Proposed Operations in Guyana

Representatives from Cuyuni River Resources

(CRR) have been in contact with top

government officials from Guyana who have

confirmed their support of the project

A public endorsement with the President and

the Minister of Natural Resources has been

arranged

Media sessions will be held with local and

international press with the President,

Minister and senior executives of CRR after

the signing to publicize the project

The Cuyuni region of Guyana has been chosen as the first mining site due to the fact that gold mining has been ongoing in this area since the early 1800’s and has been knows as one of the gold centers in the country.

The properties are owned and previously mined by one of Guyana’s top surface miners where he has been said to have mined over 150 000 ounces in the region.

This area of Cuyuni is referred to as the Quartzstone region, where hard rock drilling has been performed on what could be the original source totaling over one million ounces so far identified.

Over 25 km sq of tailings within this region have been outlined. It has been a known fact that approximately 1/3 of the material is ever recovered by local Guyanese surface mining operations, leaving 2/3 of gold rich minerals in the tailings.

This is Specific to Map Sheet # 18SE

Capital Breakdown

10000 Sampling Trip (10 Day) 10 People including geologist

20000 Escavator rental two months

20000 Washplant Rental for two months

160000 Knelson Concentrator with finishing equipment (200 tons/hour)

20000 Pick up truck

20000 Camper

5000 Camp

5000 Pump

7000 Power plant

10000 ATV

5000 Mobilizing equipment to camp

3000 Internet set up

10000 Land Clearing

50000 Initial Fuel cost for two months

15000 Salaries

360000 Total

Phase 1- Land sampling and testing

Budget: $10 000

To include a 10 day trip to Guyana documenting test holes on proposed properties of interest.

Sourcing the machinery and finalizing down payments

Phase 2 - Equipment purchasing

Budget: $260 000

Escavator, concentrator, finishing equipment, pick up truck, atv, camp materials, pump, wash plant, power plant, ca

mper, media equipment.

Phase 3 - Mobilizing to camp

Budget: $10 000

Hiring of crew (excavator operator, mechanic, camp builders, cook, labourers), website and remote internet connecti

on.

Phase 4 - Camp build and opening of pit

Budget: $15 000

Build initial shelter, set up sluice box, connect concentrator, commence excavation and stockpile pay dirt.

Phase 5 - Commence production

Budget: $75 000

Purchasing of fuel, camp supplies, salaries, outlining new areas of interest. bi-weekly sluice box clean outs to under

stand recovery rates.

Washplant below can process upto 200 Tons/Hour. Knelson Concentrator is reknown for

its fine gold recovery. We are looking to obtain a used machine from Nevada.

This can be done by a local contractor, who

can source materials from the indigenous

people, or someone who has a wood grant in

the area

A contractor is currently preparing an

estimate

MMC Security Company has a package of

armed guards that consist of :

6 armed security personnel for $G 240,000

($1,200 US)

CRR will have to provide accommodation and

meals for security personnel

They are the best service available in the

mining industry

Generator Fuel Depot Security

Water System Laundry AreaOverseas Employees

Accommodations

Kitchen Pantry

Dining Rec Area

Work ShopEngineer’s

Office

Local Employees

Accommodations

Conference

RoomOffice Storage

Two potential companies have been identified to provide internet and satellite phone to exploration site:

#1

Internet with VOIP phones

Installation of dish

Will need to build concrete base for dish

You can use the internet connection to make calls using normal phones The installation fee is $3000 US

The monthly rental is $300 US

Installation time is approx 2 weeks

Will have to provide transportation, accommodations and meals for the crew

Moving a truck on pontoon to a mining area:

The Assay lab used by SCM is Loreen Lab a

Canadian owned and operated lab situated

on the East Bank of Demerara

This lab is compliant with the 43-101 N.I.

report for the Ontario Securities Commission

An agreement letter that has to be sent to

the GGMC accompanied by a list of items

that is requested for duty free concession

GGMC will issue a letter to GRA to facilitate

the concessions for duty free import.

Year 1 Cash Flow Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Year 1

Revenue $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $228,000 $2,736,000

Variable Costs $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $360,000

Fixed Costs $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $25,000 $300,000

Startup Costs $360,000 0 0 0 0 0 0 0 0 0 0 0 $360,000

Total Net Profits ($187,000) $173,000 $173,000 $173,000 $173,000 $173,000 $173,000 $173,000 $173,000 $173,000 $173,000 $173,000 $1,716,000

Investor Profits ($37,400) $34,600 $34,600 $34,600 $34,600 $34,600 $34,600 $34,600 $34,600 $34,600 $34,600 $34,600 $343,200

Year 2 Cash Flow Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Year 2

Revenue $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $247,000 $2,964,000

Variable Costs $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $360,000

Fixed Costs $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $26,000 $312,000

Startup Costs $0 0 0 0 0 0 0 0 0 0 0 0 $0

Total Net Profits $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $191,000 $2,292,000

Investor Profits $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $38,200 $458,400

Year 3 Cash Flow Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Year 3

Revenue $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $266,000 $3,192,000

Variable Costs $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $30,000 $360,000

Fixed Costs $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $27,000 $324,000

Startup Costs $0 0 0 0 0 0 0 0 0 0 0 0 $0

Total Net Profits $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $209,000 $2,508,000

Investor Profits $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $41,800 $501,600

Job Descriptions for key management

positions in Guyana

Coordinate exploration efforts with local geologists and senior directorship

To ensure that objectives and goals are met on a weekly, monthly and quarterly basis.

To communicate all exploration results from the project quickly and effectively.

Coordinate all equipment to necessary to explore to project sites.

Assist in the planning of scheduling personnel as necessary.

Coordinate the building of camp sites and ensure that survival essentials are met

Ensure that camp personnel are compliant with Health and Safety plan.

Attend site on an as-required basis, and contribute to developing the relationship between the project and operations as well as provide coverage/ input to site management, reviews and investigations.

Maintains a personal standard of Client Service excellence promoting integrity, consistency, company core values, diversity, and fairness for; all employees, subcontractors, vendors, and project participants.

Manages and controls project cost, schedule, and minimizes all non-reimbursable costs.

Review and analyze monthly financial reports to identify potential cost control issues.

Assist in the control over the maintenance of costs by mining, processing, and G & A departments

Interact with relevant department managers in the review of their cost reports and facilitate their understanding of costs charged to their departments.

Assist the department and project managers with understanding their actual expenditures versus budgeted and forecasts.

Establish and monitor project controls for assigned projects. Develop forecast spending.

Provide project management support for contracts, sub-contracts and change management.

Monitor performance and swiftly address issues regarding cost control functions and established project budget.

Ensure that the department and project managers receive relevant and timely financial information.

Develops and implements management, planning, and cost control systems consistent with the requirements of the contract and the company's policies.

Establishes and maintains communications to ensure the accurate and timely flow of information.

Remains alert to means and methods by which the operations of the project team may be improved as well as recommending revisions to the operating plan and detailed functioning of the task force, when appropriate.

Prepares weekly reports for the project to keep Sr. Management informed of construction progress and the status of costs and schedule as related to the budgets and previous forecasts.

Lead the recruitment of the local mine management team.

Coordinate travel arrangements for management personnel.

Managing the Georgetown office on a daily basis

Conduct interviews for new staff

Local and overseas procurement (for mines and office)

Protocol (Work Permit, media coverage, etc)

Arrange flight, accommodation and other requests for foreign staff

Transportation to and from mines (Air, Land and River)

Liaison with GGMC, GRA, Ministry of Natural Recourses and other relevant agencies in Guyana to represent the interest of the company

Maintain constant communication with Mines

Ensure that all request from mines are satisfied

Any other duties that may arise from time to time

Develop accounting and financial systems

Maintain accounting and financial systems

Prepare weekly/ fortnightly / monthly payroll

Prepare and ensure remittance of NIS and PAYE submission

Bank reconciliation and cash flow

Facilitate external auditors

Monthly budget and financial statements

Payments for Local purchases and local creditors

Establish and sustain healthy line of credit with local suppliers

Any other financial duties that may arise from time to time

Knowledge of:

Mining

Plumbing

Electrical work

Mechanic

Welding

Prepare and maintain employee roster

Manage mines staff (Kitchen staff, Security, Medex, storekeeper, laborers)

Prepare in a timely manner all mining requisitions (fuel, food, Parts, stationery, etc) and forward to head office

Monitor all equipment, stocks and all properties of the company

Maintain Prepare time sheet for mine worker and submit to Head office

Maintain mines office

Develop occupational health and safety system for mines

Work closely with overseas experts

Prepare mines report

Maintain communication system

Prepare an emergency evacuation plan in the event of injuries to workers

Any other mining related duties as may arise from time to time