 
Lely Gold Project, Suriname
The Lely Project is an early stage exploration project with limited previous exploration activity having been carried out to evaluate the gold and base metal potential of the area. The project encompasses a greenstone belt with similar geology to that hosting the Gross Rosebel gold deposit and other substantial gold deposits in Venezuela, Guyana and French Guiana. Lely hosts several large areas of artisanal workings that appear to be surface expressions of more deep rooted gold bearing structures. Exploration at Lely has only just begun, but our initial assessment gives reason for cautious optimism.
Exploration
The focus of the exploration activities has moved from the west to the northern end of the Lely concession where extensive artisanal alluvial/colluvial mining activity is occurring. Access to this area has been difficult due to the steep terrain and extremely wet conditions. Heavy equipment has recently completed an ATV access track to this area allowing geological mapping and sampling to take place. Initial results have been encouraging with some interesting gold values collected from in-situ saprolite. Geological mapping has also revealed low grade mineralization associated with sheared granodioritic intrusions, elevated above the artisanal mining. Further mapping and sampling of these intrusions is now being carried out to determine the extent of the mineralization.
Data from the airborne magnetic and radiometric survey, carried out in April 2008 on a 250-meter line spacing, has been received for final processing and interpretation. An eight week delay in the delivery of the data has in-turn caused delays to the exploration campaign. Preliminary interpretation of the geophysical data suggests extensive regional folding / faulting, with good correlation between mapped intrusions and radiometric anomalies.
Due to the size of the Lely Project, a Bulk Leach Extractable Gold (BLEG) sampling program will soon start to determine the prospectivity of a 230 km2 area to the east of Lely Plateau. Once completed, BLEG sampling will then move to the south east corner of the Lely east concession to evaluate anomalous gold stream sediment samples collected along the Tapanahony River in the early 1980's. The Company anticipates completing the BLEG sampling by the end of 2008.
Metallogenic Setting
• The west Africa and Guiana Shields are the same age.
• Lithologies are similar.
• Gold deposits similar in style and setting.
• Suriname gold endowment probably similar to Ghana but not realized because of lack of access (roads).
Regional Geology
The major greenstone belts in Suriname are on the eastern side of the country and extend into French Guiana.
Greenstone Belts
• Eastern Suriname greenstone belts
• Gross Rosebel Mine production: 301,000 ounces of gold were produced in 2006 and 276,000 ounces of gold in 2007.
Lely Gold Greenstone Belts Map
Lely Permit Areas
• The Lely Gold Project is a 82,850 ha area..
• There is no infrastructure in the project area.
note: A bauxite deposit owned by SURALCO in the central permit is not part of the optioned area.
Lely Gold Permit Area
Lely Geology
• Simplified geology shows the largest greenstone (metabasalt) area is in the north permit.
• Tonalite in the south and northwest permits are also considered to be prospective.
• The area is relatively unexplored.
Lely Gold Geology Map
Airborne Magnetics
Widely spaced air mag, flown in the early 1960's needs to be reprocessed to allow adequate interpretation. There is little other data for the area.
Lely Gold Airborne Magnetics Map
Artisanal Mining
• Gold has been mined from alluvial deposits by artisanal miners north, south, east and west of Lely Mountain for over the last 100 years.
• Intensive alluvial gold mining is currently taking place in Gran Creek, northwest of the Lely Mountain foothills in the north permit.
• There has been no systematic modern exploration in this area.
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