TSX: PNP     Last: 3.67     Change: -0.14
TSX: PNP     Last: 3.67     Change: -0.14

Pinetree Capital Ltd. Acquires Securities Of Western Potash Corp.

May 7, 2008

TORONTO, Ontario (May 7, 2008) – Pinetree Capital Ltd. (TSX: PNP), announces that on May 6, 2008, following Western Potash Corp.’s (“Western Potash”) initial public offering, it owned 6,810,000 common shares (“Common Shares”) of Western Potash and 6,000,000 common share purchase warrants (the “Warrants”).  In the event that the Warrants are fully exercised, these holdings represent approximately 13.3% of the total issued and outstanding common shares of Western Potash as of May 6, 2008, calculated on a partially diluted basis assuming the exercise of the Warrants only.  As a result of this transaction, Pinetree and its joint actors held, as at May 6, 2008, an aggregate of 9,810,000 common shares of Western Potash, including the Common Shares, and convertible securities exercisable into 10,045,000 common shares of Western Potash (the “Convertible Securities”), including the Warrants.  Of these totals, Pinetree directly holds the Common Shares and the Warrants directly.  If Pinetree and its joint actors were to exercise all of the Convertible Securities, their combined ownership would represent a total of 19,855,000 common shares of Western Potash or approximately 19.8% of such shares outstanding as of May 6, 2008, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only. 

These transactions were made for investment purposes and Pinetree and each of its joint actors could increase or decrease their respective investments in Western Potash depending on market conditions or any other relevant factor.

About Pinetree
Pinetree Capital Ltd. ("Pinetree") was incorporated under the laws of the Province of Ontario and its shares are publicly-traded on the Toronto Stock Exchange (“TSX”) under the symbol “PNP”.  Pinetree is a diversified investment and merchant banking firm focused on the small cap market.  Pinetree’s investments are primarily in the resources sector: Uranium, Oil & Gas, Molybdenum, Precious Metals, Potash and Rare Earths, and Base Metals.  Pinetree’s investment approach is to develop a macro view of a sector, build a position consistent with the view by identifying micro-cap opportunities within that sector, and devise an exit strategy designed to maximize our relative return in light of changing fundamentals and opportunities.

For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com  

Investor Relations:
Larry Goldberg, C.A.
Executive Vice President and Chief Financial Officer
Pinetree Capital Ltd.
130 King Street West, Suite 2500
Toronto, Ontario, Canada, M5X 1A9
Phone: 416-941-9600
Email: ir@pinetreecapital.com
Web Site: www.pinetreecapital.com

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