IODM LIMITED — Capital/Financing Update 2008

Jun 9, 2008

Suite 202, 122 Walker St, North Sydney NSW 2060 Australia

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Ph: 02 9955-7130 Fax: 02 8920-3576 Email: info@paradigmmetals.com.au www.paradigmmetals.com.au

10 June 2008

ASX Release

ASX Code: PDM

Frogmore: High-grade copper intersections in RC drilling including 6m @ 2.1%Cu

• Recent percussion drill holes have returned assays of 6m @ 2.1% Cu including 2m @ 3.5% Cu from 90m depth, and 14m @ 1.0% Cu including 2m @ 3.1%Cu from 80m depth.

• Diamond drilling is continuing with four holes completed and a fifth hole FDD008 commenced targeting mineralisation beneath previous high-grade intersections.

• The first four diamond holes have each intersected significant copper mineralisation over intervals of between 2m and 10m. Assays are awaited.

• At least six separate sub-parallel copper and zinc lodes have been recognised at Frogmore so far.

Percussion drill hole assays

Assays have been received from a program of six 150 metre percussion holes drilled during May at the Frogmore Copper Project, Boorowa NSW, located 250km west of Sydney. Drill holes have returned strong copper intercepts associated with chalcopyrite sulphide mineralisation, including:

FRC020: 6m grading 2.1%Cu from 129m depth (90m vertical depth): includes 2m @ 3.5%Cu FRC021: 14m grading 1.0%Cu from 90m depth (80m vertical depth): includes 2m @ 3.1%Cu

Drill holes FRC022, FRC023, and FRC025 intersected low grade copper mineralisation over intervals of between 2 and 4 metres wide. Results are summarised in Table 1 , and a plan of the recent drill holes is shown in Figure 1 .

Diamond drilling continues

Four diamond holes have been completed, each intersecting significant visible copper mineralisation over estimated horizontal widths of between 2m and 10m. Assays are awaited. Drilling is continuing with one diamond drill rig on site. FDD004, the first diamond hole, was a redrill of FRC018 which ended in mineralisation but could not be completed due to excessive lift of the drill rods.

Multiple lodes

Up to 6 sub-parallel lodes have been intersected in drill holes to date (see plan of drill holes, Figure 1 ). FDD008 has now commenced, targeting mineralisation in the Pride of Frogmore structure 350m beneath the surface (see longitudinal section, Figure 2 ). This current hole is the first hole to drill from east to west, and will test mineralisation in the ‘Zinc’ and ‘Frogmore’ lode positions as well as the ‘Pride of Frogmore’ (see Figure 1 ).

Cobar Basin analogue

Mineralisation at Frogmore is believed to be similar to base metal mineralisation in the Cobar Basin (notably the CSA mine), where metals were injected into favourable structures along major N-S trending fault systems at the edge of a Siluro-Devonian basin. Paradigm is targeting a multi-million tonne high-grade copper deposit associated with multiple lodes with relatively short strike length plunging to depth, analogous to CSA. The Company aims to rapidly advance the Frogmore Project through aggressive exploration dominated by drilling and geophysical exploration during 2008.

Please direct enquiries to: Graham Carman, Managing Director – Ph: 02-9955-7130

About Paradigm: Paradigm Metals Limited is listed on the ASX with code PDM . Paradigm is an eastern Australian copper, tungsten, and uranium explorer with projects in the Lachlan Fold Belt of NSW and the Mt Isa region of Queensland.

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Figure 1. Plan of percussion and diamond drill holes at Frogmore (only recent holes shown)

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Figure 2. Longitudinal section of Pride of Frogmore showing all significant drill results (past and recent)

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Table 1: Summary of copper intercepts at Frogmore, including recent results highlighted in yellow

CollarEastingGDA94	CollarEastingGDA94	CollarNorthingGDA94	Drill holenumber	Down-holeintervalm	Cu %	Interceptdepthfromm	Verticaldepthapproxm	HoleDip(av)	HoleAzimuth(av grid)	Year	Year
				“PRIDE OF FROGMORE” LODE
669274.5669264.3669275.5669319.0669276.0669298.0669298.0669315.9669371.0669342.0669410.0669490.6669437.9		6205729.96205760.1	FDD001includingFDD001includingFDD002	8.71.014.80.81.5	1.9%4.8%2.0%8.3%6.0%	250.6256.0275.1287.6315.8	215235265	-53	094	2007200720072008200820082007200820082008200819981998
								-53	094
		6205699.26205788.06205774.06205820.06205730.3	FDD003includingFDD004FDD005FDD007FRC006	15.86.510.02.06.05.0	0.7%1.1%awaitedawaitedawaited1.2%	203.0209.1130.0	18016025030780	-55-50-63-58-32	099118137125098
	9315.99371.09342.09410.09490.69437.9	6205787.56205768.06205710.06205811.06205790.46205712.3	FRC018FRC019FRC021includingFRC022FC3FC7includingFC7including	4.0**15.014.02.04.010.07.01.06.01.0	0.5%0.7%1.0%3.1%0.12%0.4%0.8%1.7%0.8%2.4%	202.072.090.0102.088.013.063.066.085.085.0	170558073154258	-50-45-55-44-60-60	109109144132068248	20200200200199199
				“FROGMORE” LODE
666666666666	9398.09411.09410.09525.09450.09519.8	6205820.06205813.06205830.06205863.06205636.06205637.1	FDD006FRC020includingFRC023FRC024FRC025FC14	2.06.02.04.0NSR2.03.0	awaited2.1%3.5%0.14%NSR0.25%2.5%	129.0131.0132.0-138.060.0	1259090-9545	-47-42-40-52-40-60	120118099123092068	200200200200200199	888888
				“WESTERN” LODE
669274.5669264.3669275.5669319.0669320.2669298.0669315.9		6205729.96205760.16205699.26205788.06205791.96205730.36205787.5	FDD001FDD002FDD003FDD004FRC005FRC006FRC018	3.3 m1 m1.5 m2.0m2.0 m3.0 m7.0 m	2.14%2.4%2.2%awaited0.23%0.25%0.76%	157.4 m178.35 m165.4 m46.0 m75.0 m146.0 m	1301451401604060120	-55-55-57-50-50-37-50	094094099118093098109	2007200720072008200720072008

** FRC018 was stopped in mineralisation due to drilling problems; FDD004 is a diamond redrill of percussion hole FRC018.

NSR in Table 1 is No Significant Result.

Assays: Copper assays are derived from ICPAES analyses using aqua regia digest at ALS-Chemex laboratories.

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Graham Carman who is a Member of the Australasian Institute of Mining and Metallurgy. Dr Carman is a full-time employee of the Company, and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Dr Carman consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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