North Madsen Properties

nORTH mADSEN pROPERTIES

The North Madsen Properties are comprised of the land packages of Laverty and E. My- Ritt.

LAVERTY Property, Red Lake, Ontario

On Feb. 2, 2009, Skybridge Development Corp. (Mega’s wholly-owned subsidiary) closed the option-purchase agreement with Mosquito Consolidated Gold Mines Limited to earn the exclusive right and option to acquire a 100% title and interest in the Laverty claim. Mega is exploring the property, located 1.5km west of the town site of Red Lake, Ontario and consists of six (6) patented mining claims totaling approximately 240 acres.

The new acquisition is contiguous with the historic Hasaga and Howey gold mine properties which produced approximately 640,000 ounces of gold within similar host rock to those located on the Laverty property. Historic exploration on the Laverty Property has confirmed the presence of extensive near-surface gold mineralization. According to government assessment files reviewed by the Company, significant near surface and laterally continuous gold values were intersected in historic drilling on the Property.

Mega will renew exploration on gold mineralization that has been intersected over a minimum strike length of 200 metres and to depths of up to 200 metres and remaining open in all directions. Based on its 1981 report on drilling of the Laverty Property, Wilanour Resources Limited generated an historical “grade and tonnage” estimate of 790,000 tons at 0.08 oz/t gold using a 0.02 oz/t cutoff. However, a qualified person has not done sufficient work to classify the historical estimate as current mineral resources. Mega is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon. Mega has completed geological and geophysical compilation work on the Laverty Property and is conducting a drill program under NI 43-101 quality assurance and quality control reporting standards.

East My-Ritt Property, Red Lake, Ontario

On June 3, 2009 Mega closed the agreement in respect of an option to acquire a 100% interest in the East My-Ritt with Premier Gold Mines Limited and Sabina Silver Corporation. Mega is exploring the property, located 1.5km west of the town site of Red Lake, Ontario and consists of eight (8) patented mining claims totaling approximately 320 acres. The new acquisition is contiguous with Mega Laverty Property and adjacent to the historic Hasaga and Howey gold mine properties which produced approximately 640,000 ounces of gold within similar host rock to those located on the East My-Ritt and Laverty claims.

Mega will initiate exploration on a 1.5km portion of a northeast-trending structure traversing the East My-Ritt and Laverty properties. Gold occurrences spatially associated with the structure include diamond drill intersections grading 18.2 g/t gold over 3.5m and 7.43 g/t gold over 1.0m on the East My-Ritt Project property and historic drill intersections grading up to 7.74 g/t gold over 11.2m on the Laverty portion of the structure. Mega is not treating historic intersections as compliant with NI 43-101 and such information should not be relied upon. Future drilling will attempt to verify all such historic drill intercepts and determine the continuity between them. Mega has completed geological and geophysical work on the East My-Ritt Property in preparation for an upcoming drill program to be conducted under NI 43-101 quality assurance and quality control reporting standards.