HIGH-GRADE NI-CU-PT-PD-ZN-CR-AU-V-TI DISCOVERIES IN THE "RING OF FIRE"

NI 43-101 Update (September 2012): 11.1 Mt @ 1.68% Ni, 0.87% Cu, 0.89 gpt Pt and 3.09 gpt Pd and 0.18 gpt Au (Proven & Probable Reserves) / 8.9 Mt @ 1.10% Ni, 1.14% Cu, 1.16 gpt Pt and 3.49 gpt Pd and 0.30 gpt Au (Inferred Resource)

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Message: Holes 2 THROUGH 5, rush assay?

If you reread the NRs and listen carefully to the latest presentation, you will understand that holes #3 and #4 did not encounter mineralization. They believe one hole undercut and the other overcut the minerlization, i.e., they missed, which is not hard to do when you do not have a clear picture of the geometry of the mineralization.

Therefore there is no core for either of these holes being assayed. Nemis, did mention during the presentation that they might go back and extend these holes (drill further) to make sure that they missed.

However, during the inititial stages of drilling, particularly when you have had some spectactular holes, you are not going to waste time drilling dead holes if they do not turn-up any minerlization where you thought they should. They are quickly trying to get as many good holes as they can with only one drill under difficiult operating conditions - time is of the essence.

Regards,

B.

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