Mr. Frank Kordy reports

GUNPOWDER CAPITAL CORP. DISPOSES OF LEGACY MINING PROPERTY

Gunpowder Capital Corp. has entered into an agreement to transfer ownership of the corporation's mining claims of its Lost Dog property for $51,278 plus the assumption of $270,000 of debt to a private entity. In addition to the above consideration, Gunpowder Capital will receive a net profits interest (NPI) of 5 per cent on the property for a period of five years.

The completion of this transaction allows management of the corporation to focus on its core business of merchant banking.

We seek Safe Harbor.