HAWKEYE Enters Into Agreement to Purchase the Bonanza Property - Seite 2

Historical Exploration and Other Skarn Zones

Rock sampling from 1993 yielded a composite section near the Bonanza Pit which returned an average of 3.8% Cu over 5 metres, containing a 1.4 metre interval of 8.9% Cu and 0.242 g/t Au, while drilling carried out around the pit prior to mining encountered values up to 3.09 g/t Au, 3.05% Cu, and 60% magnetite. Geophysical work conducted in 1961 and 1962 suggests that the Bonanza Pit zone extends to the southeast at least 150 metres beyond the area which was mined in 1967. ⁽¹⁾

Further potential for mineralization on the Property exists at four other skarn zones on the Property, known as Zone B, C and D, and the TH Zone.

Zone B

Located about 400 metres southeast of the Bonanza Pit (Zone A), Zone B is a garnet-skarn horizon which dips moderately to the southwest with magnetite and associated chalcopyrite mineralization along the footwall up to two metres wide. Samples taken from this zone yielded up to 8.3% Cu in grab samples. ⁽¹⁾

Zone C

The main skarn zone at Zone C is developed at a limestone/volcanic contact, measures up to 5.5 metres wide and consists of roughly banded zones of clear to yellow garnet and magnetite with minor chalcopyrite. A chip sample of the volcanic rock returned a value of 3.02 g/t Au and 0.27% Cu, while a chip sample of the magnetite-chalcopyrite material contained 5.68 g/t Au and 2.23% Cu. ⁽¹⁾

In 1976 Imperial Oil tested this zone with three diamond drill holes, but no geochemical results were reported by the company. ⁽¹⁾

Zone D

The highest gold values on the Property occur in this area. Diamond drilling carried out from 1960 to 1961 yielded copper values up to 5.66% over 1.5 metres, with results from 4 holes returning values greater than 2.56% Cu. One grab sample of a 1 metre zone of massive banded magnetite and chalcopyrite returned 100.44 g/t Au and 3.62% Cu. Another grab sample of oxidized chalcopyrite returned 30.82 g/t Au and 2.31% Cu. ⁽¹⁾

TH Zone

The TH Zone, discovered in 2007, is a skarn showing limited to about 7 metres of exposure in a narrow creek bed. The creek, designated as the 0505 Discovery Creek, hosts a mineralized skarn zone of indeterminate extent. The main skarn alteration is hosted by a leucocratic gabbro rock unit.

Two samples, GT-3 and GT-1, taken from the zone in 2013 yielded 102.0 g/t Ag with 23.8% Cu, and 40 g/t Ag with 7.56% Cu, respectively. Sample GT-1 also returned 5,520 ppm Mo.

The presence of molybdenite at the TH showing and the nearby Zone B is unique on the Property and the author of the 2013 Technical Report on the Property suggests a relationship to a nearby hidden body of copper-molybdenum and possible gold porphyry mineralization. ⁽¹⁾