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					                                                                                          THE SOURCE     OF   INDEPENDENT EQUITY RESEARCH™


eResearch
        Recommendation
                                                                                          Analyst:   Ron Wortel, MBA, P.Eng.
                                                                                          January 23, 2003


        Speculative Buy                  URSA Major Minerals Incorporated
         Target Price
                                              300                                                                             $0.80
            C$2.50
                                                                                                                              $0.70
             Risk                             250

             High                                                                                                             $0.60
                                              200
 Ave. Monthly Trading Vol.                                                                                                    $0.50

           91872.73
                                              150                                                                             $0.40
         Quick Facts
                                                                                                                              $0.30
                                              100
Recent Price          C$0.60
                                  Thousands




                                                                                                                              $0.20
Symbol          UMJ:TSX-V
Shares O/S        9.8 million                  50
                                                                                                                              $0.10
52 Wk. Range     $0.70-$0.10
Fiscal Year End      Mar. 31                    0                                                                             $0.00

                EPS      CFPS
2000             n.a.      n.a.                     Data Source: www.wallstreetcity.com
2001             n.a.      n.a.     URSA Major is a junior exploration and development company with a focus on platinum group
2002e            n.a.      n.a.     metal. The company has made a significant new copper-nickel-platinum group metal discovery
2003e            n.a.      n.a.     near Sudbury, Ontario.

STRENGTHS                           QUICKVIEW                                              QUARTERLY UPDATE
• New discovery highlights
  leverage to exploration
  success                           URSA Major Minerals continues to                       received on the 3,500 ft (1,065 m) five
• Excellent leverage base           drill holes into a significant new                     hole program include hole U3-06 which
  and precious metals               discovery for the Company and its                      intersected 265.8 feet (81.0 m) grading
• Strong management team            shareholders. We continue to strongly                  0.66% nickel, 0.61% copper, 0.47 g/t
  and board                         recommending URSA Major Minerals’                      platinum, 0.54 g/t palladium and 0.27 g/t
                                    shares as a Speculative Buy to                         gold.
RISKS
                                    investors seeking leverage to base and
• Inherent risk in the              precious metal exploration.                            2. Time-domain electromagnetic
  mining industry                                                                          (TDEM) surface and borehole
                                    The Company’s recent activities include                geophysical surveys were completed in
CONCLUSION
                                    continuing exploration of its Shakespeare              October, and have extended the
• New discovery and the             Project west of Sudbury. Since our initial             conductive zone in the target area for at
  pending follow-up should          report an additional six holes have been               least 600 feet (183 meters) northeast of
  add substantial value to          drilled and additional geophysical surveys             the previous drilling and indicate that the
  shareholders                      have been completed.                                   conductive zone extends down dip from
                                                                                           the previous drilling.
                                    Highlights
                                                                                           3. URSA Minerals is completing a
                                    1. Assay results from five drillholes on               3,000 foot diamond drill program that will
                                    the Company’s Shakespeare discovery                    test the geological structure and
                                    west of Sudbury, Ontario were reported.                associated time-domain electromagnetic
                                    All holes intersected a wide zone of                   (TDEM) anomaly northeast of and down
                                    significant near-surface nickel, copper,               dip from previous drilling. Three holes
                                    and     platinum      group      element               are currently being assayed with three or
                                    mineralization. Highlights of assay results            four holes yet to be completed.


Independent Equity Research Corp. 130 Adelaide St. W, Suite 2215, Toronto Ont., Canada M5H 3P5, www.eresearch.ca
eResearch                                                                           Ursa Major Minerals Incorporated

                              4. The Company has raised C$1.22 million in financings and has graduated to Tier
                              2 on the Venture exchange since our last report. A second closing on its most recent
                              financing is expected in the near-term. These funds give the Company the ability to
                              further advance its exploration programs.

                              5. The Company announced its intention to proceed with drilling at its Wyoming
                              properties but early heavy snowfall has postponed this program.


                              THE COMPANY
                              URSA Major Minerals Incorporated is a Tier 2 TSX-Venture listed Canadian junior
                              exploration company exploring for base and precious metals, particularly platinum
                              group metals now trading under its new symbol UMJ. URSA has active nickel,
    The discovery of the      copper and platinum groups metal exploration projects in the Sudbury Area and in
    new Shakespeare zone      Wyoming, USA. URSA management’s strategy for growth is to build sustained
    exhibits the success of   shareholder value by advancing high quality exploration projects through strong
    the Company’s             technical management. In addition to exploration projects, URSA has an interest in
    strategy                  Patricia Mining Corp (PAT:TSXV), an Ontario based gold exploration and development
                              company. Patricia is also covered by eResearch.

                              The management and directors of URSA provide shareholders with a team of highly
                              skilled technical and financial experts.


                              THE PROJECTS
                              The Company has been focusing most of its efforts on the Shakespeare property just
                              west of Sudbury, Ontario where a new zone of nickel, copper and platinum group
                              metal mineralization has been discovered through prospecting and drilling. Further
                              drilling is expected to continue to outline the size and nature of this discovery to a
                              higher degree of confidence. To date the results have been extremely exciting. The
                              Company also has two properties in Southern Wyoming with several drill targets
                              waiting the spring drilling season.

                              Shakespeare Project

                              This project is located about 20 km west of the Sudbury Basin in Ontario. The
                              location is highly strategic in that the Sudbury Igneous Complex is host to Canada’s
                              largest mining and metallurgical complex, producing nearly 20% of the world’s supply
                              of nickel. This discovery is about a 30-minute drive from the city of Sudbury. The
                              Company’s total land position consists of 255 claims (10,200 acres). Of this,
                              approximately 40 claims make up the Shakespeare option on which URSA Major can
                              earn a 75% interest from Falconbridge. The Company has an additional 116 claims,
                              owned 100%, surrounding the option block that URSA acquired by staking.

    This discovery is a       Falconbridge’s Shakespeare deposit lies to the west of the discovery and within the
    near surface deposit      option block. This deposit discovered in the 1950’s is estimated to contain a near-
    with nickel-copper and    surface inferred resource of 2.1 million tonnes grading 0.36% nickel, 0.42% copper,
    precious metals in        0.44 g/t palladium, 0.40 g/t platinum and 0.22 g/t gold. The current round of drilling
    economic grades           started about 200 meters east of the Shakespeare deposit. Initial results would suggest
                              this new discovery has about 50% better grades, and like the Shakespeare deposit, it
                              is near surface.

2                                                                                                       January 23, 2003
Ursa Major Minerals Incorporated                                                                                         eResearch

 Figure 1. Shakespeare Project - Regional Location Map


                                                            Southern
                                 Superior                   Province
                                 Province
   URSA’s Sudbury area                                                                            st Z
                                                                                                      one
                                                                                               hru
    property locations                                                               Fro
                                                                                        nt
                                                                                             T
                                                                              ille
                                                                          env
                                                                        Gr
                                                    e
                                                 siv
                                            ntru                            River Valley
                                        ry I l ex
                                    dbu      p                               Intrusion
   East Bull Lake                 Su Com
   Intrusion

                                                             Grenville Province
                                                         PGM Discoveries
                                                                             Lake Nipissing
   Agnew Lake
   Intrusion           50 kms.


 Source: Company reports


 URSA Major Minerals can earn an initial 51% interest in the Shakespeare property by
 issuing 150,000 shares and completing $600,000 in exploration expenditures over a
 three-year period. The Company has completed C$400,000 of this exploration                                 URSA should earn-in
 commitment already. The Company has the further option to increase its interest to                         its 75% interest by
 75% by issuing an additional 200,000 shares and completing an additional $600,000 in                       early summer
 exploration expenditures over a two-year period. We fully expect URSA to meet this
 commitment by the summer of 2003 with its planned exploration program on the
 project. Falconbridge will retain certain back-in and mineral processing rights.

 The initial evaluation of this project targeted nickel, copper and platinum group metal
 mineralization hosted in an offset dike similar to those significant mineral deposits
 around the Sudbury Basin such as Frood, Stobie, Clarabelle and Coppercliffe. While
 the initial drilling has shown the host rock and the geologic model to be different than
 expected, the results have still been extremely compelling. The management is currently
 examining a number of different options to best explain the geological model surrounding
 this discovery.

 The two discovery holes were announced as:
 Hole      Interval(ft)  Ni% Cu% Co% Pt(g/t) Pd(g/t) Au(g/t)
 U3-03            18.4   0.53    0.58   0.04  0.44 0.44 0.21                                                 The discovery holes
 U3-04           292.8   0.57    0.64     0.4 0.56 0.61 0.32                                                 returned economic
 including       165.4   0.63    0.71     0.4 0.62 0.66 0.34                                                 grades

 RECENT DEVELOPMENTS

 These results encouraged the Company to conduct more drilling of the project. Holes
 U3-05 to U3-09 were completed in conjunction with the discovery holes but assays
 were not available until later. Following this drilling, a time-domain electromagnetic
 (TDEM) surface and borehole geophysical surveys was completed in October and
 extended the conductive zone in the target area for at least 600 feet (183 meters)

January 23, 2003                                                                                                                   3
eResearch                                                                                    Ursa Major Minerals Incorporated

    northeast of this previous drilling and indicated that the conductive zone extends
    down dip from this previous drilling. A 3,000 foot diamond drill program that tested
    the geological structure and associated TDEM anomaly followed this survey. A total
    of 11 holes have been drilled into the discovery zone in 2002. Assay results from
    several of the holes drilled in the fall of 2002 are given below. Assays on three or four
    holes are currently pending as drilling continues on 200-foot centres along strike to
    the discovery zone. The current drilling program is set to test the full extent of the
    mineralized zone along strike and to depth. Management expects that the results from
    these assays will be made available over the next several weeks. The total strike
    tested to date is about 250 meters with true widths roughly estimated at 40-60 meters
    thickening to 100 meters at a depth of 150 meters. The deepest intersection has
    mineralization 250 meters from the surface. The completed drilling is suggesting that
    the mineralized unit is flattening out at depth. This interpretation also opens up the
    existing Shakespeare resource to the west where drilling may not have tested this
    potential.

    Hole     Inte rval Ni%          Cu%       Co% Pt(g/t)         Pd(g/t)     Au(g/t)
                (ft)
    U3-05       204.3       0.45      0.53     0.03      0.42        0.51        0.25
     Incl.       72.2       0.55      0.66     0.03      0.51        0.62        0.28
    U3-06       265.8       0.66      0.61     0.04      0.47        0.54        0.27                 Assay results and
    Incl.       151.0       0.73      0.66     0.04      0.54        0.64        0.30                 visual inspection
    U3-07       254.1       0.39      0.54     0.03      0.44        0.54        0.26                 indicate consistent
    U3-08       132.2       0.47      0.53     0.03      0.42        0.49        0.23                 mineralization
    Incl.        56.6       0.54      0.58     0.03      0.49        0.50        0.25
    U3-09       167.3       0.48      0.50     0.03      0.41        0.49        0.26
    Incl.        55.8       0.55      0.56     0.03      0.42        0.49        0.25
    Incl.        59.1       0.52      0.55     0.03      0.48        0.58        0.33

    The Company is planning to continue to drill the discovery zone in order to expand it
    along strike and with depth. Based on the results to date the program has potentially             Potential size
    outlined a zone of mineralization containing 8.4 million tonnes and every additional              already approaching
    200 feet of strike length would add another 2 million tonnes. Interestingly, Falconbridge’s       10 million tonnes in
    current reserves in Sudbury are just over 17 million tonnes and are mostly                        a near-surface
    underground. This discovery could quickly become interesting for Falconbridge due                 deposit
    to its tonnage potential and near surface accessibility. Although early in the program,
    assays and visual inspection indicate that the grade of the mineralized zone is fairly
    consistent, averaging approximately 1.1% combined Nickel-Copper and 1.23 g/t
    combined precious metals. Using current metal prices this average rock has a potential
    in situ value of close to C$110.00 per tonne and the discovery has the potential to
    develop into a deposit that may be accessible using open pit mining.

    Prospecting on the project indicates that the mineralized unit extends from the option
    property onto URSA’s 100% property to the east for several kilometers with the
    same surface expression. The Company plans to conduct geophysical surveys over
    this unit on its 100% property in order to locate targets for further investigation.
    Drilling of these new targets would be a high priority for the Company.

    URSA Major has clearly made a new discovery that will provide investors with a
    steady stream of news over the next several months



4                                                                                                              January 23, 2003
Ursa Major Minerals Incorporated                                                                                                           eResearch


 Exploration potential       Figure 2. Shakespeare Project - Schematic Geology and Drill Plan

 on adjacent property
 is excellent                                                                                                           New Discovery




                                                                                                                                   U3-08
                                                                                                                                   U3-09
                                                                                                               U3-03
                                                                                                               U3-04
                                                                                                               U3-05
                                                                                                                  U3-06
                                                                                                                  U3-07




                            Source: Company reports



                             Figure 3. Shakespeare Project - Cross Section L3E - Looking West
                             URSA Major Minerals Incorporated

                              DDH U3-05    DDH U3-04          DDH U3-03
                              @ -55o       @ -55o             @ -45o
                              L3E 2+93’S   L3E 1+93’S         L3E 1+56’S


                                                                                           18.4 feet grading 0.53%Ni, 0.58%Cu, 0.04%
                                                                                           Co, 0.44 g/t Pt, 0.44 g/t Pd, 0.21 g/t Au

                                                         Gabbro



                                                                                       292.8 feet grading 0.57%Ni, 0.64%Cu, 0.04%
                                                                                       Co, 0.56 g/t Pt, 0.61 g/t Pd, 0.32 g/t Au
                                                        ult
                                                      Fa




                                                                                                        EOH @ 357.5 ft



                                                                                                     Quartz
                                                                                                     diorite
                                                                                  Gabbro
                                                                                                                       Quartzite

                                                                Assays pending




                                                                                                          EOH @ 524.8 ft


                                   Shakespeare Project
                                   Cross Section L3E - Looking West
                                                                           0          50
                                                                               Feet




                                                                                                        EOH @ 839.7 ft

                            Source: Company reports




January 23, 2003                                                                                                                                   5
eResearch                                                                                  Ursa Major Minerals Incorporated




    OTHER PROJECTS

    Porter Township

    URSA’s properties in Porter Township have been the subject of a regional study.
    Management has chosen to focus its time in the Sudbury region on the Shakespeare
    project as preliminary indications in this area did not warrant further work at this time.

    Wyoming, USA

    URSA has staked 58 claims (1,200 acres) in the State of Wyoming. The target in
    Southern Wyoming is Platinum group metals in major fault structures in rocks of               Drilling to start in
    similar age to the rocks in the Sudbury area of Ontario. The Stillwater Platinum/             Spring of 2003
    Palladium mine in northern Wyoming is a similar type deposit to URSA Major’s target.
    The Company’s exploration has focused on a high-grade shear zone related
    mineralization on its West Rambler property and reef-type targets on the Jay’s Roost
    property. Both of these units are part of a major layered intrusive complex. These
    layered intrusions are frequently associated with Platinum group metal deposits.

    The West Rambler property is on strike from the past producing New Rambler mine,
    a high-grade copper-palladium deposit. Mapping in 2000 identified high-grade float
    samples on URSA’s property with values up to 89.0 g/t platinum. This was followed
    up by a detailed soil sampling program and a ground electromagnetic (EM) survey. A
    strong geophysical conductor was identified near a series of geochemical anomalies.
    Several drill targets have been chosen and the Company announced the decision to
    drill but early heavy snows have postponed this program until the spring.

    Directors and Senior Management

    Richard H. Sutcliffe, Ph.D., President, CEO and Director
    Richard H. Sutcliffe is a geologist with more than 20 years of experience in exploration
    and the mining industry. In addition to being President and Chief Executive Officer of
    URSA Major Minerals Incorporated, Dr. Sutcliffe has been Chief Executive Officer
    and a Director of Patricia Mining Corp. since 1998 and a Director of North American
    Palladium Ltd. since 1999.

    C. Nigel Lees, Director
    Mr. Lees is currently President and Chief Executive Officer of the SunBlush
    Technologies Corporation, a modified atmospheric packaging (MAP) company. Mr.
    Lees was a founder of TVX Gold Inc.

    Robin E. Goad, Director
    Robin E. Goad, M.Sc., P. Geo., is President and a Director of Fortune Minerals Limited
    and Formosa Environmental Aggregates Ltd. Mr. Goad is a geologist with more than
    20 years of experience in the mining and mineral exploration industry.




6                                                                                                            January 23, 2003
Ursa Major Minerals Incorporated                                                                              eResearch



                          Finances and Valuation

                          The Company completed C$1.22 million in financings since out last report. These funds
 The Company has          give the Company the ability to advance its current exploration programs. A second closing
 been very                of its most recent financing is expected in the near-term. The preliminary exploration
 successful in            budget for the next six months is around C$750,000, the bulk of which will be directed to
 raising funds to         the Shakespeare project. This recent financing also allows the Company to advance its
 meet its                 projects in Wyoming. The Company can continue to determine the limits of the new
 exploration              mineralized zone at Shakespeare and conduct extensive exploration on its adjacent 100%
 budgets                  owned property. Increasing the size of this new discovery, finding new zones on their
                          adjacent land or finding an extension to the existing Shakespeare resource could quickly
                          add value to URSA’s project. These results and the obvious potential have encouraged us
                          to upgrade out target price to C$2.50 per share.


                          CONCLUSION
                          URSA has made a significant new discovery. This discovery in Shakespeare Township
                          west of Sudbury is likely to attract more attention over time as follow-up drill hole results
                          are publicly released and the indicated potential tonnage increases. To date six significant
                          drill holes have been released, the Company is anticipating further assay results from 3 or
                          4 more drill holes along strike testing the potential extension of the mineralized zone.
                          Drilling results to date indicate a mineralized zone that extends along strike for 250 meters,
                          to a depth of 150 meters and widths up to 100 meters with a relatively consistent grade.

                          Management is currently planning further drill programs to extend and delineate the discovery
                          zone as well as testing several geophysical anomalies to the east and west along strike in
                          what appears to be similar geology.
 Exploration
 success will drive       URSA Major is well positioned to take advantage of this recent exploration success.
 the share price          Management is focused on making this discovery add to shareholder value. We are strongly
                          recommending this stock for investors seeking exploration success in the speculative
                          mining business.




January 23, 2003                                                                                                           7
eResearch                                                                                                                    MFP Financial Services Ltd.



                                            eResearch Recommendation System
                                            Buy:                    Expected total return within the next 12 months is at least 20%
                                            Speculative Buy: Expected total return within the next 12 months is at least 40%. Risk is High (see
                                                             below)
                                            Hold:                   Expected total return within the next 12 months is between 20% and the T-Bill rate
                                            Sell:                   Expected total return within the next 12 months is less than the T-Bill rate


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