Fitzroy Minerals Inc. announced it has secured an exclusive option (the ?Polimet Option?) to acquire 100% of the Polimet Gold-Copper-Silver Project, located in the Valparaiso Region of Chile (?Polimet? or the ?Polimet Project?), from Asesorias y Inversiones Sol SPA (?the Vendor?). The Polimet Project comprises 1,860 Ha of concessions, at an average altitude of 1,700 m. The Polimet Project is located 170 km by road to Santiago, and 13 km south of El Bronce 1 million ounce epithermal gold-silver deposit, near the town of Petorca.

In order to exercise the Polimet Option, the Company must: Make a cash payment of USD 80,000 on signing of a definitive option agreement, with a further USD 80,000 on the first anniversary thereof; Incur exploration expenditures of at least USD 2.25 million over a three year period, with no consecutive 12 month period seeing less than USD 500,000 of exploration expenditures. Subject to the requisite investment having been met, Fitzroy Minerals can exercise the Polimet Option by making a USD 1.2 million payment to the Vendor in Year Four. In addition, the Vendor is granted a 2% NSR, of which 1% can be purchased by Fitzroy Minerals for USD 3 million at any point prior to commercial production.

The acquisition of the Polimet Option is subject to execution of a definitive option agreement, and to the approval of the TSX Venture Exchange (the ?Exchange?). The acquisition of the Polimet Option is an arm's length transaction. In connection with the acquisition of the Polimet Option, the Company has agreed to pay Marrad Limited (a company controlled by Mr. Merlin Marr-Johnson) (?Marrad?) a finder's fee (the ?Polimet Finder's Fee?) comprised of: (i) an upfront payment to be paid on entry into a definitive agreement, to be comprised of (A) a cash payment of CAD 40,500; and (B) the issuance of 260,192 common shares of the Company at a deemed price of CAD 0.13 per share, being the last closing price of the Company's common shares prior to the dissemination of this press release (the ?Market Price?), for deemed consideration of CAD 33,825; and (ii) a second payment to be paid upon full exercise of the Polimet Option, to be comprised of the issuance of 644,038 common shares of the Company at the Market Price, for deemed consideration of CAD 83,725.

The payment of the Polimet Finder's Fee is also subject to the approval of the Exchange. The project comprises 1,860 Ha of concessions, at an average altitude of 1,700 m. Polimet is 170 km from Santiago, via the R5N Highway. The Polimet Project will be supported from the nearby towns of Petorca or Cabildo towns via internal roads.

The Polimet Project area is well served with road access, power, and water. The concessions that comprise the Polimet Project have seen sporadic historic work, including development of two ore shoots called Santa Margaria and San Pedro respectively. In the mid-1990s a Chinese entrepreneur developed most of the present tunnels in the Santa Margarita mine and exploited the two main veins for several years.

In the late 1990s the mine was bought by a local Chilean, who soon after discovered the San Pedro ore-shoot. The San Pedro ore-shoot produced very high-grade Au-Cu-Ag ore in the subsequent years. Some direct shipping ore (?DSO?) was sold to the state-owned (Enami) Ventanas smelter and a larger tonnage of sulphide ore was sold to Enami for toll-processing in a concentration plant.

The partial records of sales to the state-owned Enami show weighted average grades of 33.5 g/t Au, 55 g/t Ag and 6.9 % Cu for the 117 tonnes of DSO material, and 4.7 g/t Au, 10 g/t Ag and 1.0 % Cu for the 618 tonnes of sulphide ore. The records show a total tonnage of 735 tonnes at an average grade of 9.3 g/t Au, 17 g/t Ag, and 2.0 % Cu.