Marathon Announces Exercise of Over-Allotment Option for Warrants in Connection with its Unit Financing

TORONTO, May 16 /CNW/ - Marathon PGM Corporation ("Marathon" or "the Company") is pleased to announce that the syndicate of underwriters led by TD Securities Inc., and including Blackmont Capital Inc. has exercised its 15% over-allotment option to acquire 326,250 warrants at a price of $0.56 per warrant for aggregate gross proceeds of $182,700 in connection with Marathon's previously announced $20,010,000 public offering of 4,350,000 units. Each warrant is exercisable into one common share of the Company at a price of $6.00 until April 18, 2010. Closing is scheduled to occur May 23, 2008.

The warrants are listed for trading on the Toronto Stock Exchange under the symbol MAR.WT.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION Except for statements of historical fact relating to the Company, certain information contained herein constitutes "forward-looking statements". Forward-looking statements are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These risks and uncertainties include but are not limited to those identified and reported in Management's Discussion and Analysis for the year ended December 31, 2007. Circumstances or management's estimates or opinions could change, and management disclaims any obligation to revise or update forward-looking statements, whether for new information, future events or otherwise. The reader is cautioned not to place undue reliance on forward-looking statements.

On Behalf of Marathon PGM:

"Phillip C. Walford"

Phillip C. Walford, P.Geo.

President, Chief Executive Officer

gen@marathonpgm.com

Tel: +1.416.987.0711

Contacts

David Leng
P.Geo: dleng@marathonpgm.com
Tel: (905) 537-5377
Fax: (416) 861-1925