K A P U S K A S ING G O L D C O RP NO T E S T O T HE FIN A N CI A L S T A T E M E NT S F O R T HE Q U A RT E R E ND E D A UG U S T 31 2 01 4 E xpre ss ed in Can ad ian d o lla r s 5 E X P LO R A T IO N A ND E V A LUA T IO N A S S E T S c on ti n ue d B O RDE N NO RT H P RO P E RT Y O NT A RIO O n F eb r ua r y 2 7 2 01 4 the Com pa n y e nte r e d i nto a pu r c ha s e ag r ee m en t to ac qu i r e a 1 00 i nt eres t i n the B orde n Nor th G o l d P r op ert y B ord en Nor t h T he V en d ors r eta i n a 2 Net S m el ter Ro y a l t y of whi c h 1 m a y b e r ep urc h as ed f or 1 00 0 00 0 Und er the term s of the ag r ee m en t th e Com pa n y i s c o m m i tte d to i s s ue 60 0 00 0 s ha r es to the V e nd ors an d ha v e ag r ee d to i s s ue an ad d i ti on a l 6 0 00 00 wor th of b on us s h ares c o nti n ge n t o n t h e Com p an y s r el e as e of a 43 10 1 c om pl i a nt m ea s ured a nd i nd i c ate d r es ou r c e of 20 0 00 0 0 o un c e s or m ore of go l d wi th i n the c l a i m s of B ord en Nor th In ad d i ti on t he C om pa n y p ai d 33 66 0 i n c as h as a r e pa y m e nt of s tak i ng c os ts as s oc i ate d wi th B ord en Nor th S ub s e qu e nt to y e a r en d the Com pa n y r ec ei v ed r eg u l ato r y ap prov al f or the ag r e em en t an d i s s ue d t he 6 00 00 0 s h ares to th e V en d ors Note 14 B O RDE N S O UT H P RO P E RT Y O NT A RIO Dur i n g the y e ar the C om p an y ac qu i r ed b y s tak i ng t he B orden S o uth G o l d P r o pe r t y i n O nt ario T he tot a l c os t a s s oc i at ed wi th th e a c qu i s i t i on was 27 5 50 G O LDE N RO UT E P RO P E RT Y O NT A RIO Dur i n g the y ea r t he Com pa n y ac qu i r e d b y s tak i ng t he G ol de n R ou te P r op ert y i n O nta r i o T he tot a l c os t a s s oc i ate d w i t h t h e a c qu i s i ti o n w as 7 92 0 CHA P LE A U P RO P E RT Y O NT A RIO Dur i n g the y ea r t he Com pa n y ac qu i r ed b y s tak i ng t he Cha pl ea u G o l d P r op ert y i n O nta r i o T he tot a l c os t a s s oc i ate d w i t h t h e a c qu i s i ti o n w as 4 1 98 0 RO LL O P RO P E RT Y O NT A RIO O n F eb r ua r y 2 5 2 01 4 the Com pa n y e nte r e d i nto a pu r c ha s e ag r ee m en t to ac qu i r e a 1 00 i nt eres t i n the Ro l l o G ol d P r o pe r t y i n O nta r i o Ro l l o T he V e n do r s r eta i n a 2 N et S m el t er Ro y a l t y of w h i c h 1 m a y be r e pu r c ha s ed f or 1 66 5 00 0 U nd er th e term s of the ag r ee m en t the Com pa n y i s c o m m i tte d to i s s ue 1 0 00 00 0 s ha r es t o t he V e nd ors an d ha v e a greed to i s s ue a n ad d i ti on a l 1 0 00 0 00 wor th of bo nu s s ha r es c on ti ng en t o n t he Com pa n y s r e l e as e of a 43 10 1 c om pl i an t m ea s ured an d i n di c at ed r e s ou r c e of 20 00 0 00 ou nc e s or m ore of go l d w i thi n t h e c l a i m s of Rol l o I n ad d i ti on th e Com pa n y p ai d 2 0 10 0 i n c as h as a r ep a y m en t of s tak i ng c os ts as s oc i ate d wi th R ol l o S ub s e qu e nt t o y ea r en d th e Co m pa n y r ec ei v e d reg ul a tor y ap pro v a l f or th e a gree m en t a nd i s s u ed t he 10 0 00 0 0 s ha r es t o t h e V e nd ors Note 14 S CH E W A B IK P RO P E RT Y O NT A RIO Dur i n g the y e ar the Com pa n y ac qu i r ed b y s t ak i ng the S c he wabi k G ol d P r op ert y i n O nt ario T he tot a l c os t a s s oc i at ed wi th th e a c qu i s i t i on was 28 3 68