Hi Guys!

I was part of a group on a property tour with Kodiak last week and I am working on a detailed report that I will be posting here shortly. This was my second trip to Hercules, and I also was able to put boots on the ground for several other projects in the district that I had not seen or heard much about prior to this tour. I am more convinced than ever that this company is emerging as a go-to company in the junior mining sector, and the current share price is a gift in my opinion.

I was able to buy some shares when my bid was hit on Monday before I went on the tour, but I am now in a voluntary trading restriction since I have seen information that has not yet been publically disclosed. So I cannot do any buying right now and am not at liberty to discuss a lot of what is going on, but I do plan to add to my holdings once I am able to do so.

The most important observation that I will share right now is that KXL has made the transition from an explorer of one good flagship asset, to a project generator with several exceptional assets in various stages of exploration. We all know that Hercules is an exciting story which has even been recognized by the Northwest Ontario Prospectors Association with the Discovery of the Year award. I now understand that the company is following a strategy to advance many high priority targets while concurrently keeping things going at full speed at Hercules.

My expectation is that we have a world class discovery play at Hercules and the pace of work since my last trip in October is astonishing. Imagine how successful the company could be if they can duplicate this success on one or more of the other projects they control within the district...

As investors we tend to focus on the day to day price swings of the stock. I know that the insiders of the company have continued to add to their holdings even as the stock was climbing, and no one is at all discouraged now that the share price has come back down a bit. It is the long term success that will define this company and eventually that will drive the share price.

My comments are not to be confused with investment advice. I am offering my opinion only, and do not speak on behalf of the company. I have not been compensated in any form for my time or contributions to this forum.

I know there is some fear and uncertainty among some investors, and perhaps people are discouraged by the weak market. I was unpopular late last year when I suggested KXL had gotten ahead of itself above $4. I think the stock is now stupid-cheap around $2. Fading the herd is usually an effective strategy, and I suspect it will pay off yet again. Please DYODD...

cheers!

mike