Building Value Through Discovery
Colorado Resources Ltd.

Heart Peaks Property

PROPERTY SUMMARY

Property: 37 claims totaling 14,396 ha

Location: Approximately 45 km northeast of the past producing Golden Bear Mine and 120 km west of the village of Dease Lake in northwestern British Columbia.

The property is accessible via helicopter from Atlin or Dease Lake

Owned: 100% by Colorado Resources Ltd ("Colorado")

Target: High grade low sulphidation gold-silver mineralization with potential also for bulk tonnage gold mineralization

Rock Type:  Neogene (less than 23.6 Ma) and younger felsic and supboridnate volcanics and volcaniclastics

 

PREVIOUS WORK

The first recorded work on the property was in 1980. In 1984 Kerr Addison Mines drilled 8 holes on the property, one of which intersected 110 metres of 0.48 g/t gold at an area called the Top Zone. A  further two holes were drilled on  peripheral  conceptual  targets  in  1995,  but  no  other  drilling  has  been   completed   on   this   very  large alteration system.  

 

WORK BY COLORADO

In 2011 Colorado Resources completed programs of airborne geophysics, satellite image analysis and prospecting on property.   This   work   confirmed  the presence of high grade gold  and  silver  mineralization  at  the  Top  Zone  with  sampling  returning  values  up  to  31.6  g/t  gold  and  4,282  g/t  silver.  The  2011  program  also  discovered  a  new  area  of  high  grade  mineralization  on  the  property  called  the  Midas Zone. Three of only five samples collected from the Midas zone in 2011 returned values of 4.7 g/t, 8.5 g/t and 10.4 g/t gold, with 23 g/t, 60 g/t and 32 g/t silver, respectively.  

In 2012 Colorado completed programs of rock and soil sampling, geophysical surveying and detailed mapping on the property. This work identified the main lithologic and structural controls to mineralization on the property and discovered further high grade mineralization, including visible gold, at the Midas Zone. Assay results from 55 rock samples collected over a 100 by 200 metre area at the Midas Zone ranged from 0.035 g/t to 126 g/t gold and 0.6 g/t to 338 g/ t silver. The average value for these samples was 3.6 g/t gold and 22.4 g/t silver.

 

2015 & 2016 EXPLORATION PROGRAM

Exploration in 2015 was funded by Centerra and managed by Colorado. The program included rock and soil sampling, geophysical surveying, geological mapping and drone supported detailed areal photographic surveying.

Significant gold values in surface grab samples were reported from the Midas, Top, Mogul and End Zones (see table below). The presence of visible gold was also noted in some of the higher grade samples form the Midas Zone. 

The 2015 program confirmed that gold mineralization is focused along two lithologically and structurally defined corridors: the west-northwest trending 2 km long Top Zone to Midas Zone corridor and the north trending 4 km long corridor bounded by the Mogul East and Mogul West fault systems  from the Bottom Zone north to the Mogal Zone.

In 2016, optionee Centerra Gold  drilled 10 holes (1,648.66 m)  where they tested 1 out of 7 targets. Numerous other targets and zones remain untested.

HP 2015 Significant  ( > 3.5 g/t Au) Rock Sample Results

Target

Sample #

Sample Type

Au ( g/t)

Ag ( g/t)

Top Zone

1452555

Grab

12.1

2786.0

Mogul

1452574

Grab

5.2

45.0

Mogul

1452575

Grab

5.0

12.0

Midas

1452570

Grab

151.2

195.0

Midas

1452616

Grab

140.3

246.0

Midas

1452668

Grab

137.2

207.0

Midas

1452567

Grab

45.5

165.0

Midas

1452561

Grab

32.3

85.6

Midas

1452587

Grab

6.8

37.3

Midas

1452684

Grab

4.6

34.6

End

1452580

Grab

3.7

26.7

Cautionary Note

Investors are cautioned that the exploration target at HP is an early-stage exploration prospect, conceptual in nature. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource. 

Qualified Persons

Dr. Jim Oliver, Ph.D, P.Geo Company Chief Geoscientist is the Qualified Person as defined by National Instrument 43-101 who supervised the work program and preparation of the technical data on this website.

QA/QC Statement

The 2015 samples were analyzed by Bureau Veritas Mineral Laboratories of Vancouver, British Columbia. All samples were analyzed by the AQ200 ICP-MS method, which reports base metal and silver results as parts per million (ppm) and gold results as parts per billion (ppb). All samples were also analyzed by the FA430 fire assay method which reports results in ppm and are equivalent to grams per tonne (g/t). Any samples returning greater than 10 ppm gold or 100 ppm silver were analyzed by the FA530 fire assay method with a gravimetric finish which reports results as grams per tonne. In order to investigate the possible effect of course gold on the assay result, a select number of samples were also analyzed by the screened metallic method (FS632).

 
The 2016 samples were analyzed by ALS of Terrace, British Columbia.  All samples were analyzed by the ME-ICP41 ICP-MS method, which reports base metal and silver results as parts per million (ppm) and gold results as parts per billion (ppb). All samples were also analyzed by the Au-AA25 fire assay method which reports results in ppm and are equivalent to grams per tonne (g/t). A In order to investigate the possible effect of course gold on the assay result, a select number of samples were also analyzed by the screened metallic method (FS632).