Mr. Chen Jiayong of Holystone reports

EARLY WARNING REPORT ISSUED PURSUANT TO NATIONAL INSTRUMENT 62-103 IN RESPECT OF THE ACQUISITION OF SHARES OF ALX URANIUM CORP.

In accordance with regulatory requirements, Holystone Energy Company Ltd. has recently acquired beneficial ownership and control of common shares in the capital of ALX Uranium Corp. through the private purchase of a 60-per-cent interest in Burkehill Uranium Corp. (BUC), a private company, for a purchase price of $1.4-million. BUC owns, amongst other assets, 5,635,000 ALX shares. Certain directors and officers of BUC, who may be considered to act in concert with BUC, also hold an aggregate of 1.1 million ALX shares, an aggregate of one million ALX share purchase warrants exercisable at 15 cents per ALX share and options to acquire 300,000 ALX shares exercisable at 13.5 cents per ALX share. Consequently, BUC, together with the joint actors, owns an aggregate of 6,735,000 ALX shares, 1.1 million share purchase warrants of the issuer and stock options exercisable into 300,000 ALX shares.

Prior to the BUC acquisition, Holystone owned or controlled 12.5 million ALX shares, representing approximately 18 per cent of the outstanding ALX shares. Upon completion of the BUC acquisition, Holystone, together with the joint actors, now has ownership or control over an aggregate of 19,235,000 ALX shares, representing approximately 27.5 per cent of the outstanding ALX shares, on a non-diluted basis. On a partially diluted basis (assuming the exercise of all 1.1 million share purchase warrants and 300,000 stock options held by the joint actors), Holystone, together with the joint actors, would have ownership and control over approximately 29 per cent of the then issued ALX shares.

The securities acquired by Holystone referred to above are held for investment purposes only. Holystone may acquire additional ALX shares or dispose of ALX shares (through market or private transaction) from time to time.

A copy of the related early warning report may be obtained under ALX's profile on the SEDAR website or from Joel Jeangrand at Suite 1400, 1111 West Georgia St., Vancouver, B.C., Canada, V6E 4M3.