| James Stafford                                                                                                                                                                         |   |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|
|  James Stafford, Inc.Chartered AccountantsSuite 350 – 1111 Melville StreetVancouver, British ColumbiaCanada V6E 3V6Telephone +1 604 669 0711Facsimile +1 604 669 0754  |
|  James Stafford, Inc.Chartered AccountantsSuite 350 – 1111 Melville StreetVancouver, British ColumbiaCanada V6E 3V6Telephone +1 604 669 0711Facsimile +1 604 669 0754  |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                    |   | As at30 September 2010 |   | As at30 September 2009 |
|---------------------------------------------------------|--------|------------------------|--------|------------------------|
|                                                    |   | $                      |   | $                      |
| Assets                                                  |   |                   |   |                   |
|                                                    |   |                   |   |                   |
| Current                                                 |   |                   |   |                   |
| Cash and cash equivalents                               |   | 1,907                  |   | 1,013                  |
|                                                    |   |                   |   |                   |
| Liabilities                                             |   |                   |   |                   |
|                                                    |   |                   |   |                   |
| Current                                                 |   |                   |   |                   |
| Accounts payable and accrued liabilities (Note 6)       |   | 20,374                 |   | 16,501                 |
| Convertible debentures (Note 7)                         |   | 17,118                 |   | 15,616                 |
| Demand loans (Notes 8 and 10)                           |   | 35,184                 |   | -                      |
| Due to related parties (Note 9)                         |   | 22,500                 |   | 8,500                  |
|                                                    |   |                   |   |                   |
|                                                    |   | 95,176                 |   | 40,617                 |
|                                                    |   |                   |   |                   |
| Stockholders’ deficiency                          |   |                   |   |                   |
| Capital stock (Note 11)                                 |   |                   |   |                   |
| Authorized                                              |   |                   |   |                   |
| 225,000,000 of common shares, par value $0.001          |   |                   |   |                   |
| Issued and outstanding                                  |   |                   |   |                   |
| 2010 – 42,168,837 common shares, par value $0.001 |   |                   |   |                   |
| 2009 – 42,168,837 common shares, par value $0.001 |   | 42,169                 |   | 42,169                 |
| Additional paid-in capital                              |   | 1,321,852              |   | 1,297,852              |
| Shares to be issued                                     |   | 7,500                  |   | -                      |
| Deficit, accumulated during the development stage       |   | (1,464,790)            |   | (1,379,625)            |
|                                                    |   |                   |   |                   |
|                                                    |   | (93,269)               |   | (39,604)               |
|                                                    |   |                   |   |                   |
|                                                    |   | 1,907                  |   | 1,013                  |

1

|                                                                    | For the period from the date of inception on 5 December 2003 to 30 September 2010(Unaudited) |       | For the year ended 30 September 2010 |       | For the year ended 30 September 2009 |       | For the year ended 30 September 2008 |
|-------------------------------------------------------------------------|----------------------------------------------------------------------------------------------|------------|--------------------------------------|------------|--------------------------------------|------------|--------------------------------------|
|                                                                    | $                                                                                            |       | $                                    |       | $                                    |       | $                                    |
|                                                                    |                                                                                         |       |                                 |       |                                 |       |                                 |
| Expenses                                                                |                                                                                         |       |                                 |       |                                 |       |                                 |
| Bank charges and interest (Notes 7 and 8)                               | 30,812                                                                                       |       | 13,134                               |       | 16,455                               |       | 843                                  |
| Consulting (Note 10)                                                    | 138,467                                                                                      |       | -                                    |       | 52,000                               |       | 78,967                               |
| Exploration and development (recovery) (Note 5)                    | 13,028                                                                                       |       | -                                    |       | (342)                                |       | 7,245                                |
| Filing fees                                                             | 17,200                                                                                       |       | 1,988                                |       | 9,222                                |       | 4,456                                |
| Investor relations (Note 10)                                            | 84,992                                                                                       |       | -                                    |       | 25,600                               |       | 59,392                               |
| Legal and accounting (Note 10)                                          | 194,595                                                                                      |       | 40,090                               |       | 58,533                               |       | 64,407                               |
| Licences and permits                                                    | 3,415                                                                                        |       | -                                    |       | -                                    |       | 2,316                                |
| Management fees (Notes 10, 11 and 13)                                   | 85,000                                                                                       |       | 18,000                               |       | 22,000                               |       | 9,000                                |
| Rent (Notes 10, 11 and 13)                                              | 32,700                                                                                       |       | 6,000                                |       | 7,700                                |       | 7,000                                |
| Transfer agent fees                                                     | 20,254                                                                                       |       | 3,432                                |       | 5,233                                |       | 9,060                                |
| Travel, entertainment and office                                        | 26,049                                                                                       |       | 2,539                                |       | 2,200                                |       | 20,910                               |
| Foreign exchange gain                                                   | (18)                                                                                         |       | (18)                                 |       | -                                    |       | -                                    |
| Write-down of mineral property acquisition costs (Note 5)               | 811,696                                                                                      |       | -                                    |       | 805,321                              |       | -                                    |
| Write-down of website development costs (Note 4)                        | 6,600                                                                                        |       | -                                    |       | 6,600                                |       | -                                    |
|                                                                    |                                                                                         |       |                                 |       |                                 |       |                                 |
| Net loss for the period                                                 | (1,464,790)                                                                                  |       | (85,165)                             |       | (1,010,522)                          |       | (263,596)                            |
|                                                                    |                                                                                         |       |                                 |       |                                 |       |                                 |
| Basic and diluted loss per common share                                 |                                                                                         | (0.002)    |                                 | (0.023)    |                                 | (0.005)    |
|                                                                    |                                                                                         |       |                                 |       |                                 |       |                                 |
| Weighted average number of common shares used in per share calculations |                                                                                         | 42,168,837 |                                 | 43,683,175 |                                 | 56,307,430 |

|                                                                                                 |  For the period from the date of inception on 5 December 2003 to 30 September 2010(Unaudited) |        | For the year ended 30 September 2010 |     | For the year ended 30 September 2009 |        | For the year ended 30 September 2008 |
|------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|-------------|--------------------------------------|----------|--------------------------------------|-------------|--------------------------------------|
|                                                                                                 |                                                                                               | $           |                                 | $        |                                 | $           |                                 | $ |
| Cash flows used in operating activities                                                              |                                                                                               |        |                                 |     |                                 |        |                                 |   |
| Net loss for the period                                                                              |                                                                                               | (1,464,790) |                                 | (85,165) |                                 | (1,010,522) |                                 | (263,596) |
| Adjustments to reconcile loss to net cash used by operating activities                               |                                                                                               |        |                                 |     |                                 |        |                                 |   |
|    Accrued interest – convertible debentures (Note 7)                           | 17,118                                                                                             |        | 1,502                                |     | 15,616                               |        | -                                    |
|    Accrued interest – demand loan (Notes 8 and 14)                              | 10,184                                                                                             |        | 10,184                               |     | -                                    |        | -                                    |
|    Contributions to capital by related   parties (Notes 10, 11 and 13) |                                                                                               | 149,500     |                                 | 24,000   |                                 | 65,500      |                                 | 12,000 |
|    Write-down of mineral property acquisition    costs (Note 5)   |                                                                                               | 811,696     |                                 | -        |                                 | 805,321     |                                 | - |
|    Write-down of website development costs  (Note 4)                        |                                                                                               | 6,600       |                                 | -        |                                 | 6,600       |                                 | - |
| Changes in operating assets and liabilities                                                          |                                                                                               |        |                                 |     |                                 |        |                                 |   |
|    (Increase) decrease in prepaid expenses                                            |                                                                                               | -           |                                 | -        |                                 | 800         |                                 | (800) |
| Increase (decrease) in accounts payable and accrued liabilities                                      |                                                                                               | 20,374      |                                 | 3,873    |                                 | (1,621)     |                                 | 13,445 |
| Increase (decrease) in due to related parties                                                        |                                                                                               | 22,500      |                                 | 14,000   |                                 | (19,000)    |                                 | 27,500 |
|                                                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |   |
|                                                                                                 |                                                                                               | (426,818)   |                                 | (31,606) |                                 | (137,306)   |                                 | (211,451) |
| Cash flows used in investing activities                                                              |                                                                                               |        |                                 |     |                                 |        |                                 |   |
| Acquisition of Silverdale, net of cash received (Note 3)                                             | (140,221)                                                                                          |        | -                                    |     | -                                    |        | (140,221)                            |
| Mineral property acquisition costs (Note 5)                                                          |                                                                                               | (21,375)    |                                 | -        |                                 | -           |                                 | (15,000) |
| Website development costs (Note 4)                                                                   |                                                                                               | (6,600)     |                                 | -        |                                 | -           |                                 | (6,600) |
|                                                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |   |
|                                                                                                 |                                                                                               | (168,196)   |                                 | -        |                                 | -           |                                 | (161,821) |
| Cash flows from financing activities                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |   |
| Convertible debenture (Note 7)                                                                       |                                                                                               | 15,000      |                                 | -        |                                 | 15,000      |                                 | - |
| Demand loan (Note 8)                                                                                 |                                                                                               | 32,500      |                                 | 32,500   |                                 | -           |                                 | - |
| Share subscriptions received in advance (Note 11)                                                    |                                                                                               | -           |                                 | -        |                                 | (422,176)   |                                 | 422,176 |
| Share issue costs                                                                                    |                                                                                               | (1,255)     |                                 | -        |                                 | -           |                                 | (1,255) |
| Common shares issued for cash (Note 11)                                                              |                                                                                               | 550,677     |                                 | -        |                                 | 455,676     |                                 | - |
| Common shares redeemed (Note 11)                                                                     |                                                                                               | (1)         |                                 | -        |                                 | -           |                                 | - |
|                                                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |   |
|                                                                                                 |                                                                                               | 596,921     |                                 | 32,500   |                                 | 48,500      |                                 | 420,921 |
|                                                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |
| Increase (decrease) in cash and cash equivalents                                                     | 1,907                                                                                              |        | 894                                  |     | (88,806)                             |        | 47,649                               |
|                                                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |   |
| Cash and cash equivalents, beginning of period                                                       | -                                                                                                  |        | 1,013                                |     | 89,819                               |        | 42,170                               |
|                                                                                                 |                                                                                               |        |                                 |     |                                 |        |                                 |   |
| Cash and cash equivalents, end of period                                                             |                                                                                               | 1,907       |                                 | 1,907    |                                 | 1,013       |                                 | 89,819 |

|                                                                                               | Number of shares issued | Capital stock |  Shares to be issued / Additional paid-in capital | Deficit, accumulated during the development stage | Stockholder’s equity (deficiency) |
|----------------------------------------------------------------------------------------------------|-------------------------|---------------|--------------------------------------------------------|---------------------------------------------------|-----------------------------------------|
|                                                                                               |                    |          |                                                   | $                                                 |                                    | $ |   | $ |   | $ |
|                                                                                               |                    |          |                                                   |                                              |                                    |   |   |   |   |   |
| Balance at 5 December 2003 (inception)                                                             |                    | -             |                                                   | -                                                 |                                    | - |   | - |   | - |
| Common shares issued for cash ($0.33 per share) (Note 11)                                          |                    | 3             |                                                   | -                                                 |                                    | 1 |   | - |   | 1 |
| Net loss for the period                                                                            |                    | -             |                                                   | -                                                 |                                    | - |   | (450) |   | (450) |
|                                                                                               |                    |          |                                                   |                                              |                                    |   |   |   |   |   |
| Balance at 30 September 2004                                                                       |                    | 3             |                                                   | -                                                 |                                    | 1 |   | (450) |   | (449) |
| Net loss for the year                                                                              |                    | -             |                                                   | -                                                 |                                    | - |   | (300) |   | (300) |
|                                                                                               |                    |          |                                                   |                                              |                                    |   |   |   |   |   |
| Balance at 30 September 2005                                                                       |                    | 3             |                                                   | -                                                 |                                    | 1 |   | (750) |   | (749) |
| Common shares issued for cash ($0.0003 per share) (Note 11)                                        |                    | 30,000,000    |                                                   | 30,000                                            |                                    | (20,000) |   | - |   | 10,000 |
| Common shares redeemed – cash ($0.33 per share) (Note 11)                                    |                    | (3)           |                                                   | -                                                 |                                    | (1) |   | - |   | (1) |
| Contributions to capital by   related parties – expenses(Notes 10, 11 and 13) |                    | -             |                                                   | -                                                 |                                    | 24,000 |   | - |   | 24,000 |
| Net loss for the year                                                                              |                    | -             |                                                   | -                                                 |                                    | - |   | (40,190) |   | (40,190) |
|                                                                                               |                    |          |                                                   |                                              |                                    |   |   |   |   |   |
| Balance at 30 September 2006                                                                       |                    | 30,000,000    |                                                   | 30,000                                            |                                    | 4,000 |   | (40,940) |   | (6,940) |
| Contributions to capital by related parties – expenses                                       |                    | -             |                                                   | -                                                 |                                    | 24,000 |   | - |   | 24,000 |
| Common shares issued for cash ($0.003 per share) (Note 11)                                         |                    | 25,500,000    |                                                   | 25,500                                            |                                    | 59,500 |   | - |   | 85,000 |
| Net loss for the year                                                                              |                    | -             |                                                   | -                                                 |                                    | - |   | (64,567) |   | (64,567) |
|                                                                                               |                    |          |                                                   |                                              |                                    |   |   |   |   |   |
| Balance at 30 September 2007                                                                       |                    | 55,500,000    |                                                   | 55,500                                            |                                    | 87,500 |   | (105,507) |   | 37,493 |
| Contributions to capital by related parties – expenses (Notes 10, 11 and 13)                 |                    | -             |                                                   | -                                                 |                                    | 12,000 |   | - |   | 12,000 |
| Share subscriptions received in advance                                                            |                    | -             |                                                   | -                                                 |                                    | 422,176 |   | - |   | 422,176 |
| Share issue costs                                                                                  |                    | -             |                                                   | -                                                 |                                    | (1,255) |   | - |   | (1,255) |
| Common shares issued for business acquisition ($0.45 per share) (Notes 3, 11 and 13)               |                    | 4,334,000     |                                                   | 4,334                                             |                                    | 645,766 |   | - |   | 650,100 |
| Common shares returned to treasury and cancelled (Notes 11 and 13)                                 |                    | (15,000,000)  |                                                   | (15,000)                                          |                                    | 15,000 |   | - |   | - |
| Net loss for the year                                                                              |                    | -             |                                                   | -                                                 |                                    | - |   | (263,596) |   | (263,596) |
|                                                                                               |                    |          |                                                   |                                              |                                    |   |   |   |   |   |
| Balance at 30 September 2008                                                                       |                    | 44,834,000    |                                                   | 44,834                                            |                                    | 1,181,187 |   | (369,103) |   | 856,918 |

|                                                                               | Number of shares issued | Capital stock | Shares to be issued / Additional paid-in capital | Deficit, accumulated during the development stage | Stockholders’ deficiency |
|------------------------------------------------------------------------------------|-------------------------|---------------|--------------------------------------------------|---------------------------------------------------|--------------------------------|
|                                                                               |                    |          |                                             | $                                                 |                           | $ |   | $ |   | $ |
|                                                                               |                    |          |                                             |                                              |                           |   |   |   |   |   |
| Balance at 30 September 2008                                                       |                    | 44,834,000    |                                             | 44,834                                            |                           | 1,181,187 |   | (369,103) |   | 856,918 |
| Contributions to capital by related parties – expenses (Notes 10, 11 and 13) |                    | -             |                                             | -                                                 |                           | 65,500 |   | - |   | 65,500 |
| Share subscriptions received in advance                                            |                    | -             |                                             | -                                                 |                           | (422,176) |   | - |   | (422,176) |
| Common shares issued for cash ($0.25 per share) (Note 11)                          |                    | 950,000       |                                             | 950                                               |                           | 236,550 |   | - |   | 237,500 |
| Common shares issued for cash ($0.45 per share) (Note 11)                          |                    | 484,837       |                                             | 485                                               |                           | 217,691 |   | - |   | 218,176 |
| Common shares returned to treasury and cancelled (Notes 11 and 13)                 |                    | (4,100,000)   |                                             | (4,100)                                           |                           | 4,100 |   | - |   | - |
| Intrinsic value of beneficial conversion feature (Notes 7 and 13)                  |                    | -             |                                             | -                                                 |                           | 15,000 |   | - |   | 15,000 |
| Net loss for the year                                                              |                    | -             |                                             | -                                                 |                           | - |   | (1,010,522) |   | (1,010,522) |
|                                                                               |                    |          |                                             |                                              |                           |   |   |   |   |   |
| Balance at 30 September 2009                                                       |                    | 42,168,837    |                                             | 42,169                                            |                           | 1,297,852 |   | (1,379,625) |   | (39,604) |
| Contributions to capital by related parties – expenses (Notes 10, 11 and 13) |                    | -             |                                             | -                                                 |                           | 24,000 |   | - |   | 24,000 |
| Shares to be issued (Note 11)                                                      |                    | -             |                                             | -                                                 |                           | 7,500 |   | - |   | 7,500 |
| Net loss for the year                                                              |                    | -             |                                             | -                                                 |                           | - |   | (85,165) |   | (85,165) |
|                                                                               |                    |          |                                             |                                              |                           |   |   |   |   |   |
| Balance at 30 September 2010                                                       |                    | 42,168,837    |                                             | 42,169                                            |                           | 1,329,352 |   | (1,464,790) |   | (93,269) |

| 1.   | Nature, Basis of Presentation and Continuance of Operations |
|----------------|-------------------------------------------------------------|

| 2.   | Significant Accounting Policies |
|----------------|---------------------------------|

| 3.   | Acquisition |
|----------------|-------------|

| 4.   | Website Development Costs |
|----------------|---------------------------|

|                          |   |       |  Accumulated amortization / Impairment |              | Net Book Value |
|-------------------------------|--------|------------|---------------------------------------------|-------------------|----------------|
|                          |   |  Cost |                                        | 30 September 2010 |           | 30 September 2009 |
|                          |   | $          |                                        | $                 |           | $ |   | $ |
|                          |   |       |                                        |              |           |   |   |   |
| Website and development costs |   | 6,600      |                                        | (6,600)           |           | - |   | - |
|                          |   |       |                                        |              |           |   |   |   |
|                          |   | 6,600      |                                        | (6,600)           |           | - |   | - |

| 5. | Mineral Property Costs |
|----|------------------------|

|                           |   |  Payments$ |  Shares | Exploration expenditures$ |
|--------------------------------|--------|-----------------|--------------|---------------------------|
| Upon execution of agreement    | (paid) |            | 50,000       |                      | 100,000 |   | 100,000 |
| On or before 14 September 2009 |   |            | 100,000      |                      | 150,000 |   | 200,000 |
| On or before 14 September 2010 |   |            | 350,000      |                      | 250,000 |   | 300,000 |
| On or before 14 September 2011 |   |            | 500,000      |                      | 500,000 |   | 400,000 |
|                           |   |            |         |                      |   |   |   |
| Total                          |   |            | 1,000,000    |                      | 1,000,000 |   | 1,000,000 |

| i.   | $120,000 upon the signing of the agreement (paid); |
|----------------|----------------------------------------------------|

| ii.   | $150,000 on or before 30 April 2008 (paid); and |
|-----------------|-------------------------------------------------|

| iii.   | $230,000 on or before 30 May 2008. |
|------------------|------------------------------------|

| 6.   | Accounts Payable and Accrued Liabilities |
|----------------|------------------------------------------|

| 7.   | Convertible Debentures |
|----------------|------------------------|

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | Balance at30 September2010 |   | Balance at30 September 2009 |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------|--------|-----------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | $                          |   | $                           |
| Three convertible debentures issued to three unrelated parties bearing interest at a rate of 10% per annum on any unpaid principle balances, unsecured, and having no fixed terms of repayment. The holders of the convertible debentures have the right to convert any portion of the unpaid principle and/or accrued interest into restricted common shares of the Company at any time within thirty-six months from the issue date on the basis of $0.0025 per common share for each dollar of principle and/or interest due and payable. The Company may repay principal amounts due at any time without premium or penalty.  During the year ended 30 September 2010, the Company accrued interest expense of $1,502 (2009 – $15,616, of which $15,000 is related to amortization of debt discount, 2008 - $Nil) (Note 13). The balance as at 30 September 2010 consists of principal and accrued interest of $15,000 (2009 – $15,000) and $2,118 (2009 – $616), respectively. |   | 17,118                     |   | 15,616                      |

| 8.   | Demand Loans |
|----------------|--------------|

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | Balance at30 September2010 |   | Balance at30 September 2009 |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------|--------|-----------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | $                          |   | $                           |
| During the year ended 30 September 2010, the Company accepted a demand loan from an unrelated party bearing interest at a rate of 10% per annum on any unpaid principle balances.  The demand loan is unsecured and has no fixed terms of repayment. The Company may repay principal amounts due at any time without premium or penalty. In addition, the Company will issue 250,000 common shares in the Company upon repayment of the loan (Notes 11 and 14). During the year ended 30 September 2010, the Company accrued interest expense of $10,089 (2009 – $Nil, 2008 - $Nil), of which $7,500 is related to the value of 250,000 common shares to be issued (Note 13). The balance as at 30 September 2010 consists of principal of $30,000 (2009 – $Nil) and accrued interest of $2,589 (2009 – $Nil). |   | 32,589                     |   | -                           |
|  During the year ended 30 September 2010, the Company accepted a demand loan in the amount of $2,500 from a shareholder, director and officer of the Company bearing interest at a rate of 10% per annum on any unpaid principal balance.  The demand loan is unsecured and has no fixed terms of repayment. The Company may repay principal amounts due at any time without premium or penalty. During the year ended 30 September 2010, the Company accrued interest expense of $95 (2009 – $Nil, 2008 - $Nil) (Note 13). The balance as at 30 September 2010 consists of principal of $2,500 (2009 – $Nil) and accrued interest of $95 (2009 – $Nil) (Note 10).                                                                                                                                        |   | 2,595                      |   | -                           |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | 35,184                     |   | -                           |

| 9.   | Due to Related Parties |
|----------------|------------------------|

| 10.   | Related Party Transactions |
|-----------------|----------------------------|

| 11.   | Capital Stock |
|-----------------|---------------|

| 12.   | Income Taxes |
|-----------------|--------------|

|                                                                    |    | For theyear ended30 September 2010 |      | For theyear ended30 September 2009 |    | For theyear ended30 September 2008 |
|-------------------------------------------------------------------------|---------|------------------------------------|-----------|------------------------------------|---------|------------------------------------|
|                                                                    |    | $                                  |      | $                                  |    | $                                  |
|                                                                    |    |                               |      |                               |    |                               |
| Deferred tax asset attributable to:                                     |    |                               |      |                               |    |                               |
| Current operations                                                      |    | 28,956                             |      | 343,577                            |    | 89,623                             |
|   Contributions to capital by related parties                 | (8,160) |                               | (22,270)  |                               | (4,080) |
|   Write-down of mineral property  acquisition costs | -       |                               | (268,709) |                               | -       |
| Less: Change in valuation allowance                                     |    | (20,796)                           |      | (52,598)                           |    | (85,543)                           |
|                                                                    |    |                               |      |                               |    |                               |
| Net refundable amount                                                   |    | -                                  |      | -                                  |    | -                                  |

|                                       |   | As at30 September 2010 |   | As at30 September 2009 |
|--------------------------------------------|--------|------------------------|--------|------------------------|
|                                       |   | $                      |   | $                      |
|                                       |   |                   |   |                   |
| Net income tax operating loss carryforward |   | 1,464,790              |   | 1,379,625              |
|                                       |   |                   |   |                   |
| Statutory federal income tax rate          |   | 34%                    |   | 34%                    |
| Other reconciling items, net               |   | -21.81%                |   | -22.57%                |
| Effective income tax rate                  |   | 0%                     |   | 0%                     |
|                                       |   |                   |   |                   |
| Deferred tax assets                        |   | 178,489                |   | 157,693                |
| Less: Valuation allowance                  |   | (178,489)              |   | (157,693)              |
|                                       |   |                   |   |                   |
| Net deferred tax asset                     |   | -                      |   | -                      |

| 13.   | Supplemental Disclosures with Respect to Cash Flows |
|-----------------|-----------------------------------------------------|

|                                       | For the period from the date of inception on 5 December 2003 to 30 September 2010(Unaudited) | For the yearended 30 September 2010 | For theyearended 30 September 2009 | For theyearended 30 September 2008 |
|--------------------------------------------|----------------------------------------------------------------------------------------------|-------------------------------------|------------------------------------|------------------------------------|
|                                       | $                                                                                            | $                                   | $                                  | $                                  |
|                                       |                                                                                         |                                |                               |                               |
| Cash paid during the year for interest     | -                                                                                            | -                                   | -                                  | -                                  |
| Cash paid during the year for income taxes | -                                                                                            | -                                   | -                                  | -                                  |

| 14.   | Commitment |
|-----------------|------------|

| 15.   | Subsequent Event |
|-----------------|------------------|