A medium depth, high-impact gas play that includes the prolific Falher sands and identified shallow zones at Noel in Northeastern British Columbia.

Goldnev entered into a farm-in agreement with Devon Canada Corporation in a natural gas property located 160 km southeast of Fort St. John, British Columbia. Close to active oil and gas fields with pipeline and processing infrastructure, Goldnev has kept a 57% working interest in approximately 640 acres (one section) of land.

The current producing zone is the Falher formation which has production throughout the area. The existing gas well is re-completed and producing approximately 50 mcf/d (10 boe/d).

Strategy for 2010/2011 is to increase the land base in order to lower the exploration risk. Goldnev plans to drill a new well to test two up-hole shallow gas zones and expects the well could produce approximately 1,000 mcf/d (or 166 boe/d). The drilling program targets the Cardium Formation. Upon successful results from the shallow gas well, Goldnev will drill at least two more shallow gas wells from the same location to continue exploiting the potential of the formation in the identified shallow gas zones.

There is a farmout with a significant partner expected in 2010. Planned drilling and fracing of up to three wells during 3rd and 4th quarter to prove up the Cardium play. Production of 1.5 – 2 Mcf/d per well expected. Resource estimate of two BCF of gas per well. Total Capex =$500K