Property Location and Description

The GP-01 (Restigouche), GP-02 (West l’Alverne), GP-03, and GP-04 properties are located in the southwestern part of the Gaspésie region of Québec, Canada, close to the town of Saint-André-de-Restigouche (Figure 1). These four properties, comprising 267 claims, cover an area of approximately 153 km².

Agreement

Colt Resources Inc. (“Colt”) entered into an Agreement with Diagnos Inc. (“Diagnos”) to acquire a 100% interest in four mineral properties: namely, the GP-01 (Restigouche), GP-02 (West l’Alverne), GP-03, and GP-04 properties.

The terms of the proposed acquisition include a payment in cash and the issuance of restricted common shares. Diagnos will retain a 2% Net Smelter Return (NSR) royalty on each property and Colt will have the option to buy back 1% of the NSR for $1,000,000 at any time within the first five years of an economic discovery. Colt undertakes to spend a minimum amount on exploration and carry out drilling on the properties.

Figure 1: General location map of the Gaspésie properties, located in the Gaspésie area of Québec.

Geological Setting

The Gaspésie properties are located within the Québec portion of the Appalachian Orogen, an ancient mountain chain that stretches along the eastern part of North America for some 2,500 km, from Alabama to the Island of Newfoundland. This Orogen records a complex history of at least three major orogenies over some 200 million years. The Québec portion of the Appalachian Orogen is comprised of largely parallel belts of sedimentary and, to a lesser extent, of metamorphic and magmatic rocks.

The Appalachian Orogen has been divided into four main tectonic zones: from west to east, the Humber, Dunnage, Gander and Avalon Zones. In Québec, only the Humber and Dunnage zones outcrop at surface. The Humber Zone consists of Precambrian basement of the Laurentian continent overlain by autochthonous Cambro-Ordovician platformal rocks and allochthonous ophiolitic suces. The Dunnage Zone consists of various Cambro Ordovician island-arc and ophiolitic terranes overlain by turbiditic sedirnentary cover and Iocally by late-orogenic molasses sequences.

Mineral Potential

Regional Potential

Rocks of the Canadian Appalachians are host to a large variety of mineral deposits (van Staal 2007): depending on tectonic zone, these deposits range from volcanic-hosted massive sulphide (VMS), Mississippi Valley-type (MVT), epithermal and mesothermal gold (Au), intrusion-related Au, shear zone-hosted Au, sedimentary rock-hosted Au, magmatic Ni-Cu-Co-PGE, magmatic Cr and industrial minerals.

Mineralization in the Québec portion of the Appalachian Orogen is varied. Of interest is Silurian-Devonian mesothermal Au deposit type mineralization such as the St-André-de-Restigouche and Lac Arsenault showings (Figure 2).

The Lac Arsenault and Saint-André-de-Restigouche are described by van Staal (2007) “as the most important mesothermal vein deposits in the Notre Dame Subzone in the Québec Gaspésie. Mineralization is associated with the Grand Pabos and Restigouche fault systems (Figures 2 and 3). The largest vein of the Lac Arsenault deposit contains approximately 40,000 tonnes grading 15.42 g/t Au, 197 g/t Ag, 6.6% Pb, and 3.5% Zn. Mesothermal deposits in southeastern Québec are also associated with major fault zones.”

The mineralization of the Saint-André-de-Restigouche occurrence shows peculiar features comparable to Carlin-type deposits (Garnier et al., 2005 and 2007).

Figure 2: Epithermal and mesothermal gold deposits in the Canadian Appalachians. Gaspésie area is outlined in red. Note location of Lac Arsenault (#26) and Saint-André-de-Restigouche (#25) (Map modified after van Staal 2007).

Figure 3: Map showing location of properties GP-01 to GP-04, location of the Restigouche fault, and area exploration highlights (Note: shown claims are not up to date).

Area Potential

The general area in the vicinity of the properties presents stream sediment arsenic anomalies and mineral showings of interest, of both copper and gold (Figure 4). The four properties are located at the junction of two formations and in a structural environment favourable to gold and base metal mineralization: claims are in proximity to major NE trending faults, parallel to or prolongations of the Grand Pabos-Restigouche fault system. These properties were staked by Diagnos after review of large data sets acquired from the Québec government covering over 20,000 km².

    
    Figure 4: Detail of GP-01 and GP-02 properties (black outline) with a) location of Restigouche-Grand Pabos fault and parallel fault systems; b) selected drill hole Au and Cu result highlights; c) grid based soil and stream sediments (range by As), and rock sample (range by Au) result highlights; and, d) regional soil and stream sample colour-contoured base map of Arsenic (As ppm) results.

References

Garnier, V., Chagnon, A., Malo, M., and Dubé, B., 2005, L’or de type Carlin dans les Appalaches de la Gaspésie: L’analyse de l’indice Saint-André-de-Ristigouche, DIVEX, Rapport Final 2005, sous-projet SC10, 18 pages

Garnier, V., Malo, M., Dubé, B., Chagnon, A., and Beaudoin, G., 2007, Carlin-type gold mineralization at Saint-André-de-Ristigouche, Gaspé Peninsula (Québec), Canadian Appalachians, Mineralium Deposita, Vol: 42, Issue: 6, Pages: 639-662

van Staal, C.R., 2007, Pre-Caroniferous tectonic evolution and metallogeny of the Canadian Appalachians, in Goodfellow, W.D., ed., Mineral Deposits of Canada:A Synthesis of Major Deposit Types, District Metallogeny, the Evolution of Geological Provinces, and Exploration Methods: Geological Association of Canada, Mineral Deposits Division, Special Publication No. 5, p. 793-818.