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Cautionary Note to U.S. Investors Concerning Estimates of Measured and Indicated Mineral
Resources
This Annual Report uses the terms “Measured Mineral Resources” and “Indicated Mineral Resources.”
We advise U.S. investors that while those terms are recognized and required by Canadian regulations,
the SEC does not recognize them.
U.S. investors are cautioned not to assume that any part or all of the
mineral deposits in these categories will ever be converted into Mineral Reserves.
Measured and Indicated Resource Estimate for the Bull Hill Mine
(1)
effective as of October 9, 2014
(2)
Cut-off Grade
(3)
Bull Hill
Whitetail
Total
Resource
Classification
Tonnes (in
millions)
Average
Grade (%
TREO)
Tonnes (in
millions)
Average
Grade (%
TREO)
Tonnes (in
millions)
Average
Grade (%
TREO)
Measured
2.7
3.81
-
-
2.7
3.81
Indicated
9.7
3.10
3.9
2.49
13.6
2.93
Measured & Indicated
12.4
3.25
3.9
2.49
16.3
3.07
(1) Bull Hill Mine includes both the Bull Hill and Whitetail Ridge deposits.
(2) Inclusive of previously reported Mineral Reserves under NI 43-101.
(3) Cut-off grade of 1.5% was developed using estimated operating costs, forecast recoveries and internal
assumed long-term REO prices as of June 30, 2014.
Cautionary Note to U.S. Investors Concerning Estimates of Inferred Mineral Resources
This Annual Report uses the term “Inferred Mineral Resources.” We advise U.S. investors that while this
term is recognized and required by NI 43-101, the SEC does not recognize it. “Inferred Mineral
Resources” have significant uncertainty as to their existence, and great uncertainty as to their economic
and legal feasibility. It cannot be assumed that all or any part of Inferred Mineral Resources will ever be
upgraded to a higher category. In accordance with Canadian rules, estimates of Inferred Mineral
Resources cannot form the basis of feasibility or other economic studies.
U.S. investors are cautioned
not to assume that part or all of the Inferred Mineral Resource exists or is economically or legally
mineable.
Inferred Mineral Resources Estimate for the Bull Hill Mine
(1)
effective as of October 9, 2014
(2)
Cut-off Grade
Oxides >1.5
Resource Classification
Tonnes (in millions)
Average Grade (% TREO)
Inferred
(3)
28.9
2.58
(1) Bull Hill Mine includes both the Bull Hill and Whitetail Ridge deposits.
(2) Cut-off grade of 1.5% was developed using estimated operating costs, forecast recoveries and internal assumed
long-term REO prices as of June 30, 2014.
(3) Includes Ox and OxCa (oxidized) mineralization only.
The Mineral Resources estimates, effective as of October 9, 2014, justify further technical work, including
drilling, metallurgical testing, and engineering studies. Considerable in-fill definition drilling is required to increase
the confidence level of the mineral resource and upgrade more of the Inferred Resources to the Measured and
Indicated Mineral Resources categories.
The major dike sets in all of the resource areas are accompanied by peripheral zones of lower-grade
stockwork REE mineralization. The term “stockwork” refers to a body of rock cut by a network of small veins or
dikes that contain the mineralization. REE grades in the stockwork zones generally range between about 0.5% and
2.5% TREO.