The Calida property is located approximately 24 miles south of Salmon, Idaho and 5 miles west of Highway 28 within the Mormon Canyon area.

The property includes 16 unpatented lode mining claims containing 320 acres. The claim block is situated on lands administered by the Bureau of Land Management. Calida consists of numerous old producing mines both surface and underground, having produced from 7 separate shear zones containing important quantities of gold, silver, and copper. The current average ore value is $411 per ton. It is estimated that production costs will be approximately $50/ton for mining (combined surface & underground), and $23/ton for milling, smelting, refining, and reclamation, resulting in a pre-tax net profit of $338/ton. An operation of 150 tons per hour is planned, resulting in a production rate of 3000 tons per day (two 10 hour shifts). At this rate the daily net profit will be approximately $ 1,014,000. A monthly net profit of $24.3 million is anticipated, equating to an annual net profit (11 months) of $267.7 million. Crushing, milling and smelting should be done offsite on private property. Much of the gold and silver is expected to be free milling, meaning that it can be released by grinding and recovered by advanced centrifugal and ultra high frequency vibration concentration. The remainder will be separated out using a bromine or similar based flotation system. No cyanide is required. Copper requires a separate concentrating circuit. The permit jurisdiction for the Calida claims is the BLM. Prior permitting shows that there are no NEPA issues. Private property milling will vastly simplify permitting. In essence, the permit will be to extract and haul ore. Adjacent private land is available to lease or purchase for a mill site. Based on filing a permit application with an offsite private property mill, the BLM has informaly commented that it might only take 11 months to secure permits. There are no known impediments to permitting.

Genesis of the Calida ore deposits, simply put, is a series of intensely altered and mineralized shear zones hosting oxide and sulfide ore minerals. The shear zones range in size from 2’ to over 130’ in width and up to 14,000’ in length. The shear zones represent a hydrothermal plumbing system for the migration of ore-bearing minerals throughout the zones of crushing and shearing. Mineralization consists of native gold, and gold-bearing copper and silver minerals. Most predominate in the system as tested includes the minerals of chalcopyrite, pyrite, chrysacolla, malachite, azurite, limonite, goethite, and assorted minerals containing both gold and silver.

Ore Reserves:
Exploration drilling and trenching, combined with exposures in old workings, have provided the foundation for calculating an in-ground ore reserve. Three different periods of drilling have focused on developing a reserve base to justify the implementation of a comprehensive mining and milling program. The work programs have resulted in adequate data to define a proven ore reserve totaling 9,073,301 tons. An additional probable reserve has not been calculated but is estimated to be at least 4 million tons. The in-ground ore reserve contains an average ore tenor of 0.187 oz/ton Au, 6.72 oz/ton Ag, and 56.6 lbs/ton of Cu (2.83%).

Calida is a porphyry deposit, generally meaning that it was created through an upwelling of material from the earths core. Drill testing has only gone to 500 feet. There is speculation that the ore body may go down to 2,000 feet or more. If so, this would dramatically expand the ultimate mineable reserves.

Cash Flow:
Annual net profit US $80.256 Million at 200 tons per hour.

The following technical document and reports are available for review:

2004 Jenkins Technical Summary with 2007 Addendum
2004 Jenkins Ore Reserve Analysis
1983 Donald P. McCarthy Geology Report
1983 McCarthy - Hansen Drill Hole Location Map
1983 Rogers - Hansen Drill Hole Test Results - Assay Reports
1980 Stephen C. Hansen Geology Report
1980 Stephen C. Hansen Drill Test - Trenching - Assay Results
1979 - 1983 Rogers Hansen Drill Hole Test Results & Assay Reports
1980 - 1988 GRE Rogers Hansen Drill Test Cross Sectional Maps - Assay Reports
1980 Thomas E. Finch Geology Report
1980 Rogers Research Geology Report
Calida - Vein Shear Drill Hole Maps

Other information available for review:

BLM LR2000 Database Report Verifying Ownership
2009 Independent Appraisal Report
Area and Site Maps

Contact Peter - omnimetal@aol.com