To: Douglas Simpson who wrote (3801 ) 12/29/1998 12:52:00 PM From: Steve Stakiw Respond to
Hello Doug, Answers to your questions1. The Cease Trader Order was issued on the 5th of November. It is now the 22nd of December. What is the reason for the delay? The Cease Trade Order has been revoked by the Alberta Securities Commission as of December 23/98. 2. Has Fairmile decided on what financial company they will use to their audit or are they still looking? The new auditors for Fairmile are Morgan and Company. 3. What are the chances of the stock to begin trading before the new year? Fairmile should be reinstated for trading this week by the Alberta Stock Exchange, however it is in their control. 4. What other mining companies are close to Fla's property? Some of the other mining companies with property holdings in the vicinity of Fairmile's Buffalo Valley property are Echo Bay Mines, Battle Mountain Gold, Newmont, Cameco Gold, Rayrock and Romarco. 5. Is Fairmile still in discussions with other Gold companies for a JV? What are some possible scenarios of a JV? Discussion are continuing as mentioned in various news releases however it tends to be a slow process. It would be imprudent to outline possible JV scenarios at this point. 6. Does Echobay still have an interest in the fla properties and is there a possibility of another JV with Echobay now that their financials are looking better? Echo Bay has no interest in Fairmile's properties, they were earning an interest in 1997 but were unable to continue the JV due to financial constraints. I cannot comment on the possibility of another JV. 7. Are there any plans for promoting the stock in the new year and form will it take? The company will continue to implement an investor awareness program in 1999. We are planning a series of broker/analyst presentations late in the first quarter. 8. Is there a chance of a reverse split for FLA shares? Why, or Why not? If this is in the works, details will be included in the AGM notice as shareholder approval is required. 9. How many shares have the director accumulated and at what price? I must defer to the Insider Trading Reports at the Alberta Securities Commission. Perhaps they will soon be online like other Security Commissions. The Alberta Stock Exchange has recently launched their website at www.ase.ca but I do not believe that insider trading details are available. 10. Does Fairmile have any drilling plans for the new year? If so, could you please give us a brief overview with dates and timelines? Please include the date of the AGM. Formal plans for the 1999 exploration programs have not been finalized. This is dependent on a number of factors including the possibility of securing a joint venture partner.
