Salemex

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SALEMEX PROPERTY
MUNICIPIO CHIHUAHUA, CHIHUAHUA MEXICO

The Salemex property comprises three claim blocks optioned in June and November of 2008 covering 8,663 hectares in the state of Chihuahua, near Chihuahua City. A carbonate replacement prospect, Salemex is located within the Santa Eulalia Mining District, the world's leading CRD producer, and approximately 30 kilometres north of Grupo Mexico's San Antonio Mine. One small shaft exists on site.

The property is cut by three major quartz veins ranging from 1 to over 25 metres wide that have seen minor historic mining and prospecting, but no significant drilling. In June 2009 eight initial holes were drilled along 2 kilometres of bold vein outcrops at Salemex.

The southernmost hole, SM-02, reported 10 grams per tonne (g/t) (0.29 ounces per ton (opt)) gold; 1,735 g/t (50 opt) silver; 3% lead and 1.6% zinc over 0.5 metre vein width. Hole SM-08, drilled 240 metres north of SM-02 reported 4.7 g/t (0.14 opt) gold; 55 g/t (1.6 opt) silver; 0.75% lead and 1% zinc over 2 metres. Significantly both of these intercepts are high-grade sulphide zones within a quartz-filled vein and breccia zone that ranges from 8 to over 25 metres wide.

The vein disappears under cover just to the southeast of Hole 2, but vein fragments can be followed for another 2 kilometres southward and MAG will focus their next exploration phase in that direction.

SALEMEX	From	To	Width	Gold	Silver	Silver	Lead	Zinc
Drill Hole No.				g/t	g/t	opt	%	%
SLM09-01	NSV
SLM09-02	138.70	139.20	0.50	10.00	1,735	50.4	3.04	1.63
SLM09-03	NSV
SLM09-04	121.20	121.78	0.58	0.26	85	2.5	0.05	0.09
SLM09-04	295.41	295.66	0.25	0.01	386	11.2	0.00	0.01
SLM09-05	NSV
SLM09-06	253.40	253.70	0.28	0.01	94	2.7	15.80	0.47
SLM09-07	NSV
SLM09-08	124.20	126.20	2.00	4.77	55	1.6	0.75	1.00

Note: NSV = no significant value