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Paragon to Commence Drilling at South Tally Pond Project ; Titan 24 Geophysical Survey Outlines Priority Target Areas

September 2, 2008

VANCOUVER, BRITISH COLUMBIA–(Marketwire – Sept. 2, 2008) – Paragon Minerals Corporation (TSX VENTURE:PGR) is pleased to provide the results of the Titan 24 geophysical survey completed on its 100%- owned South Tally Pond base metal project located in central Newfoundland. Up to 5,800 metres of diamond drilling is planned at the Lemarchant Prospect to follow-up on targets generated by the Titan 24 geophysical survey and on significant results from previous drilling. Drilling is scheduled to begin on September 8.

Quantec Geoscience completed the Titan 24 Deep Earth Imaging System geophysical survey over the Lemarchant prospect in late July (see News Release dated May 21, 2008). The six line orientation survey was designed to help identify the signature of the precious metal-rich massive sulphide mineralization intersected by Paragon in previous drill holes, define and prioritize drill targets, and locate new target areas for drilling. The Titan survey has outlined several high priority, multi-line anomalies in the west, central and east portions of the surveyed grid area:

– In the central part of the grid, a moderate to strong conductor extends over all six surveyed lines. The multi-line conductor is interpreted to correspond with the strongly mineralized felsic volcanic rocks and base metal massive sulphides drilled on lines 101+00N, 102+00N, 103+00N and 104+00N. The anomaly continues to depth and along strike of the previous drilling.

– In the west part of the grid, a strong conductor occurs over an 800 metre strike length. This western anomaly represents a new, untested area of the property that is underlain by favourable altered felsic volcanic stratigraphy.

– In the east part of the grid, a moderate to strong conductor is evident over a 600 metres strike length. The geophysical anomaly may represent the fold repeated favourable felsic volcanic stratigraphy to the east of the previous drilling. The anomaly coincides with anomalous copper-lead-zinc-silver surface geochemistry and ground/ airborne EM conductors.

“The Titan survey has provided some excellent additional information to help target and prioritize areas for the upcoming drill program at the Lemarchant prospect” stated Michael Vande Guchte, President & CEO of Paragon Minerals Corporation. “We see good correlation of the geophysical anomalies with the sulphide mineralization intersected to date and these anomalies continue to depth. The west and east anomalies are also very significant and require follow-up drilling”. Paragon will compile, interpret and integrate the Titan geophysical data into the South Tally Pond project dataset with up to 5,800 metres of drilling planned.

The South Tally Pond Project is located in the same volcanic belt and has very strong similarities to the rocks that host Teck- Cominco’s Duck Pond Mine, located 20 kilometres to the northwest. In 2007, Paragon made a significant base metal discovery on the property at the Lemarchant prospect, where massive sulphides grading up to 9.46% zinc, 2.13% lead, 0.81% copper, 73.44 g/t silver and 1.85 g/t gold were intersected over 14.6 metres. Paragon has a camp size land position covering 32,450 hectares beginning immediately southwest of the Duck Pond Mine property. The project is under option from Altius Resources Inc., whereby Paragon can earn a 100% interest in the property.

Paragon Minerals Corporation is a Canadian-based mineral exploration company listed on the TSX Venture Exchange. The company is focused on gold and base metal exploration in Eastern Canada, specifically within the Province of Newfoundland and Labrador. Further details on the properties can be found on the Company website at www.paragonminerals.com

PARAGON MINERALS CORPORATION

Michael J. Vande Guchte, President & CEO

The South Tally Pond project work is supervised by Qualified Person David Copeland, M.Sc., P.Geo. Historical results and information contained herein were obtained from reports filed with the Government of Newfoundland and Labrador.

Forward-looking statements – 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 current and future exploration programs, activities and results. 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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