royal falcon's maiden world class ore deposit , page-7

Hi Tibbs,

After re-reading the announcement it seems as though Royal Falcon has first rights to increase their interests at the Falun Project. If they choose not to increase their interests (i.e. spend a further US$3 million) that is when point 3 takes effect which gives Drake the right to fund their respective share (49% or 25%).

2) Royal Falcon can elect to spend a further US$3 million to earn an additional 24% interest in the Falun and Bersbo Projects.

3) Drake will have the right to fund their respective share (49% or 25%) of project exploration, feasibility, mine development, or mine development costs when these funding requirements have been met

JB