Champion Minerals Inc.’s Attikamagen Lake Iron Property (the “Attikamagen Property”) comprises 946 mineral exploration claims totaling 310 km² in western Labrador and northeastern Quebec, and covers approximately 60 km of regional, NW-SE trending strike length. The Attikamagen Property is located 15 km northeast of Schefferville, Quebec, the hub of a major iron-ore mining camp from 1953 to 1983. The Attikamagen Property hosts a Superior-type iron formation with significant potential and characterized by massive hematite/magnetite iron oxide, upon which only limited geological mapping and surficial sampling has been carried out since its discovery 80 years ago. Detailed geological bedrock mapping, airborne geophysical surveys and extensive surface sampling have been carried out by Champion to quantify the iron formation over considerable strike-length. This exploration work has helped to target areas for drilling.

On May 12, 2008, Champion Minerals Inc. (“Champion”) closed a C$1.5 million financing and signed a definitive option and joint venture agreement that allows Labec Century Iron Ore Inc. (CIOI) to earn up to a 60% interest in the Attikamagen Property by expending up to C$12.5 million in exploration and development work. CIOI is a member of the Century Iron Ore Group (CIOG), which is based in the Far East and has experience, expertise and an extensive network in the international iron ore industry. CIOG is focused on developing and supplying iron resource products to China, today’s largest and fastest-growing consumer of iron ore.

Under the terms of the option and joint venture agreement, CIOI can earn an initial 51% interest in the Attikamagen Property by funding C$7.5 million over 3 years, in yearly increments of C$2.5 million towards the exploration and development of the Attikamagen Property. After earning the initial 51% interest, CIOI will have the option to increase its interest in the Attikamagen Property to 56% by expending a further C$2.5 million in Year 4, and to 60% by expending an additional C$2.5 million in Year 5. After CIOI completes its earn-in, CIOI and Champion will form a joint venture reflective of their proportionate ownership interests in the Attikamagen Property.

Champion is pleased to have the strategic involvement of CIOI in the exploration and development of the Attikamagen Property. Champion will benefit from the expertise of CIOI and will seek to establish, even at this early stage, end-user contracts for the potential iron-ore production from the Attikamagen Property. CIOI brings extensive experience in supplying raw materials, particularly iron ore, to China. Champion's management is of the opinion that the Attikamagen Property has excellent potential to host a significant iron resource. Champion is also working with BBA Inc. of Montreal, Quebec, to employ their geological, engineering and economic expertise. Champion expects to determine, in the near future, the quality and volume of the Attikamagen Property’s iron-rich member(s), and to determine the highest recoverable iron grades.

© 2008, Champion Minerals Inc.