--  Mineral reserves of 3.4 million tonnes at a grade of 7.52 grams per
    tonne (812,000 ounces). Cutting factors of 50 grams and 30 grams were
    applied and the updated reserve was determined based on historic
    drilling with no exploration progress since 2007 included. 
--  A 7.5 year mine life is assumed based on production capacity of 1,500
    tonnes per day. 
--  Peak annual production of 120,000 ounces is assumed based on cut grades
    with a cash operating cost, at peak production, of US$322 per ounce. 
--  Life of mine average operating costs, including during advanced
    exploration, pre-production and production, of $95 per tonne with
    numerous opportunities to optimize operating costs available but not
    factored in the Report. 
--  Additional capital of $33 million to be committed in 2010 to take the
    Project to commercial production, with $29 million of sustaining capital
    expected over the life of the Project. Capital expenditures referenced
    in the Report include costs for both the Timmins Mine and the
    refurbishment of the Bell Creek Mill. 
--  Commercial production targeted for the fourth quarter of 2010. 
--  An internal rate of return, based on the $62 million of capital expected
    subsequent to the end of 2009, of 240% using a gold price of US$950 per
    ounce and an exchange rate of 1.15 US$/C$.