LETTER TO THE EDITOR — Ruling based on cash paid, not incurred costs

In an otherwise accurate account of Exall Resources’ promising exploration results at the Glimmer mine in northeastern Ontario (T.N.M., Nov. 17/97), The Northern Miner may have misrepresented the effect of a judge’s ruling in the dispute between Exall and its joint-venture partner, Glimmer Resources.

The judge ordered that the calculation of expenditures used to determine equity in the mine be based on cash payments only, not on all incurred costs. It would be premature and misleading to draw any conclusions at this time as to the content or consequences of any calculations based on that order.

Pending any future court judgment to the contrary, Exall retains its 65.53% interest in the mine and continues as operator.

Stephen Roman

President

Exall Resources