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: Management’s Discussion and Analysis - Highlights

A big part of the cost for the fall months is from the airlift of 8000 drums of fuel from Pickle Lake to Webequie. There was a big rush to get these drums flown in before freezup so that they could use floatplanes, as opposed to helicopters to transfer these drums to the ring of fire. A floatplane will operate at a quarter to half the cost of a helicopter. So this expenditure actually saved them money in the long run, it was just all concentrated in a couple of months. Do some simple math at 30-35 drums per flight and the charter cost probably around $7000.00 per flight from Pickle Lake and it adds up pretty friggin quick. Granted, all 8000 drums were not just for NOT. They were divided up between all the companies requiring fuel.

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