Overview of the Project

The Logan is a silver-zinc property located 108 kilometers northwest of Watson Lake and 38 kilometers north of the Alaska Highway in the Watson Lake Mining District, Southern Yukon. Almadex has a 40% interest, carried to a positive production decision by 60% partner Yukon Zinc Corporation.

Between 1979 and 1988 a considerable amount of work was done on the property, including mapping, geochemistry, geophysical surveys, road and airstrip construction, and 103 diamond drill holes.

Exploration work delineated an 8000-meter long northeast trending fault-related structure containing the Main, West and East zones. Drilling defined an historic and non 43-101 compliant mineral resource of 12,300,000 tonnes grading 6.17% zinc and 26.4 g/t silver. Results of metallurgical testing are very encouraging and include zinc and silver recoveries in the mid 90% and mid 80% range respectively, with zinc concentrates assaying in the mid 50% range.

In 2004 Yukon Zinc Corporation released an independently estimated NI 43-101 Inferred mineral resource of 13,080,000 tonnes grading 5.10% zinc and 23.7 g/t silver using a 3.5% zinc equivalent cutoff that is based upon metal prices of US$0.43/lb zinc, US$5.50/oz silver, and recoveries of 94% and 64% respectively.