SIMKAR GOLD - PowerPoint PPT Presentation

Title: SIMKAR GOLD


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TSX-V MDV Frankfurt M5Q
SIMKAR GOLD A SHORT STORY
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Disclaimer The information contained in this
presentation is confidential and was obtained
from sources deemed reliable for internal use
only. It is not guaranteed as to its accuracy or
completeness. This presentation is for
informational purposes only and does not
constitute an offer to sell or a solicitation to
purchase any securities referred to herein.
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SIMKAR Two concessions situated in the
prolific Abitibi Greenstone Belt 20 km east of
Val-d'Or Quebec The Val-d'Or mining camp hosts a
rich history of important economic discovery,
recognized for High Net Smelter Returns
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Canada
SIMKAR
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SIMKAR
KNOWN TREND
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SIMKAR
SIMKAR MINE
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SIMKAR
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32,000 ounces of gold were produced from the
Simkar Mine from 1947 to 1949. It was inactive
until 1987.
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Between 1987 and 1992, 12,000,000 was spent on
exploration and development at Simkar
Expenditures were incurred for sampling and
mapping drill testing defining ore resource
rehabilitating and extending mine workings bulk
testing
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A resource estimate on the Simkar Property was
accepted for assessment purposes by the Ministry
of Natural Resources for Quebec in 1991. The
tonnage was estimated at 271,043 tonnes averaging
8.42 grams per tonne gold, cut to 34.29 grams per
tonne. National Instrument 43-101 provides for
the historical estimate to be categorized as an
indicated mineral resource. Notwithstanding,
Megastar advises investors not to rely on the
historical estimate. Note Mineral resources
that are not mineral reserves do not have
demonstrated economic viability.
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Underground drifting along the highest grade
vein structures exemplifies the exploration
approach that was favored decades ago.
Unfortunately market conditions in 1992
pre-empted production at Simkar.
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There is now renewed exploration and discovery
in the abitibi greenstone belt where the
company's property is surrounded by some big
names in the business. GEOLOGY ROCKS
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The best place to find a mine is in the shadow
of a mines headframe.

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Megastar Development Corp. acquired all
right, title and interest to the Simkar gold mine
in 1996 and has since focused on a modern
exploration approach to develop a drill hole
database.
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Megastar conducted an IP survey over the entire
property
The program identified prospective targets
that had not been thoroughly tested by previous
operators.
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The survey defined a 900 metre long geophysical
anomaly in the The North Rhyolite. The North
Rhyolite is a 700-m-wide, virtually untested,
sequence of felsic volcanic rocks belonging to
the Val dOr Formation. The Formation is host to
the Louvicourt VMS Deposit (10 MT at 3 Cu, 1.5
Zn, 25 g/t Ag, 1 g/t Au), the Sigma and Lamaque
Mines (9 million ounces Au produced to date) and
many others. The North Rhyolite crosses the
north part of the Simkar property over a strike
length of 1 km.
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Drill testing (97-SKR-07) on the western extent
of the anomaly intersected a 64.4-meter thick
gold and copper bearing pyritic horizon with
associated chloritized felsic volcanics.
Considered a prime target for volcanogenic
massive sulfide mineralization hole (04-SKR-01)
has now tested the eastern extent of the
geophysical anomaly intersecting 7.43 g Au/T and
0.1 Cu over 0.82 m, 0.11Cu over 0.5 m, 1.08 g
Au/T over 1.0 m, 0.1 Cu over 1.5 m, 1.02 g Au/T
over 0.72 m.
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1.27 gt Au/6.2m incl. 7.43 gt/0.82m
1.40 gt Au/2.0m
4.74 gt Au/0.8m
5.53 gt Au/0.3m
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Only 6 drill holes have been completed within the
favourable sequence to date and compiled data
indicates that all of these holes have crossed
wide zones of significant sulphide
mineralization. Although the reported sulphide
zones were not systematically assayed, many of
the rare samples taken returned anomalous to
higher-grade gold values
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In addition, regional-scale Megatem and Titan24
surveys were conducted over the north part of the
Simkar Property, including most of the North
Rhyolite. The Data identifies nine (9)
anomalies within the Simkar Property. The most
significant is quoted as a Priority 1, moderate
conductor located at moderate to great depth.
This anomaly appears coincident with Megastars
IP anomaly.
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Simkar Megatem Survey Interpretation
Anomaly 171 Priority 1 Target
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Coincident with both the IP and the Megatem
features, a strong deep-seated Titan24 anomaly is
interpreted to be located at a depth of 700 m to
1200 m within the North Rhyolite.
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Simkar Titan24 Survey Interpretation
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Simkar Titan24 Survey Interpretation
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Simkar Titan24 Survey Interpretation
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SUMMARY The IP survey, limited drill testing
and the deep penetrating geophysical data greatly
enhances the potential for a large tonnage,
medium grade, copper-zinc-gold-silver
volcanogenic massive sulphide (VMS) deposit on
the Simkar property. The next phase of
exploration will consist of down-hole Pulse EM
geophysics of two previous holes and diamond
drilling of selected Pulse EM, Megatem, and
Titan24 anomalies.
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VMS MODEL
2004-SKR-01--most of the mineralized samples were
taken in the alteration zones (hematite,
chlorite, and or albite). The core was entirely
silicified between 66 m to 123 m and 172 m to 178
m. Above these zones, it is more sericitized and
hematized and below, it is more chloritized.
The best (Au-Cu) assay values were in a
completely chloritized rock, strewn with
carbonate-chlorite veins (211.00 m-214.57 m).
Other good value were obtained in silicified and
carbonated rock with black chlorite and
hematization. The carbonates were also found in
small veinlets (191.83 m-194.31 m).
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Although gold-copper and stratabound gold
deposits are uncommon within the Val dOr Mining
Camp, they represent the bulk of the in-situ gold
mineralization observed within the Bousquet
Mining Camp located approximately 50 km west of
Val dOr.(See Slide 5) At Bousquet, the
stratabound gold deposits are deep-seated (up to
2 km deep) and often associated with locally
significant Zn or Cu mineralization.
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100 OWNED NO DEBT HISTORICAL
RESOURCE PROSPECTIVE EXPLORATION TARGETS PROVEN
GOLD CAMP r
A JEWEL IN A GOLDEN CROWN
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MEGASTAR DEVELOPMENT CORP. Mission To
generate shareholder value through exploration
and discovery Our most important corporate
commitment
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TSX-V MDV Frankfurt M5Q
We encourage investors to share THE SIMKAR
STORY For more information call 604-683-6648