Marathon PGM Corporation
TSX VENTURE : MAR

May 11, 2006 17:24 ET

Marathon Announces $5M Private Placement

TORONTO, ONTARIO--(CCNMatthews - May 11, 2006) - Marathon PGM Corporation (TSX VENTURE:MAR) ("Marathon" or the "Company") is pleased to announce that it has closed a non-brokered private placement generating gross proceeds of $5,000,000 through the issue of 1,250,000 units at a price of $4.00 per unit. Each unit consists of one common share of the Company and one-half of one share purchase warrant, each whole warrant entitling the holder to purchase one common share at a price of $5.00 per share until May 11, 2008. The Company paid a finder's fee of $300,000 and issued 37,500 broker warrants in connection with this financing, with each broker warrant exercisable into one common share of the Company at a price of $5.00 per share until May 11, 2008.

The proceeds from this financing will be used to advance the Company's Marathon PGM-Cu project located in Marathon, Ontario and for general corporate purposes. This private placement ensures that the Company will have enough funding to complete its 2006 Exploration and Development Program and provides the Company with the flexibility to expand the program as results and a preliminary economic assessment, expected to be completed in June 2006, dictate.

On Behalf of the Board of Directors,

" Phillip C. Walford"

Phillip C. Walford, President, CEO & Director

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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