I am pasting it in it's entire form as that is a condition I believe in reposting it. Alan makes a nice recommendation for Inspiration Mining. The text is easy to find. His criteria for us making the recommendation is interesting as well despite what Millright would have you think otherwise.

ALLAN BARRY REPORT ON
PRECIOUS AND BASE METALS EXPLORATION
16th EDITION

January 21, 2008

Welcome to the 16th edition of our report on Precious and Base Metals Exploration. As this is our first edition of 2008 we will take this opportunity to review 2007 and discuss our outlook for 2008. This past year was another year of very good performance for several of the companies we follow and the upcoming year looks very promising as well. In this opening section we will begin by discussing some of the “big picture” themes affecting the mining industry in general.

Recently we went live with our website at www.allanbarryreports.com. Here you can find all past reports and much more. We will be adding new features to the website so please check back often.

Since we first started publishing this report, a common theme that governed our bullish outlook for precious and base metals was based on supply and demand. On the supply side, metals had gone through many years of under investment in exploration and mine development; that reached its lowest points in the latter part of the 1990s. During that time, when prices for these various metals fell to their lowest point, new sources of significant demand started affecting the market. Emerging economies led by China, India and others started to consume a great deal of these metals. Combined with the long period of under investment, this created somewhat of a “perfect storm” for prices to go much higher, as they did.

Just because metals prices have moved aggressively doesn’t mean it makes it easy to find new discoveries that could become future mines and ultimately start contributing to annual supply. It is true that funding for exploration has improved during the last few years but there was such a prolonged period of under investment it will take many years to catch up.

In 2007, several metals prices moved quite significantly yet the pipeline of new discoveries and projects moving towards production continue to be quite subdued. As long as demand continues to grow, and supply continues to be soft, the bull market for metals prices will continue as they did this past year and look to continue in 2008.

On the demand front, the key theme has been emerging economies that are playing a growing role in the overall global economy and they are specifically consuming a lot of metals. Many economists believe that there is a recession coming to America that could start to affect the global economy. We disagree with this assessment and the main reasons are threefold.

One, for the bottom-line health of corporate America, one need not look further than the earnings and current valuations based on those earnings of the companies in the S&P 500. In historical context valuations of these companies are still quite reasonable and earnings are strong in many of these companies. Secondly, employment is at historically high levels and as long as people are working they will continue to consume stuff. Thirdly, interest rates have been going down in the last few Federal Reserve meetings and it looks like this trend will continue. With these three key points it is very difficult for us to see much of a recession.

The reason the Federal Reserve is lowering interest rates has little to do with the overall economy and has much more to do with bailing out overly aggressive borrowers and lenders that created irrational prices in the real estate market. If this was happening at a time when the bottom line of corporate America was weaker, employment was weak, and interest rates were historically high, then we could buy into the current consensus that a recession is coming. But the reality is different. Corporate America is in solid shape; people are working and interest rates are historically low. Sure, the real estate market could cause a slowing of economic growth, but probably not overly significantly; it could mean 1 to 2% GDP growth in 2008 but not dip into recession.

There is also a chance that before the end of the year the interest rate lowering could kick in and over two percent growth could be in the cards. If there is any growth it will mean additional demand for the metals we follow. Even if economic growth comes in at the low end of our range it would most likely not have an overly adverse affect on the global economy. When it comes to demand for precious and base metals, the economic growth of emerging economies is and will continue to play a very important role in the demand for these metals. And the combination of demand from the developed economies and the emerging economies will lead to strong demand growth for precious and base metals.

With the pipeline of supply from current mining soft, and new discoveries moving through evaluation toward new mine development also soft, nothing has happened during 2007 that would cause us to change our outlook on supply. In addition, the demand outlook from global economic growth looks very healthy and will cause additional demand throughout 2008. The current condition of supply and healthy global economic growth overwhelmingly suggests the long-term bull market for commodities in general, and the metals we follow are in excellent shape.

To secure future supplies of precious and base metals, exploration is critically important. In the second half of 2007 metals prices moved aggressively yet stock prices of mining exploration companies didn’t move nearly as aggressively. Stock valuations especially of mining exploration companies have a lot of catching up to reflect the strong prices of metals.

Our Favourite Treasure Hunters

In this edition we have two new companies involved with very interesting nickel projects in Ontario, Canada to add to our group of featured companies.

The most important factor we look for when considering adding a company into the report is the results from drilling.Our primary focus is exploration companies that are in the business of looking for new discoveries. In the mining business, the drill rig is often called the truth machine because it basically tells you if you have a discovery or not.

We also evaluate the people involved in running the company, especially teams that are involved in the exploration efforts. As we've mentioned in past reports, the reason we follow the drill rig first and then look at the people and other factors is because no matter how good the people are they can't make something appear if it's not there. Of course, people choose the project and select the drill targets but our first screen is what the truth machine has come across.

Ideally, we like to find these companies when their market value is reasonable to under-valued. Value investing, whether you're looking at a very large company or a small mining exploration company requires a focus on the key fundamentals in the industry. Basically, in the mining business the key fundamental is what is in the ground, while in exploration the focus is on making new discoveries.

So our main goal is to find companies with new discoveries that have good people running the company and reasonable to under-valued market values. Another important factor that we pay a great deal of attention to is a catalyst to unlock value. Most often the most important catalyst in a mining exploration company is additional drilling.

If you look at the group of companies featured in this report you will find some are focused on gold, silver and certain base metals such as copper, uranium and other metals. We believe the balance of supply and demand is leaning towards higher prices for those metals in the future. The bottom line is our portfolio of exploration companies is selected because we feel they have the kind of discoveries that can take advantage of the higher metals prices we see coming in the future for the metals they have found.

New additions

First Nickel Inc.

First Nickel is focused on nickel mining and exploration near Sudbury, Ontario. As is often the case with many of our featured companies, we look for companies with projects in well-known mining regions. Sudbury is a world-class region in the nickel mining business. We are not shareholders of the company.

First Nickel is transitioning from being an exploration company to a mining company. They have one project in production, one that is advancing toward production, and others that have significant exploration potential.

The main reason we follow exploration companies and not mining companies is because exploration companies offer leverage to moves in the price of metals and exploration success. Another reason is that mining companies tend to be valued based primarily on their bottom line from production. There are a lot of analysts that follow these kinds of companies that are therefore more efficiently priced – of course there can be inefficient pricing of mining companies but not nearly to the same degree as exploration companies.

Exploration companies are followed by a smaller audience of brokerage house analysts, and institutional and individual investors. This smaller audience allows opportunities for valuations to get significantly out of line with the underlying quality of their projects. Similar opportunities can arise when a company transitions from being an explorer to being a producer. With First Nickel in this transition period, it looks undervalued and if you add in their development stage and exploration potential they look to have a lot of growth ahead of them.

The bottom line is First Nickel is focused on important base metals with a healthy outlook for prices in the future and they are transitioning from explorer to miner with a lot of further exploration potential. With the shrinking number of companies in the middle level size, there is a lot of room for companies to fill this niche. It looks to us like First Nickel has the potential of significant growth that could help them grow from a new producer to a much larger mining company in the future.

First Nickel’s stock symbol is FNI and the shares trade on the Toronto Stock Exchange. Their website is www.firstnickel.com. Their website contains past news releases and additional information to do your own due diligence.

Inspiration Mining Corp.

Inspiration Mining is a new addition to our group that falls into a similar category as many of our past picks. They have made a new discovery – in this case high-grade nickel – in an area with a long mining history. We are not shareholders of the company.

Nickel is just like any of the other metals we follow closely in that there was a prolonged period of under investment in exploration for and development of new mines. This prolonged period of under investment has and will continue to have a long-term impact on the supply chain of nickel. On the demand front, emerging economies are consuming a great deal of this metal and coming into the market at a time when the supply chain is relatively weak. This balance of supply and demand strongly suggests that prices are in a long-term bull market that has a long way to go.

In the first half of 2007 nickel was on a very bullish trend leading to record highs. These prices caused nickel-mining companies to scramble for production to take advantage of the prices. This added production came from existing mines, not from production from new mines. The added production led to increased inventories of nickel at the London Metal Exchange. As inventories increased, nickel came off its record highs and fell around 50% from its peak.

In the past few years there have been inventory peaks on the London Metal Exchange but they are generally short lived, and following those peaks the decline in inventories is almost as aggressive as the previous upward spike. The most recent spike looks to have peaked and is in the early stages of decline. As inventories decline, this is very bullish for the price of nickel.

While nickel prices were strong in the first half of 2007 Inspiration Mining came across a very significant new discovery. The drilling returned many holes with intersections of high-grade nickel. The result was that Inspiration Mining caught the attention of many investors and their stock reached all time highs, but as nickel prices came off the record highs so did their share price.

Fortunately for the long-term prospects of the company, as nickel prices and the share price were coming off their highs, they continued to intersect high-grade nickel in their drilling. They were also able to put a great deal of funds into the treasury at these high prices, which will enable them to continue to aggressively explore this project. The combination of a high-grade nickel discovery when nickel prices are where they are today (and look to go in the future) gives them outstanding potential for growth.

Inspiration’s stock symbol is ISM and the shares trade on the Toronto Stock Exchange. Their website is www.inspirationmining.com. Their website contains past news releases and additional information to do your own due diligence.

Our Report Card

As this is our first edition of 2008 we will begin this section with an overview of our performance during 2007. Following that, we will have our metals commentary, where we will review our speculative calls for metals prices in 2007 and our forecast of what we see upcoming in 2008. After the metals commentary, we will have updates on all of our past picks.

As we discussed earlier in the report and have mentioned many times in past reports, in a general sense we're in a long term bull market for precious and base metals that will continue for many years into the future. 2007 was another year in this long-term bull market and all indications to us are that the bullish trend is in very solid shape.

When the average investor considers investment opportunities in this sector, usually the first thing they look at is the metals and then they look at companies involved in mining those metals. The companies involved in exploration for new discoveries that could turn into mines in the future usually don't get as much attention as the metals market and mining companies. Due to exploration companies being overlooked by many investors, it creates significant investment opportunities.

Our focus is on exploration companies because they have a smaller audience of investors than the metals market and mining companies. In addition, they play a very critically important role in the mining sector. Without exploration for new discoveries and development of new mines from those discoveries, the supply chain would be, and has been, negatively impacted.

In fact, the under investment in exploration and new mine development that happened during much of the 1980s and 1990s is why metals prices have been performing so exceptionally well in the past few years. This under investment has led to serious weakness in the supply chain. The weakness is not the only reason metals prices have been doing so well; another very important reason is that the demand for precious and base metals coming from developed and emerging economies is much stronger than the supply chain can provide. The supply chain of precious and base metals is in drastic need of new discoveries to keep up with current and future demand.

Traditionally, over time it has been the small exploration companies that go out and make new discoveries that become future mines. A great deal of investing dollars go towards metals trading, as well as mining companies, but exploration companies don't get nearly as much attention. Regardless of how investment dollars are allocated in the industry, the fact remains that new discoveries are needed to meet demand and exploration companies are the ones that go and make these important discoveries.

Since we first began publishing this report little over two years ago we selected a group of exploration companies that have discoveries with significant potential. We selected these companies when they had, in our opinion, a reasonable to undervalued market value.

Our group of companies has some outstanding performers and as a group the general performance has been outstanding. Two of our past picks were taken over by much larger mining companies at significant premiums to the prices at the times when we featured them in the report. Another merged with their joint venture partner to create a much larger company that holds a 100% interest in an important discovery of high grade gold in the Red Lake mining camp.

The remaining companies have run the gamut of exceptional price appreciation to moderate or less than spectacular returns. When we choose a company it is because they have strong fundamentals, as it applies to exploration companies. We are disciplined about the companies we select and fortunately even though some have not performed to our liking, we still believe their value has not been accurately represented in their share prices.

Grading ourselves is not easy but it can be an important annual undertaking. To fairly assess our performance we think the best way is to use an equal dollar amount invested in each company at the time they were featured. By using this method it is clear that the group of companies we have featured have had above average returns in both 2006 and 2007.

Thus we would give ourselves better than a passing grade on company selection and performance. It would not be a stretch to give ourselves highest marks, but we feel highest marks should go to those that are able to get above average performance over time. Time will tell if we deserve highest marks and as we cover an industry that is in the midst of a bull market that will be measured in decades we are well positioned to achieve above average returns over the long term.

Before going on, we would like to remind our readers of something we have all heard before: past performance is not always an accurate indicator of future returns. We feel it is very important for readers to do their own due diligence including talking to those whose opinion you rely on to make investment decisions. We cannot stress enough how important we think it is for investors to do their homework before making any investment decisions. If these reports are helpful in identifying companies that merit readers doing their own further investigating, then we feel this report is a success.

Metals Commentary

In our early editions in 2007 we described the reasons for our bullish outlook on the prices of gold, silver and copper, then later in the year added uranium to the group of metals we discuss in this commentary section of the reports. We follow these metals because they all have similar arguments that keep us optimistic about their prices.

The basic reason for our optimism is that they all went through lengthy periods in the 1980s and 1990s when weak prices caused significant under investment in exploration and new mine development. This lengthy period of under investment had a very big impact on the supply chain that will continue for many years. Equally as important, demand from developed and emerging economies for precious and base metals is growing rapidly and is stronger than supply from annual mining.

Gold is sort of a barometer that helps get an idea of the future direction of metals in general. Gold plays a leadership role in the direction of metals prices. Obviously all metals prices don't move in unison, but they do follow a similar trend and gold is a very good indicator of this trend. Early in 2007 we speculated that gold would reach the 750-$800 US level by the end of the year and it reached and exceeded that level in that time frame. There is potential for 2008 to be as good as 2007 because demand continues to be strong in the face of higher prices and supply is soft as well. Our speculation is that gold will reach the $950 to $1000 US per ounce range before the end of 2008.

Silver is another metal we follow closely because of its close relationship to gold and the added leverage it has to movements in the price of gold. In the early editions in 2007, we made our case of why we felt that silver could exceed $15 US per ounce and possibly go over $20 before the end of the year. Recently, silver has gone above $15 but it hasn't reached $20. Our speculation for silver is that it is currently near the low end of its trading range for 2008 and before the end of the year it will get over $20 per ounce.

Copper is a very important metal to follow because it is a very good predictor of global economic growth. When the global economy is growing, demand for copper follows a similar path as this base metal is used in many products that are consumed when economies are growing. Many economists and pundits come up with all kinds of various statistics that they use to determine their opinion on economic growth. Sometimes this torrent of data can become overwhelming. Trying to make sense of all this data is not worth our effort when we can follow the demand for copper and get a solid assessment of whether or not the global economy is growing.

During 2007 copper basically was in a trading range on the low end around three dollars per pound and on the upper end nearing four dollars per pound. In our speculation early in the year we felt copper could reach four dollars per pound before the end of the year. It attempted to get to that level a few times, but didn't quite get there. Our speculation for the price of copper is it will move above the high end of its trading range and get over four dollars per pound this year. Even if it stays in the same trading range as it did last year it would still be very healthy and bullish for the companies we follow exploring for copper.

Uranium falls into the same category on supply and demand as gold, silver and copper. Because of many years of under investment in exploration and new mine development, looking forward demand looks very strong. In the future with demand from developed economies and the upcoming demand for energy from emerging economies it is clear that the world needs alternate sources of energy.

During 2007 uranium prices reached records highs then came off those highs and fell significantly. Since then, the price bottomed and has been improving and currently sits at $89.50 US per pound. Our argument to not fear the pull back in prices and stay bullish is because the fundamentals based on soft supply and strong demand haven't changed. Sure, the price when it peaked may have been overly bullish at that time, but the reason for the bullish trend was still in good shape. Our speculation on the price of uranium in 2008 is that it will continue to improve and that it will get over $100 per pound this year.

All of these metals again have similar fundamentals when it comes to supply and demand. We do not follow the fluctuations in the prices because we're trying to get a reputation for our calls on the price of these metals. The reason we follow them closely is because they have an impact on the bullishness toward the companies we follow and have an impact on the economics of what they find. We feel the trend on all of these metals is bullish and that the companies we follow will benefit from the bullish trend. The main benefit is an increased audience of investors interested in exploration companies focused on these metals.

Past Performance of our Favourite Treasure Hunters

This section of the report is provided to present a snapshot of all the companies we have featured in past reports. We include the dates and prices only for comparison purposes; we are not making buying and selling recommendations. Our reports are designed as a resource to help investors uncover companies with good potential. As always, the companies are listed in alphabetical order and the prices are in Canadian dollars.

Abacus Mining and Exploration

First featured in Sept 19/2005 edition, price on that date $0.25
Second feature in Dec 07/2005 edition, price on that date $0.36
Third feature in Jan 16/2006 edition, price on that date $0.75
Fourth feature in Feb 7/2006 edition, price on that date $0.96
Fifth feature in Mar 21/2006 edition, price on that date $0.73
Sixth feature in July 12/2006 edition, price on that date $0.59
Seventh feature in Oct 3/2006 edition, price on that date $0.50
Eighth feature in Apr 2/2007 edition, price on that date $0.70
Current price $0.33

Abacus had another busy year in 2007 with aggressive drilling focused on the Ajax East and West pits, which have them in a position for another very busy year in 2008. In the past, these two pits were in production when Teck Cominco had the project and they ceased production when metals prices were much lower than they are today. New drilling by Abacus below the old mine workings has uncovered new mineralization that is very similar to what Teck Cominco produced in the past. The pits were developed separately and Abacus had been drilling them individually but recently was able to do a deal to secure an option on the ground in between these two pits. This has changed the conceptual model to assess the potential of developing one large super pit that encompasses both Ajax East and West. This year is shaping up to be another very busy year with the drill rig with further work on these two pits and other areas of interest on the project.

We are shareholders of the company and a consultant to the company.

Abacus’s stock symbol is AME and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.amemining.com. Their website contains past news releases and additional information to do your own due diligence.

Atna Resources

First featured in Jan 16/2006 edition, price on that date $2.17
Second feature in Feb 7/2006 edition, price on that date $2.04
Third feature in Mar 21/2006 edition, price on that date $1.95
Fourth feature in July 12/2006 edition, price on that date $1.40
Fifth feature in Oct 3/2006 edition, price on that date $1.00
Current price $1.46

Atna and their joint venture partner Barrick Gold recently announced results from drilling on the Pinson project in Nevada. Atna has other projects but our main interest in the company has always been their Pinson project. The project was quiet for a while after Barrick announced they would be exercising their back in right. Last summer Barrick started drilling again, and they are required to spend $30 million before April 2009 to earn back a 70% interest. The decision to exercise their back in right was a very good sign to us that our optimism about this project was warranted. The recent drill results continue to deliver very encouraging grades and intersections on this exciting exploration project that has potential to become a multi-million ounce gold target.

We are shareholders of the company.

Atna’s stock symbol is ATN and the shares trade on the Toronto Stock Exchange. Their website is www.atna.com. Their website contains past news releases and additional information to do your own due diligence.

Bear Creek Mining

First featured in Sept 19/2005 edition, price on that date $2.96
Second feature in Nov 1/2005 edition, price on that date $3.20
Third feature in Feb 7/2006 edition, price on that date $4.17
Fourth feature in Mar 21/2006 edition, price on that date $5.96
Fifth feature in July 12/2006 edition, price on that date $7.17
Sixth feature in Oct 3/2006 edition, price on that date $9.30
Seventh feature in Apr 2/2007 edition, price on that date $6.85
Current price $7.13

Bear Creek was chosen as one of our picks since we first began publishing this report due to their exceptional Corani project in Peru. This project is a large-scale silver and base metal discovery that has the realistic potential of being a mine in the future. Finding high quality silver mines is not easy and due to our bullish outlook on the price of silver we are always on the lookout for quality silver projects. They also have another project called Santa Ana that is showing a lot of promise with recent drilling as well. With our optimistic outlook on silver prices and the exploration and development success potential this company has they are well positioned to see significant growth in the future.

We are shareholders of the company.

Bear Creek’s stock symbol is BCM and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.bearcreekmining.com. On their website you can find past news releases and additional information to do your own due diligence.

Candente Resource Corp.

First featured in May 9/2006 edition, price on that date $1.10
Second feature in July 12/2006 edition, price on that date $1.06
Third feature in Oct 3/2006 edition, price on that date $0.81
Fourth feature in Jan 23/2007 edition, price on that date $1.30
Fifth feature in Apr 2/2007 edition, price on that date $1.41
Sixth feature in Sept. 09/2007 edition, price on that date $1.59
Current price $1.67

Candente has an outstanding discovery they are advancing in Peru with a large multi-billion pound copper resource called Canariaco. This project has the potential to make the company a takeover target or become a future mine that would be a company-making asset. Either of these results would be to our liking as they would be very rewarding to the shareholders. Since they came out with their first resource calculation estimating 8 billion pounds of copper they have done a great deal more drilling and this new drilling should add significantly to the resource estimates. Additionally, they are also going to test the economics of starting production on a core portion of the property and expanding from there in the future. We look forward to future updates on the resource calculation and from the assessment of the economic potential of the starter pit model.

We are shareholders of the company.

Candente’s stock symbol is DNT and the shares trade on the Toronto Stock Exchange. Their website is www.candente.com. Their website contains past news releases and additional information to do your own due diligence.

Exall Resources

First featured in Dec 07/2005 edition, price on that date $1.34
Second feature in Mar 21/2006 edition, price on that date $1.68
Third feature in July 12/2006 edition, price on that date $2.05
Fourth feature in Oct 3/2006 edition, price on that date $2.32
Final trading price prior to merging into Gold Eagle Mines $4.05

Exall merged with their joint venture partner; the new company is called Gold Eagle Mines and they are one of our featured companies in this report. We will keep Exall in the report card section for comparison purposes and will keep track of the discovery that they helped find in Red Lake, Ontario through Gold Eagle Mines. From now on we will also use the final trading price on their last day of trading in place of a current price.

Exmin Resources

First featured in May 9/2006 edition, price on that date $0.22
Second feature in July 12/2006 edition, price on that date $0.195
Third feature in Oct 3/2006 edition, price on that date $0.30
Current price $0.25

Exmin passed a significant milestone last year as they went through the transition from being a pure exploration company by the starting of mining operations on their Moris mine in Mexico. This project is a joint venture with Hochschild Mining PLC., and Exmin has a 30% interest in the Moris mine. In addition to the exploration potential at this project they have several other projects with very good exploration potential as well. One of those other projects is a joint venture with Industrias Penoles and these two projects give them two properties they acquired that attracted large scale mining companies as joint venture partners. We look forward to additional work on these two projects and their other various exploration properties throughout this year.

We are shareholders of the company.

Exmin’s stock symbol is EXM and the shares trade on the Toronto Stock Exchange Venture market. Their website is www.exmin.com. Their website contains past news releases and additional information to do your own due diligence.

Gold Eagle Mines

First featured in Jan 23/2007 edition, price on that date $7.30
Second feature in Sept 09/2007 edition, price on that date $6.72
Current price $7.05

Gold Eagle has 100% interest in an exceptional discovery in the Red Lake mining camp that we have been following for a couple of years. Originally we started following this project through Exall that subsequently merged with their joint venture partner to create Gold Eagle Mines and consolidate their interests into one company. When we first started following this project what caught our attention was the significant intersections of high grade gold in their drilling. The Red Lake mining camp is one of the world's most prolific mining regions for high grade gold and whenever a company finds high grade gold in this area we become very interested. What added to our confidence for this project was their regional theory – basically they felt there was realistic potential of finding multiple discoveries of high grade gold on their property. The main discovery is the Bruce Channel zone and recent drilling into the Finn zone is confirming to us that their regional theory has a lot of realistic potential. Future drilling will be focused on further developing the Bruce Channel zone and additional drilling in the Finn zone. They have another target called Goldray that they are drilling as well. These targets collectively have them well positioned for success. The Red Lake mining camp helped Goldcorp grow from a junior exploration company into a large-scale gold mining company and it looks like Gold Eagle has the potential of following a similar path.

We are shareholders of the company.

Gold Eagle’s stock symbol is GEA and the shares trade on the Toronto Stock Exchange. Their website is www.goldeaglemines.com. Their website contains past news releases and additional information to do your own due diligence.

Hathor Exploration

First featured in Sept. 09/2007 edition, price on that date $0.66
Current price $0.59

Hathor is a new addition to our group of companies because we are enthusiastic about their uranium exploration potential in the Athabasca basin in Saskatchewan. This area produces a large percentage of global supply of uranium. The mines in this region range from being lower grade, fairly close-to-surface mines, to extremely high-grade but deep mines. Although there has been a lot of exploration in this region for many years, due to the nature of the deposits it doesn't make it easy to thoroughly explore the entire region. That is why we feel there is still a lot of potential for new discoveries in this area and Hathor has a lot of ground that is showing serious potential to make new uranium discoveries. We look forward to drilling this year on their various projects and any success with the drill rig can cause a lot of attention due to the focus of many investors on this area.

We are shareholders of the company.

Hathor’s stock symbol is HAT and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.hathor.ca. Their website contains past news releases and additional information to do your own due diligence.

International PBX Ventures

First featured in Jan 16/2006 edition, price on that date $0.59
Second feature in Feb 7/2006 edition, price on that date $0.61
Third feature in Mar 21/2006 edition, price on that date $0.60
Fourth feature in July 12/2006 edition, price on that date $0.53
Fifth feature in Oct 3/2006 edition, price on that date $0.43
Current price $0.245

International PBX has been active in Chile for many years and they have two projects they have been aggressively working on in the last couple years. The key project that we are most interested in is their Copaquire project, because it’s in a region where one of the largest mines in the world is located. Large tonnage open pit mines are relatively low grade but because of their large size can be money-making operations for many years. A good place to look for these kinds of mines is in areas where others have been found in the past. Drilling at the Copaquire project is showing that it has large scale potential with long intersections of lower grade near surface mineralization and these are the hallmarks of large tonnage low grade open pit operations. Obviously more work is needed to determine if that is what they have but so far things are looking good. They also have another project that they have been working on called Tabaco, which is also a base metal project with a lot of potential. They have another group of projects showing good potential for gold discoveries and we look forward to upcoming drilling on these as well. Their various projects should keep the drills very active this year and we look forward to results for both base metals and precious metals that could improve the profile of the company.

We are shareholders of the company.

International PBX’s stock symbol is PBX and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.internationalpbx.com. Their website contains past news releases and additional information to do your own due diligence.

Kodiak Exploration

First featured in May 9/2006 edition, price on that date $0.97
Second feature in July 12/2006 edition, price on that date $0.40
Third feature in Oct 3/2006 edition, price on that date $0.62
Fourth feature in Jan 23/2007 edition, price on that date $0.85
Fifth feature in Apr 2/2007 edition, price on that date $0.92
Current price $2.15

Kodiak has caught investors’ attention recently with a new discovery of high grade gold at their project in the Beardsmore/Geraldton district in Ontario. Past exploration work has exposed large structures that most importantly have hit high grade-gold in the drilling. Much more work is needed to get a clearer understanding of the ultimate potential of this project because they have many targets to drill. Having large structures to test that have already come up with high-grade is a very exciting opportunity. Shortly after the initial discovery success, the market reacted very favourably and the company was quick to act and put together a financing of $50 million that will enable them to aggressively advance this project and their other projects as well. In addition to this gold project, they have a very good base metal project in the Northwest Territories that is the initial reason we started following the company. We hope to hear news on drilling efforts on their Caribou base metals project in the near future. They are also involved with a very good uranium exploration project as well. So they are a well diversified, significantly funded, junior exploration company with high quality exploration projects for gold, base metals and uranium. With the large funding they can aggressively drill and we look forward to results from substantial drilling on all these projects this year.

We are shareholders of the company.

Kodiak’s stock symbol is KXL and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.kodiakexp.com. Their website contains past news releases and additional information to do your own due diligence.

Mountain Boy Minerals

First featured in Sept 19/2005 edition, price on that date $0.71
Second feature in Mar21/2006 edition, price on that date $0.59
Third feature in July 12/2006 edition, price on that date $0.61
Fourth feature in Oct 3/2006 edition, price on that date $0.60
Current price $0.29

Mountain Boy has two projects that we are very interested in because of success with past drilling: the Silver Coin and the BA projects. These two projects are located in fairly close proximity to the town of Stewart, BC, which has deep water access. There are large-scale mines in this region and the logistics are very good. The drilling season generally starts in the late spring and goes throughout the summer and into the early fall. Results from the work usually comes out in the early fall and winter. We look forward to the upcoming drilling season and further drilling on these projects because they are showing a lot of potential.

We are shareholders of the company.

Mountain Boy’s stock symbol is MTB and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.mountainboyminerals.ca. Their website contains past news releases and additional information to do your own due diligence.

Niblack Mining

First featured in Dec 07/2005 edition, price on that date $0.345
Second feature in Mar 21/2006 edition, price on that date $0.80
Third feature in July 12/2006 edition, price on that date $0.62
Fourth feature in Oct 3/2006 edition, price on that date $0.56
Fifth feature in Apr 2/2007 edition, price on that dates $0.76
Sixth feature in Sept. 09/2007 edition, price on that date $0.48
Current price $0.50

Niblack Mining has recently gone through a major milestone on their key Niblack project in southern Alaska. This project had historical mining in the early part of the 1900s and additional exploration work in the latter part of the 1900s. One major thing learned from this exploration work was that it was important to go underground to have easier access to the mineralization in Lookout Mountain. By tunneling in near the bottom of the mountain it gives much easier access to the mineralization at depth. The company was able to start this tunneling in the third quarter of 2007. Another important benefit of going underground is that it enables year round drilling to advance the project. They will have crosscuts going off the main tunnel where drilling stations will be set up. Tunneling efforts have reached the first crosscut and shortly drilling will get underway from the drilling stations in the first crosscut. Most exploration projects in Alaska are hampered by weather conditions that make it really only feasible to drill during the warmer months of the year. By going underground Niblack is a unique Alaskan exploration company in that they can drill year round and have easier access to the high grades encountered in past drilling.

We are shareholders of the company and a consultant to the company.

Niblack’s stock symbol is NIB and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.niblackmining.com. Their website contains past news releases and additional information to do your own due diligence.

Paladin Energy (Formerly Paladin Resources)

First featured in Sept. 09/2007 edition, price on that date $5.02
Current price $4.01

Paladin is a new addition to our group and has recently become a new uranium mining company that is mining uranium at current historically high prices. Their timing really couldn't be better and puts them in a position to take advantage of, and profit from, current uranium prices and that will help them aggressively grow the company. The management team seems focused on growing the company into a major uranium mining company in the future and it looks like that is what they will become. Most often when we look for new companies we focus on exploration companies but we made an exception with Paladin because they look like they have outstanding prospects for growth. We are very bullish on long-term uranium prices and as uranium prices improve and Paladin gets into full-scale production they are well positioned to grow.

We are not shareholders of the company.

Paladin’s stock symbol is PDN and the shares trade on both the Toronto and Australian Stock Exchanges. Their website is www.paladinresources.com.au. Their website contains past news releases and additional information to do your own due diligence.

Peru Copper Inc.

First featured in Nov 01/2005 edition, price on that date $2.00
Second feature in Dec 07/2005 edition, price on that date $3.45
Third feature in Mar 21/2006 edition, price on that date $3.37
Fourth feature in July 12/2006 edition, price on that date $5.65
Fifth feature in Oct 3/2006 edition, price on that date $4.20
Sixth feature in Jan 23/2007 edition, price on that date $4.67
Takeover price $6.60

Now that Peru Copper has been taken over, we will keep them in the report only for comparison purposes. In place of the current price we will use the takeover price.

Premier Gold Mines

First featured in Oct 3/2006 edition, price on that date $0.85
Second feature in Jan 23/2007 edition, price on that date $1.80
Third feature in Sept 09/2007 edition, price on that date $2.30
Current price $1.86

Premier Gold has a team with a lot of experience exploring for gold in the Red Lake gold camp. Their projects in this area are the main reasons we follow the company and in addition they also have exposure to exploration in the Beardsmore/Geraldton area of Ontario. Although this new area of interest looks to have good potential, the Red Lake gold camp is one of the best places in the world to be looking for high-grade gold. Past drilling by Premier Gold and their joint venture partner Goldcorp has encountered impressive results. Their key project is situated with a very prolific gold mine on one side, and on the other side is where one of our featured companies Gold Eagle looks to have a future mine. While having well situated ground is a favourable asset, they have found high-grade gold in their drilling, which is far more important. We look forward to aggressive drilling on the Red Lake project and look to their new area of interest as somewhat of a bonus if they have success. Our main focus when it comes to Premier Gold will continue to be on their drilling in Red Lake and it looks like 2008 is shaping up to be another busy year with the drilling on the Rahill-Bonanza project.

We are shareholders of the company.

Premier’s stock symbol is PG and the shares trade on the Toronto Stock Exchange. Their website is www.premiergoldmines.com. Their website contains past news releases and additional information to do your own due diligence.

Redstar Gold Corp.

First featured in Nov 01/2005 edition, price on that date $0.12
Second feature in Dec 07/2005 edition, price on that date $0.10
Third feature in Feb 7/2006 edition, price on that date $0.25
Fourth feature in Mar 21/2006 edition, price on that date $0.35
Fifth feature in July 12/2006 edition, price on that date $0.19
Sixth feature in Oct 3/2006 edition, price on that date $0.13
Current price $0.16

Redstar has high quality gold exploration projects in Red Lake, Ontario and Nevada and recently had good news from both these areas. They recently announced that one of the world's leading gold mining companies, Gold Fields, has optioned the Dry Gulch and Richmond Summit properties two of Redstar’s projects on the Carlin trend in Nevada. Major mining companies don't often get involved with grassroots exploration projects, most often they wait until a discovery has been made before they get involved. The fact that they are involved at this early stage and committed to aggressive work programs in the first year of the option attests to the exploration potential of these two projects. In the first year they have committed to $1.4 million and a significant amount will go towards drilling. That amount of work on these high quality exploration projects puts the partners in a good position for exploration success. In addition to these two projects the company has several other projects in Nevada that will also see drilling this year. In Ontario, the company has recently started drilling on their Red Lake project to follow up in the area where past drilling had encountered high grade gold. The combination of projects in Red Lake, Ontario and Nevada with significant drilling and the potential for exploration success has the company well positioned for growth.

We are shareholders of the company and a consultant to the company.

Redstar’s stock symbol is RGC and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.redstargold.com. On their website you can find past news releases and additional information to do your own due diligence.

Silvermex Resources

First featured in Oct. 3/2006 edition, price on that date $0.80
Second feature in Nov.24/2007 edition, price on that date $1.25
Current price $1.00

Silvermex is focused on exploration of precious and base metal projects in Mexico. They have two projects that have substantial resources and significant potential to increase those resources. Recently, they added a project to their portfolio that was optioned from Silver Standard Resources. Silver Standard is one of the big success stories with a focus on silver. In the option agreement, Silver Standard retains a back in right that they can exercise if Silvermex is able to grow the discovery from its current resource estimated size of around 10 million ounces past 100 million ounces of silver. Obviously Silver Standard thinks there is the potential to significantly grow the resource. 2008 is shaping up to be a very busy year of drilling for Silvermex on their various projects and the quality of those projects puts them in a very good position for exploration success.

We are shareholders of the company.

Silvermex’s stock symbol is SMR and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.silvermexresources.com. On their website you can find past news releases and additional information to do your own due diligence.

Skygold Ventures

First featured in Sept 19/2005 edition, price on that date $0.65
Second feature in Nov 01/2005 edition, price on that date $0.55
Third feature in Mar 21/2006 edition, price on that date $1.50
Fourth feature in July 12/2006 edition, price on that date $1.49
Fifth feature in Oct 3/2006 edition, price on that date $1.57
Current price $1.03

Skygold had another busy year of drilling on their Spanish mountain project in British Columbia, Canada. Over the last couple of years there has been extensive drilling on this project because it has shown the realistic potential of being a multi-million ounce gold discovery. The drilling has outlined a large area with high tonnage potential and plenty of room to add to the size. In large tonnage discoveries the grades are generally low, but if it is close to surface can be open pit mined and become large-scale, multiple-year operations. Past drilling has shown that this is the realistic potential of the Spanish Mountain project. Exploration efforts have identified a large geochemical and geophysical anomaly that has been leading to success with the drill. Only a small portion of those anomalies have been tested to date and a great deal more drilling is needed to further test the entire area. We look forward to another year of busy drilling at Spanish Mountain that can reveal more about the potential of this project.

We are shareholders of the company.

Skygold’s stock symbol is SKV and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.skygold.ca. Their website contains past news releases and additional information to do your own due diligence.

SNS Silver Corp. (Formerly Strategic Nevada Resources)

First featured in Feb 7/2006 edition, price on that date $0.85
Second feature in Mar 21/2006 edition, price on that date $0.89
Third feature in July 12/2006 edition, price on that date $0.50
Fourth feature in Oct 3/2006 edition, price on that date $0.30
Current price $0.94

SNS Silver continues to work aggressively on their Crescent mine located in Idaho in an area where there has been prolific silver production over the past hundred years. The Crescent mine was a past producer that has not seen a lot of modern exploration and has a great deal of potential. In many cases in the mining business a good place to be looking for new discoveries is where past producing mines are located and this project fits the bill. Many of our past picks are involved in areas like this where there were past producing mines that led to success using more modern exploration methods. Sometimes the old workings can be used as places to start exploration, and that gives them easier access to drilling at depth. At the Crescent mine there are targets that can be drilled from surface and from the old mine workings. The company is well financed to rehabilitate the old mine workings and undergo extensive drilling from surface and at depth. Some of the early drilling has encountered very high grades of silver and as they ramp up future exploration drilling they have a good chance of finding additional high-grade silver.

We are shareholders of the company.

SNS Silver’s stock symbol is SNS and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.snssilver.com. On their website you can find past news releases and additional information to do your own due diligence.

Titan Uranium Inc.

First featured in Nov.24/2007 edition, price on that date $1.00
Current price $0.55

Titan Uranium is a new company we are following due to their focus on uranium exploration in Saskatchewan. One of their key projects is in close proximity to a discovery made by one of our other featured companies, UEX, on their Shea Creek project. This is a good spot to be looking for new discoveries as the Shea Creek project is showing the potential of being a future mine. Exploring in the region is a good place to be looking for more discoveries. In addition to their project in the Shea Creek area they have several other projects in the Athabasca basin that are also showing significant potential for exploration success. We look forward to drilling and results from all their various projects and it looks like they will be very busy drilling this year.

We are shareholders of the company.

Titan’s stock symbol is TUE and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.titanuranium.com. On their website you can find past news releases and additional information to do your own due diligence.

Tri Origin Exploration Ltd.

First featured in Apr. 2/2007 edition, price on that date $1.15
Current price $0.51

Tri Origin is another one of the companies we follow because of their Red Lake gold projects. But, in addition, they also have a large shareholding in a subsidiary company that trades on the Australian Stock Exchange. This subsidiary company is in the process of advancing a project toward economic evaluation and has the potential of being a future producer. We look forward to this economic evaluation as it could prove to be a viable base metal project that could go into production and take advantage of high metals prices. The key project we are most interested in is in Red Lake, Ontario. We follow several companies in this area because it is such a good place to be looking for high-grade gold. This project is not in the heart of the Red Lake gold camp and from regional work done in the past it was not considered to be in the main trend. Tri Origin feels that this interpretation was incorrect and that this project warrants further exploration work. They have done some of that preliminary work and are getting signs that they could be onto something. More work will be needed to further determine if they have a discovery but in our opinion, any project in this area that shows potential warrants a thorough examination. We look forward to additional work in the Red Lake area, and also by their Australian subsidiary.

We are not shareholders of the company.

Tri Origin’s stock symbol is TOE and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.triorigin.com. On their website you can find past news releases and additional information to do your own due diligence.

UEX Corporation

First featured in Dec 5/2006 edition, price on that date $5.45
Second feature in Jan 23/2007 edition, price on that date $5.10
Current price $4.93

UEX has an exceptional uranium discovery at their Shea Creek project in the Athabasca Basin of Saskatchewan. Well before we started featuring the company they made this discovery and since then they continue to come up with excellent results. The consistency of those results, which include extremely high-grade uranium over significant intersections, makes it look realistically like this will be a future uranium mine. In addition to the Shea Creek project, they have other projects including their 100% owned Hidden Bay project that is also showing very encouraging signs with their drilling efforts. The various projects they are involved with in this prolific uranium mining region has them well positioned to grow into a much larger company in the future. We were very impressed with the company when we first got involved and since then they just keep delivering time after time and add confidence to our original assessment that they have the potential of becoming a significant uranium mining company in the future. We look forward to another busy year with the drilling and the continuation of the trend of this company delivering excellent uranium results.

We are shareholders of the company.

UEX’s stock symbol is UEX and the shares trade on the Toronto Stock Exchange. Their website is www.uex-corporation.com. Their website contains past news releases and additional information to do your own due diligence.

Virginia Mines Inc.

First featured in Dec 5/2006 edition, price on that date $4.35
Second feature in Apr 2/2007 edition, price on that date $5.65
Current price $6.12

Virginia Mines has a strong team of experienced people that have had a great deal of success in the past and are continuing that path with the various projects they are involved in. One of those projects is their Coulon project – a joint venture with Breakwater who completed $7.5 million worth of exploration work and earned a 50% interest. Another project they have an interest in is their Apple project, which is a uranium project in Québec. This project had seen work in the past that identified a substantial resource of uranium. They have optioned this project to Strateco Resources in exchange for 3.25 million shares of Strateco and retain a net smelter return if it becomes a mine in the future. By becoming a large shareholder of Strateco they continue to have an interest in the Apple project, as well as a uranium discovery that Strateco has in another part of Québec. In addition to these two projects they have many other projects, and a large treasury that will see future earnings due to a royalty interest they have in the Eleonore mine that they discovered and subsequently sold to Goldcorp. This is a very well run exploration company with a strong team, excellent group of projects and ample funding to grow the company.

We are shareholders of the company.

Virginia’s stock symbol is VGQ and the shares trade on the Toronto Stock Exchange. Their website is www.virginia.qc.ca. Their website contains past news releases and additional information to do your own due diligence.

VMS Ventures Inc.

First featured in Nov.24/2007 edition, price on that date $1.01
Current price $0.76

VMS Ventures is a new addition to the group of companies we follow and we became aware of the company because of the drilling results that encountered high-grade copper and zinc. This discovery is in a well-known mining camp for these kinds of deposits and that's always an important factor we look at in any project. Shortly after they made this discovery they were able to put together a large financing. This funding will enable them to aggressively drill this new discovery and the potential for further exceptional results is very good. They are ramping things up quite significantly and have plans to be very busy drilling this year and we look forward to results from their exploration efforts. If they are able to follow up with similar results to what they have recently found, the profile of the company will increase dramatically.

We are shareholders of the company.

VMS Venture’s stock symbol is VMS and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.vmsventures.com. On their website you can find past news releases and additional information to do your own due diligence.

Wolfden Resources

First featured in Jan 16/2006 edition, price on that date $3.77
Second feature in Mar 21/2006 edition, price on that date $3.70
Third feature in July 12/2006 edition, price on that date $2.53
Fourth feature in Oct 3/2006 edition, price on that date $1.40
Takeover price $3.81

Now that Wolfden has been taken over, we will keep them in the report only for comparison purposes. In place of the current price we will use the takeover price.

Xemplar Energy Corp.

First featured in Jan 23/2007 edition, price on that date $0.79
Second feature in Sept 09/2007 edition, price on that date $1.26
Current price $5.59

Xemplar has been busy drilling their Warmbad uranium project in southern Namibia that is showing a lot of potential for a major discovery of uranium. Past work has outlined several large areas with surface samples returning uranium mineralization. Drilling so far has intersected the same kind of rock that hosted the uranium mineralization from the surface samples so it looks like they have a good shot of having uranium in the drilling. They have 14 areas of outcropping rocks and want to do significant drilling on all of them. If all of these areas are discoveries they could be sitting on a very massive uranium project. The work to date definitely puts them in the ballpark of having large tonnage near surface discoveries. In large tonnage deposits most often they are low-grade but can be very profitable mines because they can be open pit mined when they are near surface. They have significant funding and a few drill rigs to thoroughly test the potential of their targets and we look forward to results from the recent drilling and the upcoming work. All the signs are there so far that they are looking at a large-scale discovery of uranium in a country that produces a significant amount of uranium. Where you find uranium is almost as important as finding uranium and Namibia is a uranium mining friendly country.

We are shareholders of the company.

Xemplar’s stock symbol is XE and the shares trade on the Toronto Stock Exchange Venture Market. Their website is www.xemplar.ca. On their website you can find past news releases and additional information to do your own due diligence.

What makes the Allan Barry Report Unique

For the last 14 years, the editor of this report has had a career as a consultant to publicly trading junior exploration companies. This experience has provided a unique opportunity to learn, from an insider’s perspective, the challenges that junior exploration companies face. Additionally it has opened doors to meeting a very accomplished group of people. Spending this time as a consultant to junior exploration companies has provided a unique perspective that is an asset few analysts or newsletter writers possess.

In Closing

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Regards,

Allan Barry Laboucan,
Editor and Writer
Allan Barry Reports

<B>Disclaimer</B>: The information included in this Allan Barry Report on Precious and Base Metals Exploration, is for information purposes only. No statement or expression of opinion, or any other matters herein, directly or indirectly, is an offer, solicitation or recommendation to buy or sell any securities mentioned. The information contained in this website version is drawn from sources believed to be reliable, but the accuracy and completeness of the information is not guaranteed, nor in providing it does the editor Allan Barry Laboucan or his companies, or affiliated companies, assume any liability. We do not receive or request compensation in any form in order to feature companies mentioned herein. The editor may have equity positions in companies referenced in this newsletter, or offers consulting services to these companies and will notify the reader of these positions or services provided to the company in the section of the report on each individual company. The editor his personal company or affiliated companies, disclaims all responsibility and accepts no liability (including negligence) for the consequences for any person acting, or refraining from acting, on the information provided in this publication.