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Crescent #3

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Claim Description: During our inspection of the subject placer claims, bedrock was well exposed in stream cuts and surrounding hillsides. Most of the rock was fresh-looking granite or granitic gneiss, with laminations (where gneissic) striking nearly due north and steeply dipping.

At least one area (near sample C1) may have been an example of one of the basic intrusions altered (or metamorphosed) to amphibolites.

Alteration was generally quite limited in extent and occurrence on the claims, and is described further under rock chip sampling and in Table 1.

One relatively broad area of weakly altered granite was found on the east hillside above the wash between sample locations C2 to C3 (an area several hundred feet across).

The alteration consisted of weak potassic alteration, with scattered silicification along shears, etched-out feldspar laths, and minor chalcedonic veining. Structurally, few faults or shears were present on the claims but where present, tended to be NE-trending.

The more significant shear zones exposed at the prospect pits to the northeast of the claims were almost east/west trending, and nearly vertical.

Historic Mining: Based on a review of the USGS 7.5-minute topographic map
(McCullough Mountains, 1989), there are no indications of historic mining on the subject claims (e.g. pits, shafts, adits, etc.).

The nearest indications of historic mining are several prospect pits shown within ¼-mile to the east of the southeast corner of the claim block, and a prospect pit approximately ¼-mile to the northeast of the claim block.

Most of the mining in the district appears to be concentrated in the areas a mile south of the claim block, along and either side of State Route 164.

Several of the larger workings along State Route 164 were briefly examined by Mr. Bender to determine the general “style” of mineralization for the district.

Dump material and the few exposures that were accessible showed mineralization consisting of veining in granite/gneiss, primarily massive milky quartz with lesser siderite/calcite.

Quartz veining was up to several feet thick in exposures. No obvious indications of sulfides were observed, although pyrite casts and iron oxide were present indicating that mining was primarily in oxidized portions of these vein systems.

During the on-site inspection of the claim block, indications of prospecting were limited
to a single, very small pit in a small area of quartz veining along the east bank of the
wash just south of rock sample C5.

There was no dump at this location, and no indications of underground workings.

There were no definitive indications of placer mining or placer testing on the claim block.

The dry wash near sample C4 showed signs of relatively recent bulldozing which were
probably due to efforts to keep the BLM road in the wash passable by vehicle.

BEC examined the prospect pit located approximately 600 feet beyond the northeast corner of the claim block, and found that it was a relatively large pit along the west side of the wash, exposing an approximately 15-foot wide shear zone in granite with an orientation of N86W, dipping at 85SW.

The central portion of the shear was bleached in appearance, and some minor quartz veining was exposed. No evidence of underground workings was found, and no dump was present.

Another 600 feet up the wash, the road terminates at a possible former mining camp, with a water trough, a wooden ore bin, remnants of a small wooden structure, and a furnace constructed of refractory bricks.

No workings were observed, and just one small pit was found exposing another narrow shear zone in granite with chloritic alteration and minor quartz veining.

Sampling: Rock chip samples were collected wherever mineralization/alteration was
noted on the claim block.

Only four rock chip samples were collected on the claim block. As shown on Table 1, rock chip samples were collected in an area of minor quartz veining in a possible mafic dike (C1), an area of altered granite (C2), a two-foot thick zone of silicification and chalcedonic veining (C3), and an altered dike (C6).

Samples were deliberately “high-graded” (best possible material was collected) to determine if precious metals (Au, Ag, Pt) were present.

Concentrate samples were collected at representative locations in the dry washes on the claim block. Samples were collected at four locations in the East Wash; C4 was collected in the east fork, C5 and C9 were collected in the west fork, and C10 was collected in the main portion of the East Wash near the southeast corner of the claim
Geological Observations and Sampling Methodologies January 23, 2013 block.

Two additional concentrate samples were collected in the West Wash; C7 was collected near the southwest corner of the claim block, and C8 was collected just below the confluence of a smaller wash entering the West Wash.

Concentrate samples were collected in the following manner:

Locations were selected with a bias towards coarser sediments (large gravels and cobbles), on bedrock if possible, or behind and under large boulders which would be the most likely locations for placer gold.

A five-gallon bucket was filled with these coarse sediments using a shovel and weighed (ranged from 51 to 72
pounds).

Course fractions were screened off with a ¼-inch screen and the resulting fraction was weighed again (with the resulting samples ranging from 23 to 47 pounds).

Another screening (1/8-inch) resulted in further reduction of coarse fractions (with the resulting samples ranging from 14 to 31 pounds). This final screened fraction was bagged, labeled, and kept in a secure location until delivery to assayer.

Sediment samples were also collected at four of the six concentrate sample locations (C4, C5, C7 and C8).

These sediment samples were collected by digging a shallow trench across the entire width of the active portion of the dry wash. The width of these active stream channels typically ranged from 10 to 20 feet wide.

A continuous sample of the sediments, regardless of the size encountered, was transferred to a sample bag
at each location with about 15 pounds of sediments per sample.

Most of the sediments encountered were sand-sized, although a few gravel and cobbles were included.

Rock chip, concentrate and sediment sample locations are shown on Figure 2 and detailed descriptions of each sample are presented on Table 1. All samples were kept in a secure location by Mr. Bender until delivery to the offices of Mr. Brost.

Placer Potential: Upon entering the southeast corner of the claim block, the East Wash begins to narrow significantly, from several hundred feet wide farther to the south of the claim corner, down to less than 100 feet wide at the claim corner.

For most of its width (both the east and west forks), it is less than 40 feet wide, and bordered with bedrock on either side.

Assuming an average width of 50 feet, with shallow bedrock of less than 10 feet deep at any given location, and assuming a combined total wash length of ¾-mile (both forks), the gravel resources (potential placer material), are likely to be less than 37,000 cubic yards in the East Wash.

In the West Wash, the wash is wider and the depth to bedrock is presumably deeper.

Assuming a width of 80 feet and 15 feet to bedrock, and a wash length of 1/3 mile, the gravel resources for the West Wash are approximately 16,000 cubic yards.

Claim Acres: 40

Claim Coordinates: Merridian 21/Township 28S/Range 61E/ Section 009

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