Heyson, Red Lake

The Heyson claims consist of 9 claim units totalling 360 acres in the Heyson Township in the Red Lake Mining District. The agreement with the Vendor allows the Company to earn a 100% interest in the property by making cash payments of $64,000 and issuing a total of 105,000 shares of the Company over the four year length of the agreement. The property is situated approximately two kilometers northwest of the Company's South Baird property adjoining the Claude Resources "Madsen" property. The past-producing Madsen mine (over 2.4 million ounces of gold produced) is located approximately 2,500 meters west of the Heyson property.