FIEDMONT PROPERTY

Platinum PGE Discovery: The Fiedmont platinum group element (“PGEs”) property, which was optioned in late 2005, consists of 37 claims totalling 1,571 hectares. It is located 30 km north of Val d’Or, Quebec. PGEs were originally discovered in 2001 by two local geologists, R.J. Tremblay and T. Coyle, in blasted rubble from road construction. Another showing was discovered about 800m NNW of the original showing (the “Tower Showing”); three more showings were then located within 300m of the Tower Showing. PGE values at the original showing ranged up to 4g/t; and up to 6.7g, 4.5g. 1.1g. and 5.7g/t respectively at the other four showings. Zones sampled at surface by Kinbauri gave results of 0.46g Pt/t and 1.44g Pd/t over 2m; 0.75g Pt/t and 1.52g Pd/t over 4m; 1.52g Pt/t and 4.21g Pd/t over 1m. The PGE mineralization occurs in dark, very hard, fine to medium grained silicified diorite to gabbro; containing 1% to 7% disseminated pyrrohotite and pyrite and subordinate chalcopyrite. Rock geochemistry suggests the rocks are altered ultramafics.

Drill Results: Kinbauri drilled four short diamond drill holes (60m each at 45°) under surface showings to confirm the strength and extent of the PGE mineralization. Two, and possibly three zones, were identified during this limited drilling campaign. Significant PGE intercepts are as follows:

Diamond Drill Hole KNB06-01 (Tower West Showing);

• 0.95g/t over 1.5m beginning at 5.7m.
• 0.94g/t over 1.5m beginning at 12.7m.
• 0.61g/t over 9.0m beginning at 33.4m and including 0.99g/t over 1.5m.
• 1.21g/t over 8.6m beginning at 44.4m and including 1.76g/t over 2m.
• Previous sampling: grabs, 0.3-4.5g/t; chip samples, 2.3g/t over 4m.

Diamond Drill Hole KNB06-02 (Tower Showing);

• 0.89g/t over 5.5m beginning at 20m and including 1.05g/t over 3.5m.
• Previous sampling: grabs, 0.3-6.7g/t; chip samples, 1.3g/t over 2m.

Diamond Drill Hole KNB06-03 (Windfall Showing);

• 1.51g/t over 1.5m beginning at 15.4m.
• 0.72g/t over 5.9m beginning at 21.4m and including 1.17g/t over 2.4m.
• 1.48g/t over 5m beginning at 48.8m and including 1.69g/t over 1m
  and 2.77g/t over m.
• Previous sampling: grabs, 0.2-1.1g/t.

Diamond Drill Hole KNB06-04 (Lynx Showing);

• Targeted horizon not encountered.
• Previous sampling: grabs 0.2-5.7g/t; chip samples 5.7g/t over 1 m.

Successful Soil Survey: A geochemical orientation soil survey was completed in 2006 by Kinbauri to test this methodology for defining PGE mineralization. Results showed that anomalous patterns in Pt and Pd in both “B” horizon and humus samples closely coincided with known PGE occurrences and that the anomalies paralleled the strike of PGE zones. Soil sampling and geochemical analysis for Pt and Pd will be the primary tool for defining PGE mineralization at Fiedmont.

Magnetic Survey Defines Large Differentiated Complexes: An helicopter-borne magnetic survey with line spacing at 75m was completed in 2006 for Kinbauri by Geophysics GPR International Inc; results were subsequently interpreted by Paterson, Grant and Watson Ltd. Two large (1.3 and 1.7 km in diameter) altered, differentiated mafic-ultramafic intrusions into basalt and trachyte volcanics were delineated. Known PGE mineralization occurs near the northern body’s northern contact. Magnetics patterns associated with 3 of the 4 showings (Tower, Windfall, Lynx) indicate one PGE zone of some 700m in length and suggest a parallel zone of over 1,000m; the 4th showing (Highway) appears to mark another phase of the mafic-ultramafic intrusion, which has been subjected to minimal exploration to date. The southern intrusion has not been prospected for PGEs. The Fiedmont PGE prospect is a recent discovery and follow-up exploration has been very limited to date.