Company Information for Magellan Minerals Ltd

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Company Statement

Magellan Minerals Ltd. is a Canadian-based junior exploration company focused on mineral exploration and development in the state of Para in northern Brazil. The Company has interests in a number of properties in the Tapajos region which has a historic gold production estimated at 20-30Moz of gold. Magellan is exploring for the source of this gold and is primarily focused on the Cuiú Cuiú project where five main areas with anomalous gold values have been identified on surface. Drilling is currently aimed at identifying the source of these anomalies.

Current Operations

GOLD

Cuiú Cuiú

The Cuiú Cuiú district is located 180 kilometers southwest of the small city of Itaituba, the regional hub for the Tapajós Mineral Province (TMP) in northern Brazil. Itaituba is located approximately midway between Belém and Manaus; both are cities of greater than two million people located on the Amazon River. Access to the property is by small plane from Itaituba, or by boat along the Tapajós and Crepori Rivers.

Cuiú Cuiú is Magellan Minerals' most important property. It is arguably the most famous garimpo in the Tapajós, with estimated historic gold production in the order of 1.5M to 2M oz; it is considered a gold district in its' own right. Magellan property holdings cover the entire district and consist of two exploration licenses, four license applications and 76 PLGs (artisinal mining claims) totaling over 47,000 hectares (> 470 km2).

To date a total of approximately C$3 million has been expended by Magellan at Cuiú. This includes a 2700m drilling program in 2006, an ongoing 7000m drill program in 2007-2008, as well as an extensive airborne geophysical survey and over 6500 surface soil and rock chip samples.

Five large soil anomalies have been identified within the Cuiú Cuiú concession area. These include Central, Pau de Merenda, Jerimum Cima, Jerimum Baixo and Moreira Gomes. Drilling has so far been conducted on three of these anomalies to date and results announced in March and April 2008 include the following;

Central zone
CC-13-07 65.8m @ 3.54g/t Au CC-15-07 179.6m @ 1.06g/t Au
CC-14-07 87.9m @ 1.11g/t Au CC-16-07 174.2m @ 1.46g/t Au

Pau de Merenda zone
CC-19-07 30.2m @ 1.11g/t Au CC-20-07 47.1m @ 1.76g/t Au
CC-23-07 8.5m @ 5.07g/t Au

Jerimum Cima zone
CC-24-07 18.0m @ 1.17g/t Au CC-26-07 1.5m @ 117.26g/t Au

Porquinho

The Porquinho district is regarded by the CNPM (Brazil Geologic Survey) as one of the most prospective areas in the Tapajós gold district. The area is 100% controlled by Magellan and has an estimated historic production in excess of one million ounces of gold. The heart of the district consists of a series of primary and alluvial gold occurrences localized along the Chico Torres Shear Zone; a +10 km long, NW-SE shear zone system that comprises the northwestern end of the Tocantinzinho Trend, a crustal scale lineament that controls most of the known gold deposits within the Tapajos Mineral Province. Magellan holds approximately 40,000 hectares covering the central part of this important structure. Work to date includes an airborne geophysical survey totaling 1362 line km, extensive gridding (113 line km), the collection of over 2400 soil samples, geological mapping and channel sampling.

No previous drilling has ever been conducted at Porquinho.

Maranhense

The Maranhense property is located on the northwestern part of the Tocantinzinho trend, a crustal scale lineament that controls most of the important known deposits in the Tapajós Mineral Province (such as Sao Jorge, the Palito mine, Tocantinzinho (2.1M oz), and the Cuiú Cuiú project). Magellan has completed reconnaissance rock and soil sampling on the project as well as an aerial geophysical survey. Soil sampling around the Maranhense workings has revealed a significant gold in soil anomaly of 100 to 700 ppb over an area of 700 x 250m, centered on the old garimpo pit. The anomaly is open in several directions. A total of 56.7km of lines have been cut and 1088 soil samples collected thus far at Maranhense.

Several garimpo pits have been previously mined at Maranhense with primary bedrock mineralization exposed in at least four of the pits. In addition, the garimpeiros sunk several shafts to about 15m depth along a mineralized shear zone, just north of the main pit.

No previous drilling has ever been conducted at Maranhense.

União

The União project is located to the south of Magellan's other land holdings, at the western end of the Transgarimpeiro Highway, just east of the mining town of Creporizao. The area is accessible by road from Itaituba, and has several all weather airstrips. It is an intensely mineralized area that historically produced in excess of 1Moz of gold. The district still has several producing pits and one small underground mine.

Reconnaissance work at the project has identified several parallel shear zones hosting quartz vein and stockwork gold mineralization with strike lengths of up to 4km. Surface gold values are highly anomalous returning values up to 157g/t Au from select vein samples.

A regional soil sampling program consisting of lines extending beyond the four identified prospects of Cuiubana, Juarez, and Edivaldo and a ground magnetometer survey is planned for 2008 with the objective of identifying drill targets and extensions to the known mineralization.

União has had no previous drilling. The identification of such an extensive zone of workings and stockwork veining bodes well for the possible discovery of a significant gold deposit. Mapping and sampling completed during 2007 has already identified several prospective drill targets, which will likely be tested during late 2008.


BAUXITE

Nhamundá

The Nhamunda property is a large 9434 hectare (94.3 km2) exploration license that hosts a large plateau area 65km west of the world class Trombetas bauxite mine and 100km northwest of the Juruti bauxite deposit, which is under development by Alcoa and expected to begin production in the latter half of this year.

A total of ten widely spaced shallow auger holes were completed over the Nhamunda plateau during late 2007 to a maximum depth of 14m. Of the ten auger holes, six intersected significant widths of bauxite ranging from 1.5 to 4.7 meters. See the table below for a summary of the results:

Hole        From    To    Intercept   Al       FeO    Reactive SiO2
(m)          (m)      (m)   %             %       %
NHBX-1    5.5      9.0   3.5           46.4   11.9     4.7
NHBX-3    6.3      7.8   1.5           44.0   13.7     6.4
NHBX-4    5.9      9.6   3.7           39.3   11.1     9.3
NHBX-6    7.2    10.8   3.6           28.1   36.6     4.8
NHBX-9    6.1    10.8   4.7           48.0     5.8     5.0
NHBX-10 11.0   14.0   3.0           46.0     8.7     4.8

(Note: percentages of Al >44% are considered economic, while deleterious impurities such as FeO and reactive SiO2 should be below 20% and 5% respectively)

These initial results are from the first ten holes drilled in the area, and are very encouraging. This initial exploration program demonstrates that near-surface, economic grades of bauxite over mineable widths occur over extensive areas of the Nhamunda Plateau. Larger bulk samples of up to 20kg will be sent to the laboratory to confirm these results, and additional auger drilling is planned during the dry season in the third quarter of 2008.

Geographical Spread

Brazil

Board of Directors and Key Management

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