OTHER PROPETIES

Royalties

Hinterland holds a number of Net Smelter Return royalties owing to its activity as a project generator and property vendor.  The Royalties are summarized in the table below:

Lockout Gold, Quebec

The Lockout gold property is located in the Urban-Barry belt of Quebec. Hinterland retains a 2% NSR royalty. The royalty agreement was signed with TSX Venture listed Beaufield Resources Inc. Beaufield has the right to purchase 1% of the royalty for $1 million, and has a further right of first refusal on the second 1%. Beaufield is currently exploring the Lockout as part of its extensive Urban-Barry property.

Chilton Cobalt, Quebec

The Chilton gold property is located near Sainte-Adele in the Laurentian region of Quebec. Hinterland retains a 2% NSR royalty. The royalty agreement was signed with TSX Venture listed CBLT Inc. CBLT has the right to purchase 1% of the royalty for $1 million. CBLT is actively exploring the property for cobalt, and recently completed a UAV magnetic survey.

Gowganda Cobalt, Ontario

The Gowganda cobalt property is located near Gowganda in the Cobalt Mining Camp of Ontario. Hinterland retains a 2% NSR royalty. The royalty agreement was signed with CBLT Inc. CBLT has the right to purchase 1% of the royalty for $1 million. CBLT recently signed an earn-in agreement with ASX-listed Winmar Resources Ltd. whereby Winmar has been granted an option to earn a 100% interest in three of the original five claim blocks forming the Gowganda property. CBLT also signed a second earn-in agreement with Krakatoa Resources Limited whereby Krakatoa has been granted an option to earn a 100% interest the remaining two original claim blocks forming the Gowganda property. The Gowganda royalties will remain due to Hinterland in the event that the one or both of the options are exercised.

Harker Gold, Ontario

The Harker gold property is located in the Matheson Gold Camp north of Kirkland Lake, Ontario. Hinterland retains a 0.75% NSR royalty of which 0.375% may be purchased for $500,000. The royalty agreement was signed with Newmont Canada Ltd., and subsequently assigned by Newmont to TSX listed Kirkland Gold Inc.

TAK Gold , Yukon

The TAK gold property is located adjacent to Goldcorp’s Coffee gold deposit in the Dawson area of Yukon. Hinterland holds a 0.5% NSR royalty of which 0.25% may be purchased for $250,000. The royalty agreement was signed with TSX Venture listed Eureka Resources Inc. Trading in Eureka is currently halted pending a merger with Kore Mining Ltd. by a plan of arrangement. Once this transaction is complete, Eureka’s obligations under the royalty agreement will be assigned to Kore.

Property

Location

Current Owner

Main Metal

NSR Royalty

Buyout

ROFR

Lockout

Quebec

Beaufield

Gold

2%

1% for $1 million

Yes

Chilton

Quebec

CBLT Inc.

Cobalt

2%

1% for $1 million

No

Gowganda

Ontario

CBLT Inc.

Cobalt

2%

1% for $1 million

No

Harker

Ontario

Kirkland Lake Gold Inc.

Gold

0.75%

0.375% for $0.5 million

No

Tak

Yukon

Eureka

Gold

2%

 0.25% for $250,000

No