TECHNICAL REPORT ON THE CARBO PROPERTY          East-Central British Columbia      Approximate Geographic Coordinates     ...
TABLE OF CONTENTSITEM 3:   SUMMARY...........................................................................................
LIST OF ILLUSTRATIONS                                                                                                     ...
LIST OF TABLES                                                                                                            ...
ITEM 3:                                     SUMMARY   The Carbo Property encompasses a series of Niobium and Rare Earth El...
ITEM 4:                                 INTRODUCTION   The author has been retained by Canadian International Minerals Inc...
Parsnip River, 80 km northeast of Prince George and 50 km east of Bear Lake, British Columbia.Most of the property is with...
east of the village of Bear Lake, British Columbia. Bear Lake is accessible from B.C. Highway 97(Figure 6.1), and the prop...
geological mapping, geochemical soil sampling, a magnetic surveying and limited trenching. Theexploration located carbonat...
Sampling of the adjacent property on the George Grid revealed elevated REE concentration insoil and rock samples (Figure 8...
A magnetic high of at least 100 gammas above background coincides with the carbonatite onthe Prince Grid (Figure 8.13). A ...
limestone units are more silty. Lithologies in the southwest part of the grid include interbedded,light-grey calcareous ar...
(b) hydrothermal (ex. Bayan Obo, China), and   (c) supergene, developed in carbonatite-derived laterites (Araxa and Catala...
Table 2:                   Expenditures between 2006 and 2009                           Year          2006            2007...
ppm Niobium and 1022.19 ppm REEs from a limonite-stained phyllite outcrop.   Sample 28531 from Carbo1 was relatively enric...
There is no known drilling within the property.ITEM 14:                      SAMPLING METHOD AND APPROACH   Information re...
The soil survey on the Carbo Property was carried out over an area measuring approximately1500 by 2500 meters, covering ap...
to ensure that the instrument operates within the specified parameters. In addition, the localbackground count rate level ...
the site until the crew demobilization. The samples were brought back to the Dahrouge GeologicalConsulting Ltd. office in ...
historic analysis. The author is of opinion that the exploration conducted by Teck ExplorationsLimited in 1986 and 1987 is...
areas; other than a single sample, all of the 2006 and 2007 rock sampling results were below the0.05% uranium and 0.15% th...
paid to the alkaline intrusions and their relationship to the regional and local structures.  Attention should also be pai...
Table 3:                Proposed Exploration of the Carbo PropertyYear 1 Explorationcompilation of historic data, fieldwor...
ITEM 23:                                    REFERENCESArmstrong, J.D., Tipper, H.W., and Hoadley, J.W. (1969), Geology of ...
ITEM 25:       ADDITIONAL REQUIREMENTS FOR TECHNICAL REPORTS ON               DEVELOPMENT PROPERTIES AND PRODUCTION PROPER...
ITEM 26:   ILLUSTRATIONS
123°300"W                                    123°00"W                      122°300"W                      122°00"W        ...
122°60"W                                      122°30"W                                            122°00"W                ...
556000                       558000         560000             562000             564000              566000              ...
556000                       558000     560000   562000   564000               566000                  568000             ...
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
Technical Report: Canadian International Minerals (2009)
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Technical Report: Canadian International Minerals (2009)

  1. 1. TECHNICAL REPORT ON THE CARBO PROPERTY East-Central British Columbia Approximate Geographic Coordinates 54° 30 N, 120° 03 W NTS Map Sheets 93J/08 and 93J/09 For: Canadian International Minerals Inc. Suite 950, 789 West Pender Street Vancouver, BC V6C-1H2 By: Michael Guo, P.Geol. April 2nd, 2009
  2. 2. TABLE OF CONTENTSITEM 3:   SUMMARY.......................................................................................................................... - 1 - ITEM 4:   INTRODUCTION ............................................................................................................... - 2 - ITEM 5:  RELIANCE ON OTHER EXPERTS ................................................................................. - 2 - ITEM 6:  PROPERY DESCRIPTION AND LOCATION ................................................................. - 2 - ITEM 7:  ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, ................................................... - 3 - INFRASTRUCTURE AND PHYSIOGRAPHY .................................................................................... - 3 - ITEM 8:   HISTORY ............................................................................................................................ - 4 - ITEM 9:  GEOLOGIC SETTING ....................................................................................................... - 7 - ITEM 9A:  REGIONAL GEOLOGY ................................................................................................. - 7 - ITEM 9B:   PROPERTY GEOLOGY ................................................................................................. - 7 - ITEM 10:   DEPOSIT TYPE.............................................................................................................. - 8 - ITEM 11:   MINERALIZATION ....................................................................................................... - 9 - ITEM 12:   EXPLORATION ............................................................................................................. - 9 - ITEM 13:   DRILLING .................................................................................................................... - 11 - ITEM 14:   SAMPLING METHOD AND APPROACH................................................................. - 12 - ITEM 15:   SAMPLE PREPARATION, ANALYSES AND SECURITY ....................................... - 14 - ITEM 16:   DATA VERIFICATION ............................................................................................... - 15 - ITEM 17:   ADJACENT PROPERTIES ......................................................................................... - 16 - ITEM 18:   MINERAL PROCESSING AND MEALLURGICAL TESTING ............................... - 16 - ITEM 19:   MINERAL RESOURCES AND MINERAL RESERVE ESTIMATES ..................... - 16 - ITEM 20:  OTHER RELEVENT DATA AND INFORMATION ................................................. - 16 - ITEM 21:   INTERPRETATION AND CONCLUSIONS .............................................................. - 17 - ITEM 22:  RECOMMENDATIONS............................................................................................... - 17 - ITEM 23:   REFERENCES ............................................................................................................. - 20 - ITEM 24:   DATE AND SIGNATURE PAGE ................................................................................ - 21 - ITEM 25:  ADDITIONAL REQUIREMENTS FOR TECHNICAL REPORTS ONDEVELOPMENT PROPERTIES AND PRODUCTION PROPERTIES .......................................... - 22 - ITEM 26:  ILLUSTRATIONS ............................................................................................................... I  i
  3. 3. LIST OF ILLUSTRATIONS PageFigure 6.1 Location Map ............................................................................................... At endFigure 6.2 Property Map ............................................................................................... At endFigure 8.1 Location of Historic Mineral Claims.............................................................. At endFigure 8.2 Location of Historic Exploration Grids .......................................................... At endFigure 8.3 George Grid – Niobium Soil Geochemistry, Historic Samples...................... At endFigure 8.4 George Grid – Cerium Soil Geochemistry, Historic Samples ....................... At endFigure 8.5 George Grid – Barium Soil Geochemistry, Historic Samples ....................... At endFigure 8.6 George Grid – Niobium and REE Rock and Soil Geochemistry, Historic Samples .............................................. At endFigure 8.7 George Grid – Magnetometer Survey, Historic ............................................ At endFigure 8.8 Prince Grid – Niobium Soil Geochemistry, Historic Samples ....................... At endFigure 8.9 Prince Grid – Cerium Soil Geochemistry, Historic Samples ......................... At endFigure 8.10 Prince Grid – Barium Soil Geochemistry, Historic Samples ......................... At endFigure 8.11 Prince Grid – Niobium and REE Rock and Soil Geochemistry, Historic Samples, Carbo Property................................................... At endFigure 8.12 Prince Grid – Niobium and REE Rock Geochemistry, Historic Samples, Adjacent Property .............................................. At endFigure 8.13 Prince Grid – Magnetometer Survey, Historic .............................................. At endFigure 8.14 D Grid – Niobium Soil Geochemistry, Historic Samples ............................... At endFigure 8.15 D Grid – Cerium Soil Geochemistry, Historic Samples ................................ At endFigure 8.16 D Grid – Barium Soil Geochemistry, Historic Samples................................. At endFigure 9.1 Regional Geology ........................................................................................ At endFigure 9.2 George Grid – Property Geology ................................................................. At endFigure 9.3 Prince Grid – Property Geology ................................................................... At endFigure 12.1 2006-2007 Sampling – Niobium Soil Geochemistry .................................... At endFigure 12.2 2006-2007 Sampling – Cerium Soil Geochemistry ..................................... At endFigure 12.3 2006-2007 Sampling – Barium Soil Geochemistry....................................... At endFigure 12.4 2006-2007 Sampling – Niobium Rock Geochemistry ................................... At endFigure 12.5 2006-2007 Sampling – REE Rock Geochemistry ........................................ At endFigure 12.6 2006-2007 Work – Magnetometer Survey ................................................... At endFigure 12.7 2006-2007 Work – Scintillometer Survey ..................................................... At endFigure 12.8 2006-2007 Sampling – Gold anomaly and Verification ................................ At end ii
  4. 4. LIST OF TABLES PageTable 1 Carbo Property ............................................................................................ 3Table 2 Expenditures between 2006 and 2009 ........................................................ 10Table 3 Proposed Exploration of the Carbo Property ............................................... 19 LIST OF APPENDICES PageAppendix 1 Location of Rock Samples………………………….…………………………… A1Appendix 2 Location of Soil Samples……………………………………………………... .. A3Appendix 3 Acme Analytical Laboratories Ltd. Analytical Results………………………….…………………………… ................ A4 iii
  5. 5. ITEM 3: SUMMARY The Carbo Property encompasses a series of Niobium and Rare Earth Element bearingcarbonatite and alkaline intrusions, located about 80 km northeast of Prince George and 50 kmeast of Bear Lake, British Columbia. The property was acquired during 2005 and 2006, by JodyDahrouge, on behalf of Commerce Resources Corporation (Commerce). It consists of fourclaims: Carbo1, Carbo2, Carbo3 and Carbo West, totalling 14.63 sq. km. The property is subject to a mineral property option agreement dated February 10, 2009between Commerce and Canadian International Minerals Inc. (CIN). Under the terms of theagreement, CIN will acquire a 75% interest in and to the Carbo Claims, subject to regulatoryapproval. The property is underlain by Cambrian Kechika Group sedimentary rocks, which consistmainly of interbedded limestone with calcareous argillite and phyllite. Several dike-like or sill-like,carbonatite and alkaline intrusions with associated Niobium and Rare Earth Element (ΣREE)mineralization were identified at the property,and adjacent areas. The mineralized intrusives outcrop intermittently across several kilometres strike length atBear Ridge, a northwest trending ridge with several hundred meters relief above the localtopography. The mineralization includes radiometric anomalies, soil geochemical anomalies, andgrab samples from outcrops and trenches. The soil geochemical anomalies are enriched in thelight REE’s (La, Ce, Pr, Nd), and locally exceed 2,000 ppm Cerium. Soil geochemical anomalismis also noted for Niobium, with values in excess of 3,000 ppm Niobium. The soil anomaliescoincide with or are partly displaced downslope from buried outcrops of carbonatite and/oralkaline intrusions. Mineralized outcrops have returned from 0.09 to 0.20% Nb2O5, and trenches from backgroundvalues to 0.95% Nb2O5. Historic samples from trenches within claim Carbo2 also returned frombackground concentrations to 8.37% P2O5 and generally less than 0.5% total REE’s + Y. Less than 600 carbonatite occurrences are known worldwide. They are or have yielded avariety of commodities that include: Niobium, REE’s, Phosphate, Vermiculite, and Copper. The Carbo Property is considered an early stage of exploration project for Niobium and REEmineralization; and is of sufficient merit to warrant further exploration. Geological mapping,trenching and a small drilling program are proposed to continue evaluated the knownmineralization at the property. The exploration proposed herein, is estimated to costapproximately $197,500, not including GST. -1-
  6. 6. ITEM 4: INTRODUCTION The author has been retained by Canadian International Minerals Inc. to prepare anindependent technical review of the Carbo Property. The purpose of this report is to review theexploration potential of the Carbo Property and recommend further work, if warranted. This reporthas been prepared in compliance with the standards outlined in National Instrument 43-101, forthe Canadian Securities Administration. The information used in the preparation of this technical report includes public assessmentreports, maps, academic publications, and results of exploration work conducted by DahrougeGeological Consulting Ltd. (Dahrouge) during 2006 and 2007. A detailed summary of these itemsis provided in the section entitled “Item 23:References”. The author planned and supervised the exploration of the Carbo Property, while andemployee of Dahrouge, and personally visited the property from May 30, 2006 to June 16, 2006and June 11, 2007 to June 16, 2007.ITEM 5: RELIANCE ON OTHER EXPERTS This technical report is based upon both published and unpublished data, which includeshistoric third party reports. Although authors with post second degrees in geology prepared themajority of the historic third party reports and supervised the historic exploration work describedherein, the author does not take responsibly for the accuracy of this information. The author reviewed the tenure and ownership of the Carbo Property as available from theBritish Columbia Energy and Mines online mineral tenure system, Mineral Title Online BC (MTO),and believes the information to be reliable. The author is unaware of any outstanding environmental or other liabilities relating to theproperty.ITEM 6: PROPERY DESCRIPTION AND LOCATION The Carbo Property encompasses about 14.63 sq. km, situated within the Cariboo MiningDivision (Figure 6.1; Table 1). Throughout this report the term Carbo Property refers to the fourmineral claims, Carbo1 (515430), Carbo2 (515432) and Carbo3 (515433) and Carbo West(536347) (Figure 6.2). The Carbo Property is located southeast of Whicheeda Lake between Wicheika Creek and -2-
  7. 7. Parsnip River, 80 km northeast of Prince George and 50 km east of Bear Lake, British Columbia.Most of the property is within NTS map area 93J/08, only a small part of claim Carbo3 lies within93J/09 (Figure 6.1). The property is centered at approximately 54° 30′ N latitude and 120° 03′ Wlongitude. The current Carbo Property was staked in June 2005 and June 2006 by Jody Dahrouge onbehalf of Commerce. Sufficient work has been completed to keep the Carbo Property in goodstanding to Dec. 31, 2012.Table 1: List of Mineral Claims Tenure Number Claim Name Map Number Good To Date Mining Division Area (ha) 515430 Carbo1 093J09 2012/DEC/31 CARIBOO 469 515432 Carbo2 093J09 2012/DEC/31 CARIBOO 469 515433 Carbo3 093J09/08 2012/DEC/31 CARIBOO 187 536347 Carbo West 093J09 2012DEC/31 CARIBOO 338 On February 10, 2009 Commerce Resources Corp. (Commerce) entered into a MineralProperty Option Agreement with Canadian International Minerals Inc. (CIN) in respect of theCarbo Property. Under the terms of the agreement, CIN will acquire a 75% interest in and to theCarbo Claims, subject to regulatory approval. In consideration for the interest in the CarboClaims, CIN will pay to Commerce a total of $30,000 cash: $10,000 on signing of the agreement(paid), $10,000 on the first year anniversary and $10,000 on the second year anniversary. CINwill also issue the Company a total of 1,500,000 common shares: 500,000 common shares withfive days of the filing of the property acquisition with the regulatory authorities, 500,000 commonshares on the first year anniversary and 500,000 common shares on the second yearanniversary. CIN is also required to incur a total of $198,000 in exploration expenditures on theCarbo Claims: $66,000 in the first year of the agreement, $66,000 in the second year and $66,000in the third year. The Company will also retain a 2% NSR Royalty on the Carbo Claims(Commerce Resources Corp., 2009).ITEM 7: ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY The Carbo Property is located about 80 km northeast of the city of Prince George and 50 km -3-
  8. 8. east of the village of Bear Lake, British Columbia. Bear Lake is accessible from B.C. Highway 97(Figure 6.1), and the property can be reached from Bear Lake along local No. 700 gravel road,which branches from Highway 97 at the village. Trails and logging roads provide access to thenortheast and southwest edges of the property. The main line of the Canadian National Railwaypasses through Bear Lake. Limited supplies and accommodations are available at Bear Lake. Summers tend to be warm and dry; winters cooler, but less moist. Local temperatureextremes range from -30° to +30°C, with normal ranges from -15° to 25°C. Within the upperreaches of the property, partial snow cover may last until the middle June. The Carbo Property is between 900 m and 1520 m elevation above sea level, and coversportions of a northerly trending ridge that is several kilometres in length, termed Bear Ridge.Slopes are moderately steep and typically covered by thick undergrowth consisting of buck brushand devil’s club at lower elevations. Areas along the ridge are covered by alder and white pine. Infrastructure within the property is poor with logging roads leading to the edges of theproperty only. Access within the property is by foot or helicopter. The area is considered sparselypopulated and historically is reliant on the lumber industry. In recent years the lumber industryhas suffered due to the Pine Beetle infestation. Bear Lake (pop. 170) is the nearest community tothe property, and at best, provides basic accommodations and supplies. Future exploration canbe based in Bear Lake, while most supplies can be obtained from Prince George.ITEM 8: HISTORY In 1961 the Geophysics Division of the Geological Survey of Canada completed a 1:63360scale aeromagnetic survey across parts of British Columbia. A significant magnetic anomaly wasidentified on what is currently the Carbo Property (GSC, Geophysics Paper 1546, 1964). In 1976 and 1977 Kol Lovang prospected the area and staked two claims on minor base metalshowings, but no follow-up was reported and the claims were permitted to lapse. Later assayingof Lovang’s samples by Teck Corporation indicated anomalous values of Niobium (Betmanis A.I.,1987). During April, 1986, Teck Exploration Limited staked the initial 4 Ole claims (Ole 1 to Ole 4)after entering an agreement with Lovang, seven more claims were staked during and after theexploration work during 1986: PG1, PG2, Fata, Morgana, Prince, Lake and George. All 11 claimswere continuous and grouped into the Prince and George groups (Figure 8.1). Teck Corporationacted as operated of the 1986 exploration, which included a stream silt geochemical survey, -4-
  9. 9. geological mapping, geochemical soil sampling, a magnetic surveying and limited trenching. Theexploration located carbonatitic and syentitic intrusions at the Prince George and Prince grids.Three rock samples from trench PT 5-7 returned high concentrations of Niobium and REE values.One sample from trench pit-6 returned approximately 0.95% Nb2O5. In 1988, Mader and Greenwood. conducted an academic field survey which focused on thecarbonatites and related rocks. They provide a detailed description and map of the carbonatites inthe area. Historic exploration data from Teck Exploration Limited has been compiled andgeoreferenced in a GIS database. Teck established five exploration grids during 1986: GeorgeGrid, Prince Grid, Lake Grid, “D” Grid and “F” Grid. The George Grid, Prince Grid and “D” Grid areentirely or partially within the Carbo Property. The Lake and “F” grid’s are within an adjacentproperty (Figure 8.2). Some information on these grids from Teck Exploration Ltd.’s historic work,include information on adjacent claims. These historic claims are located to the north and south ofthe current Carbo Property and are currently covered by claims owned by Spectrum Mining Corp.(Figure 8.2). All of the maps in Section 8: History of this report clearly define the propertyboundary of the current Carbo claims. The author has not verified the results reported in theseadjacent claims, and the information reported on these claims is not necessarily indicativeof the mineralization on the Carbo property.George Grid A small portion of the northeast part of the historic George Grid lies within claim Carbo1; workincluded soil sampling, a magnetometer survey and geological mapping (Figures 8.1 – 8.6, 8.13).Minimal outcrop is reported from the grid area. Within claim Carbo1, soil samples were collected from lines spaced 100-m apart, at 50-mintervals. They are slightly anomalous in Niobium, with peak values of 319 ppm within claimCarbo1 and 883 ppm on the adjacent property (Figure 8.3); these results suggest the presence ofa buried alkaline intrusion(s). Cerium and Barium are locally enriched, and appear to partlycorrelate with Niobium (Figures 8.4 and 8.5); both constituents may be used to help locate theintrusive bodies. A peak value of 2,061 ppm Ce is reported within the claim Carbo1, and 25,905ppm Ce on the adjacent property. Samples with enrichment in Cerium, additionally showconsiderable enrichment in the other light REE’s, La, Pr, Nd and Sm. Geological mapping outlined a narrow dioritic to granodioritic dyke in claim Carbo1, and onerock sample was analyzed showing a low concentration of 0.04% Nb (Figure 8.6). -5-
  10. 10. Sampling of the adjacent property on the George Grid revealed elevated REE concentration insoil and rock samples (Figure 8.6). Soil sample “L72+00W – 0+50S” overlying the syenite outcropand trench GT-1 returned a value of 4.11% REE. The 1987 sampling of trench GT-2 on theGeorge Grid revealed a composite value of 1.11% REE over a width of 42 meters (samples10871-10878); and a high value of 1.36% REE over a width of five meters (sample 10873). Forthe 1987 sampling of the trenches on the George Grid (Lovang and Meyer, 1987), it should benoted that several elements reported were over their detection limits including La, Nd, and Ce.Also, only La, Ce, Nd, Sm, Eu, Tb, Dy and Lu values were reported. Magnetometer surveys indicate higher than background magnetic readings in the area of thesoil anomaly (Figure 8.7), which may be due to narrow and weakly magnetic dykes (Betmanis,1987).Prince Grid A majority of the 1986 exploration was conducted at the Prince Grid. This included soilsampling, trenching, rock sampling and a magnetometer survey (Betmanis, 1987). About half ofthe work was within the current claims Carbo2 and Carbo3, and the remainder was on an adjacentproperty (Figures 8.8 to 8.13). Within the Prince Grid, soil samples were collected from lines spaced 100-m apart, at 50-mintervals. They are strongly anomalous in Niobium, with peak values of 3,192 ppm within claimCarbo2, and 4,597 ppm on the adjacent property; these values correlate to mapped carbonatite inbedrock (Figure 8.8). Cerium and Barium are locally enriched (Figures 8.9; and 8.10), and appearto partly correlate with Niobium; both constituents may be used to help locate the intrusive bodies.A peak value of 2,017 ppm Ce is reported within claim Carbo2, and 914 ppm Ce on the adjacentproperty. Samples elevated in Cerium, additionally show considerable enrichment in the otherlight REE’s La, Pr, Nd and Sm. Geological mapping in the Prince Grid outlined a carbonatite dyke at least 2 km long, with anorthwest strike (Figure 9.3). Eleven regional rock samples were collected from within claimCarbo2, and returned up to 0.19% Nb (Figure 8.11). Seven trenches were blasted and cleared on the Prince Grid for a total 79.5 m (Betmanis,1987). Among them trenches PT 5, PT6 and PT7 are within claim Carbo2 (Figure 8.11), thegreatest concentrations of Niobium and REE in rock samples at the Prince Grid were collectedfrom these trenches, with values up to approximately 0.95 %Nb2O5 (trench 6) and 0.43% REE(trench 5). -6-
  11. 11. A magnetic high of at least 100 gammas above background coincides with the carbonatite onthe Prince Grid (Figure 8.13). A distinct change in the background magnetic readings is apparentin the area of the mapped carbonatite outcrop. Northeast of the outcrop, values are between 400and 450 gammas, whereas gamma values are above 450 gammas to the southwest of theoutcrop. This is likely due differing host rock lithologies on either side of the carbonatite outcrop,with calcareous argillite mapped to the southwest and limestone to the northeast.“D” Grid A majority of the “D” Grid lies within the Carbo West Claim, on the west flank of Bear Ridge.(Figures 8.14 to 8.16). Within the “D” Grid, soil samples were collected from lines spaced 100-mapart, at 50-m intervals. They are weakly anomalous in Niobium, with a peak values of 136 ppmwithin claim Carbo West. Cerium and Barium show weakly elevated values above background.No rock sampling or other geological/geophysical work was conducted on “D” Grid.ITEM 9: GEOLOGIC SETTINGITEM 9A: REGIONAL GEOLOGY The property and adjacent area are underlain primarily by upper Cambrian and lowerOrdovician Kechika Group limestone, marble, slate siltstone, argillite and other calcareoussediments (Armstrong et al., 1969; and Massey et al., 2005). The strata strikes between 120° to 140° with steep dips to both the east and west. Severalfaults have been mapped, and are generally parallel to Wicheika Creek (040°/50° NW). One faultin the area strikes northeastly and post-dates the northwestly faults (Figure 9.1).ITEM 9B: PROPERTY GEOLOGY During 1996, portions of the Carbo Property (Carbo2 and Carbo3) were mapped at a scale of1:5,000 by Teck Corporation (Betmanis, 1987). The Carbo 2 and 3 claims, partly underlie thehistoric Prince Grid (Betmanis, 1987; Figures 9.2 and 9.3), while a small portion of the GeorgeGrid overlaps with claim Carbo 1. The Prince Grid is underlain by interbedded limestone, calcareous argillite and phyllite. Thelithologies to the northeast consist primarily of massive white limestone interbedded with, lessmassive, and thinner bedded medium- to dark-grey limestone. Towards the southwest, the -7-
  12. 12. limestone units are more silty. Lithologies in the southwest part of the grid include interbedded,light-grey calcareous argillite and weakly calcareous phyllite, which are locally ferruginous. Several dike or sill-like alkaline intrusions were mapped by Teck Corporation (Betmanis, 1987;Figure 9.2 and 9.3). The main intrusion is sub parallel with the main bedding orientations of thehost lithologies, and was traced for about 2,700 m along strike. It varies in composition andthickness, along strike. The intrusions are carbonatitic or syentitic. The carbonatites vary from almost pure white toblack, and are locally pyroxenite-rich. Betmanis (1987) indicates the carbonatites are coarse- tomedium-grained, generally quartz free, and contain feldspar, carbonate, pyroxene and micas.Pyrite is a common accessory mineral. Fine-grained pyrochlore was identified by scanningelectron microprobe (Betmanis, 1987). Lithologies atop the main peak on the Prince Grid are distinctly different than the surroundingsediments, suggesting the presence of a west dipping thrust. Several other faults were identifiedby the displacement of the local stratigraphy, by drainage patterns, and by local depressions inthe topography. Faults are interpreted to be moderate to steep dipping.ITEM 10: DEPOSIT TYPE The host rocks to the mineral occurrences on the Carbo Property are carbonatites, which aredefined as intrusive or extrusive igneous rocks composed of more than 50 percent, by volume,carbonate minerals. They typically occur within zoned alkalic complexes with otherunder-saturated alkaline rocks (feldspathoidal syenites and rocks of the ijolite suite), and can formintrusive plugs, dykes or sills. Carbonatites are relatively enriched in alkali elements, with classification based on thepresence of calcite, dolomite, ferrorcarbonate minerals, and natrocarbonate minerals (Wolley andKempe, 1989). A majority of carbonatites are located within stable, intra-plate areas; however,some are spatially related to plate margins. Carbonatites tend to occur in groups or provinces.Over 527 examples are known (Woolley and Kjarsgaard, 2008). Carbonatite-related deposits are classified as magmatic or metasomatic types (Richardsonand Birkett, 1996), and their supergene equivalents (Mariano, 1989). Deposits of niobium and/ortantalum within carbonatites are generally formed by primary magmatic concentration. Accordingto Mariano (1989), carbonatites associated REE deposits occur as follows: (a) primary, from carbonatite melts (ex. Mountain Pass, USA), -8-
  13. 13. (b) hydrothermal (ex. Bayan Obo, China), and (c) supergene, developed in carbonatite-derived laterites (Araxa and Catalao I Brazil; Mt. Weld, Australia).Carbonatites contain the greatest contents of REE’s and highest LREE:HREE ratios of anyigneous rocks (Cullers and Graf, 1984). Additional examples of carbonatite-associated deposits include: Cargill, Ontario (phosphate);Niobec and Oka, Quebec (niobium); Mountain Pass, California (REE, barium); Araxa andCatalao, Brazil (niobium, phosphate, REE); and Palabora, South Africa (copper, phosphate,REE).ITEM 11: MINERALIZATION Mineralization within the Carbo Property is hosted by carbonatite and related alkalineintrusions. Betmanis,1987 noted that the better grades of Niobium and REE are from sections ofweathered intrusive rock with black gouge or whitish clay on fractures. This indicates thepossibility of remobilization of elements during structural events after emplacement of thecarbonatite intrusions. Rock samples collected from the historic open pits and trenches during 2006 returned amaximum value of 3258 ppm Nb (sample 24455; Figure 12.4). A sample from a nearby outcropreturned a maximum value of 4673 ppm REE’s (sample 24018; Figure 12.5). Several alkaline intrusions with high gamma (CPS) readings were identified within claimsCarbo1, Carbo2 and Carbo West, where surface outcrops from the areas returned values to 1526ppm Nb (Sample 24459; Figure 12.4).ITEM 12: EXPLORATION After acquiring Carbo1, Carbo2 and Carbo3 claims in 2005, personnel of DahrougeGeological Consulting Ltd. on behalf Commerce Resources Corp., conducted an explorationprogram during the summers of 2006 and 2007 (Guo and Dahrouge, 2006; Guo, 2007). The workprograms included a soil geochemical survey, rock sampling, ground scintillometer andmagnetometer geophysical surveys and prospecting. Table 2 summarizes the expenditures peryear between 2006 and 2009. Most of the work was within the Carbo2 and Carbo3 claims. ClaimCarboWest was staked after the 2006 exploration, and prior to the 2007 exploration. -9-
  14. 14. Table 2: Expenditures between 2006 and 2009 Year 2006 2007 2009 Expenditures $74,973.61 $31,554.77 $ 9,559.20 Total $116,087.58Soil Sampling In total, 345 soil samples were collected during 2006 and 2007 (291 in 2006 and 54 in 2007(Figures 12.1 to 12.3). Soil geochemistry maps (Figures 12.1 to 12.3) were prepared for Nb, Ce,and Ba. The historic work indicates that anomalous Niobium in soils correspond to the location ofthe underlying carbonatite, which suggests there was little lateral dispersion in soils (Betmanis,A.I,1987). Cerium shows a weak correlation with Niobium (Figure 12.1 and 12.2), with severalspot highs exceeding 400 ppm Ce. During 2006 a soil sample collected from claim Carbo2, returned highly anomalousconcentrations of Au (sample 24204: 1,739.9 ppb; Figure 12.8). Follow-up exploration during2007, around this location included a grid with 25 soil samples collected every 12.5 m; in addition,six rock samples were collected and analyzed for Au. One soil sample was also collected fromthe same location as the 2006 sample. Both sets of samples were analyzed with Acme AnalyticalAnalysis: Group 1DX (0.50 gram sample leached with 3 ml 2-2-2 HCL-HNO3-H2O at 95 DEG. Cfor one hour, diluted to 10 ml, analysed by ICP-MS. The follow-up soil and rock sampling revealedonly background gold values in and around the area of the 2006, sample 24204.Rock Samples A total of 56 rock samples were collected from intrusive outcrops and float during 2006 and2007 (Figures 12.4 and 12.5). Forty-five of the samples are carbonatitic and other alkalineintrusive rocks, with high REE and Niobium concentrations. Niobium contents range frombackground to1525.6 ppm Nb, and average 537 ppm (Figure 12.4). Total REE values range from72.79 to 4672.57 ppm, and average 1330.84 ppm (Figure 12.5). Soil sampling near grid coordinate 3600E / 200N reveals a consistent enrichment in Niobium,Cerium and Barium values (Figures 12.1 to 12.3); as well as, being a large radioactive anomaly(Figure 12.7). Rock sample 28508 measured 1800 CPS, and returned 247.4 ppm Thorium, 810.6 - 10 -
  15. 15. ppm Niobium and 1022.19 ppm REEs from a limonite-stained phyllite outcrop. Sample 28531 from Carbo1 was relatively enrichment in Pb and Zn, with 3,027 ppm and 2,377ppm, respectively. It also contained 31,025 ppm Barium.Geophysical Surveys Magnetic high anomalies do not appear to closely correlate with the radioactivity of the groundor the content of Niobium, Cerium or Barium in soil samples (Figure 12.6). One sample (24169),revealed 281.4 ppm Nb, 224.3 ppm Ce and 1125.4 ppm Ba (Figures 12.1 to 12.3) in an area ofelevated magnetic readings, indicating the possibility for a buried carbonatite outcrop. Rocksampling was not conducted in this area. There appears to be a variation in background magnetic readings on either side of the largemagnetic anomaly trending NW-SE, similar to the trend occurring on the historic Prince Grid(Section 8B); with higher magnetics to the southwest, and lower to the northeast. The magnetichigh (greater than 56,128 gammas) appears to be on-trend with the historically mappedcarbonatite outcrop and historic magnetic anomaly on the Prince Grid (Figure 8.13), furtherindicating the possibility for buried carbonatite. Moderate to strong radioactivity is noted within the southern portion of the Carbo1 and Carbo2claims during the 2006 and 2007 scintillometer survey (Figure 12.7). The backgroundradioactivity of the grid area is approximately 50-200 CPS. A NW-SE trending radioactiveanomaly is apparent in the central part of the survey area. The anomalous trend likely outlines thelocation of the syenite that was sampled; returning elevated REE (up to 1573 ppm, sample 24001)and moderate Niobium concentrations (up to 843 ppm, sample 24003) (Figures 12.4 and 12.5). Radioactive readings were also taken during rock sampling. Elevated radioactivity appears tobe caused by elevated Thorium concentrations. A moderate relationship between radioactivity(Thorium content) and Niobium/REE concentrations is indicated. For example, the rock sample 28505 measured 8200 CPS, and returned 1522.5 ppmThorium, 731.6 ppm Niobium and 1030.64 ppm REEs from a syenite outcrop. Other rocksamples that measured above 1000 CPS returned above average values of Thorium andNiobium; and near average REE values.ITEM 13: DRILLING - 11 -
  16. 16. There is no known drilling within the property.ITEM 14: SAMPLING METHOD AND APPROACH Information regarding sampling methods and approach employed by Dahrouge during theexploration of the Carbo Property is included in prior mineral claim Assessment Reports (Guo andDahrouge, 2007; Guo, 2007), filed with the B.C. Ministry of Energy, Mines & PetroleumResources. These descriptions have been supplemented by the author’s first hand knowledge ofthe exploration activities conducted during 2006-2007. The 2006 and 2007 exploration programswere under the direct supervision of the author. During 2006 and 2007, a total of 56 rock samplesand 345 soil samples were collected from the property. In addition, approximately 20 line-km’s ofground scintillometer and magnetometer geophysical surveys were completed. The explorationwas conducted throughout Carbo Property, with a majority of work completed within the Carbo2,Carbo3 and Carbo West claims.Rock Samples Rock sample locations and type are listed in Appendix 1, and shown on Figures 12.4 and12.5. All the rock samples are grab samples, and may not accurately represent the grade ofmineralization at the given location. Trenching accompanied by channel sampling, compositechip sampling, and/or diamond drilling will be required to obtain an estimate of the representativegrade for the carbonatite complex. Rock sample UTM locations were recorded using Garmin 76GPS, with an accuracy of approximately 5-10m. Due to the density of the forest cover within thework area, the accuracy of some locations is poor. The coordinate system used is NAD 1983,UTM Zone10.Soil Sampling Soil sampling was carried out across parts of the Carbo Property during 2006 and 2007(Figures 12.1 to 12.3). Sample locations and type are listed in Appendix 2. The objective of thiswork was to delineate possible near surface occurrences of carbonatite or alkaline rocks, usingcharacteristic geochemical tracers (Nb, REE’s and Ba), in order to aid in locating possible sites forfollow-up hand trenching and prospecting. Soil surveys previously employed by CommerceResources Corp. have proved to be an efficient technique in locating carbonatites withinmountainous terrains of British Columbia. - 12 -
  17. 17. The soil survey on the Carbo Property was carried out over an area measuring approximately1500 by 2500 meters, covering approximately 3.75 sq. km. (Figures 12.1 to 12.3). Samples werecollected from 50 meter stations on grid-lines spaced 150 m apart. The survey was planned inadvance, and the coordinates of each station were calculated and imported to Garmin 76 GPS.The locations were navigated to with the GPS and flagged in the field. Soil samples were taken from a presumed ‘B-horizon’ between 0.1 m -1.0 m below surface,depending on vegetation and thickness of overburden (which varied across the sampled areas).Most samples were collected from 0.2 to 0.5 m below surface. Alluvial beds were avoidedwherever possible. Any visible rock fragments larger than 1-2 cm, including both glacial andcolluvial material; as well as, organics were hand-removed. Sample depth, colour, particle size,wetness, amount of rock fragments and their lithology, and the amount and characteristics oforganics were recorded. Whenever a gravel-rich, impenetrable layer was reached using ashovel, it was assumed to be immediately above the bedrock, and the sample was taken from thatlayer. The soil samples weighed between 0.5 - 1.5 kg, and were packed in pre-labelled plasticbags with the detached paper tag from a sample book together with a piece of a flagging tapemarked with the sample number using a felt marker, and were tie-locked. The samples wereshipped to Acme Analytical Laboratories Ltd. in Vancouver, where the pulps and rejects arestored.Geophysical Surveys Scintllometer and magnetometer surveys were completed at 12.5 meter stations on the 150 minterval grid lines (Figures 12.6 and 12.7). The surveys used the same grid locations establishedfor the soil lithogeochemical program. Magnetic and radiometric surveys in combination with soilsampling by Commerce Resources Corp. in the Blue River area have proved to be an efficienttechnique in locating buried carbonatite rocks (Gorham, 2007). A GR-110G/E portable gamma-ray scintillometer with a 4.5 cubic inch sodium-iodide detectorwas used for both the 2006 and 2007 surveys. The gamma-ray scintillometer was certified byExploranium G.S. Ltd. The GR-110G scintillometer measures total intensity of gamma-rayemissions from the following three naturally occurring radionuclides: 40K (1.46 MeV); 214Bi (0.609 238 208– 2.44 MeV) – a product of U-series decay; and Tl (0.277 –2.62 MeV) – a product of232 Th-series decay. The scintillometer’s operating minimum energy threshold is 45 KeV, with themaximum count rate of 9,999 counts per second (cps). The battery voltage and the count ratefrom a provided sample of 137Cs radionuclide were routinely checked before each survey session - 13 -
  18. 18. to ensure that the instrument operates within the specified parameters. In addition, the localbackground count rate level was measured at ~1 m above the ground before each surveysession. The specified background level varies from 40 to 100 cps, but is up to 200 cps due tometasediment’s or alkaline rocks composed of potassium-bearing minerals such as micas andfeldspar (sources of the gamma radiation from 40K). During the survey sessions, the scintillometer was always kept in its leather case to reduce therisk of an accidental mechanical shock and to minimize the detector’s surface contamination. Allmeasurements were carried out at 1 sec count rate, recording an approximate average of 20 – 60readings (in cps) integrated during a 20 – 60 sec counting interval, respectively, for eachmeasurement. The detector was put on the ground at all times during measurements. The ground radiometric survey is a potentially useful supplement to the soil litho-geochemicalsurvey as the carbonatites and alkaline rocks contain concentrations of Thorium within apatitie,pyrochlore, or some rare earth minerals. These minerals are relatively resistant and accumulatein the soil, thus causing elevated radiation above the background. A GSM-19 Overhauser Magnetometer was used for the 2006 magnetic survey. Themeasurements of the magnetic field (in nT) were taken at 12.5 m intervals following the soillithogeochemical / radiometric survey grid. The magnetometers’ internal clocks weresynchronized before beginning of the survey session. One of the instruments operated in thebase mode in a magnetically quiet place away from power lines, roads and any metalconstructions, while another was used for surveying the grid in a semi-automated,pre-programmed mode. All measured signals were of excellent quality. The diurnal correctionswere made automatically at the end of the survey session. The survey was designed to supplement the soil lithogeochemical and radiometric surveys, inview of the common, to locally abundant, magnetite or pyrrhotite commonly found in carbonatites.Presence of the magnetic minerals in the carbonatites renders magnetic survey a potentially veryefficient exploration technique.ITEM 15: SAMPLE PREPARATION, ANALYSES AND SECURITY Personnel of Dahrouge collected all the samples during 2006 and 2007 from the property. Atthe time of sample collection, the samples were bagged, tagged and recorded. All the sampleswere reordered and checked at the end of day and then stored in sealed 5 gallon plastic pale.Sample chain of custody was maintained by personnel of Dahrouge. The samples were stored at - 14 -
  19. 19. the site until the crew demobilization. The samples were brought back to the Dahrouge GeologicalConsulting Ltd. office in Edmonton, Alberta with the field crews, and then shipped to ACMEAnalytical Laboratories Ltd in Vancouver via courier for analysis. There was no indication fromthe lab that the samples were tampered with. The sampling was under the direct supervision ofthe author. It is the opinion of the author that sample preparation, security, and analytical proceduresemployed during the 2006 and 2007 exploration programs conform to industry standards. Thisopinion is based upon the author’s first hand knowledge of the exploration techniques andprotocols employed, as a result of his participation in the exploration. As a consequence of this,the author has not specifically verified any of the sampling data, taken any samples that were notpart of the exploration program, or conducted a specific follow-up site visit. At Acme Analytical laboratories Ltd., rock samples were crushed using ACME R150preparation procedure: crushing the rock to -10 mesh (>70) and then pulverized a 250 g split to>90% -150 mesh. Soil samples were pulverized to -100 mesh ASTM in a mild-still pulverizer. Allrock and soil samples were analyzed using their Group 4B (Full Suite) and Group 4A (intrusiverocks only): rare earth and refractory elements are determined by ICP mass spectrometerfollowing a lithium metraborate/tetraborate fusion and nitric acid digestion of a 0.2 g sample. Inaddition, a separate 0.5 g split is digested in aqua regia and analysed by ICP-Mass spectrometerto obtain precious and base metals values (Appendix 3). Group 4A: 0.2 g sample were analysedby ICP-emission spectrometry following a lithium metraborate/ tetraborate fusion and dilute nitricdigestion. Repeat analyses for random samples was completed, as was the periodic analyses ofa standard. Given the stages of the exploration at the Carbo Property, quality control procedures such asduplicate samples, sample blanks and standards were not conducted. The author is of theopinion that the sample preparation, security and analytical procedure were adequate for theearly stage of the exploration at Carbo Property.ITEM 16: DATA VERIFICATION ACME Analytical Laboratories Ltd. completed routine QA/QC through the sample preparationand analysis procedure, which includes internal duplicates and standards (Appendix 3). Noexternal duplicates, blanks and standards were inserted to the sample suite prior to analysis. The author verified the 2006 and 2007 results obtained by the lab and compared them to the - 15 -
  20. 20. historic analysis. The author is of opinion that the exploration conducted by Teck ExplorationsLimited in 1986 and 1987 is of a high quality.ITEM 17: ADJACENT PROPERTIES Some information obtained in Section 8: History, of this report includes the review ofexploration results from the adjacent historic claims, such as George and Lake claims. Thesehistoric claims are located to the north and south of the current Carbo Property and are currentlycovered by claims owned by Spectrum Mining Corp. (Figure 8.2). All of the maps in Section 8:History of this report clearly define the property boundary of the current Carbo claim. The authorhas not verified the results reported in these adjacent claims, and the information reported onthese claims is not necessarily indicative of the mineralization on the Carbo property. All of the information included in Section 12; Exploration, of this report is on the current CarboProperty.ITEM 18: MINERAL PROCESSING AND MEALLURGICAL TESTINGThis section is not applicable to the subject property.ITEM 19: MINERAL RESOURCES AND MINERAL RESERVE ESTIMATESThis section is not applicable to the subject property.ITEM 20: OTHER RELEVENT DATA AND INFORMATION There appear to be no environmental, permitting, legal, title, taxation, socio-economic, orpolitical issues that adversely affect the potential development of the property. The exploration at the Carbo Property to date has shown that the Carbonatite System locallycontains anomalous values of thorium as an accessory element. Analytical results of rock andsoil samples from the 2006 and 2007 exploration indicate considerable variation in thoriumconcentrations. The exploration conducted during 2006 and 2007 has monitored the levels of these elementsin the various samples collected, both as an exploration tool and for environmental assessmentpurposes. Analyses indicate that both elements are present in low amounts in the mineralized - 16 -
  21. 21. areas; other than a single sample, all of the 2006 and 2007 rock sampling results were below the0.05% uranium and 0.15% thorium reporting thresholds as defined in the “Mineral ExplorationCode: Part 11.13" 24 of the “Health, Safety and Reclamation Code for Mines in British Columbia,May 1998". One sample contained the threshold value of 0.15% thorium, whereas the averagevalue within most carbonatite samples was between 0.005% and 0.05% thorium. It is importantthat Commerce continue monitoring thorium levels in subsequent programs.ITEM 21: INTERPRETATION AND CONCLUSIONS Historic work located a carbonatite complex and related alkaline intrusive rocks that extend forseveral kilometres along Bear Ridge, and which are partly within the Carbo Property. Theintrusive rocks are highly anomalous in Niobium and REE’s. The Niobium-bearing mineral,pyrochlore, is generally <0.3 mm in size (Betmanis, A.I,1987, Mader 1988). Pyrochlore contentmay have strong correlation with the elevated gamma activity (due to Thorium content), therefore,areas of higher scintillometer readings may indicate high Niobium carbonatite location. Exploration conducted during 2006 and 2007 confirmed the Niobium mineralization and highREE concentration of carbonatite, syenite and related alkaline rocks in the property. There-sampling of the historic trenches 5 to 7 on the Carbo2 claim returned lower Niobium and REEcontents compared to the historic work. Soil geochemical and magnetic anomalies may indicate the presence of buried carbonatite oralkaline intrusions and follow-up work is required to verify this. Alkaline intrusions at the property have a high radiometric background, with up to 8200 CPS.Assay results indicate that the radioactivity is due to the high thorium content.ITEM 22: RECOMMENDATIONS Based on the historic exploration on the Carbo Property and favourable geological setting, theCarbo Property is of sufficient merit to warrant further exploration. The author recommends thefollowing further exploration work:Year 1• Compile and interpret the existing geological, geophysical and geochemical data in the area.• Only a portion of the property has been mapped. In order to understand the economic potential of the property detailed 1:10,000 geological mapping is recommended, with particular attention - 17 -
  22. 22. paid to the alkaline intrusions and their relationship to the regional and local structures. Attention should also be paid to the magnetic and radioactive anomalies defined by the 2006 and 2007 surveying.• Prospect the areas that have not been covered in the 2006 and 2007 exploration work, which include the northern part of the Carbo2 claim and the southern part of Carbo3 claim. The magnetic anomaly discovered in 2006 should be verified with rock sampling.• Complete magnetic and radiometric surveys on remaining portions of the property, as these tools in combination with soil sampling have proven to be cost-effective exploration methods for carbonatite and alkaline intrusions.Year 2• Trenching and channel sampling of potential carbonate and alkaline intrusions below soil and radioactive/magnetic anomalies. Due to the limited exposure of bedrock only limited rock samples have been collected. The size and spatial orientation of these intrusions are still not clear, and trenching will be used evaluate the relevant chemical and physical properties.• Continue to prospect areas that were defined in the geophysical or geochemical prospecting of the exploration in year 1.Year 3• 500 m AQ backpack drilling in the historic trench area, and other areas identified in the exploration of years 1 and 2. Due to the rough terrain and steep slope, a helicopter will be required to mobilize drill and other heavy equipment. The establishment of an exploration camp in the claim block would also be suggested at this stage of exploration. - 18 -
  23. 23. Table 3: Proposed Exploration of the Carbo PropertyYear 1 Explorationcompilation of historic data, fieldwork planning $       7,500.00Geological Mapping & rock sampling $     20,000.00Geophysical surveying and in‐fill soil sampling $     30,000.00 $      57,500.00Year 2 ExplorationGeological Mapping & rock sampling $     20,000.00Trenching and channel sampling $     40,000.00 $      60,000.00Year 3 Exploration500 meters AQ core drilling $     80,000.00 $      80,000.00 $   197,500.00 Total - 19 -
  24. 24. ITEM 23: REFERENCESArmstrong, J.D., Tipper, H.W., and Hoadley, J.W. (1969), Geology of McLeod Lake, British Columbia; Geol. Surv. Can., Map 1204A.Betmanis, A. I. (1987). Report on Geological, Geochemical and Magnetometer Surveys on the Prince and George Groups, Cariboo Mining Division, B.C.; B.C. Min. Energy, Mines Petr. Res. Ass. Rept. 15944.Commerce Resources Corp. (2009) Joint Venture Established for Carbo Rare Earth Property, Corporate News Release dated February 10, 2009.Cullers, R.L. and Graf, J.L. (1984) Rare earth elements in igneous rocks of the continental curst: predominately basic and ultrabasic rocks. In Developments in Geochemistry, Vol. 2: Rare earth element geochemistry, P. Henderson (ed.), Amsterdam: Elsevier, pp. 237-274.GSC, (1964), Geophysics paper 1546. Aeromagnetic Series, Hominka River, B.C.Guo, M and Dahrouge J. (2006), 2006 Exploration at the Carbo Property; B.C. Min. Energy, Mines Petr. Res. Ass. Rept. 28528.Guo, M. (2007) 2007 Exploration at the Carbo Property; B.C. Min. Energy, Mines Petr. Res. Ass. Rep t. 29280.Gorham, J. (2007) 2007 Diamond Drilling and Exploration at the Blue River Property; B.C. Min. Energy, Mines Petr. Res. Ass. Rep t. (currently confidential).Lovang, G. And Meyer, W. (1987). Report on Treching, Stream Silt Concentrate and Soil Sampling on the George Group, Cariboo Mining Division, B.C.; Min. Energy, Mines Petr. Res. Ass. Rept. 16264,Mader U.K. and Greenwood H.(1988) Carbonatites and Related Rocks of the Prince and George Claims, Northern Rocky Mountains. B.C. Ministry of Energy, Mines and Petroleum Resources, Geological Fieldwork 1987, Paper 1988-1, Pages 375-380Mariano A.N. (1989). Nature of Economic Mineralization in Carbonatites and Related Rocks. In Carbonatites, Genesis and Evolution, Keith Bell (ed.), London, Unwin Hyman Ltd., pp. 149-176.Massey, N.W.D., MacIntyre, D.G., Desjardins, P.J. and Cooney, R.T. (2005) Digital Geology Map of British Columbia: Tile NN10 Central B.C., B.C. Min. Energy and Mines, GeoFile 2005-6; GeoFile Number 2005-6.Richardson, D.G. and Birkett, T.C. (1996). Carbonatite-associated deposits. in Geology of Canadian Mineral Deposit Types, (ed.) O.R. Eckstrand, W.D. Sinclair and R.I. Thorpe; Geol. Surv. Can., Geology of Canada, no. 8, p. 541-558.Wolley, A.R. and Kempe, D.R.C. (1989) Carbonatites: nomenclature, average chemical compositions and element distribution. In Carbonatites, Genesis and Evolution, Keith Bell (ed.), London, Unwin Hyman Ltd., pp. 1-14. - 20 -
  25. 25. ITEM 25: ADDITIONAL REQUIREMENTS FOR TECHNICAL REPORTS ON DEVELOPMENT PROPERTIES AND PRODUCTION PROPERTIESThis section is not applicable to the subject property - 22 -
  26. 26. ITEM 26: ILLUSTRATIONS
  27. 27. 123°300"W 123°00"W 122°300"W 122°00"W 093J12 093J10 093I12 093J11 Davie Lake 093J09 Property Location 54°300"N BRITISH54°300"N Bear Lake COLUMBIA Property Location 093J05 093J06 093J07 093J08 093I05 Summit Lake 54°150"N54°150"N 093J04 093J03 093J02 093I04 093J01 54°00"N54°00"N CANADIAN INTERNATIONAL MINERALS INC. Figure 6.1 Location Map Prince George 093G13 093G16 0 5 10 093G14 20 093G15 093H13 Cluculz Lake Kilometers NM 1:500,000 2009.03 123°300"W 123°00"W 122°300"W 122°00"W
  28. 28. 122°60"W 122°30"W 122°00"W 54°330"N CANADIAN INTERNATIONAL54°330"N 591827 MINERALS INC. Wicheedda Lake Figure 6.2 Property Map 516124 NM 1:40,000 2009.03 516121 591829 Current Carbo Property Spectrum Mining Corp. 515430 516112 CARBO1 54°3130"N54°3130"N 591828 515432 CARBO2 Wic hc ika 536347 CARBO WEST Cr 516117 eek 516115 54°300"N 51543354°300"N CARBO3 0 0.5 1 2 598208 Kilometers Coordinate System: NAD 1983 UTM Zone 10 122°60"W 122°30"W 122°00"W
  29. 29. 556000 558000 560000 562000 564000 566000 CANADIAN INTERNATIONAL MINERALS INC. 6044000 Figure 8.1 Location of Historic Mineral Claims 515430 CARBO1 NM 1:50,000 2009.03 6042000 Current Carbo Property 515432 CARBO2 536347 CARBO WEST 6040000 515433 CARBO3 60380000 0.5 1 2 Kilometers Coordinate System: NAD 1983 UTM Zone 10
  30. 30. 556000 558000 560000 562000 564000 566000 568000 CANADIAN INTERNATIONAL MINERALS INC. 6044000 Figure 8.2 Location of Historic Exploration Grids NM 1:50,000 2009.03 Current Carbo Property 6042000 Other Claims 6040000 60380000 0.5 1 2 6036000 Kilometers Coordinate System: NAD 1983 UTM Zone 10

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