Geology

The Martiniere Property is centrally located within Balmorals' Detour Trend Project. The Property is underlain by rocks of the Harricana -Turgeon Sequence, which comprises the northern most of a series of volcano-sedimentary sequences with the prolific Archean-aged Abitibi Greenstone Belt. In the Detour Trend area the regional scale, east-west trending Sunday Lake and Lower Detour Deformation Zones separate volcanic dominated sequences to the north and south from a central sedimentary domain. The large Detour Gold deposit occurs within the northern domain along the Sunday Lake Deformation Zone. The Selbaie and Mattagami Cu-Zn VMS camps occur in the southern volcanic domain south and southeast of the Martiniere Property. Balmoral's Grasset Ni-Cu-PGE discovery is located in the northern volcanic domain.

The Martiniere Property is almost entirely covered by glacial overburden which ranges in thickness from 10 to 35 metres. Rare isolated bedrock occurrences are exposed along small hill ranges mainly on the northern part of the Property and along major rivers. The Sunday Lake Deformation Zone crosses the southern margin of the Martiniere Property. The Sunday Lake is a 200-300 metre wide zone of moderate to strong alteration and deformation marking a major regional fault structure which can be traced across Ontario and Quebec for over 150 kilometres. "Timiskaming-type" conglomerate basins, located along the northern margin of the Sunday Lake Deformation Zone indicate a geological setting similar to that observed along the Destor-Porcupine Deformation Zone in the Timmins Gold Camp.

North of the Sunday Lake Deformation Zone the Martiniere Property is dominated by mafic volcanic rocks with intercalated sedimentary rocks. The basaltic rocks are intruded by a series of mafic intrusive rocks, porphyritic felsic intrusions and local ultramafic bodies. Limited regional drilling has indicated the presence of volumetrically minor felsic volcanic rocks throughout the Property which is significant given the prolific volcanogenic massive sulphide districts located immediately to the south and the recent identification of VMS-style mineralization and alteration on the Property.

Structurally, in addition to the east-west trending Sunday Lake Deformation Zone, Balmoral's drilling and geophysical studies indicates the presence of gold mineralization associated with both an early series of north-northeast trending shear structures (the West Trend) and with what are interpreted to be early formed north-south trending faults -- including the Bug Lake Fault. The Martiniere West Shear Zone is interpreted as a splay originating out of the Sunday Lake Deformation Zone. The Bug Lake Fault Zone is interpreted to be an early, possibly even syngenetic structure which has be remobilized on multiple occasions. Late, brittle faults locally offset these two gold bearing structural zones.

Geologically, the south-central portion of the Property, which has been the focus for the majority of recent exploration by Balmoral is dominated by mafic volcanic rocks which in general strike to the north-north-east and dip moderately to the southeast. The Martiniere West Shear Zone transects the southern portion of a multi-phase gabbro intrusion which can be traced back to the Sunday Lake Deformation Zone. The West Zone Gabbro is intruded along/near the contact between mafic volcanic rocks to the north and sedimentary rock to the south. Abundant laminated to disseminated sulphide is present within the sedimentary rocks which is locally conductive. Weak to moderate shearing is present over 200-300 metres centered on the West Zone gabbro body.

Midway across the Martiniere Property the 350 degree trending, steeply east dipping Bug Lake Fault Zone separates the West Zone gabbro from mafic volcanic rocks to east. The Bug Lake Fault dips approximately 50 degrees to the east but has a sigmoidal dip plane characterized by near vertical "steeps" separated by shallow dipping and locally faulted "flats". The overlying mafic volcanic rocks dip and young to the south and host extensive pyritic VMS-style mineralization. Initial movement along the Bug Lake Fault appears to pre-date gold mineralization.

Felsic quartz and feldspar porphyries intruded along the Bug Lake Fault and are common in the Martiniere East area of the Property. Gold mineralization is commonly observed along the sheared margin of felsic porphyries throughout the sequence.

The majority of the Martiniere Property remains to be drill tested and as such there is little to no geological information for large parts of the property.