Mr. Joseph Cullen reports

METALSOURCE MINING ANNOUNCES PRIVATE PLACEMENT TO RAISE UP TO $4,000,000 WITH LEAD ORDER FROM ERIC SPROTT OF $1,000,000

Metalsource Mining Inc. has arranged a non-brokered private placement of up to 20 million units in the capital of the company at a price of 20 cents per unit for aggregate gross proceeds of up to $4-million.

Eric Sprott will be the lead order on the offering, subscribing for five million units, totalling $1-million.

Each unit purchased will include one common share and one-half of one transferable common share purchase warrant. Each whole warrant will entitle the holder to purchase one additional common share for a period of three years at a price of 30 cents per common share.

The company intends to use the proceeds of the offering to advance exploration at the Silver Hill and Byrd-Pilot projects in North Carolina, with a primary focus on expanding Silver Hill's silver potential, to continue work on the company's Aruba manganese project in Botswana, and for general working capital. The company may pay finders' fees in accordance with the policies of the Canadian Securities Exchange. All securities issuable shall be subject to a hold period of four months and one day from issuance.

"With the signing of the definitive agreement, Metalsource is now well positioned to move forward aggressively. Our immediate focus is Silver Hill -- a historic silver mine where previous operators outlined mineralized lenses but never systematically drilled for silver. We now have the opportunity to modernize that work, verify and expand known silver zones, and begin building an updated mineral resource estimate in North Carolina. The financing will allow us to take Silver Hill from a historic curiosity to a modern silver growth story. At the same time, Byrd-Pilot provides us with large-scale gold-copper porphyry potential, giving shareholders exposure to both high-grade silver expansion and district-scale discovery. This financing represents the next step in unlocking the full value of our U.S. portfolio for shareholders," said Joseph Cullen, chief executive officer.

About Metalsource Mining Inc.

The company is engaged in acquisition, exploration and development of mineral property assets. The company's objective is to locate and develop economic precious and base metal properties of merit and to conduct its exploration program on the Aruba property. The Aruba property is located in the Kalahari Desert region of Botswana, covering 4,663 square kilometres in an area prospective for platinum group metals, gold, silver and manganese mineralization.

We seek Safe Harbor.