Mr. Jens Hansen reports

MELKIOR RESOURCES INC. ANNOUNCES PRIVATE PLACEMENT OF UP TO $300,000

Melkior Resources Inc. has arranged a non-brokered private placement of up to 600 units at a price of $500 per unit for total gross proceeds of $300,000. Each unit will consist of 8,500 flow-through and 1,500 non-flow-through common shares, and 10,000 common share purchase warrants, with each warrant entitling the holder thereof to acquire one additional common share of Melkior at a price of five cents per share for a period of 24 months. All warrants issued in the private placement carry an accelerator clause to which takes effect after 12 months if Melkior's stock trades above 10 cents. The accelerator clause requires the warrant to be exercised within 30 days of the triggering event prior to the warrant expiring.

In connection with the offering, Melkior may pay a finder's fee of up to 7.5 per cent of gross proceeds payable in cash and 10 per cent in warrants. Each whole warrant entitles the holder to purchase a common share at a price of five cents per share for a period of 24 months following the closing. The finder's warrants are also subject to the accelerator clause.

In accordance with securities legislation currently in effect in Canada, the shares, the warrants and the warrant shares will be subject to a hold period of four months plus one day from the date of closing of the private placement.

The proceeds from the offering will be used to undertake planned exploration work on the Carscallen Timmins gold property that adjoins Lakeshore Gold.

The offering is subject to regulatory approval.