2001 the Property was under development by EnviroGold Technologies Inc. Production

in 2001 by EnviroGold was reported as 7,397 ounces of gold poured, for 55,172 tonnes

milled. Development extended to the third saddle-reef vein with most of the production

coming from the second saddle-reef vein.

In 2003, Azure Resources Corp (“Azure”) acquired the Dufferin Property. Azure

dewatered the mine, sampled portions first and second saddles (the uppermost saddles),

surveyed the surface and tailings pile, carried out metallurgical studies and refurbished

the camp and mill. Mining of ore took place mainly in first, second and third saddles, and

a ramp to the fourth saddle was made. The mill recovered approximately 1,600 ounces of

gold.

In 2006, the mill was changed to a gold flotation circuit by Jemma Resources to reprocess

the existing tailings. A total of 1,601.9 ounces was recovered from 31,745 tonnes of

tailings.

Twenty-three diamond drill holes totalling 2,995 metres were completed on the Dufferin

property by Ressources Appalaches in late 2008. The objective of that work was to

confirm the extent and continuity of the deposit's gold-bearing structures. The results

include the sampling of a quartz vein and its wall rocks in hole F08-07, which gave

31.64 g/tonne Au over four metres, including 125.5 g/tonne Au over one metre. Sampling

of several stratiform quartz veins in an argillaceous mudstone layer in hole F08-11

yielded a grade of 8.34 g/tonne Au over nine metres. Fifteen Saddle-type veins have so

far been identified on the deposit. These 15 veins are oriented sub-horizontally in

anticlines folds, stacked one above another at intervals of 10 to 40 metres.

By virtue of the record of historical work, the positive results obtained in the past and the

total expenditures made on the Dufferin Property, the authors conclude that it is a

"property of merit" and warrants further exploration.

The recommended work consists of dewatering the existing underground workings,

underground mapping and sampling, diamond drilling (1,700 metres, surface and

underground) the near-surface saddle-veins and metallurgical work. Phase 1 is expected

to last six months and cost approximately $CAN 500,000.