Alaska Peninsula

(100% Full Metal)

Target

Full Metal is exploring 1.4 million acres of prospective Native-owned lands in the Alaska Peninsula. This region represents a classic island-arc volcanic setting that has received limited modern exploration which is prospective for both epithermal gold, and porphyry copper-gold mineralizing systems.

Epithermal and porphyry-type deposits are found near oceanic plate subduction zones. The Aleutian Islands and the Alaska Peninsula represent an island arc formed by the Pacific Ocean plate diving under the North American plate.

• This is the only island arc environment in the Pacific "Ring of Fire" without a major mine in production (due to lack of exploration)
• A number of historic deposits and mines in the area prove the existence of epithermal and porphyry-style mineralization
• These deposits provide a geological template for new discoveries as well as the potential for expansion

Exploration Status

Full Metal is reviewing the exploration results from last season. The first phase drilling results at Bee Creek are encouraging as they suggest that a more strongly mineralized porphyry source exists nearby. With regard to the Pyramid project, a surface use agreement must be completed with the Shumagin Village Corporation before further work can be undertaken.

The company completed a diamond drill program in 2006 (results shown below) at the Bee Creek project along with additional surface exploration in the region.

The Company completed mapping, sampling and ground geophysical surveys on the Kawisgag and Pyramid porphyry prospects in the Alaska Peninsula during the 2006 field season. Full Metal will consider follow-up diamond drilling and ground geophysics to further explore the Bee Creek prospect, as well as other prospective targets in the area during the 2007 field season.

Targets in the Chignik Area

At Bee Creek, the top of a multiphase dioritic porphyry stock is exposed within a coincident copper-gold-molybdenum geochemical anomaly that centers on a larger magnetic high measuring approximately two kilometers in diameter. Two holes were completed at Bee Creek, two attempts were made on a third hole, but were not completed due to drilling difficulties. Results are as follows:

Both holes were drilled at an inclination of -70o to the west, and were separated by approximately 130 meters. Lithologies encountered were predominantly sediments, however multiple intrusive dykes of intermediate to felsic composition were also encountered in both holes. Copper-gold mineralization in is hosted primarily within hornfelsed sedimentary rocks and to a lesser extent in biotite altered diorite as quartz-magnetite-chalcopyrite-bearing stockwork veinlets. Intrusive rocks encountered were poorly mineralized and possibly post-dated mineralization.

The Kawisgag porphyry target -- This target spans a 13 sq. km area of sulphide mineralization with strong copper, gold and molybdenum values. Historic sampling returned up to 0.17% copper, 6.9 g/t gold and 0.02% molybdenum.

The Mallard Duck and Warner occurrences -- Represent a cluster of porphyry-style mineralized occurrences with intense alteration over a widespread area. Historic sampling at the Mallard Duck prospect returned values up to 4.2% copper, 3.3 g/t gold and 720 g/t silver.

Targets in the Port Moller Area

The Pyramid copper-molybdenum porphyry deposit. This deposit hosts 125 million tons of copper mineralization grading 0.403% copper and 0.025% molybdenum near-surface. More recent exploration by Battle Mountain Gold in the late 1980s identified associated gold values that have greatly improved the potential at Pyramid. This resource, completed prior to NI-43-101, has not been independently audited and should therefore not be relied upon.

The Shumagin and Apollo gold deposits on Unga Island

Together, these deposits host a historical resource of 280,000 tonnes averaging 27.7 g/t and 92.6 g/t silver. Apollo produced about 145,000 ounces of gold between 1891 and 1904. US natural gas producer, NGAS Resources, currently owns the deposits. The resource associated with the deposits was completed prior to NI-43-101, and have not been independently audited and should therefore not be relied upon.

The Centennial gold project on Popov Island

Battle Mountain Gold outlined a small 6-million tonne resource averaging about 1.5 g/t gold in an epithermal system during the 1980's. This is not a qualifying resource according to 43-101 standards. This resource, completed prior to NI-43-101, has not been independently audited and should therefore not be relied upon.

Geology of the Region

The Port Moller region has experienced continuous volcanic activity for at least 36 million years. Regionally, the Alaska Peninsula has island arc, continental arc and continental margin environments juxtaposed with the Tertiary-aged magmatic centers. The presence of the volcanics and related intrusions indicate a three to four kilometer depth of formation that is favorable for the formation of higher-grade porphyry deposits.

Historical Results

The Bee Creek porphyry target - five historical drill holes identified anomalous mineralization in a 100 sq-meter area. Results included an intersection of 150 meters averaging 0.25% copper and 0.01% Molybdenum.