%+ '$# $) %, %*$ " $ $ ' %' !()'-!" %( %"%! " *'+ - % %$! $)! " $)!" !$ ' "! )( ! $ '%& ')- % % "!#( (( ((# $) ' ) ((* & *# ' % %"*# ( !!

001L/14/0215

Seventh Year Assessment Report on Prospecting, Rock, Stream and Soil Sampling, and Radiometric Surveying Licence 10689M, NTS 1L14 Burin Peninsula, Newfoundland Submitted by: Keith Kelloway (Licence Holder) Work year: 2011.03.30 to 2012.03.30 Total claims: 8 Total Expenditures: $3055.37

Table of Contents Introduction 01 Location, Access and Physiographic Setting 01 Geology 04 Previous Work 04 Current Exploration Program 05 A. Radiometric Survey 05 B. Till Survey 07 C. Stream Sediments 09 D. Quarry 09 E. Other 09 Recommendations 11 References 11 List of Figures and Tables Figure 1. Property Location Newfoundland 02 Figure 2. Claims Location Map 10689M 03 Figure 3. Total Radiometric Survey Map 06 Figure 4. Till Location Map 08 Figure 4. Rock and Stream Sediment Location Map 10 Table 1. Radiometric Data 05 Table 2. Till Sample Data 07 Table 3. Stream Sediment Data 09 Table 4. Other Sample Data 09 Appendices Appendix A. Geochemical Reports Appendix B. Statement of Expenditures 6 pages 1 page

01 Introduction The property was staked for its REE potential. Slightly anomalous values were obtained in pond and stream sediments but tills collected from those ponds drainage areas were not. The best rock exposure is in a quarry but again, no anomalous rare earth values were obtained. Information received at the 2011 CIM Conference inspired redoubling of exploration. There it was learned that the incompatible elements tin, fluorine and thorium found in the area can be indicators of the presence of REE s. Indeed, one stream sediment was collected that finally gave anomalous values for several rare earths. Location, Access and Physiographic Setting The Hjelm Ridge property is located within NTS area 1L/14 (Figure 1.). It lies on Route 220 on the Burin Peninsula of southern Newfoundland about 8 km west of the town of St. Lawrence (Figure 2.). There is a gravel pit at the southern end of the property just off the highway. One can park in the pit or anywhere along the highway and access the property. The terrain is relatively flat lying, grading gently to a hummocky moss covered northsouth running ridge. The local name for the ridge is the Fox Hummocks but geologists working here in the 1970 s named it Hjelm Ridge. There are close-growing conifers on the west side of the Ridge which make for difficult walking. The top of the Ridge is treeless. The entire area is covered with a varying amount of glacial till, and numerous glacially derived boulders. There is little bedrock exposure.

02 µ Lic 10689M NTS 001L/14 0 25 50 100 150 200 Kilometers Figure 1. Property Location Newfoundland

03 H R J E L I D G M E Licence 10689M 0 380 760 1,520 2,280 3,040 Meters Figure 2. Claims Location Map 10689M

04 Geology Regional Three groups of rocks underlie the boot of the Burin Peninsula. A thick succession of sedimentary rocks that includes conglomerate, sandstone and siltstone comprise the Precambrian Musgravetown Group. These sediments are conformably overlain by Precambrian volcanics, primarily pillow lavas, waterlain pyroclastics and ocean tholeiites of the Burin Group. The Precambrian basalts and rhyolites of the Marystown Group lie unconformably over the rocks of the Burin Group, and were extruded primarily in a subaerial environment. The Cambrian fine-grained clastic sediments of the Inlet Group are conformable over the volcanics, and are believed to have been deposited mainly in a shallow water environment. (Strong, et al., 1978) Intrusives in the area include Precambrian plutons, which are predominantly gabbroic in composition. Carboniferous magmatism resulted in the intrusion of an alkali to peralkaline alaskite St. Lawrence Granite, which exhibits sharp contacts with the preexisting units as well as extensive hornfelsing of the surrounding country rocks. (Holmgren and Kowalchuk 1983) Local A lobe of the St. Lawrence granite underlies the property. This lobe is referred to as the Lawn Granite. Basalts of the Marystown Group underlie the northeast corner of the property. This corner also contains hornfelsed rocks. By Others Previous Work Extensive exploration has been carried out on the St. Lawrence granite. During the period of 1969-1971, Radex Minerals Ltd. carried out geological mapping, geophysical and geochemical surveys, and diamond drilling in this area. Golden Dory Resources staked the whole of the granite in 2007 and conducted an airborne radiometric and magnetic survey. Licence 10689M was included in this survey. By the Author A. Radiometric Field Survey: a radiometric field survey using a hand-held scintillometer was conducted on the property. Readings were recorded at 100 m intervals along the UTM topographic grid. One hundred eighteen readings were taken. B. Pond and Stream Sediments: four lake sediments and three stream sediments were collected on the property. The most notable result was 396 ppm U from a lake sediment.

05 C. Till Sampling: numerous till samples have been collected on this property. Twentyseven were collected on the Lane s Pond Copse as this area was identified as a tin anomaly in the 1970 s. No anomalous metals were uncovered. Thirty-two till samples were collected on the hill to the east of the pond (Fox Hummock Pond) that gave the 396 ppm U. Again, there were no anomalous results. D. Rock Sampling: forty grab samples, mainly from the quarry, were collected. Hot spots, as discovered by a scintillometer in the quarry, gave elevated thorium. The most interesting result from one such spot was: 920 ppm Li, 28.4 Ga, >500 ppm Rb, 258 ppm Zr, 87.9 Nb, 28.8 ppm Sn, 20.7 Hf, >200 ppm Th and 66.4 ppm U. Current Exploration Program A. Radiometric Survey: the radiometric field survey was continued. Thirteen readings were recorded. The location and readings are given in Table 1. The locations are shown on Figure 3. Easting (m E) Northing (m N) cps 614700 5202500 146 614800 5202500 77 614700 5202700 85 614900 5202700 82 614900 5203400 101 614900 5203300 129 614800 5203300 41 614800 5203200 42 614700 5203200 82 614700 5203100 90 614800 5203100 106 614800 5203100 43 614900 5203000 48 Table 1. Radiometric Data

06 Scintillometer cps 15.0-55.0 55.0-96.0 96.0-161.0 161.0-275.0 275.0-500.0 / 0 150 300 450 600 75 Meters Figure 3. Total Radiometric Survey Map

B. Till Survey: eleven more tills, HJS22-32, were collected from the hill that drains into Fox Hummock pond. The location data are given in Table 2. There were no anomalous results (Geochem report A11-12898). The total soil collection locations are shown in Figure 4. 07 ID Easting (m E) Northing (m N) Description (depth in cm) HJS1001 615700 5202100 6 grey till HJS1002 615700 5202200 6 till/6 brown soil HJS1003 615700 5202300 10 brown till HJS1004 615700 5202400 10 tan till HJS1006 615700 5202600 8 brown soil with rust/ 4 grey till HJS1007 615700 5202700 6 brown till, minor rust HJS1008 615700 5202800 20 tan till, minor rust HJS1010 615700 5203000 20 brown till HJS1011 615220 5202800 10 brown soil HJS1012 615168 5202908 4 pink till HJS1013 615210 5203000 4 grey till HJS1014 615523 5202505 8 grey till & soil HJS1015 615508 5202408 10 grey till HJS1016 615500 5202300 10 grey till, minor rust HJS1017 615504 5202193 4 grey till HJS1018 615513 5202103 12 brown soil HJS1019 615664 5202228 10 grey till HJS1020 615745 5202210 6 pink till HJS1021 615603 5202411 14 brown soil HJS22 614911 5202676 10 cm orange clay HJS23 615013 5202659 10 cm rose sand HJS24 615034 5202714 10 cm rose sand HJS25 615063 5202758 6 cm rose sand HJS26 615048 5202821 8 cm rose sand HJS27 615023 5202892 12 cm rose sand HJS28 614995 5203047 16 dark sand HJS29 614960 5203073 6 grey sand HJS30 614913 5203141 12 cm rose sand HJS31 614848 5203254 6 rose sand HJS32 614838 5203387 6cm brown clay/4 cm grey sand Table 2. Till Sample Data A further eight till samples were collected late in the reporting year but they have not been sent for geochemical analysis.

08 5 205 000 mn 615 000 me µ 39 40 38 37 36 42 47 49 48 43 50 54 33 53 5958 5756 51 34 32 31 30 29 28 22 27 26 25 24 23 12 13 11 Fox Hummock Pond 1514 16 17 18 69 10 68 67 66 7 62 65 7 61 6 21 4 3 19 2 1 Quarry Meters 0 125 250 500 750 1,000 Figure 4. Till Location Map Sites 1-21 prefixed HJS10; Sites 22-32 prefixed HJS

09 C. Stream Sediments: four stream sediments were collected. The location data is given in Table 3. Their locations are shown in Figure 5. ID Easting (m E) Northing (m N) HJSS01 614786 5202897 HJSS02 615711 5202701 HJSS03 615993 5202712 HJSS04 615937 5202510 Table 3. Stream Sediment Data There was one interesting result. Stream sediment HJSS01 returned the following: 972 ppm Y 252 ppm La 1880 ppm Ce 121 ppm Pr 540 ppm Nd >100 ppm Sm 199 ppm Gd 192 ppm Dy D. Quarry: Recent excavator activity in the quarry exposed some quartz on a shelf on the west side of the quarry. Several trips were spent further exposing the ½ metre-wide vein. There was no anomalous radioactivity detected and no mineralization is visible. Besides, REE s do not normally occur in quartz veins and if it did would not be large enough to mine. E. Other: Two stream sediments (MMSS1 & MMSS2) and three rock samples (HJ43, MM1101 & MM1102) collected during the previous year were sent for analysis. The location data is given in Table 4. There were no anomalous results (Geochem report A11-12712). Their locations are shown in Figure 5. ID Easting (m E) Northing (m N) Description HJ43 615932 5202490 Hematized quartz MM1101 614948 5204695 Mafic, non-magnetic, siliceous float MM1102 614988 5204457 Slightly mineralized granite MMSS1 614846 5204037 Stream Sediment MMSS2 614902 5204013 Stream Sediment Table 4. Other Sample Data

10 5 205 000 m N MM1101 MM1102 MMSS1 MMSS2 µ 615 000 m E HJSS01 HJSS03 HJSS04 HJSS02 Fox Hummock Pond HJ43 Quarry Meters 0 125 250 500 750 1,000 Figure 5. Rock and Stream Sediment Location Map

11 Recommendations Considering the absence of REE s in the quarry and the lack of other bedrock exposure and in spite of the anomalous REE results of stream sediment HJSS01, it is recommended that a partial surrender be performed on the property. References Hamann, U.M. and Hoffman, S. 1981: Geological and geochemical report on Nalco lot 4 on the Burin Peninsula, Newfoundland; Newfoundland and Labrador Geological Survey, Assessment File NFLD/1292, 1981, 99 pages. Holmgren, L.D. and Kowalchuk, J.M. 1983: Assessment report on geological, geochemical and overburden drilling exploration for the Burin project for 1982 submission on Newfoundland and Labrador Corporation Limited lot 4 in the St Lawrence and Winterland areas on the Burin Peninsula, southeastern Newfoundland; Newfoundland and Labrador Geological Survey, Assessment File NFLD/1321, 1983, 31 pages Kelloway, Keith 2006: First Year Assessment Report on Prospecting, Rock and Soil Sampling, Licence 10689M, NTS 1L14 Newfoundland and Labrador Geofile Number; 001L/14/0203 Kelloway, Keith 2007: Second Year Assessment Report on Prospecting, Rock and Soil Sampling, Licence 10689M, NTS 1L14 Newfoundland and Labrador Geofile Number: 001L/14/0197 Kelloway, Keith 2008:Third year assessment report on prospecting and geochemical exploration for licence 10689M on claims in the Hjelm Ridge area, on the Burin Peninsula, Newfoundland and Labrador Geofile Number: 001L/14/0188 Strong, D.F., O Brien S.J., Strong P.G., Taylor, S.W. and Wilton, D.H. 1978: Geology of the Marystown (1M/3) and St. Lawrence (1L/14) map areas. Newfoundland and Labrador Department of Natural Resources, Mineral Development Division, Report 77-8, 81 pages.

A P P E N D I X A

Report: A11-12898 Report Date: 11/23/2011 Final Report Activation Laboratories Analyte Symbol Li Be B Na Mg Al K Bi Ca Sc V Cr Mn Fe Co Ni Cu Zn Ga Ge Unit Symbol ppm ppm ppm % % % % ppm % ppm ppm ppm ppm % ppm ppm ppm ppm ppm ppm Detection Limit 0.1 0.1 1 0.001 0.01 0.01 0.01 0.02 0.01 0.1 1 0.5 1 0.01 0.1 0.1 0.01 0.1 0.02 0.1 Analysis Method AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS HJS22 11.2 7.3 3 0.012 0.08 2.93 0.04 2.13 0.09 1.9 52 19.6 4340 19.5 22.3 2.9 14.5 152 6.9 0.2 HJS23 3.1 0.5 3 0.015 0.01 0.14 0.05 0.57 0.02 < 0.1 15 8.6 180 1.67 0.9 1.2 2.59 12.6 1.69 < 0.1 HJS24 1.8 0.2 2 0.013 < 0.01 0.08 0.03 0.17 0.01 < 0.1 20 9.6 87 1.53 0.7 1.6 1.55 8.2 1.28 < 0.1 HJS25 0.8 0.2 3 0.011 0.01 0.14 0.04 0.18 0.04 0.2 39 15.7 380 2.28 1.2 1.5 1.26 9.3 1.58 < 0.1 HJS26 4.5 0.5 2 0.014 0.03 0.4 0.04 0.92 0.14 0.6 32 12.8 170 1.54 0.6 1.6 1.72 15.9 8.64 < 0.1 HJS27 1.7 0.4 1 0.012 0.02 0.35 0.05 0.71 0.06 0.4 16 7.3 263 0.44 0.3 0.7 0.55 9.2 5.04 < 0.1 HJS28 6.2 1 3 0.012 0.09 0.76 0.09 2.21 0.21 1.6 39 17.4 541 2.01 2.3 2.9 3.87 69.6 6.36 < 0.1 HJS29 12.3 1 3 0.026 0.23 1.1 0.13 1.02 0.94 4.2 47 18.6 1150 2.03 4.4 4.7 12.8 238 6.15 0.1 HJS30 3.4 0.3 2 0.01 0.01 0.15 0.06 0.44 < 0.01 < 0.1 9 6.3 52 1.32 0.2 0.5 1.44 17.3 2.24 < 0.1 HJS31 0.7 0.2 2 0.011 0.01 0.17 0.03 0.23 0.05 0.2 40 12.4 440 2.03 1.6 1.5 0.89 7.9 2.09 < 0.1 HJS32 2.8 0.1 2 0.012 0.07 0.55 0.03 0.38 0.18 1.3 32 9.5 826 2.41 2.1 1.1 0.74 11.3 6.58 < 0.1 Page 1 of 3

Report: A11-12898 Report Date: 11/ Final Report Activation Laboratories Analyte Symbol Unit Symbol Detection Limit Analysis Method HJS22 HJS23 HJS24 HJS25 HJS26 HJS27 HJS28 HJS29 HJS30 HJS31 HJS32 As Se Rb Sr Y Zr Nb Mo Ag Cd In Sn Sb Te Cs Ba La Ce Pr Nd ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm 0.1 0.1 0.1 0.5 0.01 0.1 0.1 0.01 0.002 0.01 0.02 0.05 0.02 0.02 0.02 0.5 0.5 0.01 0.1 0.02 AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS 19.8 9.5 8 9.7 66.4 1 3.5 24.2 0.072 0.14 0.15 2.69 0.45 < 0.02 5.52 28.8 29.2 166 10 40.7 4.1 0.4 10.8 1.9 6.75 6.7 16.2 2.23 < 0.002 < 0.01 0.36 6.47 0.79 < 0.02 2.7 4.6 1.5 4 0.4 1.36 1.7 < 0.1 6.1 1.7 5.86 19.8 26.2 1.03 < 0.002 0.03 0.06 4.38 0.47 0.05 1.02 5.3 1.9 3.95 0.4 1.46 0.8 < 0.1 4.6 5.7 3.77 7.8 3.5 0.94 < 0.002 0.03 0.03 3 0.32 < 0.02 1.38 14.7 4.5 10.1 1.2 4.6 3.3 0.6 8.9 17.5 11.5 8.8 22.2 0.94 < 0.002 0.04 0.05 4.83 0.58 0.06 3.16 19.5 4.6 12.3 1 3.82 1.3 0.4 8.5 7.2 7.07 8.6 8.3 0.51 < 0.002 0.02 0.03 3.13 0.38 < 0.02 3.83 8.4 3.9 8.15 0.9 3.25 5.1 1 21.2 38 36.7 6.8 13 1.54 < 0.002 0.17 0.13 3.31 0.91 0.05 12.2 1370 15.7 116 3.8 13.7 4.6 1.4 20.7 66.2 68.5 51.5 6.4 1.11 0.065 1.41 0.11 2.95 0.87 < 0.02 6.21 754 31.6 81.5 8 31.1 2.5 0.2 15 1.3 16.1 14.3 25.2 0.91 < 0.002 0.05 0.05 6.97 0.78 < 0.02 6.07 31.4 9.9 20.4 2.1 6.62 0.5 < 0.1 5.3 6.9 3.97 6.1 2.5 0.78 0.048 0.05 0.02 2 0.31 < 0.02 1.79 7.7 3.1 6.3 0.7 2.59 1.9 0.4 6.5 20.9 3.59 6.1 2.8 1.26 0.008 0.03 0.02 1.68 0.37 < 0.02 2.02 8.4 5.1 10.7 1.2 4.68 Page 2 of 3

Report: A11-12898 Report Date: 11/ Final Report Activation Laboratories Analyte Symbol Unit Symbol Detection Limit Analysis Method HJS22 HJS23 HJS24 HJS25 HJS26 HJS27 HJS28 HJS29 HJS30 HJS31 HJS32 Sm Eu Gd Tb Dy Ho Er Tm Yb Lu Hf Ta W Re Au Tl Pb Th U ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppb ppm ppm ppm ppm 0.1 0.1 0.1 0.1 0.001 0.1 0.1 0.1 0.1 0.1 0.1 0.05 0.1 0.001 5 0.02 0.01 0.1 0.1 AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS 11.2 0.6 12.4 2.2 13.4 2.7 7.8 1.1 7.4 1 < 0.1 < 0.05 0.3 < 0.001 93 0.4 89 6 14.8 0.3 < 0.1 0.4 0.1 1.24 0.3 1.5 0.3 2.4 0.4 0.3 < 0.05 1.8 0.001 < 5 0.06 9.84 4.3 1.9 0.3 < 0.1 0.4 < 0.1 1.01 0.3 1.1 0.2 1.7 0.3 0.8 < 0.05 1.2 < 0.001 28 0.03 5.73 8.4 2.2 0.8 < 0.1 0.6 0.1 0.699 0.2 0.6 < 0.1 0.7 0.1 0.3 < 0.05 0.1 0.001 < 5 0.05 5.35 5.5 1.1 0.9 0.1 1 0.3 2.22 0.5 1.9 0.3 2.2 0.3 0.3 < 0.05 0.7 < 0.001 41 0.07 24 4.7 1.7 0.7 < 0.1 0.7 0.2 1.32 0.3 1 0.2 1.1 0.1 0.3 < 0.05 < 0.1 < 0.001 < 5 0.1 9.3 3.9 1 3.2 0.4 3.9 0.8 5.67 1.3 4 0.6 4.1 0.5 0.2 0.11 1.1 0.001 158 0.15 286 11.8 2.6 7.7 0.7 8.1 1.5 9.95 2 5.8 0.9 5.6 0.8 1.3 < 0.05 0.7 0.002 19 0.16 281 21.6 5.8 1.1 < 0.1 1.4 0.3 2.48 0.6 1.9 0.3 2 0.3 0.7 < 0.05 2.5 < 0.001 < 5 0.09 6.8 5 1.7 0.5 < 0.1 0.4 < 0.1 0.677 0.2 0.6 < 0.1 0.7 < 0.1 0.2 < 0.05 < 0.1 0.001 < 5 0.05 5.52 2.3 0.7 0.9 0.2 0.7 0.1 0.719 0.2 0.5 < 0.1 0.6 < 0.1 0.2 < 0.05 < 0.1 < 0.001 < 5 0.07 11.7 2.8 1.3 Page 3 of 3

Report: A11-12712 Report Date: 11/23/2011 Final Report Activation Laboratories Analyte Symbol Li Be B Na Mg Al K Bi Ca Sc V Cr Mn Fe Co Ni Cu Zn Ga Ge Unit Symbol ppm ppm ppm % % % % ppm % ppm ppm ppm ppm % ppm ppm ppm ppm ppm ppm Detection Limit 0.1 0.1 1 0.001 0.01 0.01 0.01 0.02 0.01 0.1 1 0.5 1 0.01 0.1 0.1 0.01 0.1 0.02 0.1 Analysis Method AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS HJSS01 21.2 14.8 10 0.031 2.03 8.35 0.03 2.17 0.27 7.6 70 712 366 4.24 19.5 124 40.9 780 6.52 1.1 HJSS02 11.3 1.2 2 0.023 0.23 1.15 0.05 1.94 0.47 3.4 38 17 374 1.35 2.8 5.1 13.4 40.9 5.02 < 0.1 HJSS03 24.5 6.1 3 0.023 0.17 3.01 0.09 3.07 0.18 2.2 66 29.8 6020 13.1 16 9 15.4 216 10 0.1 HJSS04 38.1 1.1 2 0.025 0.4 1.09 0.21 2.18 0.31 3.1 40 16.6 528 1.94 5.3 8.5 5.21 95.6 10.3 < 0.1 Page 1 of 3

Report: A11-12712 Report Date: 11/ Final Report Activation Laboratories Analyte Symbol Unit Symbol Detection Limit Analysis Method HJSS01 HJSS02 HJSS03 HJSS04 As Se Rb Sr Y Zr Nb Mo Ag Cd In Sn Sb Te Cs Ba La Ce Pr Nd ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm 0.1 0.1 0.1 0.5 0.01 0.1 0.1 0.01 0.002 0.01 0.02 0.05 0.02 0.02 0.02 0.5 0.5 0.01 0.1 0.02 AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS 22 21.6 3.4 18.1 972 31.2 7.3 11 0.051 1.96 0.28 1.56 2.14 0.03 3.03 200 252 1880 121 540 3.2 1 7.8 42.1 25.9 5.8 5.6 0.82 0.036 0.13 0.06 2.66 0.49 0.03 2.91 38.8 22.9 63.4 6.2 24 20.8 6.1 14.4 19.8 50.7 1.8 7 24.6 0.026 0.47 0.26 4.26 0.55 < 0.02 8.01 97.9 23.2 92 6.5 25.7 4.3 0.7 34.5 24 24.3 13.2 7.1 5.23 < 0.002 0.1 0.12 6.09 0.4 < 0.02 8.59 38.2 12.9 29.2 3.1 12 Page 2 of 3

Report: A11-12712 Report Date: 11/ Final Report Activation Laboratories Analyte Symbol Unit Symbol Detection Limit Analysis Method HJSS01 HJSS02 HJSS03 HJSS04 Sm Eu Gd Tb Dy Ho Er Tm Yb Lu Hf Ta W Re Au Tl Pb Th U ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppb ppm ppm ppm ppm 0.1 0.1 0.1 0.1 0.001 0.1 0.1 0.1 0.1 0.1 0.1 0.05 0.1 0.001 5 0.02 0.01 0.1 0.1 AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS > 100 3.6 199 34.5 192 35.8 91.1 12.1 69.8 9.3 0.7 < 0.05 < 0.1 < 0.001 68 0.06 670 122 77.8 5.4 0.7 5.3 0.9 5.43 1.1 3.1 0.4 2.8 0.4 0.1 < 0.05 0.5 < 0.001 6 0.07 25.2 9.9 2.7 7 0.4 7.9 1.5 9.1 1.8 5.4 0.8 5.3 0.7 < 0.1 < 0.05 0.5 < 0.001 341 0.3 74.6 15.4 13.7 2.7 0.4 2.8 0.6 4.23 1 3.2 0.6 3.7 0.5 0.4 < 0.05 0.5 < 0.001 126 0.31 48 20.8 5.1 Page 3 of 3

Report: A11-12486 Report Date: 11/4/2011 Final Report Activation Laboratories Analyte Symbol Li Be Na Mg Al K Bi Ca Sc V Cr Mn Fe Co Ni Cu Zn Ga Ge As Unit Symbol ppm ppm % % % % ppm % ppm ppm ppm ppm % ppm ppm ppm ppm ppm ppm ppm Detection Limit 0.1 0.1 0.001 0.01 0.01 0.01 0.02 0.01 0.1 1 0.5 1 0.01 0.1 0.1 0.01 0.1 0.02 0.1 0.1 Analysis Method AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS HJ 43 3.2 1.1 0.009 0.03 0.13 0.07 4.09 0.07 < 0.1 22 1.8 39 1.12 0.4 1.2 3.05 5 1.24 < 0.1 7.9 MM1101 77.2 0.1 0.152 2.2 2.88 0.15 0.05 1.75 5.5 89 117 425 3.37 30.6 88.8 78.4 50.1 5.85 < 0.1 1.1 MM1102 15.8 0.3 0.474 0.95 3.74 0.07 < 0.02 2.17 3.6 241 44.1 375 5.63 21.1 18.3 14 61.3 9.19 < 0.1 < 0.1 MMSS1 22.1 0.3 0.012 0.52 0.93 0.04 0.16 0.5 4.1 41 20.2 462 2.62 7.3 9.7 9.12 57.3 4.41 < 0.1 8.2 MMSS2 13.5 1.1 0.017 0.33 1.12 0.03 0.25 0.37 3.4 59 20.2 2110 7.01 9 7 7.43 73.5 5.87 0.1 13.1 Page 1 of 3

Report: A11-12486 Report Date: 11/ Final Report Activation Laboratories Analyte Symbol Unit Symbol Detection Limit Analysis Method HJ 43 MM1101 MM1102 MMSS1 MMSS2 Se Rb Sr Y Zr Nb Mo Ag Cd In Sn Sb Te Cs Ba La Ce Pr Nd Sm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm 0.1 0.1 0.5 0.01 0.1 0.1 0.01 0.002 0.01 0.02 0.05 0.02 0.02 0.02 0.5 0.5 0.01 0.1 0.02 0.1 AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS 1.9 19.4 2.8 104 2.1 4.4 3.88 0.525 < 0.01 0.04 1.48 0.5 1.66 5.18 3.5 3.6 37.1 1 3.83 1.9 0.4 13.8 113 4.36 5.3 0.1 0.29 0.484 0.05 < 0.02 0.16 0.42 0.1 2.5 101 5.1 10.4 1.2 4.37 0.8 0.2 3.6 186 3.06 1.6 < 0.1 0.45 0.223 0.06 < 0.02 0.2 0.06 < 0.02 1.85 34.9 5.7 11.4 1.4 4.83 0.8 0.9 4.3 50.5 11 4 0.8 2 0.102 0.12 0.03 0.9 0.59 0.06 1.35 12.3 12.8 27.1 3.3 12.1 2.4 2.6 4.4 42.9 28.3 3.1 2 13.7 0.09 0.26 0.04 1.35 0.57 0.07 1.63 38.1 13.9 34.8 4.2 15.2 3.3 Page 2 of 3

Report: A11-12486 Report Date: 11/ Final Report Activation Laboratories Analyte Symbol Unit Symbol Detection Limit Analysis Method HJ 43 MM1101 MM1102 MMSS1 MMSS2 Eu Gd Tb Dy Ho Er Tm Yb Lu Hf Ta W Re Au Tl Pb Th U ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppm ppb ppm ppm ppm ppm 0.1 0.1 0.1 0.001 0.1 0.1 0.1 0.1 0.1 0.1 0.05 0.1 0.001 5 0.02 0.01 0.1 0.1 AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS AR-MS < 0.1 4.7 1.3 11.9 3.1 9.9 1.5 8.7 1.3 < 0.1 < 0.05 3.8 0.001 < 5 0.11 12.6 1.6 4.2 0.3 0.8 0.1 0.781 0.2 0.4 < 0.1 0.3 < 0.1 0.1 < 0.05 0.6 0.003 < 5 0.09 1.95 1.1 0.2 0.3 0.7 < 0.1 0.557 0.1 0.3 < 0.1 0.2 < 0.1 < 0.1 < 0.05 0.7 0.002 < 5 0.05 7.04 0.8 0.2 0.6 2.3 0.3 2.16 0.4 1.1 0.2 0.9 0.1 < 0.1 < 0.05 0.9 0.004 < 5 0.04 12.3 2.8 0.7 0.6 3.4 0.6 3.98 0.9 2.4 0.3 1.6 0.2 < 0.1 < 0.05 0.9 0.004 < 5 0.11 25.4 2.8 6 Page 3 of 3

A P P E N D I X B

Statement of Expenditures Prospecting 10 days @ $100/day ` $1000.00 Report writing 2 days @ $100/day $200.00 Vehicle use 10 trips @ $60/trip $600.00 Meals 10 meals @ $20 / meal $200.00 Geochemical Report Cost Shipping A11-12486 $153.12 $22.87 $175.99 A11-12712 $113.00 $34.87 $147.87 A11-12898 $288.38 $44.60 $332.98 Total geochem = $656.84 Subtotal = $2656.84 Admin (15%) $398.53 Total Expenditure $3055.37