National Instrument 43-101, Companion Policy 43-101CP

"The Companion Policy is guidance and not law. It sets out the views of the Canadian Securities Administrators (CSA) at to the manner in which the CSA interprets and applies certain provisions of NI 43-101 and Form 43101F1. The Companion Policy references the CIM Best Practice Guidelines for Mineral Exploration, and the Mineral Resources and Mineral Reserves, and that they should be followed by Qualified Persons.COMPANION POLICY 43-101CP TO NATIONAL INSTRUMENT 43-101 STANDARDS OF DISCLOSURE FOR MINERAL PROJECTS This companion policy sets out the views of the Canadian Securities Administrators (the “CSA”) as to the manner in which the CSA interprets and applies certain provisions of National Instrument 43-101 and Form 43-101F1 (the “Instrument”), and how the securities regulatory authorities or regulators (the “Securities Regulatory Authorities”) may exercise their discretion in respect of certain applications for exemption from provisions of the Instrument. PART 1 APPLICATION AND TERMINOLOGY 1.1 Supplements Other Requirements – The Instrument supplements other continuous disclosure requirements of securities legislation that apply to reporting issuers in all business sectors. 1.2 Evolving Industry Standards and Modifications to the Instrument- Mining industry practice and professional standards are evolving in Canada and internationally. The Securities Regulatory Authorities will monitor developments in these fields and will solicit and consider recommendations from their staff and external advisers as to whether modifications to the Instrument are appropriate. 1.3 Application of the Instrument -The definition of “disclosure” under the Instrument includes oral and written disclosure. The Instrument establishes standards for disclosure of scientific and technical information regarding mineral projects and requires that the disclosure be based on a technical report or other information prepared byor under the supervision of a qualified person. The Instrument does not apply to disclosure concerning petroleum, natural gas, bituminous sands or shales, groundwater, coal bed methane or other substances that do not fall within the meaning of the term “mineral project” in section 1.1 of the Instrument. 1.4 Mineral Resources and Mineral Reserves Definitions - The Instrument incorporates by reference the definitions and categories of mineral resources and mineral reserves as set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the “CIM”) Definition Standards on Mineral Resources and Mineral Reserves (the “CIM Definition Standards”) adopted by the CIM Council on November 14, 2004, as amended. 1.5 Best Practices Guidelines for Mineral Resources and Mineral Reserves - A qualified person classifying a mineral deposit as a mineral resource or mineral reserve should follow the CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines adopted by CIM on November 23, 2003, as amended. These guidelines are posted on www.cim.org."