That offering of Nitinat securities was successfully completed on November 2, 2009, at which time Special

Warrants were converted into Nitinat common shares.

Upon the expiration of the hold period, the Company will evaluate all options available to it with respect to the

common shares. Included within those options is the proposal, which is subject to the prior approval of the Toronto

Stock Exchange, to distribute up to 100% of the Shares on a pro rata basis to all of the Company's shareholders as at

July 30, 2007. There can be no assurance that the Shares will be distributed to the Company's shareholders.

Apart from the securities received by the Company from the sale of the Jasper Property, it also acquired 750,000

additional units in the Nitinat initial public offering for total gross proceeds of $300,000.

- 18 -

Resulting Value

Risk-Free

Interest Rate

Expected

life of

options

Annualized

volatility

Dividend

Rate

Black-Scholes

Valuation Assigned

0.95% 1 year 100% 0 $ 2 ,063,208

Black-Scholes Assumptions

As a result of these transactions, the Company holds 53% of the common stock of Nitinat on November 2, 2009.

Under applicable accounting procedures, this ownership block results in Nitinat being designated as a subsidiary of

the Company, requiring that its financial statements be consolidated into the financial statements of the Company.