The Kelvin Copper Deposit and project is located in a mining friendly jurisdiction about 5 miles south of the Ray copper mine, the second largest copper mine in Arizona. The Kelvin deposit represents a substantial but incompletely defined copper resource with 1.2 billion pounds of measured, indicated and inferred within the Kelvin Mineralized Zone, located in southeastern Arizona in the Ray-Sacaton structural belt, only a short distance from world famous ASARCO Ray Copper Open Pit Mine.

The data review and work conducted in 2005 as part of evaluation and estimation of the Kelvin copper resources suggests a second model might be more appropriate. The outline form of the horizontal projection of the Kelvin mineralized zone suggests this second target concept.

An elliptical shape to the Kelvin Mineralized Zone would be consistent with the shape that would be expected if 60 degree west-dipping normal faults were to cut a slice from an originally cylindrical porphyry copper ore body, the typical form of the Lowell and Guilbert porphyry copper model. If this structural interpretation is correct and the Kelvin mineralized zone is interpreted as an ellipse, it appears to have a minor axis of 3072 feet. The geometry of this structural interpretation them means that the long axis of the ellipse would be about 6150 feet, implying significant mineralization could extend up to 4000’ to the northwest down the dip of the Kelvin mineralized zone.

Some of the drill intercepts indicate the potential for significant molybdenum credit within some of these zones. Significant unquantifiable exploration potential also exists for expanding the resource base.

Exploration and evaluation programs have included extensive geochemical sampling and analysis, ground magnetic surveys, an induced polarization-resistivity survey and numerous drilling programs. In the 1970’s, the property was leased to Cities Service Minerals Corporation. They did extensive testing and evaluations of the deposit and concluded that the Kelvin Copper Deposit constituted several billion pounds of copper located in a concentrated area, making the Kelvin an excellent asset basis for future IPO, development and a company’s financial strength and credibility.

Based on City Services Mineral Corporation prior work and the cross sections in the 1970’s, the Kelvin Mineralized Zone is interpreted a rotated slice of a typical, Arizona-style, Laramide porphyry copper deposit. The fault slice is bound above and below by shallowly west-dipping low angle faults interpreted as rotated normal faults or low angle detachment faults.

City Service geologists in their exploration work on the Kelvin property considered the exploration target to be an intact, cylindrically shaped, typical Arizona-style porphyry copper deposit that would have been rotated up to 90 degrees to the east about a north-south axis and now completely enclosed in the Precambrian Oracle granite

The real upside exploration potential of the Kelvin porphyry system is for the discovery of additional mineralized fault slices. Based on the structural model described previously, there should be at least 2 and perhaps as many as 5 additional slices. One or more of these slices could contain a supergene enrichment zone that originally formed in the Eocene. The recent discovery of the Resolution porphyry in the Superior district 20 miles to the northeast of Kelvin exemplifies the upside potential. The Resolution porphyry is buried beneath post-mineral volcanics but is upright and intact (unfaulted). The resource total at Resolution is in excess of 1.5 billion tons and includes at least 500 million tons of supergene enriched mineralization grading 1.5% Cu that dates from the Eocene. If the fault-bound, Kelvin Mineralized Zone block has the interpreted geometry, then the total resource in the block could be as much as 320,000,000 tons. Three to six fault slices of the same size would equal a resource of 960 to 1.92 billion tons, nearly equal the size of the Resolution discovery.