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Magellan Stakes Additional 57,000 ha in Tapajos Region of Brazil

20.10.2011  |  Marketwire

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 10/20/11 -- Magellan Minerals Ltd. (TSX VENTURE: MNM) ('Magellan') is pleased to announce that it has staked an additional 57,000 ha of ground within the Tocantinzinho Trend of the Tapajos Gold Province. The Tocantinzinho Trend is a belt of mineralization roughly 300km in strike length that currently has published resources totaling over 5 million ounces of gold (all categories) in several deposits. These deposits include Magellan's Cuiu Cuiu property where current resources total 0.1 Moz (3.4Mt @ 1.0g/t) of gold in the indicated category and 1.2 Moz (31Mt @ 1.2 g/t) of gold in the inferred category. The trend also hosts Eldorado Gold Corporation's Tocantinzinho project which is currently undergoing a feasibility study.


Magellan's new land acquisition covers parts of the Tocantinzinho trend along a strike length of over 125km. The new claims are located peripherally to the Magellan's Cuiu Cuiu and Bom Jardim properties, and now link the two project areas with contiguous claims. Additional ground was also acquired south of Eldorado's Tocantinzinho deposit.


Reconnaissance stream sediment sampling and prospecting is planned for these areas as part of Magellan's ongoing generative program in the Tapajos region.


At Cuiu Cuiu exploration drilling is currently in progress with three rigs, and is aimed at expanding the current resources. An airborne magnetic and radiometric geophysical survey has recently been completed on the Bom Jardim property and a large program of soil geochemistry, mapping and ground geophysics is currently underway. Drilling is planned to start at Bom Jardim before the New Year.


Magellan also currently has three drill rigs operating at the Coringa project which has a Measured and Indicated Resource of 0.27 Moz (982,291t @ 8.53 g/t) and an Inferred Resource of 0.1 Moz of gold (327,054t @ 9.34 g/t).


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.


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 #2011-27


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

Contacts:

Magellan Minerals Ltd.

Alan Carter

President and CEO

604-676-5663
info@magellanminerals.com


Magellan Minerals Ltd.

Jennifer Duthie

Corporate Communications Manager

778-370-0519
Jennifer@magellanminerals.com
www.magellanminerals.com



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