Paragon Minerals Corporation
TSX VENTURE : PGR

Paragon Minerals Corporation

December 15, 2006 10:48 ET

Paragon Minerals Corporation to Begin Trading on the TSX Venture Exchange

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 15, 2006) - Paragon Minerals Corporation ("Paragon") is pleased to announce that Paragon will begin trading on the TSX Venture Exchange on Friday, December 15th, 2006 under the symbol PGR - TSX.V. Paragon was formed in July 2006 to facilitate the spinout by Rubicon Minerals Corporation ("Rubicon")(TSX:RMX)(AMEX:RBY) of its Newfoundland assets by way of Plan of Arrangement, which was completed on December 8, 2006. Paragon has approximately CDN$4.0 million in cash and, upon listing on the TSX Venture Exchange will have 20,322,922 common shares issued and outstanding. Altius Resources Inc ("Altius") is Paragon's largest shareholder with 16.2% of issued and outstanding shares as a result of its participation in the Paragon private placement financing which completed in September, 2006 (see Rubicon News Release dated September 11, 2006).

About Paragon Minerals Corporation

Paragon Minerals Corporation (TSX VENTURE:PGR) is a new junior exploration company engaged in the acquisition, exploration and development of mineral properties, specifically in Newfoundland and Labrador. The company has a dedicated technical team and an impressive portfolio of gold and base metal projects that have excellent potential for mineral deposit discovery. Paragon also provides shareholder exposure to exploration success through strategic partnerships with other senior and junior mining companies on its properties. Six projects are currently under option to Meridian Gold and Crosshair Exploration & Mining and two projects are subject to Joint Venture agreements with Xstrata (formerly Falconbridge).

Exploration Plans

Paragon has extensive exploration programs planned for the next 12 months. Approximately $3.5 million in exploration spending is planned for the company's projects in 2007, of which 40% is estimated to come from partner funded exploration projects. A minimum of 12,000 metres of drilling is planned on seven projects in 2007, with two projects currently being drilled (see below). Key projects include:

Gold projects

- A 3000-metre drill program is in progress on the Golden Promise project. Previous drilling has identified a significant gold-bearing vein system, the Jaclyn Main Zone over a strike length of 475 metres and 192 metres depth. Drill intersections include 17.69 g/t gold over 2.30 metres and 93.71 g/t gold over 1.40 metres including 327.97 g/t gold over 0.40 metres. The property is under option to Crosshair Exploration & Mining ("Crosshair"; CXX - TSX.V), whereby Crosshair can earn a 60% interest in the property by spending $4.0 million over four years. Crosshair is completing its first year expenditure commitment of $750,000.

- A 2000-metre drill program is in progress on the 100% company owned JBP Linear project, located 13 kilometres west of the town of Gander. Previous drill results (28 holes) include 16.23 g/t gold over 2.4 metres. Drilling is targeting the previously drilled H-Pond prospect and a new prospect area (Area 799) located 2.7 km northeast of the H-Pond prospect where samples of a large (80 cm by 75 cm by 65 cm) angular gold bearing boulder assayed up to 25.68 oz/t gold (798.87 g/t gold). The JBP Linear is a turbidite hosted gold prospect that is interpreted to show strong similarities to the 18 million ounce Bendigo gold trend in Southeast Australia.

- The Huxter Lane Property is under option to Meridian Gold ("Meridian", MDG-NYSE; MNG-TSX), whereby Meridian can earn a 55% interest by spending $1.0 million over three years. Meridian recently completed a first phase drilling program (18-hole, 2,239 metres) that intersected 2.21 g/t gold over 35.0 metres and 1.07 g/t gold over 28.6 metres demonstrating the bulk tonnage gold potential of the project. A follow-up winter drill program, targeting a bulk tonnage intrusive-related gold deposit is being planned.

- Approximately 2500 metres of drilling will be completed on several other exploration stage gold targets.

Base Metal projects

- The 100% controlled Lake Douglas massive sulphide project will be a key focus for Paragon in 2007. Fieldwork in 2006 exposed a massive sulphide horizon within an up to 2.5 metre thick mineralized zone over a strike length of 60 metres. Significant assay results include 10.80% lead, 5.80% zinc, and 106.2 g/t silver over 0.60 metres and 5.40% lead, 4.40% zinc, 65.1 g/t silver, and 0.49% copper over 0.55 metres. The massive sulphide mineralization is coincident with an open-ended lead and zinc soil anomaly, which extends for 1200 metres and is up to 400 metres wide. The company is planning to complete airborne geophysics, geological mapping and 2000 metres of drilling.

- The South Tally Pond project is a recent acquisition from Altius and is part of the Tally Pond volcanic belt that hosts the Duck Pond deposit currently being brought into production by Aur Resources. The South Tally Pond property hosts a number of VMS-style alteration zones from which both base and precious metal rich drill intersections have been returned. Through control of the South Tally Pond project and the 100% controlled Harpoon project, Paragon has the largest land holdings in the Tally Pond volcanic belt. The company is compiling data and planning an exploration program.

- The Seal Bay project is a Joint Venture with Xstrata (XTA.L; XTA.S) and contains a large rhyolite-hosted mineralized and altered zone that offers excellent potential for the discovery of a large copper-zinc massive sulphide deposit. Significant assay results to date include 0.80% Zn and 0.16 g/t Au over 89.10 metres and 1.04% Cu, 0.78% Zn and 36.08 g Ag over 9.15 metres.

- The 100% controlled zinc-rich Winter Hill massive sulphide project acquired in November of this year has reported high grade zinc intersections of 6.17 % Zn over 11 metres and a mineralized horizon which has been discontinuously mapped along a 3.5 kilometre strike length In addition, new discoveries by Paragon prospectors in the area require follow up.

- The Victoria Lake massive sulphide project is located adjacent to the Messina's Boomerang discovery and is actively being explored by partner Crosshair. Crosshair recently completed a 2197-metre drill program on the property (results pending).

Paragon will carry out aggressive exploration programs to advance it's highly prospective portfolio of exploration properties to discovery, continue to generate new exploration opportunities, and continue to create strategic partnerships on its projects to provide shareholders a greater potential for success with less risk to company capital. Additional information on the company will be available next week on the company website at www.paragonminerals.com.

PARAGON MINERALS CORPORATION

Michael Vande Guchte, President & CEO

The results of the Golden Promise, JBP Linear, Lake Douglas, and Huxter Lane projects summarized herein refer to previously released information by Rubicon Minerals Corporation and supervised by Qualified Person David Copeland, M.Sc., P.Geol.,who at the time was Exploration Manager for Rubicon Minerals Corporation and is now Exploration Manager for Paragon Minerals Corporation. For further information on these results see Rubicon's News releases dated May 2, 2006, August 2, 2006, September 11, 2006, and November 1, 2006 and filed on SEDAR.

The results of the Seal Bay and Winter Hill Projects summarized herein were obtained from historical information prepared by Rubicon (November 1998) and Noranda (November 1990), respectively and filed as Assessment Work with the Newfoundland & Labrador Department of Mines and Energy. Such information and Assessment Work pre-dated the coming into force in 2001 of National Instrument 43-101 "Standards of Disclosure for Mineral Projects" and accordingly, should not be regarded as compliant with NI 43-101.

This news release contains certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that the Company expects to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Forward-looking statements in this document include statements regarding the anticipated commencement of trading of Paragon's common shares on the TSX Venture Exchange, future exploration programs and joint venture partner participation. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration success, continued availability of capital and financing, inability to obtain required regulatory or governmental approvals and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. The Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

These statements are based on a number of assumptions, including, among others, assumptions regarding general business and economic conditions, the timing of the receipt of regulatory and governmental approvals for the transactions described herein, the ability of Paragon and other relevant parties to satisfy stock exchange and other regulatory requirements in a timely manner, the availability of financing for Paragon's proposed transactions and exploration and development programs on reasonable terms and the ability of third-party service providers to deliver services in a timely manner. The foregoing list of assumptions is not exhaustive. Events or circumstances could cause results to differ materially.

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