Mosquito Consolidated Gold Mines To our valued Shareholders and Potential Investors by 24hgold

Mots clés associés : Copper |

Letter to Shareholders - Tuesday, August 09, 2011
To our valued Shareholders and Potential Investors

To our valued Shareholders and Potential Investors,

On behalf of the management of Mosquito Consolidated Gold Mines I'd like to thank you for your interest in the Mosquito story. Although we have been through a tough market over the past several years we at Mosquito feel that the future is looking brighter than ever and would like to take this opportunity to highlight some of the key milestones we have reached with respect to the CuMo project. I would also like to highlight some of the reasons why now is an excellent time to add to your position in Mosquito at the current low share price.

First a quick overview of the CuMo Project -- a company maker in every sense. The table below summarizes the resource which we have defined to date. These values were generated by Snowden Group consultants and are NI 43-101 compliant.

Indicated	Inferred	Metal
2.14	2.34	billion pounds of molybdenum oxide(MoO3)
3.27	5.55	billion lbs of Copper (Cu),
140.6	242.5	million ounces of silver (Ag) and
158.2	90.9	million lbs of Tungsten (W)
2.03	3.95	billion tons

These contained metal estimates represent the largest open pit Molybdenum deposit anywhere in the world. With our outstanding by-product values, we are poised to be the lowest cost primary molybdenum producer in the world as well.

We have recently been awarded a conditional permit to advance the Cumo Project to the Feasibility Stage. The permit is contingent on our working closely with the Bureau of Land Management and the US Forest service during the construction and reclamation of roads and drill pads. The goal of the feasibility work is to more accurately define the existing resource and move the contained metal from the indicated and inferred resource categories, to the proven and probable reserve categories. To this end we must spend approximately $100 million on drilling, geology and permitting. We are in talks with a number of different entities which have the financial and technical resources to significantly advance this project with us.

For a more detailed look at the CuMo project economics and geology I would like to refer you to our website, www.mosquitogold.com, and in particular the Preliminary Economic Assessment which was completed by Ausenco in 2008. Highlights of the PEA include a net present value of $16Billion, and a 37% internal rate of return. With a current market capitalization of around $50million, we feel that Mosquito stock represents the best value and lowest risk in the mining sector anywhere in the world.

To Summarize here are 5 reasons why you should own this stock, or own more of it:

Cumo, the worlds largest, lowest cost open pit Molybdenum resource.
Non-Core Assets monetized to provide cash and revenue streams
Permitted through to Feasibility
Molybdenum market dynamics call for much higher moly prices in the near future
Interest from global mining operators and investment funds.

Thanks for your continued support.

On Behalf of the Board of Directors,

Mosquito Consolidated Gold Mines Limited

Brian A. McClay - President

Légende
	Production
	Mine développement
	Découverte
	Exploration
	Ancien producteur
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