Mr. Trevor Walker reports

HLM RAISES $811,635 IN NON FLOW-THROUGH FINANCING

Houston Lake Mining Inc. has closed a non-brokered private-placement offering for a total of 3,864,929 units of the company priced at 21 cents per unit for total gross proceeds of $811,635.

Common shares are to be issued under a unit offering of 3,864,929 units at a subscription price of 21 cents per unit. Each unit shall consist of one common share of the company and one-half share purchase warrant. Each full warrant shall entitle the holder thereof to purchase one additional common share of HLM at an exercise price of 30 cents for an 18-month period from the closing.

In connection with the $811,635 offering, the company issued finders' fees of $30,477 (7 per cent of $435,390 of the offering) and 145,130 finder warrants (7 per cent of 2,073,286 of units sold under the offering). Each finder option will be exercisable at a price of 30 cents into one common share for a period of 18 months from the date of issuance.

All of the shares and warrants issued pursuant to the private placement are subject to a minimum four-month hold period. Proceeds from the financing will be used to advance exploration of Houston Lake Mining's 100-per-cent-owned-and-optioned Pak lithium project located in Northwestern Ontario.

We seek Safe Harbor.