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: Diversity and Need

You can of course make an argument that cost to Government of providing infrastructure/access to ROF would be recoverable over time. However you are highly unlikely to get them to agree and plunk down necessary funds.

A business evaluates where their capital spending obtains the largest payback AND so does Government. If investment of $20 million in Metro Toronto creates more jobs and faster payback (forget about happier voters) then that's where that $20 million goes instead of in the, perceived, lower payback in the far North.

The way to get Government on board is to do everything one can to 'sweeten the pot' . If tomorrow another 'Voisey Bay type' deposit was found it still wouldn't change Government's mind since they'd figure the 'majors' can pay for their own road.

It's highly unlikely any 'consortium' of ROF exploration companies will ever put up the money to get an allweather road into the ROF. They are focused on hording every dollar to spend on exploration, it's what they do. Do we really want to wait for a 'major' to come in and consolidate minerals sufficient to pay and maintain a road? Even then any Major will be reluctant to finance any road to which free public access is given to other companies in the ROF.

It's time indeed for the Provincial and Federal Governments to step up and state clearly that they will, when time and circumstances warrant, take charge and provide all weather road.



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