ll in my opinion, please do your own DD, this is not investment advice.

As quite a few of you have pointed out the last release covering holes 111a, 114 and 115 were very positive and significant. More on that in a bit. As for the share price performance I think that given what I've been positing for months now about the accumulation going on, it was to be expected. These buyers aren't going to pile in after news, that would just light a fire under the retail momentum players. They buy, as they've been buying in the doldrums that come in the couple of weeks that fall in between the assay news releases. In other words look for them to show up next week and the week after.

As for the holes themselves I don't believe you could ask for anything more. For a few months now the La Mascota zone has been described as being traced over 725meters and to a depth of 100m down dip with widths ranging from 20-80m. In the May 12th NR they announced that in the south west portion of the deposit, the down dip mineralization had been confirmed to 250-270m. Yet, given this development the company remained conservative in its most recent before this last NR by saying still on July 8th that La Mascota had been defined to only 100m down dip. In other words, the company decided that until they were able to prove that the deposit continued down dip along the entire 725meters of strike length, they would continue to be conservative in their description.

Well that all changes with this weeks NR. They drilled the next three holes in a manner to determine if they had continuation down dip throughout the entire 725meters. And they were very successful.

Hole 111a was drilled near the furthest east portion of the deposit. The deposit gets stronger in terms of both grades and widths as it moves south west so its important to concentrate on comparing the results from this hole with other holes drilled on this line to the east. It proves that the deposit goes 250m down dip at it most eastern point and is open to depth (down dip) and further east>
Hole 111a gives us:
7m of 5.84 grams
8m of 4.09 grams

The comparison holes up dip (above) for 111a would be Hole #42
61m of 2.15 grams
5.5m of 8.63 grams

While there is nothing overly special about any of these assays near the furthest point east, it's the starting point of the deposit and its viability has been confirmed to 250m depth. Thus extending this area 2.5x deeper than previously confirmed.

Moving west to near the mid point of the 725m of strike we next look at hole 115. Hole 115 confirms that the deposit extends to at least 225m deep in this section. Of note this hole produces:
5m of 16.7 grams
30.5m of 7.79grams

The comparison hole(s) up dip for 115 would be holes #4 and #5:
Hole #4
47m of 7.04 grams
Hole #5
8m of 3.36 grams
28m of 2.69 grams

Therefore hole 115 is extremely positive and significant as it shows the deposit betters as it deepens. It therefore remains VERY open for extension.

Hole 114 is the furthest drilled to the south west at depth. It proves that the deposit extends 400m down dip (depth) in this portion and again is very open for extension here. Results from 114 include:
52.2m of 6.1 grams
11.5m of 7.42 grams.

The comparison holes up dip to hole 114 would be hole(s) #100 and #112
Hole #100
5m of 5.21 grams
57.4m of 8.66 grams
Hole #112
8.1m of 17.54 grams
94.5m of 5.83 grams

Hole 114 therefore demonstrates that the deposit holds up extremely well to depths of 400m and once again remains very open for further extensions both deeper and to the west.

Since I've received some emails asking how many ounces we're at I'll give you the following very crude back of the envelope numbers:

With these new holes I divide the deposit into 2 blocks:
East bock which runs from the eastern portion to the fence where hole 115 was drilled..
West block which runs from the fence where hole 115 was drilled to the fence where 114 was drilled:

East block:
250m strike length
250m deep
28m wide
6grams per tonne
2.7 specific gravity
=914,516 ounces

West block:
475m strike length
325m deep
55m wide
7 grams per tonne
2.7 specific gravity
=5,176,542 ounces

So I have La Mascota at 6,091,058 ounces. If you attribute another 1million ounces 250m to the east in the La Bodega zone we're at roughly 7million ounces.

All other things being equal (ie grades, widths etc) as a rough guide I would add 1 million ounces for every 100m more added to the depth to what I'm calling the west block. This could be accomplished on the next hole testing down dip of hole115 as I'm saying that that block is only 325 deep currently even though we know the western boundary of the block is already at 400m deep.

Furthermore, a hole extending the deposit 80m to the west would add another million ounces again assuming that the widths, depth and grades of represented by holes#100,112 and 114 hold.

With six drills turning and a little luck with the results this could become a 10million ounce deposit or much MUCH bigger in very short order.

In other words I aint going anywhere :)

GLTA and Best Regards,
Buck