A Different Perspective on Value

One of the greatest features of discovery drilling is the drama that unfolds - usually on a daily basis - when your drillers and geologists report back with news of a significant amount of gold, or silver, or copper from a core sample on one of our properties in the Dominican Republic.

At the end of the day, we believe it will ultimately add value as our asset base continues to grow.

Our La Lechoza Prospect has been creating some excitement for months now as drilling defines and draws a precise, three dimensional geological model for us - that painstaking developmental activity that, when completed, permits us to calculate the precious metal bounties our property holds.

So, as we continue to move forward towards defining our total resource, looking back at our published results reveals a very bright emerging picture.

Those results, from a management point of view, and for reasons of adding shareholder value - validate our decision last year to focus the bulk of our exploration activities in the central Dominican Republic.

Everton's job, as an experienced explorer - along with our operating partner Brigus Gold - is to find and then sell our resources into the market at the best possible price. Our shareholders and financial backers have placed their trust - and their money - in us.

Adding value to us, as a publicly traded company, includes the sum total of our assets. When investors look at us, a top-of-mind action is to look at our precious metal drilling results.

When our management looks at value, we take a broader view of our holdings that includes all our financial interests and assets.

Our decision to focus our business operations in the Dominican Republic had an impact on our bottom line. As we spun-off, or spun-out our Northern Ontario and other Canadian holdings, it returned a market benefit to us, and to our shareholders.  And it will continue to return future benefits in the market, particularly, as exampled with Focus Metals. 

Our portfolio looks like this:

• Our Opinaca gold joint venture agreement with Aurizon provides Everton with a $10,000,000 cash benefit
• Kaskattama's purchase of our Shoal Lake gold property, when closed, will add share value and cash to Everton of $10,400,000*
• Nemaska's purchase of our Sirmac lithium property - through shares and warrants amounted to $600,000 in today's dollar value
• Strike Metals purchase of Hayes Lake gold property - 5.7m shares - $513,000*
• We place a $750,000 value in our interest in NQ Exploration, and;
• Our 5,400,000-share ownership in Focus Metals Inc., amounts to some $8,370,000 today.

[* closing at the end of March 2011]

While these market-linked prices fluctuate on a daily basis, I believe they give a fairly good indication of Everton's value, stability and potential for the foreseeable future.

Our total value in spun-off or spun-out transaction is in the $30.5m range, with fluctuations.

Our market capitalization as of March 4, 2011 was closing in on $35m.

To Everton's management, this means the value of the entire Dominican Republic operations - as a contributor to market cap is some $5 million, or approximately 13% of our market cap.

I believe a reasonable person might see the value we see, as we move towards defining and calculating our Dominican Republic resource.

Everton Resources Inc. remains way undervalued.

Andre Audet
President and CEO
Everton Resources Inc.