----

----

| o      | REGISTRATION      STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT      OF 1934                                                                       |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | or                                                                                                                                                                        |
| x      | ANNUAL REPORT      PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934      For      the fiscal year ended March 31,      2009                              |
|   | or                                                                                                                                                                        |
| o      | TRANSITION      REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF      1934For      the transition period from _______________ to    ________________  |
|   | or                                                                                                                                                                        |
| o      | SHELL      COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE      ACT OF 1934Date      of event requiring this shell companyreport______________  |

----

----

| Large Accelerated      Fileo | Accelerated Filer      o | Non-Accelerated      Filer  x |
|------------------------------|--------------------------|------------------------------------|

----

| INTRODUCTION                                                                                                                   | 4      |
|-------------------------------------------------------------------------------------------------------------------------------------|--------|
| CURRENCY                                                                                                                       | 4      |
| FORWARD-LOOKINGSTATEMENTS                                                                                                      | 4      |
| CAUTIONARY NOTE TO UNITED STATES INVESTORS      CONCERNING ESTIMATE OF MEASURED AND INDICATED MINERAL    RESOURCES                  | 4      |
| GLOSSARY OF MINING TERMS                                                                                                            | 5      |
| PART I                                                                                                                         |   |
|     Item 1.  Identity      of Directors, Senior Management and Advisors                               | 7      |
|     Item 2.  Offer      Statistics and Expected Timetable                                                  | 7      |
|     Item 3.  Key      Information                                                                          | 7      |
|     Item 4.  Information on the Company                                                               | 13     |
|     Item 5.  Operating and Financial Review and      Prospects                                        | 25     |
|     Item 6.  Directors, Senior Management and    Employees                                            | 28     |
|     Item 7.  Major      Shareholders and Related Party Transactions                                   | 36     |
|     Item 8.  Financial Information                                                               | 38     |
|     Item 9.  The      Offer and Listing                                                               | 38     |
|     Item 10.  Additional Information                                                                  | 39     |
|     Item 11 Quantitative and Qualitative Disclosures about      Market Risk                                | 45     |
|     Item 12. Description of Securities Other than Equity      Securities                                   | 45     |
| PART II                                                                                                                        | 45     |
|     Item 13. Defaults,      Dividend Arrearages and Delinquencies                                          | 45     |
|     Item 14. Material      Modifications to the Rights of Security Holders and Use of                      | 45     |
|     Item      15T. Controls and      Procedures                                                            | 47     |
|     Item 16A. Audit Committee Financial Expert                                                             | 47     |
|     Item  16B. Code of      Ethics                                                               | 47     |
|     Item 16C. Principal Accountant      Fees and Services                                        | 47     |
|     Item 16D. Exemptions from the Listing Standards for Audit      Committees                         | 45     |
|     Item 16E.  Purchases of Equity Securities by the Issuer and Affiliated      Purchasers  | 47     |
| PART                                                                                                                           |   |
|     Item      17.  Financial      Statements                                                     | 48     |
|     Item      18.  Financial      Statements                                                     | 48     |
|     Item      19.  Exhibits                                                                      | 48     |
| MANAGEMENT’S      RESPONSIBILITY FOR FINANCIAL REPORTING                                                                      | 50     |

----

----

| Glossary      of Mining Terms  |
|-------------------------------------|
| au                                  |   | The      elemental symbol for gold. |
| anomalous                           |   | A      value, or values, in which the amplitude is statistically between that of      a low contrast anomaly and a high contrast anomaly in a given data      set. |
| anomaly                             |   | Any      concentration of metal noticeably above or below the average background      concentration. |
| assay                               |   | An      analysis to determine the presence, absence or quantity of one or more      components. |
| breccia                             |   | A      rock in which angular fragments are surrounded by a mass of finer-grained      material. |
| chert                               |   | A      rock resembling flint and consisting essentially of crypto-crystalline      quartrz or fibrous chalcedony. |
| cretaceous                          |   | The      geologic period extending from 135 million to 65 million years      ago. |
| cubic      meters or m3             |   | A      metric measurement of volume, being a cube one meter in length on each      side. |
| fault                               |   | A      fracture in a rock where there has been displacement of the two      sides. |
| grade                               |   | The      concentration of each ore metal in a rock sample, usually given as weight      percent. Where extremely low concentrations are involved, the      concentration may be given in grams per tonne (g/t or gpt) or ounces per      ton (oz/t). The grade of an ore deposit is calculated, often using      sophisticated statistical procedures, as an average of the grades of a      very large number of samples collected from throughout the      deposit. |
| hectare      or ha                  |   | An      area totaling 10,000 square meters. |
| highly      anomalous               |   | An      anomaly which is 50 to 100 times average background, i.e. it is      statistically much greater in amplitude. |
| intrusive                           |   | A      rock mass formed below earth’s surface from magna which has intruded into      a preexisting rock mass. |
| laterite                            |   | A      residual product of rock decay that is red in color and has a high content      in the oxides of iron and hydroxide of aluminum. |
| lode      claim                     |   | A      mining claim on an area containing a known vein orlode. |
| mineral      reserve                |   | The      economically mineable part of a measured or indicated mineral resource      demonstrated by at least a preliminary feasibility study. This study must      include adequate information on mining, processing, metallurgical,      economic and other relevant factors that demonstrate, at the time of the      reporting, that economic extraction can be justified. A mineral reserve      includes diluting materials and allowances for losses that may occur when      the material is mined. Mineral resources are sub-divided in order of      increasing confidence into "probable" and "proven" mineral reserves. A      probable mineral reserve has a lower level of confidence than a proven      mineral reserve. The term "mineral reserve" does not necessarily signify      that extraction facilities are in place or operative or that all      governmental approvals have been received. It does signify that there are      reasonable expectations of such approvals. |
| mineral      resource     |   | The      estimated quantity and grade of mineralization that is of potential      economic merit. A resource estimate does not require specific mining,      metallurgical, environmental, price and cost data, but the nature and      continuity or mineralization must be understood. Mineral resources are      sub-divided in order of increasing geological confidence into "inferred",      "indicated", and "measured" categories. An inferred mineral resource has a      lower level of confidence than that applied to an indicated mineral      resource. An indicated mineral resource has a higher level of confidence      than an inferred mineral resource, but has a lower level of confidence      than a measured mineral resource. A mineral resource is a concentration or      occurrence of natural, solid, inorganic or fossilized organic material in      or on the earth’s crust in such form and quantity and of such grade or      quality that it has reasonable prospects for economic      extraction. |
| mineralization                      |   | Usually      implies minerals of value occurring in rocks. |
| net      smelter or NSR             |   | Payment      of a percentage of net mining profits after deducting applicable smelter      charges. |
| ore                                 |   | A      natural aggregate of one or more minerals which may be mined and sold at a      profit, or from which some part may be profitably    separated. |

----

| outcrop                                                           |   | An      exposure of rock at the earth’s surface.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|-------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| porphyry                                                          |   | Rock      type with mixed crystal sizes, ie. containing larger crystals of one or      more minerals.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| Possible      or inferred ore                                |   | Term      used to describe ore where the mineralization is believed to exist on the      basis of some geological information, but the size, shape, grade, and      tonnage are a matter of speculation.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| prefeasibility      study and preliminary feasibility study  |   | Each      means a comprehensive study of the viability of a mineral project that      has advanced      to a stage where mining method, in the case of underground mining, or the      pit configuration, in the case of open pit mining, has been established,      and which, if an effective method of mineral processing has been      determined, includes a financial analysis based on reasonable assumptions      of technical, engineering, operating and economic factors, and the      evaluation of other relevant factors which are sufficient for a qualified      person, acting reasonably, to determine if all or part of the mineral      resource may be classified as a mineral reserve. |
| probable      mineral reserve                                     |   | The      economically mineable part of an indicated, and in some circumstances, a      measured mineral resource demonstrated by at least a prefeasibility study.      This study must include adequate information on mining, processing,      metallurgical, economic, and other relevant factors that demonstrate, at      the time of reporting, that economic extraction can be      justified.                                                                                                                                                                                                                                                                                                              |
| proven      mineral reserve                                       |   | The      economically mineable part of a measured mineral resource demonstrated by      at least a prefeasibility study. This study must include adequate      information on mining, processing, metallurgical, economic, and other      relevant factors that demonstrate, at the time of reporting, that economic      extraction is justified. The term should be restricted to that part of the      deposit where production planning is taking place and for which any      variation in the estimate would not significantly affect potential      economic viability.                                                                                                                                    |
| pyrite                                                            |   | Iron      sulphide mineral.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| quartz                                                            |   | Silica      or SiO2, a      common constituent of veins, especially those containing gold and silver      mineralization.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| silification                                                      |   | A  process      of fossilization whereby the original organic components of an organism      are replaced by silica, as quartz chalcedony, or opal.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| sulfidation                                                       |   | In      conditioning a flotation pulp, addition of soluble alkaline sulfides in      aqueous solution to produce a sulfide-metal layer on an oxidized ore      surface.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| ton                                                               |   | Imperial      measurement of weight equivalent to 2,000 pounds.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| tonne                                                             |   | Metric      measurement of weight equivalent to 1,000 kilograms (or 2,204.6      pounds).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| trench                                                            |   | A      long, narrow excavation dug through overburden, or blasted out of rock, to      expose a vein or ore structure.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| veins                                                             |   | The      mineral deposits that are found filling openings in rocks created by      faults or replacing rocks on either side of  faults.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |

----

| Item 1.                        | Identity of Directors, Senior      Management and Advisors |
|--------------------------------|------------------------------------------------------------|
|                           |                                                       |
|                           | Not    applicable                                          |
|                           |                                                       |
| Item      2.    | Offer Statistics and Expected      Timetable               |
|                           |                                                       |
|                           | Not    applicable                                          |
|                           |                                                       |
| Item      3.    | Key  Information                                           |

| Canadian      GAAP                                  |   | Year      Ended March 31, |     |
|-----------------------------------------------------|--------|---------------------------|----------|
|                                                |   | 2009                      |     |   | 2008 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
|                                                |   |                      |     |   |   |   |   |   |   |   |   |   |   |   |   |
| Summary      of Operations:                         |   |                      |     |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      and miscellaneous Income              |   | $                         | 9,119    |   |   | $ | 11,579 |   |   | $ | 14,071 |   |   | $ | 11,466 |   |   | $ | 421 |   |
| Income      tax recovery                            |   |                      | -        |   |   |   | - |   |   |   | 183,907 |   |   |   | - |   |   |   | 101,475 |   |
| Expenses  General      and administrative |   |                      | (326,030 | ) |   |   | (592,925 | ) |   |   | (428,530 | ) |   |   | (483,466 | ) |   |   | (163,779 | ) |
| Write-down      of mining properties                |   |                      | -        |   |   |   | - |   |   |   | - |   |   |   | (3,656 | ) |   |   | - |   |
| Write-down      property and equipment              |   |                      | -        |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (6,700 | ) |
| Write-down      investments                         |   |                      | -        |   |   |   | - |   |   |   | (9,979 | ) |   |   | - |   |   |   | - |   |
| Recovery      of mineral property costs             |   |                      | -        |   |   |   | - |   |   |   | 3,712 |   |   |   | 45,664 |   |   |   | 6,428 |   |
| Net      Income (loss) for year                     |   |                      | (330,822 | ) |   |   | (574,757 | ) |   |   | (236,819 | ) |   |   | (429,992 | ) |   |   | (62,155 | ) |
| Income      (loss) per share                        |   |                      | (0.01    | ) |   |   | (0.01 | ) |   |   | (0.01 | ) |   |   | (0.02 | ) |   |   | (0.00 | ) |

----

|                         |   | As      at March 31, |       |
|------------------------------|--------|----------------------|------------|
|                         |   | 2009                 |       |   | 2008 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Balance      Sheet Data:     |   |                 |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      assets            |   | $                    | 1,780,044  |   |   | $ | 1,702,235 |   |   | $ | 1,747,631 |   |   | $ | 1,526,119 |   |   | $ | 788,878 |   |
| Cash      and term deposits  |   |                 | 295,736    |   |   |   | 221,330 |   |   |   | 628,599 |   |   |   | 734,523 |   |   |   | 23,388 |   |
| Restricted      cash         |   |                 | -          |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 228,347 |   |
| Total      liabilities       |   |                 | 203,065    |   |   |   | 199,424 |   |   |   | 163,429 |   |   |   | 315,488 |   |   |   | 297,509 |   |
| Shareholders'      equity    |   |                 | 1,576,979  |   |   |   | 1,502,811 |   |   |   | 1,584,202 |   |   |   | 1,210,631 |   |   |   | 491,369 |   |
|                         |   |                 |       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Number      of Shares Issued |   |                 | 50,389,483 |   |   |   | 44,239,483 |   |   |   | 40,784,483 |   |   |   | 27,286,911 |   |   |   | 25,760,058 |   |

| US      GAAP                             |   | As      at March 31, |     |
|------------------------------------------|--------|----------------------|----------|
|                                     |   | 2009                 |     |   | 2008 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Summary      of Operations:              |   |                 |     |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      Income (loss) per Canadian GAAP |   | $                    | (330,822 | ) |   | $ | (574,757 | ) |   | $ | (236,819 | ) |   | $ | (429,992 | ) |   | $ | (62,155 | ) |
| Adjustments                              |   |                 | 93,836   |   |   |   | (353,534 | ) |   |   | (647,043 | ) |   |   | (202,308 | ) |   |   | (259,869 | ) |
| Net      Income (loss) per US GAAP       |   |                 | (236,986 | ) |   |   | (928,291 | ) |   |   | (883,862 | ) |   |   | (632,300 | ) |   |   | (322,024 | ) |
| Income      (loss) per share per US GAAP |   |                 | (0.01    | ) |   |   | (0.02 | ) |   |   | (0.02 | ) |   |   | (0.02 | ) |   |   | (0.01 | ) |
|                                     |   |                 |     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

|                                         |   | As      at March 31, |       |
|----------------------------------------------|--------|----------------------|------------|
|                                         |   | 2009                 |       |   | 2008 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Balance      Sheet Data:                     |   |                 |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      assets under Canadian GAAP        |   | $                    | 1,780,044  |   |   | $ | 1,702,235 |   |   | $ | 1,747,631 |   |   | $ | 1,526,119 |   |   | $ | 788,878 |   |
| Adjustments                                  |   |                 | (1,271,885 | ) |   |   | (1,365,721 | ) |   |   | (1,004,334 | ) |   |   | (522,845 | ) |   |   | (293,493 | ) |
| Total      assets under US GAAP              |   |                 | 508,159    |   |   |   | 336,514 |   |   |   | 743,297 |   |   |   | 1,003,274 |   |   |   | 495,385 |   |
|                                         |   |                 |       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      capital stock under Canadian GAAP |   |                 | 22,941,591 |   |   |   | 22,620,793 |   |   |   | 22,160,953 |   |   |   | 20,883,010 |   |   |   | 20,730,324 |   |
| Adjustments                                  |   |                 | (1,059,134 | ) |   |   | (1,161,694 | ) |   |   | (1,193,628 | ) |   |   | (1,505,235 | ) |   |   | (1,696,550 | ) |
| Total      capital stock under US GAAP       |   |                 | 21,882,457 |   |   |   | 21,459,099 |   |   |   | 20,967,325 |   |   |   | 19,377,775 |   |   |   | 19,033,774 |   |

| Year      Ended March 31, |   | Average |   | Period End |   | High   |   | Low    |
|---------------------------|--------|---------|--------|------------|--------|--------|--------|--------|
| 2005                      |   | 1.2788  |   | 1.2096     |   | 1.3968 |   | 1.1774 |
| 2006                      |   | 1.1935  |   | 1.1671     |   | 1.2704 |   | 1.1322 |
| 2007                      |   | 1.1386  |   | 1.1529     |   | 1.1853 |   | 1.0990 |
| 2008                      |   | 1.0327  |   | 1.0279     |   | 1.1584 |   | 0.9170 |
| 2009                      |   | 1.1264  |   | 1.2602     |   | 1.3000 |   | 0.9844 |

----

| Month               |   | High   |   | Low    |
|---------------------|--------|--------|--------|--------|
| April      2009     |   | 1.2643 |   | 1.1940 |
| May      2009       |   | 1.1872 |   | 1.0872 |
| June      2009      |   | 1.1625 |   | 1.0827 |
| July      2009      |   | 1.1655 |   | 1.0790 |
| August      2009    |   | 1.1079 |   | 1.0686 |
| September      2009 |   | 1.1065 |   | 1.0613 |

| B. | Capitalization      and Indebtedness |
|----|--------------------------------------|

| C. | Reasons      for the Offer and Use of Proceeds |
|----|------------------------------------------------|

----

----

----

----

|     ·       | political      instability and violence; |
|--------------------------------------------------------------------|------------------------------------------|

| ·       | war      and civil disturbances; |
|--------------------------------------------|----------------------------------|

| ·      | expropriation      or nationalization; |
|--------------------------------------|----------------------------------------|

| ·      | changing      fiscal regimes; |
|--------------------------------------|-------------------------------|

| ·       | fluctuations      in currency exchange rates; |
|--------------------------------------------|-----------------------------------------------|

| ·       | high      rates of inflation; |
|--------------------------------------------|-------------------------------|

| ·       | underdeveloped      industrial and economicinfrastructure; |
|--------------------------------------------|------------------------------------------------------------|

| ·       | changes      in the regulatory environment governing mineral properties;      and |
|--------------------------------------------|-----------------------------------------------------------------------------------|

| ·       | unenforceability      of contractual rights, |
|--------------------------------------------|----------------------------------------------|

----

----

----

----

----

----

----

----

----

----

----

----

----

----

| F. | Tabular      disclosure of contractualobligations |
|----|---------------------------------------------------|

----

----

|  Name      and Present Position with the      Company                  |   |  Principal Occupation                                                                                                                                                                                                                                                             |   |                          |
|-----------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------|
| William      GlasierDirector                                           |   | Mining      executive; President of Mill Bay Ventures Inc., Director of Bralorne Gold      Mines Ltd.                                                                                                                                                                                  |   | May      22, 1990             |
| Florian      Riedl-RiedensteinDirector                                      |   | Independent      Financial Consultant; Director of Cresval Capital Corp.                                                                                                                                                                                                          |   | April      4, 1996            |
| Louis      WolfinDirector      and Chairman of the Board               |   | Mining      Executive; CEO and Director of Coral Gold Resources Ltd and Cresval      Capital Corp.; Director of Avino Silver & Gold Mines Ltd. and Bralorne      Gold Mine Ltd.                                                                                               |   |  September      26, 1978 |
| Gary      RobertsonDirector                                                 |   | Certified      Financial Planner; director of Bralorne Gold Mines Ltd., Coral Gold      Resources Ltd, Mill Bay Ventures Inc., Avino Silver & Gold Mines Ltd.      and Sage Gold Inc.                                                                                         |   | August      3, 2005      |
| Ron      TremblayDirector,      Chief Executive Officer and President  |   | President      of Stone’s Throw Capital Corp.                                                                                                                                                                                                                                    |   | September      7, 2006        |
| David Wolfin      (1)Director      and V.P Finance                          |   | President      and Director of Avino Silver & Gold Mines Ltd., and Gray Rock      Resources Ltd., Director of Berkley Resources Ltd. and Bralorne Gold      Mines; President of Coral Gold Resources Ltd., Director of Mill Bay      Ventures Ltd, and Cresval Capital Corp.  |   | November      23, 2006        |
| Victor      ChevillonDirector      and V.P. Exploration                     |   | Certified      Professional Geologist; President of Chevillon Exploration      Consulting                                                                                                                                                                                    |   | September      6, 2007        |
| Lisa      SharpChief      Financial Officer                            |   | Chief      Financial Officer of Avino Silver & Gold Mines Ltd., Bralorne Gold      Mines Ltd., Coral Gold Resources Ltd., Gray Rock Resources Ltd., Mill Bay      Ventures Inc., and Sonic Technology Solutions Inc.                                                          |   | June      9, 2008             |
| Dorothy      ChinCorporate      Secretary                                   |   | Corporate      Secretary of Avino Silver & Gold Mines Ltd., Bralorne Gold Mines Ltd.,      Coral Gold Resources Ltd., Gray Rock Resources Ltd. and Mill Bay Ventures      Inc.                                                                                                     |   | September      25, 2008       |
|                                                                        |   |                                                                                                                                                                                                                                                                                   |   |                          |

----

| Compensation Element              |   | Description                                                                                                                                              |   | Compensation    Objectives                                          |
|-----------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------|
| Annual Base Salary (all NEOs)     |   | Salary is market-competitive, fixed level of compensation                                                                                                |   | Retain qualified leaders, motivate strong business    performance.  |
| Incentive Bonuses                 |   | Cash payment to add variable component to compensation                                                                                                   |   | Based on corporate and individual performances of key    personnel. |
| Incentive Stock Option (all NEOs) |   | Equity grants are made in the form of stock options.  The      amount of grant will be dependent on individual and corporate      performance. |   | Retain qualified leaders, motivate strong business    performance.  |

----

| Name      and principal position            | Year                           | Salary($) | Share-based      awards($) | Option-based      awards($)      (*) | Non-equity      incentive plan compensation($) | Pension      value($) | All      other compensation($) | Total      compensation($) |
|---------------------------------------------|--------------------------------|-----------|----------------------------|--------------------------------------|------------------------------------------------|-----------------------|--------------------------------|----------------------------|
| Annual      incentive plans                 | Long-term      incentive plans |
| Louis      WolfinCEO      and Director | 2008                           | Nil       | Nil                        | Nil                                  | Nil                                            | Nil                   | Nil                            | Nil                        | Nil |
| Lisa      Sharp (1)CFO                      | 2008                           | 8,920     | Nil                        | Nil                                  | Nil                                            | Nil                   | Nil                            | Nil                        | $8,920 |
| Kevin      Bales (2)Former      CFO         | 2008                           | 1,654     | Nil                        | Nil                                  | Nil                                            | Nil                   | Nil                            | Nil                        | $1,654 |

----

|                                     |   | Option-based      Awards                                    |   | Share-based      Awards       |
|------------------------------------------|--------|-------------------------------------------------------------|--------|-------------------------------|
| Name                                |   | Number      of securities underlying unexercised options(#) |   | Option      exercise price($) |   | Option      expiration date  |   | Value      of unexercised in-the-money options($)(1) |   | Number      of shares or units of shares that have not vested(#) |   | Market      or payout value of share-based awards that have not vested($)(1) |
| Louis      WolfinCEO      & Director |   | 500,000                                                     |   | $0.10                         |   | Apr.      5, 2010 |   | $10,000 |   | Nil |   | Nil |
| Lisa      SharpCFO                       |   | Nil                                                         |   | Nil                           |   | N/A |   | Nil |   | Nil |   | Nil |
| Kevin      Bales,Former      CFO         |   | Nil                                                    |   | Nil                      |   | N/A  |   | Nil |   | Nil |   | Nil |

| Name                                     |   | Option-based      awards – Value vested during the year($)      (1) |   | Share-based      awards – Value vested during the year($) |   | Non-equity      incentive plan compensation – Value earned during the year($) |
|------------------------------------------|--------|---------------------------------------------------------------------------|--------|-----------------------------------------------------------------|--------|-------------------------------------------------------------------------------------|
| Louis      WolfinCEO      & Director |   | Nil                                                                       |   | Nil                                                             |   | Nil                                                                                 |
| Lisa      SharpCFO                       |   | Nil                                                                       |   | Nil                                                             |   | Nil                                                                                 |

----

| Name                           |   | Fees      earned($) |   | Share-based      awards($) |   | Option-based      awards($) (1) |   | Non-equity      incentive plan compensation($) |   | Pension      value($) |   | All      other compensation($) |   | Total($) |
|--------------------------------|--------|---------------------|--------|----------------------------|--------|---------------------------------|--------|------------------------------------------------|--------|-----------------------|--------|--------------------------------|--------|----------|
| William      Glasier           |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |
| Victor      Chevillon          |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |
| Florian      Riedl-Reidenstein |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |
| Gary      Robertson            |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |
| Ron      Tremblay              |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |
| Louis      Wolfin              |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |
| David      Wolfin              |   | Nil                 |   | Nil                        |   | Nil                             |   | Nil                                            |   | Nil                   |   | Nil                            |   | Nil      |

| (1)   | The      fair value of stock options granted during the last financial year is      based on the difference between the exercise price of the stock options      granted, and the last closing price of the Company’s shares on the trading      date immediately preceding the dates of grant of the stock options, as a      reasonable estimate of the benefit conferred at the time of the      grant. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| ● | its      relationship with and expectation of the external auditors, including the      establishment of the independence of the external auditor and the approval      of any non-audit mandates of the external auditor;  |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ● | determination      of which non-audit services the external auditor is prohibited from      providing;                                                                                                                      |
| ● | the      engagement, evaluation, remuneration, and termination of the external      auditors;                                                                                                                               |
| ● | appropriate      funding for the payment of the auditor’s compensation and for any advisors      retained by the audit committee;                                                                                     |
| ● | its      relationship with and expectation of the internal auditor;                                                                                                                                                         |
| ● | its      oversight of internal control;                                                                                                                                                                                     |
| ● | disclosure of      financial and related information; and                                                                                                                                                                   |
| ● | any      other matter that the audit committee feels is important to its mandate or      that which the board chooses to delegate toit.                                                                                          |

----

| Name      of Beneficial Owner  |   | Number      of Shares |   | Percent |
|--------------------------------|--------|-----------------------|--------|---------|
| Victor      Chevillon          |   | 602,500               |   | 1.09%   |
| William      Glasier           |   | 322,381               |   | *       |
| Florian      Riedl-Riedenstein |   | Nil                   |   | N/A     |
| Gary      Robertson            |   | 310,000               |   | *       |
| Ron      Tremblay              |   | 14,648,000            |   | 26.45%  |
| David      Wolfin              |   | 604,000               |   | 1.09%   |
| Louis      Wolfin              |   | 3,051,974             |   | 5.51%   |
| Lisa      Sharp                |   | Nil                   |   | N/A     |
| Dorothy      Chin              |   | Nil                   |   | N/A     |
|                           |   |                  |   |    |

|                                                |   | No.      of Shares |   | Date      of Grant                      |   | Exercise      Price |   | Expiration      Date                    |
|-----------------------------------------------------|--------|--------------------|--------|-----------------------------------------|--------|---------------------|--------|-----------------------------------------|
| Louis      Wolfin, Director and Former CEO(1)       |   | 500,000            |   | April      6, 2005                      |   | $0.10               |   | April      5, 2010                      |
| Ron      Tremblay, Director and      Current CEO(2) |   | 350,000150,000     |   | April      26, 2006October      2, 2006 |   | $0.21$0.10          |   | April      25, 2011October      2, 2011 |
| Lisa      Sharp, Current CFO                        |   | 50,000             |   | April      28, 2009                     |   | $0.25               |   | April      28, 2014                     |
| Kevin      Bales, Former CFO                        |   | Nil                |   | N/A                                     |   | N/A                 |   | N/A                                     |

| (1)   | After      the Company’s Annual Shareholders’ Meeting held on September 11, 2009, Mr.      Wolfin was appointed Chairmen of the Board.  |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2)   | After      the Company’s Annual Shareholders’ Meeting held on September 11, 2009, Mr.      Tremblay was appointed Chief Executive Officer and    President. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Name                                                   |   | Number      of Shares ofCommon      Stock Owned |   | Percent      ofClass |
|--------------------------------------------------------|--------|-------------------------------------------------|--------|----------------------|
| Louis      Wolfin                                      |   | 3,051,974                                       |   | 5.51%                |
| Ron      Tremblay                                      |   | 14,648,000*                                     |   | 26.45%               |
| All      Officers and Directors as a Group (9 persons) |   | 19,538,855                                      |   | 35.28%               |

|   | (a) | $90,293      (2008 - $112,018; 2007 - $104,697) was charged to the Company for office,      occupancy and miscellaneous costs, shareholder relations and promotion,      travel,  salaries and benefits, and administrative services paid      on behalf of the Company by Oniva International Services Corp. (“Oniva”),      a private company owned by the Company and five other reporting issuers      having common directors; |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | $30,000      (2008 - $30,000; 2007 - $12,500) was paid for management fees to a private      company controlled by a director and officer of the    Company; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | $60,136      (2008 - $10,048; 2007 - $Nil) was charged for geological management fees      to a private company controlled by a director of the Company. Of this      amount, $35,390 has been capitalized under mineral properties and $24,746      has been expensed under generalexploration; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | $8,310      (2008 - $5,580; 2007 - $6,173) was charged to the Company for exploration      costs associated with the Company’s mineral properties in the state of      Nevada from Coral Gold Resources Ltd. (“Coral”), a public company with      common directors and management; |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (e) | $Nil      (2008 - $128,067; 2007 - $348,403) was charged to the Company for drilling      services by ABC Drilling Services Inc. (“ABC Drilling”), a private      drilling company owned by Oniva;and |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (f) | $Nil      (2008 - $35,610; 2007 - $29,706) was charged to the Company for      exploration services by Bralorne Gold Mines Ltd., a public company with      common directors and management. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ·       | Auditors’      Report;  |
|--------------------------------------------|------------------------------------|

| ·       | Balance      Sheets as at March 31, 2009 and March 31, 2008;  |
|--------------------------------------------|--------------------------------------------------------------------|

| ·       | Statement      of Operations and Comprehensive Loss for the years ended March 31, 2009,      2008 and 2007;  |
|--------------------------------------------|-------------------------------------------------------------------------------------------------------------------|

| ·       | Statement      of Shareholders’ Equity for the years ended March 31, 2009, 2008 and      2007;  |
|--------------------------------------------|------------------------------------------------------------------------------------------------------------|

| ·       | Statement      of Cash Flows for the years ended March 31, 2009, 2008 and 2007;      and  |
|--------------------------------------------|------------------------------------------------------------------------------------------------|

| ·       | Notes      to Financial Statements for the years ended March 31, 2009, 2008 and      2007. |
|--------------------------------------------|--------------------------------------------------------------------------------------------|

|                         |   | TSX      Venture Exchange/NEX(Canadian      Dollars) |
|------------------------------|--------|------------------------------------------------------|
|  Last Five Fiscal Years |   |  High                                           |   |  Low |
| 2009                         |   | 0.16                                                 |   | 0.05 |
| 2008                         |   | 0.33                                                 |   | 0.11 |
| 2007                         |   | 0.24                                                 |   | 0.09 |
| 2006                         |   | 0.17                                                 |   | 0.05 |
| 2005                         |   | 0.12                                                 |   | 0.06 |

----

|   2008-2009                        |   |   High |   |   Low |
|----------------------------------------------|--------|------------------|--------|-----------------|
| Fourth      Quarter ended March 31, 2009     |   | 0.13             |   | 0.05            |
| Third      Quarter ended December 31, 2008   |   | 0.12             |   | 0.05            |
| Second      Quarter ended September 30, 2008 |   | 0.15             |   | 0.07            |
| First      Quarter ended June 30, 2008       |   | 0.16             |   | 0.10            |
|  2007-2008                              |   |  High       |   |  Low       |
| Fourth      Quarter ended March 31, 2008     |   | 0.18             |   | 0.11            |
| Third      Quarter ended December 31, 2007   |   | 0.29             |   | 0.12            |
| Second      Quarter ended September 30, 2007 |   | 0.33             |   | 0.17            |
| First      Quarter ended June 30, 2007       |   | 0.29             |   | 0.18            |
|  Last Six Months                        |   |  High       |   |  Low       |
| September      2009                          |   | 0.23             |   | 0.16            |
| August      2009                             |   | 0.18             |   | 0.15            |
| July      2009                               |   | 0.23             |   | 0.14            |
| June      2009                               |   | 0.23             |   | 0.13            |
| May      2009                                |   | 0.16             |   | 0.11            |
| April      2009                              |   | 0.20             |   | 0.12            |

----

----

----

| 1.  | Distributions      made by the Company during a taxable year to a United States Investor who      owns shares in the Company that are an "excess distribution" (defined      generally as the excess of the amount received with respect to the shares      in any taxable year over 125% of the average received in the shorter of      either the three previous years or such United States Investor's holding      period before the taxable year) must be allocated ratably to each day of      such shareholder’s holding period.  The amount allocated to the      current taxable year and to years when the corporation was not a PFIC must      be included as ordinary income in the shareholder’s gross income for the      year of distribution.  The remainder is not included in gross      income but the shareholder must pay a deferred tax on that      portion.  The deferred tax amount, in general, is the amount of      tax that would have been owed if the allocated amount had been included in      income in the earlier year, plus interest.  The interest charge      is at the rate applicable to deficiencies in income  taxes. |
|----------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.   | The      entire amount of any gain realized upon the sale or other disposition of      the shares will be treated as an excess distribution made in the year of      sale or other disposition and as a consequence will be treated as ordinary      income and, to the extent allocated to years prior to the year of sale or      disposition, will be subject to the interest charge described      above. |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

----

----

| Auditor’s      Report      | 51              |
|------------------------------------------------------|-----------------|
| Balance    Sheets                                    | 52              |
| Statements      of Operations and Comprehensive Loss | 53              |
| Statements of      Shareholders’ Equity   | 54 thru  55     |
| Statements      of Cash Flows                        | 56              |
| Notes      to Financial Statements                   | 57      thru 82 |

|  Exhibit      Number  |   | Name                                                                            |
|---------------------------------|--------|---------------------------------------------------------------------------------|
| 1.1                             |   | Memorandum      of Levon Resources Ltd. *                                       |
| 1.2                             |   | Articles      of Levon Resources Ltd. *                                         |
| 12.1                            |   | Certification of the      Principal Executive Officer                           |
| 12.2                       |   | Certification of the      Principal Financial Officer                           |
| 13.1                            |   | Certificate of      Principal Executive Officer under the Sarbanes-Oxley Act    |
| 13.2                            |   | Certificate      of Principal Financial Officer under the Sarbanes-Oxley    Act |
|                            |   |                                                                            |

----

----

|  “Louis      Wolfin”    |   |   “Lisa      Sharp” |   |
|---------------------------------------------------------|--------|-------------------------------------------|--------|
|  Louis      Wolfin        |   |     Lisa      Sharp   |   |
|  CEO                                          |   |     CFO               |   |
|                                                    |   |                                      |   |

----

----

|                                                  |   | 2009   |        |   | 2008   |   |
|-------------------------------------------------------|--------|--------|-------------|--------|--------|--------|
|                                                  |   |   |        |   |   |   |
| ASSETS                                                |   |   |        |   |   |   |
| Current                                               |   |   |        |   |   |   |
| Cash                                                  |   | $      | 295,736     |   |   | $      | 221,330 |   |
| Accounts      receivable and prepaid expenses         |   |   | 125,762     |   |   |   | 43,166 |   |
| Investments      (Note 5)                             |   |   | 12,697      |   |   |   | 31,065 |   |
|                                                  |   |   |        |   |   |   |   |   |
| Total      Current Assets                             |   |   | 434,195     |   |   |   | 295,561 |   |
|                                                  |   |   |        |   |   |   |   |   |
| Due      from related party (Note 12)                 |   |   | 5,564       |   |   |   | 5,564 |   |
| Reclamation      deposits (Note 6)                    |   |   | 32,629      |   |   |   | 31,317 |   |
| Mineral      properties (Note 7)                 |   |   | 1,304,398   |   |   |   | 1,365,721 |   |
| Equipment      (Note 9)                               |   |   | 3,258       |   |   |   | 4,072 |   |
|                                                  |   |   |        |   |   |   |   |   |
| Total      Assets                                     |   | $      | 1,780,044   |   |   | $      | 1,702,235 |   |
|                                                  |   |   |        |   |   |   |   |   |
| LIABILITIES      AND SHAREHOLDERS’ EQUITY       |   |   |        |   |   |   |   |   |
| Current                                               |   |   |        |   |   |   |   |   |
| Accounts      payable and accrued liabilities         |   | $      | 77,170      |   |   | $      | 122,167 |   |
| Due      to related parties (Note 12)                 |   |   | 125,895     |   |   |   | 77,257 |   |
|                                                  |   |   |        |   |   |   |   |   |
| Total      Current Liabilities                        |   |   | 203,065     |   |   |   | 199,424 |   |
|                                                  |   |   |        |   |   |   |   |   |
| SHAREHOLDERS’      EQUITY                       |   |   |        |   |   |   |   |   |
| Capital      stock (Note 10)                          |   |   | 22,941,591  |   |   |   | 22,620,793 |   |
| Contributed      surplus                              |   |   | 453,509     |   |   |   | 350,949 |   |
| Accumulated      other comprehensive income (loss)    |   |   | (16,776     | )      |   |   | 1,592 |   |
| Deficit                                               |   |   | (21,801,345 | )      |   |   | (21,470,523 | ) |
|                                                  |   |   |        |   |   |   |   |   |
| Total      Shareholders’ Equity                 |   |   | 1,576,979   |   |   |   | 1,502,811 |   |
|                                                  |   |   |        |   |   |   |   |   |
| Total      Liabilities and Shareholders’ Equity |   | $      | 1,780,044   |   |   | $      | 1,702,235 |   |

----

|                                                                            |   | 2009   |       |   | 2008   |   |       | 2007   |   |
|---------------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|------------|--------|--------|
| Expenses                                                                        |   |   |       |   |   |   |       |   |   |
| Consulting      and management fees                                             |   | $      | 30,664     |   |   | $      | 45,000     |   |   | $ | 36,005 |   |
| Listing      and filing fees                                                    |   |   | 21,873     |   |   |   | 30,983     |   |   |   | 33,586 |   |
| Corporate      and administrative services                                      |   |   | -          |   |   |   | -          |   |   |   | 26,000 |   |
| General      exploration                                                        |   |   | 26,789     |   |   |   | 8,928      |   |   |   | 14,577 |   |
| Office      occupancy and miscellaneous                                         |   |   | 28,239     |   |   |   | 42,573     |   |   |   | 44,246 |   |
| Professional      fees                                                          |   |   | 46,506     |   |   |   | 66,282     |   |   |   | 42,915 |   |
| Salaries      and benefits                                                      |   |   | 48,919     |   |   |   | 52,771     |   |   |   | 24,584 |   |
| Shareholder      relations and promotion                                        |   |   | 53,567     |   |   |   | 187,919    |   |   |   | 48,141 |   |
| Stock-based      compensation (Note 10(d))                                      |   |   | 10,358     |   |   |   | 56,404     |   |   |   | 131,300 |   |
| Travel                                                                          |   |   | 59,115     |   |   |   | 102,065    |   |   |   | 27,176 |   |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Loss      Before Other Items and Future Income Tax Recovery                     |   |   | (326,030   | )      |   |   | (592,925   | )      |   |   | (428,530 | ) |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Other      Items                                                                |   |   |       |   |   |   |       |   |   |   |   |   |
| Recovery      of mineral property costs                                         |   |   | -          |   |   |   | -          |   |   |   | 3,712 |   |
| Interest      income                                                            |   |   | 9,119      |   |   |   | 11,579     |   |   |   | 14,071 |   |
| Foreign      exchange gain (loss)                                               |   |   | (13,911    | )      |   |   | 6,589      |   |   |   | - |   |
| Write-down      of investments                                                  |   |   | -          |   |   |   | -          |   |   |   | (9,979 | ) |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Loss      Before Future Income Tax Recovery                                     |   |   | (330,822   | )      |   |   | (574,757   | )      |   |   | (420,726 | ) |
| Future      income tax recovery (Note 11)                                       |   |   | -          |   |   |   | -          |   |   |   | 183,907 |   |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Net      Loss for Year                                                          |   |   | (330,822   | )      |   |   | (574,757   | )      |   |   | (236,819 | ) |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Other      Comprehensive Income                                                 |   |   |       |   |   |   |       |   |   |   |   |   |
| Unrealized      loss in investment securities (Note 5)                          |   |   | (18,368    | )      |   |   | (6,261     | )      |   |   | - |   |
| Total      Comprehensive Loss                                                   |   | $      | (349,190   | )      |   | $      | (581,018   | )      |   | $ | (236,819 | ) |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Loss      Per Share, Basic and Diluted                                          |   | $      | (0.01      | )      |   | $      | (0.01      | )      |   | $ | (0.02 | ) |
|                                                                            |   |   |       |   |   |   |       |   |   |   |   |   |
| Weighted      Average Number of   Common      Shares Outstanding |   |   | 45,364,278 |   |   |   | 43,620,661 |   |   |   | 37,710,637 |   |

----

|                                                       |   | Number      of Common Shares |       |   | Capital      Stock |   |       | Paid      Share Subscriptions |   |   | Contributed      Surplus |   |   | Deficit |    |   | Accumulated      Other Comprehensive Income (Loss) |   |        | Total      Shareholders’ Equity |   |
|------------------------------------------------------------|--------|------------------------------|------------|--------|--------------------|--------|------------|-------------------------------|--------|--------|--------------------------|--------|--------|---------|---------|--------|----------------------------------------------------|--------|-------------|---------------------------------------|--------|
|                                                       |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |
| Balance,      March 31, 2006                               |   |                         | 27,286,911 |   |               | $      | 20,883,010 |                          |   | $      | 795,253                  |   |   | $       | 191,315 |   |                                               | $      | (20,658,947 | )                                     |   | $ | - |   |   | $ | 1,210,631 |   |
| Common      shares issued for cash:                        |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Private      placements                                    |   |                         | 13,037,572 |   |               |   | 1,425,650  |                          |   |   | (795,253                 | )      |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 630,397 |   |
| Share      issuance costs                                  |   |                         | -          |   |               |   | (21,800    | )                             |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | (21,800 | ) |
| Exercise      of stock options                             |   |                         | 40,000     |   |               |   | 4,000      |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 4,000 |   |
| Exercise      of warrants                                  |   |                         | 420,000    |   |               |   | 50,400     |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 50,400 |   |
| Fair      value of stock options exercised                 |   |                         | -          |   |               |   | 3,600      |                          |   |   | -                        |   |   |    | (3,600  | )      |                                               |   | -           |                                  |   |   | - |   |   |   | - |   |
| Income      tax recovery on flow-through shares            |   |                         | -          |   |               |   | (183,907   | )                             |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | (183,907 | ) |
| Stock-based      compensation                              |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | 131,300 |   |                                               |   | -           |                                  |   |   | - |   |   |   | 131,300 |   |
| Net      loss for the year                                 |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | -       |   |                                               |   | (236,819    | )                                     |   |   | - |   |   |   | (236,819 | ) |
|                                                       |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Balance,      March 31, 2007                               |   |                         | 40,784,483 |   |               |   | 22,160,953 |                          |   |   | -                        |   |   |    | 319,015 |   |                                               |   | (20,895,766 | )                                     |   |   | - |   |   |   | 1,584,202 |   |
|                                                       |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Transitional      adjustment for fair value of investments |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | 7,853 |   |   |   | 7,853 |   |
|                                                       |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Common      shares issued for cash:                        |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Exercise      of stock options (Note 10(b))                |   |                         | 470,000    |   |               |   | 59,000     |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 59,000 |   |
| Exercise      of warrants (Note 10(b))                     |   |                         | 2,985,000  |   |               |   | 358,500    |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 358,500 |   |
| Fair      value of stock options exercised                 |   |                         | -          |   |               |   | 42,340     |                          |   |   | -                        |   |   |    | (42,340 | )      |                                               |   | -           |                                  |   |   | - |   |   |   | - |   |
| Stock-based      compensation (Note 10(d))                 |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | 74,274  |   |                                               |   | -           |                                  |   |   | - |   |   |   | 74,274 |   |
| Net      loss for the year                                 |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | -       |   |                                               |   | (574,757    | )                                     |   |   | - |   |   |   | (574,757 | ) |
| Unrealized      loss on investment securities              |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | (6,261 | ) |   |   | (6,261 | ) |
|                                                       |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Balance,      March 31, 2008                               |   |                         | 44,239,483 |   |               | $      | 22,620,793 |                          |   | $      | -                        |   |   | $       | 350,949 |   |                                               | $      | (21,470,523 | )                                     |   | $ | 1,592 |   |   | $ | 1,502,811 |   |

----

|                                          |   | Number      of Common Shares |       |   | Capital      Stock |   |       | Paid      Share Subscriptions |   |   | Contributed      Surplus |   |   | Deficit |    |   | Accumulated      Other Comprehensive Income (Loss) |   |        | Total      Shareholders’ Equity |   |
|-----------------------------------------------|--------|------------------------------|------------|--------|--------------------|--------|------------|-------------------------------|--------|--------|--------------------------|--------|--------|---------|---------|--------|----------------------------------------------------|--------|-------------|---------------------------------------|--------|
|                                          |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |
| Balance,      March 31, 2008                  |   |                         | 44,239,483 |   |               | $      | 22,620,793 |                          |   | $      | -                        |   |   | $       | 350,949 |   |                                               | $      | (21,470,523 | )                                     |   | $ | 1,592 |   |   | $ | 1,502,811 |   |
|                                          |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Common      shares issued for cash:           |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Private      placements (Note 10(b))          |   |                         | 5,000,000  |   |               |   | 145,348    |                          |   |   | -                        |   |   |    | 104,652 |   |                                               |   | -           |                                  |   |   | - |   |   |   | 250,000 |   |
| Share      issuance costs (Note 10(b))        |   |                         | -          |   |               |   | (2,000     | )                             |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | (2,000 | ) |
| Exercise      of stock options (Note 10(b))   |   |                         | 150,000    |   |               |   | 15,000     |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 15,000 |   |
| Exercise      of warrants (Note 10(b))        |   |                         | 1,000,000  |   |               |   | 150,000    |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | - |   |   |   | 150,000 |   |
| Fair      value of stock options exercised    |   |                         | -          |   |               |   | 12,450     |                          |   |   | -                        |   |   |    | (12,450 | )      |                                               |   | -           |                                  |   |   | - |   |   |   | - |   |
| Stock-based      compensation (Note 10(b))    |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | 10,358  |   |                                               |   | -           |                                  |   |   | - |   |   |   | 10,358 |   |
| Net      loss for the year                    |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | -       |   |                                               |   | (330,822    | )                                     |   |   | - |   |   |   | (330,822 | ) |
| Unrealized      loss on investment securities |   |                         | -          |   |               |   | -          |                          |   |   | -                        |   |   |    | -       |   |                                               |   | -           |                                  |   |   | (18,368 | ) |   |   | (18,368 | ) |
|                                          |   |                         |       |   |               |   |       |                          |   |   |                     |   |   |    |    |   |                                               |   |        |                                  |   |   |   |   |   |   |   |   |
| Balance,      March 31, 2009                  |   |                         | 50,389,483 |   |               | $      | 22,941,591 |                          |   | $      | -                        |   |   | $       | 453,509 |   |                                               | $      | (21,801,345 | )                                     |   | $ | (16,776 | ) |   | $ | 1,576,979 |   |

----

|                                                                                                            |   | 2009   |     |   | 2008   |   |     | 2007   |   |
|-----------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|----------|--------|--------|
|                                                                                                            |   |   |     |   |   |   |     |   |   |
| Operating      Activities                                                                                       |   |   |     |   |   |   |     |   |   |
| Net      loss                                                                                                   |   | $      | (330,822 | )      |   | $      | (574,757 | )      |   | $ | (236,819 | ) |
| Items      not involving cash                                                                                   |   |   |     |   |   |   |     |   |   |   |   |   |
|    Amortization                                                                                  |   |   | 814      |   |   |   | 930      |   |   |   | 805 |   |
|    Stock-based      compensation                                                                 |   |   | 10,358   |   |   |   | 56,404   |   |   |   | 131,300 |   |
|    Write      down of investment                                                                 |   |   | -        |   |   |   | -        |   |   |   | 9,979 |   |
|    Future      income tax recovery                                                               |   |   | -        |   |   |   | -        |   |   |   | (183,907 | ) |
|                                                                                                            |   |   | (319,650 | )      |   |   | (517,423 | )      |   |   | (278,642 | ) |
| Changes      in non-cash working capital items:                                                                 |   |   |     |   |   |   |     |   |   |   |   |   |
|    Accounts      receivable and prepaid expenses                                                 |   |   | 28,640   |   |   |   | (16,603  | )      |   |   | 33,528 |   |
|    Accounts      payable and accrued liabilities                                                 |   |   | (25,283  | )      |   |   | 20,507   |   |   |   | (17,737 | ) |
|    Due      from (to) related parties                                                            |   |   | 48,638   |   |   |   | (19,880  | )      |   |   | (52,560 | ) |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Cash      Used in Operating Activities                                                                          |   |   | (267,655 | )      |   |   | (533,399 | )      |   |   | (315,411 | ) |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Investing      Activities                                                                                       |   |   |     |   |   |   |     |   |   |   |   |   |
|    Mineral      properties exploration expenditures incurred                                     |   |   | (69,627  | )      |   |   | (293,470 | )      |   |   | (463,136 | ) |
|    Purchase      of equipment                                                                    |   |   | -        |   |   |   | (700     | )      |   |   | (2,169 | ) |
|    Reclamation      deposits                                                                     |   |   | (1,312   | )      |   |   | 2,800    |   |   |   | 11,795 |   |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Cash      Used in Investing Activities                                                                          |   |   | (70,939  | )      |   |   | (291,370 | )      |   |   | (453,510 | ) |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Financing      Activity                                                                                         |   |   |     |   |   |   |     |   |   |   |   |   |
|    Issue      of capital stock for cash, net of issuance      costs                         |   |   | 413,000  |   |   |   | 417,500  |   |   |   | 662,997 |   |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Cash      Provided by Financing Activity                                                                        |   |   | 413,000  |   |   |   | 417,500  |   |   |   | 662,997 |   |
| Inflow      (Outflow) of Cash                                                                                   |   |   | 74,406   |   |   |   | (407,269 | )      |   |   | (105,924 | ) |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Cash,      Beginning of Year                                                                                    |   |   | 221,330  |   |   |   | 628,599  |   |   |   | 734,523 |   |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Cash,      End of Year                                                                                          |   | $      | 295,736  |   |   | $      | 221,330  |   |   | $ | 628,599 |   |
|                                                                                                            |   |   |     |   |   |   |     |   |   |   |   |   |
| Supplementary      Information, Non-Cash Transactions                                                           |   |   |     |   |   |   |     |   |   |   |   |   |
|    Mineral      property expenditures included in accounts payable                               |   | $      | 22,480   |   |   | $      | 42,194   |   |   | $ | - |   |
|    Mineral      exploration tax credit included in accounts receivable and prepaid      expenses |   | $      | 111,236  |   |   | $      | -        |   |   | $ | - |   |
|    Stock-based      compensation included in mineral      properties                        |   | $      | -        |   |   | $      | 17,870   |   |   | $ | - |   |
|    Interest      paid                                                                            |   | $      | -        |   |   | $      | -        |   |   | $ | - |   |
|    Income      tax paid                                                                          |   | $      | -        |   |   | $      | -        |   |   | $ | - |   |

----

|   | (a) | Basis      of presentation |
|--------|-----|----------------------------|

|   | (b) | Mineral      properties |
|--------|-----|-------------------------|

|   | (b) | Mineral properties      (Continued) |
|--------|-----|-------------------------------------|

|   | (c) | Equipment |
|--------|-----|-----------|

|   | (d) | Income      taxes |
|--------|-----|-------------------|

|   | (e) | Loss      per share |
|--------|-----|---------------------|

----

|   | (f) | Use      of estimates |
|--------|-----|-----------------------|

|   | (h) | Stock-based      compensation |
|--------|-----|-------------------------------|

|   | (i) | Foreign      currency translation |
|--------|-----|-----------------------------------|

|   | (i) | Monetary      assets and liabilities, at the rate of exchange in effect as at the      balance sheet date;  |
|--------|-----|------------------------------------------------------------------------------------------------------------------|

|   | (ii) | Non-monetary      assets and liabilities, at the exchange rates prevailing at the time of      the acquisitions of the assets or assumption of liabilities;      and  |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (iii) | Revenues      and expenses, at the rate of exchange prevailing at the time of the      transaction. |
|--------|-------|-----------------------------------------------------------------------------------------------------|

----

|   | (j) | Asset      retirement obligation (“ARO”) |
|--------|-----|------------------------------------------------------|

|   | (k) | Revenue      recognition |
|--------|-----|--------------------------|

|   | (l) | Mining      exploration tax credit (“METC”) |
|--------|-----|---------------------------------------------------------|

|   | (n) | Financial      Instruments and ComprehensiveIncome |
|--------|-----|----------------------------------------------------|

----

|   | (n) | Financial Instruments and      Comprehensive Income(Continued) |
|--------|-----|----------------------------------------------------------------|

|   | (o) | New      Accounting Standards |
|--------|-----|-------------------------------|

|   | (i) | Capital      Disclosures (Section 1535) Section      1535 specifies the disclosure of: (i) an entity’s objectives, policies and      procedures for managing capital; (ii) quantitative data about what the      entity regards as capital; (iii) whether the entity has complied with any      capital requirements; and (iv) if it has not complied, the consequences of      such non-compliance. As a      result of the adoption of this standard, additional disclosure on the      Company’s capital management strategy have been included in Note      4. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | Financial      Instruments Section      3862, “Financial Instruments – Disclosures”, and 3863, “Financial      Instruments – Presentation”, replace Handbook Section 3861,      “Financial Instruments – Disclosures and Presentation”, revising its      disclosure requirements and carrying forward its presentation      requirements. These new sections place increased emphasis on disclosures      about the nature and extent of risks arising from financial instruments      and how the entity manages those risks. Section      3862 specifies disclosures that enable users to evaluate: (i) the      significance of financial instruments for the entity’s financial position      and performance; and (ii) the nature and extent of risks arising from      financial instruments to which the entity is exposed and how the entity      manages those risks. As      a result of the adoption of these standards, additional disclosures on the      risks of certain financial instruments have been included in Note      3. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (o) | New Accounting Standards      (Continued) |
|--------|-----|-------------------------------------------|

|   | (iii) | Going      Concern In      June 2007, the CICA approved amendments to Handbook Section 1400, “General      Standards of Financial Statement Presentation”. These amendments require      management to assess an entity’s ability to continue as a going concern.      When management is aware of material uncertainties related to events or      conditions that may cast doubt on an entity’s ability to continue as a      going concern, those uncertainties must be disclosed. In assessing the      appropriateness of the going concern assumption, the standard requires      management to consider all available information about the future, which      is at least, but not limited to, twelve months from the balance sheet      date. The standard was adopted by the Company effective April 1, 2008. See      Note 1 to these financial statements for disclosure relating to this      section. |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (p) | Recent      Canadian Accounting Pronouncements |
|--------|-----|------------------------------------------------|

|   | (i) | International      Financial Reporting Standards (“IFRS”) In      2006, the Canadian Accounting Standards Board (“AcSB”) published a new      strategic plan that will significantly affect financial reporting      requirements for Canadian companies. The AcSB strategic plan outlines the      convergence of Canadian GAAP with IRFS over an expected five year      transitional period.  In February 2008 the AcSB announced that      2011 is the changeover date for publicly-listed companies to use IFRS,      replacing Canada’s own GAAP. The IFRS standards will be effective for the      Company for interim and fiscal reporting commencing April 1, 2011. The      effective date will require the restatement for comparative purposes of      amounts reported by the Company for the interim periods and the year ended      March 31, 2011 and earlier where applicable. While the Company has begun      assessing the adoption of IFRS for 2012, the financial reporting impact of      the transition to IFRS cannot be reasonably estimated at this      time. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | Goodwill In      February 2008, the CICA issued Section 3064, “Goodwill and Intangible      Assets”, replacing Section 3062, “Goodwill and Other Intangible Assets”,      and Section 3450, “Research and Development Costs”. This section      establishes standards for the recognition, measurement, presentation and      disclosure of goodwill subsequent to its initial recognition and of      intangible assets by profit-oriented enterprises. Standards concerning      goodwill are unchanged from the standards included in the previous Section      3062. This new section is effective for the Company on April 1, 2009. The      Company is in the process of assessing the impact of this new section on      its financial statements. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 2. | SIGNIFICANT ACCOUNTING POLICIES      (Continued) |
|----|--------------------------------------------------|

|   | (p) | Recent Canadian Accounting      Pronouncements (Continued) |
|--------|-----|------------------------------------------------------------|

|   | (iii) | Business      Combinations In      January 2009, the CICA issued Section 1582, “Business Combinations”,      Section 1601, “Consolidations”, and Section 1602, “Non-Controlling      Interest”. These sections replace the former Section 1581, “Business      Combinations”, and Section 1600, “Consolidated Financial Statements”, and      establish a new section for a non-controlling interest in a      subsidiary. Sections      1582 and 1602 will require net assets, non-controlling interests and      goodwill acquired in a business combination to be recorded at fair value      and non-controlling interests will be reported as a component of equity.      In addition, the definition of a business is expanded and is described as      an integrated set of activities and assets that are capable of being      managed to provide a return to investors or economic benefits to owners.      Acquisition costs are not part of the consideration and are to be expensed      when incurred. Section 1601 establishes standards for the preparation of      consolidated financial statements. These      new sections apply to interim and annual consolidated financial statements      relating to fiscal years beginning on April 1, 2011. Earlier adoption of      these sections is permitted as of the beginning of a fiscal year. All      three sections must be adopted concurrently. The Company is currently      evaluating the impact of the adoption of these  sections. |
|--------|-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                        |   | 2009               |   |
|-----------------------------|--------|--------------------|--------|
| Financial      Assets       |   | Available-for-sale |   |   | Held-for-trading |   |   | Loans      and receivables |   |
|                        |   |               |   |   |   |   |   |   |   |
| Cash                        |   | $                  | -      |   |   | $ | 295,736 |   |   | $ | - |   |
| Investments                 |   |               | 12,697 |   |   |   | - |   |   |   | - |   |
| Due      from related party |   |               | -      |   |   |   | - |   |   |   | 5,564 |   |
| Reclamation      deposits   |   |               | -      |   |   |   | - |   |   |   | 32,629 |   |
|                        |   |               |   |   |   |   |   |   |   |   |   |   |
|                        |   | $                  | 12,697 |   |   | $ | 295,736 |   |   | $ | 38,193 |   |

----

|                        |   | 2008               |   |
|-----------------------------|--------|--------------------|--------|
| Financial      Assets       |   | Available-for-sale |   |   | Held-for-trading |   |   | Loans      and receivables |   |
|                        |   |               |   |   |   |   |   |   |   |
| Cash                        |   | $                  | -      |   |   | $ | 221,330 |   |   | $ | - |   |
| Accounts      receivable    |   |               | -      |   |   |   | - |   |   |   | 15,960 |   |
| Investments                 |   |               | 31,065 |   |   |   | - |   |   |   | - |   |
| Due      from related party |   |               | -      |   |   |   | - |   |   |   | 5,564 |   |
| Reclamation      deposits   |   |               | -      |   |   |   | - |   |   |   | 31,317 |   |
|                        |   |               |   |   |   |   |   |   |   |   |   |   |
|                        |   | $                  | 31,065 |   |   | $ | 221,330 |   |   | $ | 52,841 |   |

|                                          |   | 2009                             |    |   | 2008                             |   |
|-----------------------------------------------|--------|----------------------------------|---------|--------|----------------------------------|--------|
| Financial      Liabilities                    |   | Other      Financial Liabilities |    |   | Other      Financial Liabilities |   |
|                                          |   |                             |    |   |                             |   |
| Accounts      payable and accrued liabilities |   | $                                | 77,170  |   |                             | $      | 122,167 |   |
| Due      to related parties                   |   |                             | 125,895 |   |                             |   | 77,257 |   |
|                                          |   |                             |    |   |                             |   |   |   |
|                                          |   | $                                | 203,065 |   |                             | $      | 199,424 |   |

|   | (a) | Credit      risk |
|--------|-----|------------------|

|   | (b) | Liquidity      risk |
|--------|-----|---------------------|

----

|   | (c) | Market      risk |
|--------|-----|------------------|

----

|                                         |   | Numberof      Shares |    |   | Cost   |   |   | Accumulated      Unrealized Gains (Losses) |   |   | Fair      Value |   |
|----------------------------------------------|--------|----------------------|---------|--------|--------|--------|--------|--------------------------------------------|--------|--------|-----------------|--------|
|                                         |   |                 |    |   |   |   |   |                                       |   |   |            |   |
| Mill      Bay Ventures Inc.                  |   |                 | 348,978 |   |   | $      | 27,918 |                                       |   | $      | (17,448         | )      |   | $ | 10,470 |   |
| Avino      Silver & Gold Mines Ltd.      |   |                 | 4,200   |   |   |   | 1,554  |                                       |   |   | 672             |   |   |   | 2,226 |   |
| Omega      Equities Corp. (at nominal value) |   |                 | 57,000  |   |   |   | 1      |                                       |   |   | -               |   |   |   | 1 |   |
|                                         |   |                 |    |   |   | $      | 29,473 |                                       |   | $      | (16,776         | )      |   | $ | 12,697 |   |

|                                         |   | Numberof      Shares |    |   | Cost   |   |   | Accumulated      Unrealized Gains (Losses) |   |   | Fair      Value |   |
|----------------------------------------------|--------|----------------------|---------|--------|--------|--------|--------|--------------------------------------------|--------|--------|-----------------|--------|
|                                         |   |                 |    |   |   |   |   |                                       |   |   |            |   |
| Mill      Bay Ventures Inc.                  |   |                 | 348,978 |   |   | $      | 27,918 |                                       |   | $      | (3,490          | )      |   | $ | 24,428 |   |
| Avino      Silver & Gold Mines Ltd.      |   |                 | 4,200   |   |   |   | 1,554  |                                       |   |   | 5,082           |   |   |   | 6,636 |   |
| Omega      Equities Corp. (at nominal value) |   |                 | 57,000  |   |   |   | 1      |                                       |   |   | -               |   |   |   | 1 |   |
|                                         |   |                 |    |   |   | $      | 29,473 |                                       |   | $      | 1,592           |   |   | $ | 31,065 |   |

----

|                                       |   |             |      |   | Gold             |   |    | Cordero          |   |   |             |   |   |   |   |
|--------------------------------------------|--------|------------------|-----------|--------|------------------|--------|---------|------------------|--------|--------|------------------|--------|--------|--------|--------|
|                                       |   | Congress         |      |   | Bridge           |   |    | Sanson           |   |   | Other            |   |   | Total  |   |
|                                       |   | (Note      7(a)) |      |   | (Note      7(b)) |   |    | (Note      7(c)) |   |   | (Note      7(d)) |   |   |   |   |
| Balance,      March 31, 2007               |   | $                | 754,276   |   |             | $      | 248,819 |             |   | $      | -                |   |   | $      | 9,092  |   |   | $ | 1,012,187 |   |
| Deferred      exploration costs            |   |             |      |   |             |   |    |             |   |   |             |   |   |   |   |   |   |   |   |   |
| Assays                                     |   |             | 25,822    |   |             |   | 2,326   |             |   |   | -                |   |   |   | -      |   |   |   | 28,148 |   |
| Assessment,      permits and filing fees   |   |             | 3,214     |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 3,214 |   |
| Drafting      and mapping                  |   |             | 376       |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 376 |   |
| Drilling                                   |   |             | 159,506   |   |             |   | 1,436   |             |   |   | -                |   |   |   | -      |   |   |   | 160,942 |   |
| General      supplies and services         |   |             | 18,937    |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 18,937 |   |
| Geological      and management services    |   |             | 75,636    |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 75,636 |   |
| Geophysical                                |   |             | 40,144    |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 40,144 |   |
| Mobilization      and demobilization       |   |             | 580       |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 580 |   |
| Prospecting                                |   |             | 18,594    |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 18,594 |   |
| Reclamation                                |   |             | 6,334     |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 6,334 |   |
| Trenching                                  |   |             | 7,930     |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 7,930 |   |
| Wages      and benefits                    |   |             | -         |   |             |   | 798     |             |   |   | -                |   |   |   | -      |   |   |   | 798 |   |
| Cost      recoveries                       |   |             | -         |   |             |   | (8,099  | )                |   |   | -                |   |   |   | -      |   |   |   | (8,099 | ) |
|                                       |   |             |      |   |             |   |    |             |   |   |             |   |   |   |   |   |   |   |   |   |
| Balance,      March 31, 2008               |   |             | 1,111,349 |   |             |   | 245,280 |             |   |   | -                |   |   |   | 9,092  |   |   |   | 1,365,721 |   |
| Deferred      exploration costs            |   |             |      |   |             |   |    |             |   |   |             |   |   |   |   |   |   |   |   |   |
| Acquisition                                |   |             | -         |   |             |   | -       |             |   |   | 32,513           |   |   |   | -      |   |   |   | 32,513 |   |
| Assays                                     |   |             | 2,268     |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 2,268 |   |
| Assessment,      permits and filing fees   |   |             | 1,365     |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 1,365 |   |
| Maintenance      – security facility |   |             | -         |   |             |   | 2,500   |             |   |   | -                |   |   |   | -      |   |   |   | 2,500 |   |
| Drilling                                   |   |             | 1,994     |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 1,994 |   |
| General      supplies and services         |   |             | 407       |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 407 |   |
| Geological      and management services    |   |             | 16,843    |   |             |   | -       |             |   |   | 29,033           |   |   |   | -      |   |   |   | 45,876 |   |
| Metallurgical      testing                 |   |             | 819       |   |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | 819 |   |
| Mineral      exploration tax credits       |   |             | (149,065  | )      |             |   | -       |             |   |   | -                |   |   |   | -      |   |   |   | (149,065 | ) |
|                                       |   |             |      |   |             |   |    |             |   |   |             |   |   |   |   |   |   |   |   |   |
| Balance,      March 31, 2009               |   | $                | 985,980   |   |             | $      | 247,780 |             |   | $      | 61,546           |   |   | $      | 9,092  |   |   | $ | 1,304,398 |   |

|   | (a) | Congress      claims |
|--------|-----|----------------------|

----

|   | (b) | Gold      Bridge claims (BRX Project) |
|--------|-----|---------------------------------------|

|   | (c) | Cordero      Sanson |
|--------|-----|---------------------|

|   | d) | Other      claims include the Eagle ($1), Ruf and Norma Sass ($2), and Wayside      ($9,089) as described below: |
|--------|----|------------------------------------------------------------------------------------------------------------------|

|   | (i) | Eagle      claims The      Company holds a 50% interest in 26 lode mining claims located in Lander      County, Nevada. The claims are subject to a 3% net smelter return      royalty.  The Company has no current plan to further explore or      incur additional expenditures on this property beyond the minimum      requirement to maintain the claims in good  standing. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (ii) | Ruf      and Norma Sass properties In      2003, the Company acquired from Coral Resource Inc. (“Coral”), a public      company with common directors and management,  an undivided      one-third interest in 54 mineral claims known as the Ruf and Norma Sass      properties located in Lander County, Nevada (the “Property”), in      consideration of cash payments of $350,292 (paid) and 300,000 common      shares (issued) of the Company. |
|--------|------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (ii) | Ruf      and Norma Sass properties (Continued) A      third party holds a 3% net smelter returns royalty on the production from      certain of the claims, up to a limit of US$1,250,000 By      way of an agreement dated September 25, 2008, the Company and Coral      granted Barrick Gold ("Barrick”) an option to acquire a 60% interest in      the claims by incurring total exploration expenditures of at least      US$3,000,000 in annual installments by December 31, 2014 as      follows: |
|--------|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) |     Incur      $250,000 on or before December 31, 2009;      |
|--------|-----|---------------------------------------------------------------------------------------|
|   | (b) |     Incur      $250,000 on or before December 31, 2010;      |
|   | (c) |     Incur      $500,000 on or before December 31, 2011;      |
|   | (d) |     Incur      $500,000 on or before December 31, 2012;      |
|   | (e) |     Incur      $600,000 on or before December 31, 2013; and  |
|   | (f) |     Incur $900,000      on or before December 31, 2014.           |

|   | (iii)  | Wayside      claims The      Company owns 24 mineral claims in the Lillooet Mining Division, British      Columbia. |
|--------|-------------|--------------------------------------------------------------------------------------------------------------------------|

----

|                         |   | 2009   |   |   | 2008         |   |
|------------------------------|--------|--------|--------|--------|--------------|--------|
|                         |   |   |   |   | Accumulated  |   |   |   |   |   |   |   |   | Accumulated |   |   |   |   |
|                         |   | Cost   |   |   | Amortization |   |   | Net |   |   | Cost |   |   | Amortization |   |   | Net |   |
| Furniture      and equipment |   | $      | 8,443  |   |         | $      | 5,185 |   |   | $ | 3,258 |   |   | $ | 32,037 |   |   | $ | 27,965 |   |   | $ | 4,072 |   |

----

----

|                                  |   | 2009           |      |   | 2008     |   |
|---------------------------------------|--------|----------------|-----------|--------|----------|--------|
|                                  |   |           |      |   | Weighted |   |   |   |   |   | Weighted |   |
|                                  |   |           |      |   | Average  |   |   |   |   |   | Average |   |
|                                  |   | Number         |      |   | Exercise |   |   | Number |   |   | Exercise |   |
|                                  |   | of      Shares |      |   | Price    |   |   | of      Shares |   |   | Price |   |
|                                  |   |           |      |   |     |   |   |   |   |   |   |   |
| Options,      beginning of year       |   |           | 3,215,000 |   |     | $      | 0.17 |   |   |   | 3,435,000 |   |   | $ | 0.14 |   |
|   Granted                   |   |           | -         |   |     | $      | - |   |   |   | 425,000 |   |   | $ | 0.37 |   |
|   Exercised                 |   |           | (150,000  | )      |     | $      | 0.10 |   |   |   | (470,000 | ) |   | $ | 0.13 |   |
|   Forfeited                 |   |           | (740,000  | )      |     | $      | 0.19 |   |   |   | (175,000 | ) |   | $ | 0.10 |   |
|                                  |   |           |      |   |     |   |   |   |   |   |   |   |   |   |   |   |
| Options,      outstanding end of year |   |           | 2,325,000 |   |     | $      | 0.17 |   |   |   | 3,215,000 |   |   | $ | 0.17 |   |
| Options,      exercisable end of year |   |           | 2,325,000 |   |     | $      | 0.17 |   |   |   | 3,169,522 |   |   | $ | 0.17 |   |

| Number      Outstanding |   | Exercise      Price |   | Weighted      Average Remaining Contractual Life (years) |   | Intrinsic      Value |   | Expiry      Date        |
|-------------------------|--------|---------------------|--------|----------------------------------------------------------|--------|----------------------|--------|-------------------------|
| 1,075,000               |   | $      0.10         |   | 1.01                                                     |   | $      0.02          |   | April      5, 2010      |
| 675,000                 |   | $      0.21         |   | 2.07                                                     |   | $      0.00          |   | April      25, 2011     |
| 250,000                 |   | $      0.10         |   | 2.51                                                     |   | $      0.02          |   | October      2, 2011    |
| 25,000                  |   | $      0.18         |   | 2.82                                                     |   | $      0.00          |   | January      26, 2012   |
| 100,000                 |   | $      0.35         |   | 3.21                                                     |   | $      0.00          |   | June      14, 2012      |
| 150,000                 |   | $      0.35         |   | 3.46                                                     |   | $      0.00          |   | September      14, 2012 |
| 50,000                  |   | $      0.50         |   | 3.46                                                     |   | $      0.00          |   | September      14, 2012 |
|                    |   |                |   |                                                     |   |                 |   |                    |
| 2,325,000               |   |                |   | 1.80                                                     |   |                 |   |                    |

----

| Number      Outstanding |   | Exercise      Price |   | Weighted      Average Remaining Contractual Life (years) |   | Expiry      Date        |
|-------------------------|--------|---------------------|--------|----------------------------------------------------------|--------|-------------------------|
| 1,490,000               |   | $      0.10         |   | 2.01                                                     |   | April      5, 2010      |
| 925,000                 |   | $      0.21         |   | 3.07                                                     |   | April      25, 2011     |
| 275,000                 |   | $      0.10         |   | 3.51                                                     |   | October      2, 2011    |
| 100,000                 |   | $      0.18         |   | 3.82                                                     |   | January      26, 2012   |
| 200,000                 |   | $      0.35         |   | 4.21                                                     |   | June      14, 2012      |
| 175,000                 |   | $      0.35         |   | 4.46                                                     |   | September      14, 2012 |
| 50,000                  |   | $      0.50         |   | 4.46                                                     |   | September      14, 2012 |
| 3,215,000               |   |                |   | 2.81                                                     |   |                    |

|                                 |   | 2009   |   | 2008    |
|--------------------------------------|--------|--------|--------|---------|
|                                 |   |   |   |    |
| Risk-free      interest rate         |   | N/A    |   | 4.48%   |
| Expected      dividend yield         |   | N/A    |   | 0       |
| Expected      stock price volatility |   | N/A    |   | 121.87% |
| Expected      option life in years   |   | N/A    |   | 5       |

|                                   |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|----------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Directors,      officers and employees |   | $      | -      |   |   | $      | 26,450 |   |   | $ | 71,800 |   |
| Investor      relations                |   |   | 10,358 |   |   |   | 12,084 |   |   |   | 2,200 |   |
| Consultants                            |   |   | -      |   |   |   | 35,740 |   |   |   | 57,300 |   |
|                                   |   | $      | 10,358 |   |   | $      | 74,274 |   |   | $ | 131,300 |   |

----

|                                                  |   | 2009           |       |   | 2008     |   |
|-------------------------------------------------------|--------|----------------|------------|--------|----------|--------|
|                                                  |   |           |       |   | Weighted |   |   |   |   |   | Weighted |   |
|                                                  |   |           |       |   | Average  |   |   |   |   |   | Average |   |
|                                                  |   | Number         |       |   | Exercise |   |   | Number |   |   | Exercise |   |
|                                                  |   | of      Shares |       |   | Price    |   |   | of      Shares |   |   | Price |   |
| Warrants      outstanding beginning      of year |   |           | 9,145,000  |   |     | $      | 0.15 |   |   |   | 12,617,572 |   |   | $ | 0.13 |   |
|   Issued                                    |   |           | 5,000,000  |   |     | $      | 0.15 |   |   |   | - |   |   | $ | - |   |
|   Exercised                                 |   |           | (1,000,000 | )      |     | $      | 0.15 |   |   |   | (2,985,000 | ) |   | $ | 0.12 |   |
|   Expired                                   |   |           | (8,145,000 | )      |     | $      | 0.15 |   |   |   | (487,572 | ) |   | $ | 0.40 |   |
| Warrants      outstanding end      of year       |   |           | 5,000,000  |   |     | $      | 0.15 |   |   |   | 9,145,000 |   |   | $ | 0.15 |   |

|                               |   |                |             |   | Number      of Warrants |   |
|------------------------------------|--------|---------------------|------------------|--------|-------------------------|--------|
|        Expiry      Date       |   | Exercise      Price |             |   | 2009                    |   |   | 2008 |   |
| April      12, 2008                |   | $                   | 0.15             |   |                    |   | - |   |   |   | 6,895,000 |   |
| November      17, 2008             |   | $                   | 0.15             |   |                    |   | - |   |   |   | 2,250,000 |   |
| March      27, 2010/March 27, 2011 |   | $                   | 0.15/$      0.25 |   |                    |   | 5,000,000 |   |   |   | - |   |

----

|                                                                                                                                 |   | 2009   |       |   | 2008   |   |       | 2007   |   |
|--------------------------------------------------------------------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|------------|--------|--------|
| Future      income taxes                                                                                                             |   |   |       |   |   |   |       |   |   |
|    Non-capital      loss carry-forwards for Canadian income tax purposes                                              |   | $      | 1,866,000  |   |   | $      | 1,690,000  |   |   | $ | 1,294,000 |   |
|    Capital      loss carry-forwards for     Canadian      income tax purposes                |   |   | 3,380,000  |   |   |   | 3,380,000  |   |   |   | 3,380,000 |   |
|    Excess      of undepreciated capital      cost      over net book value of equipment |   |   | 475,000    |   |   |   | 475,000    |   |   |   | 478,000 |   |
|    Excess      of tax value over net book      value      of mineral properties         |   |   | 5,555,000  |   |   |   | 5,387,000  |   |   |   | 6,410,000 |   |
|   Share      issue costs and other                                                                                         |   |   | 57,000     |   |   |   | 53,000     |   |   |   | - |   |
|                                                                                                                                 |   |   |       |   |   |   |       |   |   |   |   |   |
|                                                                                                                                 |   |   | 11,333,000 |   |   |   | 10,985,000 |   |   |   | 11,562,000 |   |
| Approximate      Canadian tax rate                                                                                                   |   |   | 26.00      | %      |   |   | 28.70      | %      |   |   | 34.12 | % |
|                                                                                                                                 |   |   |       |   |   |   |       |   |   |   |   |   |
|                                                                                                                                 |   |   | 2,946,580  |   |   |   | 3,152,695  |   |   |   | 3,944,954 |   |
| Valuation      allowance                                                                                                             |   |   | (2,946,580 | )      |   |   | (3,152,695 | )      |   |   | (3,944,954 | ) |
|                                                                                                                                 |   |   |       |   |   |   |       |   |   |   |   |   |
|                                                                                                                                 |   | $      | -          |   |   | $      | -          |   |   | $ | - |   |

| Available      to |   | Amount |      |
|-------------------|--------|--------|-----------|
|              |   |   |      |
| 2010              |   | $      | 118,000   |   |
| 2014              |   |   | 174,000   |   |
| 2015              |   |   | 166,000   |   |
| 2026              |   |   | 256,000   |   |
| 2027              |   |   | 338,000   |   |
| 2028              |   |   | 525,000   |   |
| 2029              |   |   | 289,000   |   |
|              |   |   |      |   |
|              |   | $      | 1,866,000 |   |

----

|                                                         |   | 2009   |     |   | 2008   |   |     | 2007   |   |
|--------------------------------------------------------------|--------|--------|----------|--------|--------|--------|----------|--------|--------|
|                                                         |   |   | 28.00    | %      |   |   | 34.12    | %      |   |   | 34.12 | % |
|                                                         |   |   |     |   |   |   |     |   |   |   |   |   |
| Income      tax benefit computed at Canadian statutory rates |   | $      | (92,630  | )      |   | $      | (196,107 | )      |   | $ | (80,803 | ) |
| Stock      based compensation                                |   |   | 2,900    |   |   |   | 19,245   |   |   |   | 44,800 |   |
| Other      permanent differences                             |   |   | -        |   |   |   | (2,168   | )      |   |   | (11,817 | ) |
| Temporary      differences not recognized in year            |   |   | 9,384    |   |   |   | 3,364    |   |   |   | (3,394 | ) |
| Change      in tax rates                                     |   |   | 302,744  |   |   |   | 779,486  |   |   |   | - |   |
| Change      in timing differences                            |   |   | (14,150  | )      |   |   | -        |   |   |   | - |   |
| Effect      of unrecognized future income tax asset          |   |   | (208,248 | )      |   |   | (603,820 | )      |   |   | (132,693 | ) |
|                                                         |   |   |     |   |   |   |     |   |   |   |   |   |
| Income      tax provision (recovery)                         |   | $      | -        |   |   | $      | -        |   |   | $ | (183,907 | ) |

|   | (a) | $90,293      (2008 - $112,018; 2007 - $104,697) was charged to the Company for office,      occupancy and miscellaneous costs, shareholder relations and promotion,      travel,  salaries and benefits, and administrative services paid      on behalf of the Company by Oniva International Services Corp. (“Oniva”),      a private company owned by the Company and five other reporting issuers      having common directors; |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | $30,000      (2008 - $30,000; 2007 - $12,500) was paid for management fees to a private      company controlled by a director and officer of the    Company; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | $60,136      (2008 - $10,048; 2007 - $Nil) was charged for geological management fees      to a private company controlled by a director of the Company. Of this      amount, $35,390 has been capitalized under mineral properties and $24,746      has been expensed under generalexploration; |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | $8,310      (2008 - $5,580; 2007 - $6,173) was charged to the Company for exploration      costs associated with the Company’s mineral properties in the state of      Nevada from Coral Gold Resources Ltd. (“Coral”), a public company with      common directors and management; |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (e) | $Nil      (2008 - $128,067; 2007 - $348,403) was charged to the Company for drilling      services by ABC Drilling Services Inc. (“ABC Drilling”), a private      drilling company owned by Oniva;and |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (f) | $Nil      (2008 - $35,610; 2007 - $29,706) was charged to the Company for      exploration services by Bralorne Gold Mines Ltd., a public company with      common directors and management. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 2009                        |   | Canada |      |   | US     |   |   | Mexico |   |   | Total  |   |
|-----------------------------|--------|--------|-----------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Current      assets         |   | $      | 432,950   |   |   | $      | 1,245  |   |   | $      | -      |   |   | $ | 434,195 |   |
| Due      from related party |   |   | 5,564     |   |   |   | -      |   |   |   | -      |   |   |   | 5,564 |   |
| Reclamation      deposits   |   |   | 32,629    |   |   |   | -      |   |   |   | -      |   |   |   | 32,629 |   |
| Mineral      properties     |   |   | 1,242,849 |   |   |   | 3      |   |   |   | 61,546 |   |   |   | 1,304,398 |   |
| Equipment                   |   |   | 3,258     |   |   |   | -      |   |   |   | -      |   |   |   | 3,258 |   |
|                        |   | $      | 1,717,250 |   |   | $      | 1,248  |   |   | $      | 61,546 |   |   | $ | 1,780,044 |   |

| 2008                        |   | Canada |      |   | US     |   |   | Mexico |   |   | Total |   |
|-----------------------------|--------|--------|-----------|--------|--------|--------|--------|--------|--------|--------|-------|--------|
| Current      assets         |   | $      | 295,561   |   |   | $      | -      |   |   | $      | -     |   |   | $ | 295,561 |   |
| Due      from related party |   |   | 5,564     |   |   |   | -      |   |   |   | -     |   |   |   | 5,564 |   |
| Reclamation      deposits   |   |   | 31,317    |   |   |   | -      |   |   |   | -     |   |   |   | 31,317 |   |
| Mineral      properties     |   |   | 1,365,718 |   |   |   | 3      |   |   |   | -     |   |   |   | 1,365,721 |   |
| Equipment                   |   |   | 4,072     |   |   |   | -      |   |   |   | -     |   |   |   | 4,072 |   |
|                        |   | $      | 1,702,232 |   |   | $      | 3      |   |   | $      | -     |   |   | $ | 1,702,235 |   |

----

| 2010 |   | $ | 19,469 |   |
|------|--------|---|--------|--------|
| 2011 |   | $ | 11,163 |   |
| 2012 |   | $ | 867    |   |

|   | (a) | Subsequent      to March 31, 2009, the Company granted incentive stock options for the      purchase of up to 500,000 common shares at a price of $0.25 per share      exercisable on or before April 28, 2014 to directors, officers,      consultants and employees of theCompany. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Subsequent      to March 31, 2009, the Company arranged a non-brokered private placement      of 6,500,000 units at a price of $0.16 per unit for gross proceeds of      $1,040,000. Each unit consists of one common share and one-half of one      non-transferrable share purchase warrant. Each whole warrant will entitle      the investor to purchase one additional common share with a term of one      year at an exercise price of $0.35. A finder’s fee payment equal to 7% of      total proceeds and issuance of broker’s warrants equal to 7% of total      proceeds will be incurred as part of the private placement. The broker’s      warrants will entitle the broker to purchase one additional common share      with a term of one year at an exercise price of  $0.35. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | Recent      US accounting pronouncements |
|--------|-----|------------------------------------------|

| (i)   | Statement      of Financial Accounting Standards (“SFAS”) No. 157, “Fair Value      Measurements”. The provisions of this standard are to provide guidance for      using fair value to measure assets and liabilities. The standard clarifies      methods for measuring items not actively traded and the principles that      fair value should be based upon when pricing an asset or liability. The      provisions of SFAS 157 are effective for financial statements issued for      fiscal years beginning after November 15, 2007, and interim periods      within those fiscal years. Earlier application is encouraged, provided      that the reporting entity has not yet issued financial statements for that      fiscal year. There is no impact on the Company’s financial      statements.  SFAS 157-2 defers the Statement’s effective date      for certain non-financial assets and liabilities to fiscal years beginning      after November 15, 2008, and interim periods within those years. The      adoption of SFAS 157-2 is not expected to have an impact on the Company’s      financial statements. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (a) | Recent US accounting      pronouncements (Continued) |
|--------|-----|------------------------------------------------------|

| (ii)   | SFAS      No. 141(R), “Business Combinations”, is to replace SFAS No. 141, “Business      Combinations”. The new statement retains the fundamental requirements in      SFAS 141 that the acquisition method of accounting be used for all      business combinations. The new standard defines the acquirer as the entity      that obtains control of one or more businesses in the business combination      and establishes the acquisition date as the date that the acquirer      achieves control. The new statement improves the comparability of the      information about business combinations provided in financial reports.      SFAS No.141(R) applies prospectively to business combinations for which      the acquisition date is on or after the beginning of the first annual      reporting period beginning on or after December 15, 2008.  The      adoption of this statement is not expected to have a significant impact on      the Company’s financial statements. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | In      May 2009, the FASB issued SFAS No. 165, “Subsequent Events”. The new      standard establishes general standards of accounting for disclosure of      events that occur after the balance sheet date but before the financial      statements are issued or are available to be issued. The Statement is      applicable to interim or annual financial periods ending after June 15,      2009. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | In      June 2009, the FASB issued SFAS No. 166, “Accounting for Transfers of      Financial Assets”. The new standard is intended to improve the relevance,      representational faithfulness and comparability of the information that a      reporting entity provides in its financial statements about a transfer of      financial assets; the effects of a transfer on its financial position,      financial performance, and cash flows; and a transferor’s continuing      involvement, if any, in transferred financial assets. This standard      addresses the practices that developed since the issuance of FASB      Statement No. 140, “Accounting for Transfers and Servicing of Financial      Assets and Extinguishments of Liabilities”, that are not consistent with      the original intent and key requirements of that Statement and the      concerns of financial statement users that many of the financial assets      (and related obligations) that have been de-recognized should continue to      be reported in the financial statements of transferors. The Statement must      be applied as of the beginning of each reporting entity’s first annual      reporting period that begins after November 15, 2009 for interim periods      within that first annual reporting period and for interim and annual      reporting periods thereafter. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | In      June 2009, the FASB issued SFAS No. 167, “Amendments to FASB      Interpretation No. 46(R)”. The new standard is to improve financial      reporting by enterprises involved with variable interest entities. SFAS      167 addresses the effects on certain provisions of FASB Interpretation No.      46, “Consolidation of Variable Interest Entities” (“Interpretation      46(R)”), as a result of the elimination of the qualifying special-purpose      entity concept in FASB Statement No. 166, “Accounting for Transfers of      Financial Assets”, and constituent concerns about the application of      certain key provisions of Interpretation 46(R), including those in which      the accounting and disclosures under the Interpretation do not always      provide timely and useful information about an enterprise’s involvement in      a variable interest entity. The Statement shall be effective as of the      beginning of each reporting entity’s first annual reporting period that      begins after November 15, 2009, for interim periods within that first      annual reporting period, and for interim and annual reporting periods      thereafter. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | (a) | Recent US accounting      pronouncements (Continued) |
|--------|-----|------------------------------------------------------|

| (vi)   | In      June 2009, the FASB issued SFAS No. 168, “The Hierarchy of Generally      Accepted Accounting Principles”. The new standard replaces SFAS 162 and      establishes the “FASB Accounting Standards Codification” as the source of      authoritative accounting principles recognized by the FASB to be applied      by non-governmental entities in the preparation of financial statements in      conformity with US GAAP. The Statement shall be effective for financial      statements issued for interim and annual periods ending after September      15, 2009. The Company is currently evaluating the impact of adoption of      SFAS 168 but does not expect adoption to have a material impact on results      of operations, cash flows or financialposition. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Mineral      properties |
|--------|-----|-------------------------|

|   | (c) | Contributed      surplus |
|--------|-----|--------------------------|

----

|   | (d) | Reconciliation      of total assets, liabilities and shareholders' equity at March      31: |
|--------|-----|---------------------------------------------------------------------------------------------|

|                                                                                                    |   | 2009   |        |   | 2008   |   |
|---------------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|--------|--------|
|                                                                                                    |   |   |        |   |   |   |
| Total      assets for Canadian GAAP                                                                     |   | $      | 1,780,044   |   |   | $      | 1,702,235 |   |
| Adjustments      to US GAAP                                                                             |   |   |        |   |   |   |   |   |
|    Capitalized      mineral expenditures                                                 |   |   | (1,271,885  | )      |   |   | (1,365,721 | ) |
| Total      assets for US GAAP                                                                           |   | $      | 508,159     |   |   | $      | 336,514 |   |
|                                                                                                    |   |   |        |   |   |   |   |   |
| Total      liabilities for Canadian GAAP                                                                |   | $      | 203,065     |   |   | $      | 199,424 |   |
| Adjustments      to US GAAP                                                                             |   |   | -           |   |   |   | - |   |
| Total      liabilities for US GAAP                                                                      |   | $      | 203,065     |   |   | $      | 199,424 |   |
|                                                                                                    |   |   |        |   |   |   |   |   |
| Total      capital stock for Canadian GAAP                                                              |   | $      | 22,941,591  |   |   | $      | 22,620,793 |   |
| Adjustments      to US GAAP                                                                             |   |   |        |   |   |   |   |   |
|     Flow-through      shares                                                        |   |   | 183,907     |   |   |   | 183,907 |   |
|     Congress      adjustment (Note 16(b))                                           |   |   | (1,696,550  | )      |   |   | (1,696,550 | ) |
|     Contributed      surplus (Note 16(c))                                           |   |   | 453,509     |   |   |   | 350,949 |   |
| Total      capital stock for US GAAP                                                                    |   | $      | 21,882,457  |   |   | $      | 21,459,099 |   |
|                                                                                                    |   |   |        |   |   |   |   |   |
| Total      deficit for Canadian GAAP                                                                    |   | $      | (21,801,345 | )      |   | $      | (21,470,523 | ) |
| Adjustments      to US GAAP                                                                             |   |   |        |   |   |   |   |   |
|    Exploration      adjustments                                                          |   |   | (1,271,885  | )      |   |   | (1,365,721 | ) |
|    Flow-through      shares                                                              |   |   | (183,907    | )      |   |   | (183,907 | ) |
|    Congress      adjustment (Note 16(b))                                                 |   |   | 1,696,550   |   |   |   | 1,696,550 |   |
| Total      deficit for US GAAP                                                                          |   | $      | (21,560,587 | )      |   | $      | (21,323,601 | ) |
|                                                                                                    |   |   |        |   |   |   |   |   |
| Accumulated      other comprehensive income per Canadian GAAP                                           |   | $      | (16,776     | )      |   | $      | 1,592 |   |
| Adjustments      to US GAAP                                                                             |   |   | -           |   |   |   | - |   |
| Other      comprehensive income per US GAAP                                                             |   | $      | (16,776     | )      |   | $      | 1,592 |   |
|                                                                                                    |   |   |        |   |   |   |   |   |
| Total      liabilities, capital stock and   shareholders’      deficit per US GAAP |   | $      | 508,159     |   |   | $      | 336,514 |   |

----

|   | (e) | Reconciliation      of loss reported for the years ended March31: |
|--------|-----|-------------------------------------------------------------------|

|                                                                                  |   | 2009   |       |   | 2008   |   |       | 2007   |   |
|---------------------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|------------|--------|--------|
|                                                                                  |   |   |       |   |   |   |       |   |   |
| Net      loss per Canadian GAAP                                                       |   | $      | (330,822   | )      |   | $      | (574,757   | )      |   | $ | (236,819 | ) |
| Adjustments      decreasing (increasing) net loss                                     |   |   |       |   |   |   |       |   |   |   |   |   |
| Flow-through      shares                                                              |   |   | -          |   |   |   | -          |   |   |   | (183,907 | ) |
| Stock-based      compensation included in mineral properties for year                 |   |   | -          |   |   |   | (17,870    | )      |   |   | - |   |
| Exploration      expenditures (recovery) for year                                     |   |   | 93,836     |   |   |   | (335,664   | )      |   |   | (463,136 | ) |
|                                                                                  |   |   |       |   |   |   |       |   |   |   |   |   |
| Net      loss per US GAAP                                                             |   | $      | (236,986   | )      |   | $      | (928,291   | )      |   | $ | (883,862 | ) |
|                                                                                  |   |   |       |   |   |   |       |   |   |   |   |   |
| Loss      per common share for Canadian GAAP - Basic                                  |   | $      | (0.01      | )      |   | $      | 0.01       | )      |   | $ | (0.01 | ) |
|                                                                                  |   |   |       |   |   |   |       |   |   |   |   |   |
| Loss      per common share for US GAAP                                                |   | $      | (0.01      | )      |   | $      | 0.02       | )      |   | $ | (0.02 | ) |
|                                                                                  |   |   |       |   |   |   |       |   |   |   |   |   |
| Weighted      average number of common shares outstanding (Canadian and US      GAAP) |   |   | 45,364,278 |   |   |   | 43,620,661 |   |   |   | 37,710,637 |   |

----

|   | (f) | Reconciliations      of statements of cash flows for the years ended March  31: |
|--------|-----|---------------------------------------------------------------------------------|

|                                                                                                                                        |   | 2009   |     |   | 2008   |   |     | 2007   |   |
|---------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|----------|--------|--------|
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |
| Net      cash used in operating activities of continuing operations in accordance      with Canadian GAAP                                   |   | $      | (267,655 | )      |   | $      | (533,399 | )      |   | $ | (315,411 | ) |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Adjustments      to net loss involving use of cash                                                                                          |   |   |     |   |   |   |     |   |   |   |   |   |
| Write-off      expenditures on mineral interests                                                                                            |   |   | (37,114  | )      |   |   | (293,470 | )      |   |   | (463,136 | ) |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Net      cash used in operating activities of continuing operations in accordance      with US GAAP                                         |   |   | (304,769 | )      |   |   | (826,869 | )      |   |   | (778,547 | ) |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Net      cash used in investing activities of continuing operations in accordance      with Canadian GAAP                                   |   |   | (70,939  | )      |   |   | (291,370 | )      |   |   | (453,510 | ) |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Reclassification      of expenditures on mineral property interests                                                                         |   |   | 37,114   |   |   |   | 293,470  |   |   |   | 463,136 |   |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Net      cash provided by (used in) investing activities of continuing operations      in accordance with US GAAP                           |   |   | (33,825  | )      |   |   | 2,100    |   |   |   | 9,626 |   |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Net      cash flows provided by financing activities of continuing operations in      accordance with   Canadian and US GAAP |   |   | 413,000  |   |   |   | 417,500  |   |   |   | 662,997 |   |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Net      increase (decrease) in cash in accordance with Canadian and US      GAAP                                                           |   |   | 74,406   |   |   |   | (407,269 | )      |   |   | (105,924 | ) |
| Cash,      beginning of year in accordance with Canadian and US GAAP                                                                        |   |   | 221,330  |   |   |   | 628,599  |   |   |   | 734,523 |   |
|                                                                                                                                        |   |   |     |   |   |   |     |   |   |   |   |   |
| Cash,      end of year in accordance with Canadian and US GAAP                                                                              |   | $      | 295,736  |   |   | $      | 221,330  |   |   | $ | 628,599 |   |

----

|                                                                                         | LEVON RESOURCES      LTD. |                                           |
|----------------------------------------------------------------------------------------------|---------------------------|------------------------------------------------|
|                                                                                         |                      |                                           |   |
| Date:      October 15,      2009           | By:                       | /s/ Ron      Tremblay      |   |
|                                                                                         |                      | Ron      Tremblay, Principal Executive Officer |   |
|                                                                                         |                      |                                           |   |
|                                                                                         |                      |                                           |   |

----

| Exhibit    Number |   | Name                                                                         |
|-------------------|--------|------------------------------------------------------------------------------|
| 1.1               |   | Memorandum of Levon      Resources Ltd. *                                    |
| 1.2               |   | Articles of Levon      Resources Ltd. *                                      |
| 12.1              |   | Certification of the      Principal Executive Officer                        |
| 12.2              |   | Certification of the      Principal Financial Officer                        |
| 13.1              |   | Certificate of      Principal Executive Officer under the Sarbanes-Oxley Act |
| 13.2              |   | Certificate of      Principal Financial Officer under the Sarbanes-Oxley Act |
|              |   |                                                                         |

----

| 1.   | I      have reviewed this annual report on Form 20-F of Levon Resources      Ltd.; |
|----------------|------------------------------------------------------------------------------------|

| 2.   | Based      on my knowledge, this report does not contain any untrue statement of a      material fact or omit to state a material fact necessary to make the      statements made, in light of the circumstances under which such statements      were made, not misleading with respect to the period covered by this      report; |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.   | Based      on my knowledge, the financial statements, and other financial information      included in this report, fairly present in all material respects the      financial condition, results of operations and cash flows of the      registrant as of, and for, the periods presented in this      report; |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | The      registrant's other certifying officer(s) and I are responsible for      establishing and maintaining disclosure controls and procedures (as      defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal      controls over financial reporting (as defined in Exchange Act Rules      13a-15(f) and 15d-15(f)) for the registrant and  have: |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | Designed      such disclosure controls and procedures, or caused such disclosure      controls and procedures to be designed under our supervision, to ensure      that material information relating to the registrant, including its      consolidated subsidiaries, is made known to us by others within those      entities, particularly during the period in which this report is being      prepared; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Designed      such internal control over financial reporting, or caused such internal      control over financial reporting to be designed under our supervision, to      provide reasonable assurance regarding the reliability of financial      reporting and the preparation of financial statements for external      purposes in accordance with generally accepted accounting      principals; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Evaluated      the effectiveness of the registrant's disclosure controls and procedures      and presented in this report our conclusions about the effectiveness of      the disclosure controls and procedures, as of the end of the period      covered by this report based on such evaluation;  and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | Disclosed      in this report any change in the registrant's internal control over      financial reporting that occurred during the registrant's most recent      annual report that has materially affected, or is reasonably likely to      materially affect, the registrant's internal control over financial      reporting; and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | The      registrant's other certifying officer(s) and I have disclosed, based on      our most recent evaluation of internal control over financial reporting,      to the registrant's auditors and the audit committee of the registrant's      board of directors (or persons performing the equivalent      functions): |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | All      significant deficiencies and material weaknesses in the design or      operation of internal control over financial reporting which are      reasonably likely to adversely affect the registrant's ability to record,      process, summarize and report financial information;  and |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Any      fraud, whether or not material, that involves management or other      employees who have a significant role in the registrant's internal control      over financial reporting. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Date:      October 15, 2009     | /s/ Ron      Tremblay                     |   |
|-----------------------------------------------------|------------------------------------------------|--------|
|                                                | Ron      Tremblay, Principal Executive Officer |   |

----

| 1.   | I      have reviewed this annual report on Form 20-F of Levon Resources      Ltd.; |
|----------------|------------------------------------------------------------------------------------|

| 2.   | Based      on my knowledge, this report does not contain any untrue statement of a      material fact or omit to state a material fact necessary to make the      statements made, in light of the circumstances under which such statements      were made, not misleading with respect to the period covered by this      report; |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.   | Based      on my knowledge, the financial statements, and other financial information      included in this report, fairly present in all material respects the      financial condition, results of operations and cash flows of the      registrant as of, and for, the periods presented in this      report; |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | The      registrant's other certifying officer(s) and I are responsible for      establishing and maintaining disclosure controls and procedures (as      defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal      controls over financial reporting (as defined in Exchange Act Rules      13a-15(f) and 15d-15(f)) for the registrant and  have: |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | Designed      such disclosure controls and procedures, or caused such disclosure      controls and procedures to be designed under our supervision, to ensure      that material information relating to the registrant, including its      consolidated subsidiaries, is made known to us by others within those      entities, particularly during the period in which this report is being      prepared; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Designed      such internal control over financial reporting, or caused such internal      control over financial reporting to be designed under our supervision, to      provide reasonable assurance regarding the reliability of financial      reporting and the preparation of financial statements for external      purposes in accordance with generally accepted accounting      principals; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Evaluated      the effectiveness of the registrant's disclosure controls and procedures      and presented in this report our conclusions about the effectiveness of      the disclosure controls and procedures, as of the end of the period      covered by this report based on such evaluation;  and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | Disclosed      in this report any change in the registrant's internal control over      financial reporting that occurred during the registrant's most recent      annual report that has materially affected, or is reasonably likely to      materially affect, the registrant's internal control over financial      reporting; and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | The      registrant's other certifying officer(s) and I have disclosed, based on      our most recent evaluation of internal control over financial reporting,      to the registrant's auditors and the audit committee of the registrant's      board of directors (or persons performing the equivalent      functions): |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | All      significant deficiencies and material weaknesses in the design or      operation of internal control over financial reporting which are      reasonably likely to adversely affect the registrant's ability to record,      process, summarize and report financial information;  and |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Any      fraud, whether or not material, that involves management or other      employees who have a significant role in the registrant's internal control      over financial reporting. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Date:      October 15, 2009        | /s/      Lisa Sharp                          |   |
|-----------------------------------------------------------------------|----------------------------------------------|--------|
|                                                                  | Lisa      Sharp, Principal Financial Officer |   |

----

| (1)   | the      Report fully complies with the requirements of section 13(a) or 15(d) of      the Securities Exchange Act of 1934;and |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------|

| (2)   | the      information contained in the Report fairly presents, in all material      respects, the financial condition and results of operations of the      Company. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Date:      October 15, 2009   | /s/ Ron Tremblay                          |   |
|-----------------------------------------|------------------------------------------------|--------|
|                                    | Ron      Tremblay, Principal Executive Officer |   |
|                                    |                                           |   |

----

| (3)   | the      Report fully complies with the requirements of section 13(a) or 15(d) of      the Securities Exchange Act of 1934;and |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------|

| (4)   | the      information contained in the Report fairly presents, in all material      respects, the financial condition and results of operations of the      Company. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Date:      October 15, 2009   | /s/ Lisa Sharp                |   |
|-----------------------------------------|----------------------------------------------|--------|
|                                    | Lisa      Sharp, Principal Financial Officer |   |

----