Dome Mountain

The company entered into an option agreement with Metal Mountain in 2012, which, due to the extreme fiscal environment of 2012 was modified several times.  It provides Gavin Mines as assign of Metal Mountain rights, with the option to purchase all of the Guardsmen Dome South claims together with the NSR Guardsmen holds on some Dome North claims previously sold to Metal Mountain.  Management is led to believe that Gavin Mines is progressing with its efforts to complete certain transactions which will enable it to exercise the option before June 2017.  This is a significant delay caused in part due to permitting delays arising out of increased government scrutiny of mining projects throughout British Columbia.  The Dome South claims are in good standing until the spring 2017 and the NSR remains in place permanently.  The company anticipates further information from Metal Mountain management when it is produced in final form with respect to anticipated production of ore from their mineral claims and the ones subject to the NSR.  Metal Mountain/Gavin Mines is operating mining on the claims and delivering ore to Nicola Mining Ltd. for processing at their Merritt BC toll mill.