Cogburn Magnesium Project

700118
Technical Report
On The
Cogburn Magnesium Project

New Westminster Mining Division
British Columbia
For
NORTH PACIFIC ALLOYS LIMITED

A wholly owned subsidiary of Leader Mining International Inc.
1525 - 625 Howe Street
Vancouver, British Columbia
V6C 2T6, Canada
By
David K. Makepeace, P.Eng.

Geospectrum Engineering
2588 Birch Street
Abbotsford, British Columbia
December 15, 2004

Cogburn Magnesium Project – Technical Report
Table of Contents
1. EXECUTIVE SUMMARY ...................................................................................... 4
2. INTRODUCTION..................................................................................................... 5
2.1. TERMS OF REFERENCE ......................................................................................... 5
2.2. DISCLAIMER......................................................................................................... 5
3. PROPERTY DESCRIPTION.................................................................................. 6
3.1. LOCATION ............................................................................................................ 6
3.2. ACCESSIBILITY..................................................................................................... 6
3.3. INFRASTRUCTURE ................................................................................................ 6
3.4. PHYSIOLOGY ........................................................................................................ 7
3.5. CLAIMS ................................................................................................................ 8
4. HISTORY .................................................................................................................. 9
5. GEOLOGY.............................................................................................................. 11
5.1. REGIONAL GEOLOGY ......................................................................................... 11
5.2. PROPERTY GEOLOGY ......................................................................................... 11
5.2.1. Ultramafics ............................................................................................... 12
5.2.2. Metasediments........................................................................................... 12
5.2.3. Metavolcanics ........................................................................................... 12
5.2.4. Metagabbro............................................................................................... 13
5.2.5. Late Stage Intrusives................................................................................. 13
5.3. STRUCTURE........................................................................................................ 13
5.4. MINERALIZATION............................................................................................... 14
5.4.1. Magnesium................................................................................................ 14
5.4.2. Sulphides ................................................................................................... 14
6. EMORY ZONE DRILLING.................................................................................. 15
6.1. INTRODUCTION .................................................................................................. 15
6.2. PROCEDURES ..................................................................................................... 15
6.3. SAMPLES ............................................................................................................ 17
6.3.1. Method / Approach ................................................................................... 17
6.3.2. Sample Preparation, Analysis and Security.............................................. 18
6.3.3. Data Verification ...................................................................................... 18
6.4. DRILL RESULTS.................................................................................................. 18
7. MINERAL RESOURCE ........................................................................................ 21
7.1. METHODOLOGY ................................................................................................. 21
7.2. RESULTS ............................................................................................................ 24
7.3. DISCUSSION ....................................................................................................... 25
8. CONCLUSIONS ..................................................................................................... 26
9. REFERENCES........................................................................................................ 27
10. CERTIFICATION OF AUTHOR..................................................................... 29
North Pacific Alloys Limited -2-

Table of Figures
1. Location Map ...........................................................................................................7
2. Claim Map ...............................................................................................................9
3. Emory Zone Drill Hole Map..................................................................................17
4. Emory Zone Thickness Map..................................................................................23
5. Emory Zone Thickness x Grade Map ....................................................................24
Table of Tables
1. Cogburn Mineral Claims..........................................................................................8
2. Emory Zone Drill Collar Data ...............................................................................16
3. Emory Zone Average Drill Assay Results.............................................................19
4. Emory Zone Drill Assay Statistics.........................................................................20
5. Emory Zone SURFER Data...................................................................................22
6. Emory Zone Tonnage/Grade Volume Calculations...............................................25

1. Executive Summary
North Pacific Alloys Limited (NPA) is a wholly owned subsidiary of Leader Mining
International Inc. NPA is developing the Cogburn Magnesium Project near Hope, British
Columbia.
The Cogburn Magnesium Project consists of a magnesium deposit (Emory Zone) and
mineral processing plant connected by a 26-kilometer road. The Emory Zone is a high-
grade magnesium (> 24 % wt Mg) dunite (magnesium silicate) within a slice of
ultramafic rocks within a sequence of metavolcanic and metasedimentary rocks
In 2001 and 2002 the Emory Zone was drilled on a 50-meter square grid pattern. Thirty
eight (38) diamond drill holes consistently intersected high-grade magnesium silicate.
The drilled portion of the Emory Zone is approximately 350 by 250 meters.
A NI 43-101 mineral resource estimate has been completed on these drill results. The
Emory Zone has a Measured Mineral Resource of approximately 25.5 million metric
tonnes grading 24.57 % magnesium using an SG of 2.85.
The author has been an independent geological consultant with the project since 2000 and
has visited the property on numerous occasions. He has no ownership in the claims and
has no interest in NPA or Leader Mining International Inc.

2. Introduction
The Cogburn Magnesium Project consists of a magnesium deposit and mineral
processing plant located near the town of Hope, British Columbia (see Figure 1). The
project incorporates a quarry near the headwaters of Talc and Garnet Creeks (Emory
Zone) and a processing facility near Ruby Creek along the Fraser River, which are
connected by a 26 kilometre forest road. This report documents the mineral resource
estimate of the Emory Zone drilling.
The Emory Zone is located along the southeastern end of a large (10-kilometer long by 2-
kilometer wide) ultramafic body lying in the Talc Creek drainage basin near Hope,
British Columbia. Definition core drilling was conducted on 50-meter hole centers over
an area of 300 meters by 300 meters, at the northwest corner of the 1,500 meter by 700
meter Emory Zone. Numerous surface samples and 38 vertical core holes have tested the
magnesium silicate body in programs conducted in late 2001 and early 2002 under the
direction of Crest Geological Consultants Ltd. (Payne et al, February 8, 2002, July 2002).
2.1. Terms of Reference
This report was prepared by David K. Makepeace, M.Eng., P.Eng., an Independent

Qualified Person, on behalf of North Pacific Alloys Limited (NPA) a junior resource
company based in Vancouver, British Columbia. NPA is a wholly-owned subsidiary of
Leader Mining International Incorporated. The sole asset of NPA is the Cogburn
Magnesium Project near Hope, British Columbia.
The purpose of this technical report is to independently examine the Emory Zone and
complete a mineral resource estimate in compliance with National Instrument 43-101 for
filing with the TSX Venture Exchange.
The author of this report has been involved with the entire exploration program and
property development as an independent consultant. He has visited the property
numerous times between 2001 to present and has no interest in the property or NPA.
2.2. Disclaimer
Geospectrum Engineering has compiled this report with all due care and reviewed all
available reports. It is believed that the information contained within this report is
accurate and reliable. The referenced reports were undertaken by Qualified People as
defined under NI 43-101.

3. Property Description
3.1. Location
The Cogburn property is located at 49° 29’ 49” N latitude and 121° 39’ 28” W longitude,
on NTS map sheets 092H05E and 092H12E in southwestern British Columbia,
approximately 120 kilometres east of Vancouver. The claims are centered near the
junction of Talc Creek and Daioff Creek, eight kilometres due east of Harrison Lake (see
Figure 1).
3.2. Accessibility
The claims can be accessed by logging road from either:
• Harrison Hot Springs: North along the east side of Harrison Lake to Bear Creek
Landing (35 kilometers); northeast on the Cogburn Creek Forest Road and then
southeast along the Talc Creek Main Forest Road, a total of 42 road kilometers, or
• Ruby Creek: North from Provincial Highway 7 on the Garnet Creek Forest
Service Road to the Talc-Garnet Creek divide connector road, then northeast
along the Talc Creek Main Forest Road, a total of 28 kilometers.
The Cogburn Magnesium Project has been developed to quarry the magnesium rock from
the Emory Zone and truck it to a processing facility near Ruby Creek. The Talc - Garnet
Creek Road network will be upgraded to industrial grade to handle the anticipated traffic.
3.3. Infrastructure
The magnesium deposit is attractive partially due to the high grade and high purity of the
Emory Zone but also because of its proximity to outstanding infrastructure at the plant
site (approximately 26 kilometers south of the Emory Zone near the Fraser River valley.
The Fraser River is a major transportation corridor with road (Trans Canada Highway
No. 1 and Provincial Highway 7), rail (CPR main line and the CNR main line), gas (Duke
Energy main line) and oil pipelines (Terasen Gas) and power transmission lines (three
500 KV BC Hydro lines). In addition, barge access to Ruby Creek is a possibility. Studies
are now in place for dredging of a barge channel to Harrison River that could
accommodate up to 4,000 tonne payloads. Catherwood Towing Ltd. has indicated that
there is further potential to extend the barge channel east to Ruby Creek for barges with
payloads to 2,000 tonnes.
The town of Hope is 13 kilometers to the east of Ruby Creek while the town of Agassiz is
17 kilometers to the southwest. The majority of labour and equipment to operate the
quarry and associated plant site would come from these two towns.

Cre
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Processing Hi
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Ruby Creek N o.
3
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.7
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Harrison
Hot Springs
hw
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Hig
Frase
Agassiz SCALE
0 5 10
Kilometers
North Pacific Alloys Limited

BRITISH Cogburn Magnesium Project
COLUMBIA Cogburn New Westminster Mining Division
Magnesium British Columbia
Project
Location Map
VANCOUVER Date : December, 2004 Geospectrum Engineering
3.4. Physiology
The Cogburn claims are in moderately rugged, glaciated, mountainous terrain, with
elevations ranging from 800 meters to over 1,500 meters above sea level. Much of the

area has been logged in recent years and active logging and construction of new logging
road access continues.
Climate in the region of the Cogburn property is typical of southwest British Columbia
with cool summers and mild winters. Annual precipitation is approximately 300
centimeters. Snow pack can reach up to 400 centimeters and normally remains on north
slopes until April or May and on south slopes until June. Temperatures range from an
average of -1 °C in winter to +15 °C in the summer.
The Cogburn Magnesium Project area is in an active logging region. Balsam, Hemlock
and Yellow Cedar are the main trees covering the area. The quality of the trees in the
Emory Zone area for forest company products is nominal to poor.
3.5. Claims
The Cogburn Magnesium Project claims consist of 68 units or 1,700 hectares as shown
in Figure 2. The Cog 1 to 4 and Cog 11 to 15 claims are owned by Mr. J. A. Chapman
of Surrey, B.C. (50 %) and Mr. G. G. Carlson of West Vancouver, B.C. (50 %). Table 1
lists the claims that surround the Emory Zone and Figure 2 illustrates their location.
Table 1
Cogburn Mineral Claims
Claim Name Tenure No. Claim Type Expires No. Units Hectares
COG 1 374546 MGS block claim 30/09/06 18 450
COG 11 375290 2P claim 30/09/06 1 25
COG 12 375291 2P claim 30/09/06 1 25
COG 13 375292 2P claim 30/09/06 1 25
COG 14 375293 2P claim 30/09/06 1 25
COG 15 375294 2P claim 30/09/06 1 25
Leader Mining International Inc., and now North Pacific Alloys Limited, have an
option agreement with the owners to obtain 100 % of the property for $395,000 cash; a
cumulative exploration expenditure of $1,515,000; share purchase of 100,000 warrants
at $1.00 on completion of a positive production feasibility study; an advance minimum
royalty ($25,000 effective October 2005, increasing to $50,000 by October 2007,
adjusted by CPI against a December 2004 CPI base) and a 3 % NSR. North Pacific
Alloys Limited has the right to 2 % of the NSR for $1,000,000.

n
bur
Cog eek
Cr
Ta
lc
Cr
eek
COG 1
374546
COG COG COG COG COG

11 12 13 14 15
EMORY
COG 2
ZONE 374547
COG 3
375295
COG 4
375296
Harrison Lake
Ga
Cr rnet
ee
SCALE k
0 500 1000
Meters

British Columbia
Claim Map
Date : December, 2004 Geospectrum Engineering
4. History
In 1971, Giant Explorations Ltd. (a subsidiary of Giant Mascot Mines Ltd.) discovered a
nickel deposit in the Talc Creek area while conducting a wide area airborne geophysical
and stream silt geochemistry program (MINFILE No. 092HSW081). The survey area
identified a number of ultramafic intrusions covering a 12 kilometre wide swath from the
Giant Mascot nickel-copper-cobalt mine north of Hope to Harrison Lake to the
northwest. This preliminary work was followed by grid surveys over the present Cogburn
deposit area including soil geochemistry, magnetics and rock chip sampling and then core

drilling between 1971 and 1975. No further work was carried out due to the low grade of
the nickel deposit.
The area was staked by Mr. J. A. Chapman and KGE Management Ltd. (Mr. G. G.
Carlson) in 2000 in the hope that platinum group elements (PGE) were present within the
ultramafic rocks encompassed by the claims. Leader Mining International Inc. signed an
option agreement with Mr. Chapman and KGE Management Ltd. to explore and develop
the Cogburn Magnesium Project. It was subsequently discovered that the ultramafic rocks
contained a very high-grade magnesium content.
Initial drilling in 2001 identified a high-grade and high purity magnesium area within the
ultramafic rocks which was subsequently named the Emory Zone (MINFILE No.
092HNE307). The drilled portion of the Emory Zone is approximately 350 metres by 250
metres at an elevation of 1000 metres.
Hatch Limited, the world’s leading light metals consulting engineering firm completed a
Scoping Study in October 2001, culminating in a Feasibility Study in May 2003. The
results of the test work and engineering studies indicated that “the Cogburn Project is
technically feasible and economically viable.”
North Pacific Alloys Limited - 10 -

5. Geology
5.1. Regional Geology
The regional geology of the Cogburn area is subdivided into three north to northwest-
trending tectonic and stratigraphic packages. These packages (Slollicum Schist, the
Cogburn Group and the Settler Schist) are intruded by mid-Cretaceous age intrusive
stocks of Coast Plutonic Complex. These units are separated from each other by faulted,
layer-parallel contacts and are distinguished by age, lithological associations and
metamorphic grade.
This area is significant because these units mark the boundary between Jurassic /
Cretacteous island arc rocks to the west and Palaeozoic oceanic rocks to the east. The
Slollicum Schist-Cogburn Group contact has also been suggested to be a remnant of the
main suture between the Alexander/Wrangellia terraine and North America (McGroder,
1991; Journey and Friedman, 1993).
The Slollicum schist is described as a mid-Jurassic to early Cretaceous age, greenschist

facies volcanic-sedimentary succession of meta-phyllite, psammite and schists of mafic
to felsic volcanic origin (Troost, 1999). Age dates from the unit include 102 Ma (Bennett,
1989) and 146 Ma (Parish and Monger, 1992).
The Cogburn Group, which lies structurally above and to the northeast of the Slollicum
schist, is an ophiolitic mixture comprised of Triassic or older, chlorite-amphibole schist
(mafic volcanic), grey meta-phyllite and metamorphosed ribboned chert. The Baird
metadiorite is sometimes included in Cogburn Group (Gabites, 1985 and Bennett ,1989).
The upper age limit of the Cogburn Group is constrained by a 225 Ma orthogneiss
(Monger, 1989) which intrudes the package. Metamorphism ranges from upper
greenschist to amphibolite grade.
Mapping indicates that the ultramafic rocks which comprise the Cogburn Magnesium
Project (Emory Zone) should be included with the Baird metadiorite in the Cogburn
Group, and not with the Cretaceous Slollicum intrusive suite (Payne, 2001).
The Settler Schist is a pellitic unit lying east and structurally above the Cogburn Group.
Metamorphism is amphibolite facies and locally up to sillimanite grade. The age of the
Settler Schist is unknown.
5.2. Property Geology
The ultramafic body that encompasses the Emory Zone is approximately two (2)
kilometers wide and ten (10) kilometers long trending along the Talc Creek drainage
basin (Payne, 2001). It extends from the divide between Talc creek and Garnet Creek
northwest to the junction of Talc Creek with Cogburn Creek. It sits structurally on top
of a highly deformed, metamorphosed mafic volcanic and gabbroic rock assemblage. A

second ultramafic slice parallels Settler Creek valley to the north but is off the Cogburn
claims.
The contact of the ultramafic body is very complex and indicates a series of stages of
deformation. The package is folded along a north to northwest trending axis which
follows the regional structural grain. Contacts are further modified by late, high angle
faulting and late stage intrusions.
5.2.1. Ultramafics
Ultramafic rocks occur in a northwest-trending body that sits within the Talc Creek
valley. These rocks are primarily dunite having recognizable cumulate olivine in less
than 1% of available outcrops. This unit weathers tan-brown to orange and is fine to
medium grained. Serpentine and associated talc are variable in the unit. Fresh surfaces
vary from green to mottled green-black depending on the amount of serpentinization. The
ultramafic rocks typically contain 1% to 5% magnetite (after chromite) and may contain
trace to a few percent pyrrhotite and locally, trace chalcopyrite/malachite.
Petrographic detail of the various fresh and weathered ultramafic rocks are available in
the Cogburn Summary Report (Payne, 2001).
5.2.2. Metasediments
A panel of metasediments is exposed in a southwest tributary of Talc Creek which drains

Old Settler Peak. The metasedimentary rocks consist of banded chert, grey to black
amphibolite phyllite, staurolite-muscovite-quartz schist and more rarely, thickly bedded
quartzite.
These rocks are strongly foliated. Cherty layers are boudinaged and bedding is rotated
into the foliation. All indications are that these rocks have undergone tight isoclinal
folding and now sit as steeply inclined panels along the margins of the ultramafic bodies.
5.2.3. Metavolcanics
Metavolcanic rocks are exposed along the north and western margins of the ultramafic
body but have also been mapped in places along the southern and eastern margins. In
outcrop the metavolcanic rocks commonly have a grey to green weathering and are
chlorite-amphibole rich phyllitic schists. There are some locally thin boudins of chert.
Less common are massive outcrops with a blocky fracture. Occassionally, in the less
deformed outcrops, fine to medium grained gabbroic dykes (1 m to 2 m wide) are visible
in the metavolcanic rocks.

The metavolcanic rocks are variably foliated, often with a strong lineation or crenulation
cleavage on the foliation surfaces. Foliation orientation in this unit parallels the contact
with the main ultramafic body and in most cases, dips beneath the ultramafic.
5.2.4. Metagabbro
Metamorphosed gabbroic (metagabbro) rocks outcrop on the eastern and northeastern

margins of the ultramafic body. This unit comprises highly strained, mylonitic, fine to
medium grained hornblende-plagioclase metagabbros and microgabbros. There are
occasionally coarse grained to pegmatitic phases of the metagabbro unit with anorthositic
bands that are from 0.5 cm to one metre thick.
The metagabbro unit is variably foliated and appears to have rapid textural transitions.
Foliation in the metagabbro unit follows the contact with the ultramafic rocks and in most
cases dips beneath the ultramafic rocks.
5.2.5. Late Stage Intrusives
Stocks and plugs of intermediate composition intrude the earlier lithology. These
intrusions are believed to be post-mid Cretaceous intrusions. (Troost, 1999). These are
non to weakly foliated, medium grained, quartz-bearing, hornblende-biotite diorite and
tonalite and occur in two areas on the southwest facing slope of Talc Creek. A quartz-
feldspar porphyry which intrudes the ultramafic and metagabbro contact along the
southern margin of the ultramafic body may be related to this intrusive suite. The margins
of two of these intrusions are marked by locally intense silicification and biotite hornfels,
sulphide disseminations and in places, sulphide-rich quartz veins.
5.3. Structure
The ultramafic body occurs in the upper part of the Cogburn Group. It is underlain to the
south and downslope by first the metagabbroic rocks followed by metavolcanic and
metasediments rocks.
The ultramafic body sits in a northwest-trending orientation. Foliation in the meta-

igneous and meta-sedimentary rocks dip under the ultramafic body on its northern and
southern margins. The southern contacts are steeply dipping to the north while the
northern contacts are moderately to shallowly south dipping. Stretching lineation and
small-scale fold axis in foliated rocks near the contacts plunge beneath the ultramafic
body on all sides indicating that the ultramafic body sits in a northwest-trending doubly
plunging syncline.

Payne has proposed the structural history of this area as follows:
1. Imbrication of the upper crustal metasedimentary, metavolcanic and metagabbroic

package and stacking of the deep crustal ultramafic cumulate rocks along a
northwest-southeast trending axis.
2. Counterclockwise rotation of the package along right-lateral shears and fractures.

High strain zones are developed along the margins of the main ultramafic body.
3. Development of gently plunging, north-south-trending open to closed folds which

further modify the rocks, possibly related to right-lateral shearing (Payne, 2001).
5.4. Mineralization
5.4.1. Magnesium
Whole rock lithogeochemistry has shown consistent magnesium values throughout the
ultramafic body. Ultramafic rocks are characterized by relatively high magnesium (Mg)
weight percent (wt %) (Payne, 2001). Magnesium values range from 17.55 wt % to 31.44
wt % Mg or 29.1 wt % MgO to 52.1 wt % MgO. The average magnesium grade is 25.8
wt %. Base metal values are low including nickel which has a value ranging from 1,000
parts per million (ppm) to 2,500 ppm. Iron (Fe) has a range of 6 wt % to 8 wt %.
The area around the Emory Zone has an above average grade of magnesium (> 24 wt %
Mg) and hence this area was targeted for definition drilling and subsequent mineral
resource estimate. Much of the Emory Zone is underlain by weakly to moderately
serpentinized dunite. The zone has approximately 1 to 2 % pyroxene with minor
disseminated or stringer-type chromite.
5.4.2. Sulphides
The majority of the sulphides are in the form of pyrite (FeS2) and are predominantly in
the metavolcanic and metagabbro units in the area (Payne, 2001). Finely disseminated
pyrite up to 2 % are found in small discontinuous lenses in these units. Trace
disseminated pyrrhotite occurs in some ultramafic rocks. In general, most rocks in the
project area lack appreciable sulphides.

6. Emory Zone Drilling

6.1. Introduction
Diamond drilling in 2001 under the supervision of Crest Geological identified an area on
the south side of Talc Creek that had consistently higher grade (>24 % wt) magnesium
assays. This area became known as the Emory Zone.
The purpose of the 2002 definition drill program of the Emory Zone was to define
sufficient magnesium bearing silicate to supply a processing plant for 10 to 15 years.
The Emory Zone was targeted for definition drilling based on a positive scoping study
completed by Hatch Associates in October, 2001 and on recommendations from Leader
Mining’s Senior Advisory Group in early 2002.
The drill plan was designed by Mr. D. Makepeace, M.Eng., P.Eng. and Mr. J. Chapman,
P.Eng. It called for five northeast trending fences of five drill holes defining a 50-meter
(maximum spacing) square drill pattern, using four 2001 drill holes as guides. Eleven
extra holes were bored to the north and east in the area of the Emory Zone increasing the
number of section lines to eight. The section lines were orientated (037°-217°) and were
45 to 50 m apart, defining an area approximately 350 m by 250 m (see Figure 3).
The holes were vertical (i.e. dip = -90°). The total drilling in the Emory Zone was
2,202.62 m (2001 - 298.40 and 2002 - 1904.22 m). The total depth of each hole ranged
from 35.3 to 150.6 m, with the majority of the holes being 50 to 60 m in length.
6.2. Procedures
Drill collars were located using GPS and also tight chained along slope corrected lines to
confirm location. The holes were surveyed into UTM NAD83 coordinates using
Tunbridge and Tunbridge Land Surveyors from Chilliwack, British Columbia, after the
2002 drilling (see Table 2).
Drilling was conducted with two 12-hour shifts per day, with a Longyear 38 drill using
thin wall NQ core. Drill core was placed in marked boxes and transported to the
logging/sampling facility in Hope, British Columbia where it is presently being stored.

Table 2
Emory Zone Drill Collar Data
Hole No. Easting Northing Elevation Total Depth Az / Dip
(m E) (m N) (m) (m) (°/°)
CR01-08 595455 5483801 990.0 150.57 00/-90
CR02-58 595408 5483790 1009.0 50.60 00/-90
CR01-09 595370 5483753 1018.0 46.63 00/-90
CR02-55 595399 5483849 994.0 50.60 00/-90
CR02-56 595366 5483812 1005.0 50.60 00/-90
CR02-57 595335 5483775 1018.0 50.60 00/-90
CR02-50 595350 5483865 995.9 50.60 00/-90
CR02-27 595306 5483815 1007.4 50.29 00/-90
CR02-28 595286 5483780 1026.8 50.60 00/-90
CR02-29 595259 5483738 1034.8 53.64 00/-90
CR02-30 595229 5483701 1049.8 62.79 00/-90
CR02-31 595202 5483662 1060.6 74.98 00/-90
CR02-51 595307 5483894 995.0 50.60 00/-90
CR01-23 595288 5483863 998.0 50.60 00/-90
CR02-32 595247 5483806 1025.0 50.60 00/-90
CR02-33 595219 5483769 1036.6 50.60 00/-90
CR02-34 595188 5483732 1051.0 56.69 00/-90
CR02-35 595161 5483689 1065.3 74.98 00/-90
CR02-52 595269 5483924 996.0 50.29 00/-90
CR02-36 595238 5483878 1001.6 50.29 00/-90
CR02-37 595206 5483831 1026.1 50.60 00/-90
CR02-38 595179 5483799 1040.4 50.29 00/-90
CR02-39 595147 5483761 1053.3 59.74 00/-90
CR02-40 595119 5483720 1062.0 51.00 00/-90
CR02-53 595229 5483952 995.0 50.60 00/-90
CR02-41 595199 5483910 1006.4 50.29 00/-90
CR02-42 595166 5483864 1024.2 50.60 00/-90
CR02-43 595140 5483830 1036.2 50.60 00/-90
CR02-44 595106 5483790 1050.4 59.74 00/-90
CR02-45 595080 5483748 1064.8 80.77 00/-90
CR02-54 595186 5483978 995.0 50.60 00/-90
CR01-22 595151 5483954 1005.0 50.60 00/-90
CR02-46 595123 5483895 1023.4 50.60 00/-90
CR02-47 595100 5483860 1033.1 50.60 00/-90
CR02-48 595085 5483810 1048.7 36.27 00/-90
CR02-49 595040 5483780 1070.6 80.77 00/-90
CR02-59 595147 5484007 991.0 50.60 00/-90
CR02-60 595122 5483969 1003.0 50.60 00/-90
2001 Total Emory Zone Drilling 298.40
2002 Total Emory Zone Drilling 1,904.22
Total Emory Zone Drilling 2,202.62

0
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CR02-59
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CR02-54
CR02-60
Dr CR02-22 CR02-53
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Ac
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Dr s Ro CR02-52
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5484800 mN s R CR02-32 CR01-08
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CR02-49 CR02-28 CR02-58
CR02-57 Dril
CR02-33 lA
CR02-39 cc
CR02-45 ess
CR01-09
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CR02-34 CR02-29 d
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CR02-40
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CR02-30
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CR02-35
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NW
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90
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Se
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CR02-31
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NW
00
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10
40
Se
1+
on
NW
00
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90
10
Se
0+
5484800 mN
on
5N
00
cti
595400 mE
10
+4
Se
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British Columbia
SCALE
595000 mE
595200 mE
0 50 100
Emory Zone Drill Hole Map
0
Meters
110
Date : December, 2004 Geospectrum Engineering
6.3. Samples
6.3.1. Method / Approach
The core was brought to a secure facility (fenced and locked building) in Hope. The
facility has light, power and heat. A drill core storage rack was constructed within the

building. A long slanted logging table was constructed to log and measure the core. A
diamond saw cutting room was also constructed to split the core for sampling.
At the core facility, the drill core was re-orientated for best fit, measured and marked
off at one-meter intervals for logging purposes. Each core box was clearly labeled (i.e.
hole number, core box number and core meter interval) with an aluminum tag attached
to the end of the box. During the visual logging of the core, an RQD measurement and
hardness test was completed for each lithologic section. After all measurements were
recorded sample intervals were marked off. The core was then photographed, 3 boxes at
a time.
6.3.2. Sample Preparation, Analysis and Security
The section of the core was split in half longitudinally in 3-meter or less intervals using
a diamond saw. Half the core was placed in a heavy plastic bag and given a unique
sample number. The other half of the core was placed back in its appropriate position
within the core box. The core box was then placed in the constructed core racks within
the building for permanent storage.
The plastic sample bags were then put into heavy mesh sacks. The sacks were
personally shipped by Mr. Craig Payne, MSc., P.Geo. to Assayers Canada Ltd.,
Vancouver, B.C. (2001) and Acme Analytical Labs in Vancouver, British Columbia
(2001 and 2002). A 30 element ICP analysis was run on all samples.
A total of 35 samples or one sample from every hole were sent to ALS/Chemex
Analytical Service Labs Ltd., North Vancouver, British Columbia for whole rock and
trace element analyses. A “standard internal field sample” was also submitted to Acme
Labs with every drill hole as an internal check.
Two specific gravity determinations were randomly made in each drill hole in the field.
Acme Analytical Labs completed a third specific gravity measurement on each hole as
a check.
6.3.3. Data Verification
All drill logs, analysis and assay certificates are well documented in the “Summary
Report on the Cogburn Property” (Payne, 2001) and “2002 Core Drilling Report on the
Cogburn Magnesium Project” (Payne, 2002).
6.4. Drill Results
The drill results are summarized in Table 3 with detailed documentation in “2002 Core
Drilling Report on the Cogburn Magnesium Project” (Payne, 2002).

Table 3
Emory Zone Average Drill Assay Results
Hole No. Core Length Mg
(m) (%)
CR01-08 144.47 26.10
CR01-09 45.43 26.10
CR01-22 47.55 25.45
CR01-23 46.03 24.91
CR02-27 47.85 25.08
CR02-28 49.99 25.37
CR02-29 46.94 25.23
CR02-30 61.27 26.24
CR02-31 71.93 22.17
CR02-32 49.08 24.36
CR02-33 49.08 25.80
CR02-34 55.17 25.68
CR02-35 71.63 22.86
CR02-36 47.99 24.91
CR02-37 48.47 26.12
CR02-38 48.16 26.05
CR02-39 57.61 25.09
CR02-40 47.95 20.23
CR02-41 47.85 24.86
CR02-42 49.08 24.87
CR02-43 48.47 23.05
CR02-44 54.86 22.84
CR02-45 79.25 24.33
CR02-46 48.47 23.42
CR02-47 48.47 24.75
CR02-48 34.75 22.09
CR02-49 79.25 22.29
CR02-50 49.38 25.42
CR02-51 48.77 25.10
CR02-52 49.68 23.70
CR02-53 49.99 24.32
CR02-54 49.99 22.14
CR02-55 48.77 26.10
CR02-56 49.99 24.75
CR02-57 48.77 26.19
CR02-58 48.77 26.81
CR02-59 48.77 24.29
CR02-60 49.45 25.38
Note : Core Length is from the overburden contact to the bottom of the hole
Twenty two (22) of the drill holes through the central and northern part of the Emory
Zone contained an average magnesium grade ranging from 24.29 to 25.80 % wt Mg. This
included three holes that had an average magnesium grade ranging from 26.05 to 26.24 %
wt Mg.

Five (5) holes located in the southeast corner of the Emory Zone contained an average
magnesium grade over the entire length of the drill hole ranging from 26.10 to 26.81 %
wt Mg.
The southern and southwestern part of the area drilled intersected significant intervals of
listwanite and variably altered dunite which appears to have negatively affected the
average magnesium grade of the holes in this area. The ranges of the grade were from
20.23 to 23.42 % wt Mg. One hole in this lower grade area (CR02-45) contained 29.47 %
wt Mg over 18 meters (9.0 to 27.0 m). This was the highest grade magnesium
intersection from the Emory Zone.
There appears to be no deleterious elements (i.e. Fe, Ca, total sulphur and boron)
contained in the ultramafic rocks (Payne, 2002). Samples that contained listwanite
fault/fracture zones had elevated nickel in the range of 3,068 to 3,343 ppm. Samples
containing listwanite-altered open breccia or gouge zones normally had anomalous zinc
values ranging from 1,023 to 4,852 ppm Zn.
The average field specific gravity measurement was 2.80 while the Acme average was
2.85.
Table 4 lists the drill hole assay statistics in the Emory Zone and illustrates the relative
homogeneity of the deposit
.
Table 4
Emory Zone Drill Assay Statistics
Statistics Grade
Number of Values 38
Minimum 20.23
Maximum 26.76
Range 6.53
Mean 24.57
Median 24.90
95 % Confidence Interval 0.50
99 % Confidence Interval 0.67
Variance 2.32
Standard Deviation 1.52
Coefficient of Variation 0.06
Skew -1.02
Kurtosis 0.60
Payne concludes his 2002 report by stating “Results of the Emory Zone drilling
indicates a relatively consistent magnesium grade with low levels of deleterious
elements.”

7. Mineral Resource
7.1. Methodology
It can be assumed that the ultramafic body in this area is essentially homogeneous in
lithology and mineralization, due to the detailed geological and mineralogical work that
has been completed to-date. Due to the consistent high grade (18 to 30 % Mg) no cut-off
grade was assigned. Therefore the composite value of each of the holes was the weighted
average of the entire hole.
Golden Software Inc.'s SURFER (32) V7.0 was utilized for developing the grid,
geostatistics, volume calculations and mapping of the data.
Within the program, each drill hole was assigned a “Thickness” value (composite interval
[meters]) and a “Thickness Grade” value (composite interval x composite grade [meters x
% Mg]). The data used for the estimation is shown in Table 5 and illustrated in Figure 4
(Thickness) and Figure 5 (Thickness x Grade).
Areas of influence (grid intersection values) were calculated by interpolating the area
between the drill holes with respect to the search radius. A minimum equi-distant
horizontal search radius of 40 meters was established so that all internal grid points had
values (i.e. no null values). An extra 25 meters was added to the “Thickness” value of
each hole to simulate the search radius in the third dimension (see Table 5). The data for
the entire drill hole CR01-08 (145 meters) was taken into account as part of this mineral
resource estimate. This hole illustrates the continuity of the grade of the Emory Zone and
confirms the validity of the 25-meter extrapolation of each of the holes in this area.
The interpolation method used was Inverse Distance squared using no anisotropy.
Volumes were calculated between two surfaces (Z = 0 and Z = “thickness” or Z =
composite interval x composite grade) by SURFER for each grid intersection. Three
different methods are used to calculate the volume between the surfaces (Trapezoidal
Rule, Simpson’s Rule and Simpson’s 3/8 Rule). An average of these methods is used for
the grade and tonnage calculations.
The grade for the deposit [% Mg] was derived by dividing the volume of the “Thickness
Grade” value (composite interval x composite grade [m3 %*Mg]) by the volume of
“Thickness” value (composite interval [m3]).
The tonnage of the deposit [tonnes] was derived by multiplying the volume of the
“Thickness” value (composite interval [m3]) by the tonnage factor [tonnes/m3](2.85 –
communication with Mr. J. A. Chapman).

Table 5
Emory Zone SURFER Data
Hole No. Composite Length Magnesium
Core Length Core Length + 25 m Grade Thickness x Grade
(m) (m) (%) (m%
CR01-08 144.47 169.47 26.10 4423.17
CR01-09 45.43 70.43 26.10 1838.14
CR01-22 47.55 72.55 25.45 1846.25
CR01-23 46.03 71.03 24.91 1769.23
CR02-27 47.85 72.85 25.16 1832.97
CR02-28 49.99 74.99 25.35 1900.96
CR02-29 46.94 71.94 25.26 1817.46
CR02-30 61.27 86.27 26.21 2260.97
CR02-31 71.93 96.93 22.17 2148.71
CR02-32 49.08 74.08 24.32 1801.97
CR02-33 49.08 74.08 25.86 1915.34
CR02-34 55.17 80.17 25.68 2058.41
CR02-35 71.63 96.63 22.87 2209.79
CR02-36 47.99 72.99 24.89 1816.38
CR02-37 48.47 73.47 26.23 1927.06
CR02-38 48.16 73.16 26.04 1905.24
CR02-39 57.61 82.61 25.13 2075.60
CR02-40 47.95 72.95 20.23 1475.62
CR02-41 47.85 72.85 24.79 1805.61
CR02-42 49.08 74.08 24.86 1841.94
CR02-43 48.47 73.47 23.15 1701.05
CR02-44 54.86 79.86 22.76 1817.70
CR02-45 79.25 104.25 24.26 2528.97
CR02-46 48.47 73.47 23.55 1730.34
CR02-47 48.47 73.47 24.66 1811.50
CR02-48 34.75 59.75 21.39 1278.29
CR02-49 79.25 104.25 22.27 2321.83
CR02-50 49.38 74.38 25.34 1884.63
CR02-51 48.77 73.77 25.07 1849.18
CR02-52 49.68 74.68 23.75 1773.34
CR02-53 49.99 74.99 24.31 1823.38
CR02-54 49.99 74.99 22.10 1657.18
CR02-55 48.77 73.77 26.16 1930.08
CR02-56 49.99 74.99 24.76 1856.75
CR02-57 48.77 73.77 26.19 1932.01
CR02-58 48.77 73.77 26.76 1974.02
CR02-59 48.77 73.77 24.25 1788.62
CR02-60 49.45 74.45 25.40 1891.21

5484100
5484050
CR02-59
5484000
CR02-54
CR02-60
CR01-22 CR02-53 170
5483950
160
CR02-52
CR02-41
150
5483900 CR02-46 CR02-51
UTM Northing (mN)
CR02-36 140
CR02-42 CR01-23 CR02-50
CR02-47
CR02-55 130
5483850
CR02-43 CR02-37 120
CR02-27 CR02-56
CR02-48 CR02-32
CR02-38 CR01-08 110
5483800 CR02-44 CR02-58
CR02-49 CR02-28 100
CR02-57
CR02-33
CR02-39
CR01-09 90
CR02-45
5483750
CR02-29
CR02-34
80
CR02-40
CR02-30 70
5483700 CR02-35
60
CR02-31
50
5483650
Thickness
(m3)
5483600
595000 595050 595100 595150 595200 595250 595300 595350 595400 595450 595500
UTM Easting (mE)
Search Radius : 40 meters horizontally

25 meters below the TD of each hole
Inverse Distance Squared
NORTH PACIFIC
CR01-08 - total depth 145 meters ALLOYS LIMITED
EMORY ZONE
Thickness Map
Mg40T825.grd FIGURE 4
December, 2004 Geospectrum Engineering

5484100
5484050
CR02-59
5484000
CR02-54
CR02-60 4400
CR01-22 CR02-53
5483950
4000
CR02-52
CR02-41
5483900 CR02-46 CR02-51 3600
CR02-36
UTM Northing (mN)
CR02-42 CR01-23 CR02-50

CR02-47 3200
CR02-55
5483850
CR02-43 CR02-37
2800
CR02-27 CR02-56
CR02-48 CR02-32
CR02-38 CR01-08
5483800 CR02-44 CR02-58 2400
CR02-49 CR02-28
CR02-57
CR02-33
CR02-39
CR01-09 2000
CR02-45
5483750
CR02-29
CR02-34
CR02-40
1600
CR02-30
5483700 CR02-35
1200
CR02-31 Thickness
* Mg %
5483650 (m3*Mg%)
5483600
595000 595050 595100 595150 595200 595250 595300 595350 595400 595450 595500
UTM Easting (mE)
NORTH PACIFIC
Search Radius : 40 meters horizontally
25 meters below the TD of each hole ALLOYS LIMITED
Inverse Distance Squared
CR01-08 - total depth 145 meters EMORY ZONE
Thickness*Grade Map
FIGURE 4
Mg40TG825.grd Geospectrum Engineering
December, 2004
7.2. Results
Figure 6 illustrates the “Thickness” volume while Figure 5 illustrates the “Thickness
Grade” volume of the Emory Zone. The final grade and tonnage of the Emory Zone is
shown in Table 5.

The volume between the upper surface are as follows:
Table 6
Emory Zone Tonnage/Grade Volume Calculations
Method “Thickness” “Thickness*Grade”
(m3) (m3*%Mg)
Trapezoidal Rule 8,953,822 220,016,413
Simpson’s Rule 8,975,441 220,616,455
Simpson’s 3/8 Rule 8,947,219 219,832,712
Average 8,958,828 220,155,193
Therefore the grade of the drilled Emory Zone is the “Thickness*Grade” volume
(220,155,193 m3*%Mg) divided by the “Thickness” volume (8,958,828 m3) or 24.57
%Mg. The tonnage of the drilled portion of the Emory Zone is the “Thickness” volume
(8,958,828 m3) multiplied by the specific gravity (2.85) or 25.5 million tonnes.
7.3. Discussion
A new classification of mineral resources has been enacted in Canada. National

Instrument 43-101 and its companion policy 43-101CP and technical report requirements
43-101F1 were put in place as of February 1, 2001. The mineral resource definitions are
based on the Canadian Institute of Mining, Metallurgy and Petroleum’s (CIM)
definitions, which were adopted on August 20, 2000 and revised on November 14, 2004.
Under these definitions:
A Mineral Resource is a concentration or occurrence of natural, solid,

inorganic or fossilized organic material in or on the Earth's crust in such
form and quantity and of such a grade or quality that it has reasonable
prospects for economic extraction. The location, quantity, grade,
geological characteristics and continuity of a Mineral Resource are
known, estimated or interpreted from specific geological evidence and
knowledge.
National Instrument 43-101 and CIM definition for a Measured Mineral Resource is:
A 'Measured Mineral Resource' is that part of a Mineral Resource for which

quantity and grade or quality, densities, shape, physical characteristics are so
well established that they can be estimated with confidence sufficient to
allow the appropriate application of technical and economic parameters, to
support production planning and evaluation of economic viability of the
deposit. The estimate is based on detailed and reliable exploration, sampling
and testing information gathered through appropriate techniques from
locations such as outcrops, trenches, pits, workings and drill holes that are
spaced closely enough to confirm both geological and grade continuity.

8. Conclusions
The Emory Zone has been drilled off at a 50-meter square spacing and is uniform enough
in grade and geology to comply with the above definition. Therefore, the Emory Zone has
a Measured Mineral Resource of approximately 25.5 million metric tonnes grading
24.57 % magnesium using an SG of 2.85.

9. References
Ash, C.H. (2001): Geology of the East Harrison Lake Belt, southwestern British
Columbia (092H), in Geological Fieldwork, 2001, British Columbia Ministry of
Energy Mines and Petroleum Resources, paper 2001-1, pages 197-210.
Bennett, J.D. (1989): Timing and conditions of deformation and metamorphism of the
structural packages east of Harrison Lake, British Columbia; unpublished M.Sc.
thesis, The University of Western Washington, 87 pages.
Gabites, J.E. (1985): Geology and geochronometry of the Cogburn Creek-Settler Creek
area, northeast of Harrison Lake, British Columbia; unpublished M.Sc. thesis, The
University of British Columbia, 153 pages.
Gale, V. and Thompson, A. (2001): Petrographic and SEM Study: Cogburn Project,
British Columbia, unpublished internal company report, prepared by PetraScience
Consultants Inc. for Leader Mining International Inc.,30 pages.
Harris, B. and Urquhart, R. (2001): Cogburn Magnesium Project – Scoping Study,

unpublished internal company report, prepared by Hatch for Leader Mining
International Inc. 94 pages.
Journeay, J.M. and Friedman, R.M. (1993): The Coast Belt thrust system: evidence of
Late Cretaceous shortening in southwest British Columbia; Tectonics, Volume 12,
No. 3, pages 756-775.
Makepeace, D.K. (2002): Emory Zone Mineral Resource Estimate Report, Cogburn
Magnesium Project, Hope, British Columbia, for Leader Mining International
Inc., July 3.
McGroder, M.F. (1991): Reconciliation of two sided thrusting, burial metamorphism, and
diachronous uplift in the Cascades of Washington and British Columbia,
Geological Society of America Bulletin, volume 103, pages 189-209.
Monger, J.W.H. (1989): Geology, Hope, British Columbia; Geological Survey of

Canada, map 41-1989.
Monger, J.W.H. (1991): Correlation of Settler Schists with Darrington phyllite and
Shuksan greenschists and its tectonic implications, Coast and Cascade mountains,
British Columbia and Washington; Canadian Journal of Earth Sciences, Volume
28, pages 447-458.
Parrish, R.R. and Monger, J.W.H. (1992): New U-Pb dates from southwestern British
Columbia; in Radiogenic Age and Isotopic Studies, Report 5; Geological Survey
of Canada, Paper 91-2, pages 87-108.

Payne, C.W. and Macdonald, R.W. (2002): 2002 Core Drilling Report on the Cogburn
Magnesium Project, New Westminster Mining Division, British Columbia, for
Leader Mining International Inc., June 28, 2002.
Payne, C.W. and Macdonald, R.W. (2001): Summary Report on the Cogburn Property,
New Westminster Mining Division, British Columbia, for Leader Mining
International Inc., February 8, 2002.
Troost, M.L. (1999): Structure and metamorphism of the Talc Creek area, Harrison Lake,
British Columbia; unpublished M.Sc. Thesis, The University of Western
Washington, 144 pages.

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Cogburn Magnesium Project

NORTH PACIFIC ALLOYS LIMITED

David K. Makepeace, P.Eng.

December 15, 2004

North Pacific Alloys Limited -2-

North Pacific Alloys Limited -3-

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2.1. Terms of Reference

This report was prepared by David K. Makepeace, M.Eng., P.Eng., an Independent

North Pacific Alloys Limited -5-

The claims can be accessed by logging road from either:

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North Pacific Alloys Limited

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COG COG COG COG COG

North Pacific Alloys Limited

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The Slollicum schist is described as a mid-Jurassic to early Cretaceous age, greenschist

5.2. Property Geology

North Pacific Alloys Limited - 11 -

A panel of metasediments is exposed in a southwest tributary of Talc Creek which drains

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Metamorphosed gabbroic (metagabbro) rocks outcrop on the eastern and northeastern

5.2.5. Late Stage Intrusives

The ultramafic body sits in a northwest-trending orientation. Foliation in the meta-

North Pacific Alloys Limited - 13 -

Payne has proposed the structural history of this area as follows:

1. Imbrication of the upper crustal metasedimentary, metavolcanic and metagabbroic

2. Counterclockwise rotation of the package along right-lateral shears and fractures.

3. Development of gently plunging, north-south-trending open to closed folds which

North Pacific Alloys Limited - 14 -

6. Emory Zone Drilling

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North Pacific Alloys Limited - 16 -

North Pacific Alloys Limited

Cogburn Magnesium Project

New Westminster Mining Division

North Pacific Alloys Limited - 17 -

6.3.2. Sample Preparation, Analysis and Security

6.3.3. Data Verification

6.4. Drill Results

North Pacific Alloys Limited - 18 -

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Search Radius : 40 meters horizontally

North Pacific Alloys Limited - 23 -

CR02-42 CR01-23 CR02-50

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The volume between the upper surface are as follows:

A new classification of mineral resources has been enacted in Canada. National

Under these definitions:

A Mineral Resource is a concentration or occurrence of natural, solid,

A 'Measured Mineral Resource' is that part of a Mineral Resource for which

North Pacific Alloys Limited - 25 -