Exploration Program and future intentions

The initial exploration and development strategies to be pursued by the Company are detailed below:

Exploration Strategy

Broadly speaking, the intention of the Company is to pursue the following exploration and development strategy:

1. Drill define a JORC compliant resource around the Millsite and Singko zones.

2. Digitise and reprocess all previous drill logs and adit -tunnel assays from Nalesbitan Hill into 3-D mine modelling software and determine additional work programs to re-classify as a JORC compliant resource.

3. Digitise and reprocess all previous drill logs and adit -tunnel assays from Nalesbitan Hill into 3-D mine modelling software and determine additional work programs to re-classify as a JORC compliant resource.

4. Undertake additional metallurgical sampling and test work to assess the metal recovery properties and associated mining/milling and concentration process on ROM materials which are defined around the Nalesbitan Hill, Millsite and Singko zones.

5. Commence a small scoping study and possibly, pre-feasibility work based on short-term development alternatives for the Nalesbitan Gold Project regarding the above.

6. Explore targets extraneous to the above within the Nalesbitan Tenements (i.e. Bagong Dose et al) to undergo additional soil/rock chip geochemistry, geophysics and (limited) drilling to further define the location of additional mineralisation as well as the location of the underlying porphyry target.

Development Strategy

Management will continue to focus on building its community relations and on institutional strengthening for development of local community services and will work collaboratively with the Barangay Council, Labo Municipality and the Provincial and National Governments. As the Nalesbitan Gold Project grows and moves towards development, particular attention will be paid to the local artisanal miners (approximately 280 persons) who with their families currently reside within the mining claim areas and who will be affected by any project development.