Mr. Osvaldo Iadarola reports

The Canadian Venture Exchange has accepted for filing documentation with respect to a non-brokered private placement announced Jan. 19, 2001.

Conv. debenture: $50,000

Conv. price: Convertible into units consisting of 83,333 common at $50,000 of principal outstanding in year one at 60 cents and in year two at 70 cents

Maturity date: Nov. 22, 2002

Interest rate: 10 per cent compounded semi-annually