Mel

Mel Links March 17, 2007 Revised Mel Resource Estimate March 2007 - Summary March 17, 2007 Revised Mel Resource Estimate March 2007 - Full Report

Location: Manitoba, Canada
Ownership: 100%
Commodity: Nickel
Project Type: Underground-ramp potential
Project Status: Pre-production

100%-owned, Mel offers production potential and exploration upside with 4.3 million tonnes of M&I resources grading 0.875% nickel for 83 million pounds of near-surface in-situ nickel.

The Mel property is located within 25 kilometres of Vale Canada Limited’s (“Vale”) processing facilities in Thompson, Manitoba, and consists of one mineral lease (the “Mel Lease”) covering approximately 750 Ha and 37 unpatented mineral claims (the “Mel Claims”), encompassing approximately 8,770 Ha. While only a small part of the total project area, the Mel Lease contains the entire NI- 43-101 resource (0.50% nickel cut-off grade) as follows:

Mineralization on the Mel lease remains open along strike and at depth. The known resource is located between 46 and 183 metres, making low-cost ramp access a possibility. Recent drilling, when added to the dataset, is expected to extend the resource to greater depth. This near-surface resource, along with an agreement that Vale shall mill ore mined from the Mel deposit at its cash cost plus 5% (provided that the product meets Vale’s specifications and that Vale has sufficient mill capacity), makes near-term nickel production with a low capital requirement a possibility.

• 100% owned, subject to a Vale 10% net profits royalty
• 25 km north of Thompson, Manitoba
• Near-surface resource
• Milling agreement With Vale at cash cost + 5%, provided Vale has sufficient mill    capacity and product meets specifications
• Large underexplored property package