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Genesis

Target Areas and Summary

The Genesis property is largely situated within the same lithostructural corridor that hosts the Collins Bay, Eagle Point, Rabbit Lake, and Raven-Horseshoe deposits. As such, it holds considerable potential for undiscovered basement-hosted uranium mineralization. Through examination of historical assessment reports and compilation of available data, eight priority areas of interest were selected as having strong potential for structurally-hosted uranium mineralization. Selection was based on historic mineralization, geology, geochemistry and structural settings, as well as available data and targets untested by previous explorers. Currently, the most attractive targets areas are Gillies Island, Jurgen Lake, Burrill Bay, Kingston Lake, and Johnston Lake. Sava Lake, Waspison Lake, and Melnick Lake areas are considered lower-priority at this time, nonetheless display attractive features such as high uranium in lake-sediment values or favourable structures that are worthy of follow-up investigation. Before initiating the first season of field work, Kivalliq will continue desktop analysis over the entire property to determine which trends (geochemical, structural etc) are most likely associated with subsurface uranium mineralization. Proposed field work for the 2014 season includes airborne geophysics (Mag/EM, Radiometrics), ground geophysics where warranted (Mag/EM, IP, Resistivity), soil and lake-sediment geochemical sampling, geological mapping, and prospecting. Due to the large number of potential targets on the Genesis property, the emphasis will be to advance drill targets in priority areas first. These targets will be ranked using a combination of new geophysical data, plus favourable lithologies and fault orientations, high soil and lake-sediment geochemical values, and any U-bearing metasedimentary boulder trains. Those targets displaying two or more of these features will be considered as strong candidates for future drilling.

The maps below show results of an integrated analysis of fixed-wing Falcon Airborne Gravity Gradiometer (AGG) and total field magnetic surveys undertaken over select areas of interest at the Genesis Property uranium project in northeast Saskatchewan. The analysis work was undertaken by Condor Consulting Inc. ("Condor"), recognized experts in the field of integrated exploration.

A total of twenty gravity targets were identified and prioritized based on the integration of the 2016 AGG data with results from a 2015 compilation by Condor of electromagnetic, magnetic, radiometric, geochemical, biogeochemical and geological data sets. The majority of the gravity targets were identified in the Jurgen and Johnston areas, with nine and seven targets respectively.

Gravity targets, including the two highest priority targets, are spatially associated with the Jurgen 1 and Jurgen 2 target zone corridor where previous work has identified anomalous uranium soil geochemistry, biogeochemistry, boulder samples and radiometrics coincident with multiple electromagnetic conductor trends.