Company: Khukh Del Invest LLC

Deposit Location: Eastern Mongolia. It is located 700 km east of Ulaanbaatar, and 45 km southwest of Matad Soum in the Dornod Province.

License Area: The Central Khar Serven (CKS) and West Khar Serven (WKS) prospect areas.

Deposit Type: Planned for a low-cost oxide heap leach gold operation. The ore body at CKS is hosted in vertically dipping granodiorite. The ore bodies at WKS are evolved among sandstone and schist structures.

Target Commodity: Gold (Au)

Ore Resources:

• 2.0 tons of Au reserves in B, C, and P categories and increasing

Average Grade:

• Overall Average Grade (CKS + WKS): 1.35 g/t.
• CKS Average Grade: 0.70 g/t
• WKS Average Grade: 2.44 g/t.
• Maximum Grade (WKS Orebody 4): 13.75 g/t.

Contained Metal: Total Contained Gold Reserves (B, C, and P categories): 2,516 kg.

Work Completed: Work done from 1996 to 2012 includes: 8,470.6 v/m (vertical meters) of drilling, 10,550.5 m³ of trenching, and various geological mapping, sampling, and analysis.

Drill Results: Total drilling of 8,470.6 v/m was completed. The highest grade of gold found is 100 g/t.