Donner Metals Ltd.: Feasibility Study on Bracemac-McLeod Nearing Completion

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 3, 2010) - Mr. Harvey Keats, Chief Executive Officer of Donner Metals Ltd. (TSX VENTURE:DON)(FRANKFURT:D4M), reports that that the Company has received the outstanding assays from the definition drilling conducted on the McLeod Zone. Composite results are reported in the attached Table 1. The definition drilling program, conducted by Xstrata Zinc, was completed in April and tested the three Bracemac Zones and the upper portion of the McLeod Zone at approximately 25 metre centers. The lower portion of the McLeod Zone is drilled from surface at approximately a 50 metre spacing and would be drilled from underground should mine construction proceed. This drill program supported the feasibility study that is currently underway on Bracemac-McLeod and is being jointly conducted by Genivar Engineering and Xstrata Zinc.

Additional geological information, including maps and sections, is available at www.donnermetals.com.

PROJECT OVERVIEW

Donner has the option to earn a 50% participating joint venture interest in the Matagami Project by incurring a total of $25 million of expenditures on exploration and related work on or before May 31, 2011. Upon earn-in by Donner, five separate joint ventures will be formed, covering the property and the area of interest. In each of the five joint venture areas, Xstrata Zinc has the option to earn-back a 15% interest in each area by incurring up to $20 million on a bankable feasibility study. By electing to conduct a bankable feasibility study on Bracemac-McLeod, Xstrata Zinc has triggered its back-in right in the South Flank project area, subject to Donner completing its earn-in requirements by May 31, 2011.

SUPPLEMENTARY INFORMATION

Xstrata Zinc is the project operator for the Matagami Project and the Feasibility Study. Xstrata Zinc is responsible for both fieldwork and resource evaluation including, but not limited to, sampling, submittal of samples for assay, assay verification, metallurgical evaluation and QA/QC. Sample preparation and assaying of samples that form the basis of the resource calculation were carried out and certified by ALS Chemex-Chimitec, of Val D'Or, Québec (zinc, copper and silver by atomic absorption, and gold by standard fire assay procedures).

Robin Adair, VP of Exploration for the Company, is the Qualified Person for Donner Metals Ltd. and is responsible for the technical information reported in this news release.

ON BEHALF OF THE BOARD OF DONNER METALS LTD.

Harvey Keats, Chief Executive Officer