Full Metal Options Pyramid Copper-Gold-Molybdenum Porphyry to Antofagasta; Drilling Underway

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 08/10/10 -- Full Metal Minerals Ltd. (TSX VENTURE: FMM) ('Full Metal') is pleased to announce that it has entered into an Option agreement with Antofagasta Minerals S.A. ('Antofagasta Minerals') to explore the Pyramid Copper-Gold-Molybdenum porphyry project, located in southwest Alaska. An initial 2,000 meter core drilling program is underway.

Antofagasta Minerals can earn an initial 51% Interest ('First Option') by incurring US$6,000,000 in Expenditures during the first four years (US$1,500,000 first year) and pay Full Metal US$200,000 in cash (US$50,000 at the end of the first year). Antofagasta Minerals can then earn an additional 14% Interest for a total aggregate of 65% Interest ('Second Option') by preparing and delivering at its sole cost, a Scoping Study costing a minimum of US$4,000,000 in expenditure. Antofagasta Minerals can then earn an additional 15% Interest for a total aggregate of 80% Interest by funding at its sole cost ('Third Option') a Feasibility Study on the Project.

The 37,296 hectare Pyramid Porphyry Project lies along the southern margin of the Alaska Peninsula approximately eight kilometers from tidewater. It was discovered in 1974 by the Aleut-Quintana-Duval Joint Venture, who drilled 19 shallow holes in late 1975 (1,695 meters total), identifying a resource of 125 million tons of copper mineralization grading 0.403% copper and 0.025% molybdenum in a near-surface zone consisting largely of chalcocite-enriched rock. This resource is historical in nature, was completed prior to 2001 and NI 43-101 and should therefore not be relied upon. Gold content was not an exploration target in the initial exploration effort. More recent exploration by Battle Mountain Gold in the late 1980's identified associated gold values that have improved the potential of Pyramid. Recent work completed by former Joint Venture partner Metallica Resources significantly advanced the geologic understanding of the porphyry system at Pyramid.

The 2010 exploration program will consist of a 2,000 meter core drilling program, comprising five or six deep drill holes, targeting the potassic core of the porphyry system. Drilling in the 1970's avoided the potassic core, with the majority of drill holes less than 100 meters in length (maximum 168 meters). Full Metal Minerals welcomes Antofagasta Minerals' expertise in porphyry systems, as their technical team is world-renowned for their understanding of exploration and mining these types of deposits, primarily in Chile.

Aleut Agreement

On June 30, 2010, Full Metal amended the Exploration Agreement with Option to Lease to acquire 100% interest in mineral rights covering the Pyramid Project, with the Aleut Corporation signed on January 5, 2007. The Aleut Corporation is an Alaska Regional Native Corporation. The revised terms, which are set out in a new agreement, extends the original term length of the Exploration Agreement to December 31, 2016. Over the period, Full Metal will make cash payments totaling US$285,000 ($35,000 first year) over seven years, as well as annual Materials Payments of $20,000 per year. Additionally, Full Metal will incur annual exploration expenditures totaling US$4,500,000 ($300,000 first year).

At any time prior to December 31st, 2016, Full Metal may enter into a Mining Lease with the Aleut Corporation. Upon entry into the Mining Lease, Full Metal will make annual Advanced Royalty payments escalating from $25,000 in the first year, to $400,000 on the 16th anniversary and subsequent years. In the event of Full Metal delivering a Feasibility Study, Full Metal will transfer 500,000 of its own common shares to the Aleut Corporation, subject to approval from the TSX Venture Exchange. Upon commencement of Commercial Production, Full Metal will pay a Net Smelter Returns Royalty to the Aleut Corporation of 2.5% for all commodities except for gold and other precious metals. For Gold and other precious metals, Full Metal will pay a Net Smelter Return royalty according to the following schedule:

Price of Gold                 Production Royalty
------------------------------------------------------------
$300.00 or less               2.00% of Net Smelter Returns
$300.01 to $400.00            3.00% of Net Smelter Returns
$400.01 to $500.00            4.00% of Net Smelter Returns
$500.01 and above             5.00% of Net Smelter Returns

Shumagin Letter Agreement

On June 7, 2010, Full Metal and Shumagin Corporation, an Alaska Native Village Corporation, signed a letter outlining Terms of Agreement for a Mining Exploration Agreement and Option to Lease between the Companies. The letter outlining Terms includes annual cash payments totaling US$210,000 through December 31, 2016 (US$20,000 first year). The Shumagin Corporation and Full Metal will endeavor to complete a comprehensive agreement by the fall of 2010.

The letter outlining Terms includes an option to lease. At any time prior to December 31, 2016, Full Metal may enter into a Lease Agreement with Shumagin Corporation. Upon the Effective Date of the Lease and then on or before each annual anniversary during the Term of this Lease until there is Commercial Production, Full Metal shall pay to Shumagin Corporation an annual rental equal to ten percent (10%) of the Fair Market Value of the Lease Area. After Commercial Production has commenced, Full Metal will pay Shumagin Corporation an annual rental equal to ten percent (10%) of Commercial Production Fair Market Value of the Lease Area.

TDX Agreement

On July 15, 2010, Full Metal and TDX Pyramid LLC, an affiliate of an Alaska Native Village Corporation, signed an Exploration Agreement with Option to Lease covering surface lands at the Pyramid Property. This Agreement includes annual cash payments totaling US$180,000 over seven years (US$15,000 first year). At any time prior to December 31, 2016, Full Metal may enter into a Lease Agreement with TDX Pyramid LLC. Upon the Effective Date of the Lease and then on or before each annual anniversary during the Term of this Lease until there is Commercial Production, Full Metal shall pay to TDX Pyramid an annual rental equal to ten percent (10%) of the Fair Market Value of the Lease Area. After Commercial Production has commenced, Full Metal will pay TDX Pyramid an annual rental equal to ten percent (10%) of Commercial Production Fair Market Value of the Lease Area, provided, however, that in no event shall the annual rental ever be less than US$75,000.

In all Agreements between The Aleut Corporation, TDX Pyramid LLC, and Shumagin Corporation with Full Metal, there are various provisions for hiring preferences and contracting preferences with the Native Corporations, Native Corporations shareholders, and Native Corporation owned Companies.

The 2010 exploration program at Pyramid is supervised by John T. Galey, Jr, C.P.G., Consulting Geologist, and Robert McLeod, P.Geo., Vice-President Exploration of Full Metal Minerals. Both are Qualified Persons as defined by NI 43-101. Drill cores will be cut in half using a diamond saw, with one half placed in sealed bags, and delivered to ALS-Chemex facilities in Fairbanks, Alaska. A sample quality control/quality assurance program utilizing standards and blanks, as well as third-party check labs will be implemented. Contents of this release were prepared by and approved for release by Mr. McLeod.

Full Metal is a generative exploration company with multiple precious and base metal projects in Alaska and the Yukon. Work during 2010 includes drilling programs at the 100%-owned Fortymile zinc-silver-lead Property, underground development with Harmony Gold at the Lucky Shot Property, as well as additional surface work and drilling programs at several of Full Metal's Properties funded by Joint Venture Partners.

Antofagasta Minerals is a wholly-owned subsidiary and the mining division of Antofagasta plc ('Antofagasta') (ANTO.L). Antofagasta plc has three business divisions: Mining, Transport and Water. Antofagasta is one of the world's largest copper producers. Its activities are mainly concentrated in Chile where it owns and operates three copper mines with a total production of 442,500 thousand tonnes of copper and 7,800 tonnes of molybdenum in 2009. Antofagasta has recently commissioned a brownfield expansion at its Los Pelambres mine and a new mine development, Esperanza, is expected to enter into production at the end of 2010. Together, these are expected to increase group copper production to over 700,000 tonnes from 2011. A feasibility study is also in progress at Antucoya in Northern Chile. In Pakistan, a feasibility study is at its final stages at the Reko Diq joint venture. In the United States, the group recently signed a joint venture agreement to complete the exploration and begin a feasibility study for Nokomis, a copper and nickel project located in Minnesota. Antofagasta also has exploration programs in Africa, Europe and the Americas.

ON BEHALF OF THE BOARD OF DIRECTORS

Michael Williams, President and Director

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

Contacts:

Full Metal Minerals Ltd.

Jeff Sundar

Vice President, Investor Relations

604-484-7855

604-484-7155 (FAX)
info@fullmetalminerals.com
www.fullmetalminerals.com