The Lac des Iles open pit operations mined a total of 16.9 million tonnes or 46,038 tonnes per day in 2004. The increase in production from the average of 39,895 tonnes per day in 2003 was a result of elimination of primary crusher problems in combination with a shorter haul distance from the Phase 4 expansion. The waste-to-ore strip ratio increased to 2.68:1 from 2.31:1 in 2003.

The Phase 4 Roby pit expansion is progressing well and the Phase 3 pit mining finished in October 2004 as planned. The final elevation for the Phase 3 pit bottom was 289 metres (211 metres below the surface elevation). As of December 31, 2004, the Phase 4 pit depths was 457 metres elevation. These figures compare to the ultimate pit bottom of 209 metres elevation, or 291 metres below the surface. This open pit ore will be blended with the high grade ore from underground to ensure a consistent grade of ore for processing in the mill.

ROBY PIT ORE PRODUCTION AND GRADES
Year	Ore Tonnes (000)	Palladium (g/t)	Platinum (g/t)	Gold (g/t)	Copper (%)	Nickel (%)
2004	4,574	2.60	0.23	0.21	0.08	0.09
2003	4,397	2.48	0.22	0.21	0.08	0.10
2002	7,251	1.49	0.16	0.12	0.05	0.07
2001	5,768	1.44	0.16	0.10	0.04	0.06

Reserves and Resources as of December 31, 2004.		Tonnes	Pd	Pt	Au	Cu	Ni	Pd	Pt
		(1,000)	(g/t)	(g/t)	(g/t)	(%)	(%)	(000 oz)	(000 oz)
Open Pit Reserves
	Proven	20,155	1.66	0.20	0.13	0.06	0.08	1,074	128
	Probable	8,398	2.14	0.23	0.16	0.07	0.08	578	62
	Total Proven and Probable	28,553	1.80	0.21	0.14	0.06	0.08	1,651	190
Open Pit Resources
	Measured	9,714	1.70	0.20	0.14	0.07	0.08	531	62
	Indicated	6,617	1.64	0.19	0.13	0.06	0.08	349	40
	Total Measured & Indicated	16,331	1.68	0.20	0.14	0.06	0.08	880	103
	Inferred Resources	135	1.49	0.16	0.11	0.06	0.07	6	1

1. CIM definitions for mineral resources and mineral reserves were used to estimate the Lac des Iles mineral resources and reserves.
2. Resources are in addition to the reserves.  Resources which are not reserves do not have demonstrated economic viability.
3. Mineral reserves and resources are calculated at a cut-off grade of 1.1 grams and 4.5 grams of Palladium per tonne for the open pit and for the underground respectively, assuming an average long-term Palladium price of US$275 per ounce and including by-product metal credits.
4. Douglas Kim prepared the reserves and resources estimate for the open pit. Douglas Kim is "qualified person" as defined in NI 43-101 and is employee of the Company.