Cornerstone Capital Resources Inc. - QwikReport

CORNERSTONE CAPITAL RESOURCES INC. : http://www.cornerstoneresources.com/ : QwikReport

Labrador

Cornerstone's recent focus in Labrador has been on its Labrador Trough property located in western Labrador, a 50-50 joint venture with Altius Resources Inc. This large 625 km² property covers an extensive belt of Proterozoic sedimentary and volcanic rocks which is prospective for hosting Sediment-Hosted Stratiform Copper (SSC) and Unconformity-Associated and Sediment-Hosted Uranium deposits. Mineral deposit models akin to those of the prolific Proterozoic McArthur River -- Mount Isa -- Cloncurry districts of northern Australia are considered valid for the Labrador Trough. Cornerstone and Altius are continuing to seek a senior company JV partner to advance exploration on this large, under-explored property.

In addition to its Labrador Trough joint venture property, Cornerstone has several wholly-owned properties elsewhere in Labrador which are targeting nickel, uranium, rare earth elements (REE) and rare metals, and gold.

Click on the map below for the location of all properties.

Joint Venture & Optioned Properties:

Labrador Trough - Copper/Uranium (Altius)

Letitia Lake - REE (Rare Earth Metals)

Available for Option
100% Cornerstone Properties:

Voisey's Bay - Nickel

Aillik

Primary Target
Uranium

Location
The Aillik property is located near the northeast coast of Labrador approximately 35 km south-southeast of the small coastal community of Postville and 150 km north-northeast of Happy Valley--Goose Bay.

Property Information
The Aillik property comprises 97 mineral claims (24.25 km²) which lie immediately south and east of Aurora Energy Resources Inc.'s (100%-owned subsidiary of Fronteer Development Group, FRG-TSX) extensive mineral land holdings in Labrador's Central Mineral Belt, a region which over the past several years has become a major focus for uranium exploration. It is noteworthy that the Aillik property is situated outside the area of a 3-year moratorium on uranium mining imposed on Labrador Inuit Lands by the Nunatsiavut Government in April 2008.

The Aillik property area has been mapped by the Geological Survey of Newfoundland and Labrador as being underlain largely by prospective felsic metavolcanic rocks of the Paleoproterozoic Aillik Group, which hosts Aurora's Michelin and Jacques Lake deposits located 27 km west and 3 km north, respectively, of the Aillik property. Based on Aurora's most recent NI 43-101 compliant resource estimates, the Michelin and Jacques Lake deposits represent some of the world's largest undeveloped uranium resources.

During 2007, exploration work on the Aillik property consisted of a helicopter-borne magnetic and radiometric survey accompanied by a limited geological mapping and prospecting program. Large areas of the property are covered by glacial till which obscures the underlying geology. However, a structural interpretation of the airborne geophysical data suggests that in the northern part of the property, an east-west trending 500-1500m wide zone likely represents the eastern strike-extension of the structures hosting Aurora's Michelin, White Bear Lake and Otter Lake deposits just to the west.

Cornerstone owns a 100% interest in the Aillik property with no underlying royalties or encumbrances, and is currently seeking a joint venture partner to advance the project.

Maps


Regional Geology	Airborne U to Th Ratio

Aucoin

Primary Target
Gold

Location
The Aucoin property is located in east-central Labrador, approximately 70 km west of the small coastal community of Hopedale and 235 km north-northwest of Happy Valley-Goose Bay.

Property Information
The Aucoin property comprises 14 mineral claims (3.5 km²), and is targeting mesothermal-style gold in quartz ± carbonate veins. The property is underlain predominantly by Archean granitic gneisses of the Nain Province which are intruded by Lower Proterozoic mafic dykes. A north-south trending zone of anomalous gold in outcrop and soil samples has been traced for 800 m along strike, and remains largely untested.

The Aucoin showing was discovered in 1995 by Ascot Resources Ltd. ("Ascot"). During 1995 and 1996, Ascot completed line cutting, geological mapping and prospecting, soil geochemistry, magnetometer and VLF-EM surveys and diamond drilling (8 short holes totalling 461.7 m). Seven of eight holes intersected gold mineralization, with a best intersection of 4.55 g/t Au over 5.0 m returned from hole AR96-02 within a broader zone that averaged 1.82 g/t over 16.1 m. Drill testing was limited to shallow depths (<= 50 m vertical) along only 100 m of strike length.

Since acquiring the Aucoin property in 2003, Cornerstone has carried out a digital compilation, lake sediment geochemical survey, geological mapping and prospecting, hand trenching and rock sampling. At the Aucoin showing, grab samples containing coarse visible gold have returned high grade gold values up to 477.5 g/t Au, and grab samples at the Turpin showing located 600 m to the south have returned up to 3.09 g/t Au. This latter quartz vein has a minimum width of 8 m, although large portions of the exposed vein appear to be substantially barren. Multiple rock grab samples between the Aucoin and Turpin showings have returned gold values in excess of 1 g/t Au (up to 6.55 g/t Au), indicating an auriferous zone with significant strike length. An approximately 1,000 metre diamond drilling program is proposed to test priority targets.

Cornerstone owns a 100% interest in the Aucoin property subject to a 2% NSR, half of which may be purchased at any time for $1 million, and is currently seeking a joint venture partner to advance the project.

Maps


Aucoin Regional Geology	Aucoin Compilation Map

Photos


Aucoin Showing - Coarse Visible Gold	Aucoin Showing - Tension Quartz Vein	Base Metals + Gold- Bearing Quartz Vein	Turpin Showing - Hand Trenching

Garland

Primary Target
Nickel

Location

The 52.5 km² Garland property is located approximately 30 km south of Voisey's Bay. It consists of three licences covering the on-strike extensions of a series of AMT anomalies detected by an Inco Audio-magnetotelluric (AMT) survey completed in 2000. It is 100% owned by Cornerstone.

Property Information
In 2000, Inco completed AMT surveys over the area including areas covered by the current Cornerstone property. This work identified anomalies defined as a series of zones of higher conductivity interpreted to lie at a depths greater than 800 m. Reports filed by Inco with the Government of Newfoundland & Labrador in 2001 indicate areas surrounding the AMT anomalies are locally underlain by troctolitic rocks considered favourable for hosting Voisey's Bay style Ni sulphide mineralization. Cornesrtone acquired the current property in 2005 in

Photo Gallery

advance of Inco staking more than 1,700 km2 south of Voisey's Bay which surrounds Cornerstone's property. Inco's staking is considered an endorsement of the exploration potential of the area, which has been highlighted by several public statements made by Inco executives about the Garland area. Cornerstone, together with Inco and former joint venture partner Celtic Minerals, completed an airborne gravity gradiometry survey over the project during the first half of 2006.

The AGG survey was undertaken to detect high density zones (gravity highs) reflective of underlying troctolitic rocks similar to those which host the nearby Voisey's Bay deposit. Results for the survey have identified a series of gravity anomalies potentially associated with buried troctolitic rocks, including an east-west elongated gravity high measuring 1.5 km x 2.5 km on the northern claim block; and a 3 km x 2 km anomaly on the southern claim block, straddling the joint venture's southern boundary with Inco claims. Click here to view the AMT map and here for Gravity section. Magnetotelluric (MT) geophysical surveys over the two gravity anomalies were completed in early July.

Kâuk

Primary Target
Nickel

Location

This 16.25 km² property consists of one licence owned 100% by Cornerstone. The property is located 80 km northwest of the Voisey's Bay mine.

Property Information
The Kâuk property covers a discrete body of troctolite mapped by the Geological Survey of Newfoundland & Labrador. The troctolite body, which has a minimal surface exposure of 1 km², has not been systematically explored, although parts of it were included in separate properties explored by three junior companies in the rush that immediately followed the discovery of the Voisey's Bay deposits in 1994. As with the Notakwanon project, discrete bodies of troctolitic to olivine gabbroic rocks are considered rare in the region but are recognized to be an essential host rock to Voisey's Bay style mineralization

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This page was created on Fri Sep 10, 2010 at 1:58:00 PM Pacific Time.