CANE SPRINGS (CLIFTON)

Drilling program completed. Four of the holes (DD1, DD5 and DD7), testing approximately 20 metres of strike, intersected the gold zone. The remaining holes intersected the upper and lower pinch-out contacts.

Successfully tested and confirmed through follow-up drilling in May, 2006 by seven core holes totaling 285 metres, one of the high grade gold zones discovered in 2005. The bulk of the Company’s Utah activities and expenditures during the year ended March 31, 2006, focused on the Kiewit Project Area, the Cane Springs Property and over the porphyry target discovered in July adjacent to the Kiewit Project.

Tested three project areas including in the above drilling, were seven core holes (285m, 936ft) completed at the Cane Springs Property to determine geometry and orientation of the high grade near-surface gold zone discovered in 2005 adjacent to the historic Cane Springs Gold Mine. Logging and splitting of the entire footage has been completed and assays are expected by late June. The Cane Springs drilling program is the first phase of a broader drilling campaign to delineate the new gold zone.