Mr. David Brett reports

PACIFIC BAY & AURWEST SIGN WEAVER GOLD PROPERTY DEFINITIVE OPTION/JV AGREEMENT

Pacific Bay Minerals Ltd. has entered into a definitive option and joint venture agreement with Aurwest Resources Corp., whereby Aurwest has acquired an option to earn, subject to the satisfaction of conditions, an undivided interest of up to 50 per cent in Pacific Bay's Weaver gold/silver property in British Columbia.

Transaction summary

Pursuant to the terms of the definitive agreement, Pacific Bay is appointed as the operator of the project in consideration of payments, issuance of common shares of Aurwest and exploration work. Aurwest may earn up to a 50-per-cent undivided interest in the Weaver project up each of the yearly anniversaries of the signature of the definitive agreement during a three-year period following the entering into the transaction. Such payments and Aurwest common shares issuances are allocated as follows (in each case subject to and in accordance with the rules and policies of the Canadian Securities Exchange):

• Upon signing of this agreement, $10,000 and 500,000 shares of Aurwest (completed);
• Upon receipt of regulatory approval, payment to Pacific Bay Minerals of $20,000 worth of common shares of Aurwest based on the 20-day volume-weighted average price (VWAP) of Aurwest;
• On or before the first anniversary of the LOI (letter of intent): $15,000 cash, $25,000 worth of Aurwest shares based on the VWAP and $75,000 in exploration work on the property;
• On or before the second anniversary of the LOI: $20,000 cash, $75,000 worth of Aurwest shares based on the VWAP and an additional $100,000 in exploration work on the property;
• On or before the third anniversary of the LOI: $25,000 cash and $75,000 worth of Aurwest shares based on the VWAP and an additional $150,000 in exploration work on the property.

The agreement also contemplates the following:

• Automatic joint venture formation upon option exercise: Upon Aurwest satisfying all option payments and work commitments, the parties will automatically form a 50/50 joint venture, with Pacific Bay Minerals acting as the initial operator and a two-member management committee governing major decisions.
• Existing 3-per-cent NSR (net smelter return) royalty with buydown rights: The property is subject to a 3.0-per-cent NSR royalty in favour of David Schussler. Pacific Bay retains the right to purchase up to 2 per cent of that royalty at $1.5-million per 1-per-cent increment and holds a right of first refusal on the remaining 1 per cent.
• Dilution mechanics and minimum interest threshold: If either joint venture partner fails to finance its share of approved programs postformation, its interest will be diluted proportionally. A partner whose interest falls to 15 per cent or below is automatically converted to a 2-per-cent NSR royalty, with the other party holding a buyout option on that royalty for $2-million.
• Governance and transfer restrictions: Major decisions -- including asset dispositions or borrowings exceeding $2-million and litigation settlements above $500,000 -- require unanimous management committee approval. Neither party may transfer its interest without first offering a right of first refusal to the other, and any transferee must assume all obligations under the agreement.

Weaver gold project

Located in southwestern British Columbia's prolific East Harrison Lake belt, the property hosts strong potential for orogenic gold-silver mineralization hosted in structurally controlled quartz-carbonate vein systems, with historical exploration yielding impressive high-grade results, including up to 63.77 grams per tonne gold and 2,009.44 grams per tonne silver from trench sampling, and multiple drill intercepts with multigram gold and silver over metre-scale widths.

Situated near excellent infrastructure with year-round access through paved highways and forestry roads, the 725-hectare property also offers secondary upside for magmatic nickel-copper sulphide mineralization, drawing parallels to the nearby Pacific Nickel (Giant Mascot) mine. The Whitehead report concludes that Weaver Lake is a property of merit warranting continued exploration, supported by its favourable geological setting, confirmed mineralization continuity, and untapped potential along strike and at depth.

"The Weaver gold project represents and exciting opportunity for Aurwest to get into the gold exploration sector in B.C.," said Aurwest chief executive officer Cameron MacDonald. "We're looking forward to getting to work on this high-potential project."

"Pacific Bay welcomes this opportunity to work with Aurwest and to advance the Weaver gold property," said Pacific Bay president and chief executive officer David H. Brett. "The bullish sentiment around gold provides an excellent window to restart exploration on this high-grade gold opportunity."

About Pacific Bay Minerals Ltd.

Pacific Bay's flagship, 100-per-cent-owned Haskins-Reed critical minerals project in northwestern British Columbiais one of the leading exploration projects in the Cassiar region. Located next to Cassiar Gold Corp. on Highway 37, Haskins-Reed hosts tungsten, copper, bismuth, silver, lead and zinc in multiple high-grade polymetallic zones, over 125 drill holes, underground workings and significant exploration potential. The company also owns 100 per cent of the Weaver gold project in Southern British Columbia, now under the above-described option/joint venture with Aurwest, whereby Aurwest can earn 50 per cent.

The technical disclosures in this news release were reviewed and approved by independent geological consultant David Bridge, PGeo, a qualified person, as defined by National Instrument 43-101. Mr. Bridge is not an officer, director or employee of the company.

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