REFERENCES and PRESS RELEASES

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We also announced this morning that we have an agreement with Highland Gold to consolidate our Russian interests, except for Fedorova, but to consolidate all of our other interests, which were primarily joint venture exploration interests that we were doing with Highland. By contributing those assets into Highland in exchange for shares, we think this is an excellent way for us to focus our strategy in Russia through a vehicle that we can work with. We are going to second a couple of our senior people to Highland, and we will take on a couple of extra board seats, but we will be able to eliminate some overhead run costs that we were incurring independently, and I think Highland will be a stronger company going forward to be able to successfully implement its own business strategy.

I did mention Fedorova is out of it. Fedorova has been a project which is really a platinum palladium project that has been around for some time and in fact, drilling out there has been quite successful. We kept it out of the transaction because we are looking at bringing that forward to a feasibility study over the next year to 18 months. We think it is going to be quite a valuable asset and it is quite a large project, potentially, so we want to continue to have independent focus on it.
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