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Jiinuw-Y 1 5. 2008 Peige 3 <br />to the winter drilling shutdown. The second phase of drilling started in late spring 2007 and was <br />integrated with the exploration drilling program. <br />The main objectives of the characterization drilling program included (I) identifying the <br />slide plane ofthe landslide, (2) determining the extent ofrock mass disturbance in and below the <br />landslide, and (3) estimating the impact on other mining areas, specifically Z-Dip Pit and h-Pit. <br />A total of 19 continuously cored diamond drill holes were completed for this purpose. <br />Drilling focused primarily on the ground within the main landslide block. The aerial <br />photograph shown in Figure I indicates the locations of initial Phase I characterization <br />boreholes. The outlines of landslide extent are shown in green and massive slide block in blue <br />and were based on mapping the limits of'surface cracks. There were initially nine boreholes that <br />were permitted: six of which were inside the landslide block and two were in the rubble zone <br />outside the block. One borehole (07-Cil1 -C'CR) was not drilled during Phase I due to lack of <br />time prior to the winter drilling shutdown. All boreholes were completed to the target depth. <br />except one because the ground was too disturbed in the shear zone to remain encased to the <br />target depth. This borehole was terminated just below the shear zone. <br />Phase II of the characterization drilling program used the longing and sampling results <br />from Phase I drilling to locate another eleven boreholes. The one borehole not drilled during <br />Phase I (07-CilI-CCR), plus three new boreholes, were placed in the toe area of the landslide to <br />further characterize disturbance conditions. Two boreholes were placed at the crest of the <br />landslide to characterize disturbance updip of the limits of visual surface cracking. Two <br />boreholes were drilled west of the landslide to characterize ground conditions in the steeply <br />dipping beds in the K-111t area and three boreholes were placed in the Z.-Dip Pit area to <br />characterize ground conditions in the Z.-Dip Pit area. <br />Figure 2 shows the post-landslide topography with the locations of both Phase I and <br />Phase II characterization boreholes. The initial boreholes are shown as red dots and the Phase 11 <br />boreholes are shown as magenta dots in this figure. The planned groundwater monitoring holes <br />are also shown (green dots). The outline of maximum landslide disturbance is shown by the <br />green line and the extent of the massive slide block is shown by the blue line. The limit of <br />minimally disturbed landslide is shown by the red line and was estimated from core logging and <br />subsequent field reconnaissance. <br />Agap ito Associates, Inc.