2012 Drilling Program:
The 2012 drilling program to date totaled 2,206 m completed in six diamond drill holes. This is the first year that drilling was completed in these areas. Difficult ground conditions encountered in the Mike zone, (DDH) CF-429-2012 and CF429B-2012, and portions of the Discovery zone, (DDH) CF428-2012 and CF-430-2012) resulted in early termination of four of the drill holes from the 2012 exploration program before reaching the chargeability anomaly on both the Discovery and Mike zones. Analytical results for these drill holes are pending.

Experience at Schaft Creek has shown that difficulties encountered at shallow depths of the drill hole can and most often do lead to more significant drilling issues at greater depths. Deflection of the drill stem in shallow, very coarse overburden or poorly consolidated bedrock increases down-hole torque, leading to excessive abrasion and wear on drill rods. Continued wear on the rods compromises their strength and integrity, thus increasing the potential for breaks in the drill string and potential loss of equipment.