Goldnev's oil shale properties comprise of two contiguous oil shale permits totaling 155,443 acres (234 sections or 6.5 townships) of oil shale rights divided into the northern permit ("PS00243") and the southern permit ("PS00242") and located in the Pasquia Hills oil shale region in east central Saskatchewan. Goldnev owns a 85% working interest in the southern permit ("PS00243") under which the identified oil shale deposit is located. The Corporation also owns a 100% working interest in the northern permit ("PS00242") which requires further exploration.

Based upon water well log data, plus the drilling results of thirteen Sun Oil (now “Suncor Energy”) core holes located within the mapped area and published Saskatchewan Government information, the Corporation’s lands are known to be underlain by the oil shale (kerogen) deposits and can be observed on the banks of the Carrot River which crosses Corporation’s permitted lands. The lab assay indicates 45 litres per ton of rock equaling approximately 1.878 billion barrels of oil distillate over an identified oil shale deposit encompassing 38,223 acres.

Goldnev’s oil shale project is strategically located at or near surface on the Manitoba Escarpment outcrop edge providing for one of the more advantageous oil shale surface mining opportunities in the Pasquia Hills area.

With the successful results of the 2007 core hole drilling program and the following release of an NI 51-01 compliant Contingent Resource Report by Chapman Petroleum Engineering Ltd., the Corporation announced earlier this year that it has appointed Hatch Ltd. to undertake and complete a pre-feasibility study for the development of a Shale to Liquids Plant.

Hatch has extensive expertise in the design and engineering of oil shale mining and processing facilities and has completed several oil shale mining, plant construction and feasibility studies in the United States, Jordan, Australia and China. The PFS will assess the applicable mining, extraction and refining methods and provide details on equipment, capital and operating costs as part of a detailed mining and production scope analysis to confirm commerciality and / or the conditions required for commerciality of these identified oil shale resources within Goldnev’s confine.

The Pasquia Hills oil shale development project which is strategically located at or near surface of the Manitoba escarpment outcrop edge allows the oil shale to be extracted by surface mining methods, and using the proven oil shale processing retort technologies currently in use in other parts of the world, has the potential to be amongst the first producing oil shale projects in North America.