Acquisition Provides Balanced Portfolio of Exploration and Advanced Uranium Properties

Acquired historical resources in Montana are summarized as follows as stated in a NI 43-101 technical report by James R. Guilinger of World Industrial Minerals, LLC dated June 6, 2007:

The technical report states that a tonnage factor of 0.42m³ (15.5 ft³) per short ton was used in addition to a minimum grade/thickness cutoff ("GT") of 0.3 (1.8 m or 6 ft of 0.05%), and that the average thickness was 2.13 m (7 ft) at a cutoff thickness of 1.8 m (6 ft) regarding the above stated historical resources.

In addition, the Company has also acquired the following historical resources in Nevada and California:

The above historical uranium resources have considerable potential for expansion by further step-out drilling�since previous exploration was discontinued in the 1980�s as a result of the depressed uranium price. Of the above resource properties, the Company will initially focus on the Mountain West property in Nevada and the Acadia, Ella, and Mindy properties in Montana with respect to confirming and expanding resources, metallurgical and hydrological testing, bringing historical resources into NI 43-101 compliance and in developing the properties to definitive feasibility and licensing to production. A detailed review of the regulatory requirements for permitting and licensing in both Nevada and Montana has indicated that no unusual impediments to exploration, development and production are anticipated for these projects.

The merger with Kilgore also provided the Company with strategic land packages elsewhere in Montana as well as in Wyoming, with known uranium mineralization and defined targets for drill testing and potential resource delineation.

George Leary, President and CEO of Bayswater stated, "Bayswater combines the high discovery potential of its Canadian exploration properties with the addition of several advanced-stage properties in the United States with upside and near-term production potential, providing shareholders with a balanced and diversified exposure to the fast-growing uranium market. Although no change to the Company�s management has occurred as a result of the Kilgore merger, we are all very pleased that Norm Burmeister, former CEO and president of Kilgore, has agreed to continue as a special advisor to the Company on its US operations."

In Canada, Bayswater is the largest landholder in the Central Mineral Belt, Labrador, and the Thelon Basin, Nunavut/Northwest Territories. The Company also has one of the largest land positions in the Athabasca Basin, the world richest uranium-producing region. In 2007 and early 2008, approximately $20 million has been budgeted for exploration in Canada with the goal of bringing all properties to the drilling stage. Of this budget, over $6.0 million is allocated for drill testing of uranium targets. Drilling is already underway in the Central Mineral Belt, with two drill rigs testing up to ten uranium targets.

In the United States, Bayswater is now one of the largest uranium property holders with 22 projects. The Company is planning programs over the next year consisting of confirmation and step-out drilling along with metallurgical testing on its Nevada and Montana properties�both of which properties are to be fast tracked to production pursuant to the requisite environmental and social impact regulatory process. The regulatory process in regards to base line studies, permitting and licensing has been initiated on the Nevada project, and is planned to be initiated shortly on the Montana project. Also, surface exploration and drilling is planned for other uranium properties in Wyoming and Montana. The Company has budgeted approximately $10.0 million for these projects over the next year.

Mr. Leary stated: "As the only company in the world with landholdings comprising over 7.1 million acres (nearly 29,000 sq km) in Canada�s most important uranium exploration and development regions, Bayswater is in an excellent position for discovery of new resources. This strong exploration portfolio is now balanced with hard assets represented by our US properties that we are moving towards production to realize significant cash flow."

Bayswater has evolved, through its strategy to become a major international uranium company, from a Canadian focused uranium explorer to an international exploration and development company. This strategy has been strengthened by the rapidly growing nuclear energy market, as countries turn increasingly to nuclear power, without carbon dioxide emissions typical of fossil fuels, to meet ever-growing energy needs.

To capitalize on the strong growth of the nuclear industry and to continue to add shareholder value, Bayswater is pursuing additional merger and acquisition opportunities that complement and/or add to the Company�s existing assets and business model. Furthermore, Bayswater intends to file a Form 20-F registration statement with the SEC to become a reporting issuer in the United States. Also, the Company is considering plans to subsequently list its shares on a US stock exchange in order to increase the Company�s attractiveness to retail and institutional investors worldwide.

About Bayswater Uranium Corporation - The Super Junior^TM Uranium Company

On behalf of the Board of:

BAYSWATER URANIUM CORPORATION