Blaine Development, Inc.

Blaine Exploration Ltd. (Canada) has increased its credit via Blaine Development, Inc. to Gateway Resources U.S.A., Inc. to $21,480 US.  The objective of providing in-house financing is proceeding ahead and with time will allow me to shift loans from external institutions to internal loans.  We earned $2,042 in interest during the 07-08 year and said funds were reinvested into additional loans to Gateway Resources USA.