Mr. Stephen Shefsky reports

JAMES BAY RESOURCES LIMITED ANNOUNCES CLOSING OF $520,000 OFFERING

James Bay Resources Ltd. has closed a non-brokered private placement of 520,000 units at a price of $1.00 per unit for aggregate gross proceeds of $520,000. Each unit is composed of one common share in the capital of James Bay and one common share purchase warrant. Each warrant comprising part of the units is exercisable for common shares at a price of $1.25 for 36 months from the date of issuance.

The net proceeds from the offering will be used to finance working capital and to enable the issuer to further its oil and gas business in Nigeria.

In connection with the offering, the company has paid to eligible persons a cash finder's fee of an aggregate of $31,200 and has issued 31,200 finder's warrants equal to 6 per cent of the aggregate number of units placed by the finders in the offering. Each finder's warrant is exercisable to acquire one common share at a price of $1.00 per common share for 36 months from the date of issuance.

The common shares and warrants issued as units pursuant to the offering, and the finder's warrants and common shares underlying the finder's warrants, will be subject to a four-month regulatory hold period commencing from the date of closing.

We seek Safe Harbor.