Drilling by Cypress and Skyharbour has identified the Thrust Package on the Broulan Reef property and determined the

The companies have received results from the 2nd wedge hole BR-08-3E. A zone from 2177.8 metres to 2181.9 metres returned 2.47 grams per tonne gold over 4.1 metres. This zone lies above the Thrust Package. A second zone from 2660 metres to 2661 metres returned 2.62 grams per tonne gold over 1 metre within a large zone of anomalous gold values from 2637 metres to 2665 metres. This second zone lies within the Thrust Package.

The geometry of the Thrust Package would suggest that it will occur at shallower depths in the western part of the Broulan Reef property. Drilling it from west to east would allow more of the hole to test the stratigraphy immediately under the Thrust Package. The current hole (BR09-01) is being drilled from west to east from McKenzie Island . The hole is currently at 930 metres and has encountered a normal sequence of Bruce Channel sediments to this depth. The Balmer Assemblage and the Thrust Package are expected to be encountered at a depth of around 1800 to 2000 metres in the current hole.

The geochemical signature of rocks within the Thrust Package shows a strong Arsenic-Tungsten-Zinc association with sporadic gold values. This is a classic gold signature in the Red Lake area and suggests the gold bearing system is present, very healthy and underlies a large portion of the Broulan Reef property.

The Thrust Package could be viewed as ‘Trap Rock’ that has confined fluids below it. These fluids have severely altered the rock and resulted in gold being deposited in the footwall of the Thrust Package. It has been speculated that the setting immediately below the Thrust Package is the host of some 6,000,000+ ounces of gold including the Bruce Channel, Finn Zone discoveries and the Couchenour Mine. Given the significant expansion of the area known to be underlain by the Thrust Package, the total number of ounces may be conservative. There are very few exploration plays in the world that are starting with this scale of indicated potential.

The bulk of this resource has only begun to be defined in the last 4 years. The majority of the resource occurs below depths of 800 metres and will take some additional time to fully evaluate. Grades typically rival those being mined by Goldcorp. Goldcorp is currently redeveloping the old Couchenour Mine to access and further evaluate this resource from underground. It is rumored that development will be to a depth of at least 1800 metres. There is little doubt that the new deposits being defined and developed in the Bruce Channel area will provide an increasing proportion of the mill feed for Goldcorp’s Red Lake complex for decades to come.

CONFIRMED IMO

I have reviewed this latest NR and noted some key points of interest. IMHO I found it to be quite encouraging news for all of us. It truly is the best one yet (NO PUMP INTENDED)

One may conclude that with all the bad luck we have experienced during this drill program, some good luck got too be headed our way.

Some of us have been putting down this management team on the way they have handled things to date during these trying times, however I will tell you this.

About 2 weeks ago I had a conversation with DH for 35 mins. (I timed It) during which he mentioned 3 times “THIS IS MY BABY “he was quite sincere about that.

IMHO he is trying to make this successful for all of us (Family, Friends, Red Lake, Share holders, what ever) and is under the microscope.

History has a very good chance of repeating itself, it is only time that gets in the way.

TH