Exploration

Comparatively, 2008 exploration expenditures included $120,000 of consideration in respect of the Poundmaker Option Agreement, $58,390 of payments to provincial jurisdictions to maintain the

Company’s mineral rights in lieu of certain exploration expenditure requirements, $35,737 for the acquisition and interpretation of data, $354,837 geological, sampling and other field exploration costs.

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Company’s mineral rights in lieu of certain exploration expenditure requirements, $35,737 for the acquisition and interpretation of data, $354,837 geological, sampling and other field exploration costs.

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Company’s mineral rights in lieu of certain exploration expenditure requirements, $35,737 for the acquisition and interpretation of data, $354,837 geological, sampling and other field exploration costs.

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The terms of the Poundmaker as shown on the MD&A:

In February 2008, the Company signed a five year option agreement (the “Poundmaker Agreement”) to earn

up to a 100% interest in a portion of Wildcat Exploration Ltd.’s (“Wildcat”) Poundmaker property. The

Poundmaker Agreement was amended on March 1, 2009 and extended for an additional year to March

2014. The Poundmaker Agreement may be terminated by the Company at any time, without penalty.

Option consideration is comprised of cash plus common shares of the Company payable as follows:

$25,000 cash paid upon execution of the Poundmaker Agreement and 500,000 common shares of

the Company issued on February 25, 2008 upon receipt of approval of the transaction by the TSX

Venture Exchange and valued at $95,000 based on the trading price of the Company’s shares on

the date of issue;

$50,000 cash paid in June 2008; and

On the March 1, 2009 amendment date and each of the next five anniversary dates thereafter

(March 1, 2010 through to March 1, 2014), at Wildcat’s option:

i) $100,000 cash or

ii) $50,000 cash plus up to 2 million common shares of the Company having a market value at

the time of issuance of $100,000 (total value of $150,000).

The Company paid the first $100,000 in cash on February 27, 2009.

In addition, the Company has agreed to incur $5 million of exploration expenditures during the term of the

amended Poundmaker Agreement as follows:

$500,000 prior to March 1, 2010 of which approximately $391,820 had been incurred as at

December 31, 2009;

An additional $1,500,000 prior to March 1, 2011; and

An additional $1,000,000 in each year prior to March 1, 2012, 2013 and 2014.