Mr. Patrick Laracy reports

RED MOON POTASH INC. - POTASH DRILLING PROGRAM IN WESTERN NEWFOUNDLAND

Red Moon Potash Inc. has received the necessary exploration approval to proceed with a drilling program on its Bay St. George potash project. The company will drill two holes designed to step out 500 metres southwest and 1,000 metres northeast from the discovery hole Captain Cook No. 1. The potash target zone is anticipated to be penetrated at depths less than 450 metres.

The company has selected Logan Drilling Ltd. as drilling contractor, a company with extensive potash drilling experience in Atlantic Canada. Construction of the drill pads will commence in the next few days. Drilling should commence by early June and will take four to six weeks to complete.

Red Moon is a subsidiary of Vulcan Minerals Inc. Vulcan is managing the project on behalf of Red Moon and brings 15 years of drilling experience in the Bay St. George basin using various drilling techniques.

Previous work in the basin located a new potash discovery in the Captain Cook area with variable grades up to 20 per cent potassium oxide (32 per cent potassium chloride). The current program will step out from the discovery hole to better understand the potash distribution in that area. The company has the benefit of an extensive seismic database in the basin to integrate new drill results and better define the distribution of the evaporite rocks which contain the potash beds. The property has immediate access to deepwater ports, road and power grid networks. The property is contained within the larger Maritimes basin of Atlantic Canada, which hosts the Sussex, N.B., potash mine operated and currently under expansion by Potash Corp. of Saskatchewan.

Commenting on the imminent drilling program, Patrick Laracy, president of both Red Moon and Vulcan, noted: "We are very excited to be once again at the forefront of new resource exploration in western Newfoundland. This program will help determine the commercial prospects of the Captain Cook area. There are several other prospects on the 90,000-acre property that will require testing as well. Ultimately the exploratory phase will include eight to 10 holes. Notwithstanding the tepid equity markets, we are advancing this project towards attracting a joint venture partner for development work. The available infrastructure and the analogous geology to the potash mine in New Brunswick make for a compelling project."

We seek Safe Harbor.