Measured Mineral Resources 388,200 0.24 (8.2) 91,175

Indicated Mineral Resources 642,240 0.25 (8.6) 163,090

Total Measured and Indicated Resources 1,030,440 0.25 (8.6) 254,265

Inferred Mineral Resources 1,519,750 0.29 (9.9) 439,090

Measured Mineral Resources 91,790 0.29 (9.9) 26,510

Indicated Mineral Resources 425,670 0.40 (13.7) 171,190

Total Measured and Indicated Resources 517,460 0.38 (13.0) 197,700

Inferred Mineral Resources 1,375,200 0.39 (13.4) 538,700

Indicated Mineral Resources 214,200 0.24 (8.2) 52,150

Inferred Mineral Resources 936,500 0.22 (7.5) 206,900

Indicated Mineral Resources 305,240 0.75 (25.7) 230,330

Inferred Mineral Resources 398,200 0.47 (16.1) 186,980

GEOE

Indicated Mineral Resources 55,970 0.23 (7.9) 12,675

Inferred Mineral Resources 25,210 0.16 (5.5) 4,050

Indicated Mineral Resources 136,200 0.22 (7.5) 29,830

Inferred Mineral Resources 1,761,200 0.21 (7.2) 388,940

Indicated Mineral Resources 173,100 0.20 (6.8) 35,320

Inferred Mineral Resources 195,600 0.26 (8.9) 50,210

The mineral resources are in-situ, undiluted, and uncapped and have not had economic parameters applied to them.

The following table, with an effective date of June 30, 2010, summarizes the mineral reserves for the Rice Lake Project.

Note that the numbers have been rounded from the detailed resource estimates. The reader is referred to the Appendices

of this Report for details of the reserve estimates.

Proven Mineral Reserves 414,000 0.22 (7.5) 91,175

Probable Mineral Reserves 753,320 0.22 (7.5) 163,090

Total Proven and Probable Reserves 1,166,320 0.22 (7.5) 254,265

Proven Mineral Reserves 114,740 0.23 (7.9) 26,510

Probable Mineral Reserves 532,085 0.32 (11.0) 171,190

Total Proven and Probable Reserves 646,825 0.31 (10.6) 197,700

Probable Mineral Reserves 180,150 0.26 (8.9) 47,110

Probable Mineral Reserves 381,550 0.60 (20.7) 225,545

Probable Mineral Reserves 69,960 0.18 (6.2) 12,675

Probable Mineral Reserves 170,250 0.18 (6.2) 29,830

The 2009 bulk sample milling at Hinge recovered 16,052 ounces of gold. Assuming 93% mill recovery, 95% mine

recovery, and 20% dilution the bulk sample equates to an in-situ resource of 45,000 tonnes grading 0.38 ounces per ton.

This reconciles well with the average grade of the Hinge uncapped measured plus indicated resources. Further, monthly

average grade fed to the mill (based on hourly mill belt samples) ranged from 0.25 to 0.64 ounces per ton, which

indicates the variability of average grades over an area approximately 400 feet high by 700 feet along strike.

Reconciliation of Company’s diluted, recoverable reserve estimates based on assay data, underground face samples, and

mill belt samples indicate that the sampling and assaying protocols are providing good quality data.

GEOE

The Company monitors the QAQC information for the assaying process on a regular basis (standards and blanks sent to

assay laboratories and the duplicates and replicates done by the laboratories). The Author has reviewed this information

and found no serious discrepancies that had not been recognized and dealt with by the Company geologists.

The mineral resources are defined in terms of NI 43-101 regulations and their estimation was carried out using industry

standard polygonal longitudinal section methodology. The drill hole data was evaluated in plan and section in three

dimensional AutoCAD to determine continuity between holes. Vein structures in the RLM area have vertical extents

from 4 to 8 times their strike length. Because of this, areas of influence used around drill hole pierce points on the

longitudinal section for purposes of defining measured and indicated resources are ellipses, elongate down dip. For

measured resources an ellipse with short axis of 50 feet and long axis of 100 feet was used; and for indicated resources

an ellipse with short axis 75 feet and long axis 150 feet was used.

The Company’s production department uses Amine software for reserve estimation and mine planning. Amine is a 3D

AutoCAD based system that uses block modelling to determine reserve and resource estimates. The Author has crosschecked

the Amine methodology versus his polygonal longitudinal section methodology and has found no material

differences between the results of the two methodologies. Amine uses 3D modelling to determine volumetric

information for resources and beyond that step, the same tonnage factors are used to determine the tonnages. For

reserve estimation, the Author used the minimum mining width, recovery, and metal price criteria that are currently

used by the Production department. Cut-off grades were based upon current mining costs as presented in the economic

assessment of the Project.

The key assumptions used by the Author for conversion of measured and indicated resources to proven and probable

reserves are:

1) Resource tonnage factor 11.4 cubic feet per ton (equivalent to an average specific gravity of 2.8)

2) Minimum mining width 5 feet horizontal.

3) Mill Call Factor 95%

4) Mill Gold Recovery 93%

5) Gold price US$1200, Canadian$1260 at 1.05 exchange rate.

6) External cut-off grade 0.13 ounces per ton (based upon total operating costs of $165/ton and taking

into account mill gold recovery and the assumed price of gold).

7) Internal cut-off grade 0.10 ounces per ton (based upon total mining costs (ore delivered to mill) of

$123/ton and taking into account mill gold recovery and the assumed price of gold)..