SPIDER, KWG AND FREEWEST

CHR0ME – PLATINUM AND PALLADIUM

DISCOVERY NEAR McFAULD’S LAKE AREA, NORTHERN ONTARIO,

CONTAINS APPRECIABLE NICKEL, RHODIUM AND RUTHENIUM

HIGHLIGHTS:

High-grade chromitite layers confirmed yielding assays of 23.4% chrome (34.5% Cr2O3) over 1.03 metres and 18.6% chrome (28.9% Cr2O3) over 0.85 metres

New chrome-nickel-platinum group element (PGE) discovery is the first of its kind in the McFauld’s Lake area of the Sachigo Greenstone Belt in northern Ontario

TORONTO, Canada, June 29, 2006 –Spider Resources Inc. (SPQ:TSX-V) and KWG Resources Inc. (KWG:TSX-V) have confirmed high-grade chrome assays obtained from their winter drilling program on the Freewest Resources Canada Inc. (FWR:TSX-V) Option property (the "Property"). The Property comprises 12.7 square kilometres and is located approximately 15 kilometres southwest of the McFauld’s volcanic-hosted massive sulphide deposits in the James Bay Lowlands of northern Ontario.

The winter drilling program completed by Spider and KWG resulted in the discovery of two massive chromitite layers hosted within peridotite, while drilling ground geophysical anomalies targeting volcanic-hosted massive sulphide deposits (drill hole FW-06-03). The drilling returned the following assays (see news release of March 7, 2006).

Upper Chromitite Layer
Lower Chromitite Layer

22.70% chrome, 0.17 g/t platinum, 0.24 g/t palladium over 1.05 metres1
23.70% chrome, 0.21 g/t platinum, 0.46 g/t palladium over 0.60 metres1

1Assays peformed by ALS Chemex of Vancouver, B.C, utilizing multi-acid ICP techniques for low and higher grades

Subsequent re-analyses of selected samples and some additional assaying of the drill core from the 2 chromitite layers and intervening wall rock in the peridotite was recently completed by Actlabs. The analyses yielded the following results.

Upper Chromitite Layer

Lower Chromitite Layer

23.40% chrome, 0.19 g/t platinum, 0.21 g/t palladium, 0.32 g/t ruthenium, 0.05 g/t rhodium, 0.12% nickel over 1.03 metres2
18.60% chrome, 0.23 g/t platinum, 0.48 g/t palladium, 0.30 g/t ruthenium, 0.05 g/t rhodium, 0.13% nickel over 0.85 metres2

2Assays performed by Actlabs of Ancaster, Ontario, utilizing INAA for chrome, sodium peroxide fusion and ICP analysis for nickel and nickel sulphide fire assay technique for platinum-group-elements

The additional assaying completed on the entire mineralized zone in peridotite, including the upper and lower chromitite layers yields 4.05% chrome and 0.17% nickel over a core length of 16.85 metres.

The subject chrome-platinum group element-nickel discovery is the first of its kind in the McFauld’s Lake area of the Sachigo Greenstone Belt. The host peridotite contains variable amounts of magnetite as disseminations and seams and elicits a strong magnetic signature. Such a magnetic high has dimensions of 400 metres by 400 metres and is thus an attractive exploration target for additional work directed at chrome-platinum group element-nickel mineralization. At this early stage, there appears to be some broad similarities in geological setting of the subject chromitites with those of the platinum group element-bearing chromitites in the UG2 layer within the Bushveld Complex of South Africa and the Stillwater Complex in Montana USA.

Under the terms of an agreement with Freewest, Spider and KWG must spend a total of $3.0 Million on exploration over a four-year period to earn an initial 50% interest in the Property. They may earn a cumulative 60% interest in the Property by delivering a bankable feasibility study on any mineralization identified and a cumulative 65% interest, by arranging financing on behalf of Freewest to put the Property into commercial production.

James Burns, P. Eng. (Ontario) and Howard Lahti, P. Geo. (New Brunswick) are the Independent Qualified Persons on-site at the Property under National Instrument 43-101. Neil Novak, P. Geo. (Ontario), President and a Director of Spider Resources Inc. is responsible for the preparation of this news release.

Spider Resources Inc. is a tier 2 junior resource company, quoted for trading on the TSX Venture Exchange under the symbol "SPQ" and there are currently 227,293,535 shares of Spider issued and outstanding.

On Behalf of the Board of Directors.

Neil Novak, President and CEO

For more information on Spider Resources Inc. and its exploration projects

please call:

Neil Novak (President and CEO) 416 815 8666

Jim Voisin (Communications Manager) 519 699 5352