Gold Projects, Columbia
31.8% equity interest

In May 2011, Polo completed an investment of approximately US$4 million in the gold exploration company Andina Gold Corp. (“Andina”), a company incorporated and registered in the British Virgin Islands.

Polo subscribed for 15,898,784 new ordinary shares in Andina at a price of US$0.244, constituting 31.8% of its issued shares.

The proceeds of the subscription and the placing from third party investors were used by Andina to acquire a 100% interest in a greenfield gold exploration project in Colombia (the “San Bolivar Gold Project”) from R&C Group SAS (“R&C”) and other parties.

Polo and R&C will each have two director representatives on Andina’s board of four directors and one of Polo’s directors will act as Chairman. Polo has also been appointed as Operator of the exploration phase.

Andina is interested in applications for 29 gold concessions in the San Bolivar area of Columbia which make up the San Bolivar Gold Project. The Southern Bolívar area of Colombia is the third most important gold producing region in the country, after Antioquia and Choco. The Southern Bolivar region is known as a traditional mining district. Colombia produced during 2009 approximately 47.8 tons of gold, a figure that is expected to rise in future years.

Polo is currently in the process of finalising its proposed exploration program which it will present to the Board of Directors of Andina in the next 4-6 weeks.