The Company's ability to continue as a going concern is dependent upon its ability to attain
profitable operations, generate sufficient funds therefrom, receive continued support from its
creditors, and continue to obtain capital from investors sufficient to meet its current and future
obligations. As at March 31, 2013 the Company had a working capital deficit of $1,724,175, does not
have a loan facility available, has a deficit of $8,947,394, incurred a net loss of $588,273 during the
six month period. In order to improve the Company's working capital position, the Company may
need to adjust its exploration and development activities, issue shares and/or seek debt financing.
Although management’s efforts to raise capital and monetize assets have been successful in the
past, there is no certainty that they will be able to do so in the future. The aforementioned
circumstances indicate the existence of a material uncertainty that may cast significant doubt about
the Company's ability to continue as a going concern. These financial statements have been
prepared using accounting principles that are applied to a going concern and do not reflect the
adjustments that would be necessary to the presentation and carrying amounts of the assets and
liabilities if the Company were not able to continue operations. These adjustments and
reclassifications may be material.