Donner Metals Ltd.: Drilling Continues to Delineate and ExpandMineralization at McLeod and Bracemac Unusually High Copper ValuesEncountered

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 30, 2008) - Mr.
Harvey Keats, Chief Executive Officer of Donner Metals Ltd. (TSX
VENTURE: DON)(FRANKFURT: D4M), reports the expansion of the Bracemac
Key Tuffite and McLeod zones at the Company's Matagami Project in
central Quebec. At the Bracemac Key Tuffite Zone, diamond drill hole
BRC-08-75, intersected massive and semi-massive sulphides down-dip of
this zone that returned 7.75 metres averaging 3.79% copper and 5.61%
zinc. The Old McLeod Zone, approximately 1 kilometre east of
Bracemac, has been extended up-dip by MC-08-55 that returned 11.90
metres averaging 2.26% copper and 7.77% zinc. Drilling up-dip of the
New McLeod Zone returned 1.04% Cu, and 13.16% Zn over 2.51 metres in
MC-08-47. The West McLeod Zone, located between the Old McLeod Zone
and Bracemac Key Tuffite Zone, returned significant copper
mineralization in two drill holes, MC-08-46, averaging 4.12% copper
over 15.65 metres and 3.02% copper over 5.32 metres, and MC-08-53,
averaging 2.96% copper over 7.91 metres.
 
Drilling Highlights
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DDH                                   Core Length                g/t   g/t
(Depth)                From       To      (metres)  % Zn  % Cu    Ag    Au
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Bracemac Key Tuffite Zone
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BRC-08-75            652.10   659.85         7.75   5.61  3.79  9.24  0.52
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New McLeod Zone
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MC-08-47             744.38   746.89         2.51  13.16  1.04 27.23  0.68
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Old McLeod Zone
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MC-08-55             476.80   488.70        11.90   7.77  2.26 32.12  0.42
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West McLeod
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MC-08-46             637.40   653.05        15.65   0.18  4.12 36.20  0.27
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  and                665.63   670.95         5.32   0.07  3.02 14.73  0.03
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MC-08-53             504.92   512.83         7.91   0.28  2.96 16.87  0.23
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Bracemac Area
 
Bracemac Zone: Diamond drill holes BRC-08-75 and BRC-08-76,
engineered to target the Key Tuffite horizon, also tested the
Bracemac horizon east of known mineralization and intersected heavily
disseminated and semi-massive sulphides over thin intervals underlain
by strong chlorite alteration. BRC-08-75 intersected the horizon 20
metres east and up-dip of BRC-08-74 and 20 metres down-dip from
BRC-07-34, both of which did not intersect mineralization at the
Bracemac horizon. BRC-08-76 was drilled 50 metres down-dip and to the
east of BRC-07-28 (9.83% Zn, 0.90% Cu, 13.3 g/t Ag, 0.18 g/t Au over
6.90 metres) and 55 metres east of MC-06-27 (13.98% Zn, 3.69% Cu,
38.9 g/t Ag, 0.48 g/t Au over 8.80 metres). BRC-08-77, also targeting
the underlying Key Tuffite level, intersected the Bracemac Tuffite 25
metres down-dip from BRC-08-75 and did not encounter mineralization
or alteration.
 
Bracemac Key Tuffite Zone: Drill hole BRC-08-75 extended
mineralization 95 metres down-dip from BRC-08-74 (11.46% Zn, 5.63%
Cu, 17.73% Ag, 1.47 g/t Au over 23.70 metres) where it intersected
massive, semi-massive and stringer sulphides within a thick interval
of intense Pipe alteration. BRC-08-76 intersected unmineralized Key
Tuffite followed by intense Pipe alteration 40 metres down-dip and to
the west of BRC-08-74 and 60 metres west and up-dip from BRC-08-75.
Drill hole BRC-07-28 was extended to the Key Tuffite where it
intersected unmineralized tuffite 60 metres west and slightly up-dip
from BRC-08-74. BRC-06-26 was also extended and intersected
unmineralized Key Tuffite followed by chlorite alteration 75 metres
west of BRC-08-76. Diamond drill hole BRC-08-77 intersected
unmineralized, brecciated Key Tuffite, underlain by Pipe alteration
60 metres east and up-dip from BRC-08-74. Drill hole BRC-08-80
intersected weakly mineralized Key Tuffite, 100 metres east of
BRC-07-61 (9.48% Zn, 2.81% Cu, 26.74 g/t Ag, 0.37 g/t Au over 6.00
metres). Mineralization and/or intense Pipe alteration encountered in
drill holes BRC-08-74, BRC-08-75, BRC-08-76 and BRC-08-77 warrants
continued drill investigation in this area of the Bracemac Key
Tuffite Zone. The zone remains open down-dip.
 
Two widely spaced step-out drill holes investigated the up-dip
extension of the Bracemac Key Tuffite Zone. BRC-08-78 intersected
weakly mineralized Key Tuffite 225 metres up-dip and west of known
mineralization at a depth of 50 metres. BRC-08-79 tested the Key
Tuffite 75 metres up-dip from BRC-08-71 (3.53% Zn, 0.33% Cu, 10.56
g/t Ag, 0.08 g/t Au over 8.40 metres) where it encountered a gabbro
sill, occupying the Key Tuffite stratigraphic interval.
 
McLeod Area
 
New McLeod Zone: Two drill holes were completed up-dip of the New
McLeod Zone. MC-08-47 investigated the up-dip extension of the
central portion of the zone and intersected high-grade mineralization
65 metres up-dip from MC-07-22 (19.30% Zn, 1.32% Cu, 28.5 g/t Ag,
0.75 g/t Au over 5.04 metres) and 40 metres down dip of MC-07-25
(35.6% Zn, 1.82% Cu, 54.9 g/t Ag, 2.93 g/t Au over 0.96 metres).
Drill hole MC-08-51 intersected stringer mineralization 55 metres
up-dip and to the east of MC-08-43 (13.98% Zn, 1.15% Cu, 30.03 g/t
Ag, 0.94 g/t Au over 8.54 metres) and 50 metres west and up-dip of
MC-07-25. Drilling continues to investigate a link between
mineralization in the New McLeod and Old McLeod Zones.
 
Old McLeod: Two drill holes were completed in the Old McLeod Zone.
MC-08-52, drilled 80 metres up-dip from MC-07-27 (18.45% Zn, 2.11%
Cu, 42.83 g/t Ag, 1.12 g/t Au over 9.80 metres and 10.51% Zn, 3.94%
Cu, 92.38 g/t Ag, 0.85 g/t Au over 3.22 metres) encountered weakly
mineralized Key Tuffite. BRC-08-55 was drilled 50 metres up-dip from
MC-07-27 and 45 metres west of MC-08-52 where it intersected
high-grade mineralization related to an off-hole EM anomaly detected
in MC-08-52. The Zone is open up-dip from MC-08-55 and its extent
remains to be delineated.
 
Old McLeod, Up-dip: Drill hole MC-08-49 intersected unmineralized,
brecciated Key Tuffite underlain by intense chlorite alteration 45
metres west and down-dip from MC-08-45 (8.09% Zn, 2.35% Cu, 5.64 g/t
Ag, 0.26 g/t Au over 6.35 metres). MC-08-50 was drilled 125 metres
west of M6 (1.7% Zn, 4.21% Cu over 6.95 metres) and intersected
weakly mineralized Key Tuffite underlain by Pipe alteration. This
hole also intersected pipe alteration stratigraphically above the Key
Tuffite horizon at approximately the same stratigraphic position as
MC-08-36 (18.10% Zn, 3.14% Cu, 61.28 g/t Ag 1.37 g/t Au over 4.18
metres) drilled 130 metres to the west and up-dip of MC-08-50.
 
West McLeod Zone: Assay results for drill hole MC-08-46 (previously
described in News Release dated May 27, 2008) were returned and
yielded high-grade copper over 15.65 metres and 5.32 metres. This
hole was drilled at an orientation 90 degrees to the standard drill
hole direction to test for vertical, northeast - southwest structures
that trend parallel to the standard drill orientation. Pipe
alteration, locally mineralized, has been observed at and below the
Key Tuffite in previous drilling in the West McLeod Zone and is
thought to be controlled by these structures. MC-08-46 undercut the
area between MC-07-30W1 (0.89% Zn, 2.77% Cu, 12.23 g/t Ag, 0.05 g/t
Au over 2.24 metres) and MC-07-21 (traces of chalcopyrite associated
with chloritized structures). Mineralization is hosted within Pipe
alteration at and immediately below the Key Tuffite horizon.
MC-08-46W1 is a wedge cut up-dip and slightly west of MC-08-46 where
it intersected weakly mineralized Key Tuffite followed by weakly
mineralized Pipe alteration in the footwall to the Key Tuffite. The
true width and the geometry of the sulphides encountered in MC-08-46
remain uncertain and will require continued drill follow-up.
 
MC-08-53 was drilled between the Old McLeod Zone and the West McLeod
Zone where it intersected substantial copper mineralization in Pipe
alteration in the immediate footwall to the Key Tuffite.
Mineralization is similar to copper-rich sulphides encountered in
MC-08-46 and may suggest a link between the Old McLeod Zone and the
West McLeod Zone.
 
Details of the assay results can be found in the attached Appendix 1.
Four drills are active on the Matagami Project at Bracemac and
McLeod. A total of 70,278 metres of diamond drilling in 145 drill
holes has been reported on since the project began in late 2006.
Additional geological information, including maps and sections, is
available at www.donnermetals.com.
 
The Matagami Project has an area of mutual interest of 4,750 square
kilometres and presently includes 3,340 mineral claims covering 801
square kilometres. Taking advantage of Xstrata Zinc's extensive
historical database, Donner and Xstrata Canada Corporation - Xstrata
Zinc Canada Division (Xstrata Zinc) are using a combination of 3D
data integration, innovative advanced technologies, new concepts and
diamond drilling to explore for new deposits in this prolific mining
camp.
 
The Matagami Mining Camp is a world-class mining district, with 18
known VMS deposits, including 10 past producers of varying sizes,
including the giant Matagami Lake Deposit (25.64 million tonnes of
8.2% Zn, 0.56% Cu, 20.91 g/t Ag and 0.41 g/t Au) discovered in 1957
and mined from 1963 to 1988. The area is host to historical
production of 8.6 billion pounds of Zn and 853 million pounds of Cu
and has established infrastructure including the town of Matagami, a
railway, a paved road, and a 2,600 t/day mill owned by Xstrata Zinc.
 
Donner has the option to earn a 50% participating joint venture
interest in the Matagami Project by incurring a total of $20 to $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 feasibility study.
 
The Company's strategy is to explore for and discover zinc - copper
deposits in the Matagami Camp and to leverage the general
infrastructure and existing processing facilities within a known and
well-established cost structure for developing VMS deposits. Donner's
exploration objective is to investigate multiple stratigraphic
horizons with potential for VMS mineralization including the prolific
Key Tuffite horizon throughout the Matagami Camp. To date Donner has
discovered new mineralization at Bracemac in the Upper Bracemac and
Bracemac zones and the Key Tuffite horizon. In addition to
delineation drilling at Old McLeod, Donner has discovered new
mineralization at New McLeod and West McLeod at the Key Tuffite
horizon at McLeod.
 
Supplementary Information
 
The field work on the Matagami Project is being carried out by
project operator Xstrata Zinc Canada Division who is responsible for
the sampling, submittal of samples for assay, assay verification and
QA/QC. Assaying of samples reported in this news release was carried
out and certified by ALS Chemex-Chimitec, of Val D'Or, Quebec (zinc,
copper and silver by atomic absorption, and gold by standard fire
assay procedures). Sample preparation was done by ALS Chemex of Val
D'Or, Quebec. Robin Adair, VP of Exploration for the Company is the
Qualified Person responsible for the technical information in this
news release.
 
ON BEHALF OF THE BOARD OF DONNER METALS LTD.
 
Harvey Keats, Chief Executive Officer
 
To view tables in Appendix 1, please click on the following link:
http://media3.marketwire.com/docs/DON_Tables.pdf
 
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
 
Contacts:
Donner Metals Ltd.
Harvey Keats
Chief Executive Officer
(604) 683-0564 or Toll Free: 1-800-909-8311
(604) 602-9311 (FAX)
Email: donner@bed-rock.com
Website: www.donnermetals.com