TIGMR Agreement
In late 2006, Dominion Minerals Corp. signed a comprehensive Joint Venture Agreement with the Tianjin Institute of Geology and Mineral Resources ("TIGMR"). TIGMR is one of, if not, the most prestigious and largest government run geological institute in China. For a 30% interest in the Joint Venture Company - "Empire (Tianjin) Resources Co., Ltd." (or "JVco"), TIGMR will contribute "Cooperation Area Licenses" and mineral data. Dominion will contribute $1 million representing a 70% interest in the JV co. Dominion's 70% interest is in place at this time. The Joint Venture Agreement includes properties that may contain world-class copper/gold deposits.
Dominion has also signed a Joint Venture Agreement with Diying (Tianjin) Mining Science and Technology Development Co., Ltd. ("Diying"), a 100% wholly-owned subsidiary of TIGMR, to jointly explore mineral properties solely and/or jointly held by TIGMR as well as newly identified mineral zones. Under the terms of the Agreements, Dominion and Diying will form Empire (Tianjin) Resources Co., Ltd. ("Tianjin"). Dominion owns 70% of Tianjin. Tianjin will explore for and develop metals and other mineral products as well as provide mining and exploration consulting services. Diying has been given the sole and full authority and rights for all the exploration licenses that TIGMR holds. Under the terms of the Agreement, Tianjin has the first rights of refusal for all the licensed exploration areas. The formation of Tianjin allows Dominion to expedite the exploration process with TIGMR.
Prospective Properties
Tianjin is currently reviewing four designated highly prospective properties in Inner Mongolia and Xinjiang autonomous regions currently being worked on by TIGMR.
White Lake (Chaganhoer) Copper Prospect
The White Lake Copper Prospect ("White Lake") is located 3 kilometres north of Bayintela in Inner Mongolia. The entire region occurs within the Tian Shan Fold belt, the orogenic zone between the Siberian Plate and the North China Craton. Rocks of the Cenozoic uncomfortably overlie late Palaeozoic rocks in the area. The Palaeozoic rocks consist of Upper and Lower Carboniferous sediments and Permian intrusives. This target has many features in common with the large Chagansuhuer copper deposit just across the border in Mongolia. White Lake mineralization consists of porphyry style copper mineralization hosted by the Chaganuoer granitic unit. The host rock outcrops within an area of 6 to 7 square kilometres. A number of fracture zones hosting mineralization have been delineated on surface ranging from 10 to 200 metres in width with strike lengths ranging from 100 metres to 1 kilometre. Zoned alteration assemblages - argillic, propylitic and potassic, typical of porphyry systems have been observed and mapped. Surface sampling has returned typical copper grades ranging from 0.3% to 0.8% with high grade sections up to 2%. Minor gold has also been noted. Previous work includes some small scale mining. Past work by TIGMR includes some geological mapping, surface sampling and geophysics, identifying four prominent geophysical targets ready for drilling. Two holes intersected 109 metres and 97 metres of mineralization.
Hero Hill (Bateaobao) Copper Prospect
The Hero Hill Copper Prospect ("Hero Hill") demonstrates widespread classic porphyry style alteration and mineralization within the Permian monzonite, covering 4 square kilometres. In 2004, Tianjin Geological Survey Center conducted phase OP, magnetic and gravity surveys on Hero Hill. Hero Hill has exposed Middle Hercynian monzonitic granite and quartz diorite with relics of plagioclase amphibolite and marble lenses of unknown age. Silicification and argillic alteration are widespread and mineralization occurs within the monzonite. Principal sulphides are chalcopyrite and pyrite which occur in fractures, veinlet stockworks and sparsely disseminated within the host rock. Surface samples returned mineralization grades of 0.3% copper with a maximum of 0.96% copper.
To date, seven copper target zones have been delineated ranging from 4 to 190 metres in length and 1 to 12 metres in width. One drill hole (325.17 metres) tested a moderate IP anomaly in the northern portion of the property and intersected mineralization 300 metres thick extending to a depth of 311.36 metres with copper grades ranging from 0.04 to 0.6% copper.
Rich Hill (Shaertaolegai) Copper Prospect
The Rich Hill Copper Prospect ("Rich Hill") is located 30 kilometres east of the Town of Mandula and 15 kilometres from the White Lake Prospect. Copper mineralization is hosted by Permian tonalite and monzonitic granite occurring along tectonic fracture zones within the three Permian aged intrusive phases found in the area. Preliminary work has defined zones of sericite, epidote, chlorite, argillite and silicification near two principal mineralized zones. The larger of the two is at least 270 metres long and 2-8 metres wide extending southeastward into a basin with Cretaceous cover and northward into a depression with thick residual sediments. Two trenches, returning average copper grades of 0.65% and 0.54% respectively, have transected this feature. The second zone outcrops for 160 metres and is again opened ended. The mineralization occurs over 1 to 8 metres and averaged 0.72% Cu. Additional geophysics is needed to trace the full extent of the mineralization.
Celestial Hill (Chaganhadamiao) Copper Gold Prospect
The Celestial Hill Copper Gold Prospect ("Celestial Hill") occurs 1 kilometre southwest of Chaganhadamiao in Damao Banner. Permian diorites and granitic units intrude a sequence of Upper Carboniferous lithic and calcareous sediments. Zones of kaolinite, limonite, jarosite and silicification are observable. Copper mineralization occurs in the Chaganhadamiao ductile shear zone. The fractural zones strikes northeast, is 140 to 800 metres long and 40 to 80 metres wide at surface. Copper mineralization occurs at places where limonitization and silicification are strongly developed. Preliminary chip samples have returned grades of 0.2 to 4.3% copper.
Program
Dominion is working with its geologists to develop NI 43-101 reports on the TIGMR properties and anticipates commencing exploration programs in spring 2007 as detailed below:
| Project |
Rich Hill |
Hero Hill |
White Lake |
Celestial Hill |
| Geology |
$70,000 |
$50,000 |
$45,000 |
$25,000 |
| Assays |
50,000 |
30,000 |
30,000 |
15,000 |
| Geophysics |
150,000 |
150,000 |
150,000 |
0 |
| Drilling |
120,000 |
0 |
0 |
0 |
| Fuel and Camp |
40,000 |
5,000 |
5,000 |
4,000 |
| Professional Services (NI 43-101, etcÉ) |
25,000 |
15,000 |
12,000 |
4,000 |
| Miscellaneous |
45,000 |
30,000 |
30,000 |
17,000 |
|
$500,000 |
$280,000 |
$272,000 |
$65,000 |
|