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Cloudbreak Resources Ltd.: 400% Increase in Coal Property Submissions

2008-06-19 03:01 ET - News Release

VANCOUVER, BRITISH COLUMBIA -- (MARKET WIRE) -- 06/19/08

CLOUDBREAK RESOURCES LTD. (TSX VENTURE: CDB)(PINK SHEETS: CUDBF)(FRANKFURT: C6K). President Blair Naughty is pleased to report Cloudbreak Resources Ltd. has applied for a 100% interest in a further 198 Coal Dispositions located on the east side of the Pasquia Hills of East-Central Saskatchewan. This acquisition is in addition to the 48 Dispositions already pending in the system. These Coal Dispositions are in close proximity to the recently announced coal discovery by Goldsource Mines Inc., approximately 50 Kilometers north of Hudson Bay, Sask.

On May 5, 2008 Goldsource announced the results from 47 coal samples submitted from the Saskatchewan coal intercepts on two core holes representing 26 meters and 32.5 meters respectively of coal seam, including 22.6 meters of continuous coal in each hole. The coal was reportedly intercepted starting 80 meters below the surface.

Historical data and reports suggest that coal is present to the north edge of the Cretaceous rock sequence, along the shores of Wapawekka Lake to the north of the Adamas discovery. These reports further suggest that the Wapawekka outcrop is likely associated with a larger deposit to the south. The Adamas intercept is reported to be sub bituminous A quality, and is directly south of Wapawekka Lake, along the low-lying basin adjacent to the southeast of the Narrow Hills uplands.

The discovery by Goldsource of coal in two drill holes 1,600 metres apart, and the Adamas discovery, suggest the potential for a much larger coal system. The coal in the discovery areas is reported to be bituminous to sub-bituminous and was encountered in the Mannville/Swan River group of Upper Cretaceous age. Coal structures of the Upper Cretaceous age are reported to be generally very large and can encompass several thousand square kilometers.

Company geologist and board members Marvin Mitchell, P.Eng. CFO Richard Macey and President Blair Naughty flew to Regina, Saskatchewan on June 12, 2008 to meet with the Saskatchewan Ministry of Energy and Resources about pending claims, and to do detailed research on the areas surrounding the recent discovery by Goldsource.

President Blair Naughty stated, "The staff at the Ministry were extremely helpful and accommodating. Several of the in-house geologists, as well as the Executive Director of Industry and Resources took the time and effort to provide us with thoughts on the discovery and provided maps of the area for us. With the knowledge we gained from that first day we immediately applied for 48 more Dispositions (91,102 acres) in the area.

In the town of Hudson Bay we met Neil Salmond, who was born in the area and has been involved in the logging and farming industries. His extensive knowledge of the logging roads, forestry contacts and surrounding areas proved invaluable. We examined maps of unclaimed townships from the Ministry and matched logging roads and highway maps of over 1,400 kilometers to see first hand the areas we staked, as well as areas we planned to stake. The first two township claims Cloudbreak submitted have full road access. The later two townships are accessible by helicopter.

In Melfort we plotted out a large section of unclaimed townships that are believed to be part of the coal trend. Apparently there were several claim blocks that were unstaked, according to the most recent map from the Saskatchewan Ministry of Energy and Resources. These township claims were not only accessible by road, but are completely clear cut logged and are easily accessible for a drill rig in warmer months. The roads in this area are year round roads. With this exciting information we returned to the Regina Mining office and applied for an additional 150 coal Dispositions, (approximately 284,662 acres)."

This now brings Cloudbreak's applications for land permitting in the area from 4 townships (approximately 91,062 acres) to 20.5 townships (approximately 466,846 acres). Applications were made in accordance with the Coal Disposition Act of Saskatchewan and granting of permits is dependent upon regulatory requirements to process the applications.

The company to date has not received any indication whether these permits will be accepted. The Ministry office in Saskatchewan is overwhelmed with claim submissions and is working extremely hard to grant them on a timely basis. To the company's knowledge the updated claim maps as of June 16, 2008 indicated that the claims Cloudbreak submitted were still open and the amount of backlogged claims to be processed matched almost exactly to the last batch of claims submitted by the company late on June 16, 2008.

The updated map sent out June 17th reflected all of the claims that were submitted the day before by the company. Information regarding the acceptance or denial of these claims will be announced as they are received back from the Ministry.

President Naughty, "On behalf of the board we would like to thank the staff at the Saskatchewan Ministry of Energy and Resources for their time and hospitality. We would also like to thank the friendly people of Hudson Bay and Melfort, in particular, our new Cloudbreak consultant Neil Salmond for his help and direction. We now have a better understanding of the area, the surroundings, and geological theories of the discovery. We also have access to a work force including road cutters, drillers and laborers with equipment, drills, trucks and ATV's. We believe this area will be of great interest to the mining community for some time to come, and are pleased to have submitted such a large number of township claims with the aim of becoming a major player in this new and exciting discovery area."

This news release has been prepared on behalf of the Cloudbreak Resources Board of Directors, which accepts full responsibility for its contents. The contents of this release have been reviewed and approved by Marvin A. Mitchell, P.Eng, a qualified person as defined by National Instrument 43-101.

ON BEHALF OF THE BOARD

Blair Naughty, President & Director



The TSX Venture Exchange has not reviewed nor does it accept responsibility for the adequacy or accuracy of this press release.

Contacts:
Cloudbreak Resources Ltd.
Rich Macey
[phone]

Cloudbreak Resources Ltd.
Blair Naughty
[phone]

Cloudbreak Resources Ltd.
Shelly Hildebrandt
[phone]
[phone] (FAX)
Email: [e-mail]
Website: www.cloudbreakresources.com

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