Document:

THIS PURCHASE AGREEMENT BETWEEN:

WESTERN EXPLORATION INC. 8400 E. Crescent
Pkwy #600 Greenwood Village, CO
USA
80111
Attention: Peter Banysch
------------------------

and

BROCK MCMICHAEL 3208, 13827 - 100th
Avenue Surrey, BC
V3T 5L2

                   RE: SALE AND ACQUISITION OF MINERAL CLAIMS,
                      SOUTHWESTERN BRITISH COLUMBIA, CANADA

The following terms and conditions are applicable for the sale of 36 mineral
claim units near Chilliwack, British Columbia, Canada by Brock McMichael (herein
after referred to as "BM") to Western Exploration Inc. (herein after referred to
as "WESTEX"). Both BM and WESTEX agree to the following:

a)   BM will transfer title to thirty-six (36) mineral claim units listed in
     Exhibit "A" and outlined in Exhibit "B" to WESTEX within 60 days of this
     agreement. These claims will be contiguous hard rock mineral claims
     covering almost 2,300 acres.

b)   BM will provide to WESTEX within 60 days of this agreement a geological
     report summarizing the mineral claims, particulars of recent sampling and
     geological investigation, copies of all records, a budget for further work
     and recommendations, and all other information and material relevant to a
     geological report requisite for filing with the regulatory bodies.

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c)   BM will ensure that the claims shall be maintained in good standing for up
     to 24 months from the date of claim recording and can provide geological
     consulting services for the claims.

d)   BM shall sell 100% (one hundred percent) interest in the claims to WESTEX
     subject to a 2 1/2% Net Smelter Royalty (NSR) and a 7 1/2% Gross Rock
     Royalty (GRR) for a total of $32,000.00. 1 1/2% of the NSR can be acquired
     for $1.0 million within 12 months from commencement of commercial
     production. Advance royalties of $25,000 shall be paid annually commencing
     36 months from date of signature of this agreement.

e)   If WESTEX fails to make the advance royalty payments on the 36 month
     anniversary of the signature of this agreement, as described in (d) above,
     then WESTEX agrees to transfer ownership of the subject mining claims to BM
     within no less than a 10 day period.

WESTEX shall:

i)   Pay $12,000 to BM on or before February 15, 2004 and a further $20,000 on
     or before August 15, 2005.

ii)  Provide the name and number of an individual or corporate Free Miner
     Certificate to transfer the claims into.

By signature witnessed below, the undersigned hereby acknowledge that they have
read and understood and agree to the aforementioned terms. Dated at Vancouver,
British Columbia, Canada this            day of , 2004.

------------------------------------          ----------------------------------
per Western Exploration Inc.                            Brock McMichael

Witness                                       Witness

------------------------------------          ----------------------------------

------------------------------------          ----------------------------------
Print Name                                    Print Name

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Footnotes to Agreement

1)   All dollar figures are denoted in the currency of the United States of
     America.

2)   The total to be paid by WESTEX to BM or third parties for the claims is
     $32,000 inclusive of assessment.

3)   To maintain claims in British Columbia annual assessment work is required
     of $100 (CDN) in year 1-3 per claim, followed by $200 per claim thereafter.
     (One metric claim unit = 25 hectares). There is a filing fee of $10 per
     $100 expended per claim. Therefore, if 48 units then $4,800 (CDN) of work
     plus $480 of filing fees in years 1-3. In year 3 and following, for 48
     units, $9,600 (CDN) of work plus filing fees of $960.

4)   Attached are definitions of NSR and GRR.

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ADVANCE ROYALTY PAYMENTS means from time to time payments to the Optionor by the
Optionee before Commencement of Commercial Production of Minerals.

COMMENCEMENT OF COMMERCIAL PRODUCTION, with respect to Minerals or Rock, as the
case may be, means:

     (a)  if a mill is located on the subject property, the last day of a period
          of forty (40) consecutive days in which, for not less than thirty (30)
          days, the mill processed Mineral or Rock from the Property at 60% of
          its rated capacity; or

     (b)  if no Mill is located on the Property, the last day of the first
          period of thirty (30) consecutive days during which Mineral or Rock
          has been shipped from the Property on a reasonably regular basis for
          the purpose of earning revenues; or

     (c)  with respect to Rock, following the 30th day of extraction for
          commercial use.

No period of time during which ore or concentrate is shipped from the Property
for testing purposes or during which milling operations are undertaken as
initial tune-up will be taken into account in determining the date of
Commencement of Commercial Production.

GROSS ROCK REVENUE means, for any period, the gross proceeds received by the
Optionee in that period from the sale of Rock produced from the Property less
any treatment, beneficiation or other changes or penalties deducted by the
purchase to whom such Rock is shipped, less:

     (a)  all costs of the Optionee associated with such sales involving
          handling, weighing, sampling, determination of water content,
          insuring, packaging and transporting Rock;

     (b)  the costs of marketing, including rebates or allowances made or given;
          and

     (c)  any sales, severance, gross production, privilege or similar taxes
          (other than income taxes or mining taxes based on income).

MINERALS means the ores or concentrates of minerals, as that term is defined in
the Mineral Tenure Act (British Columbia), and the rock that is part of such
ores and concentrates sold by the Optionee.

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NET SMELTER RETURN means, for any period the difference between:

     (a)  the sum of:

          (i)  the gross proceeds received by the Optionee in that period from
               the sale of Minerals produced from the property to a party that
               is arm's length to the Optionee, or that would have been received
               by the Optionee if the purchase of the Minerals were at arm's
               length to the Optionee; and

          (ii) in the case of the sale of Minerals that are ores that have not
               been processed in a Mill, the estimated cost that would have been
               incurred in crushing and beneficiating such Minerals in a Mill as
               agreed by the parties or otherwise determined by a competent
               mining or metallurgical engineer;

and

     (b)  the sum of:

          (i)  all amounts paid on account of Advance Royalty Payments;

          (ii) any insurance costs in connection with shipping such Minerals;

          (iii) any costs of transport;

          (iv) all costs of the Optionee associated with such sales involving
               handling, weighing, sampling, determination of water content,
               insuring and packaging;

          (v)  the costs of marketing, adjusted for rebates or allowance made or
               given;

          (vi) any sales, severance, gross production, privilege or similar
               taxes (other than income taxes or mining taxes based on income)
               assessed on or in connection with the Minerals or the value
               thereof; and

          (vii) any treatment, beneficiation or other charges or penalties
               deducted by any smelter or refinery to which such Minerals are
               shipped that have not been previously deducted in the computation
               of gross proceeds.

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NET SMELTER ROYALTY means the percentage of Net Smelter Return from time to time
payable to the Optionor after Commencement of Commercial Production from the
sale of Minerals.

ROCK means all substances that are mined from the Property and sold by the
Optionee that are not Minerals.

ROCK ROYALTY means the amount of royalty from time to time payable to the
Optionor after Commencement of Commercial Production from the sale of Rock
pursuant to Section 11.06.

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                                   EXHIBIT A:

                                 Mineral Claims

<PAGE>

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                                   EXHIBIT B:

                                    Claim MapSUMMARY GEOLOGY REPORT ON THE
                         MOUNT MCGUIRE LIMESTONE DEPOSIT

                                 Located in the
                              Chilliwack River Area
                         New Westminster Mining Division
                            British Columbia, Canada

                     Latitude 49(0)2.7' Longitude 121(0)44'

                                  BCGS: 92H/002

                                      FOR:

                            WESTERN EXPLORATION INC.
                          8400 East Crescent Pkwy #600
                              Greenwood Village Co
                                      90111

                                                     Laurence Stephenson, P.Eng.
                                                                 March 29 , 2004

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TABLE OF CONTENTS
<TABLE>
<CAPTION>

                                                                                                               Page
                                                                                                               ----

<S>                                                                                                             <C>
TABLE OF CONTENTS.................................................................................................2

LIST OF FIGURES...................................................................................................3

GLOSARRY  OF TERMS................................................................................................3

1.       SUMMARY..................................................................................................4

2.       DISCLAIMER...............................................................................................5

3.       INTRODUCTION AND TERMS OF REFERENCE......................................................................6

4.       CLAIM ACQUISITION AND INFORMATION........................................................................6

5.       LOCATION AND ACCESS......................................................................................8

6.       CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY................................................9

7.       HISTORY.................................................................................................10

8.       GEOLOGY - CHILLIWACK RIVER AND BORDEN CREEK AREAS.......................................................11

9.       SUMMARY OF TESTING AND RESULTS..........................................................................13

10.      CONCLUSIONS.............................................................................................15

11.      RECOMMENDATIONS AND BUDGET..............................................................................17

12.      STATEMENT OF QUALIFICATIONS.............................................................................18

APPENDIX I:   WHOLE ROCK ANALYSIS AND LIMESTONE TESTS: V-STAT AND
              MAGNETIC SEPARATION................................................................................20

APPENDIX II:  BILL OF SALE ABSOLUTE..............................................................................21

APPENDIX III:  PHOTOGRAPHS OF DEPOSIT............................................................................22

APPENDIX IV:  BIBLOGRAPHY........................................................................................23

</TABLE>

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LIST OF FIGURES
<TABLE>
                                                                                                     Following page
                                                                                                     --------------

<S>                                                                                                              <C>
Figure 1:  Location Map...........................................................................................6

Figure 2:  Claims Map.............................................................................................7

Figure 3:  Geology...............................................................................................12

Figure 4:  Road Section - Limestone and Analysis.................................................................13

</TABLE>

GLOSSARY OF TERMS

Advance Royalty Payments: Means from time to time payments to the Optionor by
the Optionee before Commencement of Commercial Production of Minerals.

Gross Rock Revenue: Means for any period, the gross proceeds received by the
Optionee in that period from the sale of Rock produced from the property less
expenses.

GSC: Geological Survey of Canada

Net Smelter Return: Means for any period the gross proceeds received by the
Optionee from the sale of Minerals produced from the property less expenses.

Limestone: a bedded sedimentary deposit consisting chiefly of calcium carbonate

Metasedimentary: sedimentary rocks that have been subjected to heat and/or
pressure resulting in some metamorphism.

Faults: large shear zones with significant amount of movement between adjoining
rock bodies

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                                                                          Page 3

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1.   SUMMARY

     Western Exploration Inc. has optioned for cash, two mineral claims, LST 1
     and LST 2, which, based on previous work and sampling, are known to host
     significant quantities of limestone. The property has very good road
     access, only a 40 minute drive from Chilliwack, BC and is located near all
     necessary infrastructure and limestone markets.

     A multi-phase program will be required to determine the quality, tonnage,
     and marketability of end products. A Phase I geological evaluation is
     recommended costing $7,635 (Cdn). Phase II will be determined following
     receipt of Phase I results.

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2.   DISCLAIMER

     The author has prepared this report based upon information believed to be
     accurate at the time of completion but which is not guaranteed. The author
     has relied on two principal sources of information for the data contained
     in this report, that being the work completed and unpublished report
     provided by a former owner of the Mount McGuire limestone deposit, and
     publicly available federal and provincial government documents such as
     geological maps and reports on the area.

     The Bill of Sale Absolute claim forms were obtained from the company's
     President Peter Banysch.

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3.   INTRODUCTION AND TERMS OF REFERENCE

     Western Exploration Inc. is a private mineral exploration company based in
     Vancouver, British Columbia that has acquired minerals rights to the LST 1
     and 2 mineral claims. The claims were staked December, 2003 to cover an
     area identified as potentially containing ore of one of the single largest
     deposits of limestone located adjacent to the Lower Mainland region of
     south western BC. The author was engaged by Mr. Peter Banysch, President of
     Western Exploration inc., to review the available literature, visit the
     property, prepare this report and make recommendations.

     The deposit is strategically located within the Pacific Northwest region
     and is near major end-users such as the cement, pulp & paper, and
     agricultural industries. It is located a 40 minute drive southeast of the
     city of Chilliwack (Figure 1), which is the heart of the agricultural
     industry in the lower mainland of British Columbia. As well, any future
     developed limestone products can be transported by a combination of highway
     (TransCanada Highway), river-barge system (Fraser River) and rail line (CN
     and CP) destined to urban and industrial centres.

     The main limestone deposit encompasses roughly a 9 square kilometre area,
     the majority of which lies within the claims boundaries. It is well exposed
     along two easterly trending ridges (north and south ridges) which range in
     elevation from 1200-2000 metres. The south ridge alone is roughly estimated
     to contain in the order of 1.5 billion tonnes of limestone. Reconnaissance
     geological and sampling surveys indicate the deposit to be massive
     stratified beds of limestone. Preliminary sampling suggests the beds vary
     in calcium carbonate content with some beds having higher silica and others
     higher in calcium. In order to properly ascertain the quality of the
     limestone beds, systematic detail mapping, sampling, and drilling should be
     conducted.

4.   CLAIM ACQUISITION AND INFORMATION

     The Mount McGuire group consists of two contiguous mineral claims, LST 1
     and LST 2. The claims cover a 9 sq. km. area, representing 900 hectares.
     The claims were acquired from Brock McMichael of Surrey, BC. They were
     acquired by Western Exploration Inc. for an initial payment of $12,000
     (USD) on or before February 15, 2004 (paid) and a further $20,000 (USD)

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     payable within 18 months (prior to August 15, 2005). McMichael retains a 7
     1/2% Gross Rock Royalty and a 2 1/2% Net Smelter Return. Advance annual
     royalties of $25,000 will commence on January 30, 2007. The Bill of Sale
     Absolute for the claims has been given to Peter Banysch, the President of
     Western Exploration Inc. who holds them in trust for the company.

     The claims are located in the New Westminster Mining Division at
     coordinates: Latitude 49(0) 02' 41" and longitude 121(0) 41' 00" and on map
     sheet BCGS: 92H/002 and are outlined in Figure 2.

     The pertinent property information is as follows:

<TABLE>
<CAPTION>

     ---------------------------- ------------------------- -------------------------- ---------------------------
     Claim Name                          Tenure No.               No. of Units              Anniversary Date
     ---------------------------- ------------------------- -------------------------- ---------------------------
<S>      <C>                               <C>                         <C>                  <C>
     LST 1                                 407199                      18                   December 7, 2004

     LST 2                                 407200                      18                   December 7, 2004
     ---------------------------- ------------------------- -------------------------- ---------------------------
</TABLE>

     In British Columbia, for assessment purposes in the first two years, $100
     of work or cash in lieu per unit plus 10% filing fees are due to maintain
     the claims in good standing. Thereafter it rises to $200 per unit plus 10%
     filing fees. The claims have not been legally surveyed.

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5.   LOCATION AND ACCESS

     The Mount McGuire claims are situated in south western BC, only 3
     kilometres north of the 49th' Parallel and the Canada-United States border.
     The claims are located 17 air kilometres due southeast of the City of
     Chilliwack (Figure 1).

     Access to the property is easily gained from Vedder Crossing by driving
     easterly on the Chilliwack River road for 19 km to the Slesse Creek
     junction. From this point a forestry access road is taken south leads to
     Borden Creek. The Borden Creek logging road cuts along the eastern section
     of the claims and the legal corner post is located on the east side of the
     road, about 9 km from the junction.

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6.   CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY

     Topography in the area is rugged rising from Chilliwack located in the
     nearby Fraser River Valley at under 200 metres to the top of Mount McGuire
     Peak at over 2,000 metres. The valleys are steep sided coastal mountain
     type with typical rain forest vegetation of the coastal ranges of British
     Columbia. There is a mix of cedar, hemlock spruce trees with aides, willow
     and cottonwood on old roads and poorly drained areas. Undergrowth brush is
     typical with salal, devil's club and assorted berry bushes. Climate is also
     typical of southern British Columbia's lower mainland area and is such that
     the lower and middle elevations will be workable year round with little
     difficulty. Higher ground may require snow machines or similar track
     mounted vehicles.

     All the major river drainages flow year round as do many subsidiary creeks.
     Chilliwack area is an active logging region with heavy equipment and
     operators for hire. Most of these operators live in Abbotsford, Harrison
     Hot Springs, Agassiz, Mission, Chilliwack or Hope. These population centres
     total almost 250,000 people, are within a one hour drive of the project and
     provide all amenities including police, hospitals, groceries, fuel,
     helicopter services, hardware and other necessary items. Drilling companies
     are present in communities nearby, while assay facilities are located in
     Vancouver, British Columbia.

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7.   HISTORY

     Limestone deposits have been documented by the Geological Survey of Canada
     (GSC) along the Chilliwack River valley and its tributaries such as Borden
     Creek/Mount McGuire. Various limestone occurrences along the Chilliwack
     River valley occur along an area which is considered environmentally
     sensitive for development of quarry type operations. The Chilliwack River
     valley is now extensively being utilized as an outdoor recreational area
     both for hiking, fishing and kayaking.

     In 1999, the previous owners (Tidewater Carbonates, a partnership of Dan
     Cardinal P.Geo. and Fred Fandrich) flew to the headwaters of Borden
     Creek/Mount McGuire to investigate this extensive deposit of limestone
     along the west side of Borden Creek.

     One of the advantages of the Mount McGuire limestone deposit, besides its
     size, is its location. It is located well away from the Chilliwack River
     recreational areas and at the same time is easily accessible by a series of
     logging roads. It could be developed without posing environmental concerns.

     There are two active limestone quarry operations along the Chilliwack River
     valley located at the confluence of Sleese Creek. One of the quarries is
     operated by the BC Ministry of Highways which is used primarily for rip-rap
     purposes. The other, also located immediately adjacent to Highways quarry,
     was recently developed and is owned and operated by ICS Machine and Fibres
     Ltd. (a subsidiary of IKO Industries Ltd. of Calgary, AB). In 1999, the
     company shipped approximately 5,000 tonnes of limestone to its plant in
     Sumas, Washington to be used in the making of asphalt shingles. The
     limestone mined from both of these quarries is generally of low quality,
     containing shale-carbonaceous material.

     Currently, the only resource activity along Borden Creek is logging.
     Logging roads rim along the base of the limestone deposit and offer good
     access for drill testing, geological evaluation and for future quarry
     development.

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8.   GEOLOGY - CHILLIWACK RIVER AND BORDEN CREEK AREAS

     The geological setting is comprised of a complicated structure of folded
     and thrust faulted sedimentary rocks. The rock units underlying the
     Chilliwack River valley consist of the Cultus Lake formation and the
     Chilliwack Group. The Cultus Lake formation is made up of mainly siltstone,
     shale and sandstone of Trassic to Jurassic age. The Chilliwack Group
     consists of Permian sandstone, shale and conglomerate and Pennsylvanian
     limestone and basic to intermediate volcanics. Limestone of Pennsylvanian
     age has been documented by the G.S.C, along Borden Creek and on the summit
     of Mount McGuire, along which the Borden Creek claims are located.

     The Chilliwack River valley is a glacial U-shaped valley. The valley floor
     along the south side of the river is covered by Pleistocene and recent
     glacial, glaclofluvial and fluvial gravels. A small gravel quarry operation
     owned by the BC Ministry of Highways occurs on one of the large gravel
     benches. Rising above the valley floor are prominent ridges. The ridges are
     mainly composed of low angle thrust faulted, shallow to steeply dipping
     shale, sandstone and limestone. The author has previously examined
     limestone outcrops along a 4 kilometre section on the north side of the
     river. The limestone beds that are exposed along this section are
     interpreted as being a series of repetitive low angle thrusts. Samples
     collected by previous operators from sections of the limestone analysed
     between 80% to 95% calcium carbonate with corresponding silica.

     The majority of rocks exposed along the banks of Borden Creek consist
     predominately of dark grey to black shale, calcareous shale and minor
     limestone. However, on the west side of the creek along which the claims
     occur, is an extensive exposure of bedded limestone. Found near the centre
     of the claims is a small east flowing stream, a branch of Borden Creek,
     which divides the limestone deposit into 2 ridges, the north and south
     ridges. The south ridge (south limestone deposit) is covered by the LST 1
     claim and the north ridge (north limestone deposit) is covered by the LST 2
     claim. Both ridges expose a thick sequence of shallow to steeply dipping
     beds of limestone. The limestone can be traced from just west of the creek,
     which forms the eastern boundary of the claims at an elevation of
     approximately 1,160 m, to the summit of Mount McGuire, at elevation of
     2,019 m, forming the western boundary of the claims (Figure 3).

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     The north and south limestone deposits are believed to be essentially part
     of one large continuous deposit. Based on the limestone deposit exposed on
     the south ridge, preliminary volume calculations can roughly be determined.
     By measuring the ridge from a topographical map the dimensions were
     estimated as length (2000 m), average width (750 m), and height (400 m).
     Specific gravity for the limestone of 2.6 was used. Based on these
     parameters a volume of at 1.5 billion tonnes limestone was roughly
     estimated. The author believes there is in the order of 2-3 billion tonnes
     limestone in place of which at least 1 billion tonnes could be extracted by
     a quarry operation. An initial assessment is that a 500,000 to 1,000,000
     tonne high grade minable limestone resource could be proven to lie within
     the Mount McGuire deposit.

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                                                                         Page 12

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9.   SUMMARY OF TESTING AND RESULTS

     In June 1999, previous owners collected approximately an 80 kilogram bulk
     sample at the base of the south ridge deposit, identified as Landing 4,
     which is located along a former logging access road. Several representative
     samples were in turn, randomly collected from the bulk sample and analysed
     for Whole Rock analysis. The samples average 53.91% calcium oxide (CaO) or
     96.22% calcium carbonate (CaCO3 ) and 3.24% silica dioxide (SiO2 ). Follow
     up sampling and geological reconnaissance mapping was conducted by the
     author during January 2004. A section of the logging tumid was mapped and a
     series of samples collected (Figure 4). The preliminary survey suggests
     that the bedded limestone varies in calcium carbonate content and that
     certain individual limestone bests contain higher calcium carbonate while
     other beds tend to be higher in silica content.

     For example, 10 representative samples collected along the road
     approximately every 25 m across 150 m exposed section of the limestone,
     indicate at least 2 distinct beds of limestone (Figure 4). This is shown by
     the CaO and SiO2 content of the limestone. Samples collected between
     stations B/C-01 to 05 range 45.50% to 53.77% CaO and 3.89% to 8.25% SiO2.
     Sample collected between stations B/C 06 to 10 range 32.52% to 47.13% CaO
     and 15.28%to 40.79% SiO2. The sampled section between B/C-01 to 05 averages
     49.91% CaO and 5.59% SiO2 represents a bed of limestone containing a higher
     grade of CaCO3. The sample section between B/C-06 to 10 averages 42.48% CaO
     and 23.26% SiO2 represents a bed of limestone containing higher SiO2
     content.

     The previous owner of the property sent several kilograms of limestone
     samples to Carpco Inc. for testing. Carpco is based in Jacksonville,
     Florida and is a subsidiary of Outokumpo Technology Inc. The company is
     internationally known for its technical expertise in the physical
     separation of various minerals including calcium carbonate and silica,
     using V-Stat Electrostatic and Magnetic separation processes.

     The basic objective was to ascertain the possible application of the V-Stat
     process in separating the silica contaminates from the limestone thereby
     improving the grade of CaCO3. Preliminary tests conducted with V-Stat
     showed encouraging results. Samples tested from Landing 4 (south ridge
     deposit) showed positive separation between the silica and calcium
     carbonate minerals. The author believes that the V-Stat process may have
     applications where the limestone has high silica content. But it does not
     have any marked improvement in limestone containing greater than 90% CaCO3
     and less than 3% SiO2. However, most limestone end users can tolerate small
     amounts of silica, in the range of 1-3%.

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                                                                         Page 13

<PAGE>

     Although the limestone contains only minor amounts (<0.2%) of iron, a
     Magnetic separation process was tested on one of the samples. As expected,
     the treated sample showed negligible improvement. The limestone samples
     analyzed and tested to date show the major contaminate as silica and this
     appears to occur only in certain beds within the deposit. The iron oxide
     (Fe2O3 ) content is consistently low. In any future development of the
     north and south limestone deposits, the higher grade limestone beds could
     be selectively quarried without dilution. A V-Stat process could later be
     introduced to quarry the higher silica limestone beds.

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                                                                         Page 14

<PAGE>

10.  CONCLUSIONS

     o    Western Exploration Inc., of Vancouver, British Columbia is the
          property owner of LST 1 & 2 mineral claims.

     o    The claims cover a very large deposit of limestone strategically
          located adjacent to the lower mainland region in south western BC.

     o    The claims are easily accessible by road and are located a 40 minute
          drive southeast of the city of Chilliwack near the Canada-US border.

     o    Reconnaissance geological and sampling surveys have been conducted on
          the claims in order to determine the potential size and grade of the
          limestone deposit.

     o    The Mount McGuire deposit covers roughly a 9 sq. km. area. It can be
          traced from just west of Borden Creek along the eastern claim boundary
          to the summit of Mount McGuire along the western claim boundary. It
          ranges in elevation from about 1,200 m to 2,090 m at the summit of the
          mountain.

     o    The deposit is divided by a small easterly flowing stream which forms
          2 easterly trending ridges. Both ridges expose extensive, thick-bedded
          deposits of limestone referred to as the North and South ridge
          deposits.

     o    To date, limited geological mapping and sampling has been conducted on
          a small portion of the South ridge deposit, located along a former
          logging road at the base and east end of the ridge. Several
          representative samples have been collected for Whole Rock analysis.
          The grade of the limestone ranges from a high of 54.98% to a low of
          32.52% CaO (lime). The corresponding silica, which is the main
          contaminate, ranges from 2.42% to 40.79% SiO2 respectively. The iron
          content is consistently low, normally <0.2% Fe2O3, and is not
          considered a quality problem.

     o    Based on the preliminary analysis, the calcium carbonate content
          appears to vary in quality from bed to bed within the deposit. An
          increase in silica content indicates a change in bedding
          characteristics.

     o    Preliminary mapping and sampling appears to have identified at least
          two different grades or beds of limestone exposed along a section of
          the logging road. One bed shows higher CaO content, averaging about
          96% in CaCO3 and 3% SiO2. The other bed has an increase in silica
          content, averaging at least 23% SiO2 and 80% CaCO3.

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                                                                         Page 15

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     o    Additional testing was also conducted with Carpco Inc. using the
          V-Stat electrostatic mineral separation process. Preliminary tests
          show the V-Stat to effectively remove and separate the silica from the
          calcium carbonate.

     o    The V-Stat process would appear to be applicable for limestone that
          contains high silica content in order to improve the quality of the
          calcium carbonate, such as found on the South ridge deposit.

     o    Estimated volume of limestone on the South ridge deposit is calculated
          to be in the order of 1.5 billion tonnes. Limestone totalling in the
          order of 2-3 billion tonnes is estimated to be in place on the LST 1 &
          2 claims. About 1 billion tonnes could be extracted by a quarry
          operation.

     o    The Mount McGuire limestone deposit could contain 500,000 to 1,000,000
          tonnes of high grade minable limestone.

     o    Once developed, the operation could supply long term, high quality
          calcium carbonate grade products to both domestic and international
          markets.

     o    The deposit has access to transportation infrastructure including
          marine, highway and railway transport and to nearby major cities such
          as Vancouver and its ocean ports.

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                                                                         Page 16

<PAGE>

11.  RECOMMENDATIONS AND BUDGET

     Based on the preliminary positive results of the 1999 work, it is
     recommended that proper mapping and sampling surveys be conducted on the
     LST 1 & 2 claims. A majority of the surveys should be concentrated on the
     South ridge limestone deposit.

     When the snow is gone off the claims, a helicopter aerial survey should be
     conducted and photos taken of the deposit. As well, samples should be
     collected where possible by helicopter, especially areas that are not
     accessible by foot and where higher grade limestone sections may be
     defined.

     A mapping and sampling survey should be carried out over the South ridge
     deposit at reasonable scale (e.g. 1:1000) in order to properly identify the
     areas of limestone that are of higher quality and grade. As well, various
     beds of limestone should be identified and approximate thickness and grades
     determined.

     A limited drilling program can be conducted if results warrant in a Phase
     II exploration. This would be to obtain drill core samples for analysis of
     the higher grade limestone beds and the continuity.

Budget

<TABLE>
<CAPTION>
Personnel
<C>                                        <C>                                        <C>
(1) Geologist                              3 days @ $500/day                          $ 1,500.00
(1) Geological Assistant                   3 days @ $200/day                              600.00

Equipment
(1) 4x4 Truck                              3 days @ $85/day                             $ 255.00
(1) 4-Trax                                 3 days @ $60/day                               180.00

Expenses
(1) hour helicopter                        1 hour @ $1,100/hour all in                $ 1,100.00
Room and board and travel                                                                 500.00
Analytical work                                                                         2,000.00
Report                                                                                  1,500.00
                                                                              ===================

TOTAL                                                                                 $ 7,635.00

</TABLE>

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                                                                         Page 17

<PAGE>

12.  STATEMENT OF QUALIFICATIONS

I, LAURENCE STEPHENSON, of 1135 Martin St., White Rock, BC hereby certify that:

1.   I am a graduate of the Carleton University, Ottawa, Ontario, Canada with a
     Bachelor of Science degree in Geology (1975) and of York University,
     Toronto, Ontario, Canada with a Masters of Business Administration degree
     (1985);

2.   I have worked as a Geologist for over 29 years;

3.   I have worked as the District Geologist for Duval International Corporation
     (now Battle Mountain Gold) and as a geological and financial consultant to
     First Marathon Securities, Yorkton Securities, BGO Securities and several
     other Securities firms evaluating mining properties and as a consultant and
     President of Kokanee Explorations Ltd., as a consultant and director of
     Glencairn Explorations, as a consultant and Vice President of Golden Chief
     Explorations, and as President of GeoFin Inc. consulted for several other
     companies writing reports for their use and am therefore qualified to write
     this report and recommend the proposed exploration program and budget in
     this report;

4.   I am a member of the Association of Professional Engineers of Ontario
     44347508, and the Association of Professional Engineers and Geoscientists
     of British Columbia 27420.

5.   I visited the area of the property in the course of doing a geological
     evaluation in December, 2003. During this visit, I was able to interview
     the claim staker and review the geology.

6.   I am responsible for this report and the opinions expressed therein.

7.   There are no material facts or material changes in the subject matter of
     this report that would mislead the reader.

8.   I have no interest, direct or indirect, in the properties or shares of
     Western Exploration Inc., nor do I expect to receive any.

9.   I hereby grant my permission for Western Exploration Inc. to use this
     report for any corporate use normal to the business of the Company.

     Date at Vancouver, BC, this 29th day of March, 2004

     Laurence Stephenson, P.Eng.

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                                                                         Page 18

<PAGE>

                                   APPENDIX I:

                    WHOLE ROCK ANALYSIS AND LIMESTONE TESTS:
                         V-STAT AND MAGNETIC SEPARATION

--------------------------------------------------------------------------------
                                                                         Page 19

<PAGE>

                                  APPENDIX II:

                              BILL OF SALE ABSOLUTE

--------------------------------------------------------------------------------
                                                                         Page 20

<PAGE>

                                  APPENDIX III:

                             PHOTOGRAPHS OF DEPOSIT

--------------------------------------------------------------------------------
                                                                         Page 21

<PAGE>

                                  APPENDIX IV:

                                   BIBLOGRAPHY

--------------------------------------------------------------------------------
                                                                         Page 22

<PAGE>

                                  BIBLIOGRAPHY

1.   "Industrial Minerals in British Columbia 2003" by British Columbia Ministry
     of Energy and Mines, Resource Development Division. GeoFile 2003-15

2.   "Limestone and Dolomite Occurrences of British Columbia" map prepared by
     Province of British Columbia Ministry of Energy Mines and Petroleum
     Resources Geological Survey Branch 1985-1990

3.   "Lower Mainland Employment Study" by Coriolis Consulting Corp 1999

4.   Physical Separation by Outokumpu Technology Inc. Mineral Processing
     Physical Separation, 6100 Phillips Highway, Jacksonville, Florida 32216

5.   Government of British Columbia Ministry of Energy & Mines Geological Survey
     & Development http://www.em.gov.bc.ca/Mining/Geolsurv/default.htm

6.   Statistics Canada North American Industry Classification (NAICS) 1997 for
     212315, 327410, 416390 and 418390.

7.   National Lime Association for Using lime in Asphalt, Soil Stabilization,
     Building Construction, Pulp and Paper Industries

8.   "A Long Range Transportation Strategy" by the Fraser Valley Regional
     District June 2000

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                                                                         Page 23

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