South Golden Promise JV Project

60% Crosshair
40% Paragon

Target: Gold (sedimentary-hosted and intrusion-hosted, mesothermal gold deposits)

Highlights

• Large land position in a highly prospective, emerging gold belt
• Surface assays up to 232 g/t gold
• Linda/Snow White Vein Zone system defined over 170 metres strike length and up to 5 metres wide - open in all directions
• Significant drill intercepts of up to 19.5 g/t gold over 1.15 metres including 63.3 g/t gold over 0.35 metres
• Strong similarities to the Bendigo-Ballarat Gold District in Australia -- an area over 22 million ounces of past gold production
• Excellent gold deposit potential in under explored belt

Property Information

The South Golden Promise property is located in central Newfoundland, about 60 kilometres southwest of the town of Grand Falls-Windsor. The property consists of 8 mineral licences (1072 claims) for a total area of 26,800 hectares. The Property was subject to a multiple property option agreement with Crosshair Exploration & Mining Corporation ("Crosshair") by which Crosshair has earned a 60% interest in the property by spending $1,750,000 by October 2007.

Geology and Mineralization

The property is underlain by sedimentary rocks (mudstone, greywacke) and lesser volcanic rocks (mafic, rhyolite tuff) of the Victoria Lake Group. These rocks are stratigraphically overlain by the Carodocian black shale sequence, which separates rocks of the Victoria Lake Group to the south from overlying Ordovician to Silurian siliciclastic sediments of the Badger Group to the north. Younger felsic plutonic rocks of the Hodges Hill granite and the Skull Hill intrusion locally intrude all rocks. Several minor gabbroic dykes and sills also cut the stratigraphy.

Crosshair completed a high-resolution magnetic-EM helicopter airborne survey over approximately 60% of the property. In 2004, Crosshair completed a soil geochemistry survey collecting a total of 4077 soil samples. Thirty-five anomalous samples were returned from the soil survey with assays as high as 252 ppb gold. Follow-up prospecting led to the discovery of the Linda/Snow White prospect, an area of mineralized float with initial grab samples up to 10 g/t gold. Trenching by Crosshair at the Snow White prospect was successful in exposing a composite quartz vein system over a strike length of approximately 170 metres and up to 5 metres in width. Highlights of the sampling include up to 29.7 g/t gold over 0.5 metres channel samples and grab samples of up to 232 g/t gold.

Drilling (16 holes for 1116.6 metres) during early 2006 by Crosshair intersected the mineralized Linda and Snow White vein system with assays up to 19.5 g/t gold over 1.15 metres, including 63.3 g/t gold over 0.35 metres (hole SGP-14).