Perhaps the most important hole drilled by BMK was hole N1, at an undisclosed location in a JV claim with Temex…near NOT ??..It encountered a perodotite , probably very similar to NOT’s, with almost 600 FEET ,of mineralization through it’s entire length, of very finely disseminated Magnetite and Sulfides that carry elevated values of Nickel throughout it’s length…assays are pending… Since these sulfides and Magnetite are very fine and occur throughout the peridotite, it is likely/probable that this mineralization is of Magmatic origin, and may very well represent a magmatic segregation cumulus portion of the magma…It is of importance that they have already determined that this hole already carries Nickel values, possibly ranging from .30 to .50%...

This is good news indeed for a number of reasons, including, since it would ideal for open pit mining. In addition, it is quite possible since this drill hole encountered very fine sulfides up to 600 FEET, that the much thicker and richer Nickel sulfides have settled in at much deeper levels…I have often mentioned that many of the worlds MAJOR Nickel deposits average only about 1% Nickel, and that 1% Nickel is made up of tonnage with a cut off of about .25% to about 2 to 3% Nickel..So this new discovery , may very well fit into said Nickel model in Major Mining Camps.

Target N-1 (MacDonald-Temex) displayed a strong magnetic signature with a weak but coincident airborne EM response. Ground surveys confirmed this geophysical signature and drill hole MN07-46 tested the anomalous zone. It encountered peridotite throughout its 170 meter length. The magnetic response is caused by finely disseminated magnetite while the EM response is believed to be caused by very finely disseminated sulphides that carry elevated nickel values throughout its length. Assays are pending.

The next interesting target N-32 was drilled on BMK MaCnnuget/Hawk, and returned sections of Massive Sulfides, and stringer sulfides in Felsic volcanic rocks from 68.4 M to 84.6 M or about 65 Feet of mineralization some of it Massive., and the strike length of this anomaly is 2.4Kms…

Target N-32 was defined over a strike length of 2.4 kilometers displaying AEM anomalies that are ranked from weak to very strong. The EM responses are interpreted to be caused by massive sulphides. Hole MN07-47 intersected felsic volcanic rocks hosting massive sulphide from 68.4 to 70.5 meters and stringer sulphides from 70.5 to 84.6 meters. Complete assay results are pending.

Very little was described for hole N52, except that it encountered Gabbro throughout it’s entire length, presumably about 600 Feet, although it is being assayed…

Target N-23 was defined over a strike length of 2.0 km with individual EM anomalies ranging from weak to very strong. Gabbro was encountered through the length of Hole MN07-52. Assays are pending.

The drilling near/around last year’s discovery of .36% Nickel , did not explain the EM anomalies outlined in ATEMS, which may mean that the mineralization may be much deeper, however it did hit Gabbro and Granite on 2 EM anomalies, which are being assayed…

Target N-25 was tested with three drill holes. The target is defined over a strike length of 1000 meters with AEM responses varying from weak to strong. Hole MN07-39 that intersected 0.36% Ni over 4.5 meters and 0.26% Ni over 27.0 meters previously tested this anomaly. Holes MN07-51 and 53 (MacDonald-Hawk J.V.) tested a strong ground EM response and intersected a sequence of gabbro and granite. However, the EM anomaly was not explained by either hole and further study is required. Assays are pending. Hole MN07-54 (MacDonald-Hawk J.V.) tested the anomaly a further 100 meters to the NE but again the EM anomaly is not adequately explained. Assays are pending.

Hole MN07-55 (MacDonald-Hawk J.V.) tested target N-26 which exhibits a strong AEM response with a coincident magnetic anomaly. The hole intersected gabbro and minor granite throughout its length. Disseminated magnetite was encountered over significant core widths. Sulphide stringers explain the EM response. Assays are pending.

Holes H-07-01 and 02 , confirmed drilled at Hornby approx 6 Kms S.E. from NOT’s discovery , and “hit” banded to semi massive sulfides with pyrrhotite over 50 Feet in Metasediments…Assays are pending…Hole 02 “hit” 65 Feet mineralization in “tuffs’, which are an eruptive volcanic rock usually close to a volcano… assays are also pending..

Holes H-07-01 and 02 tested EM anomalies on the Hornby Property that is located approximately 6 km to the east from the Noront discovery. Ground EM surveys defined a strong response with a coincident magnetic anomaly. The hole intersected banded to semi-massive to massive sulphides mostly in the form of pyrite and pyrrhotite over approximately 15 meters, hosted by metasediments. Assays are pending.
Hole H-07-02 tested an EM anomaly further to the east of H07-01 which also displayed a moderate magnetic anomaly. The hole intersected tuff and chert throughout its length. Sulphide bands of pyrite and pyrrhotite were reported over a 20 meter interval of tuff. Assays are pending.

Overall, I would say this is a very good start to BMK’s drilling program to be continued in about 4 weeks…BMK did “hit” some massive sulfides and have identified Nickel and are awaiting Assays..
In addition many other areas showed mineralization of Magnetite, Pyrite and Pyrrhotite…The wonderfull thing about McFaulds is one never knows what one will find when drilling an anomaly

With these sulfides…this combination of Magnetite, Pyrite, and Pyrrhotite is also known to occur worldwide in very rich deposits of Gold and PGEs mineralization…eg. Carlin Nevada, Hemlo etc…
So perhaps we will get some surprises from the pending assay results…I also note that in the first 2 cases, BMK did confirm Nickel, however the rest of them they did not mention Nickel…I suppose we’ll just have to wait for the official assay results….I remain very confident of BMK and McFaulds, since as this drilling program showed again, that the mineralization is widespread throughout McFaulds Areas… We will need to wait to see if some/most of them are economic..and my bet is YES…some will be….

IMCO

JD*