CARABAYA

Resource Estimates

In 2009, an extensive Technical Mining Report was performed on the property by Shaft and Tunnel Engineering Services. Based on assay data from the report, a resource estimate has been calculated for the deposit. Using the US Geological Survey Resource Classification, the deposit has been divided into three categories as show in the table below:

Category                                      m3                           Tonnes                    Oz./Ton                Ounces/Au
Measured Reserves                 360,000                       720,000                     0.0506                     36,432
Indicated Resource                3,500,000                    7,000,000                    0.0337                     235,900
Inferred Resource                 27,000,000                  54,000,000                   0.0337                   1,819,800