Royalty Assets

HAWKEYE retains 2% NSR’s on the following properties located in the BC Golden Triangle of northwest British Columbia, Canada. These royalties were acquired pursuant to an Asset Purchase Agreement whereby the Company sold its Golden Triangle properties to Newcrest Red Chris Mining Ltd. (“Newcrest”), a wholly-owned subsidiary of Newcrest Mining Limited (Australian Stock Exchange: NCM, Toronto Stock Exchange: NCM), for total consideration of CAD$1,400,000. Newcrest Mining has since been purchased by Newmont Mining. The royalties are subject to buy-down provisions described below.

Royaltor Property Location Comodities Net Smelter Royalty (NSR) Buy-Down Terms
Newmont McBride British Columbia
Golden Triangle		 Copper, Gold, Silver, Molybdenum 2% Newmont may purchase the first 1% of the NSR on the McBride property for cash consideration of CAD$1,500,000. Thereafter, Newmont may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the McBride property.  Newmont’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newmont.
Newmont Railway British Columbia
Golden Triangle		 Gold, Copper, Silver, Platinum 2% Newmont may purchase the first 1% of the NSR on the Railway property for cash consideration of CAD$1,500,000. Thereafter, Newmont may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the Railway property.  Newmont’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newmont.
Newmont Boomerang British Columbia
Golden Triangle		 Copper, Gold, Silver, Molybdenum 2% Newmont may purchase the first 1% of the NSR on the Boomerang property for cash consideration of CAD$1,500,000. Thereafter, Newmont may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the Boomerang property.  Newmont’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newmont.
Newmont Todagin British Columbia
Golden Triangle		 Copper, Silver, Zinc 2% Newmont may purchase the first 1% of the NSR on the Todagin property for cash consideration of CAD$1,500,000. Thereafter, Newmont may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the Todagin property.  Newmont’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newmont.
Royaltor Newcrest
Property McBride
Location British Coumbia Golden Triangle
Comodities Copper, Gold, Silver, Molybdenum
Net Smelter Royalty (NSR) 2%
Buy-Down Terms Newcrest may purchase the first 1% of the NSR on the McBride property for cash consideration of CAD$1,500,000. Thereafter, Newcrest may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the McBride property.  Newcrest’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newcrest.
Royaltor Newcrest
Property Railway
Location British Coumbia Golden Triangle
Comodities Gold, Copper, Silver, Platinum
Net Smelter Royalty (NSR) 2%
Buy-Down Terms Newcrest may purchase the first 1% of the NSR on the Railway property for cash consideration of CAD$1,500,000. Thereafter, Newcrest may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the Railway property.  Newcrest’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newcrest.
Royaltor Newcrest
Property Boomerang
Location British Coumbia Golden Triangle
Comodities Copper, Gold, Silver, Molybdenum
Net Smelter Royalty (NSR) 2%
Buy-Down Terms Newcrest may purchase the first 1% of the NSR on the Boomerang property for cash consideration of CAD$1,500,000. Thereafter, Newcrest may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the Boomerang property.  Newcrest’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newcrest.
Royaltor Newcrest
Property Todagin
Location British Coumbia Golden Triangle
Comodities Copper, Silver, Zinc
Net Smelter Royalty (NSR) 2%
Buy-Down Terms Newcrest may purchase the first 1% of the NSR on the Todagin property for cash consideration of CAD$1,500,000. Thereafter, Newcrest may purchase a further three-quarters of the remaining NSR on the Property by paying Hawkeye an additional CAD$1,000,000 in cash. Thereafter, Hawkeye will retain a 0.25% NSR interest in the Todagin property.  Newcrest’s entitlement to purchase these portions of the NSR will terminate sixty (60) days from the Commencement of Construction (as that term is defined in the royalty agreement with Newcrest) of a mine on the Property.  The NSR is also subject to a right of first refusal in favour of Newcrest.