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Notes on the methodology of estimation of the inferred resource:
The inferred resource estimate was carried out by Micon International Ltd. and P&E Mining Consultants Inc.
The database comprised a total of 85 drill holes, 45,051 metres of drilling and 22,942 gold assays.
The inferred resource covers the area between lines 9582650N to 9583950N, a distance of approximately 1,300 metres.
An interpreted mineralized envelope was modelled into a wireframed solid in Gemcom with four internal mineralized zones (FDN1 through FDN4); the approximate dimensions of the envelope were 1,300 metres in length (north-south), 80 to 200 metres in width (east-west) and up to 400 metres in vertical extent.
Estimates are based on a parent cell dimension of four metres east, 25 metres north and 10 metres vertically.
Grade interpolation was based on 2.0-metre composites cut to a maximum of 235 g/t Au for FDN1, 105 g/t Au for FDN2, 80 g/t Au for FDN3 and 42 g/t Au for FDN4. For FDN1, the composites were cut. For FDN2, FDN3 and FDN4, raw assays were cut prior to compositing.
Tonnage estimates are based on 590 bulk-density measurements carried out by Aurelian which were interpolated into the block model. Bulk density values for the FDN mineralized rock range from 2.14 to 3.01 tonnes per cubic metre.
The resource at a 2.3 g/t Au equivalent grade was reported within a preliminary conceptual stope mining envelope with the purpose of delineating mineralization with a reasonable prospect of economic extraction.