Paragon Minerals Closes $200,000 Non-Flow-Through Private Placement

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED
STATES


Paragon Minerals Corporation (TSX VENTURE:PGR) (the "Company") announces that
further to its news releases dated November 30, 2009 and December 18, 2009, it
has completed the non-flow-through portion of a non-brokered private placement,
and has issued 1,428,772 non-flow-through Units ("NFT Unit") at a purchase price
of $0.14 per NFT Unit for gross proceeds of $200,028. Each NFT Unit will consist
of one common share of the Company and one common share purchase warrant with a
term of 24 months from the date of closing. Each warrant will entitle the holder
to acquire one additional common share of the Company at an exercise price of
$0.19 per common share in year one and $0.24 per common share in year two.


Paragon will use the proceeds from this placement for general & administration
purposes and exploration expenses on the Company's properties. All securities
issued by Paragon under the private placement are subject to a 4 month hold
period.


About Paragon Minerals Corporation

Paragon Minerals Corporation is a Canadian-based mineral exploration company
focused on gold, copper, lead, zinc, and silver in eastern Canada. Paragon's
flagship base metal project is the 100%-owned South Tally Pond VMS project where
it has made a significant precious metal-rich massive sulphide discovery in a
proven mining district in central Newfoundland. Paragon is also exploring an
exceptional portfolio of gold properties through both company and partner-funded
exploration. For more information on Paragon and its properties, please visit
the website at www.paragonminerals.com.


PARAGON MINERALS CORPORATION

Michael Vande Guchte, President & CEO

Note: The securities offered have not been registered under the U.S. Securities
Act of 1993, as amended, and may not be offered or sold in the United States
absent registration or an applicable exemption from the registration
requirements. This press release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of the securities in
any State in which such offer, solicitation or sale would be unlawful.


Forward-looking statements - This news release contains certain statements that
may be deemed "forward-looking statements". All statements in this release,
other than statements of historical fact, that address events or developments
that Paragon expects to occur, are forward looking statements. Forward-looking
statements are statements that are not historical facts and are generally, but
not always, identified by the words "expects", "plans", "anticipates",
"believes", "intends", "estimates", "projects", "potential" and similar
expressions, or that events or conditions "will", "would", "may", "could" or
"should" occur. Forward-looking statements in this document include statements
regarding use of proceeds, current and future exploration programs, activities
and results. Although Paragon believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such statements
are not guarantees of future performance and actual results may differ
materially from those in forward-looking statements. Factors that could cause
the actual results to differ materially from those in forward-looking statements
include market prices, exploitation and exploration success, continued
availability of capital and financing, inability to obtain required regulatory
or governmental approvals and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ materially from those
projected in the forward-looking statements. Forward-looking statements are
based on the beliefs, estimates and opinions of Paragon's management on the date
the statements are made. Except as required by securities laws, Paragon
undertakes no obligation to update these forward-looking statements in the event
that management's beliefs, estimates or opinions, or other factors, should
change. These statements are based on a number of assumptions, including, among
others, assumptions regarding general business and economic conditions, the
timing of the receipt of regulatory and governmental approvals for the
transactions described herein, the ability of Paragon and other relevant parties
to satisfy stock exchange and other regulatory requirements in a timely manner,
the availability of financing for Paragon's proposed transactions and
exploration and development programs on reasonable terms and the ability of
third-party service providers to deliver services in a timely manner. The
foregoing list of assumptions is not exhaustive. Events or circumstances could
cause results to differ materially.


Shares Issued: 32,802,181