; the James Bay,

Mistassini and Otish regions of

northern

Quebec

.

The Company’s exploration strategy is

based on three principles: (a) majority

ownership during the initial early stage

exploration program; (b) exploring for a

wide variety of commodities including

precious and base metals, and uranium

prospects; and (c) drill testing of priority

anomalous targets during the early stage

grassroots exploration, generally while

the properties are 100%-owned.

The Company explores year-round,

conducting drill testing at the rate of 1-2

properties per month, each with 1-5 drill

holes on targets resolved by

itsexperienced field crews and local

operations.

www.goldenvalleymines.com

letter

International 2 Special Situation – January 2008

Malartic CHL Prospect, Quebec

Osisko Exploration (OSK-TSX) has the right to acquire a 70% interest in Golden Valley’s 100%-owned

Malartic CHL Property in consideration for Cdn $150,000 in cash payments over a four-year period and by

completing a minimum Cdn$ 2.0 million exploration program over a 4-year period. Upon Osisko earning its

70% interest, Golden Valley will maintain a free-carried interest of 30% of production.

Osisko holds a 100% interest in the Canadian Malartic Gold Deposit, one of the world’s largest undeveloped

resources wholly owned by a junior explorer. In July 2007, Osisko released an updated calculation of 8.4

million ounces of a NI 43-101 compliant Inferred gold resource and is currently evaluating the deposit and

adjacent areas – including the Golden Valley property option located just northeast of the resource area - for

a large-scale open pit, bulk tonnage mining operation.

Compilation of historical drilling performed by East Malartic Mines in the 1930s and by Lac Minerals in the

1980s, has outlined a zone of disseminated mineralization hosted within the CHL Porphyry Intrusion on the

Golden Valley Property, where it comes into contact with the southern edge of the regionally important

Cadillac Fault. Notable historic intersections on the Golden Valley property include: 25.2 metres averaging

1.63 g/t gold (hole G82-01), 78.0 metres averaging 1.33 g/t gold (hole G83-03), and 74.7 metres averaging

1.30 g/t gold (hole G92-02).

The east-west oriented “Jeffrey-Zone” (Golden Valley property option) appears to extend over a distance of

80 metres and has a true thickness ranging from 20-60 metres. Several of the historical drill holes stopped in

disseminated mineralization and the system is open to expansion at depth, beyond 150 metres.