Neita Concession

Overview

  • Potential world-class deposit
  • Concessions fully permitted for exploration
  • Significant gold and copper resource upside - Multiple geophysics and soil anomalies
  • NI 43-101 2Moz Gold Inferred Resource identified at Candelones.

Neita is Unigold's flagship project in the Dominican Republic. The Neita concession totals 22,616 hectares, and is located approximately 200 linear kilometers northwest of the capital city of Santo Domingo. Santiago de los Caballeros, the second largest city in the Dominican Republic, is about 100 kilometers northeast of the project. The western limit of the Nieta property is defined by the Haiti border. The property was a government Fiscal Reserve, and was granted to Unigold in 2002.

Geology/Mineralization

The Neita property lies within the Greater Antilles volcanic arc that extends from the island of Hispaniola through Cuba. The arc developed during the Cretaceous period as the migrating Caribbean and the North American plates collided forming a southwest dipping subduction zone (Tectonic Setting Map, Greater Antilles). Arc-related volcanism and intrusive activity developed from magma plums rising from the diving North American plate. Much of the Neita property is covered by the Upper Cretaceous Tireo formation, which consists of andesite and dacitic volcanics with inter-layered sediments generally deposited in a subaqueous environment. The Tireo volcanic belt extends for approximately 150 kilometers in a northwest-southeast direction, parallel to the volcanic arc axis. This volcano-sedimentary sequence was intruded by felsic to ultramafic intrusive rocks ranging from Upper Cretaceous through Eocene. Locally higher elevations of the project area are covered by an overthrust plate of basalt and ophilitic rocks of the early Cretaceous "basement rocks" from the Duarte formation. The extreme southern portion of the Neita property contains post-mineral Eocene and younger flysch and marl sediments belonging to the Tres Rios Formation and Peralta fold and thrust belt (Geologic Map, Neita Project).

The Tireo and Early Cretaceous Los Ranchos and Maimon Formation island arc volcanic sequences define an extremely prospective mineral belt that hosts numerous mines and significant exploration projects, including Pueblo Viejo with proven and probably reserves of 25.3 million ounces of gold reserves (Tireo Formation and Major Mines & Projects Map). Unigold considers this belt to be one of the most prospective and underexplored prospective gold regions in the world.

Mineralization

Unigold considers Neita to be a "district play", hosting numerous mineral occurrences and deposit types (Identified Mineral Occurrences, Neita Project).

Table: Selected Target Deposit Type Summary

Target Deposit Model Description Significant Results
Candelones VHMS "World Class" potential for volcanic hosted massive sulfide NI 43-101 2Moz Gold Inferred Mineral Resource Defined
MGN High Sulfidation 16 km2 of intense argillic alteration, associated with rhyolite dome. Trenching includes 35 m at 2.68 g/t Au.
Noisy Low Sulfidation Epithermal Hydrothermal breccias in andesite. 1600 x 300 m gold soil anomaly Trenching includes 127 m at 0.30 g/t Au. Drill intercept 38 m @ 1 g/t Au and 7 m @ 1.04 g/t Au.
Corozo Porphyry Au-Cu 1.5 x 2 km alteration zone associated with tonalite intrusive Preliminary drilling includes 120 m @ 0.1% Cu
Jimenez Low Sulfidation Epithermal High grade epithermal gold vein systems Initial sampling of ~1 m wide veins reported up to 12.6 g/t Au.

Unigold's work programs within Neita have included drilling, geologic mapping, soil and rock chip sampling, ground and airborne geophysical surveys, and aster imagery interpretation (Gold Soil Anomalies Map Gold and Copper, Neita Project).

QA/QC- Quality Assurance and Quality Control

Unigold owns two drill rigs. Unigold hires local drillers and driller helpers. Drilling is generally done by NQ, however holes are frequently started with HQ. Drill holes are surveyed with a Reflex instrument generally every 50 metres and at the final depth. The drill core is collected and placed in core boxes and depth blocks are inserted. When core is broken drillers attempt to reassemble the core to its original alignment. The drillers bring the core after every shift to the Unigold core shed, which is always under guard by security.

Unigold staff use crayon markers mark meter depths, contacts, mineralization and structure with on the core. A "quick log" is then recorded. Geologists and technicians perform RQD, magnetic surveys and specific gravity calculations. A TerraSpec spectrometer is used to identify alteration products and clay minerals. The geologist's detail logs are recorded on paper forms, and include lithology, mineralization, alteration and structure. All information is entered into a database by Unigold Data Entry personnel.

All core is photographed prior to splitting. The geologists determine which portions of the hole are to be sampled and split the core with the Company's wet diamond saws. Geologists supervise the placement of the "A" side of the core into plastic sample bags, which include a standard ticket with sample number. The sample bags are stapled closed. At every 20th sample or less, Unigold enters a certified standard or blank into the sample stream. The sample series is recorded by data entry personnel. The samples are then placed into "costales" (rice sacks). The Company name and sample series is written on the sack, and then sealed with tape and synch pull ties. The sample sacks remain guarded at all times. The entire process is photographed, including logging, tests and calibrations, and sampling. The geologists then photograph the split core.

Sample lengths typically average 1 m, but vary by geological boundaries. Samples are prepped by Bureau Veritas Lab in the Dominican Republic, with assaying performed through Bureau Veritas Commodities Canada Ltd's laboratory in Vancouver, B.C. Canada. Analytical procedures include a 36-element ICP-ES analysis (1E) and a 50 g FA AA finish for gold (G6-50). Gold samples exceeding 10 g/t are re-assayed by fire assay / gravimetric finish (G6-50); and base metals exceeding 1% are re-assayed by acid digestion / A AS (8TD). Wes Hanson, P.Geo., Chief Operating Officer and Technical Director of Unigold, and a Qualified Person under National Instrument 43-101, designs and supervises all exploration programs.