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GREAT AMERICAN ENERGY, INC.
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<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Great American Energy, Inc. (formerly
Southern Bella, Inc.) (“Great American”, “Southern Bella”, the “Company” or the “Registrant”)
was incorporated in Delaware on February 22, 2007.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Uptone Pictures, Inc. (“Uptone”)
was incorporated in North Carolina on March 27, 2006. Uptone is an entertainment company, which specializes in the creation, production
and distribution of content.<br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On December 17, 2010 (the “Closing”),
Southern Bella, Inc., closed a reverse take-over transaction by which it acquired Uptone. Pursuant to a Share Exchange Agreement
(the“Exchange Agreement”) between the Registrant and Uptone, Viola J. Heitz, shareholder of Southern Bella, and Wendi
Davis, sole shareholder of Uptone, the Registrant acquired 100% of Uptone’s issued and outstanding common stock.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 13, 2011, Southern Bella entered
into a Subsidiary Put Option Agreement (the “Put Option Agreement”) with Wendi and Michael Davis (the “Purchasers”).
As of May 13, 2011, the Purchasers were members of Southern Bella’s Board of Directors (the “Board”). On such
date, the Purchasers were the beneficial holders of 8,166,667 shares of Southern Bella’s common stock, par value $0.000001
per share, or 94% of Southern Bella’s issued and outstanding common stock (the “Davis Shares”). Subsequently,
the Davis Shares were sold to Geoff Evett pursuant to the terms of a stock purchase agreement further described below. Under the
terms of the Put Option Agreement, Southern Bella acquired a put option (the “Put Option”) obligating the Purchasers
to purchase Southern Bella’s holdings of 100 shares of common stock of Uptone, such shares constituting all of the issued
and outstanding shares of Uptone (the “Uptone Shares”) for a total price of $100. Under the terms of the Put Option,
Southern Bella is required to obtain Board and stockholder approval prior exercising the Put Option. The Put Option will expire
on May 13, 2014 (the “Option Termination Date”), unless it is terminated earlier under the terms of the Put Option
Agreement.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Pursuant to the terms of the Put Option
Agreement, the Purchasers agreed to indemnify Southern Bella for any costs, expenses, liabilities or claims incurred by Uptone
before, by and through and after the option period (the period from May 13, 2011 to the Option Termination Date or earlier termination
as provided in the Put Option Agreement).</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Southern Bella entered into the Put Option
Agreement in connection with a stock purchase agreement that the Purchasers separately entered into with Geoff Evett on May 13,
2011 (the “Stock Purchase Agreement”), which closed on May 16, 2011 (the “SPA Closing”). On the SPA Closing,
the Purchasers sold 100% of the Davis Shares to Mr. Evett for an aggregate cash payment of $220,000. On the SPA Closing, the Purchasers,
who were previously Southern Bella’s officers, resigned from such positions and Mr. Evett was appointed as President, Chief
Executive Officer, Chief Financial Officer and Secretary. On the Closing, the Purchasers submitted resignation letters from their
positions as directors which were effective 10 days after the filing and mailing to Southern Bella’s stockholders of an Information
Statement pursuant to Section 14(f) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 14f-1 promulgated
thereunder. Mr. Evett became Southern Bella’s sole director on May 27, 2011.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 29, 2011, Southern Bella approved
the Certificate of Amendment to change its name to Great American Energy, Inc. (“Great American”). The name change
was effective as of August 26, 2011.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 30, 2011, the Company effected
a 79-for-1 stock-on-stock dividend for all of the issued and outstanding shares of the Company’s common stock on the record
date of August 29, 2011 (the “Dividend”). Following the Dividend, the Company had 88,000,000 shares of common stock
outstanding.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On April 19, 2012, Mr. Geoff Evett, the
Company’s Chief Executive Officer, tendered his resignation from his position as CEO of the Company.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">On April 19, 2012, Mr. Felipe Pimienta Barrios was appointed
Chief Executive Officer by the Company’s Board of Directors. On the same date Mr. Pimienta was appointed by the Company’s
Board of Directors to fill a vacancy on the Board.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">On June 29, 2012, the Company exercised the above-described
Put Option and the Company divested itself of the Uptone Shares. In connection with this exercise, all of the assets and liabilities
of Uptone have been transferred to the Purchasers and as of June 29, 2012, the Company no longer has any subsidiaries and the operations
of Uptone are no longer the operations of the Company.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Basis of Presentation</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company follows accounting principles generally accepted
in the United States of America. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary
for a fair presentation of financial position and the results of operations for the periods presented have been reflected herein.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><u>Interim Financial Information</u></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The interim financial statements of the Company are condensed
and do not include some of the information necessary to obtain a complete understanding of the financial data. In the opinion of
management, all adjustments that are necessary for a fair presentation of the financial information for the interim periods reported
have been made. All such adjustments are of a normal recurring nature. Operating results for the three months ended March 31, 2013,
are not necessarily indicative of the results that may be expected for the year ended December 31, 2013. Accordingly, your attention
is directed to footnote disclosures found in the Annual Report on Form 10-K for the year ending December 31, 2012, and particularly
to Note 2, which includes a summary of significant accounting policies.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Exploration Stage</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company complies with Accounting Standards Codification
915-10 for its characterization of the Company as exploration stage.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Reclassifications</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Certain prior period amounts have reclassified to conform
to the current period presentation. There was no material effect to the financial statements as result of these reclassifications.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Use of Estimates</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The preparation of the financial statements in conformity
with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported
amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Cash and Cash Equivalents</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">For purposes of the statement of cash flows, the Company considers
all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. As of March 31,
2013 and December 31, 2012, there were no cash equivalents.<b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Discontinued Operations</i></b><br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The results of operations of a component
of an entity that either has been disposed of or is classified as held for sale is reported in discontinued operations if both
of the following conditions are met:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">a. The operations and cash flows of the
component have been (or will be) eliminated from the ongoing operations of the entity as a result of the disposal transaction.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">b. The entity will not have any significant
continuing involvement in the operations of the component after the disposal transaction.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In a period in which a component of an
entity either has been disposed of or is classified as held for sale, the income statement of the Company for current and prior
periods will report the results of operation of the component, including any gain or loss recognized, in discontinued operations.
The results of operation of a component classified as held for sale shall be reported in discontinued operations in the period(s)
in which they occur.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Mineral Property Costs</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Mineral property acquisition costs are capitalized upon acquisition.
Mineral property exploration costs are expensed as incurred. When it has been determined that a mineral property can be economically
developed as a result of establishing proven, proved, probable, or possible reserves, the costs incurred to develop such property
are capitalized. To date the Company has not established any reserves on its mineral properties.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company reviews long-lived assets for indicators of impairment
whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If the review indicates that
the carrying amount of the asset may not be recoverable, the potential impairment is measured based on a projected discounted cash
flow method using a discount rate that is considered to be commensurate with the risk inherent in the Company's current business
model. For purposes of recognition and measurement of an impairment loss, a long-lived asset is grouped with other assets at the
lowest level for which identifiable cash flows are largely independent of the cash flows of other assets.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Purchase Options for Mining Property</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Costs associated with acquisitions related to purchase options
for mining properties are capitalized when the costs are incurred in accordance with ASC 340.10. The costs are carried at the amount
paid and transferred to the appropriate asset account if the option is exercised. If it is determined that the Company will not
exercise the option, the option is expensed.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Reclamation Cost Obligations</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company follows ASC 410, <i>Asset Retirement and Environmental
Obligations</i>, which requires that an asset retirement obligation (“ARO”) associated with the retirement of a tangible
long-lived asset be recognized as a liability in the period in which it is incurred and becomes determinable, with an offsetting
increase in the carrying amount of the associated asset. The cost of the tangible asset, including the initially recognized ARO,
is depleted, such that the cost of the ARO is recognized over the useful life of the asset. The ARO is recorded at fair value,
and accretion expense is recognized over time as the discounted liability is accreted to its expected settlement value. The fair
value of the ARO is measured using expected future cash flow, discounted at the Company’s credit-adjusted risk-free interest
rate. As of March 31, 2013 and December 31, 2012 the Company had no reclamation obligations because it has only recently commenced
exploration activity.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Financial Instruments</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Pursuant to ASC 820, Fair Value Measurements
and Disclosures and ASC 825, Financial Instruments, an entity is required to maximize the use of observable inputs and minimize
the use of unobservable inputs when measuring fair value. ASC 820 and 825 establishes a fair value hierarchy based on the level
of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization
within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC
820 and 825 prioritizes the inputs into three levels that may be used to measure fair value:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 1</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 1 applies to assets or liabilities
for which there are quoted prices in active markets for identical assets or liabilities.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 2<br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 2 applies to assets or liabilities
for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar
assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume
or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can
be derived principally from, or corroborated by, observable market data.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 3</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 3 applies to assets or liabilities
for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value
of the assets or liabilities.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company’s financial instruments
consist principally of cash. Pursuant to ASC 820 and 825, the fair value of our cash is determined based on “Level 1”
inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our
other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Assets and liabilities measured at fair
value on a recurring basis were presented on the Company’s balance sheet as at March 31, 2013 as follows:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: bottom">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="10" style="border-bottom: black 1pt solid; text-align: center; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif"><b>Fair Value Measurements Using</b></font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Quoted prices in</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>active markets for</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>identical instruments</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 1)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Significant other</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>observable inputs</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 2)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Significant</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>unobservable inputs</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 3)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Balance,</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>March 31, </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Balance,</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31, </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 40%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Cash</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">22,418</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accounts payable</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">20,031</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">20,031</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">9,289</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accounts payable – related parties</font></td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">3,391</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">3,391</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">14,589</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">23,422</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">136,767</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">46,296</font></td>
<td style="line-height: 115%"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Income Taxes</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Potential benefits of income tax losses are not recognized
in the accounts until realization is more likely than not. The Company has adopted ASC 740 “Accounting for Income Taxes”
as of its inception. Pursuant to ASC 740, the Company is required to compute tax asset benefits for net operating losses carried
forward. The potential benefits of net operating losses have not been recognized in this financial statement because the Company
cannot be assured it is more likely than not it will utilize the net operating losses carried forward in future years.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b>Stock Based Compensation</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Beginning January 1, 2006, the Company adopted the FASB standard
related to stock based compensation. The standard requires all share-based payments to employees (which includes non-employee Directors),
including employee stock options, warrants and restricted stock, be measured at the fair value of the award and expensed over the
requisite service period (generally the vesting period). The fair value of common stock options or warrants granted to employees
is estimated at the date of grant using the Black-Scholes option pricing model by using the historical volatility of comparable
public companies. The calculation also takes into account the common stock fair market value at the grant date, the exercise price,
the expected life of the common stock option or warrant, the dividend yield and the risk-free interest rate.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company from time to time may issue stock options, warrants
and restricted stock to acquire goods or services from third parties. Restricted stock, options or warrants issued to other than
employees or directors are recorded on the basis of their fair value, which is measured as of the date required by the Emerging
Issues Task Force guidance related to accounting for equity instruments issued to non-employees. In accordance with this guidance,
the options or warrants are valued using the Black-Scholes option pricing model on the basis of the market price of the underlying
equity instrument on the “valuation date,” which for options and warrants related to contracts that have substantial
disincentives to non-performance, is the date of the contract, and for all other contracts is the vesting date. Expense related
to the options and warrants is recognized on a straight-line basis over the shorter of the period over which services are to be
received or the vesting period. As of March 31, 2013 and December 31, 2012, no options or warrants related to compensation have
been issued, and none are outstanding.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Basic and Diluted Net Loss Per Common Share</i></b><br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Basic and diluted net loss per share calculations are calculated
on the basis of the weighted average number of common shares outstanding during the period. The per share amounts include the dilutive
effect of common stock equivalents in periods with net income. Basic and diluted loss per share is the same due to the anti-dilutive
nature of potential common stock equivalents. As of March 31, 2013 the Company had 1,299,270 warrants outstanding (December 31,
2012 – 833,344) which were not included in the calculation of net loss per share for the period because they would have been
anti-dilutive.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Recent Accounting Pronouncements</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company has implemented all new accounting pronouncements
that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed,
and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a
material impact on its financial position or results of operations. </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">These financial statements of the Company are prepared using
accounting principles generally accepted in the United States of America applicable to a going concern, which contemplates the
realization of assets and liquidation of liabilities in the normal course of business. The continuation of the Company as a going
concern is dependent upon the continued financial support from its shareholders, the ability of management to raise additional
equity capital through private and public offerings of its common stock, and the attainment of profitable operations. As of March
31, 2013, the Company had working capital of $97,722 and an accumulated deficit of $1,331,876.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in"><b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">As more fully described in these Notes to Financial Statements
and elsewhere in this quarterly report, the Company has recently entered into options for the acquisition of various mineral properties.
None of these mineral properties currently have proven or probable reserves. The Company will be required to raise significant
additional capital to complete the acquisition of the interests in and further the exploration, evaluation and development of each
of these mineral properties. There can be no assurance that the Company will be successful in raising the required capital or that
any of these mineral properties will ultimately attain a successful level of operations. If the Company is unable to raise sufficient
capital to pay its obligations, or is unable to successfully complete the development of current mineral projects and obtain profitable
operations and positive operating cash flows, the Company may be forced to scale back its mineral property acquisition and development
plans or to significantly reduce or terminate operations and file for reorganization or liquidation under the bankruptcy laws.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">These factors together raise substantial doubt regarding the
Company’s ability to continue as a going concern. These financial statements do not include any adjustments to the recoverability
and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable
to continue as a going concern.<br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><i>Common Stock Transactions</i></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">On March 7, 2013, we accepted a subscription from
Pacific Oil & GAS Investments Ltd. (“Pacific Oil”) for 263,158 “Units” in consideration of
$250,000, or $0.95 per unit. Each “Unit” consisted of one share of the Company’s common stock and one warrant
to purchase one share of the Company’s common stock exercisable for $1.30 per share for three years from the date of
issuance.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">On January 8, 2013 we entered into a Subscription Agreement
with Pacific Oil for a total of 202,778 units in consideration of $182,500, or $0.90 per unit. Each “Unit” consisted
of one share of the Company’s common stock and one warrant to purchase one share of the Company’s common stock exercisable
for $1.30 per share for three years from the date of issuance.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">On each of May 8, 2012, July 4, 2012, and September 25,
2012, we entered into three separate Subscription Agreements (the “Subscription Agreements”) with Pacific Oil for a
total of 833,334 units in consideration of a total of $750,000, or $0.90 per unit. Each “Unit” consisted of one
share of the Company’s common stock and one warrant to purchase one share of the Company’s common stock exercisable
for $1.30 per share for three years from the date of issuance. Effective August 10, 2012, we issued 277,778 units Effective
October 24, 2012 we issued 555,556 units.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">During the first quarter of 2012, Metlera Capital contributed
$46,534 in capital, $2,700 in rent and $20,000 in consulting to the Company. Also during the first quarter of 2012, 7Worldwide,
owned by the former President, Mike Davis and Medplus, owned by the former Secretary’s father, contributed $20,100 and $28,450,
respectively.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Under the terms of the Put Option Agreement, Southern Bella
acquired a put option (the “Put Option”) obligating the Purchasers to purchase Southern Bella’s holdings of 100
shares of common stock of Uptone, such shares constituting all of the issued and outstanding shares of Uptone (the “Uptone
Shares”) for a total price of $100.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Below is the summary of the Put Option Agreement including
fair value of assets disposed, liabilities disposed and consideration received as of June 29, 2012, when the option was exercised.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Below are the asset and liability values for Uptone Pictures,
Inc. prior to exercise of Put Option Agreement:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 88%; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Cash</font></td>
<td style="width: 1%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; border-bottom: black 1pt solid; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 9%; border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">1,988</font></td>
<td style="width: 1%; line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Total assets</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">1,988</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accrued liabilities</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">12,798</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Deferred revenue</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">9,525</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Total liabilities</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">22,323</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Net assets – discontinued operations</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">(20,335</font></td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">)</font></td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">During the first quarter of 2013, the
Company incurred a total of $28,500 in salaries and consulting fees for the services of its directors and officers. As of March
31, 2013, the Company has recorded an accounts payable to a related party, director, for $2,500 for consulting services provided
and a further $891 as due to its Chief Executive Officer for expenses incurred on behalf of the Company (December 31, 2012 - $5,000
and $9,589 respectively).</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Effective May 1, 2012, the Company entered
into an independent contractor agreement (the “Independent Contractor Agreement”) with Mr. Geoff Evett (“Mr.
Evett”). Pursuant to the terms of the Independent Contractor Agreement, Mr. Evett will assist the Company with business development
projects outside of the United States and will be compensated at a rate of $2,500 per month. Additionally, Mr. Evett will be reimbursed
for reasonable expenses incurred while providing services to the Company under the Independent Contractor Agreement. The Independent
Contractor Agreement has a term of one year and is automatically renewable for subsequent one year terms. Mr. Evett also serves
as the chairman of the board of directors and a director of the Company.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">During the first quarter of 2012, the
Company received $95,084 of contributed capital from three related parties: $20,100 from 7Worldwide, owned by the former President,
Mike Davis, $28,450 from MedPlus, owned by the former Secretary’s father, and $46,534 of contributed capital from Metlera
Capital SL, owned equally by Geoff Evett and his wife. The $46,534 consists of $23,834 of cash, $2,700 in rent and $20,000 in consulting.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Prior to the exercise of the Put Option,
the Company conducted its operations from facilities located in Wake Forest, North Carolina. This office was provided to the Company
by its former President, Mike Davis, for which the company recognized expenses of $900 per month through July 1, 2012. Rent expense
for the three months ending March 31, 2012 was $2,700.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Wallach Option (Trail, British Columbia,
Canada)</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 7, 2012, the Company entered
into a Mineral Property Option Agreement (the “Wallach Option”) with Mr. David A. Wallach of 0911325 BC, Ltd. (“Wallach”)
with an effective date of April 28, 2012. Pursuant to the Wallach Option, the Company has been granted the exclusive right to
acquire an undivided 60% interest in 10 mining claims consisting of approximately 2,958 hectares of property located near Trail,
British Columbia. To exercise the Wallach Option, the Company must:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="width: 100%; font: 8pt Times New Roman, Times, Serif">
<tr style="vertical-align: top; font: 8pt Times New Roman, Times, Serif">
<td style="width: 8%; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="width: 4%; font: 8pt/115% Times New Roman, Times, Serif"><font style="font: 8pt Times New Roman, Times, Serif">(i)
</font></td>
<td style="width: 88%; font: 8pt/115% Times New Roman, Times, Serif"><font style="font: 8pt Times New Roman, Times, Serif">make
cash payments to Wallach totaling $350,000, of which $275,000 had been paid as of March 31, 2013;</font></td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top; font: 8pt Times New Roman, Times, Serif">
<td style="width: 8%; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="width: 4%; font: 8pt/115% Times New Roman, Times, Serif"><font style="font: 8pt Times New Roman, Times, Serif">(ii)
</font></td>
<td style="width: 88%; font: 8pt/115% Times New Roman, Times, Serif"><font style="font: 8pt Times New Roman, Times, Serif">fund
improvement and mineral exploration projects on the property totaling $350,000 of which $55,000 had been paid as of March
31, 2013; and</font></td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top; font: 8pt Times New Roman, Times, Serif">
<td style="width: 8%; font: 8pt/115% Times New Roman, Times, Serif"> </td>
<td style="width: 4%; font: 8pt/115% Times New Roman, Times, Serif"><font style="font: 8pt Times New Roman, Times, Serif">(iii)
</font></td>
<td style="width: 88%; font: 8pt/115% Times New Roman, Times, Serif"><font style="font: 8pt Times New Roman, Times, Serif">if
the mineral and exploration projects provide evidence that there is the equivalent of at least $1,000,000,000 of gross value
on the property, issue 1,000,000 shares of common stock to Wallach.</font></td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> <b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company must satisfy the above-described conditions and
exercise the Wallach Option no later than April 30, 2015. After exercise of the Wallach Option, Wallach will retain a 2% net smelter
royalty for any and all minerals mined and delivered from the property. The Company and Wallach have also agreed to cooperate
in acquiring mining claims in the area within an 8.5 kilometer radius of the property, with such acquisitions to be subject to
the terms of the Wallach Agreement. As of May 7, 2013, the Company is in compliance with the Wallach Option agreement.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b>GeoXplor Option (Esmeralda County, Nevada, United States
of America)</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="margin: 0; font: 8pt Times New Roman, Times, Serif">On June 13, 2012, we entered into the Mineral Property Option Agreement
(the “GeoXplor Option”) with GeoXplor Corporation, a Nevada corporation (“GeoXplor”). Pursuant to the GeoXplor
Option, GeoXplor has granted the Company the exclusive right to acquire a 100% interest in and to 48 unpatented mining claims
comprising approximately 7,680 acres of property located in and around Esmeralda County, Nevada. To exercise the GeoXplor Option,
the Company must make cash payments to GeoXplor totaling $575,000, of which $400,000 had been paid as of March 31, 2013 and fund
improvement and mineral exploration projects on the property totaling $800,000, of which $55,480 had been spent as of March 31,
2013. The Company is required to pay a further $50,000 option payment and $41,520 towards exploration expenditures by June 15,
2013. The Company must satisfy all the above-described conditions and exercise the GeoXplor Option no later than July 1, 2015.
After exercise of the GeoXplor Option, GeoXplor will be granted a 3% net smelter royalty for any and all minerals mined and delivered
from the property. As of May 7, 2013, the Company is in compliance with the GeoXplor Option agreement</p>
<p style="margin: 0pt"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Management has evaluated subsequent events through the date
the financial statements were issued and has determined the following subsequent events require disclosure:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/115% Times New Roman, Times, Serif; margin: 0 0 10pt">Subsequent to March 31, 2013 the Company paid the
final $45,000 towards the Wallach Option exploration to complete the commitment of $100,000 due by April 28, 2013. The
Company received a waiver from the optionor to make the required $50,000 option payment on or before May 8, 2013, the payment
was made on May 3, 2013.</p>
<p style="font: 8pt/115% Times New Roman, Times, Serif; margin: 0 0 10pt">Effective May 3, 2013, the Company received
$48,000 pursuant to a subscription by Pacific Oil for the purchase of 60,760 Units, at $0.79 per Unit. Each Unit consists of
1 share of common stock and one common stock purchase warrant exercisable at $1.30 for a term of 3 years from the date of
issuance. </p>
<p style="margin: 0pt"></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Basis of Presentation</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company follows accounting principles generally accepted
in the United States of America. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary
for a fair presentation of financial position and the results of operations for the periods presented have been reflected herein.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><u>Interim Financial Information</u></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The interim financial statements of the Company are condensed
and do not include some of the information necessary to obtain a complete understanding of the financial data. In the opinion of
management, all adjustments that are necessary for a fair presentation of the financial information for the interim periods reported
have been made. All such adjustments are of a normal recurring nature. Operating results for the three months ended March 31, 2013,
are not necessarily indicative of the results that may be expected for the year ended December 31, 2013. Accordingly, your attention
is directed to footnote disclosures found in the Annual Report on Form 10-K for the year ending December 31, 2012, and particularly
to Note 2, which includes a summary of significant accounting policies.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Exploration Stage</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company complies with Accounting Standards Codification
915-10 for its characterization of the Company as exploration stage.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Reclassifications</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Certain prior period amounts have reclassified to conform
to the current period presentation. There was no material effect to the financial statements as result of these reclassifications.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Use of Estimates</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The preparation of the financial statements in conformity
with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported
amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Cash and Cash Equivalents</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">For purposes of the statement of cash flows, the Company considers
all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. As of March 31,
2013 and December 31, 2012, there were no cash equivalents.<b> </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Discontinued Operations</i></b><br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The results of operations of a component
of an entity that either has been disposed of or is classified as held for sale is reported in discontinued operations if both
of the following conditions are met:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">a. The operations and cash flows of the
component have been (or will be) eliminated from the ongoing operations of the entity as a result of the disposal transaction.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">b. The entity will not have any significant
continuing involvement in the operations of the component after the disposal transaction.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">In a period in which a component of an
entity either has been disposed of or is classified as held for sale, the income statement of the Company for current and prior
periods will report the results of operation of the component, including any gain or loss recognized, in discontinued operations.
The results of operation of a component classified as held for sale shall be reported in discontinued operations in the period(s)
in which they occur.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Mineral Property Costs</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Mineral property acquisition costs are capitalized upon acquisition.
Mineral property exploration costs are expensed as incurred. When it has been determined that a mineral property can be economically
developed as a result of establishing proven, proved, probable, or possible reserves, the costs incurred to develop such property
are capitalized. To date the Company has not established any reserves on its mineral properties.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company reviews long-lived assets for indicators of impairment
whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If the review indicates that
the carrying amount of the asset may not be recoverable, the potential impairment is measured based on a projected discounted cash
flow method using a discount rate that is considered to be commensurate with the risk inherent in the Company's current business
model. For purposes of recognition and measurement of an impairment loss, a long-lived asset is grouped with other assets at the
lowest level for which identifiable cash flows are largely independent of the cash flows of other assets.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Purchase Options for Mining Property</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Costs associated with acquisitions related to purchase options
for mining properties are capitalized when the costs are incurred in accordance with ASC 340.10. The costs are carried at the amount
paid and transferred to the appropriate asset account if the option is exercised. If it is determined that the Company will not
exercise the option, the option is expensed.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Reclamation Cost Obligations</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company follows ASC 410, <i>Asset Retirement and Environmental
Obligations</i>, which requires that an asset retirement obligation (“ARO”) associated with the retirement of a tangible
long-lived asset be recognized as a liability in the period in which it is incurred and becomes determinable, with an offsetting
increase in the carrying amount of the associated asset. The cost of the tangible asset, including the initially recognized ARO,
is depleted, such that the cost of the ARO is recognized over the useful life of the asset. The ARO is recorded at fair value,
and accretion expense is recognized over time as the discounted liability is accreted to its expected settlement value. The fair
value of the ARO is measured using expected future cash flow, discounted at the Company’s credit-adjusted risk-free interest
rate. As of March 31, 2013 and December 31, 2012 the Company had no reclamation obligations because it has only recently commenced
exploration activity.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Financial Instruments</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Pursuant to ASC 820, Fair Value Measurements
and Disclosures and ASC 825, Financial Instruments, an entity is required to maximize the use of observable inputs and minimize
the use of unobservable inputs when measuring fair value. ASC 820 and 825 establishes a fair value hierarchy based on the level
of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization
within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC
820 and 825 prioritizes the inputs into three levels that may be used to measure fair value:</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 1</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 1 applies to assets or liabilities
for which there are quoted prices in active markets for identical assets or liabilities.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 2<br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 2 applies to assets or liabilities
for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar
assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume
or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can
be derived principally from, or corroborated by, observable market data.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 3</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Level 3 applies to assets or liabilities
for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value
of the assets or liabilities.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company’s financial instruments
consist principally of cash. Pursuant to ASC 820 and 825, the fair value of our cash is determined based on “Level 1”
inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our
other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: justify">Assets and liabilities measured at fair
value on a recurring basis were presented on the Company’s balance sheet as at March 31, 2013 as follows: </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: bottom">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="10" style="border-bottom: black 1pt solid; text-align: center; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif"><b>Fair Value Measurements Using</b></font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Quoted prices in</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>active markets for</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>identical instruments</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 1)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Significant other</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>observable inputs</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 2)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Significant</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>unobservable inputs</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 3)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Balance,</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>March 31, </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Balance,</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31, </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 40%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Cash</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">22,418</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accounts payable</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">20,031</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">20,031</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">9,289</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accounts payable – related parties</font></td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">3,391</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">3,391</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">14,589</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">23,422</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">136,767</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">46,296</font></td>
<td style="line-height: 115%"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Income Taxes</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Potential benefits of income tax losses are not recognized
in the accounts until realization is more likely than not. The Company has adopted ASC 740 “Accounting for Income Taxes”
as of its inception. Pursuant to ASC 740, the Company is required to compute tax asset benefits for net operating losses carried
forward. The potential benefits of net operating losses have not been recognized in this financial statement because the Company
cannot be assured it is more likely than not it will utilize the net operating losses carried forward in future years.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b>Stock Based Compensation</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Beginning January 1, 2006, the Company adopted the FASB standard
related to stock based compensation. The standard requires all share-based payments to employees (which includes non-employee Directors),
including employee stock options, warrants and restricted stock, be measured at the fair value of the award and expensed over the
requisite service period (generally the vesting period). The fair value of common stock options or warrants granted to employees
is estimated at the date of grant using the Black-Scholes option pricing model by using the historical volatility of comparable
public companies. The calculation also takes into account the common stock fair market value at the grant date, the exercise price,
the expected life of the common stock option or warrant, the dividend yield and the risk-free interest rate.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company from time to time may issue stock options, warrants
and restricted stock to acquire goods or services from third parties. Restricted stock, options or warrants issued to other than
employees or directors are recorded on the basis of their fair value, which is measured as of the date required by the Emerging
Issues Task Force guidance related to accounting for equity instruments issued to non-employees. In accordance with this guidance,
the options or warrants are valued using the Black-Scholes option pricing model on the basis of the market price of the underlying
equity instrument on the “valuation date,” which for options and warrants related to contracts that have substantial
disincentives to non-performance, is the date of the contract, and for all other contracts is the vesting date. Expense related
to the options and warrants is recognized on a straight-line basis over the shorter of the period over which services are to be
received or the vesting period. As of March 31, 2013 and December 31, 2012, no options or warrants related to compensation have
been issued, and none are outstanding.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Basic and Diluted Net Loss Per Common Share</i></b><br />
 </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">Basic and diluted net loss per share calculations are calculated
on the basis of the weighted average number of common shares outstanding during the period. The per share amounts include the dilutive
effect of common stock equivalents in periods with net income. Basic and diluted loss per share is the same due to the anti-dilutive
nature of potential common stock equivalents. As of March 31, 2013 the Company had 1,299,270 warrants outstanding (December 31,
2012 – 833,344) which were not included in the calculation of net loss per share for the period because they would have been
anti-dilutive.</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"><b><i>Recent Accounting Pronouncements</i></b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0">The Company has implemented all new accounting pronouncements
that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed,
and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a
material impact on its financial position or results of operations</p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: bottom">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="10" style="border-bottom: black 1pt solid; text-align: center; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif"><b>Fair Value Measurements Using</b></font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Quoted prices in</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>active markets for</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>identical instruments</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 1)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Significant other</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>observable inputs</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 2)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Significant</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>unobservable inputs</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(Level 3)</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Balance,</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>March 31, </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td colspan="2" style="border-bottom: black 1pt solid">
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Balance,</b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31, </b></p>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom">
<td style="width: 40%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td>
<td style="width: 9%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Cash</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">22,418</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accounts payable</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">20,031</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">20,031</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">9,289</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accounts payable – related parties</font></td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">3,391</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">3,391</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">14,589</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">113,345</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">23,422</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">—</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">136,767</font></td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="border-bottom: black 2.25pt double; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 2.25pt double; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">46,296</font></td>
<td style="line-height: 115%"> </td></tr>
</table>
<p style="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 8pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 88%; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Cash</font></td>
<td style="width: 1%; text-align: right; line-height: 115%"> </td>
<td style="width: 1%; border-bottom: black 1pt solid; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 9%; border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">1,988</font></td>
<td style="width: 1%; line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Total assets</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">1,988</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Accrued liabilities</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">12,798</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Deferred revenue</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">9,525</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Total liabilities</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">22,323</font></td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="line-height: 115%"> </td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="line-height: 115%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">Net assets – discontinued operations</font></td>
<td style="text-align: right; line-height: 115%"> </td>
<td style="border-bottom: black 1pt solid; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1pt solid; text-align: right; line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">(20,335</font></td>
<td style="line-height: 115%"><font style="font: 8pt Times New Roman, Times, Serif">)</font></td></tr>
</table>
20031
9289
20031
3391
14589
3391
136767
46296
113345
23422
1988
1988
12798
9525
22323
-20335
97722
1331876
2700
-146573
-62676
-353669
-572