In the Golden Extension Video (March 2009) on the SGX website...

Bill Love states: "When Kodiak discovered the Golden Mile in 2007 I was able to examine the Golden Mile and of course looking at the strike direction of the Golden Mile it headed northwest towards the Jacobus property and for a number of geological reasons both Sage and Kodiak believe that we are basically looking at the same structural system comprising numerous quartz veins with high grade associated with pyrite."

Question: Does Sage and/or Kodiak still believe that the Golden Extension and the Golden Mile are basically the same structural system?

Bill Love states: "Particularly at the furtherest northwest end of where we are currently working we are seeing very good mineralization particularly developing in the volcanics... so nice stockwork where the wall rock carries, the veins carry... so this becomes a very exciting zone to pursue to the northwest. The question is going to be what is going happen along the margins of this contact?... will the structure head up into the volcanics?... will we have a broad silicified zone within the volcaincs at the contact where you could potentially build up some bulk? So we're excited about where we are right now in terms of the stripping ah and what we're seeing in terms of the change of geology, the development of quartz stockwork systems, and of course the most exciting element of this is visible gold... and even in the winter, as I found out on my recent trip (laughs), there's a lot of visible gold which of course is ah makes one very excited."

Questions: According to assays reported in the news release dated September 3rd, this "very exciting zone to pursue to the northwest" was drill tested with just 1 shallow hole (hole 15). Why was this "very exciting zone" only drill tested with 1 shallow hole? Did SGX learn what happened along the margins of the contact? Did the structure head up into the volcanics? Did you encounter a broad silicified zone within the volcaincs at the contact where you could potentially build up some bulk? Why does SGX think so much visible gold could exist on the surface but not be reflected in drill results?

Bill Love states: "We believe the evidence that we see on the Golden Extension is there is a number of areas where you have very good high grade surface values that will be open-pittable will will return capital quickly and that's a tremendous advantage when you're developing a new mine site."

Question: Does SGX still believe the Golden Extension will be open-pittable?

Thanks in advance.

red911