Apogee Increases Resources at the Pulacayo-Paca

FOR IMMEDIATE RELEASE

October 28, 2008, Toronto, Ontario –Apogee Minerals Ltd. (TSX Venture Exchange: APE) today announced it has increased the mineral resources at its Pulacayo-Paca project (Figure 1). The new resource estimate for the Pulacayo Deposit, excluding consideration of mining and metallurgical dilution, adds 11.6 million ounces of silver in the Indicated category plus 22.4 million ounces of silver in the Inferred category, 225 million pounds of zinc in the Indicated category plus 307 million pounds of zinc in the Inferred category and 97 million pounds of lead in Indicated category plus 128 million pounds of lead in the Inferred category (see below for classification, grades and tonnages) to the Pulacayo-Paca project. This is in addition to the previously disclosed resource estimate from the Paca deposit (press release February 19, 2007 or technical report on SEDAR), which contains 24.7 million ounces of silver, 469 million pounds of zinc and 275 million pounds of lead (all resources in the Paca Deposit are classified as Inferred). The independent third party resource estimate completed by Micon International Limited (Micon), is based on CIM standards and compliant with the requirements of National Instrument 43-101.

The Pulacayo Deposit remains open for further expansion (Figure 2) as Apogee has focused on a limited area of the known mineralized structure in order to advance the deposit to a point where scoping and feasibility studies can be completed. Drill holes reported in the news release dated September 29, 2008 were not included in this resource estimate as the assay data was pending while the study was being done. The Pulacayo-Paca project is the major growth focus for Apogee and is an option-joint venture with Apex Silver Mines Limited. (“Apex”). The property was the second largest silver mine in the history of Bolivia with over 600 million ounces past production of silver. The extent of the known mineralization in Figure 2 is based on the extent of the historical workings from this production and shows the section where Apogee’s drilling has focused. Joaquin Merino, Vice President Exploration for Apogee states; “We are very excited about the results at Pulacayo. The grade of the mineralization is good due to its polymetallic nature. When we plot silver equivalent values based on the criteria established by Micon for the resource estimate (Figure 4), there is a significant amount of high grade mineralization over widths that are suitable for modern mining methods. We have rehabilitated parts of the underground workings for the underground phase of the recently completed drill campaign which has provided a clear indication that many the workings can be used to access many parts of the deposit. ”

According to David Gower, P.Geo., CEO of Apogee; “The results are very encouraging and we have already started the work to consider possible production scenarios for the Project. The Pulacayo Deposit will be the initial focus because of the higher grades in areas of the deposit where there is existing underground access from the historical production. This presents an interesting opportunity whereby we can use existing underground workings to access the highest grade sections of the deposit at an early stage of a potential development plan and it is expected that having this access will significantly lower development cost and shorten the development time frame.” Historical workings occur adjacent to and intersecting most of the length of the current resource (Figure 3).

The Resource Estimate:

The independent mineral resource estimation was prepared by Messrs. Reno Pressacco, P. Geo. and Sam J. Shoemaker, M. AusIMM of Micon International Limited of Toronto, Canada, in accordance with CIM Standards for Mineral Resources and Mineral Reserves (2005). Both Messrs. Reno Pressacco, P. Geo. and Sam J. Shoemaker, M. AusIMM are qualified persons as defined by NI 43-101. The current mineral resource estimate is based on drilling completed and results received up to hole PUD-110.

Detailed information pertaining to the mineral resource estimate will be included in a NI43-101-compliant Technical Report that is being prepared and will be filed under the Company’s profile on SEDAR within 45 days as required.

The mineral resources for the Pulacayo deposit are reported for three conceptual operational scenarios. The supporting data was derived from a data base collected from 109 diamond drill holes.

Open pit mineral resources include all material that is located above the optimized open pit shell, that is below the oxidized surface, that is not flagged as mined out, and that contains metal grades greater than a net value zero (i.e. all profitable blocks). The report is prepared using the capped, Inverse Distance, Squared average grade estimates for silver, zinc and lead.

Underground mineral resources include all blocks that are below the oxidized surface, that are not flagged as mined out, and that contain metal grades sufficient to generate a block NSR of greater than USD$45/tonne. The report is prepared using the capped, Inverse Distance, Squared average grade estimates for silver, zinc and lead.

The mineral resources for the combined operational scenario comprise all blocks that are within the optimized open pit shell, along with all blocks that lie beneath this shell that are not flagged as mined out and that contain metal grades sufficient to generate a block NSR of greater than USD$45/tonne. The report is prepared using the capped, Inverse Distance, Squared average grade estimates for silver, zinc and lead.

Summary of Mineral Resources, Pulacayo Deposit

(1) Tonnages have been rounded to the nearest 1,000 tonnes. Average grades may not sum due to rounding.
(2) Mineral resources that are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.
(3) The quantity and grade of reported inferred resources in this estimation are conceptual in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource. It is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category.

For the purposes of this initial mineral resource estimate, Micon judged that the most appropriate method to deal with the polymetallic nature of the mineralization was to apply a Net Smelter Return (NSR) to the assay data. This method recognizes that more than one metal can contribute to a potential revenue stream and proceeds to derive a factor that accounts for such items as recovery to concentrate, metal prices payable fraction, penalties, treatment and refining charges and freight. In this manner, a set of factors are derived that convert the in-situ grades to net revenue for each metal. The revenue for each metal is summed to arrive at a NSR value for a given sample.

Given that the exact values of many of these input parameters is not known at such an early point in the project’s history, estimates were derived on the basis of the best available information from a variety of sources including initial test work results and Micon’s experience with current smelter terms for zinc and lead concentrates in the region. A summary of these factors is provided below. Silver was found to contribute approximately 50% of the total value, with zinc and lead each contributing approximately equal amounts of 25% each.

Additional Criteria used for Estimation of Pulacayo Resource Estimate:

1. Drill hole data base 109 drill holes.
2. Average specific gravity for intrusive hosted mineralization is 2.28 and for sedimentary hosted mineralization is 2.29.
3. High grade sample values capped; based upon the distribution of the silver, zinc and lead grades, Micon believes that 2,050 g/t Ag, 14.5% Zn and 19% Pb are appropriate capping values.
4. With respect to existing underground workings the width of the modeled stopes was estimated from a description of the mining presented in Ahlfeld and Schneider-Scherbina (1964) that describes the widths of the stopes as ranging from 1.1 to a maximum 6 meters. For the purposes of this initial mineral resource estimate, Micon assumed a constant, average stope width of 3 metres for the model of the mined out voids. Micon assumed that stoping was carried out for each of the parallel drifts and that the stopes extended completely up to the next level above.
5. A detailed topographic survey was carried out by Apogee where each two metre contour and all important topographical features such as roads and shaft collars were surveyed in such a manner that a high quality topographical map for an area that measures approximately 2,600 metres in an east-west direction and 1,600 metres in a north-south direction. A digital format of this information was provided to Micon who proceeded to generate a three-dimensional surface for use in subsequent steps. The topography in the Pulacayo area ranges in elevation from approximately 4,100 metres to 4,500 metres above sea level and consists largely of rolling to steep-sided slopes along incised valleys.
6. There is a cap of oxidized, mineralized material overlying the deposit. As there is no metallurgical data for this material it has been treated as waste for the purpose of the resource estimate.

Quality Control
The Company employs a QA/QC protocol on all aspects of the analytical procedures. Core samples are sawn and one half of the NQ and HQ core is restored to the core box for future reference. One half of the core is sent for analysis. Samples are taken in approx. 1.0 meter intervals or less. Sample preparation is completed at the ALS Chemex preparation lab in Oruro, Bolivia and assayed at ALS Chemex in Lima, Peru, using multi-acid digest/ AAS technique, method ME-AA46 for Ag, Pb, Zn and Cu. A blank sample is inserted every 20th sample and standard samples representing a range of grades are inserted at intervals of 1 in 20 samples. Five percent of pulps are re-analyzed at ALS Chemex Lab in Lima, Peru.
The Quality Control and all aspects of the exploration program are supervised by Apogee’s Vice President of Exploration, Joaquin Merino and Mr. Merino has reviewed the technical information in this press release. Dr. Fernando Tallarico, P.Geo., a qualified person as defined by NI 43-101 has supervised the implementation of the QA/QC for the project has reviewed and approved the technical content in this release.

The technical information in this release relating to the Pulacayo Resource Estimate was reviewed and approved by Mr. Reno Pressacco, P.Geo., of Micon International Limited on behalf of the Micon team that completed the resource calculation.

This press release has been reviewed and approved by David Gower, P. Geo., CEO, a qualified person as defined by National Instrument 43-101.

About Apogee Minerals

Apogee Minerals Ltd. is a Canadian producer of silver-zinc-lead and also carries out exploration and development activities. The Company is listed on the TSX Venture Exchange under the symbol APE. Apogee is focused on advanced silver-zinc-lead projects in South America that demonstrate the potential to be rapidly developed to production. Currently all of its projects are located in the historic silver producing regions of central and southwest Bolivia.
The Company’s 100%-owned La Solucion Mine has a 14 year production history and has a 120 tonne per day flotation mill. The Pulacayo-Paca project is an option to joint venture with Apex Silver Mines Limited. The project occupies the property that includes the second-largest silver mine in the history of Bolivia with over 600 million ounces of past production.

For Further Information Contact:
Ana Lopes, Investor Relations – phone: + 416 861-2264
Email: info@apogeesilver.com
Web: www.apogeeminerals.com

Forward Looking Statements
Except for statements of historical fact relating to the Company, certain information contained herein constitutes ‘‘forward-looking information’’ under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to mineral resource estimates and the ability to realize such estimates; capital and operating expenditures; metal prices; permitting time lines and permitting; ability to develop mining operations in Bolivia; government regulation of mining operations; and environmental risks. Generally, forward-looking information can be identified by the use of forward-looking terminology such as ‘‘plans’’, ‘‘expects’’ or ‘‘does not expect’’, ‘‘is expected’’, ‘‘budget’’, ‘‘scheduled’’, ‘‘estimates’’, ‘‘forecasts’’, ‘‘intends’’, ‘‘anticipates’’ or ‘‘does not anticipate’’, or ‘‘believes’’, or variations of such words and phrases or statements that certain actions, events or results ‘‘may’’, ‘‘could’’, ‘‘would’’, ‘‘might’’ or ‘‘will be taken’’, ‘‘occur’’ or ‘‘be achieved’’. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Estimates regarding the mineral resources are based on the assumptions and parameters set out above and on advice from independent, qualified consultants. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks described in the public record of the Company posted under the profile of the Company on SEDAR at www.sedar.com. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. -30-

Figure 1: Location Map, Pulacayo-Paca Project.

Figure 2: Plan map showing the surface projection of the Tajo Vein System and outlining the section of the mineralized system where the Apogee drilling has focused on developing a resource in the upper part of the vein system. The long axis of the blue outline is approximately 450 meters.

Figure 3a View of Optimized Open Pit Shell, Looking Northwest, Pulacayo Project

Figure 3b View of Potential Underground Mineral Resources, Looking Northwest, Pulacayo Project. Red=Indicated, Blue=Inferred. Note existing underground workings.(Source: Draft Micon Technical Report, in prep.)

Figure 4: Pulacayo Longitudinal section with assays converted to silver equivalent grade. The factor for convering the Ag-Pb-Zn assays to silver equivalent were based on the following formula: Ag Eq(oz/troy) = (Ag(ppm)/31.1035)+(Zn(%*1.32)+(Pb(%)*1.41). Troy ounces Ag were then converted to g/t Ag by multiplying by the conversion factor 31.1035. The values do not take into account potential dilution from mining or metallurgical processing. The above diagram indicates there is significant potential to increase the grade while maintaining thick mineralized intervals of a large portion of the deposit by increasing cut off grades. This is not intended to indicate an optimized deposit outline as this will be determined as part of the scoping studies.