Exploration

CHILE

The Company activities in Chile in 2007 consisted entirely of target generation and property review. We conducted reconnaissance exploration on our properties in Aysen, south and west of Cerro Bayo. Other properties held by the Company in Chile include Puchuldiza, a hot-spring Au target presently under an option agreement with Barrick Gold Corporation, Carrizalillo a low-sulfidation gold property in the Atacama Lower Tertiary gold belt, and Incahuasi in the Antofagasta region along the Western Fissure zone that controls many large copper and precious metal deposits. The Company plans for 2008 are to continue the evaluation of the most promising targets identified in its land holdings peripheral to Cerro Bayo, appraise third party properties, and seek and evaluate business opportunities for Carrizalillo and Incahuasi.