TABLE OF CONTENTS

Page

I. Introduction 1

II. Location & Access 1

III. Physiographic Setting 3

IV. Previous Work 3

V. Geology & Mineralization 3

VI. Prospecting 2008-09 4

VII. Conclusions & Recommendations 4

VII. References 5

VIII. Expenditures 7

Figure I Location Map 2

APPENDICES

App. I. Sample Assay Data App. II. Mineral Report Rights

Page 1Introduction

The Alexis Bay property consists of 13 claims and 1 licence #12337M located in South EastLabrador. The property was staked in 2006 for it’s base metal potential. The area has severalcopper showings.

Location and Access

Region: Labrador North East Corner

UTM Zone: 21 Easting: 05 46 028 Northing: 58 26 480

Elevation (m): 0m - 60

NTS Area: 13A/09 Location Uncertainty (m): 1.0

ACCESSIBILITY

This NTS sheet is located in the Port Hope Simpson area of southern Labrador. This area isaccessible by the new highway , as it cut the property. Exploration areas on the map sheet can bereached by overland traverses from Port Hope Simpson highway or the shoreline.

Port Hope Simpson, a small coastal port and logging-fishing community with a dailycommercial air service, can provide accommodation and supplies. Supply ships operate along thecoast of Labrador in the summer and can bring in fuel and equipment from Goose Bay orNewfoundland. A new road to the south coast is used for bringing in supplies for nine months ofthe year.

Physiographic Setting

Much of the area is hilly, ranging from dominant gentle slopes to steep hillsides and cliffs,generally with a west north-west trend which reflects the underlying stratigraphic and structuraltrends. Broad, gently rolling to flat till covered areas, swampy lowlands and glacial fluvial sanddeposits are also common between the uplands. Major rivers such as the Alexis River andShinneys Waters and numerous minor creeks, as well as lakes and bays also largely conform tothe west north-west trend. The region is forested with spruce and balsam, but several areas havebeen burnt over. The forest cover disappears toward the coast (Jolliffe, 1997).

Figure I

(Location Map)

Page 3

Previous Work

Early knowledge of the area is based mainly on descriptions of coastal localities (Lieber, 1860;Packard, 1891; Daly, 1902; Kranck, 1939; Eaton , 1950; Christie, 1951; Douglas, 1953) and1:500000 scale reconnaissance mapping (Eade, 1962) and mineral exploration (Piloski, 1955)and (Bradley, 1966) of the interior. More recently, complete aeromagnetic coverage and lake-sediment geochemical data have become available for the region (Geological Survey of Canada,1974a, 1974b, 1984).Geological mapping at 1:100,000 scale, as a 5-year Canada - Newfoundland joint project aimedat mapping an 80 km coastal fringe of the Grenville Province in southern Labrador, was carriedout from 1984 to 1987 by Charles F. Gower of the Newfoundland and Labrador GeologicalSurvey (Gower et al., 1988).Scharer et al. (1986), Scharer and Gower (1988), Gower et al. (1992), Scott et al. (1993), andKamo et al. (1995), used U -Pb geochronology to directly determine the age of deformationwithin the zones developed throughout the region.The initial discovery was made by C. M. McKenzie in 1954 (McKenzie, 1954; Piloski, 1955) anddescribed as occurring in an Anorthosite-pyroxenite mass. Bradley (1966) failed to satisfactorilyconfirm the existence of the mineral occurrence. Gower, in 1984, visited the showing and noted evidence of prospecting.Greenshields Resources Inc. started exploring the area in 1996. The exploration programconsisted of detailed mapping, prospecting, and lithogeochemical sampling (Press Release, May29, 1996; Green shield Resources).

Geology and Mineralization

Geological Province: Grenville

Tectonic Zone:

Geological Age: Paleoproterozoic

Rock Type(s): Anorthosite-pyroxenite.

The NTS 13A/9 map sheet is located within the Grenville Province, south eastern Labrador, andstraddles three major lithostructural terranes: Hawke River, Lake Melville, Mealy Mountains(Gower et al., 1987).The Hawke River terrane was first defined by Gower (1987) andgeographically outlined by Gower et al. (1988). The terrane is bounded by thrusts and strike-slipfaults on its west and southwest sides, respectively, and the northern boundary is probably alsostructural. U-Pb isotopic studies by Scharer et al. (1986), Scharer and Gower (1988) and Goweret al. (1992), and Sm-Nd isotopic studies by Scharer (1991) have indicated that the region isunderlain by juvenile Labradorian (1710-1620 Ma) crust. A key feature of the terrane is that itlargely escaped Grenvillian high-grade metamorphism and deformation (Gower, 1996 fromBrewer, 1996).

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Prospecting 2008-09

Prospecting on the Port Hope Simpson property was conducted in 2008/2009. Prospectingtraverses were done over the northern part of the property and mineralized outcrops or float weresampled wherever possible. Samples showed elevated nickle copper , nickel, and cobalt. The area was mostly mineralizedwith pyrite but it is the author’s opinion that the area has great potential for nickle, copper andgold mineralization. It looks like the sulfides have been re-mobilized along the fault. Sample #63172 from last year ran very high number in Cu ,Co and Ni. A total of 6 man days were used toprospect the area..

Sample # 63172 Bedrock Volcanic breccia 05 45 557 E 58 25 215 N

Conclusions and Recommendations

A tight grid of soils should be ran along the strike of the Hope formation and analyzed for goldand base metals. The brooks and lake should have more detail sampling in the area.

The volanic setting could host a Cu ,Ni deposit..

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MAIN REFERENCES

Douglas, C and Hsu, E Y C 1976: Mineral occurrences map of Labrador. Unpublished Map 76-1 MineralDevelopment Division, Department of Mines and Energy, Government ofNewfoundland and Labrador Open File LAB/0326

Emslie, R F 1976: Mealy Mountains Complex, Grenville Province, Southern Labrador. InReport of Activities Part A. Geological Survey of Canada, Paper, No. 76-01A,pages 165-170. [GSB# NFLD/2007]

Gower, C F 1983: Geology of the Double Mer White Hills and surrounding region, GrenvilleProvince, eastern Labrador. In Preliminary current research reports. MineralDevelopment Division, Department of Mines and Energy, Government ofNewfoundland and Labrador Preliminary Progress Reports, pages 14-16. [GSB#NFLD/2241]

Gower, C F, Noel, N, and van Nostrand, T 1985: Geology of the Paradise River region, Grenville Province, easternLabrador. In Current Research. Mineral Development Division, Department ofMines and Energy, Government of Newfoundland and Labrador Report 85-01, pages19-32. [GSB# NFLD/2240]

Gower, C F, Neuland, S, Newman, M, and Smyth, J 1987: Geology of the Port Hope Simpson map region, Grenville Province, easternLabrador. In Current Research. Mineral Development Division, Department ofMines and Energy, Government of Newfoundland and Labrador Report 87-01, pages183-199. [GSB# NFLD/1667]

Gower, C F, van Nostrand, T, and Smyth, J 1988: Geology of the St Lewis River map region, Grenville Province, easternLabrador. In Current Research. Mineral Development Division, Department ofMines, Government of Newfoundland and Labrador Report 88-01, pages 59-73.[GSB# NFLD/1701]

Gower, C F, van Nostrand, T, and Smyth, J 1988: St Lewis River. Mineral Development Division, Department of Mines andEnergy, Government of Newfoundland and Labrador Map 88-087 [GSB# LAB/0827]

Gower, C F and Swinden, H S 1991: Pillow lavas in the Dead Islands area, Grenville Province, southeastLabrador. In Current Research. Geological Survey Branch, Department of Minesand Energy, Government of Newfoundland and Labrador Report 91-01, pages 205-215. [GSB# NFLD/2494]

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Hanmer, S and Scott, D J 1990: Structural observations in the Gilbert River belt, Grenville Province,southeastern Labrador. In Current Research part C, Canadian Shield. GeologicalSurvey of Canada, Paper, No. 90-01C, pages 1-11. [GSB# LAB/1079]

Krogh, T E, Gower, C F, and Owen, V J 1992: A proposal to carry out U-Pb geochronological investigations in thePinware terrane, southeast Labrador. In Eastern Canadian Shield Onshore-Offshore Transect [ECSOOT], report of transect meeting. Compiled by R. J.Wardle and J. Hall, Lithoprobe Report, No. 32, pages 182-188. [GSB# LAB/1096]

Pereira, C P G and van Nostrand, T 1992: Geology of the Alexis River region, Grenville Province, southeasternLabrador. Geological Survey Branch, Department of Mines and Energy, Governmentof Newfoundland and Labrador Report 92-03, 37 pages. [GSB# 013A/0022]

Scharer, U, Krogh, T E, and Gower, C F 1986: Age and evolution of the Grenville Province in eastern Labrador from U-Pb systematics in accessory minerals. Contributions To Mineralogy andPetrology, Vol. 94, pages 438-451. [GSB# LAB/0805]

Scharer, U and Gower, C F 1988: Crustal evolution in eastern Labrador: constraints from precise U-Pbages. Precambrian Research, Vol. 38, pages 405-421. [GSB# LAB/1067]

Scott, D J, Hanmer, S, Gariepy, C, and Machado, N 1990: Kinematic analysis and geochronology of the Gilbert River belt,Grenville Province, southeastern Labrador. In Eastern Canadian Shield Onshore-Offshore Transect [ECSOOT], October 26, 1990, Memorial University, St Johns,Newfoundland. Compiled by R. J. Wardle, Lithoprobe Report, No. 14, pages 21-22. [GSB# LAB/0947]

Scott, D J, Machado, N, Hanmer, S, and Gariepy, C 1993: Dating ductile deformation using U-Pb geochronology: examples from theGilbert River Belt, Grenville Province, Labrador, Canada. Canadian Journal ofEarth Sciences, Vol. 30, pages 1458-1469. [GSB# LAB/1063]

van Nostrand, T, Dunphy, D, and Eddy, D 1992: Geology of the Alexis River map region, Grenville Province, southeasternLabrador. In Current Research. Geological Survey Branch, Department of Minesand Energy, Government of Newfoundland and Labrador Report 92-01, pages 399-412. [GSB# NFLD/2495]

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III. SUMMARY OF WORK 2008-09(Expenditures)

Licence `12337M

TripsTravel by truck

Brian Penney 3 daysAubrey Budgell 3 days

4 man days @ $100/day 400.003 man days @ $300/day 900.00Meals for 6 man days @ $40/day 240.00

Fuel for 1 trips @ $260/trip 260.00

Fuel for 3 trips @ $15/trip 45.00

Accommodations 3 days@ 131.00 393.00

Ferry Boat Rental @ $30/DAY @2 days 60.00

Report Fee 200.00

Assays (Eastern Analytical) 4 @ ICP30 & Au $40.00 160.00

Sub - Total $2658.00

Administration costs15% 398.70Total $3,056.70