North Vancouver, BC - January 30, 2008 - Cabo Drilling Corp., (TSX-V: CBE) (“Cabo” or the “Company”) Atlantic Division, has been awarded a Diamond drilling contract by Paragon Minerals Corporation (TSX-V: PGR) of Vancouver, British Columbia, for a minimum of 12,500 meters on Paragon’s Newfoundland properties.

The drill program will require two drills which are set to commence in February with a third drill being mobilized at a later date. A major portion of the Company’s drilling will take place at Paragon Minerals’ South Tally Pond Project.

This is the Company’s second drilling contract with Paragon Minerals. During the summer of 2007, Cabo entered into a contract with Paragon Minerals to drill up to 11,000 meters on eight of Paragon Mineral’s gold and base metal projects in central Newfoundland. Cabo Atlantic successfully completed the contract in late 2007.

About Paragon Minerals (TSX-V: PGR)
Paragon Minerals Corporation is junior exploration company focused on the acquisition, exploration and development of mineral properties, specifically in the province of Newfoundland and Labrador. The company has a dedicated technical team and an impressive portfolio of gold and base metal projects that have excellent potential for mineral deposit discovery. Paragon also provides shareholders increased opportunity for exploration success on its properties through strategic partnerships with other senior and junior mining companies.

About Cabo Drilling Corp. (TSX-V: CBE)
Cabo Drilling Corp. is a drilling services company headquartered in North Vancouver, British Columbia, Canada. The Company provides mining related and specialty drilling services through its Canadian divisions in Surrey, British Columbia; Montréal, Quebec; Kirkland Lake, Ontario; and Springdale, Newfoundland; as well as Cabo Drilling de Mexico S.A. de C.V. of Hermosillo, Sonora, Mexico; Cabo Drilling (Panama) Corp. of Panama, Republic of Panama; and Cabo Drilling Spain S.L. of Sevilla, Spain.

ON BEHALF OF THE BOARD

“John A. Versfelt”

John A. Versfelt
Chairman, President and CEO

Further information about the Company can be found on the Cabo website (http://www.cabo.ca) and SEDAR (www.sedar.com) or by contacting Investor Relations Ms. Sheri Barton at 403-217-5830 or Mr. John A. Versfelt, Chairman, President & CEO of the Company at 604-984-8894.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.  This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, potential mineral recovery processes and other business transactions timing.  Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties.  Actual results may differ materially from those currently anticipated in such statements.-