TODAY'S DISCOVERY, TOMORROW'S FUTURE

Creating shareholder wealth by advancing gold projects through the exploration and mine development cycle.

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From the MD&A on Sedar:

The Company paid salaries of $24,000 (2008 - $83,520) to the retired President of the Company. In addition, he received a further $72,000, an amount equal to one annual salary, at the time his employment contract was terminated by agreement. The Company paid management fees of $350,313 (2008 - $275,272) to a company beneficially owned by the spouse of the retired President. Included in the management fees, $275,222 was paid to the company as the consulting agreement was amended by agreement at the time of the President’s retirement on May 1, 2009. Of these management fees, $13,141 was allocated (2008 - $192,690) to exploration management, $302,157 (2008 - $55,116) to corporate development and $35,015 (2008 - $27,466) to investor relations.

Included in mineral exploration expenditures is $101,524 (2008 – $586,313) charged by an entity in which an immediate family member of the retired President exercised significant influence. This related entity provided the services of field labourers to the Company in the first quarter of 2009. The related entity no longer provides such services to the Company.

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