May 28, 2008 - On May 22, 2008 Prophecy Resource Corp. initiated its 2008 diamond drilling program at the Okeover property, located on tidewater in Southwestern British Columbia. The predominant thrust of the current program is to significantly expand the known mineral resource at the North Lake Zone; the most recent NI 43-101 inferred resource estimate of 86.8 million tonnes grading 0.31% copper and 0.014% MoS2 was calculated in late 2006 by N.C. Carter, Ph.D., P. Eng. Since the completion of this resource calculation, four additional holes, three stepping to the east and one beneath the resource, have confirmed that the North Lake Zone is open for expansion. The resource at the North Lake Zone has a copper equivalent grade of 0.40% with 22% of the value derived from molybdenum (calculated at $1.00 a pound for copper and $10 a pound for molybdenum).

Note: Copper equivalent has not been adjusted for metallurgical recoveries which will depend on the completion of metallurgical testing not yet initiated. CuEQ equals Cu % + (Mo% x (Price per pound for Mo/ Price per pound for Cu.)). Mo is calculated at 0.60 x MoS2%.

The current drill program contemplates six to eight holes totaling 1500 metres. The North Lake Zone is one of eight known areas of significant copper-molybdenum mineralization on the Okeover project which is located on tidewater on the Southern British Columbia coast near the City of Powell River

Prophecy Resource Corp. believes that well situated copper-molybdenum projects presently constitute a high potential opportunity for venture capital, with copper and molybdenum are both at record prices (Cu currently at ± $3.75 a pound and molybdenum at ±$32). Moreover many of the recent takeovers of resource exploration companies, such as Northern Peru Copper Corp. in Dec, 2007, Tyler Resources Inc. in January, 2008 and Global Copper Corp. in April 2008 all occurred as a consequence of these companies developing lesser known copper-molybdenum resources to critical sizes.

J.W. (Bill) Morton, P.Geo., a director of the Company and qualified person within the context of National Instrument 43-101, has read and takes responsibility for this news release.


About Prophecy Resource Corp.

Prophecy is currently drilling at the Okeover Copper-Molybdenum property on tidewater in B.C., twenty-five kilometres north of the City of Powell River. In 2006, N.C. Carter, PhD, P.Eng, completed a technical report on the Okeover Property pursuant to NI 43-101 that estimated an inferred mineral resource for the North Lake Zone of 86.8 million tonnes grading 0.31% copper (approximately 593,000,000 lbs.) and 0.014% MoS2 (approximately 15.9 million lbs of molybdenum) at a 0.20% copper cut-off grade. The current drill program is focused on the South Breccia area, which is one of eight prospective zones identified at Okeover and has not had any significant exploration work undertaken for more than ten years.

ON BEHALF OF THE BOARD OF DIRECTORS

"STUART ROGERS"

Stuart Rogers, Chief Financial Officer

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