Brunswick No. 12 Mine

For the 12 months ended, ore processed in 2008 decreased by 3% to 3.3 million tonnes. Mine head grades and zinc metallurgical recoveries remained flat at 8.4% and 87.4% respectively, producing 242,478 tonnes of zinc-in-concentrate, a 4% reduction from 2007. The mine experienced two large seismic events in January and September which restricted mining to around 90% of planned tonnage. The Brunswick Smelter processed a total of 234,760 tonnes of new feed materials, an 11% increase over 2007. A record amount of recycled and secondary feed was processed during 2008 representing 46% of the total feed processed and contributing to higher operating margins. Refined lead production at 81,329 tonnes was 15% higher than 2007 while silver doré production declined significantly, reflecting lower feed grades

Reported that production was hampered by a large seismic event restricting mining of the Main Ore Zone until mid-March. During the first six months of 2008, energy conservation initiatives at the mine site resulted in a 12% reduction in oil consumption compared to the same period in 2007. For the year ended Dec 310/07, ore processed in 2007 decreased by 3% to 3.4 million tonnes. Mine head grades decreased to 8.4% zinc, from 8.7% in 2006, as lower grade resource material was processed. Despite lower head grades, zinc metallurgical recoveries improved to 88% and in 2007 produced 251,800 tonnes of zinc in concentrate, a 7% reduction from 2006. The mine was negatively impacted by a major compressed air line failure in the third quarter, which resulted in the equivalent of 17 days of lost production. The Brunswick smelter processed a total of 212,000 tonnes of new feed materials, a 12% increase over 2006. A record amount of recycled and secondary feed was processed in 2007, representing 39% of the feed processed and contributing to higher operating margins. Refined lead production at 70,800 tonnes was 1% higher than 2006

Production of zinc-in-concentrate of 127,660 tonnes was 5% lower than in the same period of 2006 due to lower head grades.