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    Geological Report Notarized. 10033021 2

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    Eric Molefe

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    © All Rights Reserved
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    CONGO GEOLOGIST GALAXY SARL Mining Expertise Appartement N'5/ 2* étage, Avenue Tombalay® N°L2 eed ‘iahse/Combn te Fore) ALAXY oo eee Foy \ VDNAT 01-138-N99248P - N‘CD/KIN/RCCM/15-87677 - N'MPOT NI 43-101 Technical Report for the CEDA SA Diamond Property, ‘Sankuru, Democratic Republic of Congo Diamond Estimate Prepared for CEDA SA 15, Av Nyangwe, ter Niveau Immeuble Kin Marché Lingwala/Kinshasa-RO-Congo Project Location Lalitde: 3°25' South / Longitude: 22°40" East Province of Sankuru, Democratic Republic of Congo Prepared by: Kelly Nzambe Keyila, Senior Geologist and Manager Effective Date: September 21, 2020 Signature Date: September 21, 2020 L. 1NI45-101 Technical Repor for the Diamond Property “September 2020 f SANKURU, DEMOCRATIC REPUBLIC OF CONGO DIAMOND ESTIMATE Prepared for CEDASA 15, AV Nyangwe, ter Niveau Immeuile Kin Marché Lingwala/Kinshasa-RD-Congo Project Location Latitude: 3°25' South; Longitude: 22°40' East Province of Sankuru, Democratic Republic of Congo Effective Date: Septembre 21, 2020 (Original signed and sealed) ‘Signed at Kinshasa on September 21* 2020 Kelly Nzambe Keyila, ‘enior Geologist and Manager ., CERTIFICATE OF AUTHOR ~ KELLY NZAMBE KEYILA SU be * |, Kelly Nzambe Keyila, Professional Senior Geologist, 8.Sc. (57, Av. Mbongo, Mont-Ngafula-kinshasa-DR Congo), do hereby certify that: 1. 5, Gombe, Kinshasa, Democratic Republic of Congo. This certificate applies to the technical report entitled "NI 43-101 for CEDA SA Diamond Property, effective date of September 21, 2020 and a signature date of September 21, 2020, prepared for sana 1am a member in good standing of the Geological Society of South Africa (GSSA-967617). 1 graduated with a Bachelor of Geology degree from University of Kinshasa (Kinshasa, DR Congo) in and a PhD underway in Lomami Kimberlites. | have practiced my profession continuously as a geologist for a total of nineteen (19) years since. Kilo Gold, De Beers, Rio Tinto and numerous other Mining Companies. | have been a senior | have read the definition of “qualified person” set out in National Instrument 43-101 (“NI 43-101") and certify that by reason of my education, affiliation with a professional association (as defined in | have visited the Property from September 6 to 16, 2020, for the purpose of the Technical Report. | have prepared and written the Technical Report and | am Responsible for all Items, ' have not had prior involvement with the Property that is the subject of this Technical Report. | am independent of the issuer In accordance with the application of Section 1.5 of NI 43-101. 1. | have read NI 43-101 and Form 43 101FT, and the Technical Report for which | am responsible have been prepared in accordance with that instrument and form. am not aware of any material fact or material change with respect to the subject matter of the Technical Report that is not reflected in the Technical Report, the omission to disclose which makes the Technical Report misleading, Signed this 21° day of September 2020 in Kinshasa, Democratic Republic of Congo. (Original signed and sealed, Kelly Nzambe Keyila, Senior Geologist and Manager kellynzambe@gmail.com WG-17 Tos Fri-bardhBnu\ oi desswerei contre S Tuttle ONS cd Table des matiéres SIGNATURE PAGE - CONGO GEOLOGIST GALAXY SARI CERTIFICATE OF AUTHOR - KELLY NZAMBE KEYILA.. IMPORTANT NOTICE... 1. SUMMARY 2 INTRODUCTION. 24 Overview... = ats 2.2 Report Responsibility and Qualified Person 2.3 Sources of Information 24 _ Currency, Units of Measure, and Abbreviations... 3. RELIANCE ON OTHER EXPERTS. PROPERTY DESCRIPTION AND LOCATION. 44 Location... 16 4.2 Mining Title Status. 16 43 16 44 Erreur! Signet non defini. 45 . wel 48 — Constraints and Restrictions 19 5, _ ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY ..... 5.1 Accessibility 52 Climate 5.3 Local Resources. 54 Infrastructure... 5 Physlography 7 6 _ Information and Public Consultation Process HISTORY. GEOLOGICAL SETTING AND MINERALIZATION. 7.4. Regional Geology. 7.2. Geology of the Property... F Fad rar 7.4. _ Mineralization Eira rt fi 32 8 DEPOSIT TYPE! 9. EXPLORATION - DIAMOND... 9.1. Introduction .. 9.2. Diamond estimate, 9.2.1. Working Valuations retained. 9.2.2. Estimation of grads... 5 9.2.3, Estimation of Mineralized thickness... = 9.2.4, Estimation of Mineralized thickness according to Strahler. 9.2.6. Estimation of mineralized surfaces, 9.3. Extraction of flats from the Agta terrain modal (OTH)... 9.3.1. Classification of flats. 9.3.2. Mineralized volume. 9.3.3. Diamond potential. 9.4. Strahler calculation... ‘NI43-101 Technical Repor Tor the Diamond Property “September 2020 f 9.4.1. Mineralized surface estimate 9.4.2. Mineralized volume estimate 9.4.3. Diamond estimate nen s .5. Calculation based on the drainage length Conclusion on estimate. DRILLING: SAMPLE PREPARATION, ANALYSES AND SECURITY. DATA VERIFICATION. 12.4, Independent sampling. 12.2. 12.3. 124, CONCLUSION oreo arenes 13. MINERAL PROCESSING AND METALLURGICAL TESTING.. 14, MINERAL RESOURCE ESTIMATES. 46. MINERAL RESERVE ESTIMATES. 16. MINING METHODS 17. RECOVERY METHOD. 18. PROJECT INFRASTRUCTURE. 19. MARKET STUDIES AND CONTRACTS. 20. ENVIRONMENTAL STUDIES, PERMITTING AND SOCIAL OR COMMUNITY IMPACT. 21. CAPITAL AND OPERATING COSTS... 22. ECONOMIC ANALYSI: 23. ADJACENT PROPERTIES. 24. OTHER RELEVANT DATA AND INFORMATION. 25. _ INTERPRETATIONS AND CONCLUSIONS... 25.1. __ Risks and Opportunitios .... 28. RECOMMENDATIONS. 26.1. Geology.... ideation 26.2. Exploration Drilling Program a 3 . 52 26.3. _ Cost Estimate for Recommended Work 27, REFERENCES . APPENDIX I - LIST OF MINING TITLES... APPENDIX II - DTM BASED DIAMOND ESTIMATE APPENDIX Ill - INDICATOR MINERAL VISUAL IDENTIFICATION .. "NIA3-T01 Technical Report forthe Diamond Property -Seprember 2020 v 7 - LIST OF FIGURES Figure 4.1 — Location of the CEDA SA Diamond Property in the Province of SankUfy 1. call Figure 4.2 - CEDA SA Map of Diamond Mining Titles 18 Figure 5.1 —Map showing the Diamond Property area and access infrastructures... Figure 5.2 — Map showing the Diamond Property area and Topography. Figure 7.1 — Geological model in Sankuru 3 Figure 7.2 - Kimberiite emplacement model around Sankuru Figure 7.3 — Geology map around the Diamond Property... = Figure 7.4 ~ Simplified geology model of alluvial accumulation of Kasai diamonds Figure 7.5 ~ Congo central basin deep drilholes and CEDA SA Mining licenses. Figure 7.6 — Deep drilholes of Gilson and Dekese. “ . Figure 9.1 — Flat distribution in PR-7906... Figure 9.2 — Flat distribution in PR-7906. : Figure 9.3 — Classification according to Strahler method Figure 12.1 — One of the priority A fats visited. vette Figure 12.2 — Traditional, administrative authorities and Geologists Figure 12.3 - Sampling map within PR-7805 and PR-7906, 3 Figure 12.4 — Sankuru Hydrology modeling and CEDA SA Sampling in priority A flats. Figure 12.5 ~ Diamond Indicator Minerals within PR-7905 and PR-7906 in Sankuru... Figure 12.6 — Mineralized flats in PR-7805 and PR-7908 in Sankuru-DRC. Figure 12.7 — Diamond stones within PR-7905 and PR -7906...... Figure 23.1 — Adjacent properties to CEDA SA Diamond Property... TOT Technical Report forthe Diamond Property September 2020 w LIST OF TABLES ‘Table 2.1 - List of abbreviations and acronyms B Table 2.2— List of units Table 7.1 — Regional geology of Sankuru Table 9-1 — Grade Valuation .. mn Table 9.2 — Mineralized gravel thickness Valuation Table 9.3 - Valuation of mineralized gravel thickness Table 9.4 ~ Valuation of flat width (Strahler) . Table 9.5 — Estimated flat surface from DTM Table 9.6 ~ Mineralized volume of flats calculated from DTM (high Valuation) Table 9.7 - Mineralized volume of flats calculated from DTM (low Valuation) Table 9.8 ~ Carat estimate of License 7905 (DTM calculation) ‘Table 9.9 ~ Carat estimate of License 7906 (DTM calculation) Table 9.10 ~ Drainage length by order of Strahler Table 9.11 - Surface by order of Strahler (high valuation) Table 9.12 - Surface by order of Strahller (low valuation)... ‘Table 9.13 — Mineralized volume of License 7905 (Strahler) Table 9.14 ~ Mineralized volume of License 7906 (Strahler) Table 9.15 — Carat estimate of License 7908 (Strahle?).. Table 9.16 — Carat estimate of License 7906 (Strahier). 39 ‘Table 9.17 ~ Expected carats based on the drainage 38 ‘Table 9.18 - Expected carats (minimum-maximum), summary of three assessment methods. 40 44 46 ‘Table 12.1 ~ Sampling map within PR-7905 and PR-7908 Sankuru Hydrology modeling. ‘Table 12.2 — Kimberitic and diamond indicator mineral counts.. Table 25.1 — Risks for the CEDA SA Property. Table 25.2 - Opportunities for the CEDA SA Property, : Table 26.1 ~ Estimated Cost for the Recommended Work Program... ‘NI4S-101 Technical Repo for the Diamond Property “September 2020 vi f IMPORTANT NOTICE ‘This notice is an integral component of CONGO ENERGY DEVELOPMENT AUTHORITY, Anonymous Society, in acronym CEDA SA Diamond Property and should be read in its entirety, and must ‘accompany every copy made of the Technical Report. The Technical Report has been prepared using the Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects. Congo Geologist Galaxy Sarl (CGC) has prepared the Technical Report for CEDA SA. The Technical Report is based on information and data supplied to CGG by CEDA SA and other parties, and where necessary CGG has confirm that data and information are accurate and complete. This report is a preliminary diamond estimate based on | Terrain Model, hydrographic classification, grade and thickness valuations on mineralized flats, which does not include economic analysis. The conclusions and estimates stated in the Technical Report are to the accuracy stated in the Technical Report only and rely on asset value equivalent stated in the Technical Report. The results of further work may indicate that the conclusions, estimate and asset value equivalen in the Technical Report was revised or reviewed. It should also be noted that all estimates and approximations contained in the Technical Report would be prone to fluctuations with time and changing circumstances. The Technical Report should be construed in light of the methodology, procedures and techniques used to prepare the Technical Report. Sections or parts of the Technical Report should not be read or removed from their original context. The Technical Report is intended to be used by CEDA SA, subject to the terms and conditions of its contract with CGG. Recognizing legal and regulatory obligations, CGG has consented to the filing of the Technical Report with Canadian Securities Administrators and its System for Electronic Document Analysis and Retrieval. Except for the purposes legislated under security laws, any other use of this report by any third party is at that party's sole risk. aL ‘NTFS TOT Tonal Report forthe Dinond Property Soper TD 7 aT 1. SUMMARY Introduction Congo Geologist Galaxy Sari mandate was to prepare a Technical Report for the CEDA SA Diamond Property and to present the results of the preliminary diamond estimate using digital terrain modeling, hydrographic network classification, grade and thickness valuations of the mineralized flats. An independent sampling during the field visit should verify some areas reported as prospective to confirm valuations. The Property is at an early exploration stage with only some recent ongoing alluvial pitting programme. Congo Geologist Galaxy Sarr is an independent mining and exploration-consulting firm based in Kinshasa, DR Congo. CEDA SA is a registered Congolese company with offices in Kinshasa 15, Av Nyangwe, ter Niveau Immeuble Kin Marché Lingwala/Kinshasa-RD-Congo The technical report follows CIM Definition Standards on Mineral Resources and Mineral Reserves (‘CIM Definition Standards’). Contributors Kelly Nzambe Keyila, Senior Geologist and Manager at Congo Geologist Galaxy Sarl prepared this Technical Report. He is an independent qualified person (‘QP’) as defined by NI 43-101. Mr. Kelly is a professional geologist in good standing of the Geological Society of South Africa (GSSA-967617). He is the author of the full report. The Property is made of two mineral licenses located in the Sankuru Province (DR Congo), approximately 300 km north of the municipality of Mbuj-Mayi and roughly 800 km northeast of the capital city of Kinshasa, ‘The coordinates of the center of the Property are 3°25" and 22°40’ E (UTM coordinates 685157E and 9622191S, WGS84, Zone 34). The Property lies on map sheets $4/22 and consists of two (2) licenses (PR-7905 and PR-7906) of 800 mining squares, for an aggregate area of 67,920 ha, Each permit consists of 400 mining squares for an area of 33,960 ha or 339.6 km?. Both exploration licenses are the principal object of this technical report. Geology The Project area is located in a vast alluvial cone of the Zaire (Congo) River and its tributaries: Lukenié and Busira, among others. It is a sedimentation setting of the Pliocene and Pleistocene ages. The cone is developed on a substratum of tabular sediments of the Secondary Era, Jurassic and Cretaceous age refered to as the Kwango Series (thickness from 0 to 250 m). The base conglomerate of this Jurassic-Cretaceous series is known as diamondiferous since the 1950s. This series is barely visible in the outcrop. 'NIA3-101 Technical Repor for the Diamond Property ~ Sepiember 2020 7 9 \U UE SE ‘The current hydrographic network is erosive on the Plid=Pleistocéne detrital formations and on the Mesozoic substratum. It develops alluvial terraces, which take up sediments from the Kwango Series and Plio-Pleistocene alluvium, Data Verification Kelly Nzambe Keyila has visited the Property from September 6 to 16, 2020, for the purpose of the Technical Report. A senior consultant geologist Levesque Makuku accompanied him. The Property visit focused on an overview of flats mineralized zones, the extent of alluvial activities, looking at some beautiful diamond stones mined in the area and collecting river samples. The ‘main objective was to validate the presence of mineralization, Exploration Congo Geologist Galaxy Sarl, in terms of exploration, has described a decent exploration programme in continuity of diamond assessment based on fiat classification using digital terrain model. This field-based exploration programme should confirm valuations from DTM: - Agrade control by pitting with approximately 50 000 m should cover PR-7905 and PR- 7906. = Ageochemical campaign with a minimum of 10000 samples should indicate primary source possible locations. = A SkyTem geophysics program including airborne magnetism and electromagnetism should be complementary to geochemistry in constraining prospective areas with Possibility of locating precisely primary sources. Approximately 72 000 line kilometers should cover PR-7905 and PR-7906. - The maiden exploration-drilling program would investigate untested diamond targets along lateral and depth extensions in PR-7905 and PR7906. Approximately 10,000 m should be dedicated to this purpose. - A large part of the Property is underexplored, The new geological interpretation and recent geophysical surveys should generate many geophysical and geological targets. These targets warrant follow-up. Approximately 5,000 m should be dedicated to this Purpose. Recommendations Congo Geologist Galaxy Sarl recommends focusing future work on the confirmation of asset value equivalent in terms of grade and volume controls in the field: - Complete grade control by pitting lines through flats, with a minimum diameter of 1m down to the bedrock (the hard rock underneath alluviums and gravels). Pits should be ‘sampled in vertical slices of 20 em to confirm the overburden and gravel thicknesses and grades; ~ Complete thickness control using auger profile in order the assess the alluvium depth through the flats ‘NI43-10T Technical Report for the Diamond Property ~ September 2020 7 10 e % In the case of budget constraints, Congo Geologist Galaxy Sari recommends to undertake at least one pit line in each of interesting flats, and pit spacing of 50 m maximum. Each pit line should be encompass by auger profiles Congo Geologist Galaxy Sarl recommends that priority A flats should be tested first in both licenses. Congo Geologist Galaxy Sarl also recommends improving the geological knowledge of the Property at the exploration stage. The surface exploration based on geochemistry and geophysics, delineation drilling, further geological and structural interpretation would provide a better understanding of the mineralization. ‘Congo Geologist Galaxy Sarl recommends continuing and improving the community consultation and outreach program. Congo Geologist Galaxy Sarl has prepared a cost estimate for the recommended work program to serve as a guideline. Expenditures are estimated at USD 21,367,000 (incl. 15% for contingencies). L 'NI4S-101 Technical Report forthe Diamond Property ~ Seplember 2020 7 7 2 INTRODUCTION 21 Overview CEDA SA (or the “issuer’) retained Congo Geologist Galaxy Sarl (‘CG’) to prepare a Technical Report oe “Technical Report’) for the Diamond Property (the “Property” or the “Project’) in accordance with Canadian Securities Administrators’ National Instrument 43-101 Respecting Standards of Disclosure for Mineral Projects (‘Ni 43-101") and Form 43-101F1. Mr. KISIMBA, MUSONDA Kileshe, Representing CONGO ENERGY DEVELOPMENT AUTHORITY SA, in acronym CEDA SA assigned the mandate. This Technical Report reviews the knowledge around the region and on the Property, summarizes asset value on the diamond estimate, and presents the results on the Property as well as a geological interpretation and recommendations. To estimate the of the permits, we used asset value based on our knowledge of forest areas and alluvial diamond deposits. Congo Geologist Galaxy Sarl is an independent mining and exploration-consulting fim based in Kinshasa, DR Congo. CEDA SA is a registered Congolese company with offices in Kinshasa at 15, Av Nyangwe, 1er Niveau Immeuble Kin Marché Lingwala/Kinshasa-RD-Congo, 2.2 Report Responsibility and Qualified Person Kelly Nzambe Keyila, Senior Geologist and Manager at Congo Geologist Galaxy Sarl prepared this Technical Report. He is an independent qualified person ("QP") as defined by NI 43-101. Mr. Kelly is a professional geologist in good standing of the Geological Society of South Africa (GSSA-967617). He is the author of the full report. Kelly Nzambe Keyila has visited the Property from September 6 to 16, 2020, for the purpose of the Technical Report. 2.3 Sources of Information The authors’ assessment of the Project was based on published material in addition to the data, professional opinions and unpublished material submitted by the issuer. The author reviewed all relevant data provided by the issuer and/or by its agents. Congo Geologist Galaxy Sarl has also consulted other information sources, mainly the Congolese Government and BRGM documents and databases. - The author reviewed and appraised the information used to prepare this Technical Report, including the conclusions and recommendations, and believes that such information is valid and appropriate considering the status ofthe project and the purpose for which this Technical Report is prepared. The author has thoroughly researched and documented the conclusions and recommendations made in this Technical Report. TERT ET SPT z cL 24 Currency, Units of Measure, and Abbreviatior nore” The abbreviations, acronyms and units used in this report are provided in Table 2.1 and Table 2.2. All currency amounts are stated in United State Dollars or US dollars (S, USS, USD) Quantities are stated in metric units, as per standard Congolese and international practice, including metric tons (tons, t) and kilograms (kg) for weight, kilometers (km) or meters (m) for distance, hectares (ha) for area, percentage (%) for various needs. Tal t of abbreviations and acrony [pbbreviaons ‘and ace nitions. Pe mis de Recherche ational Instrument 43-101 ~ Standards of Disclosure for Mineral Projects peter (Rogulation 43-101 in Québec) v avenue cM Bureau de Recherche Géologique et Mine Se Bachelor in Sciences 6G [eonge Geologist Galaxy Jom [Canacian Insitute of Wining, Metalurgy and Petroleum [Cim Defintion Standards on Mineral Resources and Reserves (adopted in IM Definition Standards 2014) x tinopyroxene rat Congo, DRC [Democratic Republic of Congo lor PPiaital Terrain Model a Bast Electromagnetism SE East South East \cssa ological Society of South Africa ik imberite uso. mac Megnetometer, magnetism 7 Histor : aster in Sciences jonal Instrument 43-101 — Standards of Disclosure for Mineral Projects Ink INon kimberitie 'NI43-101 Technical Repor for the Diamond Property ~ Seprember 2020 7 eu 3 [Societe & responsabiltélimitée Quality assurance/qualty contro! P {Qualfied person (as defined in NI 43-101) M Universal Transverse Mercator [unit % Percentage om [Centimeter Ha Hectare 9 [Gram G Bilion| kg Kilogram lke Kilometer me ‘Square kilometer Mition lm ‘Meter i: Ma Milion years (annum) ‘Unit imams! Meters above mean sea level ram itimeter t Metric ton (1,000 ka) x Times or ‘NI4B-101 Technical Repor for the Diamond Properiy ~Seprember3020 7 we 3. RELIANCE ON OTHER EXPERTS Congo Geologist Galaxy Sarl has prepared this Technical Report at the request of CEDA SA. The QP assigned to the current mandate is Kelly Nzambe Keyila of Congo Geolovist Galaxy Sarl. The mandate included a review of any technical documentation and data relevant to the report, data compilation, geological interpretation, diamond estimate and recommendations fora future work program. The QP relied on the following people or sources of information during the preparation of this Technical Report: + Inaddition to technical information, CEDA SA supplied information on mining titles, option agreements, royalty agreements, environmental liabilities, and permits. Congo Geologist Galaxy Sarl verified the status of the mining titles and consulted the information provided by CEDA SAas well as public sources of relevant technical information. Congo Geologist Galaxy Sarl is not qualified to express any legal opinion with respect to property titles, current ownership or possible litigation. + Levesque Makuku (M.Sc.), senior consultant geologist, of Kinshasa University provided critical and linguistic editing of a draft version of this Technical Report. RTT em — : — 4. PROPERTY DESCRIPTION AND LOCATION 4.1 Location The Property is made of two mineral licenses located in the Sankuru Province (DR Congo), approximately 300 iin north of the municipality of Mbuji-Mayi and roughly 800 km northeast of the capital city of Kinehasa, The coordinates of the center of the Property are 3°25' and 22°40' E (UTM coordinates 685157E and 96221918, WGS84, Zone 34). The Property lies on map sheets $4/22 and consists of two (2) licenses (PR-7905 and PR-7906) of 800 mining squares, for an aggregate area of 67,920 ha. Each mining license consists of 400 mining squares for an area of 33,960 ha or 339.6 km?. Both mining licenses are the Principal object of this technical report. 4.2 Mining Title Status The issuer supplied mining title status. Congo Geologist Galaxy Sarl verified the status of all exploration titles using Cadastre Minier, the Government office in charge of mining titles’ management in the Democratic Republic of Congo, which also has an online service named “DRC Mining Cadastre Portal: flexicadastre". All mining titles are registered 100% “under new requests” in the name of CEDA SA. All claims are in good standing as of September 02, 2020. The Property lies on map sheets $4/22 and consists of two (2) licenses (PR-7905 and PR-7906) of 800 mining squares, for an aggregate area of 67,920 ha. Each mining license consists of 400 mining squares for an area of 33,960 ha or 339.6 kmé (Figure 4.184.2). 4.3. Mineral Royalties and Agreements Apart from the agreement between CEDA SA and the Government, nobody else has any royalty or other interest whatsoever in production from any part of the Property or the mining squares. \E Figure 4.1 — Location of the CEDA SA Diamond Property in the Province of Sankuru 1NI43-101 Technical Repor forthe Diamond Property ~ Seplember 2020 7 7 he (een, santins eens ect Licenses | Figure 4.2 — CEDA SA Map of Diamond Mining Titles _ 145-101 Technical Report forthe Diamond Property ~ Sepember 2020 7 Tf NU ine CEDA SA complies with all applicable laws, including environmental laws, relating to the Mining titles. There is. no existing liability associated with the Property. There are no claims related to environmental laws or damages arising from a breach of environmental laws. 45 Environment 46 Constraints and Restrictions ‘There is no particular constraints and restrictions over the diamond property directly concerned in this report, However, CEDA SA has established a continuous consultation dialogue process with communities around the project area to ensure good communication of each step of the project and to raise and discuss concems regarding natural resource development projects, including mineral exploration and mining activities, and, if applicable, have the parties determine ways to address these concerns. N148-101 Toshi Repo forte Diamond Property September 2020 f » eu 5. ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY 5.1 Accessibility The Project is located in the Sankuru Province (OR Congo), approximately 300 km north of the municipality of Mbuji-Mayi and roughly 800 km northeast of Kinshasa. ‘The Project area is accessible by air, by water and by roads. Kole and Kutu-Songo are the closest municipalities among others surrounding the Project area with airports and scheduled flights to Kinshasa. These other municipalities are Bena Dibele in the South, Lodja in the East, Dekese in the West, Loto in the North. All these municipalities are linked to the Project area by dirty roads in acceptable conditions, The Project area is accessible by mains roads and Lukenie River, which crosses the two licenses in an east- west direction (Figure 5.1). 52 Climate The Sankuru Province is in the forest under tropical climate, alternating between a short dry season (June to September) and long humid season (September to May). The climate is warm and humid; with temperatures Tange between 17°C and 34°C. Average annual precipitation indicates a mean rainfall of 1600 mm, with the highest level of precipitation occurring in March (1800 mm). Exploration and mining operations may be generally carried out year-round with some limitations in specific areas. Main exploration work should be planned from May to October. 5.3 Local Resources ‘The Project area is well serviced by many municipalities around. Qualified staff can be found throughout the region as it has a rich history of diamond exploration and artisanal production. ‘The Municipalities of Kole and Kutu-Songo are the closest supply centers with a total population around 50 000. These centers have hospitals and markets; they are supplied from rural areas and great cities like Kinshasa. 5.4 Infrastructure Cellular connections, electricity, maritime infrastructure and other services are found within 50 km of the Project. Kole and Kutu-Songo airports are located within the Project area. Water is readily available from the many tributaries of Lukenie (the main river). 5.5 Physiography The region is a succession of valleys and small hills with the presence of numerous rivers and wetlands. The Property is covered by a dense forest. Outcrop exposure is very poor: The forest cover vegetation consists of various types : Oil palm tree, Limbali, Bamboo, Punga Punga, Guava, Kythera Apple, Tondolo, Teak. The main cultures are tice, maize, sugar cans, sweet banana, spring onions, pineapple, spinach, mango, cassava, orange, avocado, lemon, chili pepper, etc. ‘NI43-101 Technical Report for the Diamond Property ~ September 2020 é 20 i. he ‘The faunais rich with protected animals like: Chimpanzee, elephant, Leopard, Buffalo, antelope, pangolin, gorilla, ‘snakes, turtles, etc. The altitude varies between 375 mams| and 685 mamsl. 5.6 Information and Public Consultation Process ‘The Property is located on a public land, most of which is dominated by forestry activities. On this lang, pEgRIe have an exclusive hunting, fishing and trapping rights. The Property also lies on traditional lands of the pygmies, tetela and anamongo community of Sankuru. Mr KISIMBA MUSONDA Kileshe met administrative and traditional authorities of Sankuru. The meeting focused on the presentation of the company, the Project (location, history of work, future work), and land use allowances. ‘The community has proposed a draft agreement and a brief description of the services that the local cooperative can provide for mining companies. Since then, communication has continued via telephone calls and text-message exchanges. NI43-101 Technical Report forthe Diamond Property September 2020 / 2 = APs ia Ke 2D Qe at "| CEDA SA Diamond Project | _iteet—— sees, Figure .1 - Map showing the Diamond Property area and access infrastructures (roads, water and airports) ‘143-101 Technical Report forthe Diamond Property ~ September 2020 n CEDA SA Diamond Project Figure 5.2 — Map showing the Diamond Property area and Topography ‘NI 43-101 Technical Report fr the Diamond Property — September 2020 ie B e 6. HISTORY The history of these mining licenses is linked to the DRC exploration programme in general and exploration of Kasat in particular (Esso Zaire SARL 1981), Exploration for diamonds in the DRC, then known as Congo Belge, started in 1900, when King Leopoldsll granted vast mining surfaces. After the discovery of the country's first diamond in 1903 in Katanga region, leading to the discovery of large kimberlite fields on the Kundelungu plateau (Batumike and al 2008), exploration spread to Kasai region. Diamonds were also discovered in Kasai region, starting with Tshikapa in 1907, followed by Mbuji- Mayi in 1918 where the geologist de Young discovered 8,840 carats in one stream sample in river Mbuji-Mayi (De Magnée 1946, De Wit MJC 2011, Fieremans MR and Fieremans CL 1993). Large alluvial and primary deposits discovery in Mbuji-Mayi led to the spreading of exploration in Sankuru region in the north, where minor and major companies started to acquire mining grounds. De Beers conducted preliminary exploration in Mbuji- Mayi, Sankuru, Kabinda and Tshikapa, all parts of the former Kasai, before the 2008 financial crisis stopped the momentum. Licenses 7905 and 7906 have short exploration history summarized as followed: - 2004-2007: De Beers DRC conducted airborne geophysics and localized field mapping - 2007 - 2016: Parc Industriel au Congo conducted alluvial diggings based BRGM report on mineralized flats identified through DTM = 2016 - 2020: Back to public portfolio ~ September 2020- Present: CEDA SA holds the licenses NU4-101 Tne Rep forthe Dison Peper Seems 2m0, 4 b @- Rhos aan oe burs e mh GEOLOGICAL SETTING AND MINERALIZATION 7.1. Regional Geology i ical interpretation ‘Over the past decade, many authors have published compilations and revisions of the geological t for the area around the Property (Lepersonne 1974, Cahen L and Lepersonne J 1978, Demaife 1991, Kadima E and al 2011, Linol B and al 2013 and 2014, Nzambe K and al 2015). Recent geoscientific compilation from Kadima (2011) using recent field observations, geophysics and new geochronological data is available. The ‘summary of this geology is presented in the table below. Table 7.1 - Regional geology of Sankuru i Regional Geology Type stratigraphy _ ree [onmation esoription ge alba sane foctresand [res Polrmorphs screed or clretised sandstone cretaseous(kwango) (range) brown medium tone sandstone, sitstone, mudsone, sted fesse Cretaceous 3 (Bokungu) [orange brown em sandstone, massive graded bes uv and aeolian envrenment bow Cretaeous2(tea) _[putplevedtrown vocsandstone,git-rvellgs, poor sorted, arksk, heavy mineallairae agro buy bee?) eetaecust{tcia) purple ec brown gravel grt, sandstone, sandy lay mat supported oom kao orange brown quartz arene [ow roo brown lite andvarved mudstone [0a Prteraoica Imetabasat local extent 00a Protercuies agit, shale roterozie2 jimesone-dolomite sromatlte structures rotrozoiea, [netasendstone metasitstone,arglite lssement ait granodiorte, ges, pyroxente amphibole has2663 Regional Geological Model 1. Cretaceous deposition on variable Archean granitoid-Proterozoic dolomite basement 2. Kimberlite intrusion at current 720-680 mams! level at 70 Ma 3. Continued Upper Cretaceous sedimentation (50-100m) 4. Gres Polymorphs formation boundary at current 830m level 5. Kalahari sedimentation 6. Mid-Tertiary peneplain, associated laterite formation (‘armour cap), Polymorphs, Cretaceous sediments, and kimberlites 7. Quaternary downcutting and erosion downwasting through Gres ‘NL43-101 Technical Report for the Diamond Property ~ September 2020 Fo 2s 8. Known occurrences are strongly associated with WNW-ESE structural fabric Karoo age dyke FB Preerxoe colorte Figure 7.4; Geological model in Sankuru 1144101 Tea Reon rte Did Romy —Sepmmirauae 7 z Ns tetra tuts? 500 oo 05 Figure 7.2: Kimberlite emplacement model around Sankuru 7.2. Geology of the Property ‘The abovementioned regional geology is in line with the Project area geology. Three separate groups of rocks from C1 to C3 are present (Figure 7.3): - PP: old alluvials and colluvials deposits - C3: Cenomanian lacustrine, fluviatile and aeolian sandstones and mudstones of Kwango series - C2: Albian fluvio-deltaic massive sandstone - C1: Aptian continental and lacustrine sandstones and mudstones 'N143-101 Technical Report forthe Diamond Property ~ September 2020 f n ec [J cepr ining Ucar Joco-Formations [lr apentae CEDA SA Diamond Project [Meise Figure 7.3: Geology Map around the Diamond Property ‘The Project area is located in a vast alluvial cone of the Zaire/Congo (Figure 7.4) River and its tributaries: Lukenié, Busira, etc. It is a sedimentation setting of the Pliocene and Pleistocene ages. The cone is developed on a ‘substratum of tabular sediments of the Secondary Era, Jurassic and Cretaceous age referred to as the Kwango Series (Robert E.M and al, 2014). The base conglomerate of this Jurassic-Cretaceous series is known as Giamondiferous since the 1950s (Bardet M.G, 1974; De Wit M.C.J, 2006; Fieremans C, 1966; Fieremans MR, 1996). This series is barely visible in the outcrop. The current hydrographic network is erosive on the Plio-Pleistocene detrital formations and on the Mesozoic substratum. It develops alluvial terraces, which take up sediments from the Kwango Series and Plio-Pleistocene alluvium. ‘143-101 Technical Repos fo the Diamond Propet - September 2020 Fa 2% LE Figure 7.4 shows schematically the geological model. Pio pisocne The subsurface geology of Sankuru is known through deep drillholes of Dekese and Gilson respectively ‘completed in 1950s and 1980s in the central basin of the DRC (Figure 7.5) for stratigraphy and oil exploration Purposes (Cahen L and al 1960, Cahen L 1981), ‘NI 43-101 Technical Report for the Diamond Property ~ September 2020 Ve a jhe CEDA SA Diamond Project Figure 7.5: Congo central basin deep drilholes and CEDA SA Mining licenses Dekese deep drillhole, located in the northeast of the two licenses, helps in the knowledge of the deeper stratigraphy within the licenses (Figure 7.6). 1145-101 Tecnica Repo forthe Diamond Popeny—Sopambr2mn0 x0 vo Dekese (core) 59pm 2s40ems armkans ed verycourse sandstones 37M brown fe sandstones 7 lack shales ed brown wow fineto Ae sandstones | Kosten Grey dlamietios = Tied brow diac ts Rectroon fine quanta sandstones fine to conse sar ones fea brn Carbonated ine sandstones Dotomtes a Figure 7.6: Deep drillholes of Gilson and Dekese rt 1149-101 Tec Repo forthe Diamond Popery September 2m20 7 31 TA, Mineralization ‘The main type of mineralization found in the property is diamond, so far known as secondary deposits. Gold and some industrial minerals, like monazite, ilmenite and zircon, are encountered in many trapsites of sand sediments, but with less extent and interest than diamonds (De Beers Annual Report 2006 and 2007). Exploration is still at early stages to establish sources, types and associations of mineralization in the property and its surroundings. 8. DEPOSIT TYPES This section is not relevant to the present report 9. EXPLORATION ~ DIAMOND. bur 9.4. Introduction seme CEDA SA diamond property is located under forest canopy. With relatively low topography, it presents two predominant shapes, which are alluvial flats and low ridges. Alluvial flats that developed in the immediate vicinity of the current hydrological network have variable widths, up to 300 m on the main rivers, with variable thickness. The ridges are interrupted by alluvial formations of plio- Pleistocene. This first phase of exploration is considered as a targeting stage through digital terrain modeling, hydrographic network classification, grade and thickness valuation of the mineralized flats. A decent field exploration should be planned if the results of this first phase is positive. 9.2. Diamond estimate Figures (9.1 and 9.2) show the location of licenses 7905 and 7906 on google earth and the image after proce showing flat distribution (in red priority A, in orange priority B and in pink priority C). Applied diamond estimate methods in the two licenses are based on the digital terrain model (DTM) interpretation ‘The diamond has been estimated in three different ways: 1) extraction of supposedly mineralized flats from the digital terrain model, 2) estimate of the mineralized volume according to the classification of rivers in a Strahler-type classification, 3) estimate based on the length of the hydrographic network. For each estimation method, a number of valuation have been madé. 1143-101 Technical Report forthe Diamond Property ~ September 2020 7 2 WU cre 'NI43-101 Technical Report for the Diamond Property ~ September 2020 9.2.1. Working Asset Value equivalent retained ue To estimate the of the licenses, we used asset value based on our knowledge of forest areas and alluvial diamond deposits. The area is considered located in a region where there is alluvial diamond. The sources of information are: ‘the knowledge of diamond prospecting in the equatorial forest, the knowiedge of Central Africa, = the history of surveys carried out by the BRGM, "the geology of diamonds, by G. Bardet (1977), * the sources available in the BRGM and Web databases. 9.2.2. Estimation of grades To assess diamond grades of alluvial type deposits in the Democratic Republic of Congo, we have two possibilities. - The estimate of a in carats per kilometer of drainage gives figures between 400 and 900 ct / km of drainage in mineralized zones. - Estimation of a in carats per cubic meter of mineralized alluvium. ‘An artisanal mining rarely has a grade of less than 0.1 ct per cubic meter and in the Kasai zone the high average grades are around 0.6 carats per cubic meter. For this first approximation of the 2 permits we will retain the following valuations: Table 9.1 - grade valuation ji Regional averages Carat per km/Carat per m® | High Valuation | Low Valuation ‘Ctvkm 900 ct/m3 400 et/m? Ctim? Z 0.6 cli? 0,1 ctim? 9.2.3. Estimation of mineralized layer thickness. The ratio of waste rock / mineralized gravel = 3.4. The average thickness of mineralized grav the Kasai zone, all rivers combined, is estimated around 0.20 m, but on the other hand, we know that the thickness of alluvial terraces on large rivers is often greater than 5m. To estimate the thickness of the mineralized gravel on the flats extracted from the digital terrain model, we will use the table (9.2) below: Large flats, downstream of rivers which are classified as priority A and which have flats often exceeding 500 m in width, are affected by a mineralized gravel ness of 5 m in a hit in order to include the possible presence of alluvial terraces. igh valuation and of 1.40 m in low valuation, ‘The smallest flats, classified in priority D, are located at the top of rivers and have little alluvium, they are valued to have the lowest thickness. 'NI43-101 Technical Report for the Diamond Property ~ September 2020 ‘Table 9.2 - Mineralized gravel thickness valuation Priority | High valuation Low valuation A 5,00 m 1,40 m 050m 0,25 m 0,30 m 0,15m 0.20 m 0,10 m |. Estimation of mineralized layer thickness according to Strahler The Strahler classification orders the rivers from the source to the mouth as in the figure 9.3 below. Itis a relative classification, which is generally used, to categorize the different branches of a hydrographic network. Strahler Figure 9.3: Classification according to Strahler method This type of classification highlights the importance of the watercourse based on its hydrographic network position. A network of order 1 is located upstream the network, it is generally a runoff zone without accumulation of sediment. On the contrary, a large river will be located at the bottom of the network in the sedimentation zones. The rivers of order 7 are the same ones that drain the priority A flats that can be observed on the satellite photos and on the images showing the flats extracted from the DTM, that is why they are given higher mineralized gravel thickness (5 m). Table 9.3 - Valuation of mineralized gravel thickness (Strahler) ‘Strahler | High valuation | Low valuation 1[0,10m 0,00 m 2[0,15m (0,05 m 3 [0,30 m 010m 4 | 0,60m 015m 5 [420m 0.35m 6 | 250m 0.70 m = 7[5,00m 140m ; 1N143-101 Technical Report forthe Diamond Property September 2020 / 38 Re We can attach an average width of flats to each Strahler value. Alluvial deposits are greater towards the base of the hydrographic network, while erosion is generally greater at the top of the river. The fiats, an alluvial zone, are better developed towards the downstream side of the river, which corresponds to a greater Strahler value. 9.2.5. Estimation of mineralized surfaces Table 9.4 - Valuation of flat width (Strahler) Strahler | High valuation —_| Low valuation i [410m Sm 2 | 25m 10m 3 | 50m 20m 4 | 100m 40 m 5 | 200m 80 m 6 | 500 m 150 m 7 | 1000m 300 m 9.3. Extraction of flats from the digital terrain model (DTM) After retrieving the digital terrain model from the CGIAR (Consortium for Spatial Information) website (hitp:/lesi.cgiar.org) with a definition of about 90 m, the model was projected (UTM projection, zone 34S). A careful processing was done to remove all the imperfections of the model. We calculate over the whole model, a direction of flow and the accumulation of flow. At each point is calculated the sum of the flow that flows into it A cutoff value of the accumulation keeps only the places where the flow is important and we obtain an image representing the hydrographic network. ‘An average surface (area) passing through the altitude of the hydrographic network is then calculated from this network. This surface gives an image of the equilibrium surface. We interpret the difference between the altitude ‘of each point of the model and the equilibrium surface as follows: * negative difference or close to zero is an alluvial zone (called flats), + positive difference is an erosional zone (without alluvial, so without flats). Classification of flats The flats resulting from the calculation from the digital terrain model have been classified from the most to the least interesting (A, B, C, D). The classification is made based on size and altitude, the lowest and widest flats were classified as A, and these are those, which, in addition to being very wide, are likely to have significant alluvial terraces. is not rigorous but allows individualizing the most interesting flats in terms of volume. qe Table 9.5 - Estimated flat surface from DTM icense [priority a (m®) [priority 8 (m*) [Priority (m*) [Priority > (m*) 7a05| 24028007] 11ssaasi|_—_11100477| 34013 7906] 24953253] 12752563] 11.987 028] 45.412] [rotat 58961260] 24637084 23087435] 73425) ‘This first calculation helps to define flat theoretical zones of around 200 km? within the two permits. 9.3.2, Mineralized volume By using the high valuation of above-defined mineralized thickness, we get the following results: Table 9.6 - Mineralized volume of the flats calculated from the DTM (high valuation) ticense [priority a(m?) [Priority (m?) [Priority (m?) [Priority D (m?) 7905| 120140035] 5942 243 3.330 143| i) 7906| 174 766 265| 6.376 280] 3.596 105] 3.089] [Total 294906300] 12318523 16926 248| 15 835 By using the low valuation of above-defined mineralized thickness, we get the following results: Table 9.7 - Mineralized volume of the flats calculated from the DTM (low valuation) lLicense Priority A(m*) [Priority 8 (m*) [Priority C (m*) Priority D (m?) 7905 33 639 210] 2971 120] 1.665 072| 3.403] 7306] 48 934 554] 3.188 143| 1.798.053] 454i| [Total 82573 764] 6159 261 3.463 125| 7943] 9.3.3. Diamond estimate To the volumes calculated above, the grade values in Table 7.1 are applied Table 9.8 - Carat estimate of License 7905 (DTM calculation) High grace (carats) |Low grade (carats) [High volume 77651 533] 12941 923| Low volume: 22.967 289] 3.827 880] ‘NI 43-101 Technical Report for the Diamond Propesty ~ September 2020 / 37 \U Table .9 - Carat estimate of License 7906 (DTM calculation) High grace (carats) |Low grade (carats) [High volume. 110 848 643] 18.474 73 Low volume 32355 173| 5 392525] 9.4. Strahler calculation : : i zi As before, we calculate a hydrographic network from the digital terrain model that we prioritize according to ‘Strahler's method. Table 9.10 - Drainage length by order of Strahler Strahler Fi al 3] al 5 a 7 7905)120286m_[1156m__[19518m__|23925m 26 724m 7906|241587m _|73725m__[a1s73m _|ao0asm _|eazom [26 398m It should be noted that on each license, the drainage does not fulfil all of Strahler's orders. 9.4.1. Mineralized surface estimate By applying the valuation of flat width defined according to the Strahler classification, we get the following results: Table 9.11 - Surface by order of Strahler (high valuation) Strahler | 2] 3] 4] 3] 7 7905|1 202 860m* [2028900m* |975900m* [2392600 m* [26 724 000m* 7906|1415 870m [1.843125 m* [2.078.650 m* [2.003 600 m* [1.234000 m* |26398.000m™ [Total [2618 720m? [3872025 m* _|[2.054550m* [4396 200 m? [1 234000m* |53122000m* The calculation using the high valuation, gives a surface of 67 km? for the two licenses. Table 9.12 - Surface by order of Strahler (low valuation) Strahler 3] 2 3 4] 5] 7 7905|601430 m= _|811560m* |390360m* |9570a0m™ [8.017 200 m* 7906{707 925 m=_[737250m=_[431460m* |8014a0m* [493 600 m* [7919400 m* [Total [2.309 365 m?]1.548 810 m"]821. 820m* [2 758.480 m']493 600 m* [35 936 600 mI ‘The calculation using the high valuation, gives a surface of 22 km? for the two licenses. NI 43-101 Technical Report for the Diamond Property — September 2020 ee 38 ju 9.4.2, Mineralized volume estimate Table 9.13 - Mineralized volume of License 7905 (Strahler) High thickness _| Low thickness High surface valuation | 135 772 951 m® | 37 971 525 m? Low surface valuation | 40 959 209 m>_[ 11 447 250 m® Table 9.14 - Mineralized volume of License 7906 (Strahler) High thickness | Low thickness High surface valuation | 135 414 611 m® | 37 889 661 m? Low surface valuation | 40 981 003 m*_| 11 460 145 m? table 7.1 9.4.3. Diamond estimate Table 9.15 - Carat estimate of License 7905 (Strahler) Low grade (carats) [High grade (carats) Low volume. 1144725] 6868 350| High volume 1357 255] 81463 71| Table 9.16 - Carat estimate of License 7906 (Strahler) Low grade (carats[High grade (carats) lLow volume: 2146 014] 6876 087| [High volume 13541461 81 248 766| 9.5. Calculation based on the drainage length ‘The table 7.17 below is based on the length of the drainage. Table 9.17 - Expected carats based on the drainage Licence’ Drainage length | High valuation Low valuation 7905 | 271 610m 271 610 ct 108 644 ct 7906 | 289 489 m 289 489 ct 115 796 ot Total 561 099 ct 224 440 ct For each license, we can calculate the diamond by using the highest and the lowest valuation as described in 1143-101 Technical Report forthe Diamond Property - September 2020 — » 9.6. Conclusion on estimate Table 9.18 below summarizes the results obtained. We notice the variation between the largest and the smallest estimates obtained on each of the licenses is significant. There is a factor of 1000 between the lowest and the highest calculated. ‘These variations can be explained by several factors: : = The working valuations (grades, mineralized thickness, etc.) are averages estimated from bibliographical knowledge. "The estimation of the flats surfaces by extraction of low zones from the DTM is generally good, but must be checked in the field in terms of mineralized gravel power. = The valuations based on Strahler must be verified in the field. However, we notice that the thicknesses calculated by the DTM and Strahler method are consistent for both licenses 7905 and 7906, which are contiguous and located in an identical morphological context. We can conclude that the diamond of each of these licenses is between 1 and 50 million carats, if one wants to be cautious. Table 9.18 - Expected carats (minimum-maximum), summary of the three assessment methods Extraction from DTM Strahler Drainage length License [Minimum [Maximum [Minimum [Maximum [Minimum [Maximum 7905) 827 880 ct [77 651533 ct_|1 144 725 ct/81.463 71 ct|108 644 ct [271.610 ct 7906] 392.529 ct [110 48 641 ct |2 145 014 ct] 82 248 766 ct|115 796 ct [29.489 ct -— 143-101 Technical Report forthe Diamond Property - September 2020 40 noe 10. DRILLING This section is not relevant to the present report 1. SAMPLE PREPARATION, ANALYSES AND SECURITY This section is not relevant to the present report 12, DATA VERIFICATION Data verification in the licenses PR-7905 and PR-7906 was completed through a site visit. Kelly Nzambe Keyila has visited the Property from September 6 to 16, 2020, for the purpose of the Technical Report. He was accompanied by a senior consultant geologist Levesque Makuku. The Property visit focused on an overview of fiats mineralized zones, the extent of alluvial activities, we look at some beautiful diamond stones mined in the area and collected river samples. The main objective was to validate the presence of mineralization. The team used GPS Garmin 64C, silva compass, Hammer, +0.425-0.71 mm meshe sieves in the field. Figure 12.1: the priority — 'NI43-101 Technical Report for the Diamond Property ~ September 2020 41 LU APs The field visit was also an opportunity to meet up with traditional and administrative authorities to discuss Sankuru diamond and development outlook (Figure 12.2). Figure 12.2: Traditional, administrative authorities and Geologists 12.1. Independent sampling Six stream sediment samples were collected at good trapsites in the priority A thick flats (figures 12.3 and 12.4), which produced high visual counts of the four keys diamond indicator minerals in the tropical region like Sankuru (gamet, chrome-diopside, spinel and ilmenite). Figure 12.3: Sampling map within PR-7905 and PR-7906 1N1 43-101 Technical Report for the Diamond Property ~ September 2020 2 L yafoig puoweig ys yaID 1143-101 Technical Report forthe Diamond Property - September 2020 \L seseeio-ouphH nimyues socues pueisy usa Ou YS WED yaloid puoweid ys VOID NI 43-101 Technical Report forthe Diamond Property September 2020 “4 \ os f Ate Figure 12.4: Sankuru Hydrology modeling and CEDA SA Sampling in priority A flats Table 12.1 gives details on the geographic coordinates of the samples collected in licenses PR-7905 and PR- 7906. sore 2 ‘e90747| 73600| I ¢72605| 682664) Figure 12.6: Diamond Indicator Minerals within PR-7905 and PR-7906 in Sankuru 12.2. Flat mineralized zones Local communities are mining mineralized flats intensively and the size of mined zones are increasing over month, because of successful alluvial mining (figure 12.6). In good flats, the grade varies between 2 to 5 carats/m3, the gravel layer thickness between 2 to 3 m and the overburden between 4 to 5 m thick. Figure 12.6: Mineralized flats in PR-7906 and 7906 in Sankuru-DRC [NI 4101 Tecnical Report forthe Diamond Property ~ September 2020 - 5 =

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