Mr. Steve Schurman reports

Due to the condition of the capital markets, Running Fox Resource Corp. will take measures to enhance corporate goals and improve shareholder value, including joint ventures, the sale of all or part of its current projects, mergers, amalgamations, and a share consolidation and name change.

The share consolidation, or share rollback, would be in a ratio of one new share for up to 12 old shares.

The number of postconsolidation shares issued and outstanding would be dependent on the specific ratio that the common shares will be consolidated.

The rational for a consolidation of its issued and outstanding common shares follows a review of the junior resource capital markets and an assessment of the company's growth and strategic objectives and would provide significant benefits to the company and its shareholders.

Following a consolidation, any share payments as consideration for potential acquisitions would be enhanced, and a reduced total outstanding share count would assist the company to remain competitive with other competing resource issuers.

A consolidation would not reduce the inherent value of the company, but it may positively affect its ability to achieve objectives.

A shareholder would still own the same percentage of the company as prior to a share consolidation.

Specifics of name change and other transactions would be announced in due course as applicable. Completion of a name change/consolidation is subject to shareholder and TSX Venture Exchange approvals. Fractional postconsolidation common shares would not be issued, fractional shares resulting from a consolidation would be rounded down to the nearest whole number and no cash consideration will be paid in respect of fractional shares.

Report on 2013 annual general meeting

At the July 16, 2013, AGM, all resolutions were approved by the shareholders.

All three incumbent directors were re-elected with the following identical for vote counts and the respective percentage of the company's total issued and outstanding common shares:

• A total of 14,357,082 common shares voted for each of the three individual directors.
• A percentage of 26.2 per cent of the total 54,770,548 issued and outstanding common shares voted for each of the three individual directors.