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: I notice a pattern here...some always "bad mouthing" ROF and CHROMITE...

The chromite/PGE ore will be crushed and milled to a fine dust that will be put through a gravity separation plant called a concentrator. This process may likely include mixing the ore fines with water and running them through vertical spirals that separate the ore by splitting out the denser material and diverting the waste and producing concentrated ores. The Chromite ore at McFaulds is high percentage and therefore very dense while the PGE percentages are much lower, and the densities basically the same as the host rock. The chromite ore and the PGE ore should be easy to separate from one another although there will be some chromite tangled up with the PGE's. It will be possible to get an acceptable direct shipping concentrate for the chromite. It may also be possible to separate a PGE concentrate if the density is high enough to distinguish. The economics of how much chrome you can lose compared to the PGE's gained will have to be calculated once the process engineers get their analysis done.

The decision has to be made whether they will ship concentrate or have a smelter on site. They may need two processes and if there is a common smelter that can process both ferrochrome and PGE's, it may mean stockpiling one and scheduling the two concentrates at different times. Just opinion, I am not an expert.

Mike

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