WORK HISTORY

     *This occurrence was moved approximately 2.5 km east to capture the approximate center of Strategic Metals’ Target A.

Located, but not staked, by Atlas Explorations Ltd for the Hess Project (Atlas Explorations Ltd, Quebec Cartier Mining Company, and Phillip Brothers (Canada) Ltd) in 1967. The company prospected and sampled numerous showings found during a large regional exploration program carried out in 1968.
 
In 1990 the Geological Survey of Canada (GSC) carried out a regional stream sediment and water geochemical survey on topographic map sheet 105N. In 2009 the GSC and Yukon Geological Survey resampled the archived samples using modern assay methods. Following the release of the new data and the discovery of gold at Goldstrike Resources Plateau properties located to the west, exploration interest in the area was renewed.
 
Staked as Lance cl 1-108 (YD109791) in Oct/2010 by Strategic Metals Ltd which assigned the property to its Lansing project. On March 2, 2011 Strategic Metals optioned the claims to New Dimension Resources Ltd in return for shares and certain work commitments.
 
In mid-Jun/2011 New Dimension carried out silt and contour soil sampling across the property. Following the receipt of soil assays the company prospected and rock sampled 4 targets in the southeast corner of the claim block. In Aug/2011 New Dimension staked Lance cl 109-332 (YE66799) on the east, north and west boundaries of the original claim block. 

In 2012 New Dimension grid soil sampled around all known gold targets, dug 3 hand trenches on Target A, and prospected and geologically mapped all known mineralized targets. On January 20, 2015 the company terminated its option and returned the claims to Strategic Metals.
 
In Jul/2015 Strategic Metals flew a helicopter-borne magnetic and radiometric geophysical survey over the entire claim block. In Mar/2017 the company staked Lance cl 333-590 (YF07443) on the west boundary of the property.
 
GEOLOGY

The claims are located approximately 145 km east-southeast of the town of Mayo in east-central Yukon. Access is normally by helicopter from Mayo or float plane to one of the region’s lakes and then helicoptering to the property. 
 
An updated version of the geology of topographic map sheet 105N was released in 2003 by C.F. Roots of the Geological Survey of Canada, (GSC Open File 1616 and YGS Geoscience Map 2003-2) who was working in conjunction with the Yukon Geological Survey (YGS). In 2016 YGS released an updated geological compilation (Open File 2016-1) by Colpron et al., which included the occurrence area. The compilation shows that the property is underlain by a large package of Neoproterozoic to Lower Cambrian Hyland Group rocks. The Hyland Group is conformably overlain by Lower Cambrian Gull Lake Formation rocks in the northeast corner of the property. At the southeast edge of the property, faults juxtapose Hyland Group rocks against Devonian and Mississippian Earn Group rocks.  The Hyland Group is cut by two small granitic stocks in the northern and southwest portions of the property. Colpron et al., assign the intrusive bodies to the Mid-Cretaceous Mayo Suite. 
 
The original occurrence site (UTM 605925 E, 7035120 N) marks the site of Atlas Explorations’ lead showing # 5 (see location map in Assessment Report #019033). The company reported finding quartz-vein pebbles containing minor galena mineralization in a stream. Prospecting of the surrounding area failed to find any in situ mineralization (pg. 23 of assessment report).  No assays were reported for the find.
 
Strategic Metals staked the Lance claims to explore for gold mineralization associated with the reduced intrusion-related gold systems (RIRGS) model. RIRGS gold deposits are the product of local-scale fluids derived from cooling of a proximal granitoids intrusion. The abundance of RIRGS deposits correlates inversely with the surface exposure of the related intrusion because stocks and batholiths with considerable erosion are generally less productive.
 
Prospecting, rock and soil sampling by New Dimension carried out over two exploration seasons outlined 8 separate targets (A to H) in the southeast corner of the property. Four targets (A, B, C, and H) are comprise of gold mineralized showings with accompanying gold, arsenic, antimony, bismuth and/or tungsten soil anomalies. Three targets (E, F and G) are comprised of individual gold +/- arsenic, +/-antimony soil anomalies. Target D is a mineralized tungsten showing which possesses an elevated gold in soil anomaly with accompanying elevated arsenic, antimony and tungsten support.
 
Target A (occurrence location) hosts a 25 by 10 m rusty kill zone which overlies 3 linear gullies that cut perpendicular across a flat-topped alpine ridge. The zone hosts quartz veins hosted in altered phyllite and grit wall rock. At least one aplite sill was observed in the area. Abundant quartz vein fragments occur within the gullies and on the low ridges between them. In 2011 a grab sample of scordite-stained quartz vein containing limonite and minor fine grained, fracture hosted arsenopyrite returned an assay of 0.907 g/t gold and 9 970 ppm arsenic. A follow-up sample collected in 2012 from one of the gullies and consisting of a sample of grey weathered siliceous grit hosting yellow clay-filled vugs returned 0.200 g/t gold and 2 600 ppm arsenic.
 
New Dimension cut three hand trenches totaling 71 m in length obliquely across the three gullies in 2012. The best assays were obtained from trench TR-12-1 where adjacent chip samples comprised of mainly strongly altered grit containing millimeter sized quartz clasts in a rusty matrix of fine grained sand (?) averaged 0.795 g/t gold and 6 640 ppm arsenic over 3.1 m. Soil sampling carried out over the kill zone on Target A returned two samples which assayed 2.5 and 8.32 g/t gold and strongly anomalous values for arsenic, bismuth and antimony. Follow-up prospecting and hand trenching could not determine the source of the anomalies.

Target B (UTM 605785 E, 7034890 N) is located approximately 300 m southwest of Target A and represents 10 cm thick arsenopyrite-rich quartz vein that is exposed on a steep southeast-facing slope. The vein is only exposed for 2 m. It trends into heavily vegetated terrain to the southeast and beneath talus cover to the northwest. A 2011 sample of arsenopyrite rich vein material assayed 1.46 g/t gold, 25.2 % arsenic, 107.5 ppm bismuth and 386 ppm antimony. A second composite sample of representative, weakly mineralized quartz vein returned only strongly elevated arsenic (1 420 ppm). A 2 cm thick, scordite-stained quartz vein fragment found 75 m north of the vein in 2012 assayed 0.699 g/t gold, 9.51 % arsenic, 75.9 ppm antimony and 130.5 ppm bismuth. An attempt to expose more of the vein in 2012 was unsuccessful. Two soil samples collected south of the vein returned assays of 0.261 and 0.154 g/t gold and strongly to very strongly anomalous arsenic, bismuth and antimony values.
 
Target C (UTM 606225 E, 7034755 N) is located approximately 550 m south-southeast of Target A and represents a 20 cm wide strongly scordite-stained quartz vein containing moderate amount of fine grained arsenopyrite. The vein is hosted within a fine to medium grained grit unit which is also locally and weakly scordite stained. The vein is exposed within a large gully that also hosts moderate to strong stockwork quartz veining. The length of the vein was not reported. A continuous chip sample collected along the main vein returned 1.04 g/t gold, 2.81 % arsenic and 20.9 ppm antimony. A continuous chip sample of country rock collected in the footwall returned 0.044 g/t gold and 563 ppm arsenic while sample collected in the hanging wall returned 0.076 g/t gold and 1 655 ppm arsenic. Two soil samples collected downhill of the main vein returned strongly anomalous gold and elevated arsenic values.
 
Target H (UTM 605515 E, 7034680 N) is located approximately 800 m southwest of Target A and represents a 30 by 30 m area located over a talus slope. The talus is comprised of a mixture of highly altered quartz vein material displaying moderate scordite staining, phyllite and grit rock debris. The vein material appears to originate above a rusty spur leaching green soil.  A composite rock sample comprised of 13 vein float chips collected within the 30 by 30 m area returned 0.594 g/t gold, 13.8 % arsenic, 102.5 ppm antimony and 95.3 ppm bismuth. A soil sample collected 25 m uphill from the composite sample returned weakly anomalous gold and elevated arsenic and antimony values. 

Target D (UTM 605575 E, 7035850 N) is located approximately 750 m northwest of Target A and represents a strongly elevated gold (1.4 g/t) in soil anomaly with elevated arsenic and antimony values discovered in 2011. In addition Target D returned elevated tungsten (60.5 ppm) values unlike any of the other targets. A soil pit dug in 2012 on the site of the anomalous gold values exposed a piece of highly calcareous skarn material containing green bands hosting coarse to fine grained magnetite crystals and chlorite stringers. A sample of the skarn material returned elevated tungsten (410 ppm) but only background levels for gold, arsenic, antimony and bismuth. Limonite soil and rock fragments collected from the same pit returned high values for gold and pathfinder elements except tungsten. The skarn likely accounts for the high tungsten values but the source of the high gold and pathfinder elements has not been confirmed. Additional prospecting was hampered by thick vegetation overlying the area.
 
Targets E, F and G represent soil anomalies that do not possess any apparent bedrock source. Target F (UTM 605365 E, 7035165 N) is located 750 m southwest of Target A. The target represents a northeast trending line of four soil samples crossing a moderate northeast facing slope that returned strongly elevated gold values and coincident moderate to strong arsenic and antimony values. Target E (UTM 604210 E, 7034755 N) is located approximately 2 000 m south-southwest of Target A. The target represents a single soil sample that returned 0.865 g/t gold but no other anomalous values. The surrounding area is heavily vegetated and contains very little outcrop. Target G (UTM 606060 E, 7034665 N) is located approximately 600 m south of Target A. It represents a single soil sample that returned 0.300 g/t gold and highly elevated arsenic and moderate lead values. The soil sample overlies a variably coarse grained grit unit containing lesser phyllite interbeds.
 
Strategic Metals has not publicly released any results from the 2015 helicopter-borne magnetic and radiometric geophysical survey. The Mar/2017 claim staking nearly doubled the size of the Lance claim block and extended the property westwards to boundary of Goldstrike Resources Ltd.’s Plateau property (Minfile Occurrences #105N 027, 034, 035, 036).