Mr. Gordon Lam reports

HERCULES ANNOUNCES SHARES FOR DEBT TRANSACTIONS

Pursuant to debt settlement agreements, Hercules Resources Corp. has settled certain debts in the aggregate amount of $44,000 that were owing and payable to certain consultants of the company through the issuance of 517,647 common shares in the capital of the company at a deemed issue price of 8.5 cents per common share.

All securities issued in connection with the debt settlement are subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.

We seek Safe Harbor.