The company announced the results of a preliminary economic assessment (PEA) for the completion of a 250 tpd cyanidation circuit and the implementation of leaching at the Nixon Fork Gold Mine in Alaska's Tintina Gold Belt.

HIGHLIGHTS

• Strong potential result from PEA (Case A selected):
  $3.3 M NPV and 24% IRR at $1000/oz gold price
  $7.7 M NPV and 48% IRR at $1200/oz gold price
  $14.2 M NPV and 81% IRR at $1500/oz gold price
• Tailings pond contains:
  92,000 tonnes at 7.87 g/t indicated resource (23,300 oz Au)
  48,000 tonnes at 7.37 g/t inferred resource (11,400 oz Au)
• Good recovery factors from leaching:
  79% recovery from existing tailings
• Positive impact of leaching on future mining:
  ~ 94 to 97% total recovery from future mined ore
  New tails leaching costs at < $400/oz Au
• Poised to build:
  Production possible by summer 2011

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