Northern Empire Mine (click to view large version)

Longitudinal section of Contact Zone

Longitudinal section of Power Zone

Overall Longitudinal view

Section 7+65.3 E

Section 8+50 E

Over the past five years, Roxmark has:

• Upgraded its onsite Northern Empire Mill (200 TPD, expandable to 500 TPD) to enable processing of both gold and molybdenum, adding a gravity concentrator and new flotation circuit and dryer to maximize efficiency
• Surface bulk sampled 800 tons of gold and more than 2,000 tons of moly ore from the East Leitch property and processed it through the mill to generate cash flow
• Conducted an 1,865-metre diamond drilling program on the Nortoba-Tyson property which further delineated and extended the strike length (717 metres) and depth (>1,000 ft.) of the molybdenum mineral deposit, and assessed the structural characteristics of the veins and rock wall.
• Carried out a 26-hole, 2,711-metre diamond drilling program in 2007 at the Northern Empire Mine which established in a 43-101 report that the Contact Zone has gold mineralization potential of 1,450 meters. Despite the fact that only 200 metres of this were drilled in 2007, in a system known to host good gold mineralization to a depth of more than 600 metres, Peter Bevan, Consulting Geologist, identified more than 25,000 oz of gold in this limited area.

Northern Empire Mine cross-section looking east (click to view large version)

Given that 1,250 metres of Contact Zone strike remain to be drilled, that the Power Zone previously mined yielded 150,000 oz, that SRK Consulting had estimated resources of 150,000 oz of additional gold at the Northern Empire on the strength of historical drilling and 3-D modelling (not 43-101 compliant), and that 2007 drilling has convinced Bevan that the Contact Zone contains three times the tonnage and twice the contained ounces of gold of the Power Zone (see November 20, 2007 news release), Roxmark management believes it is very possible that the Northern Empire may have 300,000 oz of mineable resources (not 43-101 compliant).

The second phase of the program, included surface assessment of several promising gold veins on the Nortoba-Tyson molybdenum property.

Roxmark also worked to establish the commercial viability of molybdenum production at Nortoba-Tyson, taking another bulk sample at surface for processing in 2008, using production techniques designed to minimize dilution of ore delivered to the mill.

For 2008, Roxmark has completed a $1.3 million Winter drilling program (98 holes, 6,125-metres) on the Contact Zone, and will soon embark on a summer drilling program on the neigbouring Nortoba-Tyson property. An estimated $10 million program is being developed to re-open the mine — dewatering to 2,460 feet, drilling two vein structures from underground, and completing and milling an underground bulk sample — leading to full-scale mining on the property following completion of a positive feasibility study.