Norton Lake Operations

The Norton Ni-Cu-Co property is comprised of 476 claims (approximately 19,000 acres) located approximately 400 kms north of Thunder Bay in Northern Ontario. Cascadia is the operator of the project, with an earned 51% working interest, on the property. There is a 2% NSR on the property with is due to original vendors. East West Resources Corp. and Canadian Golden Dragon own the remainder of the working interest on the property

The Norton Lake Ni-Cu-Co-PGE Deposit (the Deposit) is a 2.457 million tonne single sulphide lens containing 36.433 million lbs of Nickel @ 0.67%, 32.942 million lbs of Copper @ 0.61%, 1.710 million lbs of Cobalt, and 36.674 oz of Palladium based on an Independent Mineral Resources Estimate prepared by Caracle Creek International Consulting Inc. of Subury, Ontario. The 43-101 Report can be found in under our Press release section, dated January 1, 2007

Independent Mineral Resource Estimates for the Norton Lake Deposit

Type	Tonnes	Nickel Ni Grade %	Copper Cu Grade %	Cobalt Co Grade %	Palladium Pd Grade (g/t)
Measured	1,769,721	0.67	0.61	0.03	0.46
Indicated	488,933	0.67	0.61	0.03	0.47
Inferred	198,571	0.66	0.59	0.03	0.47
TOTAL	2,457,225	0.67	0.61	0.03	0.46

The deposit itself has been traced by diamond drilling over a strike length ranging from 225 to 300 meters, and locally to a depth of about 400 meters, with true widths of 5 to 10 meters. The magmatic Ni-Cu-Co-PGE rich mineralization occurs along the base of a thin mineralized ultramafic pyroxenite body which is only present in drilling due to poor surface exposure. Similar pyroxenite occurences are reported locally throughout the 20 km strike length of properties based on historic diamond drilling and surface mapping in the area.

Further exploration efforts will focus on increasing the overall tonnage of the deposit as well as the potential discovery of new Ni-Cu-Co PGM lenses along the rest of the properties.

During the 2007 field season, a detailed gravity survey and high resolution AeroTEM airborne geophysical survey were carried out over the western part of the properties to potentially map the distribution of altramafic pyroxenites in the vicinity of the deposit. Several coincident gravity-AeroTEM targets were outlined which correlated with small outcropy of previously mapped ultramafic pyroxenite. These targets have been selected as high priority Ni-Cu-Co-PGE targets for follow-up drilling. Along the eastern part of the properties, line cutting and soil geochemistry were carried out in conjunction with an AeroTEM airborne geophysical survey to map out potential Ni-Cu-Co-PGE targets in a previously untested part of the property. Several quality AeroTEM conductors were outlined but target prioritization will depend on the results of the soil geochemistry.

 

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Norton Lake Historical Operations

A 250 m long massive sulphide Cu-Ni zone known as the Norton Lake Cu - Ni deposit which was initially evaluated to the 100m (300 feet) level, where a total of 944,500 tonnes of 0.72% Ni and 0.56% Cu were calculated by Hill, Delaporte and Goettler Ltd. in 1981. The NOrton Lake Project is an Archean aged Gabbro ultramic intrusion greenstone belt north of the Nipigon Plate.

Cascadia optioned a 164 and 152 claim unit group in the Norton Lake area, Thunder Bay from East West Resources Corp. and Canadian Golden Dragon Resources Ltd. Cascadia to earn a 51% interest in both claim groups by spending $1.5 million by November 1, 2010 and may earn a 60% interest by completing a feasibility study to the standards of the TSX and may obtain a 70% interest by financing the property to production. Options payments are to be made in stages, totaling $150,000 over 7 years.

A $150,000 drill program completed in spring 2004 tested the down dip and plunge of the 944,500 tonne Ni-Cu-Co-PGE deposit, as well as other EM conductors that had been outlined by previous INPUT EM surveys and a helicopterborne EM survey flown by East West in February 2003. Magnetic surveys and geological mapping completed in September 2003 located other favourable pyroxenite host rocks extending eastward from the Norton Deposit. Outcrops and old drill holes have also located pyroxenite near several EM conductors on the eastern part of the property near a large fold nose.

Previous work on Norton did not include systematic sampling for Cobalt (Co), or PGE (Platinum Group Metals (Pt - Pd). The structural setting had not been pursued in that a shallow plunge to the sulphide zone is evident and structure appears to play a role in the geometry of the sulphides.

The Norton deposit was discovered by drilling an EM conductor and has been delineated by 20 holes drilled at 50 metre intervals on 5 cross sections giving the known deposit a 250 m strike length and true thickness ranging from 2.8 m (9.3 ft.) to 10.6 m (35 ft.) with an average of 7.1 m (23.43 feet). The 944,500 tonne reserve was calculated by Hill - Delaporte - Goettler Ltd. in 1981 and a table presenting their findings is presented below. This information is taken from the Ontario Ministry of Northern Development and Mines (MNDM) files and an OGS open file publication on the area.

Weighted Average Assays of Intercepts for Norton Deposit

Section	DDH	True Width	% Cu	% Ni	Dip Length	# of Samples in Interval
0+00	U-4 U-14 U-15	10.6 10.6 3.5   9.4	0.63 0.44 0.32   0.54	0.545 0.72 0.76   0.62	60 40 20   120	23 12 2
0+50E	U-2 U-3 U-13	10.4 10.4 3.2   8.2	0.65 0.4 0.534   0.51	0.74 0.93 0.586   0.8	59 48 43   150	8 19 4
1+00E	U-1 U-12 U-19	8.6 4 5   5.7	0.823 0.584 0.64   0.71	0.924 0.87 1.18   0.97	48 75 57   180	4 4 6
1+50E	U-6 U-7 U-16	8.2 5.8 2.8   6.05	0.36 0.59 0.82   0.49	0.69 0.57 0.84   0.66	68 62 40   170	10 7 1
2+00E	U-8 U-9 U-17	1 7.8 5.2   5.4	0.48 0.63 0.52   0.58	0.56 0.49 0.73   0.585	25 50 50   125	1 11 7
2+50E	U-18	5.5	0.5	0.25	45	5
Total average:			7.1m	0.56	0.72
264,460 m3 @ 0.28 m3/tonne = 944,500 tonnes

Due diligence by Golden Dragon / East West Resources was carried out to confirm the previous assays and to determine the presence of any PGE or Cobalt (Co) values. The core was resampled using the remaining split half cores from the previous split intervals and a total of 20 confirmation assays have now been completed. These initial 20 samples were taken from as many holes as possible to represent both average, low grade and high grade Cu - Ni grade mineralization to determine the distribution of PGE or Cobalt values. These results are presented below. Reassaying was done by ALS Chemex in Vancouver using ICP (induced coupled plasma) analysis for the base metals (Ni - Cu - Co), and fire assay extraction with ICP finish (FA - ICP) for the PGE (Pt - Pd) and gold (Au) values. The previous 1980 - 1981 assaying for Ni-Cu was completed using atomic absorption (AA) finish on pulverised cores dissolved in a HCl-H2NO4 acid digestion. These AA results are very accurate and are acceptable in that they fall within the same range as the ICP results. These AA methods are still used today especially where high values occur such as cases like the Norton Lake deposit. An additional 40 samples taken during the resampling were submitted for assay and these results are now included in the Table of Confirmation assays. Higher PGE and Co values were obtained in the second batch of samples due to the fact that more drill holes were included from different parts of the zone.

Cobalt (Co) values up to 2.4 lbs per tonne were obtained and this includes 25 samples with over 1.0 lb per tonne Co. This high value of 1.92% Ni compares with previous AA assays, where 1.8% Ni values were obtained. Nickel (Ni) values are as high as 1.92% Ni with 13 of the 60 samples containing greater than 1.0% Ni. PGE values up to 4.38 grams occur, however some of the highest values occur where the Cu:Ni ratio is high as opposed to a high Ni:Cu which is the more common metal ratio in the deposit. High PGE values correlate with average Cu-Ni values as well. Overall the Pd:Pt ratio is roughly 4:1, suggesting remobilization of PGE values (Pd) possibly related to metamorphism and shearing. Nine of the 60 samples gave over 1.0% Copper (Cu). In the first assaying reported by Wasabi Resources Ltd. in 1981, 24 sample splits from 11 of the 20 holes exceeded 1% Ni (assessment files MNDM).

Examination of the core revealed that the sulphide zone occurs along a contact of basalt (pillow lava) and a tuffaceous-sediment. The sulphides are located in an ultramafic rock, which is now metamorphosed and altered resulting in pyroxenite phases with actinolite-tremolite alteration minerals. The main sulphide minerals are pyrrhotite-pentlandite-chalcopyrite and minor pyrite. Metamorphic grade is lower amphibolite-facies. Minor garnet has been noted in chlorite alteration zones in the wall rocks. Further petrology and lithochemical analysis may determine the origin of the ultramafic host unit.

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