Page 32 By Kevin V incent Confdence in T immins newest promising gold mine is high GoW est hit the pause button in mid April but the company secured ad ditional operational fnancing that it announced May 1st Earlier the company had announced they were suspending mine operations and that they hoped to resume as soon as possible As the Company reviews and eval uates its options for processing ore from its Bulk Sample and given the uncertainty of the timing sur rounding the processing of the Bulk Sample and the fact that there is no further capacity at the mine site to store any further under ground mined material the Company has determined to suspend current min ing operations but only to the ex tent that will ensure there will be no delay in the renewal of the develop ment of the mine when conditions warrant During this period the Company will continue to focus on deferring reducing or eliminating nonessential expenditures stated the company The Company s key partners re main supportive in its eforts to de velop the Bradshaw mine T o the extent possible the company and its key partners will continue to work cooperatively to ensure that min ing operations may be resumed as soon as possible once the company has secured both necessary arrange ments for processing ore from Brad shaw and additional funding The company announced April 30 it intends to complete a private placement of common shares for 5 million a portion of which will be issued on a fowthrough basis Pric ing will be released at a later date Both disappointment and optimism were evident in the company s April 16 news release The Company continues to have support from PGB T immins Hold ings LP PGB who provided the initial fnancing for the commence ment of development of the Brad shaw Mine through the PrePaid Forward Gold Purchase Agreement entered into between the Company and PGB see Gowest news release dated Dec 16 2016 W ith the termination of the share purchase agreement for the acquisi tion of a 50 ownership in the Red stone Mill at this time the Company cannot satisfy the few remaining conditions precedent for the second tranche of the PrePaid Forward Gold Purchase Agreement which were related primarily to the above noted acquisition by the Company and the completion of a tollmilling agreement Gowest is also holding out hope that its lar gest shareholder Fortune Fu ture Holdings may come through with a major investment to acceler ate mine development and for ex ploration fnancing Fortune may do it alone or bring in a syndicate of investors Gowest has spent the past year derisking the Bradshaw deposit through its drilling program and its under ground mine development It is now in a position to start pro cessing its stockpiled material In order to continue its Bulk Sample Program and to enable it to refne its current plan towards full pro duction Gowest is planning to an nounce a fnancing in the near term Given the timing to process our Bradshaw material at the Redstone Mill has been delayed well beyond what was originally contemplated it is only prudent that we take the necessary steps we are announcing today said Gowest President and CEO Greg Romain at the time op erations were put on pause In the interim the company had achieved several milestones It completed over 2098 metres of un der ground development at the 30 45 and 60 metre levels Silling is well underway on all levels At this time 28567 tonnes of development material have been stockpiled on surface for sorting milling and sale as concentrate On the safety side no injuries at the project to date for mine site surface and under ground construction The water treatment plant is fully opera tional and the dischar ge is environ mentally compliant Page 30