We all know that this company is a bit of an enigma and is not the best at communicating its activities. And I'll admit the delay of any news about the 43-101 resource report was starting to worry me. Saying that, a friend forwarded me an email that he received with a few key comments about the MD and A that was just released. In it are a few good highlights that one must focus on because I don't think we are going to see any news until the resource report is actually released. I'm not positive if there is somekind of quiet period for such material news. So here are the points to keep in mind regarding this company and I'll add my own thoughts here and there.

1. We finally have an answer on what was keeping the 43-101 so delayed. For a second time there has been some follow up drilling "to expand the resource base". The first time if you recall were the "extensions" whose results were released in Q1. Whaler has reposted those here a few times and they are boomers. If I recall they clearly showed grades improving at depth, and most important proving that this North Zone does indeed expand at depth. This the company has said over and over again.

This last release now stated that a second delay occured as drilling was recommended to "expand the resource base" further north this time. Note that the MD and A is actually written as of July 31st, so we may assume that drilling is near completion if not already. By looking at past drill locations one can see that we were very close to drilling near the Lutha boundry. I'm assuming as have others that we may now have actually entered the Lutha leases somewhat. One should also be aware that there are seven permit claims on Lutha and that they encompass a rather large land mass in itself. What little drilling that has occured there in the past is so sporadic and little that I'm not too worried about that report. Without knowing those exact locations I doubt all five drill holes were exactly where the North Zone is located.

2. The trio of so called reports that Whaler has referred to included the VTEM report. This was reported already and has been completed. Its never been released to the public but it was stated that VTEM was flown over the Langmuir, Douglas and Cleaver leases, all in the Timmins area. Since then major expansions to all of these properties have occured and more on that below. However by not releasing the VTEM results they obviousely pointed out something exciting to the company.

3. The last of the "trio of reports" was the metallurgical study by SGS - Lakefield. This latest MD and A clearly states that this "met" sampling has now been completed and will be released with the 43-101 report of Micon's. So enough said about the trio of reports.

4. As mentioned, with VTEM results it looks like the acquired leases on the western edge of Langmuir (known as the Keefe Cook Property, acquiired last November) has now been drilled on already. Those cores are now being logged and assayed. Probably not for the 43-101 report.

5. The dewatering and bulk sample for Langmuir 1. The company admits this is continuing and wondering with higher nickel prices if they will proceed with that. I don't see why as what they need the extra cash for is beyond me. If anything, if Langmuir is eventually sold I wonder if a bulk sample would hinder that event. You're actually processing someone elses ore.

6. Another contentious issue is the Jasper dividend spin-off. That transaction is based on the closing of the initial public offering or the IPO. I can't see that going like gang-busters in this credit climate. So the delay will probably continue IMO.

7. Then there is the Cleaver/Douglas Properties. Most likely due to the VTEM the MD and A states that ISM has now acquired all the land inbetween the two properties into one massive site. The Cleaver Property before was already much larger than their Langmuir Property.

8. The new Desrosier Property or what is sometimes referred to as the "moly" property to to its high showings has also greatly expanded since acquired last November. Again, most likely due to the VTEM that was flown over it. This property is now over 10,000 acres large by itself. Also added to this is the fact that there are indications of "rare earth minerals". I see this and the moly plays as good diversification away from the industrial minerals down the road.

9. Heck, even some work is even progressing on the Utah Property known as the Barton/Dry Fork Property. This is suppose to be a gold play and according to their maps is surrounded by the Kennecott gold mines.

10. Whalers favorite NCIB or the share buy back program. According to the MD and A again, over 700,000 shares have benn taken off the market. Not bad and probably at an expense of only half a million dollars (give or take). As Whaler or anyone else has access to, I believe there has been no repurchases or buy backs since early June. Again making me wonder if there is somekind of "quiet" period going on.

11. And last but not least, did anyone catch the cash balance. ISM continues to sit on $25,000,000 in cash or short term investments. PLUS no DEBT! A big plus that allowed things to continue during the worst credit crunch since the Great Depression.

Overall not bad at all. Things seem to be humming along just nicely IMO. But I don't expect much more news until we see the Micon produced 43-101. Then all will be answered and ISM can enter a new era of exploration.

Best"