Hoch & Vos Investment Corp.

May 31, 2011 10:55 ET

Hoch & Vos Sends Letter to Century Mining Corp. Regarding Preparation of NI 43-101 Report

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 31, 2011) -

Hoch & Vos Investment Corp. Sent the Following Letter to Century Mining Corp.'s Board of Directors:

Dear Board of Directors:

We refer you to our letter of April 26, 2011 (http://www.marketwire.com/press-release/hoch-vos-investment-corp-sends-letter-to-century-mining-corp-board-1506546.htm), wherein we expressed our concerns with the significant influence that Maxim Finskiy, a major shareholder of Century Mining Corp. ("CMM") and White Tiger Gold Ltd. ("White Tiger"), exerts over the management and Board of Directors of CMM. As we stated in that letter, "Mr. Finskiy has strong incentives to keep CMM's share price low so that White Tiger could acquire the company at a price lower than fair value. Minority shareholders fear that management will acquiesce to the disappearing market value of the company."

In a news release by CMM on May 24, 2011 (http://www.marketwire.com/press-release/white-tiger-gold-century-mining-announce-update-proposed-business-combination-timing-tsx-wtg-1518084.htm), we learned that Micon International Co Limited ("Micon") will be preparing CMM's updated National Instrument 43-101 compliant technical report ("NI 43-101 Report").

We note that Stanley C. Bartlett, a Managing Director of Micon, has had an extensive relationship with companies related to Mr. Finskiy. Mr. Bartlett supervised the preparation of White Tiger's NI 43-101 Report for the Savkino Project and reviewed the statements on White Tiger's recently created website. He also classified the reserves of MMC Norilsk Nickel when Mr. Finskiy served as the company's Deputy General Director. Furthermore, Mr. Bartlett classified the mineral resources and ore reserves of Polyus Gold where Mr. Finskiy is a director. We further note that Evgeny Kondratiev, a senior exploration geologist with Micon in Moscow, performed the due diligence examination of the exploration projects of Polyus Gold in connection with the provisions of independent engineer services and has performed audit work with Intergeo, where Mr. Finskiy currently serves as President.

National Instrument 43-101 provides that: "a qualified person is independent of an issuer if there is no circumstance that could, in the opinion of a reasonable person aware of all relevant facts, interfere with the qualified person's judgment regarding the preparation of the technical report." Honest and independent NI 43-101 Reports are fundamental, integral and at the cornerstone of shareholder protection in the Canadian mining industry. While we do not question the capability or integrity of Micon and its employees, the present circumstances give rise to serious questions of independence.

This is an issue of utmost importance to minority shareholders as an understatement of CMM's resources could significantly erode shareholder value in as similar a manner as the unduly emphasized operational news highlighted in our previous letter. We would like to know the rationale for choosing Micon to prepare CMM's updated NI 43-101 Report, as well as the individuals on the management team and Board of Directors that ratified the decision. We believe that there are many other reputable mineral industry consultants that do not have an extensive historical and contemporaneous relationship with parties related to or controlled by Mr. Finskiy.

We trust that you understand the significance of an honestly and independently prepared NI 43-101 Report to the integrity and functioning of the Canadian mining industry.


Daniel Lau, J.D.

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