Staff Notice: 43-701 - Regarding National Instrument 43-101

OSC STAFF NOTICE 43-701
REGARDING NATIONAL INSTRUMENT 43-101

National Instrument 43-101 came into force on February 1, 2001.

Section 2.3(3) of National Instrument 43-101: Standards of Disclosure for Mineral Projects, deals with the disclosure of a preliminary assessment that includes an economic evaluation which uses inferred mineral resources. Section 2.3(3) requires that:

(a) the preliminary assessment is a material change in the affairs of the issuer or a material fact;

(b) the disclosure includes

i) a proximate statement that the preliminary assessment is preliminary in nature, that it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary assessment will be realized, and

ii) the basis for the preliminary assessment and any qualifications and assumptions made by the qualified person; and

(c) in Ontario, if the issuer is a reporting issuer in Ontario, the issuer shall deliver to the regulator in Ontario the disclosure it proposes to make together with the preliminary assessment and the technical report required pursuant to section 4.2 at least five business days prior to making the disclosure and the regulator in Ontario shall not have advised the issuer that it objects to the disclosure.?

To ensure that all material delivered to the Director pursuant to Subsection 2.3 (3)(c) of NI 43-101 is dealt with expeditiously, please forward the relevant information to the attention of the Chief Mining Consultant.

If you require any additional information or clarification, please do not hesitate to contact the undersigned directly.

Kathryn Soden
Director, Corporate Finance
Telephone: 416-593-8149
Facsimile: 416-593-8177
Email: [email protected]

Deborah McCombe
Chief Mining Consultant
Telephone: 416-593-8151
Facsimile: 416-593-8177
Email: [email protected]