914W

Highlights:

• The 914W Project covers 1,260 hectares, located 48 km southwest of Cameco’s Key Lake Operation, with Highway 914 running through its western edge, providing excellent exploration access
• Geology includes Wollaston Supergroup gneisses of the Western Wollaston Domain, prospective for unconformity-related uranium in the Athabasca Basin and pegmatite-hosted uranium elsewhere in the domain
• Limited historical exploration includes airborne EM and magnetic surveys, geological mapping, and trenching (1968–1970), with nearby discoveries such as the Scurry Rainbow Zone E (1,288 ppm U in drill hole) and Don Lake Trenches (0.64% U₃O₈ in a trench)
• Modern exploration (2005–2007) featured helicopter-borne VTEM and Tempest TDEM surveys, prospecting, and sediment sampling, but much of this work focused outside the 914W Project, leaving it underexplored
• Recently optioned by Mustang Energy Corp., which will acquire a 75% interest by issuing shares valued at $480,000, paying $275,000 in cash, and completing $800,000 in exploration expenditures over three years

Project Summary:

The 914W Project consists of one claim covering 1,260 hectares approximately 48 km southwest of Cameco’s Key Lake Operation. Highway 914 runs through the western edge of the project, providing excellent access for exploration. Historical geological mapping of the property and surrounding area has shown that the project is predominantly underlain by prospective Wollaston Supergroup pelitic and psammitic to arkosic gneisses of the Western Wollaston Domain, which host significant unconformity-related uranium mineralization further to the north in the Athabasca Basin as well as pegmatite-hosted uranium mineralization elsewhere in the Wollaston Domain.

Despite the project’s proximity to Highway 914 and prospective geology, the project has seen limited exploration work. The earliest work on the 914W property included airborne EM and magnetic surveys and ground geological reconnaissance in 1968-1970, lake water and sediment sampling in 1976, ground VLF-EM, magnetic, and radiometric surveys, geological mapping, trenching, as well as sampling on the project and surrounding areas. Immediately to the north of the 914W property, prospecting led to the discovery of the Scurry Rainbow Zone E (SMDI1961) and the Don Lake Trenches (SMDI 1983), where up to 1,288 ppm U was encountered in drill hole ML-1 (SMDI1961) in a pyroxene-rich unit, and surface prospecting revealed up to 0.64% U₃O₈ in a trench at Don Lake Zone E (SMDI 1983). More recently, the project has seen airborne geophysical coverage by helicopter-borne VTEM (southern half) in 2005 and Tempest TDEM (northern half) in 2007, with prospecting, geological mapping, rock/sediment sampling and lake sediment sampling occurring on the project and surrounding areas in 2005-2007. However, much of the most recent exploration work was completed on areas outside of the extents of the 914W project and the project remains underexplored and prospective for unconformity-related and pegmatite-hosted uranium and REE’s.

The Project has recently been optioned by Mustang Energy Corp. to acquire an 75% interest in the Project. Mustang will issue common shares having aggregate value of CAD $480,000, make total cash payments of $275,000, and incur $800,000 in exploration expenditures on the Property over a 3 year period.

914W Project Map:

Terms of the Agreement:

Pursuant to the Agreement, Mustang may acquire a 75% interest in the Property by (i) issuing common shares in the capital of the Optionee (“Shares”) having an aggregate value of CAD $480,000; (ii) making aggregate cash payments of CAD $275,000; and (iii) incurring an aggregate of CAD $800,000 in exploration expenditures on the Property over a three-year period, as follows:

(1) Deemed pricing of Shares is based on the five (5) day volume weighted average price on the Canadian Securities Exchange for the 5 days prior to the time of the issuance (the “Deemed Price”).

Skyharbour will retain an NSR royalty of two percent (2%) whereby Mustang shall have the right at any time to purchase one-half (1/2) of the NSR royalty from Skyharbour in consideration of the payment to Skyharbour of CAD $1,000,000, thereby leaving Skyharbour with a one percent (1%) NSR royalty.