Ann: Drilling campaign to commence & results confirm Co-Ni-Sc, page-65

The soil samples are in line with what l expected, indications of cobalt. If you look at the Ann’s from other tenants to the west the sub structure trends deeper as it approaches malamute. So l would expect there to be traces but nothing spectacular as the ore isn’t as close to the surface as other tenants. Positive result and worth drilling based on soil results and electromagnetic imagery. Until drilling results start to come in its a gamble, imagery and soil results in my book have reduced some of the risk BUT a heap remains. With the drilling compqny buying in l assume there is cobalt in that soil, the big question remains at what concentration? If malamute returns good results, coupled with the fact that near 100% of that deposit is within the tenants boundary. I would hope they find a buyer willing to pay $0.04-$0.06 maybe more.