HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Message: McFaulds-Ni/Cu Targets

Dear B



I believe I said "remotely" on strike using it in a very broad context. The actual physical distribution of the various rocks in detail, on the scale of individual claim units or a mine scale, may be quite complicated reflecting not only "primary" irregularities but also later deformation events. When I said "tops" to the east, I meant on a"regional" scale.



Sorry for any confusion. Was thinking simultaneously on two levels. Geologists tend to be multi-level thinkers, constantly going from one extreme to the other. We tend to develop simplified regional concepts/models or patterns from very detailed local observations from a multitude of locations and then apply these regional concepts/models to select future properties for exploration which we believe have the highest potential.

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