The Philippines Mining Act of 1995 requires St. Augustine to document and assess the physical and social environment of their project site and of their communities of influence.

St. Augustine completed an environmental and social baseline study in 2011. Based on the collected data, the Company foresees no environmental issues that cannot be mitigated to the satisfaction of the Philippine regulatory agencies and anticipates the required permits can be obtained for the King-King Copper-Gold Project.

The completed baseline studies support the Philippine Environmental Impact Statement (EIS) required under Philippine environmental legislation. The EIS submission and Environmental Compliance Certification (ECC) was approved in February, 2015. The baseline studies were also developed to support the International Social and Environmental Impact Assessment (ISEIA).

Completion of the EIS provided the basis for the ECC approval, which is a necessary component for receipt of the Declaration of Mining Project Feasibility (DMPF). The DMPF is currently under review at the Central office of the Mines and Geosciences Bureau (MGB). The DMPF (or mining permit), once approved, will enable St. Augustine to commence construction of the King-king Project. DMPF approval is expected before the end of 2015.