buyers building, page-3

The first round of 2000 meters of drilling around Virgin is expected at the end of November. This includes drilling on the newly discovered and recently mined main vein (at 12 g/t) down to 120 meters and resource drilling around the vein and open pit. Suggestion was that they would quickly go into a second phase of drilling on open enriched zones if such zones are found.

A second phase of scout / exploratory drilling for 2,500 meters will following running about one kilometer north and one kilometer south of the main discovery zone. This will consist of a number of "fences" spaced about one hundred and eighty meters apart seeking repeat structures.

My guesstimate is that they are aiming at a resource of around 250,000 ounces in this first and continuing phase of drilling. They already have about 50,000 resource ounces of gold in very shallow and cheap to mine areas. Assume that they could be in production in mid 2004 from these areas via toll treatment arrangement with Sons of Gwalia.

A third round of 500 meters of drilling will follow at Langley's about 20 kms.? south of this discovery. Langleys is an old mined, shallow, open pit area that has a potential gold resource zone in the bottom of the open pit.

Good luck to all longs.