CHM Champion Minerals Inc.

CHAMPION MINERALS INC. (TSX VENTURE:CHM)(FRANKFURT:P02) ("Champion" or the
"Company") is pleased to announce that initial orientation metallurgical tests
from the 2009 Fire Lake North drill core samples are producing excellent
recoveries using gravity separation at a standard grind size to produce
concentrate grading 65% Iron. Furthermore and significantly, no contaminants
report to the iron oxide concentrate outside of market specifications. The Fire
Lake North Claims are located within the Fermont Iron Property in the Fermont
Iron Ore District of northern Quebec. 


Test recoveries range from 83.6% to 89.2% Total Iron at a standard grind size of
-20 mesh or 850 microns, typical for the Fermont Iron Ore District. Binocular
microscope examination of the samples did not identify any minerals that would
lead to contamination and is supported by the analytical test results.


Champion is advancing metallurgical test work on drill core samples collected
from the 24 holes completed in Q1-2010. The samples include coarse grained
massive specular hematite intersections that returned higher grades such as
38.3% Total Iron over 197.8 meters in drill hole FL-10-24, including an interval
of 43.6% Total Iron over 43.0 meters (refer to the Champion news release dated
May 18, 2010). 


Champion is also preparing three sites on the Fire Lake North Claims for bulk
sample collection for metallurgical test work. The sites are located along the
East Limb zone where outcrops of both typical and the higher grade coarser
grained specular hematite mineralization occur. A large outcrop in the newly
discovered and unexplored North East zone is also planned for sample collection.


BBA Inc. ("BBA") of Montreal (Quebec) has reviewed the preliminary metallurgical
test results completed by COREM of Quebec City (Quebec) and are overseeing the
upcoming metallurgical test program for Fire Lake North as part of the
commissioned preliminary assessment study. BBA has significant experience and
expertise with iron ore deposits in the Fermont Iron Ore District. BBA has
recommended the upcoming tests be performed at the typical grind size of -20
mesh (0.85 mm) as a base case, with additional tests to be performed at various
grind sizes for optimizing recoveries, grinding energy consumption and cost
benefit analysis. 


Champion recently reported updated Inferred(i) Mineral Resource Estimates for
the Fire Lake North Claims of 388 million tonnes grading 29% Total Iron at a 15%
Total Iron cutoff that contains an estimated 185MT grading 36% Total Iron at a
30% Total Iron cutoff (refer to the Champion news release dated August 18,
2010). The higher grade resources reported at the 30% Total Iron cutoff are
directly associated with the zones of higher grade massive coarse grained
specular hematite that core the lower grade wider zones in the southern half of
the mineralized lens.


Potential to schedule these high grade resources during initial years of mine
production could significantly enhance project economics and will be evaluated
by BBA as part of the preliminary assessment study.


In addition to the metallurgical recovery results, point density determinations
on the Fire Lake North metallurgical composite samples indicate specific
gravities ranging from 3.2 to 3.65 with an average of 3.49. The current Mineral
Resource Estimates are determined using a global density of 3.30 for all
mineralized iron formation. Test results from an additional 241 point density
tests have been received and are being evaluated for construction of a variable
density model to produce more accurate mineral resource tonnage and grade
estimates. Some additional 60 core samples are being collected for bulk density
test measurements to validate and refine the variable density model. 


These metallurgical results follow the newly released resource update of the
combined Fire Lake North and Bellechasse mineralization of Inferred(i) Mineral
Resource estimates that total 603 million tonnes grading 29% Total Iron, all in
close proximity to ArcelorMittal's road-rail infrastructure and Fire Lake Mine
(341 million tonnes grading 33.4% Iron) that supplies ore to the Mont Wright
Mine and Concentrator Complex located approximately 50 kilometers to the north. 


Thomas Larsen, Champion's President and CEO, stated, "These metallurgical
results are very positive at Fire Lake North and are key to unlocking the
property's value. We are very pleased to be working with BBA to help us do just
that during these positive iron ore market conditions." 


Quality Assurance and Quality Control

All metallurgical sample collection was conducted by qualified Company personnel
under NI 43-101 guidelines at the Company's core logging facilities in Val-d'Or,
Quebec. Assay sample rejects were split and a sample was sent to the COREM
laboratory in Quebec City. COREM combined the split samples into composite
samples for metallurgical testing. Certified reference standards, duplicates,
and blank samples are used as part of Quality Control and Quality Insurance
("QA/QC") protocol for assays.


(i) The Mineral Resources for Fire Lake North were estimated using the Canadian
Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral
Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing
Committee on Reserve Definitions and adopted by CIM Council December 11, 2005. 


The technical information in this news release was prepared, revised and
approved by Jeff Hussey P. Geo., VP Exploration of the Company and Jean Lafleur,
P. Geo., Director and Technical Advisor to the President and CEO of Champion.
Both individuals are Qualified Persons under NI 43-101 standards. 


Statements made in this news release that are not historical facts are
"forward-looking statements" and readers are cautioned that any such statements
are not guarantees of future performance, and that actual developments or
results, may vary materially from those in these "forward-looking" statements.

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