Houston Lake Renews Options on the Pakeagama Lake and Favourable Lake Rare Metals Properties

The Pakeagama Lake Rare Metals Property is located approximately 165 kilometres north of Red Lake, Ontario and covers the Pakeagama Rare Metals Pegmatite. The pegmatite has been a focus of study for the past two years by Dr. Fred Breaks of the Ontario Geological Survey ("OGS", a government agency) and Dr. Andy Tindle and PhD candidate Steve Smith of The Open University in the United Kingdom. Approximately 2186 analyses have been conducted to establish that the Pakeagama Rare Metals Pegmatite is potentially a world-class pegmatite, which is extremely fractionated and displays strong internal zonation, suggesting the presence of a Tanco type mineralizing system. The Pakeagama Lake pegmatite has a width which varies from 30 to 70 metres and a strike length of at least 260 metres (open in both directions) which may extend another 300 metres to a 700 g/t tantalum oxide occurrence on the shore of Pakeagama Lake.

Twenty-four samples were sent for analysis at ALS Chemex Labs Ltd. Of Mississauga, Ontario by Houston Lake and reported on January 18, 2000. Eleven 1-metre channel samples focused on the Wall Zone and returned an average value of 285 g/t tantalum oxide, 0.54 percent rubidium oxide, 913 g/t cesium oxide, 600 g/t beryllium oxide, 108 g/t tin, 166.5 g/t niobium oxide, 1.14 percent lithium oxide, 6.0 g/t thallium, 3.3 g/t germanium, and 4.7 g/t antimony. Ten metres of the fifteen metre wide Core Zone were channel sampled by OGS and returned 4.42 percent lithium oxide with a low total iron content.

In Summary of Field Work 1999, OGS Open File Report 6000, released by the OGS in November, 1999, Dr. Breaks et al conclude: "The detailed documentation of a variety of tantalum-rich minerals coupled with the presence of pollucite (main cesium ore mineral) renders the Pakeagama Lake pegmatite and adjoining area one of the best exploration targets for tantalum and cesium in northwestern Ontario. " Dr. Breaks also concludes in a recent OGS Poster Display: "The Pakeagama Lake pegmatite is similar to Tanco-type mineralization with good potential for economic tantalum and cesium zones."

The Favourable Lake Rare Metals Property is located approximately 200 kilometres north of Red Lake, Ontario and 50 kilometres from Houston Lake’s Pakeagama Lake Rare Metals Property. The property covers a portion of the Severn River pluton, a peraluminous fertile granite similar to that noted at Houston Lake’s Pakeagama Lake Rare Metals Property. The property was selected on the basis of a number of favourable features for concentrations of rare metals, first identified by Dr. Denver Stone of the Ontario Geological Survey ("OGS") in a regional reconnaissance mapping program in 1990. The property is considered to be highly prospective because:

The pluton contains muscovite, indicating potential for evolved pegmatite mineralization.

Several tourmaline occurrences are noted on the property. Tourmaline contains boron which is important in the complexing and transport of rare metals such as lithium, tantalum, cesium and rubidium.

Electron microprobe analysis of crystals from the Severn River pluton was conducted by Dr. A. G. Tindle of Open University, United Kingdom. Dr. Tindle reports the presence ferrotantalite rims surrounding ferrocolumbite cores which indicates significant fractionation.

The strong and growing demand for rare metals in high technology applications makes the Pakeagama Lake and Favourable Lake Properties attractive exploration targets. Tantalum is used in electrical capacitors, tantalum-carbide tools, chemical alloys and for prosthetic devices and surgical implants in the medical industry. Cesium is used as a calibrated drilling lubricant, in power generation, motors, opto-electronics and as a chemical catalyst in DNA separation. Rubidium and Lithium are used primarily by the ceramics and glassware industries.

Houston Lake is actively exploring for rare metals, platinum group metals and gold in northwestern Ontario. The common shares of Houston Lake Mining Inc. trade through the facilities of the Canadian Venture Exchange under the symbol HLM. Houston Lake Mining Inc. has a total of 12,178,266 common shares issued and outstanding. For further information on all of the Company’s projects, we invite you to visit us at www.houstonlakemining.com.

For more information, please contact:

E. Grayme Anthony B.Sc., P. Geo., F.G.A.C., M.B.A.

Tel: (705) 897-7622

Fax: (705) 897-7618

e-mail: houston@vianet.on.ca

Web Site: www.houstonlakemining.com

The Canadian Venture Exchange has neither approved nor disapproved of the information contained herein.