Magellan Minerals Ltd. to Acquire Mineral Rights in Mato Grosso, Brazil

Vancouver, British Columbia -- (Marketwire - Aug. 11, 2010) - Magellan Minerals Ltd. (TSX VENTURE: MNM) ("Magellan") is pleased to announce that it has agreed to acquire a 25.5% interest in certain mineral rights from Brasil Central Engenharia Ltda. ("Brasil Central") in consideration for $2.5 million U.S. The mineral rights are located in the southern part of the state of Mato Grosso in Brazil. Brasil Central is a private company incorporated under the laws of Brazil. The acquisition of the mineral rights by Magellan from Brasil Central will be an arm's length transaction.

ECI Exploration Mining Inc. ("ECI") has also agreed to purchase a 25.5% interest in the mineral rights from Brasil Central for an identical consideration. Magellan and ECI recently announced the formation of a joint venture to explore for gold in this part of Brazil (see press release dated July 26, 2010).

Magellan is a TSX Venture Exchange listed exploration company with a number of gold exploration properties in the Tapajos Province 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.

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



For more information, please contact

Magellan Minerals Ltd.
Alan Carter, President and CEO
604.676.5660
info@magellanminerals.com
www.magellanminerals.com