Starfall.com is wonderful for phonics.

I have a EHD full of worksheets and materials for teaching phonics (rwading/speaking/pron) - If you give me an idea of his level, then I am happy to email you some things that would help you.

Also, much as you loathe it, if he is shy try TPR, kids who are shy like to use physical actions as a distraction from the speaking, it gives them something else to focus on and you can have them repeat as much as you like so you can iron out any speech problems. Make the actions a funny (you may even have to pull a few faces to make him loosen up!) and you'll find he comes out of his shell quite quickly, more and more as he trusts you more and more.

Let me know about the worksheets.