Airborne geophysical survey report on Keezhik Creek property...to resume exploration activities on...

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ASSESSMENT REPORT on the

HELICOPTER BORNE MAGNETIC GRADIOMETER

GEOPHYSICAL SURVEY

KEEZHIK CREEK PROPERTY

FORT HOPE AREA, NW ONTARIO

Thunder Bay Mining District

NTS Area: 52P / 10NE Easting: 396454 Northing: 5734297

Zone 16, NAD 83.

for

NAMEX EXPLORATIONS INC 301 Victoria St, Suite 103

Westmount, QC, H3Z 2M9

BY:

George H. Gale, PhD, PEng

GALEX GEOLOGY LTD

450 Bonner Ave

Winnipeg, MB

R2G 1C3

Tlf: 204-669-1166

[email protected]

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Table of Contents EXECUTIVE SUMMARY ........................................................................................................ 3 INTRODUCTION ...................................................................................................................... 3 DISCLAIMER ............................................................................................................................ 3 PROPERTY LOCATION AND DESCRIPTION ...................................................................... 3 GEOLOGICAL SETTING ......................................................................................................... 6 Previous Exploration ................................................................................................................... 7

Szetu, S.S. and Baynes, A.S. (1982-84)................................................................................. 7

Anaconda Canada Exploration Ltd. (1984-85) ....................................................................... 7 Gold Fields Canadian Mining Ltd. (1985-88) ........................................................................ 7 Noramco Exploration Inc. (1986-88) ...................................................................................... 7

KCR Occurrence ......................................................................................................................... 8 SLAM Drill Programs............................................................................................................. 8

Geotech 2011 Magnetic Survey ................................................................................................ 10 References ................................................................................................................................. 11 DATE and SIGNATURE PAGE .............................................................................................. 13 Appendix 1: Report on 3-Axisa Helicopter-Borne Magnetic Gradiometer Geophysical Survey;

Project 11162, Geotech Ltd., July, 2011 ................................................................................... 14 Appendix 2: List of Expenses ................................................................................................... 50

List of Figures:

Figure 1: Location of the Keezhik Creek project, Miminiska area, NW Ontario. .......................... 4

Figure 2: Location of the Keezhik Creek Project (KCR) within the Miminiska property claim

group. .............................................................................................................................................. 5

Figure 3: Flight lines, claim outlines and vertical gradient image for Geotech 2011 magnetic

survey, Miminiska project (from Geotech Ltd, 2011). ................................................................. 11

List of Tables:

Table 1: List of claims in the Miminiska Property Option ............................................................. 5 Table 2: Summary of SLAM 2008 and 2010 drill hole locations ................................................... 8

Table 3: Gold values obtained from the SLAM drillholes. ............................................................ 9

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EXECUTIVE SUMMARY

This report presents the results of a helicopter borne high resolution magnetic gradiometer survey

conducted over 15 claims on the northern part of the Miminiska Lake Property of Namex Explorations

Ltd. and The Miminiska Property is under option from Slam Exploration Ltd. Namex Explorations Inc.

has the right to earn up to a 70% interest in the property.

The 3 axis Airborne Magnetic Gradiometer provides very high resolution gradiometer data. This high

resolution data will aid in geological interpretations in areas of extensive cover and in the selection of

drill targets. The Geotech Ltd. Report is attached as Appendix 1.

INTRODUCTION

In May 2011 Namex Explorations Inc („Namex‟) contracted Geotech Airborne Solutions through SLAM

Exploration Ltd. to fly a high resolution 3 axis magnetic gradiometer survey over 315 line km of the

Miminiska Lake gold property located approximately 40 km west of the settlement of Fort Hope in

northwestern Ontario.

This report primarily describes the logistics and results of the 2011 airborne survey. The report by

Geotech is attached as Appendix 1 and the report and data are included on the enclosed CD.

DISCLAIMER

George Gale, project manager for Namex was responsible for the design of the 2011 exploration program.

With the exception of regional scale geological information extracted from public sources, the technical

data contained within this report is the result of work conducted by Geotech Ltd.

PROPERTY LOCATION AND DESCRIPTION

The Keezhik Creek Property is located in northwest portion of the Province of Ontario,

approximately 100 km east of Pickle Lake, and approximately 40 km west of the settlement of

Fort Hope, Ontario (Fig. 1). Access is via air from Pickle Lake and Fort Hope.

The Miminiska Property lies within the Traditional Territories of the Eabametoong First Nation

("EFN"). In May 2010, SLAM and EFN signed an agreement allowing SLAM and its optionees

to resume exploration activities on these properties.

The Miminiska Property is owned by SLAM Exploration Ltd. And Namex has an Option to earn

up to 70% of the property. The Property is comprised of twenty-eight (28) unpatented mining

claims, registered to SLAM Exploration Ltd., totaling 4,144 hectares in the Thunder Bay Mining

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District, Ontario in NTS area 52P10NE (Fig.2 and Table 1). The Miminiska Project claims are

not surveyed and are shown on the claim map (Fig. 2). Claims covered by the magnetic survey

are: 3002915, 4258719, 4258720, 4243671, 4243672, 4243673, 4243674, 4256096, 4356101,

4256102, 4256103, 4256104, 4256105, 4256106, and 4256107.

Figure 1: Location of the Keezhik Creek project, Miminiska area, NW Ontario.

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Figure 2: Location of the Keezhik Creek Project (KCR) within the Miminiska property claim group.

Table 1: List of claims in the Miminiska Property Option

Through an option agreement with Slam Exploration Inc. („SLAM‟) Namex Explorations Inc

(„Namex‟) can earn a 50% interest in the Property by completing $800,000 in exploration

expenditures, granting 2,000,000 common shares and paying $140,000 to the vendors over a

three-year period. Namex may earn an additional 20% interest in the property by paying an

additional $200,000 plus 1,000,000 shares and expending an additional $1,000,000 in

exploration.

The property can be accessed via helicopter, float or ski-equipped plane from Fort Hope or the

Township Claim Recorded Due Date Units Ownership Work

Required MIMINISKA LAKE AREA 3002932 2002-Jun-24 2011-Mar-30* 16 100% $6,400

MIMINISKA LAKE AREA 3002934 2002-Jun-24 2011-Mar-30* 15 100% $6,000

MIMINISKA LAKE AREA 3002935 2002-Jun-24 2011-Mar-30* 16 100% $6,400

SNOWDRIFT LAKE AREA 3002937 2002-Jun-24 2011-Mar-30* 15 100% $6,000

NESTING LAKE AREA 4243671 2009-Apr-01 2011-Apr-01* 6 100% $2,400




NESTING LAKE AREA 3002915 2002-Jun-24 2011-Dec-21 16 100% $6,400

MIMINISKA LAKE AREA 3002931 2002-Jun-24 2011-Dec-21 15 100% $6,000

MIMINISKA LAKE AREA 3002936 2002-Jun-24 2011-Dec-21 8 100% $3,200

NESTING LAKE AREA 4256101 2010-Jul-28 2012-Jul-28 13 100% $5,200











MIMINISKA LAKE AREA 4256091 2010-May-25 2012-May-25 6 100% $2,400

MIMINISKA LAKE AREA 4256092 2010-May-25 2012-May-25 8 100% $3,200

NESTING LAKE AREA 4256093 2010-May-25 2012-May-25 5 100% $2,000




http://www.mci.mndm.gov.on.ca/Claims/Cf_Claims/clm_cssm.cfm?Claim_View__Claim_Number=3002932%20




























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towns of Pickle Lake or Nakina, Ontario. Alternatively, parts of the property can be accessed

from Fort Hope by snow machine in winter and boat in summer. Fort Hope has an all season

airstrip and is serviced daily by commercial flights originating from Thunder Bay, Ontario,

which is located approximately 350 kilometers to the south.

The topography consists of wet bogs or thick muskeg, typical of the Canadian Shield. Topographic relief

is generally low to fairly flat-lying and the area is covered by bog and mature spruce and cedar.

Soils are glacial clay, sand and granitic boulders. Almost the entire property is covered by

muskeg and black spruce forest with few rock outcroppings.

The climate is sub-Arctic with a short field season. Miminiska Lake is rarely free of ice before

the end of May.

GEOLOGICAL SETTING The Property is situated within Precambrian aged rocks of the Uchi Sub-province of the Superior

Province, a subdivision of the Canadian Shield. The Uchi Sub-province is a 600-kilometre long

greenstone belt that extends from Lake Winnipeg in Manitoba to the Hudson Bay Lowlands; it

hosts the Rice Lake, the world-famous Red Lake and the Pickle Lake gold mining camps. In the

Miminiska area the 40 km wide greenstone belt is bounded on the north and south by granitic

stocks.

Uchi Sub-province rocks on the Property are part of an easterly-trending, bi-modal sequence of

meta-volcanic rocks that are intercalated with meta-sedimentary rocks. This belt of rocks is

famous for its gold and base metal mineral potential. Included in this trend is the Red Lake gold

camp which contains the Campbell Mine and the Red Lake Mine, both owned by Goldcorp Inc.

Also, included in the greenstone belt is the historic Pickle Lake gold camp that contained the

Pickle Crow and Central Patricia mines. The Property is located east and along strike of these

two famous mining camps.

The area underlying the Miminiska claims was mapped in detail by Prest 1933. The oldest rocks

appear to be mafic volcanic rocks with minor intercalated felsic volcanic rocks. These are

overlain by a thick sequence of volcanic derived sedimentary rocks and minor oxide iron

formation. These are in turn overlain by a thick sequence of epiclastic sedimentary rocks with

thick units of oxide iron formation.

The area covered by the 2011 magnetometer survey is underlain mainly by volcanic derived

sedimentary rocks with intercalated oxide facies iron formation. These rocks have an overall

westerly strike, however, an earlier electromagnetic survey indicates the presence of a large open

fold in the area 2 km southeast of the KCR occurrence. This structure is now confirmed by the

recent high resolution magnetic survey.

As evidenced by the presence of a number of gold occurrences and past producing and current

producing mines situated in the Uchi Sub-province, the greenstone belt that crosses through the

Property shows a high potential for the development of new gold discoveries and the expansion

of known occurrences.

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Previous Exploration

Szetu, S.S. and Baynes, A.S. (1982-84)

Geochemical surveys and geophysical surveys (magnetic and VLF-EM) were completed on a

gold showing located on Slam Exploration‟s claim # 3002915 on Keezhik Creek. The property is

also known as the Keezhik Creek project. More trenching was done in 1982 near some previous

trenching. The geochemical survey located an anomalous zone north of the trenches and a

possible weak trend southwest of the gold-bearing trench. The magnetic survey indicated the grid

area to be relatively magnetically flat. The gold showing occurs in a non-magnetic quartz

material.

Anaconda Canada Exploration Ltd. (1984-85)

Anaconda optioned the Keezhik Creek property from Szetu and Baynes in 1984. The property

was geologically mapped and rock samples collected for analysis for gold and arsenic. Magnetic

and VLF-EM surveys were completed over 25 kilometres of chain and compass grid lines.

Trench samples indicated a value of 18.1 grams per tonne gold over a width of 3.8 metres in a

shear zone. The sampling method was not described. Anaconda drilled 6 holes in 1985 to test

the Trench Zone. Hole 1 under the trenches and returned a value of 15.3 g/t over 0.2 metres and

hole 2, a deeper cut, returned 18.19 g/t over 0.3 metres, both were shallow holes. Assay

technique was not mentioned. No results for the other 4 holes were given. The airborne surveys

are available to view at the assessment office in Thunder Bay, Ontario, File 2.8399.

Gold Fields Canadian Mining Ltd. (1985-88)

Gold Fields had a combined helicopter-borne magnetic and VLF-EM survey flown in the

Miminiska Lake area in 1985. This area overlaps the Slam claims north of Miminiska Lake. The

airborne maps are available at the assessment office in Thunder Bay as File 2.8754; NTS

52P10/NE. Follow-up field work included a geological survey and magnetic and VLF-EM

surveys on a grid with line spacing at 400 feet. Drilling was proposed based on the exploration

results and in 1987-88, a number of holes were completed and logs without assays were

submitted for assessment credits. The logs did indicate that the more interesting zones consisted

of 3-5 % pyrite and pyrrhotite in greywacke and silicified and sericitic zones with minor pyrite

and pyrrhotite. The assays were not available.

Noramco Exploration Inc. (1986-88)

From 1986 to 1988 Noramco Explorations Inc. on behalf of Severide Resources Inc. and Pure

Gold Resources Inc. carried out a major exploration program including: line cutting, humus

sampling, geological mapping and prospecting, VLF-EM, magnetometer, horizontal loop EM,

Induced Polarization (IP) / Resistivity, and drilled 75 diamond drill holes in the general area.

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KCR Occurrence

The KCR (Szetsu-Bayne) gold occurrence is located on Keezhik Creek (Fig. xx). This

occurrence is believed to have been discovered and worked in the 1930‟s. Signs of the historic

work include a trench 1.5 to 2.4m wide, 1.2 to 2m deep and 15m long. In 1974 comprehensive

sampling yielded 13.9 g/t over 3.3m (0.479 ounces/ton gold over 11 feet, cut). New Jersey Zinc

re-evaluated the occurrence in 1980 and reported 10.84 g/t Au over 4.1m (0.374 ounces/ton over

13.5 feet, cut). Gold mineralization is hosted in an intensely silicified shear zone cutting

greywacke. The sulphide minerals observed are reported to be pyrite, pyrrhotite, and possibly

arsenopyrite.

Nine drill holes were drilled in the vicinity of the KCR trench. The drill logs are reported in

assessment files 52P10NE0021 and 52P10NE0025. Assay data reported by Anaconda for 2 holes

drilled under the trench returned a value of 15.3 g/t over 0.2 metres for hole 1 and a value of

18.19 g/t over 0.3 metres for hole 2; both holes were <45m deep. No assay data were reported for

the other holes.

The drill data suggests that the KCR trench occurrence has limited strike extent in the NE-SW

direction and probably pinches out at depth.

SLAM Drill Programs

In 2008, SLAM tested the KCR zone (YMIR) with DDH MK0819 and in 2010 Slam tested the

zone with DDH MM10-01 and MM10-02.

Table 2: Summary of SLAM 2008 and 2010 drill hole locations

NTS:052P10SW-NE

Miminiska

Claim Numbers: TB3002915 & 3002931 UTM NAD 83 Zone 16

Hole ID Easting Northing Elev. Started Completed Depth m Dip Az

MK08-19 390907 5722665 293 Apr 6, 08 Apr 6, 08 67.10 -45 90

MM10-01 390925 5722650 289 May 30, 10 1-Jun-10 256.03 -45 345

MM10-02 390925 5722650 289 Jun 1, 10 2-Jun-10 61 -60 345

The results of the assays for the 3 holes are tabulated below. True width of the intervals and

orientation of the mineralization are not known.

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DDH MK0819 was designed to test below gold mineralization reported from historical trenches

at the Keezhik Creek Zone (KCR). The hole intersected mafic volcanics with a 2 metre wide

silicified zone grading up to 8.28 g/t gold over 0.5 m. and averaged 5.97 g/tonne gold over 2.0

metres. DDH MM10-01, collared immediately south of the historical trench, was designed to cut

the mineralization in the trench and to test a humus anomaly identified in 1987 by Noramco,

whereas DDH MM10-02 was drilled from the same setup to test the mineralization in the trench

zone at depth.

Table 3: Gold values obtained from the SLAM drillholes.

DDH No. From

(m)

Width (m) Au (g/t)

MK08-19 22.44 2.00 5.97

MM10-01 17.4 3.80 9.79

MM10-01*

147.0 7.20 9.47

Including 1.0 64.1

MM10-02 47.5 3.00 1.75

Including 1.5 19.7 *Humus Zone

All three holes intersected the mineralization identified in the historical trench and DDH MM10-

01 identified a previously unknown gold zone („Humus Zone‟) adjacent to the gold anomaly that

was identified by the humus survey.

New Jersey Zinc reported line cutting and ground geophysical surveys in an area approximately

2 km south east of the KCR zone where a folded conductive zone coincides with a strong

magnetic response. The geology of the area is comprised of a tightly folded bi-modal sequence

of mafic tuffs and flows intercalated with felsic volcanic tuffs and a narrow chloritized exhalite

bed that may be a lean siliceous iron formation. This sequence is overlain (?) by a clastic

sequence of meta-arenites and wackes. Three shallow holes were drilled in the vicinity of the

fold hinge.

Hole 80-MW-13, drilled east of the EM conductor, intersected local pods of up to 3% pyrrhotite

and pyrite with trace chalcopyrite and arsenopyrite within arenaceous and wacke sediments. The

hole also intersected weakly pyritic feldspar-quartz „porphyry‟. The only gold interval was

reported to be 1.36 g/t over 0.4m (0.047 oz/ton over 1.3 feet) in a zone of 70% quartz carbonate

veins with 2 to 3% pyrite and pyrrhotite and trace amounts of chalcopyrite and arsenopyrite.

Holes 80-MW-14 and -15 intersected mainly chloritic mafic and felsic volcanic rocks with minor

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pyrrhotite and pyrite. In DDH 80-MW-15 there are a number of sections with >10 % pyrrhotite +

pyrite in chloritic and silicified rocks; it is not clear if these represent hydrothermal alteration

zones. The drill logger indicates that a 0.5m section with approximately 50% pyrite near the end

of this hole may be an exhalative unit. This confirms that the EM conductor exists at or close to

the contact between the mafic and felsic volcanic rocks to the west and the sedimentary rocks to

the east of the conductor.

Geotech 2011 Magnetic Survey Figure 3 shows the claims surveyed and the location of the 100m spaced survey lines.

The attached Geotech Ltd Report (Appendix 1) describes the procedures used for data

acquisition, final image presentation and specifications for the digital data set.

Digital copies of maps and data on the enclosed CD are:

1) Total magnetic intensity (TMI) colour image and contours

2) Tilt Derivative of Total Magnetic Intensity (Tilt) colour image

3) Total Horizontal Gradient of Total Magnetic Intensity (TotHGrad) colour image

4) Total Gradient (Analytical Signal) colour image

5) Horizontal in-line measured gradient shaded relief colour image

6) Vertical measured gradient shaded relief colour image

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Figure 3: Flight lines, claim outlines and vertical gradient image for Geotech 2011 magnetic survey,

Miminiska project (from Geotech Ltd, 2011).

References

Clark, D., 2008

Assessment Report on the 2008 Diamond drill Program, Miminiska Property Baroque

Zone and YMIR Zone in the Fort Hope Area, NW Ontario, Thunder Bay Mining District

NTS area 52P / 10 SE (Miminiska Lake) & NE (Nesting Lake)

Geotech Ltd., 2011

Report on 3-Axis Helicopter-Borne Magnetic Gradiometer Geophysical Survey, Miminiska

Project, Fort Hope, Ontario, Project 11162, July, 2011. 14 p., 4 Appendices.

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Prest, V.K.,

Geology of the Keezhik-Miminiska Lakes Area, Ontario Department of Mines, Vol. 48,

Part 6, 1939, 21p.

Taylor, M., 1987

Noramco Exploration Inc., 1987 Exploration Program, Hinzer Option Claims – Keezhik

Lake, Fort Hope Area, Ontario.

Wallace, H., 1981 Geology of the Miminiska Lake Area, Ontario Geological Survey, Report 214

Yavorskaya, N. and Gale, G.H., 2011

Assessment Report on the 2011 Line cutting and Geochemical Program on the KCR Zone,

Miminiska Property, Fort Hope Area, NW Ontario; Thunder Bay Mining District NTS area

52P / 10 NE (Nesting Lake)., p.

This report is respectfully submitted by:

George H. Gale

450 Bonner Ave

Winnipeg, MB R2G 1C3

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DATE and SIGNATURE PAGE

This report titled “ASSESSMENT REPORT on the HELICOPTER BORNE MAGNETIC

GRADIOMETER GEOPHYSICAL SURVEY KEEZHIK CREEK PROPERTY FORT HOPE

AREA, NW ONTARIO Thunder Bay Mining District NTS Area: 52P / 10NE Easting: 396454

Northing: 5734297 Zone 16, NAD 83.”, and dated September 28, 2011 was prepared and signed

by the author:

Dated at Winnipeg, Manitoba

September 28, 2011:

``George H. Gale``

George H. Gale, PhD, PEng

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Appendix 1: Report on 3-Axisa Helicopter-Borne Magnetic Gradiometer Geophysical Survey; Project 11162, Geotech Ltd., July, 2011

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Appendix 2: List of Expenses

Geotech Ltd …………………..

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Airborne geophysical survey report on Keezhik Creek property...to resume exploration activities on...

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