The Corporation is presently in discussions regarding potential transactions and partnerships that may facilitate the advancement of the Las Cristinas project. In the absence of a successful transaction or a settlement with the Government of Venezuela, the Corporation is prepared to file for international arbitration.

The Corporation remains in full control of the Las Cristinas property and has not been advised by any Venezuelan authority of any changes to its rights under the Las Cristinas MOC. Additionally, the Corporation has been advised that by remaining in full compliance with the MOC while it continues to seek a resolution on Las Cristinas the Corporation will preserve the option of international arbitration in the alternative. Accordingly, the Corporation has determined that, to date, it is in the best interest of all stakeholders to remain compliant with the MOC and incur the consequent expenditures.