Dear Sirs,

Hello,

We continue to be engaged in discussions with government officials but considering the problems of the government and the crisis in the world time is always a factor in Venezuela. However, as we mentioned we are moving forward with the discussions to sell at least half the equipment as we mentioned in the second quarter report. As you can imagine these are not off the shelf items but the sale of this equipment would certainly enhance short term shareholder value. Once we obtain clarity with respect to the Venezuelan situation then we can make the decision of which way we are going to proceed. In the meantime we are preparing for either eventuality. We also are engaged looking at other opportunities which as you will notice are getting cheaper everyday right along side our share price. We are in a strong financial position and will always make that a priority with the company.

Best regards,

Doug Belanger

President