SAMPLING AND GEOLOGICAL REPORT

Oh THE

T W I N LAKES CLAIM GROUP

Osoyoos Mining Div i s ion B r i t i s h Columbia

NTS 82E/5E

La t i t ude : 4 g 0 1 6 . 5 '

Longitude: llgO 4 1 . 5 '

Owner : Alex Davidoff Box 4 9 2 Grand Forks B r i t i s h Columbia VON 1HO

Operator: I a n Montieth 1232 Acadia D r . SE Calgary Albe r t a T 2 J 2V9

H . C a r r i e r e P.Eng. November 1 5 , 1984

G E O L O G I C A L B R A N C H A S S E S S M E N T R R P o R T

SUMMARY

The Twin Lakes Claim Group c o n s i s t s of f o u r c l a ims l o c a t e d i n sou th c e n t r a l B r i t i s h Columbia and cover t h e a r e a once operated a s t h e Twin Lakes Mine.

The mine operated i n t e r m i t t a n t l y between 1929 and 1 9 4 2 producing over 3 4 7 0 ounces of go ld from 8008 t o n s of o r e . Other mines i n t h e v i c i n i t y a r e t h e Grandoro/ Orof ino and those of Fairview Camp, a l l having s i g n i f i - c a n t p roduc t ion s t a t i s t i c s .

Gold occurs i n qua r t z v e i n s s t r i k i n g n o r t h t o nor th- w e s t w i th v a r i a b l e d i p and m i n e r a l i z a t i o n c o n s i s t s prim- a r i l y of p y r i t e wi th minor ga l ena and s p h a l e r i t e . Assays from t h e 1984 program range from t r a c e t o 3.150 oz / ton go ld i n d i c a t i n g t h e presence of h igh g rade o r e .

I t i s recommended t h a t a phased e x p l o r a t i o n program be c a r r i e d o u t i n o rder t o s y s t e m a t i c a l l y e v a l u a t e t h e e x t e n t and c o n t r o l s of t h i s m i n e r a l i z a t i o n and then a t t empt t o d e f i n e s u f f i c i e n t q u a n t i t i e s t o war ran t pro- d u c t i o n .

TABLE OF CONTENTS

INTRODUCTION

LocatLcik and Access Physiography Claim Status History Production Regional Ge

1.984 Field Work

Outline and Objectives Results and Discussion

CONCLUSIONS

RECOMMENDATIONS

Program Cost Estimate

V STATEMENT OF EXPENCE

V I REFERENCES

VI I STATEMENT OF QUALIFICATIONS

APPENDIX A ASSAY CERTIFICATES

Page 1

T a b l e I T a b l e I1 T a b l e I11 T a b l e I V Table V

L I S T O F TABLES

C l a i m S t a t u s Material B a l a n c e P r c 1 2 s c t i o n D a t a S u m m a r y of D e v e l o p m e n t S a m p l e S u m m a r y

Page

3 8 9

1 2 1 3

F i g I F i g I1 F i g I11 F i g I V F i g V

Loca t ion Map Claim Map Summit S h a f t Area Regional Geology Sample L o c a t i o n s

LIST OF ILLUSTRATIONS

page

2 4 6

1 0 Pocke t

I INTRODUCTION

1.1 LOCATION AND ACCESS

The Twin Lakes P r o p e r t y i s l o c a t e d i n s o u t h c e n t r a l B r i t i s h Columbia 10 .5 k i l o m e t r e s sou thwes t of Okanagan F a l l s on t h e nor thwes t s l o p e of O r o f i n o Mountain. The community of Twin Lakes i s s i t u a t e d 5 .6 k i l o m e t r e s n o r t h - w e s t and White Lake l i e s 5.6 k i l o m e t r e s n o r t h e a s t .

Geograph ica l c o o r d i n a t e s of t h e p r o p e r t y a r e 4g0 16-.5' n o r t h and 119'"41.5' wes t and covered by t h e NTS map s h e e t 82E/5E.

Mining a c t i v i t i e s i n t h i s a r e a l i e w i t h i n t h e Osoyoos Mining D i v i s i o n w i t h t h e n e a r e s t s i g n i f i c a n t o p e r a t i o n s be ing t h e G r a n d o r ~ / O r o f i n o P r o p e r t y 1 . 6 k i l o m e t r e s sou th - e a s t and F a i r v i e w Camp, l o c a t e d 9 . 7 k i l o n e t r e s s o u t h .

The Twin Lakes P r o p e r t y may b e reached by t u r n i n g o f f Highway 3A, 20 k i l o m e t r e s s o u t h of P e n t i c t i o n and p r o c e e d i n g 3.6 k i l o m e t r e s s o u t h p a s t Twin Lakes. A good q u a l i t y logg ing road e x t e n d s 8 . 9 k i l o m e t r e s s o u t h a l o n g Park R i l l ( c r e e k ) t o t h e p r i n c i p l e workings . A l t e r - n a t i v e a c c e s s may b e ach ieved by way of t h e Whi te Lake Road from Kaledon o r by c a r t t r a c k f r o n Okanagan F a l l s . The p r o p e r t y i s covered by an e x t e n s i v e network of l o g g i n g r o a d s and p r o s p e c t i n g t r a i l s b u t n a y r e q u i r e a four-wheel d r i v e v e h i c l e t o g a i n a c c e s s t o some a r e a s . The Summit S h a f t and M i l l , however, c a n b e reached u s i n g a s t a n d a r d p i c k u p t r u c k o r s i m i l a r h i g h c l e a r a n c e v e h i c l e .

Commercial power l ines e x i s t 2.5 k i l o m e t r e s s o u t h of t h e p r o p e r t y shou ld commercial r e s e r v e s b e d e l i n e a t e d .

1 . 2 PHYSIOGRAPHY

The Twin Lakes P r o p e r t y l i e s between t h e 1250 metre (4100 f e e t ) and 1430 metre (4700 f e e t ) e l e v a t i o n on a s p u r e x t e n d i n g nor thwes t o f f O r o f i n o Mountain. The topography i s n o t ext reme w i t h a modera te t o g e n t l e s l o p e b o t h t o t h e n o r t h and s o u t h .

The n e a r e s t major w a t e r c o u r s e i s Park R i l l d r a i n i n g n o r t h a b o u t 500 metres w e s t of t h e p r o p e r t y . A t r i b u t a r y of t h i s c r e e k f lows w e s t i n t h e v i c i n i t y of t h e o l d m i l l , however f l o w i s s a i d t o be s e a s o n a l and hence w a t e r f o r e x p l o r a t i o n , mining and/or p r o c e s s i n g c o u l d b e i n s h o r t

1 . 2 PHYSIOGRAPHY ( c o n t i n u e d ) : i

s u p p l y . Park R i l l d o e s , however, r u n year-round and cou ld be u t i l i z e d f o r t h e above p u r p o s e s .

Summers a r e expec ted t o b e h o t and d r y w i t h w i n t e r s b e i n g n o t ex t remely s e v e r e , i n t e r m s o f e i t h e r t e m p e r a t u r e o r p r e c i p i t a t i o n .

V e g e t a t i o n c o n s i s t s of l a r g e a r e a s of g r a s s y range land a l t e r n a t i n g w i t h s t a n d s of l a r c h , s p r u c e and f i r .

I . 3 CLAIPl STATUS

Al though t h e p r o p e r t y h a s been known s i n c e a t l e a s t 1924 , t h e c u r r e n t s t a k i n g d a t e s t o o n l y 1956 when t h e ground c o v e r i n g t h e Twin' Lakes Mine and M i l l s i t e was s t a k e d f o r A r t h u r Topp. I n t e r e s t was t r a n s f e r r e d t o P . Davidoff i n 1958 and upon h i s d e a t h i n 1961, t o h i s two s o n s , Alex and P e t e r .

An agreement was made w i t h Boundry E x p l o r a t i o n Ltd (NPL) i n Play of 1968. T h i s o p t i o n was p e r m i t t e d t o l a p s e and i n 1979 Alex Davidoff a q u i r e d f u l l i n t e r e s t i n t h e Twin Lakes P r o p e r t y . M r J . S t i t t t o o k an o p t i o n i n 1980, however t h i s was a l s o p e r m i t t e d t o l a p s e l e a v i n g Alex avido off a s t h e c u r r e n t owner. A l l work done toward t h i s r e p o r t h a s been f i n a n c e d by I a n M o n t e i t h a s c u r r e n t oper- a t o r .

The Twin Lake P r o p e r t y c o n s i s t s of f o u r c l a i m s combined a s t h e Twin Lakes Group by a " N o t i c e To Group" d a t e d October 1, 1957. Claim d a t a i s by t h e f o l l o w i n g t a b l e :

TABLE I : CLAIM STAT1J.S

CLAIM NAME RECORD # UNITS DATE OF RECORD

Twin Lakes No. 1 6956 1 Oct 11 Twin Lakes No. 2 6957 1 O c t 11 Twin Lakes No. 3 6958 1 Oct 11 Twin Lakes No. 4 6959 1 O c t 11

a 1 . 4 HISTORY AND DEVELOPMENT

The Twin Lakes Proper ty was o r i g i n a l l y r e p o r t e d i n t h e 1924 B r i t i s h Columbia Department of Mines Report (BCDOM) a s t h e Jun ipe r and Huntsman Group. Seve ra l sha l low s h a f t s and t r enches were excavated on t h r e e v e i n s w i th go ld v a l u e s ranging from t r a c e t o 3.2 oz / ton and wid ths running 5 cen t ime t r e s ( 2 i nches ) t o 1 . 2 2 met res ( 4 f e e t ) .

By 1929 t h e proper ty was op t ioned t o t h e B . E . Mining Co. of Leavenworth, Washington who d i d f u r t h e r t r e n c h i n g and drove 33.5 met res (1-10 f e e t ) of c r o s s c u t . Gold v a l u e s a c r o s s 0.33 metres (13 inches ) of v e i n m a t e r i a l from t h e f a c e of t h e t u n n e l assayed 0.59 oz / ton wi th 0 . 1 1 s i l v e r . A 1 0 t o n pe r day m i l l was a l s o cons t ruc t ed i n an a t t empt t o o f f s e t t h e e x p l o r a t i o n and development c o s t w i th product ion revenues . The Summit S h a f t was deepened wi th f u r t h e r l a t e r a l development i n 1930, however due t o u n s a t i s f a c t o r y r e s u l t s of t h i s cont inued exp lo ra - t i o n , t h e mine was c losed .

The p rope r ty was opt ioned t o Parvenu Mines L td . i n 1932 who cont inued e x p l o r a t i o n through t r ench ing and s ink ing two s h a f t s . Although e x c e l l e n t v a l u e s were encountered ranging up t o 4.2 oz / ton Au, s eve re v e i n o f f - sets were l oca t ed i n t h e e a s t e r n and lower v e i n e x t e n s i o n s d i scourag ing f u r t h e r e f f o r t s (F ig 111).

Ownership was then t r a n s f e r r e d t o t h e Twin Lakes Gold ~ i n i n g Co. Ltd . (NPL) i n 1933 wi th cont inued s i n k i n g of t h e Summit S h a f t . This work l o c a t e d t h e v e i n o f f s e t 10.7 m e t r e s (35 f e e t ) below and i n t h e hanging w a l l of a major normal f a u l t d i scovered by Parvenu. Gold v a l u e s of t h e o f f s e t a r e r epo r t ed t o run 5.0 oz / ton a c r o s s 2 . 1 metres ( 7 f e e t ) . L a t e r a l d r i f t i n g was done i n a s o u t h e r l y d i r e c t i o n on two l e v e l s , 13 .1 m e t r e s ( 4 3 f e e t ) i n t h e v e i n above t h e f a u l t and 15.2 met res (50 f e e t ) i n t h e v e i n o f f s e t .

I n a d d i t i o n t o t h e developments a t t h e Summit S h a f t , a new d r i f t was c o l l a r e d 91.4 met res (300 f e e t ) southwest of t h e m i l l and approximately 121.9 metres ( 4 0 0 f e e t ) below t h e Summit S h a f t .

A new m i l l was cons t ruc t ed w i t h a 4 0 t o n p e r day c a p a c i t y . M i l l feed was e s t ima ted a t 0.60 oz / ton Au wi th some h igh grade m a t e r i a l being d i r e c t shipped t o a smelter.

1 . 4 HISTORY AND DEVELOPMENT (cont inued) : i

By 1934 t h e Summit S h a f t had been deepened t o 76.2 met res (250 f e e t ) wi th d r i f t i n g ex tending 30.5 metres ( 1 0 0 f e e t ) n o r t h e a s t and 48.8 me t r e s (160 f e e t ) south-

w e s t of t h e s h a f t . A connect ion was e s t a b l i s h e d w i t h a second i n c l i n e d s h a f t 42.7 metres ( 1 4 0 f e e t ) southwest . Due t o t h e f a u l t i n g n o r t h e a s t of t h e s h a f t , a l l m i l l feed was ob ta ined from above t h e southwest d r i f t .

Other development inc luded ex tending t h e M i l l Ad i t t o 274.3 met res (900 f e e t ) and s i n k i n g 11 met re s (36 f e e t ) of s h a f t on a 1 . 5 metre ( 5 f e e t ) v e i n 182.9 metres ( 6 0 0 f e e t ) sou th of t h e Summit S h a f t . No v a l u e s have been r e p o r t e d from e i t h e r of t h e s e workings.

Diamond d r i l l i n g t o t a l l i n g 305 metres (1000 f e e t ) was a l s o r epo r t ed and i s s a i d t o have i n d i c a t e d a d d i t i o n a l r e s e r v e s . However, by t h e end of t h e yea r an o p t i o n on t h e Grandoro Mine had been worked o u t and t h e Twin Lakes workings were abandoned a s t h e Twin Lakes M i l l p rocessed t h e Grandoro o r e .

Product ion s t a t i s t i c s i n d i c a t e t h a t t h e Twin Lakes Mine was temporar i ly r e a c t i v a t e d between 1940 and 1942 when a smal l q u a n t i t y of o r e was recovered. Unfortun- a t e l y , no s p e c i f i c d e t a i l s a r e a v a i l a b l e a t t h i s t i m e . Except f o r two known geochemical surveys c a r r i e d o u t i n 1973 and 1980, t h e p rope r ty has s i n c e been dormant.

1 . 5 PRODUCTION

The Twin Lakes M i l l opera ted between t h e y e a r s of 1929 and 1940 process ing o r e from both t h e Twin Lakes Mine and t h e neibouring Grandoro Mine.

Two m i l l s were a c t u a l l y b u i l t , t h e f i r s t i n 1929 by t h e B . E . Mining Co. Ltd . and t h e second i n 1933 by t h e Twin Lakes Gold Mining Co. L td . The p roces s i n bo th c a s e s involved c rush ing t h e o r e t o a 25mm s i z i n g , f u r t h e r reduc ing t h i s t o 50 Mesh u t i l i z i n g a b a l l m i l l and then pas s ing t h e b a l l m i l l d i s cha rge over amalgamation p l a t e s fol lowed by t a b l e s and/or b l a n k e t s . Gold would be recovered a s amalgam o r f r e e go ld from t h e t a b l e concen- t r a t e s . Table I1 shows a m a t e r i a l ba lance f o r t h e B . E . M i l l w i th an es t imated c a p a c i t y of 1 0 t o n s pe r day.

1 . 5 PRODUCTION ( c o n t i n u e d ) --- TABLE 11: MATERIAL BALANCE - B . E . MILL 1930 -.

TONS GRADE ( o z / t o n Au) OZ Au RECOVERY%

Feed 5.0 0.70" 3.49 100.0 Conc . 0.1 17.26 1 .73 49.6 T a i l s 4.9 0.36 1 . 7 6 50.4

* f e e d a s s a y a d j u s t e d from r e p o r t e d v a l u e of 1 .96 o z / t o n Au

The f e e d a s s a y r e p o r t e d was a c t u a l l y 1 .96 o z / t o n Au, however t h i s was a d j u s t e d t o b a l a n c e w i t h t h e p e r h a p s more r e l i a b l e c o n c e n t r a t e and t a i l i n g s samples .

I t i s i n t e r e s t i n g t o n o t e t h a t t h e r e c o v e r y may have been a s low a s 49.6%. T h i s c o u l d , a s t h e o p e r a t o r s p o i n t e d o u t , most p robab ly have been improved upon by c y a n i d i n g t h e t a i l i n g s . C y a n i d a t i o n and f l o t a t i o n would b o t h have t o be c o n s i d e r e d f o r a new i n s t a l l a t i o n .

T a b l e I11 shows t h e p r o d u c t i o n d a t a f o r t h e Twin Lakes P r o p e r t y i n c l u d i n g t h e Grandoro f e e d (1936-1939). The a v e r a g e r e c o v e r e d g r a d e i s 0,467 o z / t o n Au and 0.096 o z / t o n Ag e x c l u s i v e of t h e Grandoro o r e sh ipments .

1 . 6 REGIONAL GEOLOGY

The Twin Lakes c l a i m s a r e l o c a t e d on t h e phys io - g r a p h i c b o r d e r between t h e Okanagan High lands and t h e Thompson P l a t e a u .

G e o l o g i c a l l y , t h e c l a i m s l i e w i t h i n a n i n t r u s i v e b e l t e x t e n d i n g from t h e Twin Lakes P r o p e r t y s o u t h t o F a i r v i e w Camp and beg inn ing 7 .2 k i l o m e t r e s e a s t and end- i n g 3.2 k i l o m e t r e s w e s t of t h e c l a i m s . The p r i n c i p l e bedrock f o r m a t i o n s observed i n t h i s s t r u c t u r e , a r e t h e "Old Tom", Shoemaker, and a u n i t of a l t e r e d d i o r i t i c r o c k s (F ig I V ) . The "Old Tom" f o r m a t i o n c o n s i s t s of b a s a l t and a n d e s i t i c ( g r e e n s t o n e ) f l o w s s t r i k i n g n o r t h t o n o r t h w e s t and d i p p i n g s t e e p l y t o t h e n o r t h . Some minor r e l a t e d d i o r i t e is a l s o found i n t h i s u n i t . The Shoemaker f o r m a t i o n h a s a s i m i l a r s t r i k e and d i p t o t h a t of t h e "Old Tom" b u t c o n s i s t s of ma in ly c h e r t w i t h l e s s o r amounts of t u f f , g r e e n s t o n e and l i m e s t o n e . T h i s f o r m a t i o n i s a d j a c e n t t o t h e a l t e r e d d i o r i t e u n i t t o t h e s o u t h and t r u n c a t e d t o t h e n o r t h by t h e McCaig Creek f a u l t . Both t h e "Old Tom" and Shoemaker f o r m a t i o n s d a t e

TABLE 111: PRODUCTION DATA

YEAR MINED MILLED SHIPPED (1) Au - Ag

Tonnes Tons Tonnes Tons Tonnes Tons gm - 02 - 02 gm -

Note: (1) ore shipped estimated from mine-mill discrepancies (2 ) totals do not include probable Grandoro mill feed (3) brackets denote probable Grandoro ore

1 . 6 REGIONAL GEOLOGY --- - d a t e T r i a s s i c o r o l d e r whi le t h e age of t h e d i o r i t e i s u n c e r t a i n . ,

P o s t T r i a s s i c i n t r u s i v e s c o n s i s t i n g of d i o r i t i c and g r a n i t i c m a t e r i a l c u t both of t h e bedrock format ions and probably r e l a t e t o t h e ~ r o f i n o / ~ w i n Lakes go ld d e p o s i t s .

The Marron format ion l i e s n o r t h of t h e McCaig Creek f a u l t and i s comprised of mainly b a s a l t s and a n d e s i t e s bu t d a t e much more r e c e n t than t h e rocks of t h e "Old Tam" format ion i n t h e i n t r u s i v e b e l t .

I1 1984 F I E L D WORK .----.-- "."" .-.* ---

11.1 OUTLINE AND OBJECTIVES

The main o b j e c t i v e of t h e 1984 program was t o g e n e r a t e b a s i c d a t a p e r t a i n i n g t o t h e magnitude and s p a c i a l arrangements of t h e p r i n c i p l e workings and go ld concen t r a t i ons of t h e Twin Lakes P rope r ty .

The work cons i s t ed of a compass and t o p o f i l survey of t h e o l d workings wi th sampling being c a r r i e d o u t on exposed v e i n s o r mine dump m a t e r i a l . No a t t empt was made t o g a i n acces s t o t h e underground development due t o s a f e t y c o n s i d e r a t i o n s , however t h e r e h a b i l i t a t i o n r e q u i r e - ments w e r e noted f o r forthcoming programs.

11.2 RESULTS AND DISCUSSION

Eleven l o c a t i o n s were i n v e s t i g a t e d , seven t u n n e l s and f o u r t r enches (F ig V ) , ranging i n e l e v a t i o n from 4350 f e e t (1325 metres) t o 4 7 2 0 f e e t ( 1 4 4 0 m e t r e s ) . The fo l lowing t a b l e summarizes t h e s e l o c a t i o n s .

TABLE I V : SUMMARY O F DEVELOPMENT

HEADING ELEV. ( m ) TYPE

4580 4590 Summit

4370 4350 4610 4600 4670 4700 4720 M i l l

open s t o p e t r e n c h 2 s h a f t s g l o r y h o l e a d i t

a d i t ( ? ) t r ench a d i t open s t o p e open c u t ( p i t ) c r o s s c u t underhand s t o p e a d i t

STATUS

p a r t i a l l y fooded

f looded caved p o r t a l obs t ruc t ed f looded p o r t a l caved

caved open

open p a r t i a l l y caved caves ( n o t v i s i t e d )

~t should be mentioned t h a t t h e survey i s pre- l i m i n a r y and some measured e l e v a t i o n s had t o be a d j u s t e d t o c o r r e l a t e wi th t h e topographic map used. During t h e course of t h e t r a v e r s e , a c la im p o s t was

11.2 RESULTS AND DISCUSSION (cont inued)

no ted , however no t a g s o r o t h e r i d e n t i f i c a t i o n could be found. The c la im boundaries i n d i c a t e d i n F i g V a r e based on t h e l o c a t i o n of t h i s p o s t and should be s u b j e c t t o f u r t h e r i n v e s t i g a t i o n .

Eleven samples of v e i n m a t e r i a l were c o l l e c t e d from t h e above workings, e i t h e r from t h e a c t u a l v e i n o r from dump l o c a t i o n s when t h e v e i n could n o t be observed. The sample r e s u l t s a r e a s fo l lows:

TABLE V: SAMPLE SUMMARY

LOCAT I O N --

4580 4590 Summit 4510 4350 4 6 1 0 4600 4670 4670 4700 4720

TYPE

c h i p g r a b g r a b g rab c h i p c h i p c h i p c h i p grab grab g rab

WIDTH -33-

STRIKE D I P - ASSAY (oz / ton )

A s may be noted, t h e b e s t v a l u e s were ob ta ined from t h e 4580 Stope, 4590 Trench, Summit S h a f t and t h e 4720 S tope . Values from t h e s e headings ranged from 0.149 t o 3.150 oz/ ton A u i n d i c a t i n g t h e approximate l o c a t i o n s of s e v e r a l of t h e i r r e g u l a r h igh grade s e c t i o n s of v e i n developed and most probably mined by t h e prev ious o p e r a t o r s ,

M i n e r a l i z a t i o n c o n s i s t s p r i m a r i l y of p y r i t e w i th minor ga l ena and s p h a l e r i t e . Samples having t h e h ighe r s u l p h i d e concen t r a t i ons g e n e r a l l y r e t u r n e d h ighe r go ld v a l u e s . None of t h e c h i p samples from t h e n o r t h e a s t t r e n d i n g v e i n s ye i lded s i g n i f i c a n t v a l u e s and were a l s o e s s e n t i a l l y void of any m i n e r a l i z a t i o n , One unexpected low v a l u e was ob ta ined and t h i s was t h e c h i p from t h e

11.2 RESULTS AND DISCUSSION ( c o n t i n u e d )

4600 s t o p e which r e t u r n e d 0.001 o z / t o n Au. The s t o p e i s q u i t e e x t e n s i v e which would s u g g e s t t h a t t h i s sample i s p r o b a b l y n o t r e p r e s e n t a t i v e . F u t h e r sampl ing would b e recommended. Some a n d e s i t i c w a l l r o c k was obse rved t o be q u i t e h i g h l y p y r i t i z e d , however no samples w e r e t a k e n .

Quar tz v e i n s g e n e r a l l y p a r a l l e l t h e s h i s t o s i t y of t h e c o u n t r y r o c k s and have w i d t h s r a n g i n g from 0 . 3 metres t o o v e r 2.0 metres. The i n t e r e s t i n g f e a t u r e of t h e O r o f i n o Mountain a r e a v e i n s a r e t h e i r p e r s i s t a n c e a l o n g s t r i k e . I n some l o c a t i - o n s t h i s h a s been known t o exceed 6 0 0 metres w i t h w i d t h s up t o L O metres. The l o n g e s t e x p l o r e d s t r i k e e x t e n s i o n on t h e Twin Lakes c l a i m s i s t h e Summit S h a f t , c o v e r i n g a b o u t 80 metres. Major s t r u c t u r a l c o n t r o l s have been r e p o r t e d from t h e s e underground workings i n c l u d i n g a normal f a u l t which o f f s e t s t h e v e i n abou t 11 metres v e r t i c a l l y and a series o f c r o s s f a u l t s w i t h r e l a t e d l a t e r a l v e i n movements a s t h e v e i n was e x p l o r e d t o t h e n o r t h . The o t h e r i m p o r t a n t f e a t u r e of t h e Summit v e i n i s t h e e x t e n s i v e warping and r o l l i n g o f t h e v e i n m a t e r i a l a l s o r e p o r t e d by t h e p r e v i o u s o p e r a t o r s . T h i s s t r u c t u r a l d a t a i s e s s e n t i a l t o t h e l o c a t i o n o f down d i p and a l o n g s t r i l c e v e i n e x t e n s i o n s .

Some diamond d r i l l i n g h a s been r e p o r t e d on t h e p r o p e r t y and i s s a i d t o d e f i n e some down d i p e x t e n s i o n s . U n f o r t u a t e l y t h e s e o l d d r i l l r e c o r d s a r e n o t c u r r e n t l y a v a i l a b l e . Due t o t h e v e r y n a t u r e o f t h e v e i n ( i . e . e r r a t i c w i d t h s and g r a d e s ) , d r i l l i n g s h o u l d be used o n l y a s a n i n d i c a t o r of s t r u c t u r e . Good d e f i n i t i o n o f g r a d e and tonnage can o n l y be o b t a i n e d t h r o u g h underground development w i t h t h i s t y p e o f d e p o s i t .

Recent s o i l sampling programs have been i n c o n c l u s i v e and t h i s a s a means of e x p l o r a t i o n a p p e a r s t o b e q u i t e i n e f f e c t i v e . Geophysics migh t o f f e r some p o t e n t i a l and s h o u l d be c o n s i d e r e d once t h e g e o l o g i c groundwork h a s been e s t a b l i s h e d .

I11 CONCLUSIONS

The sampling of t h e Twin Lakes v e i n system i n d i c a t e s t h e p r e s e n c e of h i g h g rade g o l d m i n e r a l i z a t i o n . The e x t e n t o f t h e s e v e i n s has n o t a s y e t been f u l l y ex- p l o r e d , h indered i n t h e p a s t by f a i r l y complex s t r u c t u r a l c o n t r o l s which t r u n c a t e , o f f s e t , and/or warp t h e miner- a l i z e d zones .

Other f a c t o r s which a f f e c t t h e economics of t h e p r o p e r t y a r e t h e e r r a t i c n a t u r e of t h e v e i n s and t h e f l a t d i p s which w i l l c au se h igh d i l u t i o n f a c t o r s d u r i n g a mining sequence .

O f f s e t i n g t h e above i t e m s a r e t h e s p e c t a c u l a r go ld v a l u e s and t h e p o s s i b i l i t y of l o c a t i n g s i g n i f i c a n t , wider v e i n s e c t i o n s such a s t h o s e found below t h e Summit f a u l t and more homogenious gold d i s t r i b u t i o n s . A l so t h e p e r s i s t a n c y of s t r i k e and s t e e p e r d i p s s e e n i n o t h e r Oro f ino Mountain v e i n s may b e l o c a t e d on t h e Twin Lakes P r o p e r t y g r e a t l y improving t h e p o t e n t i a l mining s i t u a t i o n .

A t t h i s t i m e , even w i t h i n s u f f i c i e n t d a t a t o f u l l y e v a l u a t e t h e p o t e n t i a l o f t h e p r o p e r t y , it i s e v i d e n t t h a t w i t h t h e h i g h gold c o n c e n t r a t i o n s , p a s t p r o d u c t i o n , and f a v o u r a b l e g e o l o g i c a l environment , t h e Twin Lakes Claim Group d e f i n a t e l y w a r r a n t s f u r t h e r work.

RECOMMENDATIONS

177.1 Program

The recommended program f o r e x p l o r a t i o n and develop- ment of t h e Twin Lakes Claim Group i s s t r u c t u r e d t o f i r s t e v a l u a t e t h e ve in systems a s t hey a r e p r e s e n t l y exposed bo th on s u r f a c e and underground, d e f i n e t h e geo log ic c o n t r o l s , and t e s t . t h e subsequent hypotheses by d r i l l i n g and underground development.

PHASE I

Phase I i s t h e gene ra t ion of a d a t a f i l e con ta in ing a l l known d a t a on t h e p r o p e r t y , supplimented wi th geology and sampling on s u r f a c e and from a l l a c c e s s a b l e under- ground workings. This w i l l a l s o involve e s t a b l i s h i n g survey c o n t r o l , d e f i n i n g t h e c la im boundar ies and mapping t h e v a r i o u s headings. Pre l iminary o r e r e s e r v e s would be e s t ima ted should any s i g n i f i c a n t p i l l a r s remain w i t h i n t h e e x i s t i n g mine a r e a s .

PHASE I a

This i s a c o n t i n u a t i o n of Phase I except t h a t such i n a c c e s s a b l e workings, such a s t h e Summit S h a f t and M i l l A d i t would be reopened f o r survey and sampling.

Phase I b

Phase I b i s t h e c o n s o l i d a t i o n of t h e d a t a ob ta ined i n phases I - a n d I a , and making p r o j e c t i o n s a s t o t h e l o c a t i o n of t h e va r ious v e i n ex t ens ions and e s t i m a t i n g t h e r e l a t i v e mining p o t e n t i a l of t h e p r o p e r t y .

PHASE I1

Phase 11 c o n s i s t s of diamond d r i l l i n g t h e Phase I b t a r g e t s and eva lua t ing t h e r e s u l t s coming up wi th a r e v i s e d p l an of a t t a c k should they be c o n t r a r y t o t h e Phase I b p r o j e c t i o n s .

PHASE I11

Given s a t i s f a c t o r y r e s u l t s from Phase 11, t h e new s t r u c t u r e s would have t o be explored th rough under- ground development i n o rde r t o d e f i n e t h e tonnage and grade .

PHASE I V

With s u f f i c i e n t tonnage a t an a c c e p t a b l e g rade ou t - l i n e d , t h e p r o j e c t would be i n a p o s i t i o n t o conduct a f e a s i b i l i t y s tudy and i f f avourab le proceed t o p roduc t ion .

I V . 2 COST ESTIMATE ( p r e l i m i n a r y )

PHASE I SURFACE GEOLOGY -

2 g e o l o g i s t s 20 d a y s @ $250/day 2 a s s i s t a n t s 20 d a y s @ $125/day room and board 80 mandays @ $30/manday v e h i c l e equipment r e n t a l s s u p p l i e s a s s a y s r e p o r t , t y p i n g , photocopying, d r a f t i n g

s u b t o t a l c o n t i n g e n c i e s

PHASE Ia -- UNDERGROUND REHABILITATION

1 g e o l o g i s t 30 d a y s 1 a s s i s t a n t 30 d a y s 1 cook 20 d a y s room and board 120 mandays v e h i c l e s 2 heavy equipment mining equipment r e n t a l s p o r t a l p r e p a r a t i o n s h a f t d e w a t e r i n g f u e l a s s a y s s u p p l i e s r e p o r t typ ing ,pho tocopy ing , d r a f t i n g

s u b t o t a l c o n t i n g e n c i e s

t o t a l

P H A S E I b ANALYSIS

TOTAL -- Phase I, I a , I b

0 PHASE I1 DIAMOND DRILLING 2000 ft 20 days

1 geologist $5,000 1 assistant 2,500 1 cook 2,680 room and board 3,000 vehicles 3,500 heavy equipment 4,000 diamond drilling 2000 ft @ $20/ft 40,000 assays 3,000 supplies 400 report, typing, photocopying, drafting 300

subtotal 64,380

contingencies 6,440

TOTAL

Total Estimate To Conclusion Of Phase I1 $169,980

PHASE I11 UNDERGROUND DEVELOPMENT

Since few parameters are currently defined regarding the underground program, costs are difficult to estimate. For discussion purposes however, a sum of perhaps $250,000 should be considered.

V STATEMENT OF EXPENCE

geologist 3 days @ $250/day travel 765 km @ $0.30/km room and board assays maps and supplies typing photocopy

TOTAL

REFERENCE --

i M i n d e p F i l e

ii) B.C. Dept. o f M i n e s R e p o r t s 1 9 2 4 , 1 9 2 9 , 1 9 3 0 , 1 9 3 1 , 1 9 3 2 , 1 9 3 3 , 1 9 3 4 , 1 9 3 5 , 1 9 3 6

iii) GSC Map 627A O k a n a g a n F a l l s H . S . B o s ~ o c ~ , . - , 1 9 4 0

i v ) GSC Map 1 5 - 1 9 6 1 Kettle R i v e r ( w e s t h a l f ) H.W. L i t t l e , 1 9 6 1

V ) G e o l o g i c a l R e p o r t o n t h e T w i n L a k e s P r o p e r t y o f C r i p p l e C r e e k R e s o u r c e s L . S o o k o c h o f f , O c t 5 , 1 9 7 3

v i ) G e o c h e m i c a l R e p o r t o n t h e T w i n L a k e s C l a i m s P . F o x a n d S . L . T o p h a m , Nov . 2 7 , 1 9 8 0

V I I STATEMENT OF QUALIFICATIONS

Greaorv C a r r i e r e , P . Ens.

I , GREGORY CARRIERE, w i t h a b u s i n e s s a d d r e s s of 8 2 8 Westview C r e s c e n t i n t h e c i t y of Nor th Vancouver, d o he reby c e r t i f y t h a t :

a ) I a m a r e g i s t e r e d member, i n good s t a n d i n g , of t h e A s s o c i a t i o n of P r o f e s s i o n a l E n g i n e e r s of B r i t i s h Columbia.

b) I have been invo lved i n t h e p r a c t i c e of mine e n g i n e e r i n j f o r s i x y e a r s and been a s s o c i a t e d w i t h t h e i n d u s t r y f o r e i g h t .

c ) I am a g r a d u a t e of Q u e e n ' s U n i v e r s i t y w i t h a B.Sc (Honors Mine E n g i n e e r i n g ) .

d ) The d e s c r i p t i o n of t h e mine workings and c o n c l u s i o n a r e based on a n examinat ion o f a v a i l a b l e d a t a , and a Sep tenber 5 , 1 9 8 4 s i t e i n s p e c t i o n .

e) I have no i n t e r e s t , no r d o I e x p e c t t o k e c e i v e any i n t e r e s t , d i r e c t o r i n d i r e c t , i n t h e p r o p e r t i e s o r s e c u r i t i e s of M r . I a n Monte i th o r h i s a s s o c i a t e s .

f ) I have no i n t e r e s t i n any mining c l a i m s w i t h i n 2 0 kns of t h e Twin Lakes P r o p e r t y .

g ) I he reby c o n s e n t t o t h i s r e p o r t be ing used f o r t h e purpose of r a i s i n g f u n d s , p rov ided t h e i n f o r m a t i o n i s n o t used i n a manner c o n t r a r y t o t h a t i n t e n d e d i n t h e r e p o r t .

Vancouver, E r i t i s h Columbia November 1 5 , 1 9 8 4 G . C a r r i e r e , P . Fng

APPENDIX A

ASSAY C E R T I F I C A T E

MIN---EN II_,abara-%z9=,r-i L t d r, S p e c i a l i s t s i n # i n e r a 1 E n v i r o n m e n t s :

705 WEST i 5 t h STREET NORTH VBNCOVVER, E.C. CANADA V7H LT?

ZOMPANY: SHfiDOW MINE DEV. "ROJECT: T. L. 9TTENTION: G. CARHX ERE

FILE: 4-980 DATE: SEPT, 13/84 TYPE: ROCK ASSAY

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...-. -.-- ..... ........ ..... .- ............. -. . ................. .......... ..... ................. 1 11. 9 (:I 3. 0 ., L{ (2 ,, 1 5.12 i') . 1 4.9 - t 4902 / a k3 i:i ,, 23 :! c)n u {I)::) 3. 15(11 f. 49r:93 f 2 . 3 ,- i::~ :7 12. 30 (1) . ::33g 1490.4 0 ., I <:I u (1:) 1 . .A (..i (1) ,v cj <:> (:,

P, .,

1. 4 9(:) t'.; i.:) " I . (:) , c) 3, ,, (I 2 (1) ,, (::I (3 I,