A02 52.85 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451215 33A02 52.85 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451216 33A02 52.84 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451217 33A02 52.84 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451218 33A02 52.84 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451219 33A02 52.83 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451220 33A02 52.83 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451221 33A02 52.83 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451222 33A02 52.78 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451223 33A02 52.78 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451224 33A02 52.77 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

2451225 33A02 52.77 2016-07-12 2018-07-11 87.75 138.24 Diagnos inc.

Page 44: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 44 May 2016 (December 2016 Update)

Figure 7: Diagnos Staked CARDS Kimberlite Targets

Page 45: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 45 May 2016 (December 2016 Update)

11.0 CONCLUSION & RECOMMENDATIONS

The South LG4-High Eastmain (Baie James) kimberlite project revealed to be well suited for

analysis by CARDS due to the quality of geophysical data and the distribution of training

data throughout the study area.

CARDS models have been able to outline areas with interesting potential for kimberlites that

merit further exploration efforts. Two categories of 16 and 106 Kimberlite Pipe Targets with

a similarity of 95% and 90% have been generated from CARDS modeling over the South

LG4-High Eastmain (Baie James) kimberlite project.

In May 2016 DIAGNOS staked 131 non-contiguous claim blocks covering two groups of 9

and 28 Kimberlite Pipe Targets based on two levels of similarity at 95% and 90%, beside

the new diamond Renard mine and the new 167 extension road.

Considering these kimberlite targets generated by CARDS methodology for screening out

and prioritizing anomalies, a first Phase Exploration Program is suggested, for a total

amount $154,551.95. This program will be conducted on 131 new property claims regarding

37 CARDS kimberlite targets, located within a radius of 20 to 80 km from the Eastmain Mine

Camp of Eastmain Resources (Figure 7). This camp will be used to house workers and to

service the property.

During the preparation stage, these 37 kimberlite targets will be plotted on a GIS system,

along with other geoscientific information (historical assessments reports and maps),

satellite images, geology or air-photos and local physiography to maximize the prospecting

efficiency.

During the field work, these 37 kimberlite targets will be visited by one (1) kimberlite

geologist and accompanied by one (1) assistant/geologist crew. The crew will have to

validate the accurate kimberlite targets predicted by CARDS, evaluate the geological context

and collect rock samples over available outcrops and glacial till and fluvial samples to

determine the abundance and nature of the kimberlitic indicator minerals that they contain.

The estimated detailed budget for this Phase of exploration is shown on the next page.

Page 46: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

atio

n Rep

ort,

Sou

th L

G4-H

igh

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mai

n (B

aie

Jam

es)

Kim

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Proj

ect,

Que

bec

DIA

GN

OS I

nc.

46

M

ay 2

016

(Dec

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r 20

16 U

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e)

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d w

ith

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n pr

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n in

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and

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3

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0

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pmen

t M

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an

d S

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$

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$

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6,

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15

$

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49

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Page 47: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARD

S E

valu

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n Rep

ort,

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n (B

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0

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Hel

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ter's

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$

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Page 48: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 48 May 2016 (December 2016 Update)

12.0 REFERENCES

D'AMOURS, I., 2010, Levé magnétique et spectrométrique aéroporté dans le secteur sud de LG4, Baie-James, Québec (DP 2010-03, MRN). D'AMOURS, I., 2010, Levé magnétique et spectrométrique aéroporté dans le secteur la haute Eastmain, Baie James, Québec (DP 2011-01, MRN). STORNOWAY DIAMOND CORPORATION, 2013, The Renard Diamond Project, Québec, Canada Feasibility Study Update - NI 43-101 Technical Report – 320p (SEDAR). THERIAULT, R. & BEAUSEJOUR, S., 2012, Geological map of Quebec (DV 2012-06, MRN). Website

http://sigeom.mrn.gouv.qc.ca (Sigeom database, MRN, Québec)

13.0 DELIVERABLES

One (1) paper copy of this report.

One (1) paper copy of the Diagnos Staked CARDS Kimberlite Targets (Figure 7) in a

1: 180 000 scale map, using the UTM NAD83 Zone 18N projection and oversize ANSI F

paper format.

Page 49: CARDS EVALUATION REPORT, SOUTH LG4 HIGH EASTMAIN …albertmining.com/wp-content/uploads/2017/06/diamond-ilovepdf-compressed.pdf · CARDS Evaluation Report, South LG4-High Eastmain

CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite Project, Quebec

DIAGNOS Inc. 49 May 2016 (December 2016 Update)

14.0 CERTIFICATE OF QUALIFICATION Report Title: CARDS Evaluation Report, South LG4-High Eastmain (Baie James) Kimberlite

Project, Quebec.

I, Grigor Heba, residing in Brossard, Québec, Canada do hereby certify that:

1. I am a senior Geologist with the firm of DIAGNOS Inc. with an office at Suite 340,

7005, Taschereau Boulevard, Brossard, Québec, Canada.

2. I hold a B.Sc. in Geology (1990) from the Polytechnic University of Tirana (Albania),

a DEA in Sedimentary Geology, Geochemistry and Geophysics (1997) from the

Université des Sciences et Technologies de Lille (France) and a Ph.D. in Mineral

Resources (2008) from the Université du Québec à Montréal (UQAM), (Québec,

Canada).

3. I am the author of this report.

4. I am a member in good standing of l’Ordre des Géologues du Québec (#1464).

5. I have no direct or indirect interests in the mining claims owned by DIAGNOS Inc.,

nor in the securities of the company and have no interest in receiving such interest.

6. The current report is based on compilation of data originated from the Sigeom

database (MRN, Quebec) and from the Stornoway Diamond Corporation (NI 43-101-

Report, 2013), using Exploration Best Practices Guidelines.

7. The recommendations from this study are purely the result of mathematical

algorithms used on exploration and historical data and should only be considered as

such.