As at December 31st, 2008 and March 30

th, 2009 (the date of this report) the Company had sufficient cash on hand to fund current exploration and production operations. It is likely that the Company will be required to pursue additional equity or debt financing.

Therefore, as at December 31

st, 2008, the Company has sufficient cash reserves to meet currently planned exploration and development activities and to fund operational activities in the short term. The Company will be dependent upon future financings or an improvement in operations to generate sufficient cash to meet obligations and discharge liabilities as they become due.