|Dr Ian Wilson|
|BSc, MSc, PhD, MIMMM, C.Eng, C Geol, FGS, CSci|
|May 17 th 2010|
* This report has been prepared by the author in accordance with the Codes of Conduct (1990) of the Geological Society (UK) and the Code of Professional Conduct of the European Federation of Geologists. Every effort has been made to ensure that the information is factually correct and of the highest professional standard. However, it must be appreciated that the information is derived from a wide variety of sources. Therefore, the author cannot take responsibility for any omissions or inaccuracies for which he is not aware of at the time of preparing the report, or for the result of any consequential action that may be made based on this information. The author is considered a “Competent Person” as being a member of the Institute of Materials, Minerals and Mining (Iom 3 ) and having 36 years experience in industry. The Australian Stock Exchange (ASX), acting on advice from the Australasian Joint Ore Reserves Committee (JORC) and its parent bodies (Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists, and the Minerals Council of Australia) has promulgated a list of Recognized Overseas Professional Organizations (ROPOs) to which Competent Person may belong for the purpose of preparing reports on exploration results, mineral resources and ore reserves for submission to the ASX. Iom 3 is included in the list of successful ROPOs.Cautionary Note to Investors: The United States Securities and Exchange Commission permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. None of the information in this letter relates to such deposits and there is no assurance that the deposits will ever be economically and legally extractable or producible. This letter also refers to a resource statement that will be prepared after conclusion of the geological survey. The SEC guidelines strictly prohibit us from including information about a resource statement in our filings with the SEC unless such information is contained in a final feasibility study. U.S. investors are urged to consider closely the disclosure in our 10Q’s and Form 10-K. You can review and obtain copies of these filings from the SEC's website at http://www.sec.gov/edgar.shtml.