PALLADON VENTURES LTD.

Palladon Ventures reported an executed an agreement (the “Extension Agreement”) with Luxor Capital Group, to extend the term of the Company’s two loans payable to Luxor in the current aggregate amount (including principal and accrued interest) of approximately US$37 million, which loans were otherwise payable in full on June 26, 2009. The Extension Agreement anticipates two extension periods. The first extension period is to October 15, 2009, while a second extension to December 31, 2010 is contingent on the Company raising funds (the “Interim Financing”) of no less than US$5,000,000 during the First Extension Period.