Mr. Patrick Laracy reports

VULCAN MINERALS INC. COMMENCES COLCHESTER COPPERGOLD FIELD PROGRAM IN NEWFOUNDLAND

Vulcan Minerals Inc. has commenced field operations at the Colchester copper-gold property in north-central Newfoundland. A grid totalling approximately 25 line kilometres is currently being cut to facilitate a high-resolution induced polarization (IP) geophysical survey and geological mapping.

A thorough compilation of historic data of the project has been undertaken including the digitization of all relevant geological data and drilling records. These data include 22,000 metres of drilling over 110 holes (19632005), various soil sampling surveys, and 15 geophysical surveys of varying vintages and quality including a 2005 high-resolution airborne magnetic and VTEM (versatile time domain electromagnetic) survey. Selected data have been incorporated into 3-D modelling software where the analysis indicates that the known mineralized zones remain open in all directions. As well, several encouraging zones on the property identified by trenching or scout drilling remain undelineated, providing the potential for discoveries outside the main Colchester and McNeilly zones. The upcoming geophysical survey will focus on the underexplored Old English area in an attempt to calibrate and test the IP technology as a drill target and geologic mapping tool in an area with both copper and gold potential. For example, drill hole H83 intersected 65.7 metres of 0.52 per cent copper including 17.1 m of 1.0 per cent Cu in a continuously sampled sulphide-bearing chloritequartz shear zone. Hole CC0309 intersected 4.2 grams per tonne gold over 2.9 m. A drilling program is planned to test encouraging IP anomalies identified in the current program, preferably before year-end. Based on the variety of mineralization identified from historic information and observed in the field, the company believes the property will require systematic evaluation utilizing state-of-the-art geophysical technology to direct the drilling strategy.

The associated tables highlight some of the historic drill intersections retrieved from records at the Department of Natural Resources, government of Newfoundland and Labrador. These composited intervals represent length-weighted averages and usually occur within wider mineralized sections grading below 1 per cent copper. The intervals are drilled thicknesses in holes generally inclined at 50/60 degrees into steeply dipping zones and are thus believed to represent near but not true thicknesses. Gold analyses were generally not carried out on the historic holes except for the 2003/2005 program (representing only 20 of the 110 holes on the property); highlights for drilling samples from that program exceeding one gram gold per tonne are presented in the associated table.

             SELECT COMPOSITED HISTORICAL COLCHESTER COPPER DRILLING RESULTS 

Hole ID                      Zone     From (m)    To (m)   Length (m)  Composited Cu (%)

43611                    McNeilly        86.28     90.83         4.55     4.55 m @ 3.82%
43616                  Colchester       142.30    157.60        15.30    15.30 m @ 1.02%
43616                  Colchester       167.94    178.13        10.19    10.19 m @ 1.07%
43621                  Colchester        23.96     38.10        14.14    14.14 m @ 1.95%
43621                  Colchester        53.04     71.63        18.59    18.59 m @ 1.61%
43621                  Colchester        53.04     73.10        20.06    20.06 m @ 1.51%
43630                  Colchester        59.74     69.98        10.24    10.24 m @ 2.20%
43631                  Colchester       175.26    189.07        13.81    13.81 m @ 1.07%
43635                  Colchester        76.20     90.37        14.17    14.17 m @ 1.06%
43637                  Colchester        46.02     57.21        11.19    11.19 m @ 1.33%
43638                  Colchester       183.28    193.55        10.27    10.27 m @ 1.16%
43639                  Colchester       178.61    192.27        13.66    13.66 m @ 1.01%
43641                  Colchester       128.96    155.45        26.49    26.49 m @ 1.43%
4366                   Colchester       106.68    131.06        24.38    24.38 m @ 1.21%
4368                   Colchester       119.09    131.98        12.89    12.89 m @ 1.32%
CC0302                 Colchester        74.20     90.00        15.80    15.80 m @ 2.19%
CC0311                   McNeilly        72.85     84.00        11.15    11.15 m @ 1.68%
CC0418                 Colchester        34.30     46.90        12.60    12.60 m @ 1.15%
CC0419                 Colchester       208.80    221.40        12.60    12.60 m @ 1.04%
H45                    Colchester       233.17    248.20        15.03    15.03 m @ 1.06%
H48                    Colchester       322.78    346.01        23.31    23.31 m @ 1.24%
H49                    Colchester       187.45    203.61        16.16    16.16 m @ 1.68%
H50                    Colchester       270.51    281.94        11.43    11.43 m @ 1.32%
H51                    Colchester        70.10     82.60        12.50    12.50 m @ 2.49%
H51                    Colchester       160.02    192.63        32.61    32.61 m @ 1.04%
H52                    Colchester       146.91    172.21        25.30    25.30 m @ 1.02%
H61                      McNeilly        69.34     82.30        12.96    12.96 m @ 1.97%
H69                    Colchester       192.02    202.69        10.67    10.67 m @ 1.27%
H78                   Old English        96.62    132.59        35.97    35.97 m @ 1.03%
H83                   Old English       118.02    137.16        17.14    17.14 m @ 1.01%

 
                   SELECT COMPOSITED HISTORICAL COLCHESTER GOLD 
                     DRILLING RESULTS GREATER THAN ONE G/T AU

Hole ID               Zone   From (m)     To (m)   Length (m)  Composited Au (g/t)

CC0302          Colchester      76.20      80.05         3.85    3.85 m @ 5.86 g/t
CC0303          Colchester      30.85      33.40         2.55    2.55 m @ 9.79 g/t
CC0303          Colchester      61.55      62.65         1.10    1.10 m @ 1.63 g/t
CC0304          Colchester      28.65      30.57         1.92    1.92 m @ 3.33 g/t
CC0307         Old English      29.56      31.54         1.98    1.98 m @ 1.28 g/t
CC0307         Old English      41.76      42.40         0.64    0.64 m @ 3.23 g/t
CC0307         Old English      47.85      49.07         1.22    1.22 m @ 2.03 g/t
CC0307         Old English      54.28      55.00         0.72    0.72 m @ 1.04 g/t
CC0308         Old English      42.00      43.00         1.00    1.00 m @ 1.53 g/t
CC0308         Old English      71.07      71.50         0.43    0.43 m @ 1.56 g/t
CC0308         Old English      72.48      73.03         0.55    0.55 m @ 2.06 g/t
CC0309         Old English      93.50      94.00         0.50    0.50 m @ 1.30 g/t
CC0309         Old English      97.60     100.50         2.90    2.90 m @ 4.18 g/t
CC0311            McNeilly      56.00      57.00         1.00    1.00 m @ 1.07 g/t
CC0311            McNeilly      80.00      81.00         1.00    1.00 m @ 1.54 g/t
CC0414          Colchester      32.35      33.95         1.60    1.60 m @ 1.65 g/t
CC0416          Colchester     183.50     185.10         1.60    1.60 m @ 1.17 g/t
CC0417          Colchester      18.60      19.30         0.70    0.70 m @ 1.07 g/t

 

The Colchester property is owned 100 per cent by Vulcan with no underlying royalties and consists of over 2,500 hectares covering four past-producing historic copper mines and is accessible by paved road approximately 25 kilometres off the Trans-Canada Highway. The area is serviced by an airport at Deer Lake, 110 kilometres to the southwest. Please refer to the company's website for location and geology maps.

Patrick J. Laracy, PGeo, president, and Patrick Collins, PGeo, are qualified persons responsible for the contents of this news release as defined in National Instrument 43101.

We seek Safe Harbor.