Medinah Minerals, Inc. - Godwin vs. Medinah, June 4, 2008

On March 27, 2008, Medinah Minerals, Inc. filed an extensive Defence and Counterclaims to the Writ of Summons served by Russell Godwin on February 22, 2008. Medinah’s counterclaims included, among other things, the following:

The basis of any right of Gordon House to claim “royalties” on internal geological reports provided to Medinah by Gordon House, Company Geologist, from 1999 to 2001.

A demand for Directors Resolutions, Contracts and Invoices for any claims made by Russell Godwin for his services provided to Medinah Minerals, Inc.

To the extent that any of the alleged debt is claimed by the plaintiffs during from the period of September 10, 2002 to May 19, 2004, the Plaintiff, Mr. Godwin, acted:

Medinah Minerals, Inc. initiated counterclaims in the amount of $2,875,000 plus general, specific, special and punitive damages resulting from the negligence of Gordon House, Russell Godwin and Ricardo Munoz during the time period of September 10, 2002 to May 17, 2004, as well as their numerous attempts to interfere in the ordinary corporate business of Medinah.

From May 17, 2004 to today’s date, Medinah Minerals, Inc. has made numerous documented requests for any and all documentation supporting any legitimate claim(s) that either Gordon House or Russell Godwin may have against Medinah. Nothing has been presented or received before or after the February 22, 2008 filing of the lawsuit that substantiates any of their claims. When Gordon House and Russell Godwin, respectfully, became President and Secretary of Medinah Minerals, Inc. on September 11, 2002, the Company had invoices recordations totaling less than $28,000 from the parties. Eighteen months later, they are now claiming $900,000 for their services. Medinah Minerals, Inc. will now be forced to apply to the Supreme Court of British Columbia to mandate production of documents, if there are any credible in existence.

In further explanation, the Company has original documents that show Russell Godwin's claim to a "royalty" for the use of Gordon Houses' reports has no basis whatsoever. Further, no one, except Medinah Minerals, Inc., has the right to use those reports without the express written permission of the Company. This has been the basis on which any use of these Geological Reports by Medinah has proceeded since the Company employed Gordon House on an hourly, as requested, basis from 1998 until his formal resignation in 2002.

Mr. Godwin also alleges that preferential treatment was used to settle the Company debts in Chile. All creditors were offered the same treatment, which included Messer’s Godwin and House, who refused the offer at the Annual Shareholders' Meeting in 2004. AT that time, to present day, they have refused to present any documents substantiating their assertion(s) that Medinah Minerals, Inc. owes them alleged debts.

It remains a mystery to Company Management as to how Mr. Godwin believes that Sr. Juan José Quijano is responsible for any damages. At the 2004 Annual Shareholders Meeting, wherein shareholders voted to remove Russell Godwin and Gordon House from the Board of Directors, it was stated by Mr. Godwin that then Board Directors and Company Management to wit: Mr. House and Mr. Godwin, during their tenure had never even held a Director's Meeting nor ever had any Company business conversations with Sr. Juan José Quijano. Mr. Godwin and Mr. House were fully knowledgeable of the fact that that land taxes were required to be paid on the Company's Chilean properties, that Sr. Quijano was owed payment as outlined in his Contract, yet they chose to ignore Sr. Quijano, the mounting Company debts and each of the contract(s) default provisions completely. Mr. Godwin and Mr. House continued to operate and carry on, as Company Management, in the positions of President and Secretary, and exclude any Director Quijano in all Company matters. Therefore, at the 2004 AGM, a newly constituted Board of Directors reviewed the activities of Mr. Godwin and Mr. House and elected to vacate and not ratify any of their acts or resolutions during their term.

The Company has filed a counterclaim of approximately $2.8 million in damages against Mr. Godwin. The counterclaim alleges Mismanagement, Misappropriation, Embezzlement etc., during Godwin's tenure as a Board Director and Company President of Medinah Minerals, Inc. This counterclaim is based on onerous documentation in the Company files and witnesses to the acts for which he is being sued. As our growing investigation of this serious matter continues, this counterclaim shall be expanded to include additional persons and damages. It is also apparent that more serious activity may have taken place and further introspection is warranted.

Mr. Godwin recently filed a Statement of Defence to the Company counterclaim. In his Statement of Defence, Mr. Godwin states in effect, I didn't do any of those things and I never had anything to do with Munoz on this or any other issue. The Company has posted the attached information contained in the Statement of Defence submitted on April 23, 2008.

The Company and its solicitors have now reviewed all documents submitted by Russell Godwin. Not one of these documents has been found to have any relevance to, or support any of Russell Godwin's claims. There are no Contracts, Royalty Agreements, Debt Documents or anything else of substantive value that would indicate a basis for any of the claims in Russell Godwin's lawsuit.

It is the Company’s opinion that these Malicious Abuse of Process “documents” were filed as a stalling tactic to prevent Medinah Minerals, Inc. from obtaining an order to dismiss this Frivolous lawsuit.

The hearing court sees only that documents were filed and a trial must be conducted to determine their validity and/or relevance in this matter.

It is the intention of Medinah Minerals, Inc. and Company Management to aggressively pursue all measures available in this counter suit in the Supreme Court of British Columbia.