Full Metal Minerals Ltd.

Full Metal Minerals Ltd.

September 23, 2010 09:00 ET

Full Metal Signs Option Agreement with Pebble Limited Partnership to Explore Pebble South Property, Alaska

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 23, 2010) - Full Metal Minerals (TSX VENTURE:FMM) is pleased to announce that it has signed an Option Agreement, dated September 9, 2010, with Pebble Limited Partnership ("PLP"), a 50:50 partnership between a wholly-owned subsidiary of Anglo American plc and a wholly-owned affiliate of Northern Dynasty Minerals Ltd. pursuant to which PLP can an earn a 60% interest in Full Metal's 351 km2 Pebble South Property.

The Pebble South Property is located in southwest Alaska and borders three sides of PLP's 100% owned claims that include the Pebble Deposit. Multiple drill targets have been identified through surface mapping, sampling and IP geophysics as well as previous diamond drilling. PLP and Full Metal recently completed a ZTEM airborne geophysical survey covering the Pebble South Property, and are currently reviewing the results. Prior to commencing drilling, the Companies will continue to consult with local people and organizations including the Lake and Peninsula Borough, Alaska Native Corporations and Tribal governments regarding the proposed exploration program.

PLP may earn a 60% interest in the Property by funding US$3.0 million in exploration expenditures over three years, in addition to the recently completed ZTEM survey funded by PLP. Additionally, PLP will make annual cash payments to Full Metal of US$50,000 per year for the duration of the earn-in period. PLP at its sole discretion may purchase claims outside of specified exclusion areas (the highest priority exploration areas), by paying Full Metal $25 per acre, with total acreage not to exceed 20,000 acres, following appropriate condemnation work. The Option Agreement is subject to PLP completing its due diligence review on or before October 11, 2010.

News Release Correction

Full Metal announces a correction to its news release dated September 7, 2010. The second tranche of its non-brokered private placement financing closed for aggregate gross proceeds of $992,599.38. The Company issued 5,514,441 units at $0.18 per unit. All other terms remain the same.

Full Metal is a generative exploration company with multiple precious and base metal projects in Alaska and the Yukon. Work during 2010 includes drilling programs at the 100%-owned Fortymile zinc-silver-lead Property, the Grizzly Butte and Pyramid copper-gold-molybdenum porphyry Properties.


Michael Williams, President and Director

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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