Hi Vehatz!

Whoa! If KXL was seriously to consider putting together a resource estimate right now, I would consider it to be a mistake. The company is off to a great start but has yet to hit a big tonnage zone that would support even a modest operation. The Venture is loaded with sketchy companies that are publishing resource estimates for projects that will never be mined. It is a tactic employed by weak management in the hopes of getting naive investors to bid up the share price for short term gains. Everything I have learned about KXL is that the management is focused on building a real development story, and therefore I would tend to doubt that they are seriously considering wasting the time and effort to put out a number that will amount to window dressing at this stage. There is no need for it.

I would be very happy if I could estimate even half a million ounces of infered gold resource, but I suspect we are still a long way south of that based on the results released so far. The reason is because the vein widths are still mostly very narrow. And narrow veins, even when encountered over a long distance, do not build much tonnage. There is not enough drilling to establish the continuity of the veins in all but the zones closest to the surface. And with an underground operation, the cutoff grade would have to be at least 3-4 g/t so all of the lower grade intervals that fall below that when diluted to a minimum vein width of at least 1m, would not even be considered.

Sorry to be a wet blanket on this one, but we are a long way from 5 million ounces. Maybe after a solid season of drilling, if KXL can hit a few fat zones of high grade on the step out drilling, it may become more of a priority.

That is just my opinion, and I will be more surprised than anyone if they did commit to a resource estimate at this early stage.

cheers!

mike