Exploration

EMX is focusing its Eastern European exploration efforts in Romania, where the Company is systematically exploring the Sopot and the Caraci-Birtin licenses. The Sopot license occurs in the Banat mineral belt (southern Romania) where previous work by state-owned organizations identified copper and gold skarn-type mineralization. The Caraci-Birtin license is located in central Romania's "Golden Quadrilateral" mining district. The Golden Quadrilateral's precious metal mineralization is epithermal, and associated with Neogene calc-alkaline volcanism and also includes Europe's largest gold deposit at Rosia Montana (measured and indicated resources of 14.6 million ounces gold reported in 2005 by Gabriel Resources Ltd).


At Sopot, results from historic sampling (totaling 151 samples) by state-owned organizations include 33 samples (21.8%) greater than 1 g/t gold (maximum 3.5 g/t) and 1.6% copper. EMX's sampling returned highs of 1.76% Cu and 23.5 meters at 0.32% Cu and 0.77 g/t Au from trenching.

The historic Caraci gold mine is located within the Caraci-Birtin license. Historical reports by state-owned exploration companies estimate that about 500,000 tonnes of ore were extracted from high-grade quartz-pyrite veins at a grade of approximately 15 grams/tonne (g/t) gold. EMX considers the historical reports to be reliable and relevant in light of the Company's independent due diligence results. Previous work by state-owned agencies in the Birtin area was focused on evaluating lead-zinc-silver veins that are hosted by propylitized granodiorite.

Reconnaissance work by the Company identified a previously unrecognized silica-alunite alteration cap on the granodiorite. In total, 44 rock samples were collected by the Company, yielding values ranging from 0.01 to 2.19 g/t gold. Three samples contained greater than 1 g/t gold. Re-assay of 22 pulps from samples collected during earlier exploration activity by state-owned agencies yielded values ranging from 0.22 to 27.6 g/t gold, with an average of 1.44 g/t gold. The analytical results confirm those from the historic work.

Elsewhere in Eastern Europe, EMX continues to pursue additional business opportunities. These efforts are furthest advanced in Macedonia, where a local subsidiary has been registered and applications for two exploration concessions have been submitted for approval.

The Company has sold the Serbian assets to Reservoir Capital Corporation. The sale to Reservoir for cash, work commitments, a net smelter return royalty, and future payments on the completion of a bankable feasibility study provides EMX's shareholders with continuing upside potential from the Serbian portfolio.