Magellan Announces $5.25 Million Financing With Global Royalty Corporation

Magellan Minerals Ltd. (TSX VENTURE:MNM)(OTCQX:MAGNF) ("Magellan") is pleased to
announce that it has entered into non-brokered term sheet with Global Royalty
Corp ("GRC") pursuant to which Magellan will receive $5.25 million. Pursuant to
the term sheet, Magellan will grant GRC a 1.5% Net Smelter Return Royalty
("NSR") on its Cuiu Cuiu project in northern Brazil and GRC will subscribe for a
private placement in Magellan.


Highlights of the arrangement are as follows:



--  GRC will pay Magellan a total of $4.75 million for a 1.5% NSR royalty
    pertaining to the Cuiu Cuiu property which comprises 44,163ha
--  Magellan shall pay GRC an advance royalty of $250,000 per year following
    the delivery of a positive Feasibility Study. The advance royalty shall
    be credited toward the payment of the royalty
--  GRC shall subscribe for 1 million shares of Magellan at a price of $0.50
    per share for proceeds of $500,000



Alan Carter, President & CEO commented "We are extremely pleased with this
financing with Global Royalty Corp on our Cuiu Cuiu project, as it results in
minimal dilution to our existing shareholders and places the Company in an
excellent position to add to the current resources at both Cuiu Cuiu and
Coringa. This arrangement also confirms the potential of the Cuiu Cuiu project
where 20,000m of drilling has been completed since the release of the initial
resource estimate in April 2011".


The net proceeds of the offering will be used to fund exploration and
development of Magellan Mineral's mineral projects and for general working
capital purposes.


Completion of the offering is subject to a number of conditions including
completion of satisfactory due diligence investigations and receipt of all
necessary regulatory approvals.


Magellan Minerals (TSX VENTURE:MNM) is a TSX Venture Exchange listed exploration
and development company with two advanced gold properties in the Tapajos
Province of northern Brazil. The Cuiu Cuiu project contains 100,000oz of gold in
the Indicated category (3.4Mt @ 1.0g/t gold) and 1,200,000oz of gold in the
Inferred category (31Mt @ 1.2g/t gold). The Coringa project contains Measured
and Indicated resources of 561,000oz of gold (3.2Mt @ 5.5g/t gold) and Inferred
resources of 534,000oz of gold (5.5Mt @ 3.0g/t gold).


This news release may contain forward-looking statements including but not
limited to comments regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, potential mineral
recovery processes, etc. Forward-looking statements address future events and
conditions and therefore, involve inherent risks and uncertainties. Actual
results may differ materially from those currently anticipated in such
statements.


News Release #2012-9