The new resource estimate reported on October 25th, 2007 (derived from 175,000 feet of drilling) uses a $15.00 per pound molybdenum long term price which is in line with industry consensus. Management believes the new resource has improved the scale and viability of the project. This project was acquired in June 2006, and was worked on extensively by Gulf Minerals in the early eighties as they drilled 165,000 feet. We are currently conducting our second in-fill drilling campaign at Victorio which will compromise 20 holes for a total of 40,000 feet of drilling. The company continues to advance the project on the engineering, metallurgical, geotechnical, and geological front.

As part of the ongoing Scoping Study, we are evaluating suitability of the different lower cost underground bulk mining methods and the implication on the project's economics. Essentially, we have begun the economic optimization process for the project. The second in-fill drilling program is currently taking place at Victorio, which is utilizing angle, directional, and oriented core drilling. In addition to gaining better geological information on the deposit, the core will also be used for further metallurgical and geotechnical studies.

The highlights of the new resource estimate include:

• Potential for significantly larger mineable resource: The size range now lies between 60 million and 100 million tons, each scenario is enhanced by a 21 million ton high grade core. The deposit remains open in certain directions to add additional tonnage.
• Larger Resulting Tonnages: Previous resources were calculated using a $40 cut off, based on a US$12/lb molybdenum price. Using the same cutoff but a US$15/lb molybdenum price the tonnage for the new resource estimate has increased by over 33% increase and a 48% increase in tonnage for Inferred Category.
• Quality of resource (using a $40/ton cutoff) remains intact with 67% being in the Indicated Category, and the continuity of the mineralization remains intact.
• The current molybdenum price remains strong at $32 per pound.

Victorio: New Resource Estimate ($15/lb moly, 8$/lb tungsten)			Contained Metal in Pounds
Category	Cutoff (US$/Ton)	Tons (Millions)	% Mo Equivalent
Indicated	25	67	0.15	203,000,000
Inferred	25	42	0.14	114,000,000
Indicated	35	40	0.19	153,000,000
Inferred	35	22	0.17	75,000,000
Indicated	40	32	0.21	130,000,000
Inferred	40	16	0.19	60,000,000
Indicated	55	15	0.26	79,000,000
Inferred	55	6	0.24	30,000,000

New Resource Estimate Boosts Tonnage

Below we have provided a table that shows the new resource estimate using a cut-off value of $40 per ton and also of $50 per ton. The percent increase in tonnages and contained metal value reflect the impact of using a higher longer term molybdenum price. The current numbers below are calculated using a long-term molybdenum price of $15 per pound versus the prior number of $12 per pound. The long-term price of $8 per pound for tungsten remains intact for resource estimation, the current price is $12.50/lb.

New Resource Estimate Comparison with Prior Estimates ($15/lb moly, 8$/lb tungsten)					Contained Metal in Pounds
Category	$ Cutoff value/ton	Tons (Millions)	Tons Increase %	Mo Equiv %	Mo Equiv	Increase %
Indicated	40	32	33	0.21	130,000,000	22
Inferred	40	16	48	0.19	60,000,000	33
Indicated	50	19	39	0.24	92,000,000	26
Inferred	50	8	57	0.22	37,000,000	42

The table below reflects the full sensitivity analysis of expanding the range of our analysis of the impact on changing cut-off grades and the resulting tonnages and grades. Moreover, the figures unlike the prior two tables has the respective grades and contained metal value for tungsten for the varying cut-offs.

Victorio 2007 Resource Model Run with $15 Mo and $8 WO3
Geologic Resource					Contained Metal in Pounds
Category	$ Cutoff	Tons (M)	Mo %	WO3 %	Molybdenum	Tungsten (WO3)
Indicated	25	67	0.099	0.101	132,000,000	134,000,000
Inferred	25	42	0.088	0.091	74,000,000	76,000,000
Indicated	30	52	0.110	0.111	115,000,000	116,000,000
Inferred	30	31	0.101	0.098	62,000,000	60,000,000
Indicated	35	41	0.123	0.120	100,000,000	98,000,000
Inferred	35	22	0.115	0.105	51,000,000	46,000,000
Indicated	40	32	0.136	0.130	86,000,000	82,000,000
Inferred	40	16	0.129	0.110	42,000,000	35,000,000
Indicated	45	24	0.150	0.138	73,000,000	67,000,000
Inferred	45	12	0.143	0.117	33,000,000	27,000,000
Indicated	50	19	0.164	0.145	63,000,000	55,000,000
Inferred	50	8	0.158	0.124	26,000,000	21,000,000
Indicated	55	15	0.178	0.152	54,000,000	46,000,000
Inferred	55	6	0.171	0.131	22,000,000	17,000,000

Geological Modeling Discussion

The new resource estimates incorporated the results from the Company's first 10,000 foot (6 core holes) drilling campaign which was completed in the Spring of 2007. The prior estimate that was announced earlier this year (January 29, 2007) was derived using just the data from the 165,000 feet of drilling conducted by Gulf Minerals in the early eighties.

For all the resources estimates, the resource model was constructed utilizing Vulcan software, and using an inverse distance weighting to the third power grade estimation technique. The model required a minimum of 3 and maximum of 8 composites from at least two drill holes to assign grade to each 30' by 30' by 15' block for the Indicated resource classification. The molybdenum and tungsten grade estimations were limited by individual hard boundary grade shells using only composite data from within the grade shells, by rock type.

SRK has completed independent resource estimations according to CIM resource categories in compliance with NI 43-101 guidelines for the Victorio project. The resource modeling parameters used are minor modifications to the parameters used in the January 2007 initial resource estimate, which is provided in Galway's NI 43-101 technical report dated February 28, 2007. Bart Stryhas and Allan V. Moran of SRK Consulting (U.S.), are "Qualified Persons" as defined by NI 43-101, are the Qualified Persons responsible for the resource estimations contained in this news release, and have reviewed the content of this press release.

Metallurgical Recovery
The property underwent one round of preliminary bench-scale metallurgical testing prior to 1983 that identified molybdenum mineralization (molybdenite) at 85% estimated process recovery, and tungsten mineralization (scheelite) at 75% estimated process recovery. Further iterations of the initial testing were reasonably predicted to provide a favorable increase in scheelite recoveries by fine tuning of the proposed metallurgical process. Additionally in the last 25 years there have been significant advances in mineral processing technologies, which can be applied to this deposit.

Victorio Mountain Deal Terms
Galway Resources Ltd. has entered into an option agreement to purchase a 100% interest in the Victorio, by paying US$2.13 million over 5 years and issuing 400,000 shares over the same time period. First year payments include US$65,000 cash and 50,000 shares in Galway. Any future production from the deposit is subject to a 2% NSR (Net Smelter Royalty).

NI 43-101 Technical Report, Executive Summary
May 2008

NI 43-101 Technical Report
May 2008