FROM FIRST GEORGE REPORT from the first george report me thinks that he maybe did not use any of the data from dykes and possibly not giroux either they may be reassaying these cores or maybe just sampling them and using the old assays
it is easier to read if you go to pages 21-22 of report on sedar and if these are some of the holes they are not counting it will give good idea of what to expect
6.4 HISTORICAL MINERAL RESOURCES AND MINERAL RESERVES
There have been two historical mineral resource estimates in the Cow Mountain area (Dykes 1997 and Giroux 2000).
Both were based on open pit models and both are within the volume of the pit model for the current Report. Since the two historic mineral resources were completed, the Company, during internal QAQC work on the drill hole data and we have found that some of the drill hole collar locations and bearings were incorrect. These changes would not totally invalidate the two historic resource estimates but would cause changes in the overall result.
Dykes’ report would not be incompliant its format, content and resource categories. In the Author’s opinion the term “measured resource” in Dykes’ report is inappropriate given that there are some uncertainties as to the exact location of intercepts as no down hole surveys were completed, however, the methodology used wouldbe considered consistent with current industry standards and the author would be considered qualified persons as defined in NI43-101.
Giroux’s report would be considered NI43-101 compliant, other than the fact that no site visit was made by the Author.6.4.1 Dykes (September 1997) Resource Estimate
The resource estimate was based upon 463 surface and underground drill holes drilled over a period of several yearswith the majority from drilling by International Wayside Mines Ltd. (a predecessor company of the Company.
Using commercially available computer software, all significant intersections (individual or groups of assays averaging greater than 1 gram per tonne (0.029 ounces per ton)) from the drill holes were entered into a computer database and 10 foot high, length-weighted bench composites were calculated. Unassayed intervals within composites were assumed to have zero grade.
Composites were plotted in plan-view for each bench and polygonal shaped blocks were drawn around each composite.
Three polygonal areas of influence were used, 50, 75, and 100 feet to determine measured, indicated and inferred resources. The initial calculations were uncapped and subsequently a capped versions (arbitrarily selected capping of all composites greater than 0.5 ounces per ton being capped to 0.5 ounces). A density of 11 cubic feet per ton was used to calculate tonnage (11 cubic feet per ton is equivalent to a specific gravity of 2.9).
The results of the resource estimate are summarized below Dykes (1997) Cow Mountain Open Pit Resource Estimate to Depth of 400 Feet
Tons Grade Grade Contained Au oz. Contained Au oz.
Tons Uncapped Capped Uncapped Capped to 0.05oz
Cut-Off 0.01
Measured Resource
2,531,000 0.063 0.061 160,410 153,530
Indicated Resources
1,831,000 0.066 0.063 120,180 114,820
Measured + Indicated 4,362,000
0.064 0.062 280,590 268,350
Inferred Resources
1,723,000 0.067 0.063 114,600 108,240
Cut-Off 0.03
Measured Resource
1,389,000 0.101 0.096 140,590 133,750
Indicated Resources
1,036,000 0.103 0.098 106,460 101,130
Measured + Indicated 2,425,000
0.102 0.097 247,050 234,880
Inferred Resources
1,002,663 0.102 0.096 102,171 95,836
6.4.2 Giroux (July 2000, amended December 2000 and June 2006) Resource Estimate
The resource estimate was based upon 374 surface and underground drill holes drilled over the period from 1980 to 1998, including 143 surface holes (8 diamond drill holes and 135 percussion) by Wharf Resources (1980-81) and 231 surface and underground holes by the Company (71 surface diamond drill holes, 17 underground diamond drill holes and 143 underground percussions holes, all underground holes from the were drilled from the 4325 elevation level of the Cariboo Gold Quartz mine. Giroux noted that no down hole surveys were completed for any of the holes.
Giroux utilized a block model with block dimensions of 25x25x15 feet (15 being the vertical dimension). Horizontal ovoid search ellipses (elongate in a northwesterly direction along the trend of the zone) with dimensions of 62.5x20x22.5 (measured resource), 187.5x60x37.5 (indicated resource) and 250x80x37.5 feet (inferred resource) were used in interpolation of the block model. Minimum intercepts per ellipse were 4 and maximum 8. Because of the lack of down hole surveys and the lack of duplicate analyses to quantify sampling variability Giroux combined the measured and indicated ellipse estimation results as indicated resources. The remainder of the blocks were categorized as inferred resources.
Based on specific gravity tests on 5 samples, Giroux used a specific gravity of 2.74 (11.8 cubic feet per ton). Giroux noted that no samples were taken of pyrite bearing material that usually accompanies higher gold grades and concluded that the specific gravity and tonnage of higher grade material was likely to be underestimated.
Based on a thorough review of the statistics of the assay database, Giroux concluded that a general capping threshold was not appropriate and instead treated subzones separately. Each subzone had strong skewed distribution with a long tail of higher grades. In each case, Giroux concluded that the high grade population represented real mineralization and not erratic outliers. Giroux utilized a capping level of 1 standard deviation of the mean of the upper, high grade portion of each subzone population.
Giroux provided only capped estimates of grade and tonnage which are presented in the following table.
Giroux (2000 Table 9) Cow Mountain Open Pit Resource Estimate to Depth of 400 Feet
Tons Grade Grade Contained Au oz. Contained Au oz.
Tons Uncapped Capped Uncapped Capped to 0.05oz
Cut-Off 0.01
Indicated Resources
10,424,000 NA 0.046 NA 479,500
Inferred Resources
3,424,000 NA 0.033 NA 112,990
Cut-Off 0.03
Indicated Resources
4,850,000 NA 0.080 NA 388,000
Inferred Resources
1,071,000 NA 0.071 NA 76,040