Four Benchmark achievements in this NR:

1) La Yesca has started 3 months of testing with a target of 220 te/day in August. We should run the numbers with tareget recovery rates and yield given current Ag and Au prices. (Does anyone know the netback on PM aggregate before it is sent for refining? Please PM me the % and I will run the numbers this evening)

2) The diamond drill for placement at Xora is set-up at La Yesca! The remote delivery is complete. Good idea to test it at La Yesca first before dragging it up the mountain to Xora

3) Visible PM's encountered during line cutting for Xora geophysics - hope they scrape the road over those outcroppings on the way up the mountain to Xora. This would provide some instant enriched feedstock to the mill. (I understand that raw feedstock like this is much easier to process than the tailings - maybe a ratio'd combination of feed would improve recovery? Most importantly, we have immediate confimration that there are PM's there to extend the life of the mill beyond the 4 - 5 year processing of the tailings. WHAAaaaaa HOOoo !!!!)

4) More confidence money from the Mexican Government for the drilling of Xora - this time a grant rather than a loan. Perhaps this money will be allocated to repair and upgrade the diamond drill ... or perhaps it can be allocated to training a couple of crew shifts from the local population.

It's a little sad about the discouraging results at McFaulds, but this frustrated cash counts as investment and moves us closer to the 55% ownership & operatorship on the two giant land holdings in the RoF. With our lack of success in the RoF, I would not be surprised if all activity stops there once we have the 55% privelege. At that point we will have a concrete value for the property = to UC's investment. We could easily assign our privelege for mutiples of our buy-in, and still hold some interest in the success of the exploration and development.

Perhaps this NR will breath some life into our dead investment $'s here.