XREF LIMITED — Capital/Financing Update 2007

Apr 12, 2007

Statement of Expenditure Commitments based on actual \$10M raised

KSO has received \$10M so will be adopting the budget below which is consistent with that presented on page 5 of the prospectus and the paragraph below it.

	Year 1	Year 2	Total
Exploration costs
Marmot Ridge	\$1,705,000	\$3,010,000	\$4,715,000
Wuritu	\$440,000	\$600,000	\$1,040,000
Amoyitele	\$180,000	\$320,000	\$500,000
Sonid North & South Gold	\$180,000	\$450,000	\$630,000
New projects	\$195,000	\$230,000	\$425,000
sub-total	\$2,700,000	\$4,610,000	\$7,310,000
Wuritu/Amoyitele final payment	\$40,000		\$40,000
New Project Acquisition costs	\$481,000	\$490,000	\$971,000
Administration costs	\$523,000	\$549,000	\$1,072,000
Issue costs	\$665,000		\$665,000
Total Expenditure	\$4,409,000	\$5,649,000	\$10,058,000

As noted in the prospectus, the additional \$1,900,000 in funds have been applied to additional drilling (approximately 10,000 metres of diamond drilling) at Marmot Ridge and the associated assay and geological costs.