GGL DIAMOND CORP. Mark CIiffe-Phillips Wek'eezhii Land and Water Board Box 32 Wekweeti, NT XOE 1 WO Dear Mr. Cliffe-Phillips Mar. 1, 2008 Please find enclosed GGL Diamond Corp.'s application for a Land Use Permit for our CH Project. I have attached a cheque in the amount of $200. In addition, I have provided binders containing the following for the Board's consideration: - project description; - map outlining existing LUP boundaries; - map outlining proposed boundaries for new LUP; - map outlining 2008 proposed drill locations; - copies of e-mail and fax correspondence; - consultation log; - presentation notes and meeting summary — NSMA; - spill contingency plan; - list of currently-held mineral claims. I have also provided you with five CD's containing the above information in electronic form. Sincerely, Paul Jones Operations Manager V904 - 675 West Hastings Street, Vancouver, BC, Canada V6B IN2 1604.688.0546 f F 604.688.0378 1 Toll Free 1.866.688.0546 I [email protected] I www.ggldia,nond.carn 1`. Box 32, Wekweeti, NT XOE I WO Land and Water Board Tel: 867-713-2500 • Fax: 867-713-2502 - www.wlwb.ca Application for: New Land Use Permit q Amendment q to I. Applicant's name and mailing address: Fax number: (604) 688-0378 GGL Diamond Corp. 6005 Finlayson Dr. N Telephone number: (867) 873-3025 YELLOWKNIFE, NT XIA 3L1 2. Head office address: Fax number: (604) 688-0378 #904-675 W. Hastings St. VANCOUVER, BC V6B IN2 Field supervisor: Paul Jones Radiotelephone: (604) 628-9894 Telephone number: (604) 688-0546 3. Other personnel (subcontractor, contractors, company staff etc.) Great Slave Helicopters; Major Midwest Drilling; Aurora Geosciences Ltd.; Air Tindi Ltd.; Arctic Sunwest Charters; various GGL staff TOTAL: (Number of persons on site) — varies, but a maximum of 15 4. Eligibility: (Refer to section 18 of the Mackenzie Valley Land Use Regulations) a)(i) V a)(ii) a)(iii) b)(i) b)(ii) 5. a) Summary of operation (Describe purpose, nature and location of all activities.) Surficial till samples will be collected from selected locations by a two person crew using helicopter access. All sample sites will be backfilled to minimize ground disturbance. Ground geophysics will be conducted on identified targets within the claim boundaries. Geophysics will likely be walking magnetic surveys only conducted by GGL personnel and will require a minimum ofground disturbance. Diamond drilling will be conducted on identified potential kimberlite targets within the claim boundaries. This phase of the program will utilize one hell -portable drill, testing several potential klmberlile targets on land -based sites. Precise collar locations have not been determined at this time. Approximately 2,000 metres of drilling is expected to be carried out during this phase. Drill moves and crew changes will be helicopter-supported, probably with a Hughes 500D model. All drilling activities will be conducted according to standard best practices guidelines for mineral exploration made to safeguard both the workers and the environment. b) Please indicate if a camp is to be set up. (Please provide details on a separate page, if necessary.) This program will be supported from a camp owned by Bathurst Inlet Developments Limited at Matthews Lake. 6. Summary of potential environmental and resource impacts (describe the effects of the proposed land-use operation on land, water, flora & fauna and related socio-economic impacts). Use separate page if necessary.) This small-scale exploration program is expected to have minimal environmental and resource impacts, as demonstrated by work already conducted on the property by GGL Diamond Corp. The land use area will be kept clean at all times. All waste material will be removed on an ongoing basis. All drill cuttings will be disposed of according to current regulations and all materials will be immediately removed from drill sites upon completion of drilling. The size of land-based drill sites and related clearing of shrubs and vegetation will be kept to a minimum. Appropriate food handling and garbage disposal procedures will be used In order to minimize attractions by wildlife. Access to daily work sites will be by helicopter orfixed-wing aircraft on floats, skis or tires. Aircraft will mimlmize wildlife disturbance by maintaining cruising elevation of 1000 feet wit enever possible. The Prince of Wales Northern Heritage Centre has provided the location of known archaeological sites and exploration activities near these sites will be governed by applicable territorial and federal laws. There is potential for short-term seasonal employment opportunities depending on availability and skills of local candidates. 7. Proposed restoration plan (please use a separate page if necessary). All drill sites will be restored, as near as possible, to their original state. All empty fuel drums, drill supplies and any other excess material will be flown to Yellowknife. 8. Other rights, licences or permits related to this permit application (mineral rights, timber permits, water licences, etc.) GGL Diamond Corp. owns 72 active mineral claims covering about 174,000 acres on the property. (Current claims list attached) Previous exploration activities in this area have been governed by Land Use Permit MV200100007 issued to GGL by the Mackenzie Valley Land and Water Board on February 28, 2001. The permit was renewed for two years on February 20, 2006. Roads: none is this to be a pioneered road? Has the route been laid out or ground truthed? 9. Proposed disposal methods. a) Garbage: Incineration of combustibles and removal of all residue from site. Non-combustibles will be removed from site and disposed of in an appropriate sanitary landfill. b) Sewage Sanitary & Grey Water: Grey water will be caught in sumps and allowed to perk back into the ground, waste water from drilling will be contained in natural sumps and allowed to perk back into the ground c) Brush & trees: will be laid flat to decompose naturally d) Overburden Organic soils, waste material, etc.: Will be returned to as near to natural state as possible if disturbed. 10. Equipment TYPE AND NUMBER SIZE PROPOSED USE Diamond Drill (1) Boles 17A or 25A Core sampling Snowmobile 1 250 cc Move supplies, equipment and personnel Helicopter flu hes 500 Move supplies, equipment, core, personnel Generator 10kw Generate electricity II. Fuels () Number of containers Capacity of containers Location 100 Diesel 205 litres Camp fuel cache/ drill site Gasoline '1 40 205 litres Camp fuel cache 150 Aviation fuel (Jet B) ,f 205 litres Camp fuel cache Camp fuel cache Propane 50 100 lbs. Drilling Additives 5 20 litres Drill Site 12. Containment fue] spill contingency plans. (Please attach separate contingency plan if necessary). A spill kit with absorbent matting will be available at the camp and at drill locations. See attached spill contingency plait. 13. Methods of fuel transfer (to other tanks, vehicles, etc.) Fuel will be transferred from drums directly to thefuel tanks of equipment with either manual or electric pumps. 14. Period of operation (includes time to cover all phases of project work applied for, including restoration) The proposed work plan is scheduled to begin in early March and be completed in October of each year. 15. Period of permit (up to five years, with maximum of two years of extension). 5 years 16. Location of activities by map co-ordinates (attached maps and sketches) Minimum latitude (degrees,, minutes, seconds) Maximum latitude (degrees, minutes,seconds) 64°0l'00"N 64°41'49"N Minimum longitude (degrees, minutes, seconds) Maximum longitude (degrees, minutes,seconds) 11003933"W 11I °54'54"W NAD 27 Map Sheet no. 76D02, 76D03, 76D05, 76D06, 76D07, 76D11, 76D12, 86A07, 86A08, 86A09, 86AI0, 86A15, 86A16, 86H02, 17. Applicant (_ Print name in full Paul Jones L-/2 / Signature Date: Mar. 1, 2008 18. Fees Type A - $150.00 ** Type B - $1 0 ** (**Application Fees are Non-Refundable**) Land use fee: I hectares @ $50.00/hectare $ 50 Assignment fee $50.00 $ Total application and land use fees $ 200.00 Please make all cheques payable to "Receiver General of Canada" GGL DIAMOND CORP. PROJECT DESCRIPTION CH Project Northwest Territories Introduction GGL Diamond Corp. is a Canadian company with corporate headquarters in Vancouver, BC and a field office in Yellowknife, NT. Formerly called Gerle Gold Ltd., GGL has been involved in mineral exploration in the Northwest Territories since 1992. The company has conducted an array of diamond exploration programs in the area southwest of Lac de Gras under terms and conditions of Land Use Permit MV2001 C0007 issued by the Mackenzie Valley Land and Water Board in 2001. This permit expires February 28, 2008. MV2001 C0007 entitles GGL to conduct mineral exploration on the company's CH project, which contains several properties; Seahorse, BP, Courageous, Starfish, McKay Lake, Winter Lake, Zip, G and Shoe. GGL would like to continue its exploration activities on this project area. The company intends to apply for a renewal of the existing Land Use Permit from the Wek'eezhii Land and Water Board, which would cover activities on all these blocks, with the exception of the Winter Lake and Zip blocks of claims. This project will continue to be referred to as the CH Project. (see attached maps) The existing Land Use Permit encompasses an area from 64°01'00"N on the southern boundary to 64°41'49"N on the northern boundary and from 110°39'33"W on the eastern boundary to 112°37'01"W on the western boundary. GGL intends to reduce the overall size of the CH project area by moving the western boundary to 111 °54'54"W. The remote location of the CH property -- approximately 250 kilometres north of Yellowknife - coupled with typical harsh weather conditions and short summers mean that more field seasons are required to find, understand and prove the existence of kimberlite resources.