Cash Position

At January 31, 2013, the Company had working capital of $5,042,203 and a deficit of $17,748,130 and had incurred a net loss of $525,595 for the three months ended January 31, 2013. During the quarter ended January 31, 2013 the Company received $1,665,000 in proceeds on private placements and the exercise of options.

Current value on the books, $90 million. Cash on hand $5 million. Proper drilling expense $20-$30 million.

Deficit should end up somewhere around $40 million.

I've been wanting to get Elmer on the phone to discuss this. Our schedules are in conflict. Perhaps this long weekend I can get a call back unless he has time this morning.

We have to look a a little more than just drilling. There's also some work to be reported from Az and I'd like to know where we stand there. Are we seen in a positive light by the locals? Are the results good enough to start a major program? Those kinds of questions. Are we looking for another project? We really need something more than just Az. Do we still own the property by Clearwater? We've held it for a long time and I want to know why that is. Elmer would not admit that it was worth looking into so why did we hold it for years?

Without naming projects, where are we in the Teck BoD cue? Is April still a good guess? Are you busy now because we got moved up in the cue?

Returning to drilling, how will we raise money for a huge push without excessive dilution? Mute point if Teck slaps some coin down before we start the camp. If not, what other avenues will he look at. Equity? Might be tough since there's no declaration from Teck yet. Streams? Sure but does that get priced in todays terms and cheat us later in 2016 when things turn around for the globe.

Let's not forget, we will need to update the resource and the FS and those cost cash. Those little touch ups could run $5 million or so. We need to start on the runway this year. We need to have a storage spot on the site. Long lead items...? What about the need for proper buildings and septic systems? We need more fuel storage. Will the camp stay open this year?

We have to get on with business as though Teck won't be there. The plan has to be as if Teck took the royalty. That means some serious cash. We can't wait the full 120 to see if they are funding us. Yes, it's an exercise but it has to be done. April should bring the year's plan. It should bring a Teck decision to avoid wasting people's time. Teck knows we start work in May.

So, we got our financials and out and an update. Two key docs to start the new plan. April is the time to conclude "Old Business" and our minutes reflect this. May is the start of "New Business." It's instructive to note that there was no discussion of the scope or any real details of this year's plan in the MD&A. I wonder why that is... hmmmmm. Did someone forget to make a motion that cuu should wrap things up with Teck? lol.

If someone does get him on the phone try to include this discussion.