PAIM Gold Team Update: XYZ Gold Project to Start Mobilization in a Few Days; Aroroy Gold Project Increases Stock Piling of Gold Ores, Design of Gango Gold Mill Plant Started

Pearl Asian Mining Industries, Inc. (OTC:PAIM)(OTC:PAIMP) announces the latest activities of Pearl Asian Mining’s Gold Team on gold-rich areas of Masbate Island, as Pearl Asian Mining commences operating Aroroy Gold Project and will start operations on XYZ Project within the next few days. Masbate Gold Team Leader VP/PRO Ariel Caleon reports that Aroroy Gold Project currently has 120 bags (approx. 3.6 metric tons) of raw ores on stock pile, and needs to build up a minimum of 240 bags (approx. 7.2 metric tons) to optimize utilization of the gold mill plant on-site. The 240 bags will generate an estimated 122 grams, or 4 ounces of gold. In the XYZ Gold Project, the team members shall soon mobilize into the area to check which of the six existing tunnels is most viable for immediate rehabilitation and exploration. Moreover, PAIM Executive President Randolf Villanueva is closely monitoring and fast-tracking the approval of PAIM’s Mineral Production Sharing Agreement (MPSA) Application, as the Memorandum of Agreement on the Right-of-Way and Access to the XYZ Gold Project was signed today. On the other hand, regarding operations in Gango Gold Rush in Bukidnon Province near the vicinity of Binasan Mine Project Cagayan de Oro, COO Engr. Ricardo Bernardo reports that his engineering team has commenced designing a gold mill plant that will comply with the government requirements on environmental protection, particularly concerns regarding the well-being of surrounding communities. For this reason, PAIM recently tapped the services of Clare Aslan, an Environmental Consultant from the USA, to do a detailed study and evaluation of the environmental aspect. Meanwhile, Pearl Asian Mining’s Board of Directors has decided to temporarily stop mining operations at Binasan Gold mine due to frequent mud slides, washed out roads, and high river currents resulting from intermittent yet heavy rainfall in the area recently. The Board feels that, with the almost simultaneous start of the three other gold mines, the shutdown of Binasan will not substantially affect PAIM’s revenues. In relation to this, the Board has postponed the diamond drilling scheduled next month, instead re-scheduling it to April 2008. Additionally, during the temporary shutdown, rehabilitation of access roads will continue in preparation for the scheduled arrival of the diamond drilling equipment next year. During the rainy season, fallen trees, logs and timbers will be gathered for added revenues and new seedlings will be re-planted as Pearl Asian Mining implements its Green Re-Forestation Program during the six-month rainy season in the country. Last but not the least, Pearl Asian Mining announces the grand opening of its primary school at the Binasan Mine Site today, June 28, 2007. With its mission to educate the children along with some adults of the Higaonon Indigenous People to wipe out illiteracy and end poverty in Binasan, the Jennifer Lyn Academy/Binasan Pearl Learning Center was established through the generous funding and support of PAIM’s Operation Reach Out USA. Mrs. Jennifer Lyn Bosaw was the main Guest of Honor, joined by visiting US shareholders and guests: Pearl Asian’s IR Officer Jeffrey Bosaw, Environmental Consultant Clare Aslan, Dr. Thomas Wellbrook, who will assist in bringing in volunteer physicians for the Whispering Hope Kramer Foundation Healing Center, Mayor Lawrence Cruz of Iligan City, local education officials Gulliermo Fuentes and Dr. Leticia Tolog, other officials of Iligan City, Tribal Chieftains, Datus & Sultans. Also on hand to witness this historic event were PAIM CEO for USA Jason Piamonte, President for Mindanao Operations Manolo Tecson, and other members of the Gold Team. Pearl Asian is pleased to announce that over 90 children are currently enrolled from pre-school to third grade this inaugural school year. Jason Piamonte stated, "Pearl Asian Mining will continue to support the needs of the communities and its people. The 3 C’s - Consideration, Compassion & Commitment - are still PAIM’s perpetual main theme. Aside from improving the living conditions/livelihood of communities, environmental protection and reforestation near the areas where the company operates its gold mining projects, this will serve a substantial economic/financial benefit for PAIM as well, as communities will continue to welcome PAIM’s operations, as a result. Community acceptance is a very vital component for continued mining operations and existence of Pearl Asian Mining (PAIM) under Philippine laws.” Forward-Looking Statements: Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements in this release include statements regarding the Company's projections regarding gold production in future periods. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties such as: risks relating to estimates of reserves, mineral deposits and production costs; mining and development risks; the risk of commodity price fluctuations; political and regulatory risks; risks of obtaining required operating permits and other risks and uncertainties. Penny Stocks are very highly speculative and may be unsuitable for all but very aggressive investors. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.