Ann: QUARTERLY ACTIVITIES AND CASHFLOW REPORT 30 , page-4

re: Ann: QUARTERLY ACTIVITIES AND CASHFLOW RE... Hi Rexsh

I interpret it to mean that when K20 form a MOU with the BLM to undertake an EIS, the exploration permits will be accepted and processed. This does sound extremely positive but shareholders must be used to negative news and delays.

I would like to clarify if the exploration takes place first and then the EIS (resulting in TRH securing a Preference Right Lease). I can only assume the drilling would take place first as TRH would need to obtain a better idea of the resource before committing funds to the EIS.