Identification & Advancement of Early Stage Mineral Prospects

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Dan Man

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The Dan Man property is comprised of 578 mineral claims and is located immediately north of and adjacent to the Kaminak Gold Corp. ("Kaminak") Coffee claims. Both the Dan Man and the Coffee properties have been interpreted as being underlain by a regionally extensive, gently to moderately southerly dipping panel of well foliated biotite-muscovite-garnet augen gneiss.

Gold mineralization at the Kaminak Supremo Zone and the Arcus Dan Man property is structurally hosted in the augen gneiss. The structures at the Supremo Zone are north trending and comprise poly-phase breccias often healed with limonite and/or quartz carbonate plus the introduction of minor fine grained pyrite. These styles of poly-episodic hydrothermal breccias host some of the highest grade mineralization in the White Gold District. Most of the structural zones are fabric destructive with respect to the host gneiss and alteration progresses from potassic/sericitic through silicification with associated brecciation. 

While gold bearing structures at the Supremo Zone are north trending, other mineralized structural features in the district are easterly, northeasterly and northwesterly trending. All structures at both the Supremo Zone and on the Dan Man property are interpreted as being steeply dipping.

The 2011 exploration campaign by Arcus was focused within the southern portion of the claim block in close proximity to the bordering Coffee claims. Work on the Dan Man property in 2011 consisted of an airborne magnetometer geophysical survey, a ten hole (1,500 m) diamond drill program, auger soil sampling and prospecting.

The auger soil sampling program resulted in the identification of four zones of anomalous gold-in-soil responses along an 8 km trend near the southern border of the Dan Man claim block. Two of the zones were partially drill tested targeting four separate structural trends interpreted from air photo lineament analysis and detailed magnetic interpretation. Structural zones encountered in the drill holes are interpreted as being steeply southerly dipping and dominantly associated with northwest trending lineaments.

Significant drill intervals are listed in the following table while the individual zones are more fully described below.

Hole # Zone Azimuth
DM-11-02 Kambaa 000 29.10 34.46 5.36 0.64
including     29.10 30.65 1.55 1.18
DM-11-03 Kambaa 180 10.34 16.63 6.29 1.61
including     12.24 16.63 4.39 2.08
DM-11-07 Kwazulu 180 72.54 109.78 37.24 0.22
DM-11-08 Kwazulu 035 21.15 56.67 35.52 0.50
including     21.15 29.77 8.62 1.63

(1) True widths are believed to be 70 - 90% of the intervals reported in the table above. 

The areas in the southern portion of the Dan Man claims over which auger grid soiling was completed are characterized by low lying north-facing slopes, vegetated with moss and buckbrush. These areas are largely underlain by variable accumulations of organic material, loess and permafrost. As a result of surface sampling conditions, gold-in-soil contour thresholds were lowered to enable the recognition of significant locally anomalous soil geochemistry responses.

Kambaa Zone

The Kambaa Zone is characterized by a 900 x 200 m easterly trending gold-in soil geochemical anomaly with soil values ranging from 12.5 to 132 ppb. The anomaly is bounded by two northwest trending lineaments interpreted from airphotos.

Four drill holes were located on two section lines spaced 130 m apart to test the strongest gold-in-soil response within the broader anomaly. All holes encountered structural alteration characterized by varying intensities of texturally destructive brittle fracturing accompanied by silica flooding, sericitization, partial oxidation and intermittent brecciation. Alteration zones contain moderately to significantly elevated levels of arsenic, antimony and barium relative to the unaltered wallrocks. Narrow intervals of elevated gold responses (>250 ppb) were encountered in all holes with the best grades reporting from DM-11-03 (2.08 g/t over 4.39 m).

Kwazulu Zone

The Kwazulu Zone is located 2.5 km southwest of the Kambaa Zone and encompasses a 2 km area of interest defined by a weakly anomalous, intermittent gold-in-soil response. Anomalous gold values range from 12.5 to 156 ppb. The zone hosts a series of northwest trending lineaments bisected by an arcuate northeasterly to northwesterly trending feature. The core portion of the gold-in-soil anomaly is contained within the western part of the zone and is defined by an area roughly 1,200 x 200 m in size.

A total of five holes were drilled from three different sites to test an 800 m portion of the zone containing at least three separate structural trends. Three of the holes tested two northwesterly trending lineaments approximately 600 m apart and encountered significant structural alteration between 35 and 60 m in thickness. The structural alteration is characterized by intense clay-altered shearing with multi-episodic brecciation, silicification and intermittent oxidation.

The best gold grades were encountered within a subinterval of the western Kwazulu structure yielding 1.61 g/t gold across 8.62 m within a broader alteration zone grading 0.50 g/t gold across 35.52 m. The geochemical signature of the structures within the Kwazulu Zone is best characterized by gold and intermittent weakly elevated arsenic values.

Rooibos Zone

The Rooibos Zone is located 1 km south of the Kambaa Zone and consists of a series of anomalous gold-in-soil clusters within an 800 x 100 m easterly trend. Anomalous gold values range from 12.5 to 98 ppb. No follow-up work to explain the gold-in-soil anomalies was possible as assay results were not received until after the end of the 2011 field season.

Bengal Zone

The Bengal Zone is situated 3 km east of the Rooibos Zone and hosts the strongest gold-in soil response identified on the Dan Man property to date (12.5 to 444 ppb). Anomalous gold values are contained within an 1,800 x 500 m west northwesterly trend. Lineament analysis suggests the soil geochemical anomaly is bisected by a series of north-northwest trending structures, the orientations of which coincide with the moderately to strongly anomalous core portions of the gold-in soil response. No follow-up work to explain these anomalies was possible as results were not obtained until after the end of the 2011 field season.

2012 Program

Over the course of the 2011/2012 winter, Arcus will conduct a detail review of all of the 2011 Dan Man data. Preliminary evaluations suggest additional diamond drilling and detailed auger soil sampling will comprise part of the 2012 program.