Mr. Patrick Laracy reports

VULCAN MINERALS INC. - LABRADOR SEISMIC PROGRAM UNDERWAY

Vulcan Minerals Inc. has been advised by the operator, Investcan Energy Corp., that a seismic acquisition program has commenced on exploration licence 1107 (EL1107) in the Hopedale basin offshore Labrador. The program consists of approximately 3,000 line kilometres of 2-D seismic and will extend over the entire 236,000 hectares of EL1107.

As announced in Stockwatch on July 27, 2010, Vulcan has entered into an earn-in agreement with Investcan in regards to EL1107. Pursuant to that agreement, Investcan has the right to earn a 20-per-cent working interest from Vulcan in EL1107 by solely financing 100 per cent of the costs of a 2-D seismic survey on the licence to a limit of $8.2-million on or before Dec. 1, 2010. The current seismic program is being conducted pursuant to that agreement. Assuming Investcan earns its 20-per-cent working interest, Vulcan will retain a 30-per-cent working interest in EL1107.

EL1107 was issued on Nov. 15, 2008, to Vulcan and Investcan on a 50-50 working-interest basis with a work commitment bid of $9,601,000. The current program and continuing evaluation work should satisfy the bulk of the work bid and provide for the return of the corresponding portion of the $2,400,250 security deposit posted by Investcan. The companies have formed a joint venture to explore and add value to the licence toward attracting a drilling partner. An exploration licence confers the right to explore for petroleum for an initial term of six years (period I) with a possible additional period of three years (period II) if a well is drilled on the licence in period I. EL1107 is situated proximal to and on trend between the Bjarni-North Bjarni discoveries (approximately 3.1 trillion cubic feet of natural gas) to the northwest and the Gudrid discovery (approximately 924 billion cubic feet of natural gas) to the southeast. The gas quantities of the Bjarni-North Bjarni and Gudrid discoveries are recoverable resources as published by the Canada-Newfoundland and Labrador Offshore Petroleum Board.