Mr. Nikolas Perrault reports

COLT RESOURCES ANNOUNCES SHARES FOR DEBT AGREEMENT

In connection with its previously announced offer for conversion in shares of its senior secured debt in the total principal amount of $2.7-million (U.S.), Colt Resources Inc. has entered into agreements with all of its remaining noteholders. Pursuant to the agreements and subject to TSX Venture Exchange approval, Colt will issue to the creditors a total of 5,107,364 units at a deemed price of 17.5 cents per unit in payment of $700,000 (U.S.) in senior secured notes and all accrued interest thereon at the date of the agreement in the amount of $26,658 (U.S.). The company elected to satisfy this outstanding indebtedness with units to preserve its cash for operations.

Each unit will comprise one common share and one common share purchase warrant. Each warrant will entitle the holder thereof to acquire for a period of three years one common share of Colt at a price of 25 cents per common share. The securities issued to the creditor will be subject to a four-month-plus-one-day statutory resale restriction.

We seek Safe Harbor.