Hazard Lake Property

Location

The Hazard Lake / Northgate Deposit is located in Uchi Lake Township in the Red Lake Mining Division of Ontario. The optioned 24 claim units are adjoining the Bobjo Mine Project property to the South East.

Number of Claims & Hectares

3 unpatented claims for 24 claim units for approximately 384 hectares.

Exploration Target

Gold.

Date of Acquisition via Option Agreement

October 26th, 2009.

Ownership Interests

100% Mainstream Minerals Corporation.

Operator

Mainstream Minerals Corporation.

Qualified Person as per National Instrument 43-101 (subject to change)

Garry Clark P.Geo.

Hazard Lake Maps

Hazard Lake Recommendations Report

PDF file [ 0.2 mb ]

Information

The Hazard Lake Property area lies within the Archean Birch-Uchi Greenstone Belt of the western Uchi Subprovince of NW Ontario. The most significant mineralization discovered on the Hazard Lake property to date is at the Northgate and Milberry occurrences. Northgate Exploration drill tested the “Northgate Occurrence” in 1959, with one hole intersecting 0.4 ounces per ton Au over 3.3 feet at a 500ft depth. At that time, Northgate calculated a resource of 64,000 tons grading 0.28 ounces gold per ton. This resource constitutes a “historical resource” in the context of National Instrument 43-101.

The mineralization at the Milberry Occurrence is believed to be the extension of the Hill-Sloan-Tivy vein north of the property. The vein strikes N28°E and can be traced for a length of 228.7 metres (Thurston 1985). Drilling on the Milberry Occurrence has returned assays up to 107.31 g/T Au over 0.91 metres, 151.54 g/T Au over 0.67 metres, 81.94 g/T Au over 0.76 metres, and 44.29 g/T Au over 0.91 metres.

Historic data taken was from the Ontario Government geological files.

(The calculations and results shown here and in the news release of November 16th, 2009 are pre-National Instrument 43-101 and are therefore not compliant with National Instrument 43-101 requirements. The Company is not treating the historical estimates and results as accurate or current. Readers are cautioned not to place undue reliance on these historical estimates and results.)

Under the terms of the Option Agreement, Mainstream Minerals can earn a 100% interest by completing payments to the Optionor as follows:

On signing of the Agreement $8,000
1st Anniversary of the Agreement $12,000
2nd Anniversary of the Agreement $16,000
3rd Anniversary of the Agreement $25,000
4th and final Anniversary of the Agreement $35,000

In addition to the cash payment schedule, Mainstream Minerals shall issue to the Optionor, shares in the Company as follows:

On signing of the Agreement 100,000 Common Shares
1st Anniversary of the Agreement 50,000 Common Shares
2nd Anniversary of the Agreement 50,000 Common Shares

The Optionor will retain a 1.5 % Net Smelter Return (the “NSR”) interest in the Property in which one-half (0.75%) can be purchased back by the Company for a onetime payment of $750,000.