Agreement
The Company can acquire a 100% interest in the 1746-hectare property by paying the claim owner and the current optionee an aggregate of $90,000 and 1,100,000 Cadillac shares over a two-year period. The agreement is subject to a 2% production royalty that can be purchased for $1,000,000. Cadillac has made an initial $20,000 payment, and has issued 300,000 shares.
Location
The Tuzo Creek molybdenum prospect, located near the town of Beaverdell in the West Kettle Valley, south-central British Columbia, is readily accessible by Provincial Highway #33 and approximately 6 km of well-established forest access road.
Geology & History
Mineralization at Tuzo Creek was discovered in1962 when minor molybdenite was recognized in surface showings. Amax Exploration Inc. acquired the principal claims in 1964 to cover a large area of altered quartz-feldspar porphyry within a quartz monzonite stock.
Apart from 15 shallow pack-sack drill holes, the property had been tested by only five diamond drill holes prior to Cadillac's 2007 initiative (See Tuzo Project Map). All earlier drilling was conducted by Amax Exploration who held the claims from 1964 to 1991.
Detailed mapping of the prospect in the mid-1960's, part of a Masters level thesis, identified a zoned alteration complex measuring more than 1600 meters along strike and about 500 meters in width. Surface mineralization consists of disseminated, stringer and fracture-fill sulphides grading outward to a hematite dominated halo. Alteration related to an early Tertiary (Eocene) porphyry stock includes argillization, silicification, and potash metasomatism. The thesis reports that mineralization varies in thickness from 161 to 313 meters.
All Cadillac and Amax drilling, which extends over 700 meters in a roughly east-west trend, shows elevated molybdenum mineralization. Potentially economic grades were intersected primarily near the apparent eastern margins of the mineralized system in Cadillac's DDH TZ07-04 and in the adjacent DDH's 66-1 and 81-5 drilled by Amax as shown on Section B-B'.
Mineralization occupies a broad zone of brecciation and related patterned fractures carrying fine molybdenite in gray quartz and as fracture fillings. This style of mineralization is similar to that of the better molybdenum prospects in British Columbia, and is nearly identical to that reported at Hi Ho Silver Resources' Carmi deposits located some 16 km to the north of Tuzo Creek.
A 15 meter section in DDH66-1 is reported to have returned 0.28% Mo within lower grade values in the hangingwall and footwall. Amax' DDH81-5 intersected strong values in the upper part of the hole, with about 45 meters carrying 0.06% Mo, including 15 meters at 0.10% Mo.
No work of consequence was conducted on the prospect after 1991 when the Amax claims lapsed, primarily as a consequence of depressed metal prices and the adverse exploration environment in British Columbia for several years.
2007 Program
Cadillac conducted a preliminary four-hole, 780-meter drill program in December to assess the character of known mineralization, and to test geological conditions on the westerly strike of the system (See Tuzo Project Map).
Management is particularly encouraged by DDH TZ07-04 which returned molybdenum mineralization over its total length of 173 meters, and bottomed in mineralization. The hole averaged 0.038% Mo over 170 meters, including 48 meters from 59 to 107 meters at 0.074% Mo. (See Tuzo Section A-A').
Potential
Neither the width, length, nor economic potential of this multi-zone system can yet be estimated from the limited work completed to date.
However analysis of assays from the 2007 program and Amax' results suggest that molybdenum mineralization is related to a northeasterly-trending set of faults, and plunges to the east rather than the west from the area of historical drilling, with an attitude consistent with topography.
The 2008 drilling program, currently in the planning stage, will test this thesis.
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