Chisna

Status

Available for Option

Target

The target at Chisna is a Mid-Cretaceous copper-gold porphyry deposit. Chisna lies within an arc that stretches from Pebble in southwest Alaska to Chisna and beyond to a large cluster of well-exposed copper porphyries 80 km to the southeast near Nabesna (unfortunately enclosed within a National Park). The Nabesna copper porphyries contain multiple skarns, as well as classic copper porphyries with large potassic and phyllic alteration systems with grades comparable to Pebble. The Mid-Cretaceous porphyry province is largely unexplored. The Chisna project area represents a porphyry sub-province. Millrock owns a proprietary database including a district-wide airborne ZTEM-Mag survey.

Location and Setting

The Chisna Project is in eastern Alaska in the southern foothills of the Alaska Range about 300 km northeast of Anchorage and 300 km southeast of Fairbanks between the towns of Paxson and Slana. The project area is in the northeast corner of the Copper River basin within the historic Chistochina Mining District. This region is mostly within Alaska State Lands and lands conveyed to Ahnta Native Corporation (Ahtna, Inc.).

The overall Chisna project area measures approximately 2,844 square kms (1,098 sq mi) and is approximately 90 km long in a NW-SE orientation by 35 km NE-SW orientation and is centered on -144.6° west longitude and 63° 0’ north latitude. Three USGS 1:250,000 scale quadrangles maps cover the project area (Mount Hayes, Gulkana, and Nabesna).

The project area is defined by the combination of two airborne surveys, a ZTEM survey flown by Geotech, and a Mag-EM survey paid for by the state of Alaska. Almost all the data has been generated within those two survey areas. Corvus the original company working in the area spent more than US$7M within the project area, from 2006 - 2014. Corvus sold their existing properties, Grubstake and Ravine to Millrock in 2015 along with all their data. There are royalties payable to EMX on Grubstake and Ravine of 1% on base and precious metals. Since the purchase Millrock has spent over US$300,000 on the project.

Land Status

Millrock owns 153 State of Alaska Mining quarter-section (160 acres) claims in four (4) claim blocks, Grubstake, Ravine, POW and Dragonslayer.  Grubstake is made up 20 claims (3200 acres). Ravine is made up of 30 claims (4800 acres).  POW is made up of 40 claims, but due to staking around previously existing claims the acreage at POW is less than 6000 acres.  Dragonslayer is made up of 63 claims (10,080 acres).  Sixteen (16) of the Dragonslayer claims are on state-selected lands which will become valid claims when the state up-grades those lands to tentatively approved or patented state lands. 

Geology and Mineralization

The Grubstake prospect lays on both State of Alaska lands as well as on Ahtna lands. Grubstake is a copper porphyry enriched in gold. Grades known from a few historic holes have moderate to low copper grades but high gold values. Millrock has done soil sampling work that has extended the surface anomaly considerably. Reprocessing of magnetic data has identified a large target southeast and northeast of the previously drilled area.  Color anomalies abound in and around the drilled area.

The Ravine claims have seen very little work and thus potential is poorly understood.  Some encouraging massive sulfide boulders related to mafic dikes indicates that volcanogenic massive sulfide deposits are possible here.

Dragonslayer is a ZTEM anomaly that is very similar to Pebble in both size and intensity.  A ring of high conductivity surrounds a magnetic core. Soil sampling indicates a broad array of metallic anomalies typical of a porphyry copper-gold system. The next step is induced polarization surveying and drilling.

POW is an interesting target that has the right kinds of color anomalies (orange=jarosite and red=hematite). Also, anomalous copper in soils are scattered over the area.  More systematic sampling is necessary to define specific areas for induced polarization and soil sampling. Preliminary mapping should precede the soil grid planning.

Proposed Exploration Program

Any exploration plan at Chisna should contain soil sampling, induced polarization, and drilling, as well as some follow-up stream sediment sampling on specific geochemical anomalies known from past stream sediment sampling.  An XRF will be critical to have on-site so that soil, stream sediment, and core/rotary samples can be analyzed in camp and plotted up every night. 

Agreement and Terms

The Company is currently seeking potential joint venture partners for the project. If desired, Millrock can serve as the operator on behalf of an earn-in joint venture partner.

THE TECHNICAL INFORMATION WITHIN THIS DOCUMENT HAS BEEN REVIEWED AND APPROVED BY GREGORY A. BEISCHER, PRESIDENT & CEO OF MILLROCK RESOURCES INC. MR. BEISCHER IS A QUALIFIED PERSON AS DEFINED IN NI 43-101.