Bouleau Creek Gold (MINFILE 082LSW069) is a road-accessible property that covers 2,347 acres located 26 kilometres west of Vernon, BC. The property features gold and silver mineralization over an area of approximately 1,000 by 600 metres, and is adjacent to the Brett Gold JV project (MINFILE 082LSW110) where 11,970 tonnes grading 39.12 grams per tonne gold have been previously indicated by surface drilling and underground work.

The Southern zone of the property below Bouleau Creek features gold and silver mineralization over an area of approximately 1,000 by 600 metres. Historical assays documented in Assessment Report 21877 are reported to yield up to 34 grams (1.09 ounces) per tonne gold and 286 grams (9.19 ounces) per tonne silver. The Northern Zone above Bouleau Creek includes the Siwash prospect (MINFILE 082LSW046). The Siwash extends over an area of gold and silver mineralization measuring 3,000 by 750 metres. Assays are documented to yield up to 5.55 grams per tonne gold and 16.6 grams per tonne silver (Assessment Report 20226).

The Company has also staked additional claims consisting of 612 acres that cover the Gold Star showing (MINFILE 082LSW130) immediately to the west of the Brett Gold property, and to within 500 meters of the main Brett Gold deposit. While these claims are not contiguous with the rest of the Bouleau Creek property, the Company considers these claims to be part of the project area, and are referred to as the Western Zone, or Brett West. Brett Gold is currently owned and operated by Running Fox Resources Corp.

In October 2011, a comprehensive pilot geochemical program of the Bouleau Creek Gold property was conducted on behalf of the Company by Billiken Gold Ltd. of Enderby, BC, utilizing Heavy Mineral Concentrates ("HMC") methodology. The program was commenced on October 10, 2011, and concluded on November 30, 2011. Over 2300 pounds of sample material was collected, and subsequently processed and cataloged into 36 samples. A photo of a gold nugget from sample NB-60 is shown below, followed by the assay results. This sample came from a highly altered area in the Western Zone that has geological similarities to the Brett occurrence. In addition to the high grade, the gold particles in this sample are pristine, angular in shape, and with sharp edges that suggest they are “low transport gold” and have not traveled very far. This further suggests potential for a lode gold deposit close by.

Gold nugget from the Western Zone found during 2011 geochemical survey.

SAMPLE	Rcvd Wt.	Au
DESCRIPTION	kg	ppm
NB-35	0.12	0.475
NB-36	0.12	0.558
NB-37	0.12	0.177
NB-38	0.10	0.377
NB-39	0.12	0.301
NB-40	0.10	1.82
NB-41	0.10	0.223
NB-42	0.12	<0.005
NB-43	0.12	0.048
NB-44	0.12	0.131
NB-45	0.12	0.032
NB-46	0.10	0.007
NB-47	0.12	0.145
NB-48	0.12	0.123
NB-49	0.12	0.507
NB-50	0.12	0.369
NB-51	0.12	0.322
NB-52	0.10	0.03
NB-53	0.12	0.864
NB-54	0.12	0.256
NB-55	0.12	0.407
NB-56	0.12	0.529
NB-57	0.10	0.826
NB-58	0.12	2.09
NB-60*	0.56	95.6
NB-61	0.10	0.097
NB-62	0.10	0.455
NB-63	0.12	0.212
NB-64	0.50	<0.005
NB-65	0.54	<0.005
NB-66	0.10	0.192
NB-67	0.12	0.035
NB-68	0.12	0.335
NB-69	0.12	0.333
NB-70	0.12	0.346
NB-71	0.12	0.312

*All of the samples were analyzed by conventional fire assay (Au-AA23), with the exception of sample NB-60. Due to the presence of visible gold, a metallic screen assay (Au-SCR21) was performed on sample NB-60, where the final prepared pulp is passed through a 100 micron (Tyler 150 mesh) stainless steel screen to separate the oversize fractions. Any +100 micron material remaining on the screen is retained and analyzed in its entirety by fire assay with gravimetric finish and reported as the Au(+)fraction result, which for sample NB-60 was reported as 95.6 grams (3.07 ounces) per tonne gold. The Au(-)fraction (minus the oversize fractions) assayed 0.24 g/t gold, for a total of 0.77 g/t gold when all fractions were combined and averaged. Excluding the nugget effect from sample NB-60, the average fire assay of all 36 samples came in at 0.37 g/t gold, including two assays of 2.09 g/t and 1.82 g/t gold, respectively.

Historical work

Geological mapping and rock sampling conducted in 1991 by Inco Exploration and detailed in BC Assessment Report 21877 found two types of quartz veins with anomalous gold and silver on the Bouleau Property. These were described as an older vein type, generally with less than 500 ppb gold, and a younger "higher grade" vein type which contains up to 34 grams (1.09 ounces) per tonne gold and 286 grams (9.19 ounces) per tonne silver. The report went on to state that despite the high number of anomalous veins it was concluded that the veins were subeconomic and not worthy of follow-up.

In 2002, a new vein was discovered during a survey by Solomon Resources. A company report documented that “Work conducted during this examination included locating a new vein occurrence and sampling the Zone 7 vein. The veins are generally widely spaced (>20m), narrow (0.1m - 0.5m) and limited in strike length (<10m). However, a notable lack of follow-up trenching and detailed prospecting has been conducted previously in the main showing areas. Specifically in the Zone 7 area where one of the strongest veins is reported, no attempt has been made to expose the on-strike extensions of the vein.”

Results from the 2002 sampling program yielded up to 34.4 grams per tonne gold and 158 grams per tonne silver, including the following assays:

Sample	Descriptions	Au	Ag	Mn	Pb	Zn	Cr	Fe	Ba
		ppm	ppm	ppm	ppm	ppm	ppm	%	ppm
BR01	New vein discovery.	2.32	48	530	9	22	142	0.33	20
BR02	Zone 7: Qtz chalcedony/ankerite(?) vein; true width: 1.3m.	23.7	99.3	1065	46	63	135	0.4	40
BR03	Zone 7: 0.15m zone of intense chalcedony-ankerite veining within 1.3m vein width.	34.4	158	711	88	152	123	0.33	20

The 2002 report concluded that the property “could form the core project of an overall program of regional exploration for intrusive-related Au-Ag occurrences. Tertiary hosted epithermal gold systems also may be present. Current property and surrounding ground represent the first time in more than 15 years that a significant portion of the regional play could be held by a single operator.”

 

Zone 7 vein showing results of sampling across full width, plus section of intense quartz-siderite stockwork (140o/90o).

View to northeast across Boul 5 claim towards felsic volcanic rocks of the Eocene Penticton Group and the Siwash occurrence (beyond the gossans on the far ridge). Bouleau Creek flows from left to right through the valley beyond the clearcut in the foreground.