Vol. 152 - FIRE RIVER GOLD: PINNACLE'S FEATURED GOLD COMPANY FOR 2010

A TURN KEY GOLD MINING OPERATION

Dear member,

Griffiths McBurney & Partners, a well respected investment dealerserving corporate and institutional investors released a quantitativeand technical analysis report on gold this week. The report was boldlytitled, "Gold and Gold Equities nearing Completion of Corrections." Inthe report GMP stated, "We continue to anticipate a spring 2010intermediate top for gold that should at minimum reach $1,500. Webelieve that the current pullbacks are near completion and present aquality opportunity to accumulate gold and gold equities."

And that is exactly what we plan to do at Pinnacle.

It's been almost 5 months since we featured a gold company. The lastgold company we put our name behind was in September of 2009 - Teryl Resources, operating in the world famous Tintina Gold Belt, Alaska. In less than 2 months after releasing our introductory research report, Teryl Resources was offered a buyout from Kinross Goldfor its interest in the Gil JV Project and its shares increased 151%from our notification price. This was a huge win for our members andteam.

Our team has gone back to the world renowned Tintina Gold Belt in Alaska to find our new Featured Company. We have selected Fire River Gold Corp. (FAU:TSXV) as our Featured Gold Company of 2010. The company's flagship project is the Nixon Fork Gold Mine,a past producing high grade gold mine where management's objective isto re-establish production in the next 18 months, or potentially muchsooner. And, thanks to the recent market pull back, the stock hasdropped to a price level which ultimately dictated the timing of ourselection. Fire River Gold currently trades at
.44 per share, downfrom its peak of
.75.


Fire River Goldis by far the most advanced mining company we have featured on any ofthe junior exchanges to date. It took 5 months of scouring the juniorresource market to find this company. The long hours at the office werewell worth it.

Fire River Goldis a company with a market cap of just under $18 million. With over$100 million in infrastructure already in place at the company's Nixon Fork Gold Mine,we have truly found a turn key gold mining operation. Never before havewe found a mining company with this amount of infrastructure and amarket cap of less than $20 million.

When most junior miners talk about infrastructure, they are talkingabout electricity, roads, a potential nearby work force, etc. (all verybasic components that don't hold a candle to what Fire River has in place). When Fire River Gold explainsits current infrastructure it is clear just how advanced its Nixon Forkproject is, as the company owns a turn key gold mining operation.

How do we define turn key?

Fire River Gold ownsa fleet of mining vehicles, a self-contained power plant, water andseptic systems, maintenance facilities, drilling equipment, an 85person camp, office facilities and a 1.2km long landing strip.

That's not all.

Facilities also include a 200 tpd floatation plant with a gravitygold separation circuit and a sulphide floatation circuit. In 2008, aCIL gold leaching circuit was purchased and is currently 60% installed.Finally, and most importantly, the very difficult and time consumingfactor of permitting a mine has already been accomplished at Nixon Fork. The mine is fully permitted and bonded. The bond alone cost $3.6 million to complete and takes 5 years to receive.

It's clear after reading the above summary just how advanced Fire River's Nixon Fork Gold Mine is.

If you're wondering why you've never heard of Fire River Gold - you're not alone. We were wondering the same thing upon first learning of its project. Fire River Gold is a recent IPO and has only been trading on the TSX Venture for less than three months under the trading symbol, FAU.

In order to understand Fire River Gold's plan and the potential for the Nixon Fork Gold Mine, you have to understand the circumstances in which it was acquired as well as all past work and production rates at the mine.

Nixon Fork Gold Mine History

The first company to work on the project was Nevada Goldfields Inc.(NGI) who constructed and operated the Nixon Fork high-grade gold minefrom 1995-1998, producing 137,749 ounces of gold and 2.1 million poundsof copper, with additional silver credits. The average production gradewas extremely high, 42 grams per tonne (gpt) of gold, with an averageproduction cost of only US$266 per ounce. Nevada Goldfields' profitableoperation at Nixon Forkfunded its parent company, Real del Monte's development projects inMexico. The Mexico projects were not successful and as a consequencethe Nixon Fork Mine was closed in 1999 due to the bankruptcy of Real del Monte amidst declining gold prices.

That opened the door for St Andrews Goldfields Ltd (SAS) who leased the mineral rights for Nixon Forkin 2003. From 2004 through 2008 approximately US$54 million wasexpended on upgrades to the processing facilities, mine infrastructureand new equipment. During 2007 - 2008, 9,381 meters of reserve resourcedefinition drilling was conducted.

Limited production in 2007 resulted in recovery of 6,775 ounces ofgold and 78,644 pounds of copper. As time went on, speculation grewthat St. Andrews was not properly allocating their resources when itcame to Nixon Fork.

Alastair Ford, in an article from minesite.com released January19th, 2010, stated in reference to St. Andrews' work at the Nixon ForkMine, that, "At that time St Andrews seemed to be pressing theself-destruct button all over the place, and Nixon Fork was no exception."

In the fall of 2008, during the market collapse, the mine facility and camp was put on care and maintenance.

Like all miners, St. Andrews Goldfields was not immune to the marketcrash of 2008. During the crash, when cash was extremely tight amongstminers, the company decided to utilize what resources it had left onits Holloway Mine in Timmins, Ontario (which is now producing gold),thus putting the Nixon Fork Mine up for sale. So once again, due to amonetary crisis and unusual circumstances, the door was re-opened onthe Nixon Fork Gold Mine. This was an opportunity not to be passed upby Harry Barr, Fire River's President, who strongly believes thatwithin every great crisis, there is great opportunity.

Nixon Forkwas acquired by Pacific North West Capital in February 2009. Fire RiverGold is a Pacific North West Capital spin out and acquired Nixon Forkfor $3 million in cash and shares from Pacific North West Capital inJune 2009. Pacific North West Capital is still the largest shareholderof Fire River. Harry Barr is the CEO and President of both Fire River Gold and Pacific North West Capital.

As the last two operators of the Nixon Fork mine focused most of theirfinancial efforts on underground development, the mine infrastructure,equipment, permitting and bonding, only a limited amount of theirbudget was spent on the exploration upside. Numerous explorationtargets have since been identified and Fire River's management plans tofocus on these and other areas throughout the claim block with theobjective of outlining new resources. Fire River wants to find out justhow big of a gold mine they are sitting on. It is management's beliefthat there is significant exploration upside at Nixon Fork as well asexcellent potential for near-term production.

WHAT TO EXPECT

An NI 43-101 resource calculation will be completed this year. Thisreport shall incorporate the results of a CDN $1.25 million programwhich began in late April 2009. The objective is to complete are-evaluation of the mine, mill, underground resource and comprehensivestudy to re-process the tailings pond. The report will come out instages, with the first milestone being the completion of the tailingsstudy. According to the Northern Miner, Fire River Gold's5 acre tailings pond is "somewhat of a gold mine itself". Afterreviewing previous reports we understand why they made such a boldstatement. There is 150,000 tonnes of mill tailings that a previousstudy showed average grades of 8.1 grams per ton.

The objective is to look at the feasibility of re-processing thetailings through the new CIL plant that was purchased and isapproximately 60% installed in the mill. A drill program andmetallurgical study is in progress on the site and the completeevaluation is expected to be finalized with a corresponding reportissued shortly. Subject to positive results, management plans toinstall the balance of the CIL plant (which is all on site) and relatedtailings production equipment in the winter of 2010. The decision toprocess the tailings is slated to occur after spring breakup, in March2010 (just over one month from now) - a key reason why we areintroducing you to Fire River Gold now.

Fire River has big plans for 2010 and won't be relying on Nixon Fork's past operators for old data. With a team of over 100 years experience working in Alaska, Fire River Gold believes their technical crew provides superior expertise in the area. Without relying on any historical reports, Fire Riverwill be undertaking an extensive assessment ($1.25M) and an explorationprogram of 20,000 metres in 2010 which will result in its own NI 43-101on the Nixon Fork Gold Minethis fall - a key reason why we are telling you about this company now.On top of that, the company's technical team will be re-logging over200,000 ft of historical drilling and doing among other things, ageochem program to establish priority targets for this seasonsextensive drill program.

More Details on Fire River's 2010 Work Program:

- Between April and August 2010, underground infilldrilling will commence as 12,000 metres (36,000ft) has been planned on5 targets.

- Between May and September 2010, Surface Exploration Drilling willcommence as 8,000 metres (24,000 ft) is planned to be drilled on 3targets.

Remember, Fire River Gold has another 'iron in the fire' in 2010.

Added to the exploration upside is the gold in the tailings,estimated at between 150,000 tons grading 7 g/t and 170,000 tonsgrading 9 g/t. This could prove to be a significant near-term revenuegenerator for the company.

It is important to note that Fire Riveris well financed, an enviable position for a junior miner to be in. Asof January 2010, they had $3.5 million in the company treasury whichwill help them capitalize on the potential gold run to record levels.

The coming price rise of gold represents a "once-in-every-300-years" phenomenon stated Rob McEwen, Founder and ex-CEO of Gold Corp., also an advocate of the junior resource market which finds the world's future producers.

Greg McCoach, the widely recognized mining speculator,bullion dealer, investor, and newsletter writer has generated animpressive track record over the years. This past week, he took a verystrong stance by stating, "I fully expect gold to break the $1,500level within the next 12 months. That means 2010 will a breakout yearfor junior gold stocks beyond anything we have experienced in the last10 years. We still have a long way to go before the junior gold stockmarkets reach their peak. I urge you to begin establishing positionsnow."

When it comes to Fire River Gold (FAU:TSXV),the facts speak for themselves. We are buying shares in the companythis coming week and putting our name behind our Featured Gold Companyof 2010.