Good Earth Minerals Gypsum Deposit

Overview

Good Earth Minerals, LLC (GEM), headquartered in Denver, Colorado, holds ma-jor deposits of high-grade calcium sulfate (selenite) near St. George, Utah and Mohave County, Arizona. High-purity calcium sulfate is primarily made up of selenite crystals. According to a Canadian National Instrument 43-101 report completed in January, 2011, GEM’s first mine, GEM MINE #1, holds 23.8 million tons of calcium sulfate resources, of which approximately 90% are mineable. Exploration drilling has been completed indicating 10.7 million tons of proven and probable high grade resources. The 43-101 report indicates an Accumulated Cash Flow over the first 10 years of $294 Million and a Net Present Value (NPV) of $149.7 Million.1 The Company estimates a 20-year NPV of $335 Million. This 20-year NPV does not include (1) approximately 5.5 million tons of the high grade mineable deposits, (2) the values relating to 5.4 million tons of mineable agricultural grade deposits (which average between 75-90% pu-rity) (3) and the value of 7.9 million tons of mineable dolomite deposits. Management is seek-ing to obtain $25 Million ($25,000,000) through an equity or joint venture partner in order to place GEM MINE #1 into production.

GEM also holds three additional high-grade calcium sulfate deposits in Utah and Arizona. These include the GEMEX, the GEM CAL and the GEM SUN mines. GEM holds a total of 50 claims covering 1,000 acres.

Market Opportunity

High-grade or specialty calcium sulfate is an additive in cosmetics, dentistry, desiccants, food/animal feed-stuffs, glass, molds/ceramics, paint, pa-per, plastics, pharmaceuticals, and water treatment. The ex-panding filler and pig-ment markets in which 91 million tons of fillers ($140 Bil-lion) are sold each year worldwide represents a signifi-cant opportunity. The mid-high-grade by-products for the agricultural markets are also consid-erable. The 43-101 verified assays indicate that a large portion of the resource consists of very high-purity calcium sulfate that can be converted to anhydrite. The remaining resource con-tains mid- and high-grade calcium sulfate that can be used for various purposes, principally agricultural. Preliminary tests have been conducted by Hosokawa Micron Powder Systems. Results for brightness, absorption, and viscosity have been extremely positive. Additional tests of the mine have been conducted by Skyline Labs, ACT Labs, and Hazen Research Labs.

GEM’s 43-101 confirms an earlier report by Behre Dolbear, an internationally recognized min-erals appraiser, regarding the purity of GEM’s deposit. Recent (2010) assay reports indicate mineable calcium sulfate ranging from 90% to 98% purity (10.7 million tons) as well as sub-stantial additional deposits with average mineable deposits in the 75% to 90% purity range suitable for agricultural applications. GEM plans to target the high-end specialty markets, with its initial focus on plastics. The Company also plans to explore and develop propriety applica-tions in the paper, filler, and other breakthrough markets. GEM expects to market its calcium sulfate to domestic and international buyers.

Description and Current Operation

GEM MINE #1 consists of 16 (sixteen) unpat-ented federal mining claims covering 320 acres for high-grade calcium sulfate near St. George, Utah. This site indicates proven and probable resources of 10.7 million tons, and inferred re-sources of 4.3 million tons of high-grade calcium sulfate of a total of 23.8 million tons of re-source. The life of the mine at anticipated production rates is at least 40 years. Permitting of the mine is estimated to be completed by February, 2012, and production is anticipated to commence in the Spring of 2012.

Location

The GEM MINE #1 is in a prime location – only 6 hours from the Port of Long Beach, California and only 2 hours from Las Vegas, Nevada. The State of Utah is friendly to mining and welcomes job creation.

Management/Strategic Alliances

Industrial Mineral Developments, Inc. (IMD), un-der the leadership of Mr. Fred Johnson, is Project Manager. Mr. Johnson is spearheading the permit-ting of the site, the Mine Plan, and the Plan of Op-erations. He has completed the 43-101 for GEM. For the past 14 years, Mr. Johnson has served as President of Industrial Minerals Develop-ment, Inc. He has over 35 years of experience in mining, mineral law, geology, engineering, field project management, public land management issues and sales. He has held manage-ment positions with Scientific Applications International, Tenneco Mining, Inc. and American Borate Company. Mr. Johnson holds a B.S. from California State University, Northridge.
Dr. Janice Jones – Managing Director. Dr. Jones has over 25 years of experience on Wall Street and has been featured in a number of financial publications, including Forbes. She also received the prestigious Hunter College Hall of Fame Award. From 1980 to 1990, she served as President of Chartwell & Company, Inc., an investment banking and financial relations firm serving a number of industries, including natural resources and technology. From 1990 to 2005, she served as President of Chartwell International, Inc. She recently raised over $20 Mil-lion in debt and equity financing for an education company. She also recently developed a strategic plan and obtained a major financial partner for an alternative energy company. Dr. Jones received a Ph.D. in Social Sciences from Yeshiva University and a Bachelor of Arts degree from Hunter College.

Mr. George Hawley – Technical and Marketing Director. Mr. Hawley is an internationally recog-nized expert with over 40 years of experience in the formulation, production and processing of coatings, caulks/sealants/adhesives, plastics, and bulking products; and on the characterization and processing of industrial minerals to meet the technical requirements of these consumer indus-tries. Mr. Hawley was employed in R & D of coat-ings at Lewis Berger and Monsanto; in carbon & graphite at Morgan Crucible Co.; in batteries at a division of Chloride/Exide; and in analysis and testing of a wide range of materials as Manager for Warnock Hersey International, then Can-ada’s largest testing laboratory, where he directed 24 chemists and technicians. Mr. Hawley served as Technical & Marketing Director of the Suzorite Mica Div. of Martin Marietta Corpo-ration. He has published over 50 papers on industrial minerals topics including chapters in three (3) Handbooks. Mr. Hawley was educated at the University of London in Chemistry & Physics. He later studied plastics, adhesives and market research at McGill University.
Merrick & Company – Program Manager. Matt Knudsen of Merrick & Company serves as Chief Operating Officer and oversees the GEM operation. Mr. Knudsen has a Bachelor of Sci-ence Degree in mechanical engineering from Rutgers University, and a Master of Science de-gree in mechanical engineering from the University of Colorado. An active leader within the national organization Process Industry Practices, Mr. Knudsen is a two-time national award winner from the American Council of Engineering Companies in the heavy industrial category. Merrick is a highly skilled engineering firm located in Aurora, CO, with over 500 personnel and $100 Million in revenues. The firm’s technical experts perform projects worldwide, primarily in the USA, Canada, Mexico and South America. Clients include Coors, Xcel Energy, National Re-newable Energy Labs and Cleantech Biofuels.

JBR Environmental Consultants – Mining Engineering. JBR has prepared the Environmental Assessment report for GEM’s mine plan. JBR also brings to this project a wide range of mining-related experience from similar scopes of work. Past and current mining clients include: GP Gypsum, Staker and Parsons Companies, International Zeo-lite, Denison Mines, Earth En-ergy Resources, Oil Shale Exploration Company, JR Sim-plot Company, Newmont Gold Com-pany, Barrick Goldstrike, Placer Dome, Western Utah Copper Company, Arch Coal Company, Hecla, American Colloid, Brush Resources, Battle Mountain Gold, Tenneco Minerals, Round Mountain Gold and others.
Mr. George Ventura – Mining Legal Counsel. Mr. Ventura has spearheaded mining transac-tions worldwide over the past 20 years representing such companies as Barrick Gold Corpora-tion, B2Gold Corp., AngloGold Ashanti, Firestone Ventures and numerous others. Mr. Ventura has vast experience in bringing mining projects to fruition. Mr. Ventura, whose offices are near GEM’s minesite, will actively review all offers on behalf of the Company.

Western Rock – Contract Miner. Owned by Staker Parson Compa-nies, Western Rock, under the direction of Darrell Whitney, CEO, will provide the roadwork and excavation for GEM. Staker Parson companies was formed in 2001 when Staker Paving and Construction Company and Jack B. Parson Companies became partners. For over 55 years, Staker Parson Companies has worked to be the Preferred Source of quality sand, rock and landscape products, ready-mixed concrete, asphalt, paving, and construction serving a wide variety of contractors, businesses, government agencies, mu-nicipalities, and homeowners. The company has been recognized by numerous organizations for its commitment to safety, quality, and innovation. Staker Parson Companies is the Inter-mountain Region’s leading construction materials and services provider employing 2,500 peo-ple at more than fifty locations in Utah, Idaho, Oregon, Nevada, and Arizona. Staker Parson Companies has regularly been named one of Utah’s fastest growing companies and is a multi-year Best of State medal winner.

Summary

GEM MINE #1 is positioned to capitalize on the significant increases in the price of high-grade calcium sulfate categorized as selenite and anhydrite. The expanding filler and pigment markets in which 91 million tons of fillers ($140 Billion) are sold each year worldwide present a significant opportunity. The mid-high-grade by-products for the agricultural markets are also considerable. The GEM MINE #1 holds substantial reserves of high purity calcium sul-fate as recently disclosed in its 43-101 report. This translates to $294 million in Accumulated Cash Flow over the next 10 years of production and a Net Present Value of $335 million over 20 years. The value of agri-grade deposits, the dolomite deposits and 69% of the high-grade deposits have not been included in the valuation of the Mine. The GEM MINE #1 location is excellent, considering it is only 6 hours from the Port. The mine life is over 40 years using a conservative rate of production. GEM’s experienced management team is prepared to com-mercialize the GEM MINE #1 with its next level of funding.