Prior to becoming a reporting issuer in December, 2005, the Board of Directors of Solara ratified corporate policies relating to “Whistle Blowing”, “Black Out Trading Restrictions”, “Stock Option Plan”, “Accounting Internal Controls”, and so forth. As well, the Board established various subcommittees such the “Reserves Committee”, “Compensation Committee”, and “Audit Committee”. Only independent directors serve on these three committees. The Board of Directors is comprised of three independent directors and one officer of the Corporation. The Board also appointed an independent auditor and independent reserves evaluator for the purpose of reviewing and auditing of annual financial statements and MD&A. The Corporation does not, nor is it required to do from a regulatory perspective, undertake independent audits with respect to its quarterly financial statements and MD&A.

The Corporation is currently implementing the adoption of the new financial reporting policies referred to as “International Financial Reporting Standards” or “IFRS” effective January 1, 2011, with respect to the reporting of its financial results for 2011.

Solara follows a number of corporate policies relating to risk management and these policies are more particularly described in its audited and interim financial statements and MD&A.