Passport Metals Inc.: Arizona Potash Property Acquisition, Lease with Option to Purchase

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 14, 2009) - Passport Metals Inc. (TSX VENTURE:PPI) has signed a 4 year lease with an option to purchase on the Twin Butte Ranch, in the potash bearing Holbrook Basin of east-central Arizona. The Twin Butte Ranch comprises some 28,526 acres (11,544 hectares) of private deeded land with 76.7% or approximately 21,894 acres (8,860 hectares) overlying the potash horizons within the Holbrook Basin.

Under the terms of the agreement Passport can earn a 100% undivided interest in the deeded land and sub-surface minerals rights by making lease payments totaling US$500,000 over the next four years and, upon exercising its option to purchase, by paying US$20,000,000 for the entire Twin Butte Ranch including all sub-surface mineral rights excepting those pertaining to oil and gas, petrified wood and geothermal resources. There are no royalties associated with the sub-surface mineral rights.

The central 1,500 square kilometres or 155,000 hectares of the Holbrook Basin was found to be underlain by potash as a result of exploration in the 1960's and 1970's by Arkla Exploration Company and Duval Corporation among others. Steven L. Rauzi of the Arizona Geological Survey reviewed the data and published an Open File Report in 2008 which showed the potash horizons ranged from 5 to in excess of 30 feet throughout the Basin. He further estimated a geologic target for the entire Holbrook Basin of 682 million tonnes at 6% K₂O to 2.58 billion tonnes at 20% K₂O.

According to the isopach map with Rauzi's report, the potash horizon underlying the Twin Butte Ranch property appears to thicken from 10 feet to in excess of 20 feet from northwest to southeast across the ranch property.

Nine of the Arkla Exploration Company holes lie within the current boundaries of the Twin Butte Ranch property. Two of the holes were outside of the limits of the potash. Six of the remaining seven holes were concentrated in the southwest area of the ranch including the four with assay results, which were 7.05% K₂O to 14.50% K₂O over 4 feet (1.2 metres). Arkla did not assay all of the holes as they relied on gamma ray logs to determine the presence of potassium, and hence potash in the drill holes. The gamma ray logs show the potash horizon ranges in width from 4 to 10 feet (1.2 to 3.0 metres). The depth to the top of the potash horizon ranges from 990 to 1440 feet (301.8 to 438.9 metres).

The location of these seven holes, along with the remaining Arkla drill holes and the four holes completed by Passport earlier this year within the entire Passport Holbrook Basin holdings is shown in the following map. The map can also be found on the Company's website athttp://www.passportmetals.net/Holbrook%20Basin%20Holdings%2010-Oct-2009.jpg.

The Arkla drilling tested only 6 of the 36 sections of land comprising the Twin Butte Ranch property, concentrating largely in the southwest part of the ranch. Passport plans an aggressive drill program initially focused on the southeast portion of the ranch to test the thickest areas of potash.

The Twin Butte Lease brings Passport's total land holdings within the Holbrook Basin to almost 33,000 acres (13,350 hectares). President Richard Hunter is very pleased with the agreement to lease and purchase the Twin Butte Ranch, saying: "Passport has more than tripled its landholdings in the Holbrook Basin by adding some 36 sections of private lands to the 18 sections of State lands it already had. We are now one of the largest landholders, if not the largest landholder, drilling for potash in the Holbrook Basin."

Based on Rauzi's geological target estimate of the entire Holbrook Basin, the 13,350 hectares now under option or lease to Passport could host 8.61% of the total geological target of the 155,000 hectares or 58.7 million tonnes at 6% K₂O to 222.2 million tonnes at 20% K₂O.

There are no current 43-101 mineral reserves or mineral resources on the Passport Metals Inc. Holbrook Basin Potash Project holdings. The reader is cautioned that the potential quantity and grade indicated above is conceptual in nature. It has been provided only for illustration purposes. At this time, there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the discovery of these mineral resources.

Passport will immediately apply to the Arizona Oil and Gas Commission for permits to commence drilling on the Twin Butte Ranch property. Since Passport will be exploring on private land, the permitting process is considerably expedited in comparison to state or federal lands. All sites will be reclaimed to the standard required by the Arizona Land Commission for State Exploration Permits.

Due to relatively shallow depths to the top of the potash layers (300-450 metres), the potash deposits of the Holbrook Basin are considered favorable for either conventional underground or in-situ solution mining. Previous drilling has indicated that faulting and layer disruption from diapir effects common to salt deposits are minimal, thereby allowing for increased ease and decreased costs of all future exploration and development activities.

R. Tim Henneberry, P.Geo., a Director of Passport, is the Qualified Person as defined in National Instrument 43-101, who has reviewed and approved the technical content of this news release.

On behalf of the Board of Directors

PASSPORT METALS INC.

Laara Shaffer, Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please contact

Passport Metals Inc.
Laara Shaffer
Director
(604) 687-0300
(604) 687-0151 (FAX)
www.passportmetals.net

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Hole Number     Feet from      Feet to      % K2 O       % MgO  % Insolubles
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PP DDH 01-09        895.0        895.5        7.68        0.01          0.03
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PP DDH 01-09        895.5        896.0       33.50        0.02          0.09
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PP DDH 01-09        896.0        896.5       20.20        0.05          0.16
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PP DDH 01-09        896.5        897.0        7.32        0.26          0.07
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PP DDH 01-09        897.0        897.5       18.75        1.36          0.07
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PP DDH 01-09        897.5        898.0       16.40        1.64          0.09
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PP DDH 01-09        898.0        898.5       16.35        0.58          0.07
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PP DDH 01-09        898.5        899.0        1.74        0.07          0.07
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PP DDH 01-09        899.0        899.5        9.78        0.41          0.10
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PP DDH 02-09        992.0        992.5        7.64        0.11          0.19
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PP DDH 02-09        992.5        993.0       10.50        0.03          0.06
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PP DDH 02-09        993.0        993.5       26.50        0.02          0.04
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PP DDH 02-09        993.5        994.0       27.20        0.03          0.05
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PP DDH 02-09        994.0        994.5        8.07        0.05          0.04
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PP DDH 02-09        994.5        995.0        5.98        0.06          0.06
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PP DDH 02-09        995.0        995.5        2.13        0.09          0.13
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PP DDH 02-09        995.5        996.0        4.86        0.08          0.05
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Passport management is very encouraged with the assay results as they confirm both the presence of potash within the evaporite sequence in the Holbrook Basin and confirm the grades obtained by Arkla Exploration Company during the historic 1960's drill programs.

The initial assay results strongly suggest the objective of this phase of the Holbrook Basin exploration program, correlating the historic well data with modern coring and down hole geophysical surveying to verify the historical data and allow Passport to combine the historical data with the data from the 2009 programs to define a NI43-101 potash mineral resource for Passport's Holbrook Basin holdings, is on the way to being met.

Passport is also pleased to announce completion of the third and fourth holes, PP DDH 03-09 and PP DDH 04-09, at its Holbrook Basin potash project. These holes continued the twinning program of the previous holes drilled in the 1960's. Passport has begun the reclamation process on the sites of holes 1 through 4 and has initiated the permitting process for the next series of holes. The Arizona Land Commission has commenced issuing permits to other companies exploring for potash in the Holbrook Basin, so Passport expects to receive the permits for the next phase of drilling in 60 to 90 days.

PP DDH 03-09 was rotary drilled to a depth of 829 feet (252.7 metres) and cored from that point through the complete potash horizons to a final depth of 1040 feet (317.0 metres). PP DDH 04-09 was rotary drilled to a depth of 849 feet (258.8 metres) and cored from that point through the complete potash horizons to a final depth of 1100 feet (335.3 metres). Initial geophysical down hole testing by electrical gamma rays (an industry standard) indicated the presence of potash in both PP DDH 03-09 and PP DDH 04-09. The entire core horizon has been sealed in plastic to prevent desiccation and the entire potassium rich section as indicated by the gamma ray survey has been shipped to ALS Chemex Laboratory in Reno, Nevada for each of the two holes.

All sample processing is being handled by ALS Chemex in Reno, Nevada. The analyses are being completed at the ALS Chemex Laboratory in North Vancouver, British Columbia. ALS Chemex is an internationally renowned analytical laboratory with an ISO 9001:2000 accreditation. QA/QC protocols consisting of standards and blanks were inserted into the sample stream by ALS Chemex. The drilling program was supervised by Mr. Clive Bailey, CPG.

R. Tim Henneberry, P.Geo., a Director of Passport, is the Qualified Person as defined in National Instrument 43-101, who has reviewed and approved the technical content of this news release.

The Company also wishes to announce that it has granted 773,000 incentive stock options to directors, employees and consultants at a price of $0.18 for a 5 year term.

Investors are invited to visit the Passport Metals IR Hub athttp://agoracom.com/ir/PassportMetalswhere they can post questions and receive answers or review questions and answers already posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence toPPI@agoracom.comwhere they can also request to be added to the investor e-mail list to receive all future press releases and updates in real time.

On behalf of the Board of Directors

PASSPORT METALS INC.

Laara Shaffer, Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

The objective of this phase of the exploration program is to correlate the historic well data with modern coring and down hole geophysical surveying to verify the historical data and allow Passport to combine the historical data with the data from the 2009 programs to define a NI43-101 potash mineral resource for Passport's Holbrook Basin holdings.

PP DDH 02-09 was rotary drilled to a depth of 880 feet (268.2 metres) and cored from that point through the complete potash horizons to a final depth of 1068 feet (325.52 metres). Initial geophysical down hole testing by electrical gamma rays (an industry standard) indicated the presence of potash in PP DDH 02-09. The entire core horizon has been sealed in plastic to prevent desiccation and shipped to ALS Chemex Laboratory in Reno, Nevada. The ALS Chemex analyses and testing will determine the mineralization, type of potash horizons, widths and grades and most importantly the solubility of the deposit for solution mine testing. Results from the tests performed by ALS Chemex will be released upon receipt. The core from PP DDH 01-09 is being currently being processed. Assay results from this hole are not expected for at least another two weeks.

Drilling on the third hole of this program commenced on July 6th and it is anticipated that this hole will be drilled and cored to 1020 feet (323.1 metres).

Passport has also added two additional exploration permits to the property holdings: Township 17 North - Range 23 East - Section 32 at 433.64 acres and Township 17 North - Range 22 East - Section 36 at 640 acres. Passport now has the right to earn a 100% interest in 18 State Leases totaling 11,046.73 acres or 4,470.45 hectares.

R. Tim Henneberry, P.Geo., a Director of Passport, is the Qualified Person as defined in National Instrument 43-101, who has reviewed and approved the technical content of this news release.

On behalf of the Board of Directors

PASSPORT METALS INC.

Laara Shaffer, Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please contact

Passport Metals Inc. Acquires 3 Additional Leases in Holbrook Potash Property in Arizona

Passport Metals Inc. (TSX-V:PPI) is pleased to announce that it has acquired 3 new leases adjacent to its property holdings in the Holbrook Basic Potash property. The 3 claims: #08-113498, 640 acres, T16N R22 E Sec 16, #08-113499, 439.79 acres, T15N R 22E Sec 4 and #08-113500, 480 acres, T16N R22E Sec 28 total 1559.79 acres. There are two leases pending approval by the State of Arizona.

In September 2008, Passport entered into a mineral option agreement with Southwest Exploration Inc., a private Arizona incorporated company, to acquire a 100-per-cent interest in 13 state leases comprising 8,413.3 acres (3,404.76 hectares). The properties, to be designated the Holbrook holdings, are located in Navajo county, covering portions of the prospective Holbrook basin. Passport now has the right to acquire a 100% interest in 16 state leases totaling 9,973.09 acres or 4,035.96 hectares.

ADVISORY BOARD APPOINTMENT

Passport Metals Inc. has appointed Clive Bailey, Certified Professional Geologist, to the Advisory Board effective immediately. Mr. Bailey is a "Qualified Person," or "QP" as defined by the NI 43-101 standards and has a BS in geology. Mr. Bailey has more than 30 years of experience in salts, uranium and precious metals. Additionally, Mr. Bailey has extensive experience with downhole logging and geophysics and has completed more than 1,000,000 feet of drilling throughout his career. Mr. Bailey is an environmental specialist and served as a manager/advisor to a public company that controlled a portion of the Carlsbad, New Mexico potash deposit.

The company also wishes to announce that Terence Smithson is no longer on the Advisory Board and the Company wishes to thank him for his efforts.

On behalf of the Board of Directors

Laara Shaffer, Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact:

Passport Metals Inc.
Laara Shaffer
Director
(604) 687-0300
(604) 687-0151 (FAX)
www.passportmetals.net

Passport Metals Inc. commenced its phase one drilling program on the Holbrook basin potash project on June 25, and the first hole drilled in this program, PP DDH 01-09, has now been completed. This is the first exploration drill hole to be drilled in the Holbrook Salt basin since the 1960s. Passport Metals is the first and only exploration company in the Holbrook basin currently issued a drilling permit. The permit allows for a total of up to five holes. The current program will consist of three holes, with a two-hole follow-up program planned later in the year.

The intent of the phase one exploration drilling program is to twin previous holes drilled in the 1960s to correlate the historic well data with a modern coring and downhole geophysical program. This will verify the historical data and allow Passport to combine the historical data with the data from the 2009 programs to define a National Instrument 43-101 potash mineral resource for Passport's Holbrook basin holdings.

PP DDH 01-09 was rotary drilled to a depth of 880 feet (268.2 metres) and cored from that point through the complete potash horizons to a final depth of 1,000 feet (304.8 metres). Initial geophysical downhole testing by electrical gamma rays (an industry standard) indicated the presence of potash in PP DDH 01-09. The entire core horizon has been sealed in plastic to prevent desiccation and shipped to ALS Chemex Laboratory in Reno, Nev. The ALS Chemex analyses and testing will determine the mineralization, type of potash horizons, widths and grades, and most importantly, the solubility of the deposit for solution mine testing. Results from the tests performed by ALS Chemex will be released upon receipt.

Drilling on the second hole of this program commenced on June 30 and it is anticipated that this hole will be drilled and cored to 1,060 feet (323.1 metres).

The final hole of the phase one drill program is scheduled to commence on July 6. Tim Henneberry, PGeo, a director of Passport, is the qualified person as defined in National Instrument 43-101, who has reviewed and approved the technical content of this news release.

ONLINE INVESTOR RELATIONS MAXIMIZES SPEED, TRANSPARENCY AND ACCESS TO COMPANY

In response to overwhelming data representing the online research and communications habits of small-cap investors, Passport Metals has turned the primary focus of its investor relations to the web via the AGORACOM system to facilitate faster, better and more accessible communications with both current and prospective shareholders around the world.

Effective July 6, 2009, a customized and monitored Passport Metals IR HUB will be available on AGORACOM at (http://agoracom.com/ir/PassportMetals). The IR HUB will allow Passport Metals to communicate with all investors simultaneously, anytime and in near real-time.This HUB will provide Passport Metals management with the ability to extend communications beyond text via audio messages, video presentations, webcasts and podcasts.In addition to traditional e-mail, investors will also have the ability to receive all communications via RSS feed.

THE “AGORACOM 100”

On January 19th, AGORACOM launched a Canadian TV, web and search engine marketing campaign to drive small-cap investors to the “AGORACOM 100”, an elite and exclusive group of great Canadian small-cap companies in which Passport Metals will be included.This marketing campaign will target main stream media including daily spots on BNN, CNBC TV, Bloomberg TV, Globe & Mail’s GlobeInvestor.com, Google, Yahoo!, MSN, AOL, Facebook, AGORACOM and an array of other Tier 1 properties.

LAUNCH OF PASSPORT METALS COMMUNITY

The Passport Metals IR HUB propels the Company into the forefront of Web 2.0 community building by providing investors with two very important functions. First, a monitored discussion forum for the purposes of constructive and high-quality discussion amongst investors that is free of spam, profanity and misinformation.Second, a social network that provides investors with the ability to create extensive profiles that include photos, bios, video messages to fellow investors, a rating system and other important items to create a closer bond between our shareholders.

TIER-1 EXPOSURE AND AWARENESS

As an exclusive provider of “Small-Cap Centres – Powered by AGORACOM” to Globe Investor, Yahoo Finance Canada, AOL Finance Canada and every Blackberry device on the planet, AGORACOM will provide Tier-1 financial coverage of all newsworthy Passport Metals press releases for the purposes of attracting new and prospective shareholders

Passport Metals President, Dr. Richard Hunter states, "I believe the time has now come to significantly increase our communications with both existing shareholders and the massive online small-cap community of investors that are searching for their next great investment.I strongly encourage our shareholders to begin taking advantage of our new online IR system, which demonstrates we are a fully accessible organization with a great story to tell.”

The terms of the agreement are as follows: Duration - 12 months. Monthly Cash Compensation -$5,000 plus GST.Stock Options - 250,000 shares at $CDN .12 per share; This agreement has been negotiated entirely at arm's length. AGORACOM is located in Toronto, Ontario.

About AGORACOM

AGORACOM Investor Relations (http://www.AgoracomIR.com) is North America's largest online investor relations firm for small-cap companies.We have partnered with the world’s biggest internet companies, including Yahoo, Globe Investor, AOL, Google and Blackberry to market our clients to a massive audience of new small-cap investors.We have served over 300 companies since 1997.

AGORACOM Investor Relations has displaced the telephone and e-mail as primary IR communications devices.Our IR HUB delivers two-way investor relations in near real-time that is 24/7/365 accessible to shareholders around the world and goes far beyond text by offering both audio and video communications.

AGORACOM (http://www.Agoracom.com) is North America’s only small-cap community built to serve the needs of serious small-cap and micro-cap investors. No rumours, profanity, stock bashing or hyping.Our traffic ranking is above the top 0.5% of all websites around the world.

About Passport Metals Inc.

Passport Metals is a TSX listed company focused in the mining sector. Our board of directors bring many years of experience with direct focus and expertise in natural resources. We currently hold several stakes and mineral rights to high prospect properties.

Passport Metals Inc.
Laara Shaffer
Director
(604) 687-0300
(604) 687-0151 (FAX)
www.passportmetals.net

Passport Metals Inc. also wishes to announce a non-brokered private placement for 5 million Units at $0.11. The Unit consists of one common share and one share purchase warrant, exercisable for a one year term at $0.20.

The proceeds of $550,000 will be used on the drilling program for the Holbrook Potash, Arizona property and working capital purposes.

On Behalf of the Board of Directors

“SIGNED”
Laara Shaffer
Director

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX Venture Exchange has not reviewed this press release and neither approved nor disapproved the information contained in this press release.

Investor Relations
PPI@agoracom.com
http://agoracom.com/ir/PassportMetals
AGORACOM Investor Relations

Boart Longyear will begin mobilization of their drilling equipment to Passport's Holbrook Basin potash property on Monday, June 22, and expects drilling on the property to commence by the end of the week. Boart Longyear will use a combination of reverse circulation/diamond drilling. The entire potash horizon will be cored using a Boart Longyear drilling rig. This horizon will then be surveyed with downhole geophysical tools recording gamma ray and density measurements, the industry standard for potash exploration. R. Tim Henneberry, PGeo, a director of Passport, is the qualified person as defined in National Instrument 43-101, who has reviewed and approved the technical content of this news release.