Mr. Stewart Blusson reports

ARCHON RECEIVES A NOTICE OF CLAIM

Archon Minerals Ltd. has received a notice of civil claim from C. Fipke Holdings Ltd. (Fipco) with respect to an alleged cost-sharing arrangement between Fipco and the company. Fipco alleges that the company was supposed to pay a portion of Fipco's legal costs incurred during Fipco's lawsuit against BHP Billiton Canada Inc. (the former operator of the Ekati diamond mine) et al.

The company believes the action is without merit, and intends to defend itself.

We seek Safe Harbor.