Sierra Resource Group Inc. (fka SIRG)

[Warmy]

They are in default on a note received in conjunction with the 80% purchase of the mine. I would like to see them pay off that note and secure their primary going concern before pursuing a larger stake.

The Company entered into the purchase interest of the Chloride Copper Project from Medina Property Group, LLC which resulted in the
Company acquiring the debt and a promissory note dated March 22, 2010 in the amount of $360,000. The note has an interest rate of 8% with
the maturity date of September 22, 2010. The Company is currently in default of the note, As of December 31, 2011 and 2010, the Company had
a balance due including, principal, default interest and penalties in the amount of $413,001 and $360,000, respectively.