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Crowsnest

Introduction

The Crowsnest gold project is located in the southeast corner of British Columbia near the border with Alberta and Montana. This is a scenic area called the East Kootenays with a long history of mineral exploration. Teck's Elk Valley Coal Mine is approximately 40 km to the north. The property currently consists of fifteen claims totaling 3,142 hectares.

Status

Eastfield received notice on February 10, 2010 from the Province of British Columbia that the Flathead Valley is now a protected area, and no longer open to mineral development or exploration. As a result of this unexpected announcement, exploration and development of the Crowsnest and Howell projects have been suspended. Eastfield is currently seeking compensation from the BC government. The Memorandum of Understanding between the Province of British Columbia and the State of Montana can be read here.

Crowsnest and Howell were optioned to MAX Resource Corp. in July 2009. MAX can earn a 60% interest in either the Howell project or the Crowsnest project or both over a four-year period. In the initial stage of this earn-in, MAX must make cash payments totaling $60,000 to Eastfield (of which $10,000 was paid on signing), issue 100,000 shares to Eastfield (50,000 shares in the first year) and complete aggregate exploration expenditures on both properties of $400,000 by the second anniversary date (June 30, 2011). To complete its Crowsnest earn-in, MAX must make further cash payments to Eastfield of $90,000, issue 400,000 shares and spend a further $1,050,000 on exploration at Crowsnest prior to June 30, 2013.

History

The project is located in an area known for its hydrocarbon potential until 1984 when Dome Exploration Ltd. (later Placer Dome Inc.) located anomalous gold in a small drainage. Over the next ten years Placer Dome followed by the Phelps Dodge Corporation of Canada investigated this discovery. Eastfield acquired Crowsnest in 1998 through an option agreement which has since been fully satisfied. Eastfield currently owns a 100% interest in Crowsnest subject to a 2% Net Smelter Royalty.

Geology

Gold mineralization occurs in limestone, siltstone or syenite. The Crowsnest property is underlain by a thick sequence of Pennsylvanian and Mississippian carbonate and clastic rocks, of which the Mississippian Rundle Group shows the greatest exposure. Mid-Cretaceous syenite and trachyte intrusions as sills, dykes, plugs and possible diatremes intrude these units. Several grids have already been established, including the "A" and "B"grid, which led to the discovery of significant high grade gold.

Mineralization

Gold mineralization at the Crowsnest gold project occurs in limestone, siltstone and syenite. The property is underlain by a thick sequence of Pennsylvanian and Mississippian carbonate and clastic rocks, of which the Mississippian Rundle Group shows the greatest exposure. Mid-Cretaceous syenite and trachyte intrusions as sills, dykes, plugs and possible diatremes intrude these units. Several grids have already been established, including the "A", "B" and "K" grids, which led to the discovery of significant high grade gold.

Many float and rubble samples on the "B" Grid have returned extraordinarily high gold analyses. This includes a float sample collected in 1989 by Placer Dome Inc., described as an intrusive breccia that returned a gold assay of 524.41 g/t gold. Other high grade float samples have returned assays to 620.0 g/t gold. One bedrock source of mineralization was discovered in 1996 and trenched by Eastfield in 1999, resulting in a trench intercept of 8.57 g/t gold over 16.5 metres. The 1999 area of focus, referred to as the Discovery Trench Area, has been the centre of most of the exploration activity completed at Crowsnest during exploration conducted in 1999, 2002, 2003 and 2006. Other areas that have also yielded high grade float samples have had only rudimentary work completed. A review of the database calculates an average gold grade for float samples exceeding 1.0 g/t to be 32.66 g/t (36 determinations) with a corresponding copper grade of 0.23% (34 determinations).

Work in 2009

A total of 26 reverse circulation drill holes totaling 799 metres were completed and two new trenches were dug, sampled and drilled to the west of the original Discovery Trench area (where gossan mineralization was sampled in June 2009 that returned an assay of 104 g/t gold) extending the known mineralized zone by 100 metres. Significant gold assays (over 2.0 g/t gold) returned from the drill program are listed below:

Hole	Angle	From (m)	To (m)	Width (m)	Gold g/t
RC 09-2	-60 degrees	0	3.0	3.0	3.52
Including		0	1.5	1.5	6.67
RC 09-5	vertical	0	3.0	3.0	3.55
Including		1.5	3.0	1.5	6.40
RC 09-6	-60 degrees	0	6.5	6.5	6.34
Including		1.5	3.0	1.5	16.52
RC-09-7	vertical	0	6.1	6.1	19.03
Including		0	1.5	1.5	50.26
Including		1.5	3.0	1.5	23.60
RC-09-9	vertical	0	1.5	1.5	2.49
RC-09-14	vertical	0	1.5	1.5	2.07
RC-09-16	vertical	0	3.0	3.0	5.42
Including		0	1.5	1.5	6.65
RC-09-21	-60 degrees	16.8	18.3	1.5	3.42
RC-09-25	vertical	0	3.0	3.0	2.51
Including		1.5	3.0	1.5	3.14

Access

The Crowsnest property is accessed by all-weather gravel logging haul road along the edge of the property and by four-wheel-drive trail through the main grid area.

Comparables

Previous operators at Crowsnest, including Placer Dome Inc. and Phelps Dodge, have suggested that a number of comparables exist between the Crowsnest Project and the Cripple Creek deposit located in Colorado. These comparables include the tectonic setting, alkalic intrusive association and occurrence of tellurium. Cripple Creek, in production since 1890, has produced in excess of 23.3 million ounces of gold (to 2005) and continues to be mined by Anglo Ashanti Gold Mining.

Reports

Contact Eastfield

Maps

click to view enlarged Crowsnest 2009 Drill Hole Locations	click to view enlarged Location & Infrastructure Crowsnest Project
click to view enlarged Regional Geology Crowsnest Project	click to view enlarged 'K' & '99' Grids looking SW Crowsnest Project
click to view enlarged 'K' & '99' Grids looking SW Crowsnest Project	click to view enlarged '99' Grid Geology Crowsnest Project
click to view enlarged Gold Geochemistry Crowsnest Project	click to view enlarged '99' Grid Compilation Crowsnest Project
click to view enlarged Drilling & Trenching Crowsnest Project	click to view enlarged Cross Section looking N Crowsnest Project
click to view enlarged Rock Geochemistry Table Crowsnest Project

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This page was created on Thu Sep 9, 2010 at 10:55:09 PM Pacific Time.