HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Message: Why is all of RoF rushing to do VTEM' s?

Drilling deeper is tedious, expensive and time consuming... They are going to want to 'pick all of the low hanging fruit first', i.e., find the shallower occurences of mineralizations and then work down to greate depths as those deposits are drilled off. They have only begun to test the near surface targets and what they find could be sufficient to establish a new mining camp, so why look deeper if you can find enough near surface to establish lucrative mining operations?

It also possible that some RoF deposits could remain open at depth, and it may only be years later as they mine deeper that they discover the the total extent or limits of the mineralization. Tthey are still finding stuff at depth in Sudbury...

It also harder to see what is going on at depth as surface geophysical surveys of any type are limited how deep they can penetrate. Where are they going to drill, if they effectively cannot 'see' anything?

Furthermore, they cannot just start punching holes through the chrome to see what is there. It does not work that way... Where would they drill? They could drill hundreds of deep holes and not find anything, and drilling is very expensive.

Drilling is usually not ever used as a 'blind' method of exploration. You are alwars drilling a known occurence, or drilling to reach a known target - a company would not just start drilling holes blindly hoping to find something.

Also geologists have an in depth uderstanding of local and regional geology with regards to rock types when they are drilling, so as they hit certain rock types with the drill, decisions are made to stop holes, often in conjunction wth what they know from the geophysical data, because at some point it becomes improbable that they will intercept more or any of what they are drilling for.

The point is, even if somebody thinks that Cu-Ni-PGE deposits might be found under the chrome, if it is the case that the EM surveys do not indicate anything is there because the chrome is masking them, then nobody would drill looking for them. Again, how would anyone know where to drill? Such deposits, if they exist, might only be found by chance, or during of after the chrome is mined.

I suggest we trust the highly experienced geos running the programs, who have access to the latest data, and know much more about what is going on, to make the decisions as to where best to drill.

Regards,

B.

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