Strategic Metals Ltd.

Strategic Metals Ltd.

April 10, 2006 12:36 ET

Strategic Metals Ltd. Stakes Nine New Properties

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 10, 2006) - Strategic Metals Ltd. (TSX VENTURE:SMD) has announced a series of transactions since January 2005, involving a total of 18 of its mineral properties. These transactions have been mostly farm-out options but also include outright sales for large share positions. Collectively, these deals have provided Strategic Metals with a very strong balance sheet and give it exposure to more than $10 million of planned 2006 exploration expenditures.

In order to continue to capitalize on the high demand for exploration projects, Strategic Metals has recently staked nine new properties and expanded some of its existing claim blocks. The company maintains an ongoing research program utilizing a very large proprietary database and management's more than 150 years of collective geological experience. At present, Strategic Metals has more than 25 properties that are available for option. Several of these projects are drill ready and the company plans to spend at least $500,000 in 2006 to ready additional properties for drilling. The properties span a wide variety of commodities and deposit types, with a particular bias toward zinc and silver.

Strategic Metals' business model is designed to give its shareholders exposure to as many exploration programs as possible while minimizing share dilution. It preserves "upside" potential related to discoveries by structuring farm-out deals that give Strategic Metals the right to maintain large working interests in successful projects, significant share positions in the other companies and/or royalty interests. The "upside" potential is maintained while revenue from the various agreements builds a strong bottom line. This business model works because it provides optionees with quality properties that can be used on an immediate "turn key" basis as qualifying properties for IPO or CPC purposes.


Robert C. Carne, President

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

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