Quick Facts:

• Located 90 km west of Thunder Bay, Ontario, and approximately 100 km southwest from the Lac des Iles mine
• 50% JV project with Vale Inco
• Land package comprised of 7,974 hectares
• Properties contain a series of nickel copper-PGM mineralized zones
• Shebandowan West Project encompasses three shallow mineralized zones, located near the former producing Shebandowan mine, which are believed to be an extension of the mine’s ore body

  
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On December 10, 2007, the Company earned a 50% interest in the former producing Shebandowan mine and the surrounding Haines and Conacher properties pursuant to an option and joint venture agreement with Vale Inco. The properties contain a series of nickel copper-PGM mineralized zones and the land package totals approximately 7,974 hectares. These properties are located 90 kilometres west of Thunder Bay, Ontario, and approximately 100 kilometres southwest from the Company’s Lac des Iles mine. Vale Inco retains an option to increase its interest from 50% to 60%, exercisable in the event that a feasibility study on the properties results in a mineral reserve and mineral resource estimate equal to 200 million pounds of nickel and other metals.

The Shebandowan West Project

The Shebandowan West Project lies within the western portion of the Shebandowan Property, encompasses three shallow mineralized zones known as the West, Road and “D” zones, all of which are located at shallow depths immediately to the west of the former Shebandowan mine in an area known as the Shebandowan West district. The Shebandowan West Project’s nickel copper-PGM mineralization is believed by management to represent the western extension of the Shebandowan mine ore body. The former Shebandowan mine, which was in operation from 1972 to 1998, produced 8.7 million tonnes of ore at grades of 2.07% nickel, 1.00% copper and approximately 3.0 grams per tonne PGM and gold. A technical report in compliance with NI 43-101 disclosing the results of a mineral resource estimate by an independent qualified person was filed on October 26, 2007.

In 2010, the Company and Vale Inco conducted a large ground geophysical survey on the Shebandowan West Project. Preliminary results support further exploration work on the property and in 2011, the parties will reassess the potential of the Shebandowan West Project.