In October 2009, the Company entered into an option agreement to acquire a 100% interest, (subject to an NSR) in the DS group of claims located approximately 20km west-south-west of Port Renfrew, a deep-water port on the south-west coast of Vancouver Island.

Consideration for a 100% interest in the property is the payment of $50,000 plus 400,000 shares of the company, of which $10,000 plus 100,000 shares was paid upon TSX Venture Exchange approval of the transaction with the remaining share balance becoming payable in 100,000 share increments on the first through third anniversaries of exchange approval. Remaining cash payments become payable as to $10,000 on each of the first through third anniversaries of approval with a final payment of $20,000 becoming due on the fourth anniversary. The property is subject to an NSR of 3% in favor of the vendor, of which the Company has the option to purchase 2 of the 3 percentage points for $500,000 per percentage point, prior to commencement of commercial production.

The DS property, which covers 588.9 hectares (approximately 1455 acres), is underlain by rocks of the Sicker and Karmutsen volcanic formations which are known to host volcanogenic massive sulphide deposits ("VMS") as well as other styles of mineral deposits. Past and present producing mines on Vancouver Island underlain by these volcanics include the Jordan River Mine, which produced during the 1950's and 1960's and Breakwater's Myra Falls mine which has been in production since 1966.

The DS property is in a region which has been largely clear-cut by forestry operations in recent years. Forestry operations in the area are currently shut down; however extensive logging operations have left the property with excellent access, which will lead to significant cost savings during exploration. High-quality roads designed for heavy haulage, accessible by two-wheel drive vehicle, are in place throughout the property. Construction of these logging roads required the forestry companies to dig pits in order to accumulate sufficient rock locally to complete and maintain these roads. One such pit, measuring approximately 20 x 30 meters located near the center of the DS property exposed a VMS showing.

Historical assays (1998) of rocks taken by the property owner from float thought to originate from this pit are:

These assays, processed at Rossbacher Laboratories, were taken prior to the implementation of NI 43-101 standards and therefore can not be considered to be reliable. The property has not been subject to significant exploration by modern methods to-date.

The Company is currently undertaking an NI 43-101 compliant sampling program on the property under the supervision of R. (Bob) Krause B.Sc.

Initial results of the Company's sampling program confirmed the presence of copper and gold mineralization. Assay results processed at Acme Laboratories of Vancouver, of an initial 14 rock samples recently taken from a pit on the property by the Company are as follows:

An accurate description of the location of the 1998 sampling program was not provided and it is not known if the samples recently taken by the Company are from the same source as the historical samples. The Company's immediate exploration effort is focusing on the identification, mapping and sampling of additional pits known to be present on the property and further sampling of the pit from which the Company's samples were taken. The program of mapping and sampling the property in detail is expected to be followed up by a UTEM ground-based geophysical survey and a potential diamond drill program on identified geophysical targets. The DS property is located in a region known for its mild winter weather and as a result is suited to year-round exploration work.