Pinetree Capital Ltd. has acquired 750,000 common shares and 375,000 warrants of Mega Silver Inc., reflecting its strategic investment in the resources sector.

Target Information

Pinetree Capital Ltd. (TSX: PNP) announced on January 30, 2008, that it has acquired ownership of 750,000 common shares and 375,000 common share purchase warrants of Mega Silver Inc. ("Mega Silver"). Each warrant allows the holder to purchase one additional common share at a price of $1.50 until November 6, 2009. If all warrants are exercised, Pinetree's holdings would represent approximately 3.7% of Mega Silver's total issued and outstanding common shares on a partially diluted basis.

As of January 30, 2008, following this transaction, Pinetree and its joint actors hold an aggregate of 5,536,331 common shares and rights to acquire an additional 1,337,500 common shares through convertible securities. Pinetree directly owns a total of 3,940,536 common shares, including the newly acquired shares and warrants, which would comprise approximately 14.4% of Mega Silver's total common shares if only the warrants were exercised. If all convertible securities were exercised, Pinetree's combined holdings would equate to about 22.2% of the issued shares, indicating a significant interest in the company.

Industry Overview

Canada's investment landscape, particularly within the resources sector, has been robust, with increasing interest in metals and minerals driven by global demand. The mining industry, including precious and base metals, plays a pivotal