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News Releases - Friday, July 27, 2007
Primary Metals Reports New Mine Area at Panasqueira
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Primary Metals Inc. (PMI -- TSXV) is pleased to report the feasibility
of access to new mineralized areas at its producing tungsten mine in
Portugal. These areas, located in the south part of the Panasqueira
mine, are located on Level 2 and Level 1 and were previously developed
in preparation for mining many years ago. The area was only partially
mined and caving prevented access during the intervening years. As a
result of current clean up and other work on Level 2, it was discovered
that although the entrance to the area had collapsed over a short
distance, the base galleries, raises and infrastructure are in good
condition to restart production from the area.

Historic work in the area indicates the possibility of an additional
1.1 million tonnes with an average grade of 0.20% WO3 (tungsten
trioxide) according to past work done in the 1990's and 1970's by the
mine. (These estimates are historical in nature and pre-date Canadian
National Instrument 43-101. They are therefore non-compliant with NI
43-101, are not included in the company's current resource estimates
reported on March 29, 2007 and should not be relied upon.) The Company
believes that these historical estimates provide a conceptual
indication of the potential of the area and are relevant to ongoing
mining activities.

Rehabilitation work in the area to ensure safe access is expected to
start in October, followed by a preliminary assessment with a possible
start of vein development early in 2008. The zone is accessible from
Level 2 of the mine where material is crushed underground directly and
conveyed to the ore bins. Use of the underground hoist from Level 3 is
not required for this material, thereby reducing costs and improving
the flexibility of mining operations.

Mining of this material from Level 2 and Level 1 would provide a
buffering capability for mining activities while development work,
which has proven to be a lengthy process, continues at Level 3 of the
mine.

About Primary Metals
Primary Metals Inc. owns a 100 percent interest in the Panasqueira
tungsten mine in Portugal and is currently producing wolframite
concentrates containing some 100,000 MTUs of tungsten trioxide per
annum (1 MTU = 1 metric tonne unit or 10 kilograms). Tungsten is
currently trading at around US$240 per MTU. The Panasqueira mine has a
long history of production of high-quality wolframite concentrates and
is the dominant producer of high-grade tungsten concentrates outside
China. Further information is available at www.sedar.com and on the
Company's website at www.primarymetals.ca

On Behalf of the Board of Directors,

"James Robertson"
______________________
James Robertson, P. Eng.
Director

For further information contact:

Vancouver Office:
James Robertson
Phone: 604.669.8988
Email: info@primarymetals.ca
Website: www.primarymetals.ca

Investor Relations:
Jamie Mathers, Ascenta Capital Partners Inc.
Phone: 604.628.5800 extension 236
Toll free: 1.866.684.4209
Email: jamie@ascentacapital.com

The TSX Venture Exchange does not accept responsibility for the
adequacy or the accuracy of this release.

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Copyright (c) 2007 PRIMARY METALS INC. (PMI) All rights reserved. For
more information visit our website at http://www.primarymetalsinc.ca/
or send mailto:info@primarymetalsinc.ca
Message sent on Fri Jul 27, 2007 at 1:35:22 PM Pacific Time
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