On behalf of the Board of Directors,
I am pleased to review the
activities and progress of Next Gen
Metals Inc ("Next Gen", the
"Company") for 2011 thus far and the
goals and objectives for the balance
of the year. Next Gen is a mineral
exploration company with a primary
focus on silver and gold projects in
North America. The Company is
presently developing the Silver
Chalice Property in Alaska and the
Fate Gold Project located in the
Abitibi Greenstone Belt of Northwest
Québec -- one of the most famous gold
and base metals regions in the
world.
In addition, the Company is
aggressively negotiating to add
additional advanced stage gold and
silver projects to its portfolio.
Harry Barr,
President & CEO
DESTINY GOLD PROJECT ACQUISITION
Management has entered into a
Letter Agreement pursuant to which
the Company can acquire Pacific
North West Capital Corp.'s ("PFN")
option to earn up to a 60% interest
in the Destiny Gold Project from
Alto Ventures Ltd. (TSX.V:ATV),
subject to disinterested shareholder
approval and TSX Venture Exchange
and Toronto Stock Exchange
approvals. PFN (TSX:PFN, OTCQX:PAWEF,
FSE:P7J) is a company with directors
in common. The Destiny Gold Project
is an advanced stage gold property
located in the Abitibi-Témiscamingue
region of Québec.
A National Instrument 43-101,
Standards of Disclosure for Mineral Projects (NI
43-101) compliant resource estimate was
completed March 2011 for PFN
with significant increases in
contained ounces. At a cut-off grade
of 0.5 g/t gold the five gold zones contain an
Indicated Resource of about 10.8 million tonnes
with an average grade of 1.05 g/t gold (364,000
contained ounces). In addition, the Inferred
Resource totals 8.3 million tonnes with an
average grade of 0.92 g/t gold (247,000
contained ounces)[1].
Management believes this is a unique
opportunity to acquire a project of
this calibre, putting Next Gen in a
favourable position to continue to
advance the Destiny Gold Project
while maintaining a tightly-held
share structure.
[1]
NI 43-101 Technical Report and
Resource Estimation of the DAC Deposit, Destiny
Property, Quebec, Wardrop a TetraTech Company,
March 2011
SILVER
CHALICE GOLD & SILVER PROJECT -- ALASKA
An Epithermal gold /silver project located
in 330 air miles west southwest of Fairbanks.
The Silver
Chalice epithermal gold-silver prospect occurs
immediately east of the eastern margin of the
Poison Creek Caldera in west-central Alaska. The
epithermal veins at Silver Chalice appear to be
intimately associated with this volcanic
activity. Rock chip sampling returned anomalous
silver assays of up to 462 g/t (13.47 opt) and
gold assays of up to 10 g/t (0.29 opt). The main
Silver Chalice vein is up to 25 feet (7.6
meters) in true width in two drill holes and the
south vein is 27 feet (8.2 meters) true width in
one drill hole.
Earlier exploration programs identified gold and
silver mineralization with average vein
thickness of seven metres. There remains
potential for ore-grade gold and silver
mineralization below the exposed surface at the
Silver Chalice prospect area in the two veins
drilled, in the broader altered areas, and in
the covered areas along strike of the veins.
Little or no exploration has been conducted
elsewhere within or adjacent to the Poison Creek
Caldera and potential for additional
mineralization may exist in these areas.
2011 WORK
PROGRAM -- SILVER CHALICE EPITHERMAL GOLD/SILVER
PROJECT
Based on preliminary field, laboratory and
literature studies completed to date, the
Company is planning an extensive 2011
exploration program consisting of follow-up
mapping, trenching, rock/soil sampling and
geochemical work to identify targets for a
proposed 2,000 metre diamond drill program
slated for 2012.
FATE GOLD PROJECT -- VAL D'OR, QUEBEC
Located in the Abitibi Greenstone Belt of NW
Québec.
Staking activity based on recent news from Alto
Ventures Ltd./PFN's high grade Destiny Gold
Project and announcements from Maudore Minerals
Comtois Project.
83 claims for approximately 10,000 acres (4,000
hectares), Val d'Or Area, Québec.
2011 geochemical program slated with objective
to outline drill targets.
For further information on your Company, please
visit our website at
www.nextgenmetalsinc.com or email us at
.
On behalf of the Board of Directors, and your
Company's management, I wish to thank you for
your continued support.
