trading hult, page-10

I am also very happy with the placement - they have placed the minimum amount required thereby diluting as little as possible and as stated previously no options attached. Smart management that doesn't give freebies away is what I like - it also indicates that it was a pretty easy sell as they must really like the story to not have pressed for a discount to market price or attaching oppies. I like where the money is going to also - tangible things such as a ball mill and exploratory decline as well as the ongoing and successful drilling campaign, point to the forward momentum that this company is building up.






Page 1 of 1 Share Placement to Institutional Investors

Prairie Downs Metals Limited (`the Company") is pleased to announce that it has agreed to a
share placement to institutional clients of Southern Cross Equities Limited. All participants in
the share placement are institutional and sophisticated investors who meet the requirements
under Section 708 of the Corporations Act 2001. The share placement will comprise of an issue of 6.0 million shares at a price of $0.91 per share to raise a total of $5.46 million (before costs of the issue). The share placement is
subject to shareholder approval which will be sought at a general meeting to be held on or
around 27 August 2007. The Company expects that notice of meeting materials will be
dispatched to shareholders shortly. The Company will also seek approval for a share
placement to professional investors completed on 29 January 2007. The funds raised pursuant to the share placement will be applied to ongoing exploration and development of the Prairie Downs Zinc Project including:
-financing of the future exploration programme;
-development of an exploratory decline;
-the early purchase of a ball mill; and
-working capital requirements. .


Alec Pismiris
Company Secretary
Prairie Downs Metals Limited









For further information contact:
Elissa Samuel
Investor Relations Manager [email protected] ANNOUNCEMENT 25 JULY 2007