Full Metal cuts massive sulphides in eastern Alaska

Vancouver – Full Metal Minerals‘ (FMM-V, FLMTF-O) initial drill hole on the LWM prospect at its 40-Mile property in eastern Alaska intersected a near surface interval of silver-rich massive sulphide mineralization.

Vertical hole LWM06-01 returned 12.1 metres (from 30.2 metres depth) grading 110.9 grams silver per tonne, 11.6% zinc, 4% lead, including a 6.6-metre interval of 200.8 grams silver, 19.3% zinc and 7.2% lead. The company also notes a 3.3-metre section returned in excess of 30% zinc.

Mineralization occurs in a coarse grained and banded section of massive sulphides (pyrite, chalcopyrite, sphalerite and galena) hosted within a brecciated and silicified argillite. Altered felsic volcanics were also encountered in the drill hole. The massive sulphide body is interpreted as gently dipping and exhibits some upper-level oxidation due to its proximity to surface.

Full Metal has completed two additional drill holes on this new discovery at LWM with results pending. Exploration has been discontinued for the season with a more extensive drill program planned for May 2007.

The company also recently completed several drill holes (results pending) at the Fish prospect located about 6 km east of LWM. Drilling tested a 15-to-23 metre thick gossanous zone interpreted as an intensely weathered section of semi-massive to massive sulphides. The Fish-area gossan alteration has been traced along 1,500 metres of strike and about 250 metres down dip with numerous historical grab samples returning high-grade zinc mineralization with lead and silver values.

The company can earn 100% mineral rights interest in the extensive 40 Mile land package, comprising more than 3,280-sq.-kms, from the Alaskan Native Regional group Doyon for cash payments of US$325,000, annual scholarship donations of US$10,000 and undertake total exploration expenditures of US$3.85 million over six years. The Native Corporation also retains a royalty on any future metals production from the property.

Shares of Full Metal rallied as much as 15% on the September 28 drill intercept announcement before closing up 8 on the day at $2.45 apiece. The company posts a $72.8-million market capitalization based on its 29.7 million shares outstanding.