Nova Scotia Overview:

Chilean Metals Inc. (“CMX” or the “Company”) is a Canadian Public resource company focused on the advanced exploration and development of Iron-Oxide-Copper-Gold (“IOCG”) deposits in central Nova Scotia, Canada. At present, CMX is active on all Nova Scotia projects with a primary focus on the Bass River North Project which has been optioned to Tejas Gold Inc.

EXPLORATION HISTORY

Minotaur Exploration Ltd. (“Minotaur”) recognized the IOCG potential of the CCFZ in 2007 and subsequently staked over 80% of the ground covering this structural feature and, with their partner, Dundee Precious Metals, expended approximately $6.0 million on work programs narrowing down their initial 78 potential targets to 18 which they classified as Very High to High priority. After Dundee’s departure, Minotaur spent an additional $2 million drilling only 3 holes throughout the project area with encouraging results. Due to the Global Financial Collapse, the claims were abandoned in July and October, 2011. In October and November 2011, Cogonov Inc. staked 2394 claims in Nova Scotia covering approximately 95% of the claims dropped by Minotaur. Following the final approval for the ground, discussions with personnel associated with the project were initiated leading to the acquisition of all of the Minotaur exploration data. Discussions with Minotaur personnel also confirmed that the Cobequid–Chedabucto Fault Zone (CCFZ) is an IOCG environment and that the project was abandoned early due to financial constraints.

Cogonov, building on the Minotaur’s exploration database, conducted ground work in addition to flying an airborne VTEM and magnetic survey. Upon completion of the airborne survey, Minotaur did a thorough interpretation and of the data, the results prioritizing the individual VTEM targets.

Due to the regional scale of the project area, reconnaissance level exploration programs were conducted to initially validate all geophysical targets and prioritize the projects.

Since 2007, approximately $ 10 million in exploration has been spent on the Cobequid Chedabucto Project Excluding the Joint Venture commitments mentioned above.

IOCG POTENTIAL OF NOVA SCOTIA

IOCG deposits are economically significant, large scale, low-grade hydrothermal deposits with ore zones associated with regional scale alteration systems. Comparable to porphyry copper deposits, these ore bodies range from 10.0 million tonnes of contained ore to 4.0 billion tonnes or more with grades typically ranging between 0.2% and 5.0% copper and 0.1 to 3.0 grams of gold per tonne. World-class examples include Oz Minerals Ltd.’s Prominent Hill Mine, originally discovered by Minotaur, (186 million tonnes at 1.1% copper, 0.7 g/tonne gold), BHP Billiton’s Olympic Dam Mine (9.6 billion tonnes at 0.8% copper, 0.26 kg/tonne uranium, 0.31 g/tonne gold and 1.39 g/tonne silver) and Freeport-McMoRan Inc.’s La Candelaria Mine (419 million tonnes at 0.5% copper, 0.1 g/tonne gold and 1.6 g/tonne silver).

Recently, the Cobequid–Chedabucto Fault Zone (CCFZ) in Nova Scotia, Canada has been recognized as a potential zone to host IOCG-type mineralization based on the Cu-Fe-Au-Co-Ni metallogenic association and carbonate and iron-oxide mineralization within a regional fault system. The IOCG style mineralization is suggested to be associated with regional metamorphism, deformation, hydrothermal alteration and magmatism that occurred along the Cobequid–Chedabucto Fault Zone (CCFZ) between 340 and 310 Ma.

CHILEAN METALS INC – IOCG PROJECTS, NOVA SCOTIA PORTFOLIO:

Location
CHILEAN’s IOCG project area is comprised of approximately 3,000 claims, sub-divided into 4 project areas based on groupings of claims within and around the Cobequid–Chedabucto Fault Zone (CCFZ) in central Nova Scotia, Canada. From west to east, the projects are referred to as Fox River, Parrsboro, Lynn, & Bass River North. (Figure 1). Much of the claims were initially staked and/or optioned based on the gravity high targets previously identified by Minotaur Exploration Limited (Australia). The western portion of the Project area is located along the north shore of Cobequid Bay west of the town of Truro, Nova Scotia. The individual projects in this area are accessible by a network of county and bush roads or are in close proximity to the Trans-Canada highway near Truro. Truro is situated along the Trans-Canada highway with access to rail and ocean ports.

Mining in Nova Scotia:

• Mining Friendly Province (Active Gold & Coal Mining Region)
• Very positive partnership relationship with Department of Natural Resources (DNR) of Nova Scotia
• Trained & educated workforce with several high level Universities in area
• Favorable Tax Structure
• Extensive Infrastructure (Rail, Power, Water, Roads)
• Deep Seaports, Nova Scotia is surrounded by ocean on 3 sides
• CN Rail & TransCanada Hwy goes thru our properties.
• No known Environmental impact issues
• Canadian Jurisdiction – Geopolitical Stability
• Proprietary 3D Modeling & High Tech VTEM approach to exploration project
• Mining Friendly Provincial Government


Figure 1: Chilean Metals – Project Locations, Nova Scotia, Canada

Nova Scotia is almost entirely surrounded by the sea, which heavily influences climate. Due to the ocean’s moderating effect, Nova Scotia has cool summers, with sporadic tropical storms and hurricanes during the summer and autumn. Winters can be severe with blizzards occurring throughout the Province, particularly in the Cobequid Highlands. Exploration work can be carried out year round; however, snow coverage during the winter months inhibits soil and till sampling and may limit vehicle access on some bush/forestry roads.

Chilean Metals Inc is not aware of any environmental liabilities associated with the individual project areas.

Project Geology and Mineralization:

The Cobequid-Chedabucto Fault Zone is the surficial expression of a crustal-scale fault system that bounds the Avalon and Meguma geological terranes. To the north, the older Avalon terrane is predominantly comprised of pre-Carboniferous sedimentary, volcanic and intrusive rocks contained within either the Cobequid or Antigonish Highlands. To the south of the Cobequid–Chedabucto Fault Zone (CCFZ), the Meguma terrane is characterized by extensive, deep water Paleozoic sedimentary sequences that host numerous high-grade, vein type gold occurrences, many of which have seen historic production. The Cobequid–Chedabucto Fault Zone (CCFZ) is host to >100 mineral occurrences and small deposits of Iron-oxide, Copper, Cobalt, Gold, Nickel and Barite. Mineral occurrences range from single veins to breccia systems and are associated with widespread carbonate alteration along with silica and sericite. The Cobequid–Chedabucto Fault Zone (CCFZ) has, as recently as 1996, been recognized as a potential host of Iron Oxide Copper Gold (IOCG) style-mineralization based on the Cu-Fe-Au-Co-Ni metallogenic association with carbonate and iron-oxide mineralization within a regional fault system.

Cobequid-Chedabucto Fault Zone (CCFZ)

The CCFZ refers to the surficial expression of the Minas Fault Zone which corresponds to the deep, crustal scale Avalon-Meguma terrane boundary. The CCFZ is exposed for approximately 300 km across the Province of Nova Scotia and is characterized by a series of east-west striking, anastomosing and en-echelon faults that exhibit predominantly dextral strike-slip displacement through brittle and ductile deformation.


Geology and Tectonic Setting:

The Cobequid-Chedabucto Fault Zone comprises a series of crustal-scale faults along a length of ~250 km and up to 25 km wide that bisects central Nova Scotia into two different terranes (Avalon and Meguma Terranes). The fault zone is host to numerous mineral occurrences and small deposits of Fe-oxide ±Cu ±Co ±Au ±Ni ±Ba and consisting of ankerite and siderite with significant amounts of magnetite, specular haematite, pyrite, chalcopyrite and barite. Mineral occurrences range from single veins to breccia systems and are associated with widespread carbonate alteration along with silica and sericite alteration. Better known mineral occurrences are at Londonderry, Copper Lake, Bridgeville, Mt Thom and Bass River. It is only in recent years that these Fe-oxide deposits have been recognized as representing part of an IOCG-style system (O’Reilly, 2004; Kontak, 2006; Corriveau, 2007).

Mineralization appears related to oxidized A-type granitic intrusions and numerous small gabbroic-dioritic intrusions associated with Devonian-Carboniferous mafic under-plating along with brittle tectonism along the Cobequid-Chedabucto Fault Zone.

In the Cobequid Highlands area, the Cobequid fault trace is commonly manifested by an abrupt rise in topography to the north and may be recognized by the presence of highly foliated and deformed dark grey graphitic schist to shale material. The southernmost fault plane of the Cobequid Highlands is the Cobequid fault which, to the east of the Cobequid Highlands, bends to a northeast-southwest strike within the Trenton syncline. The fault, locally referred to as the New Glasgow fault, possibly connects or splays to the northeast-southwest trending Hollow fault, which is the northwestern boundary of the Antigonish Highlands. The southernmost fault plane bounding the Antigonish Highlands is the Chedabucto fault. In the area between the Cobequid and the Antigonish Highlands at the southern edge of the Stellarton Basin, the Chedabucto fault splits/splays into 3 strands. The southernmost strand becomes the Riversdale fault which passes under cover in the Truro area. The central strand becomes the Portapique – North River fault which continues to the Parrsboro area. The northern strand is unnamed and merges with the Cobequid fault near Mount Thom. Other major sub-parallel and Cobequid–Chedabucto Fault Zone (CCFZ) related faults in the Cobequid Highlands are the Kirkhill and Spice Cove faults north and west of the Parrsboro area; the Londonderry fault, which passes through the Bass River and Londonderry property areas; and the Rockland Brook Fault which merges with the Cobequid fault near Economy River. Southeast of the Antigonish Highlands, the Roman Valley fault bounds the Guysborough Group and younger Guysborough Basin sediments (i.e. Horton Group), to the south and north, respectively.

Multiple phases of deformation likely occur along the CCFZ since the Precambrian. Approximately 150 km of dextral shear displacement was accommodated along the CCFZ during the Middle Devonian to Late Carboniferous. Alternatively, the Acadian orogeny has been suggested to have occurred from the Late Silurian to Late Devonian during a period of north-south oriented convergence with flat-slab subduction beneath the Meguma and Avalon terranes, and resulted in the closure of the Rheic Ocean.

Within the Cobequid–Chedabucto Fault Zone (CCFZ), approximately coeval hydrothermal mineralization and alteration, regional deformation and bimodal magmatism has been documented during the Carboniferous, 353-347 ± 4 Ma. and possibly as recent as 300 Ma. Alteration within the Cobequid–Chedabucto Fault Zone (CCFZ) includes hydrothermal albite, biotite, and iron-oxide mineralization. The Rockland Brook Fault was partially re-activated in the Cobequid Highlands during the late Paleozoic (330-320 Ma). The major faults in the Cobequid–Chedabucto Fault Zone (CCFZ) are inferred to play an important role in the localization of the late Devonian to early Carboniferous magmatism, with approximately coeval fault displacement, igneous emplacement.

During the Triassic, up to several kilometers of oblique dip-slip and sinistral displacement are reported in the western Cobequid–Chedabucto Fault Zone (CCFZ), associated with the opening of the Fundy Basin. Subsequently, from the early Jurassic to early Cretaceous, NW-SE oriented compression resulted in a reverse and dextral displacement.

PROPERTY #1: BASS RIVER NORTH:

The Bass River project is located in central Nova Scotia, Canada; focused on the base metal potential of the Dalhousie Mountain Formation, a bi-modal volcanic and sedimentary package that is known to host epithermal precious metal, base metal and Rare Earth Element (REE) mineralization in the eastern Cobequid Highlands.

Comprised of 4 licences totaling 196 claims, ground exploration in 2014 and drilling in Q1 2015 at Gamble Lake was successful in indentifying a mineralized system associated with felsic volcanic tuffs of the Dalhousie Mountain Formation. Trending northeast, airborne VTEM and magnetics conducted in Q1 2015 was successful in identifying numerous VTEM anomalies including one high priority target along the projected track of the Gamble Lake mineralization. Referred to as the Castlereagh anomaly, VTEM target BRN_VT01 is the largest target delineated in approximately 2000 line kilometers of airborne work conducted in the Cobequids by Cogonov Inc. With a surface expression of 700 x 700 meters, the geophysical data was subsequently modeled by Minotaur Exploration Limited (Australia) who highlighted a subsurface target approximately 300 meters in width. Ground geophysics was recommended in order to characterize the target prior to drilling.

Six additional targets were also identified by Minotaur, two of which being highly prospective and recommended for ground inspection and if free of cultural interference, ground geophysics prior to drilling. The remaining 4 targets are isolated, single line responses that require a field visit and prospecting to validate the occurrences since the anomalies were not resolved by inversion modeling.

A plan view of the Minotaur results is shown in Figure 2 followed by Figure 3, an enhanced view that better reflects the size and scale of the Castlereagh VTEM anomaly. Table 1 summarizes the VTEM targets, their ranking and recommendations as provided by Minotaur.

The program details, recommendations, including a Phase II budget estimate, are summarized below.

Table 1: 2015 VTEM Results and Rankings.

Target Ranking Recommendations
BRN_VT01 1 Ground geophysics proposed.
BRN_VT02 1 Drilled at Gamble Lake
BRN_VT03 2 Field check and ground geophysics proposed.
BRN_VT04 4 Requires Field Check. Ground geophysics proposed after priority targets have been followed up.
BRN_VT05 4 Weak conductor observed 200 meters below surface. Requires field check.
BRN_VT06 3 Field Check and geochemistry prior to ground geophysics
BRN_VT07 5 Requires Field Check.
BRN_VT08 5 Requires Field Check.


Figure 2: Z Component Ch35 gridded data with the locations of the VTEM targets, identifying the EM signatures of the anomalies.

Castlereagh Anomaly (VTEM Target BRN_VT01):

Target BRN_VT01 dominates the Z channel gridded data along with the decay profiles on six consecutive lines. Inversion modeling by Minotaur suggested a highly conductive body approximately 300 meters wide and a depth to top of 50 meters. They also stated that the anomaly appears to be located at the contact between granitic and sedimentary units. This interpretation is correct, the east flank of the anomaly abutting a portion of the Pleasant Hills pluton.


Figure 2: Castlereagh VTEM anomaly.

Viewing the resistivity depth images, the Castlereagh target widens to both the north and south and dips to the west. The southern edge of the target also has a sharp, steep boundary in the eastern portion possibly reflecting a fault contact with the pluton. Sharp breaks in the resistivity further suggest numerous faults may be present along the southern contact. This scenario fits the geologic model of mineralization we are looking for. With no known cultural sources known in the area, ground based PEM pulse was proposed in order to further assess the target and determine the depth to top prior to diamond drilling. The size and tenor of the Castlereagh anomaly is shown in the cross section below.

In March 2017, the Bass River North Project was Joint Ventured to Tejas Gold Co. Tejas Gold has launched its fall work program under the direction of Chilean Metals & its Technical Committee.

The process of land access and permitting is underway as are discussions with geophysical contractors to award the contract.
“I believe many will be surprised at the results the Cobequid-Chedabucto Fault Zone (CCFZ) properties will deliver over the next few years. When the Nova Scotia DNR & Minotaur Australia re-defined the CCFZ as a potential IOCG belt, the entire thinking of the area has changed. The CCFZ comprises of a series of crustal-scale faults along a 250km x up to 25km wide that divides Nova Scotia into 2 distinct terranes (Avalon & Meguma). I believe there is the real potential for 2-3 deposits discovered in this system in the near term.” stated Patrick J Cruickshank, President & CEO, Chilean Metals Inc.

Target BRN_VT03:

Observed on line 1090, approximately 500 meters due west of the BRN_VT01 cluster, inversion modeling suggests that target BRN_VT03 is a moderately conductive, flat lying body with a depth to top of 200 meters. The target is associated with a northwest trending magnetic low and due to it being a single line response; the location needs to be field checked to ensure the source is not cultural. Ground based PEM would follow. A cross section of the target is included below in Figure 5.


Target BRN_VT06:

Located approximately 2.0 kilometers northwest of the BRN_VT01 cluster, the target is an isolated, narrow, medium to low response that is not resolved by inversion modeling. Minotaur ranked this as a priority 3 target and proposed ground based PEM once the target has been validated and further confirmed with geochemistry.


Target BRN_VT04:

Target BRN_VT04 is located approximately 1.5 kilometers due east of the Castlereagh anomaly, BRN_VT04 is an isolated, narrow, low amplitude response. There is no magnetic correlation and the anomaly could not be resolved by inversion modeling. Ranked as a #4 priority, recommendations include a field visit to confirm that the anomaly does not have a cultural source. Once the other targets are resolved, ground based PEM can be considered.

Target BRN_VT05:

Located approximately 1 kilometer west of the Gamble Lake drilling, BRN_VT05 is a priority 4 target having an isolated, narrow, low amplitude response. Inversion modeling suggests a weakly conductive flat lying body 250 meters below the survey. As with BRN_VT04, a field visit is required to confirm that the anomaly does not have a cultural source. Once the other targets are resolved, ground based PEM can be considered.

Targets BRN_VT07 and BRN_VT08:

Both targets are isolated, low key responses that are not resolved by inversion modeling. Located approximately 1.2 kilometers west northwest of the Gamble Lake drilling, they appear to be situated at an intrusive sedimentary contact. These priority 5 targets should only be considered after all other targets have been evaluated.

The High Priority Targets are defined as (BRN_VT01), (BRN_VT03) & (BRN_VT06). Minotaur Exploration Ltd (Australia) has processed the Geophysics. CDI inversions were conducted on all targets in order to better determine the target depth, dip and extent. Three component fixed loop ground EM will be executed over these targets as recommended. The Grid definitions are below.

As the Ground PEM is being conducted, the Geological Team will be conducting geological mapping and prospecting in the target area to identify any additional surficial outcrop that may assist in target evaluation.
“We are very excited to be implementing our Pre-Drill Program in Nova Scotia on our Highly Regarded Bass River North Targets. This is the culmination of many years work including Minotaur Australia, Dundee, Cogonov and now our Joint Venture with Chilean Metals Inc. “We anxiously await the opportunity to finally drill the largest VTEM Anomaly in Nova Scotia adjacent to a well mineralized system to the southwest” states Thomas Comfort, CEO Tejas Gold Co.”

Pleasant Hills Pluton:

The Devonian to Carboniferous Pleasant Hills pluton is a medium to coarse grain granite, which underlies much of the Bass River / Economy River area. Multiple syenitic to dioritic intrusive units are mapped within or appear to be spatially associated with the Pleasant Hills intrusion.
In September 2014, discussions continued with Geotech Airborne and subsequent modeling of the original VTEM data, utilizing a proprietary processing method, identified additional targets on the Bass River property. Referred to as “Airborne Inductive Induced Polarization Effect”, Geotech’s AIIP mapping tool identified targets outside of the conductive bodies generally located with the VTEM method. Ground inspection of select targets provided by Geotech located a zone of brecciation within the Pleasant Hills Pluton that was in-filled with hematite veins (stock work veins) that contained both pyrite and chalcopyrite. Covering an area of 750 by 750 meters, the location of this mineralization within the pluton is a significant occurrence.

PROPERTY #2: FOX RIVER

The Fox River property is comprised of 61 claims and is located adjacent to, and due north of the town Port Grenville, Nova Scotia. The initial claim configuration covered Minotaur gravity anomalies NS02, NS03, NS03 South, NS04, and the western portions of NS04 East and NS04 South.

The Fox River block was covered as part of the airborne VTEM survey for a total of 450 km flown in 3 separate blocks. Minotaur conducted a review of the VTEM data identifying a total of 42 targets based on the potential for a response due to bedrock sulphide mineralization. Of the 42 targets identified, 9 were classified as high or very high priority with preference given to targets VTFR14, VTFR15 and VTFR17 (Figure 3).


Figure 3: VTEM Targets, Fox River

Reconnaissance mapping and prospecting was conducted at Fox River in order to validate both the gravity and VTEM anomalies. The results show extensive glacial cover resulting in poor outcrop exposure. Cultural activities, including vast blue berry fields in the northern portion of the project area, further restrict productive exploration.

Of the 3 priority VTEM targets identified by Minotaur, VTFR15 and VTFR17 were examined in the field were eliminated as viable targets due to glacial cover and extensive blueberry farming respectively.

Target VTFR14 extending southwest from Yorke Settlement, is presently being evaluated following the identification a sheared mafic volcanic outcrop containing abundant carbonate and traces of disseminated pyrite upslope along the west side of Glasgow Brook. This rock type is distinct and is not seen elsewhere on the property. Sample # 156795 collected in 2016 from this location and returned 3.42% Ca, 152 ppm Cr, 152 ppm Cs, 12.65 ppm Ga, 3.32% Mg, 87 ppm Ni and 16.45 ppm Sc.

In the southern portion of the licence, semi-massive pyrite within a chloritic and sericitic argillite has been located in outcrop along with float of a similar rock type that hosts the host galena mineralization at Bass River. As a result, additional claims were acquired along the southern boundary which is now referred to as the Woods Mountain target.

Results to date returned background values however sample 1255134, a sericitic argillite boulder collected along the southern boundary of the claim group, returned 0.15% copper.

Soil samples along the west flank of this target were collected in October 2017 and have been submitted to SGS Canada for multi-element analysis. This will be complemented by basic ground geophysics to further define the size and scale of the target area.

PROPERTY #3: PARRSBORRO

The Parrsboro property is comprised of 32 claims, Licence 50890, located approximately 4 km north of the town Parrsboro and east and south of Jeffers Lake. The claims cover recently located copper mineralization adjacent to Jeffers Falls in the northern portion of the licence and historic lead zinc mineralization in the south.

Initial investigations at Parrsboro included a full review of VTEM targets identified in the Geotech Survey. Field work eliminated these targets as all consisted of cultural artifacts such as houses, cottages, bridges and local metal culverts. Prospecting did however locate visible copper adjacent to Jeffers Falls assaying 0.15% Cu. Adjacent samples collected near the original site returned 1.3 g/t Ag, 55.2 ppm Co and 835 ppm Mo. Local silt samples were also elevated in Cu, Au and Co, coincident with the above rock sample locations.

Prospecting has located a variety of rocks previously not seen by the author in this portion of the Cobequids including sericitized tuff, rhyolite / dacite, hematized tuff, lithic tuff and , quartz feldspar porphyry containing K-spar, abundant silica, pyrite and a trace of chalcopyrite. The occurrences along with the coincident mineralization elevate the potential of the project area and work in 2017 will specifically target known mineralization.

Figure 4, Parrsboro Licence 50890

PROPERTY #4: LYNN

The Lynn property consists of 121 claims covering the east portion of Minotaur gravity anomalies NS06 and NS07. The claim blocks are located 3.5 km north of the town of Moose River. All of the claims are held by Chilean Metals.

The airborne VTEM data was reviewed by Minotaur who highlighted 1 high priority target. Ground inspection of the claim group was successful in identifying disseminated chalcopyrite in a quarry in the southwestern portion of the project area. The mineralization was substantial and where quartz veining was present, molybdenite, and malachite were also noted. The host appears to be roof pendant, the mineralization hosted within a quartz flooded portion of granite and sediments accompanied by intense sericite alteration. Angular boulders of silicified mafic volcanics containing 30% + quartz veining locally contained up to 1% chalcopyrite and bornite. Although the copper mineralization is only locally noted in economic amounts, its widespread nature and mineralogy may represent a larger copper mineralizing system.

Rock samples submitted for analysis have returned elevated copper values ranging from 0.12% to 0.38% Cu from a variety of locations throughout the southern and central portions of the property. Sample VB 14381 (taken from a sedimentary xenolith in granite) returned 1.01% Pb and 1.55% Zn. Recent prospecting has also uncovered an albitized zone within the granitic intrusive.


Figure 5: Copper Stained, albitized intrusive, Lynn

The high priority VTEM anomaly identified by Minotaur was found to be due to a cultural source however field work has upgraded a large AIIP anomaly that is discussed below.

Geotech Ltd. commenced a further review of the airborne VTEM data utilizing a new mapping tool that looks for evidence of the Airborne Inductive Induced Polarization (AIIP) effect. A report was received and 4 specific areas were highlighted by Geotech as shown below in Figure 7. Previous work in the area provides the following detail:

• IP_1 overlies gravity high NS-07 and a corresponding magnetic high.
• IP_2 lies on and flanks gravity high NS-06 and corresponding high magnetics.
• IP_3 appears to correspond to VTEM anomaly LVTEM-02 mentioned above.
• IP_4 corresponds to an old base metal showing previously worked and drilled by Noranda who completed 8 shallow drill holes (<15m.) intersecting up to 0.17% Cu. Additional work is underway to validate the AIIP targets however the inclusion of the Noranda workings in the report suggests this new mapping technique has merit and the generated targets need to be pursued.
Figure 7: Historic Lynn Compilation showing AIIP, TMI, gravity anomalies and VTEM targets.

Base metal and copper mineralization along with hematite associated with granites is consistent with the IOCG model proposed for the district. Mineralized quartz veins, in sediment and granites and disseminated galena, sphalerite, chalcopyrite, pyrite and pyrrhotite in the Jeffers Formation sediments suggest a relationship between the later granite intrusives and the sedimentary units. Albite alteration of granites indicates fluid interaction and a possible mechanism for the transport and precipitation of base metals.

• Work in 2017 is focused on 2 primary targets, the copper mineralization located in the southern quarry and more importantly, AIIP targets IP_1 and IP_2.

Work to date has been reconnaissance in nature, successfully identifying extensive sericite alteration along the flanks of IP_1 and north of IP_2. Additional ground has been acquired to further consolidate the land position.