Mineral Assessment Report 19990025

Exploration of West Peace River Diamond Indicator trend.

Permit Holder: TUL Petroleums Ltd.

Authors: Stapleton, M.J., Land, P.

Executive Summary

A significant exploration effort has been made by TUL over three assessment periods in the Peace River Lowlands west of Peace River, Alberta. The permit land is located in townships 82 to 91 and ranges 1 to 12W6 or NTS map sheet 84D. Montagneuse River and Many Islands Creek diamond indicator minerals (DIMs) anomalies were identified. Each centres on south west trending tributary valleys to the Peace River Channel. Broader exploration suggests that the DIMs anomalies lie within a larger proposed West Peace River Diamond Indicator Geochemistry Trend (an area of high quality kimberlitic indicator and diamond indicator mineral occurrence in significant populations.)Most Peace River kimberlites have been found within DIMs trends as defined by the Alberta Geological Survey. The rationale for exploring DIMs trends is that clusters of kimberlites leave a footprint of indicator minerals around them.

The significance of the West Peace DIMs Trend is probably best illustrated by a high-pass aero magnetic survey carried out west of Hines Creek to Bear Canyon. The survey shows a broad-scale view of an area of unique geophysical and geochemistry character and mineralization. Previous to this report the West Peace DIMs Trend boundaries were undefined. There was not enough information north of the Clear Hills to propose a northern extent and it was not known if two additional DIMs anomalies to the west should be included. Additional geochemistry and regional aero magnetic data resulted in delineation of proposed boundaries for the Trend. Other exploration, from Spirit River to Manning, suggest that concentrations of minerals, such as in the Clear Hills Iron Ore deposit, are more widespread than previously thought. Source and mechanism for deposition is not agreed upon. Proposals involving sea floor oases, brine transport, sedimentary deposition and meteorites have been made. Volcanism seems to be the least popular proposal.

Exploration drilling in Montagneuse River Valley yielded geochemistry that supports a TUL proposal for mantle tapping events there, but these have not proven likely to be very diamondiferous.