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Highlights

The McFaulds West Project

During July and August 2008, eight (8) holes have been completed during first-phase drilling. Ultramafic intrusive rock was intersected in three (3) of the eight (8) holes, and represents three (3) unique bodies. Diamond drill holes MW-02 and MW-08 identified a thick (over 80 metres) peridotite intrusive body, which closely resembles the host peridotite of Noront’s Eagle One nickel-copper discovery. The holes were designed to test a number of discrete geophysical anomalies identified through the ground program; however, the anomalies were not explained by the amount of sulphides observed in the core and further work is required. Drill hole MW-01 was collared to test the “mafic” dyke identified in outcrop during the winter geophysical program and intersected two separate ultramafic dykes at depth. The dykes were barren of sulphide at this location. Analytical results received from sampling of the peridotite and ultramafic dykes identified local enrichment in platinum, palladium and gold, over short intervals.

Owing to the presence of potential nickel-PGE host rocks and the lack of explanations for the geophysical and geochemical anomalies, the Company is now planning further geophysical programs over the property.

A VTEM survey was contracted to Geotech Ltd. The survey has now been completed and the Company is waiting for final results.

Future Programs Depending on airborne survey results, a second phase of drilling is planned for the project. Currently, no exploration is being conducted on the property. However, airborne geophysical results are expected during December and the Company should be in a position to decide on second-phase drilling during the winter.

The Tamarack-McFaulds Lake Property

Mantis is currently compiling and evaluating exploration results and has completed an airborne geophysical survey covering the entire western block of claims. The results are expected shortly and will be followed by diamond drilling, if warranted.

The Victory Project

Massive sulphides were intersected in four (4) of the six (6) holes, and are associated with coarse fragmental volcanic rocks representing a potentially productive volcanic horizon.

Future Programs

Owing to the encouraging results in phase-one drilling, a second program is being planned, dependent on airborne results. Because of the deeper overburden in this area, a ground geophysical survey is being contemplated; however, final airborne results will be needed to determine if ground surveys are required. A possible second phase program could commence during the winter or summer of 2009.

The Bristol Township Project

WTM is now conducting exploration on the property and a report of results is expected shortly.

Future Programs

Owing to the encouraging results in phase-one drilling, a second program is being planned, dependent on airborne results. Because of the deeper overburden in this area, a ground geophysical survey is being contemplated; however, final airborne results will be needed to determine if ground surveys are required. A possible second phase program could commence during the winter or summer of 2009.

The Goldex Mine Royalty

The Company maintains a 5% net smelter royalty (NSR) on 10 unpatented mining claims in Dubuisson Township, located approximately five (5) kilometers from Val d’Or, Quebec.

The Company will continue to watch for future developments regarding the Goldex Mine from Agnico-Eagle, as the royalty interest has the potential of generating revenues that will help finance exploration on existing and future projects of the Company.

Liquidity and Financial Position

The activities of the Company, principally the acquisition and exploration of properties that have the potential to contain base and precious metals, are financed through the completion of equity transactions such as equity offerings and the exercise of stock options and warrants. During the six months ended October 31, 2008, the Company did not have any equity transactions. There is no assurance that equity capital will be available to the Company in the amounts or at the times desired by the Company or on terms that are acceptable to the Company, if at all. See “Risk Factors”.

As at October 31, 2008, Probe had $2,940,534 in cash and cash equivalents (April 30, 2008 -$1,086,673). Included in the cash and cash equivalents balance at October 31, 2008, is $960,019 designated for Canadian exploration under the terms of the flow-through offering that was completed on February 7, 2008. The Company is in the process of complying with its flow-through contractual obligations with subscribers with respect to the requirements of the Income Tax Act (Canada). It is possible that the Company may institute the look-back rule, which would require the Company to spend the funds by December 31, 2009.

The Company had working capital of $4,261,646 as of October 31, 2008, compared to working capital of $5,336,910 as of April 30, 2008. Working capital has decreased in the current period as a result of funds spent on the Company’s mineral property portfolio in the amount of $988,135 while maintaining the Company’s day-to-day operations.

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