ABOUT THE COMPANY Alluvial Gold melanesia is a medium scale gold exploration and  production company based in Port Moresby with operations across the  country's large mining areas. The company was founded in early 2010 and  registered with the Investment Promotion Authority (IPA) of Papua New  Guinea under the companies act. Since its inception, the company started gathering manpower and equipment to propose small to medium scale  mining operations in Papua New Guinea. It currently has a mining agreement with the Waitri River Landowners of Ningerum in the Western Province of PNG to carry out prospective alluvial gold mining work on their river beds.  There are about eight (8) clans altogether along the Waitri river stream which flows down to the mighty Fly river system, and the purpose of this engagement was to provide eight(8) gold dredges to operate in various sections of the river  bed. Throughout the years people of Waitri River area have witnessed  massive scale of gold production and development happening to their area especially the OK Tedi Mining Project(the largest in Papua New Guinea), and it has come to their attention that their river banks is rich with alluvial gold  deposits. Through much consultation work and advice Alluvial Gold Melanesia Ltd has secured a vital partnership with the Ningerum people and helped  assisted in setting up dredges to the eight (8) clans along the river banks for alluvial gold production. The company and landowners agreed on a joint  venture and so far the 8 dredges have been delivered. The old time prospectus used the gold and the pan to follow the  alluvial pathway to the hard rock source. Alluvial Gold Melanesia has  developed an innovative sampling strategy, refining the role of the gold pan, where the suction dredge is used to bulk sample the gold depositional zones of the active river channel. The size, physical appearance, inclusions and  position of the gold within the gravel profile still "talks" about the source rocks just as it did for the old timers. Float rock analysis using XRF equipment, litho  logy identification and geological mapping of creek outcrop provides the  geologist with an understanding of the geological setting and mineralization styles within the river system. This data rich exploration strategy will be used to define the mineralised watersheds in river systems across all of the JV's  tenements. These watersheds will be the focus of advanced exploration  programs to locate and define the extent and grade of the mineralisation. OUR COMMITMENT •  To deliver cost effective and easily implemented mining   operation. •  Economically and environmentally sustainable and ensures tangible benefits to the people. •  Strong community participation through our partnership  arrangements •  To take advantage of the lucrative alluvial mining industry and expand the joint venture operations given that the  current price of gold is at USD1, 100 per ounce. •  The joint venture can be able to sustain itself for a longer  period of time financially and diversify into other lines of  business. •  Employment opportunities as well as other social benefits will be available for locals VISION To operate a highly successful alluvial gold mining venture in Papua New  Guinea. The one aim of AGM is to focus on small to medium size mining operations  along the river systems of the Western province, and then increase current  prospectus to include other provinces of the country as well. The company's operations mainly involves prospectus through sampling, mapping, drilling  and geophysics work. EXPLORATION STRATEGY Many of today's exploration techniques are model  driven using regional geochemical sampling surveys as the first pass exploration tool. Typically, the sample is a 10 to 15kg bag of sand taken from exposed gravel banks in the river. This  sample is then analysed in parts per billion. Stream sediments, pan concentrates, soil and rock chip samples are often  unreliable because of the small sample size and because the technique employed is sensitive to environmental factors.  These samples generally do not provide enough information to help locate ore bodies or focus ground exploration. The exploration protocol developed by Alluvial Gold  Melanesia is data driven and specifically designed for regions of high rainfall and erosion rates. The sampling methodology  provides an information rich dataset for all minerals with a  specific density of greater than three i.e. metal sulphides,  silicates and oxides, with the malleability of gold, silver and the platinum group metals providing extra information. First Phase - Community and landowner consultation  Community consultation provides information and education to the landowners about Alluvial Gold Melanesia's exploration objectives for the river system and manages expectations  about the benefits that will be brought about as a result of the exploration exercise. The landowners and clan boundaries are identified and the location and geology of any mining  activities documented. Potential sites for helicopter operations are investigated and discussed with the community. Second Phase - Segmentation sampling of major river systems Gives information on size distribution and morphology of the  heavy minerals in the gravel profile The mineralogy provides indications on the types of  mineralisation component i.e. gold, platinum and the distance to source Geochemistry of heavy metals and minerals  Petrology and identification of the float rock population Both the geochemistry and petrologic studies provide  information on the styles of mineralisation, epithermal,  porphyritic, etc. Third Phase - Detailed sampling of secondary and tertiary rivers  and streams This sampling phase identifies the specific river catchments,  which contain the mineralisation. Results are interpreted in association with air photo/satellite  data, which gives a first pass indication of potential  mineralisation host features - mineralisation is usually  associated with a geological feature, i.e. an intrusive or fault. Fourth Phase - Geological surveys to evaluate specific targets  The fourth phase comprises geological mapping, sampling  and drilling to evaluate the extent, grade and style of  mineralisation, factors which enable assessment of the  potential value of the deposit.