Rundle,

Thanks for reporting your conversation with Mr. Nemis, but I am wondering if you could clarify something. You wrote, "Currently they have one drill working and two more moving this weekend. He has a couple more on order and hopes to complete the drilling in grid 1, which are the 8 priority targets very soon to help establish their 43-101 resource. He also has 10 other priority targets in grid 2 to be drilled and he indicated all the holes are to be completed, if I recorded correctly in my notes by spring. He says to expect serious work on this project for 2008 from all players in the area. (I did not explore Grid 1 and 2)"

My understanding from previous reports (and maybe it was only my interpretation) was that the 8 priority targets (and it does not surprise me that the number keeps growing as they analyse the data) were magnetic anomalies separate from DE. (Though of course we all know that they may all be connected via a magma conduit.) The way I read your report, the 8 priority targets are additional holes required to establish the 43-101 compliant resource. Is this what you meant to convey?