In June 2009, the Company acquired an option to purchase a 60% interest of the Bonaparte Mine,
property located approximately 35 km north of Kamloops, British Columbia. This was approved
by the TSX on June 26, 2009. On February 9, 2009, the Company entered into an amended
agreement that was approved by the TSX on February 18, 2010. The Company has acquired an
additional 15% interest of Bonaparte Mine; obligations have been amended as follows:
Option Exercise Schedule
Acquisition in
Cash
Acquisition in
Shares
Exploration
expenditures
Aggregate
interest
Phase I: approved by TSX Venture
Exchange on February 18, 2010 - 5,000,000 $1,244,000 25.5%
Phase II: on or before of TSX
approval
$250,000 7,500,000 $225,000 25.5%
Phase II: no specified completion date $1,000,000 10,000,000 - 9%
Phase IV $7,500,000 10,000,000 - 15%
Total $8,750,000 32,500,000 $1,469,000 75%
In May and August of 2009, the Company paid $2,000,000 cash and issued 5,000,000 shares with
a deemed value of $350,000.
On January 4, 2010, the Company paid $5,000,000 cash and on February 26, 2010, the Company
issued 7,500,000 shares with a deemed value of $1,200,000.
As of October 31, 2010, the Company received royalty income in the amount of $149,358 tooffset against development costs. The Company is still considered in the development stage.
November 10, 2010, the Company went into an amended agreement with BCT Mining Corp,
whereby to earn its 75% interest in the Bonaparte Property (the "Property"). The Company has
paid a total of $7,000,000, issued 12,500,000 shares and incurred work costs of $3,405,401 and
has earned a 51% interest in the Property. In order to earn 75% interest in the Property, the
Company must pay a further $1,750,000 and issue 20,000,000 shares to BCT. In consideration of
the excess work costs incurred by the Company on the Property, BCT has agreed to accept the
issuance of 20,000,000 shares by the Company as the final payment required for the Optionee to
earn its 75% interest in the Property and waive the further payment of $1,750,000.
On December 6, 2010, the Company issued 20,000,000 shares with a deemed value of $3,200,000
and paid one million cash to earn the 75% interest in Bonaparte Property.
The company is currently planning a 10,000 foot drill program. This drill program supports the
company's current underground 10,000 ton bulk sample and provides further information with
respect to the known vein system, testing the potential for copper-gold porphyry type
mineralization.
Several high-grade intersections have been encountered in past diamond drillings that include,
113.70 grams Au over a horizontal width of 0.87 meters, 84.21 grams over 1.44 meters, 142.97
grams over 1.2 meters, 321.22 grams over 0.56 meters, 115.41 grams over 1.07 meters, plus a
multitude of other significant intersections. Extensive work is required in order to establish
connectivity between these intersections.