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: Another way to look at lens a b and c

Ore bodies are irregular in shape and it is impossible to estimate the shape of 1(b) and 1(c) from just one drillhole. This drillhole was drilled vertically down the footwall which means down one edge If E1a is any indication, the grades are higher in the center of the orebody as detirmined by the famous 05 vertical hole. As long as we are having numerical fun, the only known tonnage statistic we have comes from the E1 43-101. That showed that lens as having 2.91 million tonnes. The 05 hole drilled down through the center had 117m of mineralization which calculates out to be approx. 25,000t of ore per meter.

If lens b and c have the same degree of irregularity as a, tha b at 178.4m would have 4.46 million tonnes and c would have 3.337 million tonnes for a total of 11.107 million tonnes. Anyone familiar with significant digits must be cringing by now.

The problem is, Hole 49 was not drilled down the center, so there maybe more (or less)depth. There may be more than 25000t per m because the shape may not be the same, as rumours of stepout distances would apply. At any rate, the drills will set us straight.

Mike

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