For Immediate Release: January 6, 2003

TSX Venture: PXN
Cusip: 704 276 104

PAXTON INTERNATIONAL RESOURCES LTD. - New U.S. Facility

I am pleased to announce that our newly formed U.S. subsidiary, Washington Pacific Industries, Inc. ("WPI"), has purchased the land, buildings and equipment of Kompan, Inc. at Entiat, WA. Kompan, based in Olympia, WA, is the manufacturer of Big Toys playground equipment. WPI has entered into a long term agreement with Kompan to supply them with the wood components for their playground equipment. This transaction is beneficial to all parties as it provides WPI with an entry into the U. S. market and it provides Kompan with a proven source of supply of quality products. In addition, this provides WPI with a skilled workforce and the former Kompan employees with continued employment. The purchase price of US$1.3 million was a combination of cash and a promissory note.

This new facility provides Paxton International Resources Ltd. with the ability to produce new products that our current operations are not equipped to perform. WPI will aggressively pursue new markets and new products. Operations at the new facility are expected to commence later this month.

On behalf of the Board of Directors
PAXTON INTERNATIONAL RESOURCES LTD.

Brian W. Elliott, M.B.A, C.A.
President and C.E.O.

The Canadian Venture Exchange has neither approved nor disapproved the information contained herein.

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