Message to Shareholders

Nov 15 2005 | Aug 26 2005 | May 16 2005

During the third quarter, good progress was made at the Kiena/Wesdome project. Work has focused on delineating and developing existing zones. Longer term exploration and drifting and drilling were postponed in favour of priority development to ensure a rapid transition to production. Development of the VC zone will help provide a bulk sample for custom milling in the fourth quarter. The initial crosscut into the VC zone on the 520 metre level yielded an average grade of 12.47 gAu/tonne (cut to 34.3 gAu/tonne) over a true width of 17.8 metres.

he Company moved forward in its bid to merge with River Gold Mines Inc. and we expect to announce recommendations of independent directors’ committees and kick off the process shortly. This will involve a mailing to shareholders and a meeting to vote on the proposed transaction. We continue to believe the combined company will be a competitive Canadian mining company with strong exploration and development potential.

A major equity financing in the new year will provide the pre-production capital required to advance Kiena to production.

On behalf of the Board of Directors,

Paul Cregheur
President

November 15, 2005