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013N/0149

SECOND YEAR ASSESSMENT REPORT ON THE UGJOKTOK RIVER (EAST) REE CLAIMS

Licence:

020881M

NTS Mapsheets:

13N/06 and 13N/11

ANDRE THOMAS

116 Lawrence Pond Road East Conception Bay South, NFLD

A1X 4C6 Tel: (709) 744-1137

Prospecting, Geology and Bedrock Sampling Study

Work performed from April 01, 2014–April 30, 2015

Prepared By:

Andre Thomas

April 20, 2015

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SUMMARY

An area of Labrador, east of the Pants Lake Intrusion, and along the southern edge of the

Flowers River Igneous Suite is underlain by peralkaline granite, syenite, and porphyry showing indications of Rare Earth element (REE) enrichment. The area had been originally examined by the author in 1988 while employed by the Newfoundland Government on a regional mapping program. As a result of the 1988 work, a block of ground west of that covered by this report was staked in 2011 as the Ugjoktok River claims. Prospecting during 2012 and 2013 led to the staking of the Ugjoktok River East claims discussed in this report. The block was accessed for ground prospecting by private float plane during the summers of 2012 and 2013. In late September 2013 a short, prospector grant helicopter supported program was carried out in order to collect additional bedrock samples. During August 2014 the area was again accessed by float plane and additional work consisting of prospecting and more detailed mapping, but no sampling, was carried out. Samples collected to date exhibit a strong peralkaline chemical signature, some containing moderate to strong enrichment in several REE elements. Bedrock mapping lends support to compilation and whole rock chemical data suggestive of significant peralkaline mineralization within the area. Anomalous REE enrichment in lake sediments from water bodies in and around the claims, as well as favourable aeromagnetic signatures are additional supporting factors. At present the best mineralization is confined to several late, narrow crosscutting dykelets within the peralkaline granitoid rocks. Continued exploration will be carried out during the 2015 summer, with the aim of discovering the magmatic source of the dykelets.

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TABLE OF CONTENTS Page SUMMARY ....................................................................................................................................... ii I. INTRODUCTION Location and Access ................................................................................................................... 1 Physiography and Glaciation ...................................................................................................... 1 Previous Exploration Work ........................................................................................................ 1 Property Summary License Status ............................................................................................ 1 II. GEOLOGY AND GEOPHYSICS Regional Geology ....................................................................................................................... 3 Property Geology ....................................................................................................................... 3 Local Airborne Survey ............................................................................................................... 3 III. 2013 PROSPECTING FIELD PROGRAM General Statement ...................................................................................................................... 7 Exploration Methodology and Sampling ................................................................................... 7 Results ........................................................................................................................................ 7 IV. CONCLUSIONS AND RECOMMENDATIONS .................................................................. 10 V. REFERENCES ......................................................................................................................... 11

LIST OF FIGURES Figure 1: Ugjoktok River East claims location map ........................................................................... 2 Figure 2: Regional Geology around Ugjoktok River REE claims ...................................................... 4 Figure 3: Ugjoktok River East claims detailed geology map ............................................................. 5 Figure 4: Ugjoktok River East claims total field magnetic intensity map .......................................... 6 Figure 5: Ugjoktok River East claims total exposure rate gamma ray map ....................................... 6 Figure 6: Floatplane at Ugjoktok River East field camp on Gibson Lake .......................................... 8 LIST OF TABLES Table 1: Current Claims Standing........................................................................................................ 1 Table 2: Whole rock chemical analyses for Ugjoktok River East claims bedrock samples ................ 9 LIST OF APPENDICES Appendix A: Rock Sample Site Location Map .................................................................................. 12 Appendix B: Eastern Analytical Laboratories Assay Sheets ............................................................. 14 Appendix C: Expenditures Incurred to Date ...................................................................................... 19

I. INTRODUCTION Location and Access

The claim block is located approximately 63km west of the community of Hopedale, and 250km north-northwest of Goose Bay, Labrador (Figure 1). The block straddles the border of north central 13N/6 and south central 13N/11 NTS map sheets. Access is either by helicopter or fixed- wing float equipped aircraft.

Physiography and Glaciation

The Ugjoktok River East claim block is located within an area along the eastern edge of the Labrador plateau, adjacent to its relatively abrupt drop to the coastal lowlands bordering the Labrador Sea. The terrain consists of a rolling, rugged, barren upland with maximum elevations of approximately 450m. Local relief within the area of the block is about 220m, with hilltops reaching elevations of 400 to 450m. Ground within the block is largely devoid of trees, with the exception of river valleys. As a consequence there is excellent bedrock exposure on the hilltops, but poor exposure in the drift covered valleys between. Pleistocene glaciation has resulted in the creation of numerous glacial striae, chattermarks, and roches moutonee about the hills. Valleys are U-shaped, some containing shallow fast-running misfit streams, and filled with deep accumulations of alluvium consisting mainly of gravel and sand. Vegetation consists primarily of alders and stands of black spruce trees.

Previous Exploration Work

The claims lie within a part of Labrador that has seen a number of regional exploration programs being undertaken over the years by various companies for various mineral commodities. The area specifically covered by the claim block has undergone little direct exploration, except for limited geological mapping and bedrock geochemical sampling by Thomas and Morrison (1991), as well as cursory bedrock sampling by Mega Uranium (Smits, 2009). As part of their exploration program Mega Uranium also flew a combined airborne magnetometer/electromagnetic/gamma ray spectrometer survey. The total field magnetics and radiometrics results are presented in section 2 below.

Property Summary License Status

The current property consists of one license, having 30 claims covering 7.5 square kilometres. All claims are currently held in good standing and are summarized in Table 1.

License No. No. of Claims Work Due Date

020881M 30 30/04/2015 Table 1: Current Claims Standing

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Figure 1. Ugjoktok River East claims location map

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II. GEOLOGY AND GEOPHYSICS Regional Geology

The ground underlying the claim block is part of the central Ugjoktok River area, which straddles the boundary between the Nain and Churchill structural provinces. Bedrock outcrops within the region expose a crystalline terrain consisting of approximately sixty percent igneous rocks, and forty percent amphibolite- to granulite-facies gneissic rocks (Figure 2). Middle Proterozoic igneous rocks belonging mainly to the Nain and Harp Lake Plutonic Suites, as well as the Flowers River Igneous Suite, are essentially undeformed and occur as large roughly circular massifs. Lower Proterozoic and Archean gneisses and granitic rocks belonging to the Churchill and Nain provinces, are polydeformed and polymetamorphosed. They have predominantly northerly structural trends which vary somewhat locally from northwest to northeast.

Property Geology Rocks exposed within the claim block consist primarily of massive undeformed peralkaline granite and peralkaline syenite belonging to the Flowers River Igneous Suite, along with lesser gabbro/anorthosite of the Nain and/or Harp Lake plutonic suites (see Figure 3). These units are cut by late stage or post crystallization, fine grained, REE mineralized peralkaline dykelets as well as pegmatite dykes of unknown affinity. Local Airborne Survey An airborne magnetometer/EM/Gamma Ray Spectrometer survey was flown by Aeroquest International Ltd. for Mega Uranium in 2008. It covers an area over and around the present Ugjoktok River East claim block (see Smits, 2009). There were no significant anomalies generated by the EM part of the survey. The total field magnetic intensity map (Figure 4) shows the claim block situated along the edge of part of what appears to be a caldera complex. The blue, purple, and red shaded areas south of the arcuate caldera margin denote Archean tonalitic Maggo gneiss. Magnetic linears reflect the predominantly northeasterly gneissic foliation and structural trends found within the unit in this area. Purple, red, and green shaded areas north of the margin are underlain by peralkaline and gabbro-anorthositic crystalline rocks belonging to the Flowers River Igneous Suite, and Nain or Harp Lake plutonic Suites. Arcuate magnetic signatures suggest the formation of multiple, periodically repeated, calderas. REE mineralized dykelets have been found along some of these arcuate signatures. The total exposure rate gamma ray map (Figure 5), exhibits several circular and arcuate radiometric anomalies that exhibit partial correlation with some of the magnetic signatures. The radiometric anomalies are thought however to be due mostly to flight altitude and terrain/flight line angle effects, along with the seasonal timing of the survey. The terrain is deeply incised with east-west oriented ridges bordered by steep cliffs at right angles to the north-south flight lines. The survey was flown during mid-february of 2008 when hilltops would have been bare and valleys deeply snow covered. As a result most radiometric highs occur along ridges and/or cliff faces, and probably do not represent anomalous bedrock concentrations of radioactive minerals.

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Figure 2. Regional Geology around Ugjoktok River REE claims

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Figure 3. Ugjoktok River East claims detailed geology map

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Figure 4. Ugjoktok River East claims total field magnetic intensity map from Smits (2009)

Figure 5. Ugjkoktok River East claims total exposure rate gamma ray map from Smits (2009)

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III. 2014 PROSPECTING FIELD PROGRAM General Statement

While carrying out regional literature research during 2012 on claims further to the west, a bedrock sample collected from the Ugjoktok East ground during previous work was noted to have highly anomalous contents of several REE elements. As a result ground over and around the sample locality was acquired in early 2013, and prospecting was carried out for the purpose of examining the potential for rare earth element mineralization (REE) within the peralkaline rocks present. In addition to the nine and one half days spent prospecting this area during 2013, two days were spent during 2014. Work was done in conjunction with that ongoing on two nearby claim blocks.

Exploration Methodology and Sampling

Exploration within the Ugjoktok East ground has so far consisted of three phases. With staging from the town of Postville, the area was initially visited during Stage 1 by float plane in July 2013. A fly camp was established on unofficially named Gibson Lake (Figure 6), from which a program of prospecting, bedrock sampling, and limited geological mapping was carried out. This was done by one geologist/prospector/pilot traversing the ground on foot. Stage 2 commenced upon approval of flying time included in a Newfoundland government prospector’s assistance grant obtained in 2013, the area being revisited by helicopter for one half day. This second visit concentrated on collection of bedrock assay samples from localities difficult or impossible to reach during the earlier ground work. Stage 3 was carried out once again using the float plane during August of 2014, and involved mainly more detailed geological mapping coupled with additional prospecting, but no further sampling at this time.

A total of 19 samples have been collected to date from the Ugjoktok East claim block (Table 2). Agpaitic Index is the ratio of sample mol% (Na2O+K2O)/Al2O3, generally greater than 1 for peralkaline rocks. Rock type averages listed at the end of the table are from Hill and Thomas (1983). UTM co-ordinate positions are based on NAD 27 for Canada. A rock sample site location map is included as Appendix A. Copies of original Eastern Analytical Laboratories of Springdale assay sheets are appended to this report in Appendix B. Quality Assurance/Quality Control (QA/QC) work was carried out using accepted standards and procedures to ensure data precision and accuracy. A check on reproducibility of results was obtained by the addition of internal blanks and duplicates. Results of the QA/QC work indicate that determinations for most elements were in the permitted range of error; however there were accuracy issues with respect to some sample values for Ce, Ba, Sr, and Bi. Results As part of an earlier uranium exploration program, sample 100653 (Table 2) was collected, and subjected to only a partial analysis for a limited number of trace elements. It contains >10000 ppm cerium, >10000 ppm lanthanum, 7440 ppm neodymium, 1610 ppm samarium, >1000 ppm yttrium, 437 ppm hafnium, 380 ppm ytterbium, and 216 ppm zinc. It was not analysed for zirconium or niobium. Total REE content of sample 100653 is a minimum of 2.89%, total REE plus Y and Hf is a minimum of 3.03%. During 2013 resampling was carried out over and around the original site, and no evidence of alteration was observed.

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Figure 6. Floatplane at Ugjoktok River East field camp on Gibson Lake

Of the nineteen samples collected to date, three (11265, 11266, and 11267) were taken

from a narrow dykelet, the assumed source of sample 100653. The dykelet does not appear to be altered, and assays on these three samples returned significant REE numbers (see Table 2). REE contents of all three samples are comparable, but highest values obtained are as follows; >50000 ppm cerium, 37256 ppm lanthanum, >10000 neodymium, 5425 ppm samarium, 12896 ppm yttrium, 1112 ppm hafnium, 931 ppm ytterbium, 9789 ppm praseodymium, 3971 ppm gadolinium, 3551 ppm dysprosium, 1423 ppm erbium, 607 ppm terbium, 576 ppm holmium, 190 ppm europium, 181 ppm thulium, and 113 ppm lutetium. These samples also returned maximum assay values for zirconium, niobium and halfnium of >50000 ppm, 1796 ppm, and 1112 ppm respectively. The minimum total REE content of these samples is 11.7%; minimum total REE plus Zr, Y, Nb, and Hf is 14.8% (Table 2). Complete major and minor element whole rock analyses were also obtained for these samples. With reference to Table 2, note that the lowest total for the sum of all elements in a sample is 71.47%. This suggests that within the dykelet rock the combined content of Rare Earth Elements plus Zr, Y, Nb, and Hf may be up to 30%.

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Year 2009 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 2013 1983 1983 1983 1983 1983 1983Sample No. 100653 11258 11259 11260 11261 11262 11263 11264 11265 11266 11267 11268 11283 11284 11285 11286 11287 11288 11289 11290 Avg of 363 Avg of 75 Avg of 29 FRIS Avg of 37 LLC Avg of 9 LLC Avg of 6Rock Type Alt'd Per Grt Per Grt Per Grt Per Grt Per Grt Per Grt Per Grt Per Pgmt? Min Per Grt Min Per Grt Min Per Grt Per Pgmt? Per Grt Dykelet Anorthosite? Fine grained black rck Per Grt Dykelet Anorth dyklet Peralk Pegmatite Per Grt Dykelet Peralk Granite Calc Alk Grt/Rhy Pantellerite Comendite Peralk Granite Per Grt Per SyenLocation Gibson L.(2) Gibson L. Gibson L. Gibson L. Gibson L. Gibson L. Gibson L. Gibson L. Gibson L.(2) Gibson L.(2) Gibson L.(2) Gibson L. Gibson Lake Gibson Lake Gibson Lake Gibson Lake Gibson Lake Gibson Lake Gibson Lake Gibson Lake World World World Flowers R. Letitia L. Letitia L.Easting 612017 610672 610668 610664 610454 610450 610448 610444 612016 612016 612016 612027 615748 615755 615674 615670 612023 612042 612097 616135

Northing 6150714 6151575 6151575 6151575 6151499 6151499 6151499 6151499 6150713 6150710 6150708 6150711 6150751 6150734 6150760 6150763 6150712 6150706 6150745 6147574SiO2 % 73.78 61.55 68.54 70.01 70.29 64.55 68.10 43.37 40.74 41.9 78.74 73.84 59.47 51.49 72.43 45.43 75.27 61.01 61.87 74.50 71.90 73.90 74.40 74.80 65.70TiO2 % 0.16 0.81 0.41 0.69 1.17 0.45 0.75 2.72 3.11 4.19 0.09 0.23 1.72 2.72 0.20 4.34 0.30 1.90 0.83 0.20 0.40 0.20 0.40 0.30 0.70

Al2O3 % 9.30 13.53 10.68 10.72 8.49 12.77 9.80 3.52 4.07 4.94 9.53 12.28 13.55 12.79 8.70 18.79 11.10 8.33 13.34 13.70 9.40 12.40 11.70 10.60 13.40Fe2O3 % 4.97 7.82 7.48 6.76 9.49 6.15 10.03 9.04 10.51 9.32 2.62 2.13 9.01 12.73 9.55 11.93 3.15 11.40 8.21 0.90 2.40 1.10 1.80 2.70 3.30FeO % 0.80 4.30 1.90 1.60 1.70 3.80MgO % 0.01 0.35 0.13 0.31 0.10 0.59 0.09 0.59 1.13 1.10 0.12 0.27 2.29 3.31 0.14 4.67 0.16 3.57 0.33 0.30 0.10 0.10 0.10 0.10 0.20CaO % 0.08 1.84 0.24 1.26 0.78 1.97 0.49 5.52 6.78 5.76 0.18 1.00 4.34 5.47 0.74 5.81 0.12 5.67 2.13 1.10 0.50 0.50 0.60 0.40 1.30MnO % 0.04 0.12 0.14 0.08 0.08 0.07 0.11 0.13 0.18 0.17 0.03 0.04 0.10 0.19 0.05 0.14 0.02 0.18 0.17Na2O % 4.73 5.93 5.15 4.44 3.56 6.24 4.58 1.72 1.73 1.99 3.74 4.74 5.47 5.40 4.37 4.10 4.08 3.40 6.21 3.80 6.40 5.40 4.20 4.30 6.10K2O % 4.00 5.31 5.14 3.88 3.39 3.66 4.17 0.62 1.03 1.69 3.79 4.19 2.30 3.21 0.74 2.78 4.49 2.62 4.87 4.50 4.50 4.60 5.10 5.10 5.30

P2O5 % 0.02 0.19 0.07 0.05 0.05 0.06 0.02 1.20 1.74 1.39 0.01 0.06 0.40 1.25 0.03 0.33 0.02 0.45 0.18 0.10 0.10 0.00 0.10 0.00 0.10Cr2O3 % 0.095 0.047 0.051 0.049 0.092 0.114 0.069 0.102 0.089 0.087 0.082 0.052 0.032 0.014 0.052 0.018 0.044 0.027 0.017

LOI % 1.7 2.1 1.6 1.1 1.6 3.0 1.4 2.9 2.4 2.0 0.8 1.0 1.0 1.1 0.8 1.4 1.1 1.1 1.4Total C % 0.30 0.47 0.30 0.22 0.44 0.85 0.36 0.47 0.35 0.32 0.18 0.35 0.23 0.19 0.21 0.14 0.23 0.19 0.13Total S % 0.10 0.14 0.09 0.07 0.13 0.27 0.11 0.11 0.08 0.08 0.06 0.05 0.06 0.04 0.04 0.04 0.04 0.03 0.03Total % 98.84 99.62 99.63 99.32 99.13 99.59 99.63 71.47 73.52 74.56 99.75 99.82 99.65 99.70 97.79 99.77 99.90 99.65 99.59

Agpaaitic Index (peralk) 1.30 1.15 1.31 1.07 1.12 1.11 1.23 0.99 0.97 1.03 1.08 1.00 0.85 0.97 0.92 0.52 1.04 1.01 1.16 0.82 1.63 1.11 1.06 1.18 1.17Ag ppm 22 0.9 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1As ppm 0.9 1.4 1.6 0.7 0.7 1.4 <0.5 <0.5 <0.5 <0.5 <0.5 1.7 1.8 1.9 3.5 2.3 1.8 3.4 2.1Au ppb 7.4 4.7 3.9 2.7 1.8 0.7 2.6 2.9 0.7 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5Ba ppm 101 743 280 178 79 356 88 102 153 200 81 440 1029 627 53 493 88 121 815 634 144 167 154 66 354Be ppm 12 24 4 19 21 7 4 13 9 6 2 9 5 4 2 60 3 2 15 14Bi ppm 0.4 <0.1 <0.1 <0.1 <0.1 0.1 <0.1 0.6 0.5 0.4 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1Cd ppm 0.2 <0.1 <0.1 <0.1 <0.1 <0.1 0.1 0.7 0.8 0.9 <0.1 0.2 <0.1 0.1 0.3 <0.1 <0.1 0.2 <0.1Ce ppm >10000 394.0 202.1 129.2 420.6 1939.6 237.8 677.3 >50000.0 >50000.0 >50000.0 512.2 74.3 151.6 166.6 1170.0 36.6 22.7 197.0 194.5 67 345 269 341 135 163Co ppm 1.7 3.2 2.5 4.6 3.0 6.3 2.2 5.1 7.7 6.8 1.5 2.1 19.4 30.4 4.1 38.2 0.3 26.1 2.4Cr ppm 107 742 352 403 409 706 911 532 224 137 133 587 419 241 95 359 98 337 171 122Cs ppm 1.6 0.4 1.8 0.4 0.5 0.8 0.5 0.2 1.4 1.2 <0.1 0.6 0.3 5.4 0.3 6.2 0.3 0.3 0.2Cu ppm 41 14.4 10.7 6.0 9.4 7.2 10.5 12.0 9.5 4.6 6.2 4.2 14.2 10.7 11.0 12.2 9.3 4.1 8.4 10.0Dy ppm 52.89 15.81 24.59 28.10 24.80 16.74 28.47 3550.93 2894.14 2570.15 18.46 4.88 9.91 11.07 115.73 2.90 1.92 30.21 22.10Er ppm 39.48 7.73 18.80 17.01 10.90 9.45 12.18 1423.20 982.75 833.25 7.16 2.68 5.95 5.31 69.13 1.59 1.30 16.61 13.99Eu ppm 58.4 1.16 1.97 0.71 1.36 2.09 1.39 1.85 181.56 189.76 175.73 1.20 0.54 2.40 2.55 4.16 1.27 0.16 1.04 2.80F ppm 3000 2500 789 423 519

Ga ppm 44.3 27.1 34.9 32.2 23.6 26.3 31.2 6.4 <0.5 <0.5 26.8 18.3 22.7 21.6 33.3 16.2 31.6 20.4 27.4Gd ppm 26.87 15.92 11.08 23.36 43.61 15.61 33.53 4201.03 3971.34 3853.26 26.86 4.79 10.56 12.09 98.49 2.71 1.76 24.62 19.54Hf ppm 437 132.3 18.9 20.9 74.6 34.4 32.9 13.7 1112.0 558.3 326.7 6.5 6.1 18.5 10.8 267.9 4.3 5.1 28.2 29.0Hg ppm <0.01 <0.01 <0.01 <0.01 <0.01 <0.01 <0.01 0.03 0.01 0.01 <0.01 <0.01 <0.01 <0.01 <0.01 <0.01 <0.01 <0.01 <0.01Ho ppm 11.89 2.77 5.42 5.36 3.84 3.21 4.43 575.60 431.22 372.71 2.92 0.86 1.98 1.82 22.70 0.59 0.39 5.70 4.42La ppm >10000 159.5 86.4 46.6 213.2 1049.4 120.1 269.4 31230.0 36081.7 37256.4 224.9 32.2 72.8 79.8 522.6 18.3 7.4 75.6 89.7 35 253 175 178 109 124Lu ppm 59.4 5.99 1.59 3.86 3.40 2.04 1.68 2.26 112.63 79.03 65.27 0.88 0.38 0.95 0.79 9.37 0.25 0.31 2.62 2.37Mn ppm 137 161 169 300 250 247 85 171 201 154 54 67 119 368 191 344 45 137 211Mo ppm 18 1.3 8.4 1.1 14.3 8.9 18.5 7.5 23.9 17.9 26.8 1.2 1.5 7.2 3.2 7.6 2.3 1.4 7.5 4.7Nb ppm 362.3 84.6 100.2 214.6 124.7 44.6 104.1 1796.4 1447.5 1697.6 36.6 17.3 20.4 28.2 454.6 13.1 23.1 100.5 97.0 14 237 146 65 80 70Nd ppm 7440 138.3 101.5 43.3 151.9 647.7 94.4 242.8 >10000.0 >10000.0 >10000.0 195.9 26.2 61.5 68.9 463.7 17.6 7.0 93.8 87.4Ni ppm 14 8.9 4.7 4.5 6.3 9.3 11.6 6.4 9.2 10.3 10.8 6.6 5.9 11.4 22.5 6.4 36.8 3.9 8.9 1.4 1 2 3 20 25 28Pb ppm 361 56.2 14.2 35.1 32.2 18.2 23.8 20.9 356.9 395.1 410.5 6.1 40.1 27.6 21.3 42.5 10.0 8.2 36.1 159.1Pr ppm 41.87 26.61 12.41 46.33 205.18 27.41 73.26 8882.36 9602.39 9789.34 57.04 7.68 16.21 18.98 130.52 3.96 1.88 24.00 23.40Rb ppm 536.2 176.2 481.2 170.6 130.2 153.8 227.7 45.6 115.4 160.8 146.8 161.5 45.9 225.9 36.4 218.4 195.9 105.4 407.8 181 189 151 255 261 183Sb ppm <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 0.2 <0.1 0.1 0.1 <0.1 <0.1 0.4 <0.1Sc ppm <1 10 4 3 2 4 1 10 11 11 <1 2 28 18 <1 11 <1 15 10Se ppm 0.9 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 <0.5 0.5 1.0 0.8 0.7 <0.5 <0.5 0.9 0.7 0.8Sm ppm 1610 27.21 19.21 9.22 25.68 69.60 15.67 44.18 5161.66 5424.46 5177.68 33.91 5.13 11.21 12.49 94.94 2.50 1.64 22.50 18.64Sn ppm 82 4 21 11 19 6 20 28 25 24 6 6 3 7 43 5 7 14 17Sr ppm 570 6.4 60.6 16.5 61.8 18.8 151.9 14.5 369.4 494.6 478.0 17.8 88.7 144.4 200.5 53.5 405.4 11.8 51.6 75.9 131 4 11 20 18 49Ta ppm 18.9 2.9 5.6 10.1 5.3 2.6 4.1 115.1 76.0 85.0 1.5 1.3 1.5 1.5 24.6 0.8 1.4 5.4 5.2Tb ppm 282 6.27 2.49 2.69 4.03 4.64 2.42 4.86 606.93 541.00 473.80 3.36 0.69 1.51 1.69 16.36 0.41 0.30 4.22 3.24Th ppm 1180 110.9 7.3 45.8 41.4 40.9 13.4 35.1 2177.1 1859.4 1939.7 15.6 13.6 14.3 7.4 172.0 2.0 4.4 22.4 25.0 27 24 23 20 15Tl ppm 0.5 0.1 0.7 0.2 0.1 0.3 0.3 0.1 0.5 0.5 <0.1 <0.1 <0.1 1.6 <0.1 1.5 <0.1 0.1 0.3

Tm ppm 6.85 1.33 3.36 2.93 1.70 1.53 1.92 181.08 127.74 103.05 0.92 0.38 0.88 0.77 10.25 0.24 0.22 2.52 2.21U(DNC) ppm 14.9 1.5 1.8 5.8 2.2 1.7 2.7 108 87.7 77.9 1.2 2.9 1.8 1.4 30.0 0.3 0.6 3.9 4.7

V ppm 45 <8 <8 <8 20 <8 22 <8 31 38 47 <8 11 74 108 <8 116 <8 96 <8W ppm 3.4 0.5 1.1 2.3 2.4 1.9 1.1 13.2 13.2 14.2 0.6 <0.5 0.9 0.8 2.9 0.8 <0.5 2.2 0.9Y ppm >1000 314.9 77.6 150.7 160.1 96.0 87.0 90.1 12895.6 9813.0 8464.5 72.1 25.6 49.7 53.1 603.7 16.2 11.6 159.5 136.7 35 201 157 95 120 113

Yb ppm 380 42.99 9.96 23.91 21.41 12.26 9.96 14.17 931.09 671.28 526.63 6.24 2.56 6.19 5.13 66.30 1.58 1.85 16.92 15.81Zn ppm 216 79 25 48 68 93 62 93 135 142 150 12 39 39 134 205 102 28 59 91 52 357 231 141 154 157Zr 6200.1 1049.7 947.3 3038.3 2095.8 1454.3 505.7 >50000.0 28325.6 15911.2 266.8 224.5 809.7 523.4 12028.4 191.1 164.9 1001.0 924.8 162 1557 1019 715 1140 1006

Total REE % minimum 2.89 0.09 0.09 0.39 minimum 11.7 minimum 12.0 minimum 12.1 0.34Total REE plus Zr,Y,Nb,Hf % minimum 3.03 0.80 0.42 0.62 minimum 17.0 minimum 16.1 minimum 14.8 1.68

Table 2. Whole rock chemical analyses for |Ugjoktok River East claims bedrock samples

Sample 11286 was collected from another mineralized peralkaline dykelet that cuts peralkaline granite 3.5 km to the east of the 11267 sample locality. It returned anomalously high assay values of 1170 ppm Ce, 523 ppm La, 604 ppm Y, 130 ppm Pr, 464 ppm Nd, 455 ppm Nb, 268 ppm Hf, 116 ppm Dy, 205 ppm Zn, and 12028 ppm Zr. Peralkaline granite and syenite host rocks to the mineralized dykelets also exhibit anomalous enrichment in REE elements. Samples 11258, 11261, and 11262 have Zr contents between 2096 and 6200 ppm. They also contain up to 1940 ppm Ce, 1049 ppm La, 647 ppm Nd, 362 ppm Nb, 315 ppm Y, and 205 ppm Pr. Along with these encouraging bedrock sampling results, geological mapping carried out in conjunction with prospecting, points towards the Ugjoktok River East area encompassing good ground for the occurrence of potentially economic grade REE mineralization. The ultimate source of the REE mineralization found to date would be the peralkaline granite and syenite, which comprises about 80% of the bedrock in and around the block. The other two rock types present are basement tonalitic to granodioritic orthogneisses, and gabbronoritic to anorthositic bodies not known at present to have any associated REE mineralization. With reference to Table 2, both agpaitic index, and indicator trace element contents (particularly Zr), suggest that peralkalinity here is intense beyond what is normally average for these rock types. IV. CONCLUSIONS AND RECOMMENDATIONS

Assays returned on 2013 samples indicate that Rare Earth Elements exhibit anomalous enrichment within the bedrock underling the Ugjoktok River East claims, especially within late crosscutting aphanitic dykelets. The 2014 mapping and prospecting work as a whole has added to previous results which justify the continuation of further prospecting and field studies within the Ugjoktok River area. If funding can be obtained, it is currently recommended that a more detailed ground magnetometer survey be undertaken, in order to elucidate possible additional structures that may be present such as ring dykes.

To date there have been few exploration programs carried out within the region around the Ugjoktok East claim block that concentrate on rare earth elements. This part of Labrador is remote, and it is difficult as well as expensive to work in, however the fact that such areas often receive little attention is actually one good reason to examine them more closely. Continued reconnaissance exploration targeting Rare Earth Element mineralization in the Ugjoktok River East area is warranted for the following reasons; - a circa 1240 to 1340 Ma period of anorogenic tensional tectonics in north central Labrador has resulted in the emplacement of at least three peralkaline igneous complexes (Strange Lake, Flowers River, and Letitia Lake), two of which (Strange Lake, Letitia Lake) are known to have mineable grades of REE mineralization - the circa 1313 and 1322 Ma Voisey’s Bay and Pants Lake layered intrusions represent mafic cumulate components of magmas emplaced during this same period of widespread anorogenic volcanism/plutonism. The as yet undiscovered post differentiation (REE enriched?) residual felsic fractions of these magmas, that should exist, may have been emplaced in or around the nearby Flowers River caldera

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- the Ugjoktok East rocks are part of the southern margin of the Flowers River peralkaline caldera complex - the Ugjoktok East claim block is underlain by peralkaline granite and syenite intrusive rocks whose trace element chemistry exhibits particularly strong REE enrichment. - during the 2013 field season five samples of mineralized bedrock were collected that show up to borderline economic REE enrichment (the best ones containing minimums of 11.7% total REE, and 14.8% REE plus Zr,Y, Nb, Hf) of either primary magmatic, and/or secondary origin. Other samples show various lesser degrees of REE enrichment - a literature revue of lake sediment samples collected from in and around the Ugjoktok River claims shows that they are enriched in rare earth trace element contents far in excess of normal background values, and compare favourably with those found around the Strange Lake REE deposit - the Ugjoktok River East area occurs at a triple junction where rocks belonging to the southern part of the Flowers River Igneous Suite, are emplaced along the boundary between the Nain and Churchill structural provinces. Aeromagnetic data show the juxtaposition of complex structures that might act as possible conduits for, or foci of, REE mineralization - Ugjoktok River East is close to the Labrador coast, and should a REE deposit exist here, the Atlantic Ocean could be accessed through a deep water wharf constructed at a distance of between 60 and 35 km away

V. REFERENCES Smits, R.

2009: 2008 (Second Year) Assessment Report of Prospecting on the Hunt River Property, NTS 13N/06, and 13N/11, eastern central Labrador for Mega Uranium Ltd.

Thomas, A. and Morrison, R.S.

1991: Geological map of the central part of the Ugjoktok River (NTS 13N/5 and parts of 13M/i8 and 13N/6), Labrador (with accompanying notes). Newfoundland Department of Mines and Energy, Geological Survey Branch, Map 91-160, scale 1:50 000.

Hill, J.D. and Thomas, A.

1983: Correlation of two Helikian peralkaline granite-volcanic centres in central Labrador. Canadian Journal of Earth Sciences, Volume 20, pages 753-763.

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APPENDIX A

ROCK SAMPLE SITE LOCATION MAP

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APPENDIX B

EASTERN ANALYTICAL LABORATORIES ASSAY SHEETS

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APPENDIX C

EXPENDITURES INCURRED TO DATE

2013 Compilation/Field preparation and Logistics 2000.00 Camp Costs (Food, A/C Fuel, Equipment, Supplies) 763.03 Office and Field Supplies (Computer, ink, paper etc.) 100.00 Fixed Wing Support (9 days private aircraft@1000/day) 9000.00 Rotary Wing Support (1/2 day@6724.18/day) 3362.09 Vehicle (5 days@60.00/day) 300.00 Travel, Accomodation and Meals 2167.58 Shipping, Courier & Postage 55.50 Analyses (AssaySamples) 1846.44 Communications (Satphone Rental) 340.84 Report Writing 1725.00

Total……………..$21,660.48

2014 Camp Costs (Food, A/C Fuel, Equipment, Supplies) 254.04 Office and Field Supplies (Computer, ink, paper etc.) 126.74 Fixed Wing Support (2 days private aircraft@1000/day) 2000.00 Vehicle (7 days@60.00/day) 420.00 Travel, Accomodation and Meals 80.00 Shipping, Courier & Postage 40.37 Communications (Satellite) 625.67 Report Writing 900.00

Total……………....$4,446.82 Total to Date……………..$26,107.30

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