Nakinagirl,

I talked with Bruce Hodgman, Communications Director, at KWG again this morning. He gave me more specifics to my questions. He stated that the feasability study for the railway has been underway for several months now. It got off track by all of the distraction from the Spider buyout. He stated that KWG is moving the railway project forward, as follows:

1. Topographic studies completed.

2. Soil sampling completed.

3. Drilling auger samples every 1,000 feet to the bedrock.

4. Engaged NUNA Logistics for aboriginal study for crossing the rivers.

5. Working toward tendering logistics for compression testing for the rail bed.

Bruce stated that KWG is actively looking for partners.

TC