big beaver results

MORE HIGH-GRADE DRILLING RESULTS FROM
THUNDER BAY NORTH
KEY POINTS

High-grade grade results from recent drilling include:
- Current Lake: 32.70m @ 5.82g/t Pt+Pd, 0.68% Cu & 0.35% Ni,
including 21.70m @ 7.53g/t Pt+Pd, 0.87% Cu & 0.41% Ni

- Beaver Lake: 28.95m @ 4.29g/t Pt+Pd, 0.60% Cu & 0.38% Ni,
including 8.75m @ 6.98g/t Pt+Pd, 1.00% Cu & 0.62% Ni,
including 0.40m @ 24.55g/t Pt+Pd, 3.70% Cu & 2.91% Ni.
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Beaver Lake drilling program modified and extended to focus on high-grade zones. Third drill-rig to commence in early October to accelerate progress.
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9,500m of drilling has now been completed in the current extended 30,000m drilling program. Data from this program and previous drilling programs will form the basis for initial resource estimates anticipated to be completed by the end of the first quarter of 2009.

A diamond drilling program is in progress over a 3km strike length of the Current Lake Intrusive Complex in the Thunder Bay North project in Ontario (Figures 1 and 2). Further results have been received for a number of drill-holes completed in the northern part of the Current Lake area (Figure 3) and the central part of the Beaver Lake area (Figure 4); these include:

Current Lake: TBND080: 43.00m @ 3.50g/t Pt+Pd, 0.46% Cu & 0.26% Ni from 17.00m,
including 8.00m @ 5.14g/t Pt+Pd, 0.64% Cu & 0.30% Ni
and 5.00m @ 6.17g/t Pt+Pd, 0.75% Cu & 0.42% Ni.
TBND082: 32.70m @ 5.82g/t Pt+Pd, 0.68% Cu & 0.35% Ni from 20.30m,
including 21.70m @ 7.53g/t Pt+Pd, 0.87% Cu & 0.41% Ni.
TBND086: 42.95m @ 4.11g/t Pt+Pd, 0.49% Cu & 0.26% Ni from 18.00m,
including 10.05m @ 6.24g/t Pt+Pd, 0.71% Cu & 0.35% Ni.
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Beaver Lake: BL08-50: 4.00m @ 3.45g/t Pt+Pd, 0.43% Cu & 0.27% Ni from 156.00m,
13.85m @ 4.77g/t Pt+Pd, 0.61% Cu & 0.28% Ni from 183.65m,
including 8.35m @ 6.13g/t Pt+Pd, 0.75% Cu & 0.30% Ni.
BL08-57: 6.75m @ 6.88g/t Pt+Pd, 0.85% Cu & 0.46% Ni from 313.00m,
including 3.25m @ 10.30g/t Pt+Pd, 1.28% Cu & 0.67% Ni.
BL08-61: 28.95m @ 4.29g/t Pt+Pd, 0.60% Cu & 0.38% Ni from 323.00m,
including 8.75m @ 6.98g/t Pt+Pd, 1.00% Cu & 0.62% Ni,
including 0.40m @ 24.55g/t Pt+Pd, 3.70% Cu & 2.91% Ni.
Drill-hole information and assay results are shown in Tables 1 and 2.

The Current Lake results confirm the continuity of a thick relatively high-grade zone in the northern part of the lake over a strike length of at least 350m (Figure 3). The drilling at Beaver Lake has identified relatively high-grade zones of mineralization above the basal contact of the peridotite (Figure 4).

An interval of massive-sulphide at the base of the peridotite in drill-hole BL08-61 (0.40m @ 24.55g/t Pt+Pd, 3.7% Cu & 2.91% Ni) highlights the potential of the Current Lake Intrusive Complex to host high-grade Ni-Cu-PGM massive-sulphide ore-bodies in addition to the PGM-rich disseminated-sulphide style of mineralization defined so far.

A third drill-rig will be added to the program in early October. This drill-rig will focus on the south-eastern part of the Beaver Lake area and the zone between Beaver Lake and Current Lake (Figure 4). The existing Beaver Lake drill-rig will focus on determining the extent and continuity of the relatively high-grade zones of mineralization reflected in the recent results. This will extend the originally planned 24,000m program to approximately 30,000m.

In the current drilling program, 55 holes for approximately 9,500m have been drilled so far. Once completed, data from this approximately 30,000m program will be combined with the 17,500m completed in previous programs to form the basis for initial resource estimates for the project. It is anticipated that these will be completed by the end of the first quarter of 2009.
Exploration in Canada is being undertaken by a wholly owned subsidiary of Magma Metals Limited, Magma Metals (Canada) Limited (“Magma Canada”). Magma Canada has a 100% interest in the Thunder Bay North project and can acquire a 100% interest in various other claims in the project area. Some of the claims are subject to a 3% net smelter royalty (NSR). Magma Canada has the right to acquire one-third of the NSR.