Chaucha Mineral Property: Location, Title & Acquisition

Location

The Chaucha property is located 70km to the west of the town of Cuenca in the Chaucha parish of the Azuay province of southern Ecuador on the western slope of the Anders in the Cordillera Occidental. This project lies on the Western flanks of the Andes in the Cordillera Occidental. This central belt is known as the Sierra, which is typified by rugged topography of steep sided hills and occasional plateau. Within the project area, elevations range from some 1400 to 2300 m. Vegetation is a mixture of low lying bushes and trees, with areas cleared for subsistence farming.

Title and Acquisition

On November 7, 2003, Ascendex was granted the Janeth 1 concession under the Cuenca Mining Property Registrar. On September 17, 2004, Ascendex transferred this concession to Ascendant Ecuador. Pursuant to the Share Purchase Agreement, Ascendant now holds the right, through its wholly-owned subsidiary, Ascendant Barbados, through its wholly-owned subsidiary, Ascendant Ecuador, to prospect, explore, exploit, benefit, process, smelt, extract, refine and commercialize the minerals that might exist and be obtained from the Janeth 1concession.