Donnelly & North Donnelly Zones Indicated and Inferred Resources 2006

In March 2007 the Company completed an updated independent resource estimate on the Donnelly and North Donnelly Zones at its GJ/Kinaskan gold-rich porphyry copper deposit in northern British Columbia.

The Donnelly resource estimate is based on results from 78 diamond drill holes over a strike length of 1.6 kilometres. The indicated resource, at a cut-off of 0.15% copper, is 172.15 million tonnes grading 0.274% copper and 0.312 g/t gold and contains 1.04 billion pounds of copper and 1.73 million ounces of gold. In addition, an inferred resource for the newly discovered North Donnelly Zone at the same cutoff consists of 22.67 million tonnes grading 0.254% copper and 0.362 g/t gold, containing 122 million pounds of copper and 0.26 million ounces of gold.

Donnelly Indicated Resources

Cut off
Cu (%)
Tonnes
(000,000)
Cu
(%)
Au
(g/t)
Contained Cu
(million lbs)
Contained Au
(million ozs)
0.10 217.82 0.243 0.283 1,167 1.98
0.15 172.15 0.274 0.312 1,040 1.73
0.20 123.09 0.314 0.352 852 1.39
0.25 83.29 0.357 0.391 656 1.05
0.30 52.19 0.406 0.437 467 0.73

Donnelly Inferred Resources

Cut off
Cu (%)
Tonnes
(000,000)
Cu
(%)
Au
(g/t)
Contained Cu
(million lbs)
Contained Au
(million ozs)
0.10 36.94 0.207 0.236 169 0.28
0.15 25.72 0.244 0.262 138 0.22
0.20 16.05 0.286 0.291 101 0.15
0.25 9.18 0.332 0.321 67 0.09
0.30 4.70 0.390 0.356 40 0.05

North Donnelly Inferred Resources

Cut off
Cu (%)
Tonnes
(000,000)
Cu
(%)
Au
(g/t)
Contained Cu
(million lbs)
Contained Au
(million ozs)
0.10 44.81 0.187 0.274 185 0.39
0.15 22.67 0.245 0.362 122 0.26
0.20 13.75 0.294 0.462 89 0.20
0.25 9.76 0.324 0.533 70 0.17
0.30 5.29 0.360 0.589 42 0.10


This updated resource estimate was commissioned following the 2006 drill program, which successfully allowed a substantial portion of the 2006 inferred resource category to be upgraded to the indicated category. For comparison purposes to the 2006 estimate, if all of the current resources, at a cut off grade of 0.15% copper were still categorized as inferred, it would represent an approximate 62% increase in tonnage.

The Donnelly Zone resource estimate was prepared by qualified person Mr. Gary Giroux. P.Eng. using a computer-generated block model based on approximately 24,300 metres of diamond drilling in 78 drill holes. A total of 5,002 assayed samples were used to define the Zone. The North Donnelly Zone resource estimate was prepared by qualified person Dr. Giles Peatfield, P.Eng. using a manual sectional method, based on approximately 5,770 metres of diamond drilling in 25 holes with 1,468 sample assays used in the estimate.

The 2006 drill program and sampling were supervised by qualified person David Mehner, P.Geo., Project Geologist for Canadian Gold Hunter. Appropriate quality control and quality assurance protocols were utilized on the program. Standard reference samples, blanks and duplicates were inserted in each batch of samples for assay. The Canadian Gold Hunter drill samples were analyzed for gold by fire assay and for copper by atomic absorption, by ALS Chemex in North Vancouver, B. C., Canada. All assay results were examined by independent engineer Dr. Peatfield prior to release, in order to verify that QC protocols were honoured.  

Adnet Communications Inc.