Callinan Recieves Net Profits Interest from Hudbay Minerals' 777 mine for complete 1st Quarter, 2008

VANCOUVER - Callinan Mines Limited (TSX.V-CAA) has received an interim payment of CAD$2,511,239 from HudBay Minerals Inc. representing the quarterly installment of the company's 6 2/3% net profits interest in HudBay's 777 Mine in Flin Flon, Manitoba. The payment represents 75% of the total due for the quarter ended March 31, 2008.

As disclosed by HudBay, Callinan's estimated year-to-date net profit interest totals $6,983,167 million. This current payment by HudBay brings the amount received to date by Callinan to $5,237,376, representing 75% of the estimated net profits for the period, leaving $1,745,971 outstanding. The outstanding amount represents 25% of actual net profits for the period, as defined in the agreement. The balance is payable no more than 130 business days following the completion of HudBay's fiscal year. The net profit payment is derived from an agreement made between Callinan and HudBay dated January 1, 1988.

Mike Muzylowski, President and CEO of Callinan Mines stated, "We are pleased with this sustained revenue stream, and are looking forward to continuing extensive exploration programs on numerous advanced poly-metallic exploration properties in British Columbia, Manitoba and Saskatchewan. This income is allowing us to expand activity and develop assets quickly and efficiently."


Mike Muzylowski
President and CEO

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release. Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to the completion of private placements and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the ability to complete contemplated private placements and the timing and amount of expenditures. Callinan does not assume the obligation to update any forward-looking statement.