Magellan Minerals Ltd.
TSX VENTURE : MNM

Magellan Minerals Ltd.

September 22, 2011 06:00 ET

Magellan Identifies New Gold Bearing Structure at Coringa Project, Brazil

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 22, 2011) - Magellan Minerals Ltd. (TSX VENTURE:MNM) ("Magellan") is pleased to report the discovery of a previously unrecognized gold- bearing structure at its Coringa project in the state of Para, in northern Brazil. Soil sampling has identified a gold-in-soil anomaly 4km west of the Meio zone and 2.3km south-west of the recently identified Demetrio structure (see press release dated 25th August 2011). Preliminary rock chip sampling on a structure discovered outcropping on surface within this anomaly have returned gold values from 0.1 to 22.0 g/t gold.

During the past few months, field crews have been engaged in a systematic field sampling program aimed at following up anomalies identified from stream sediment sampling and the airborne magnetic survey. This work led to the identification of both the Valdette and Demetrio zones at Coringa and has now resulted in the identification of a gold-in-soil anomaly named Domingo which is 4km west of the main structure at Coringa. The anomaly is approximately 300m in width and extends NW-SE for a distance of 3.8km (see map on website).

One possible source of the Domingo gold-in-soil anomaly has been identified as a quartz vein/shear zone structure of unknown width that has been traced for 350m in a NW-SE direction (see map on website). The structure remains open in all directions. Reconnaissance rock chip sampling of this structure returned values of 0.1g/t, 3.6g/t, 4.0g/t, 6.7g/t, 13.6g/t and 22.0g/t gold and average 8.3g/t gold. Further reconnaissance work is in progress aimed at extending the Domingo mineralized structure on surface in advance of drilling.

Drilling at Coringa is currently in progress at the recently identified Valdette zone and down dip on the Meio and Serra zones. Recent drilling down dip at the Serra zone at Coringa returned a value of 1m @ 118.3 g/t gold (see press release dated 13th September 2011).

All soil samples were placed in bags, numbered and sealed then sent via a secure transport agency to the Company's office in Novo Progresso before shipping via secure transport to ACME preparation laboratory in Itaituba for sample preparation. Soil samples were dried and sieved up to 100g to minus 80 mesh with a analysis of a 30g sample by fire assay and atomic absorption finish at ACME Laboratory in Santiago, Chile. ACME is an ISO 9001 registered laboratory and has a quality control program in place which includes standards, blanks, repeats, and duplicates.

Magellan's QA/QC program includes the insertion of standards, field duplicates and blank material into the sample sequence with the normal core samples to monitor sampling variances, laboratory precision and accuracy.

This press release was reviewed by Dennis Moore, B.Sc., M.Eng., a member of AIG, AUSIMM, and the SEG, a qualified person in compliance with National Instrument 43-101.

Magellan Minerals Ltd. (TSX VENTURE:MNM) is a TSX Venture Exchange listed exploration company with a number of gold exploration properties in the Tapajos region of northern Brazil and is focused on the Cuiu Cuiu and Coringa projects where drilling is currently in progress.

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

News Release #2011-25

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

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