Mr. John Carter reports

SILVER BULLET MINES INTERCEPTS HIGH GRADE SILVER ZONE AT WASHINGTON MINE IN IDAHO

Silver Bullet Mines Corp. has accessed the historic high-grade silver vein at its wholly owned Washington mine in Idaho. This portion of the vein was targeted using the Stoker report among other data.

The Stoker report indicates a blocked-out volume contains an estimated three million ounces of silver with a grade of 30 to 90 ounces per ton and 15,000 ounces of gold at 0.3 ounce per ton (oz/t). (source: Geological Evaluation, Roger G. Stoker, PG, and Ryne C. Stoker, student geologist, Energy Services Inc., December, 1981). Stoker also indicated the underground location of the Berger vein, described as a "gold ore shoot 25 feet wide, 135 feet long and unknown depth." Average grades were given as 0.3 oz/t gold with unknown silver content. Additional notes in Stoker suggest that the Berger vein had been intersected in drifting at the 400-foot level. Stoker also indicates the Washington mine was one of the highest-grading gold mines in the area averaging one oz/t gold.

The company increased the size of the adit to 12 feet by 12 feet, enabling the contract miner to advance over 190 feet and turn parallel to this silver zone. The enlarged adit has enabled the contract miner to set up four drill stations using an underground drill and drill into the vein at various angles.

The vein pinches and swells, averaging approximately six feet wide. All of the contract miner's drill holes intercepted the vein. The core from these holes has been logged and samples have been sent out for assay. Dark grey material in the core sample is reasonably believed to be high-grade silver.

During logging of the core, multiple gold veinlets were visually identified. Samples from the core, including sections holding the gold veinlets, are being prepared for assay.

The oxide material ahead of the targeted zone has been removed and sent to the stockpile, some of which ran as high as 18 oz/t silver using X-ray fluorescence. (None of that material has been assayed which could provide a more accurate determination of the amount of silver in that sample.) Silver Bullet is excited by these events as they confirm much of the data outlined in Stoker (see that report on the company's website). Management reasonably believes the contract miner is moving towards what could be a significant mineralized structure.

The contract miner is currently driving a six-foot-by-nine-foot drift to the centre of the high-grade zone to access the silver/gold material, which will be removed and stockpiled for future sale. This drift will allow the contract miner to mine the vein in all directions throughout the structure.

While driving the main adit, the contract miner intercepted historical workings that contained visible multiple gold veinlets. The company is evaluating these targets. Silver Bullet also broke into the historical Washington gold chute, which will be accessed once the contract miner has implemented a plan to create safe access to it. This is the area that Stoker indicated hosted 0.3 oz/t gold over 20 feet.

Silver Bullet strongly believes that it has achieved its goal of confirming data in Stoker. It also provides further support for the accuracy of the historic bulk sample taken in the 1980s that yielded 44 oz/t silver and 0.1 oz/t gold. These positive events give management a great deal of confidence that the Washington mine has the potential once again to be a significant producing gold/silver property.

Silver Bullet will now focus on further development and extracting a 2,500-ton bulk sample.

We seek Safe Harbor.