Mr. Michael Leahy reports

Galena Capital Corp. is providing an update on recent corporate developments.

Management has been actively assessing business opportunities in several different asset groups and has narrowed its focus on two opportunities in particular. The goal of these potential acquisitions is to maximize shareholder return while preserving the treasury and mitigating unnecessary dilution. Upon successful completion of these transactions, news releases will be issued immediately.

As stated in September, 2010, the energy sector remains the company's focus, with current potential opportunities being in U.S. oil sands as well as conventional oil prospects in the state of Texas.

The company currently has in excess of $1-million in cash, which is sufficient to accomplish its corporate objectives, and is proceeding carefully to minimize continuing costs pending deployment of required capital.

Galena is in the process of rationalizing its assets. The company is intending to realize the value of its Mexican subsidiary companies in order to monetize a portion of tax losses.

The following has occurred or is in the process of occurring:

Maureen property

Joint venture discussions are under way to option the land lease and mineral claims.

An agreement to sell the portable mill sitting on the property's adjacent ground is currently being drafted; $50,000 in cash has been received with final documentation pending. Management is working to ensure that final environmental and land assets are disposed of in a responsible manner.

Mercedes project

Parlane Resource Corp. has made an initial payment for the Mercedes property.

Galena is currently in the process of transferring ownership of the Mercedes property. Further payments are due.

Judith property

As announced in 2010, the Judith project is under option to QRS Capital Corp., which has commenced the required work program. Information on the QRS Capital joint venture can be viewed in the joint news release in Stockwatch of July 15, 2009.

Management additions

Galena has appointed Michael Leahy as vice-president of communications. Mr. Leahy is a graduate of Acadia University, with a bachelor of business administration degree.

Additionally, Mr. Leahy has previously worked for North American Tungsten Corporation Ltd. at Cantung mine, Yukon, where he developed hands-on experience in the various aspects of both surface and underground mining. North American Tungsten is the Western world's largest producer of tungsten concentrate (WO3) with a mill throughput of 400,000 tons per year at a grade of 1.08 per cent WO3.

Mr. Leahy will be responsible for implementing a shareholder communications strategy for the company and will be the main point of contact to ensure that shareholders and potential investors have a clear understanding of the company's operations.

Michael Sweatman has assumed the role of interim chief financial officer.

Galena would like to thank Darren Tindale for his efforts while he was chief financial officer.

The company is granting one million options to certain officers, directors, employees and consultants of the company. The options may include vesting restrictions as per the company's stock option plan and are exercisable at 10 cents per share, expiring Jan. 27, 2016.

We seek Safe Harbor.