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Message: Agressive exploration program

We were told that our eploration program would be agressive and suggestive of haste. Below is an excerpt of the May 17th release when we started trenching.

1) In an effort to increase the pace of trenching, the Company will utilize both local labor and mechanized trenching methods.

Below, from the June 9 th release;

2) It is anticipated that an additional 20 Peruvian nationals will be hired to support the drilling program. Drilling activities a are scheduled to run in two shifts, 24 hours per day, seven days a week until the program is complete

3)

As at May 31, 2011, 15 trenches totalling 1,200 linear metres have been completed with 215 samples collected over 5m sample intervals from the trenches at the Tesoro Project. The trenches were completed by a backhoe and a track-mounted excavator at Zona Central (Main Structural Corridor) and Zona Este (Parallel Structural Corridor).

So, by looking at the above, one should get the impression that things would be done quick. 1200m of trenching done in 2 weeks, pretty impressive, with 215 samples taken. Although the drill program was not officially announced as started until Aug 17 th, we could possibly be done that. The May 31 st update was excellent on the trenching, a 2 week update,then kaboom, nothing for 5 months. Did they find something of great significance? From all the DD we have done, I would bet heavily that they did, logic should tell you that if they didn,t find anything in the first trenching it would be amazing. They were trenching above gold bearing veins, so finding nothing, is very remote and almost impossible.

So, IMO, Lori may have a lot of news in her back pocket right now. When the PP was finished, they went into blackout setting up to release the news, this news has to come shortly.We are now in the 4 th week of blackout, with most likely numerous visable,s from the Geo,s on site,(it is common practice for Geos to monitor the drilling at all times) (maybe BAH could comment on this?) and we know that on site testing can be done easily, so there has to be so much for Lori to tell.

The AGM should be exciting if she reveals all this before. If not, it has to come at sometime. I can,t help but think again about the N-1 vein that graded 2.5 ounces per ton, found by testing a Quantec target, by simply digging a 9 ft deep hole and taking an 18 inch sample. There are many targets where the trenching was going on ,to be tested.

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