Chilean Metals Terminates Tiris Transaction

Chilean Metals Inc. (“Chilean Metals,” “CMX” or the “Company”) (TSXV:CMX), (OTC:CMETF), (SSE:CMX), (MILA:CMX) has terminated the previously announced term sheet with ASX and AIM-listed Aura Energy Limited for its gold, base and battery metal tenements in Mauritania.

“It became rather complicated for regulatory reasons for Chilean to pursue its original plan. It would have necessitated the deal being deemed a Fundamental Transaction to Chilean and that would have made it very difficult to meet our announced timelines to close this deal. It also would have stopped progress on Chilean’s core projects in Chile. As a result, we have agreed with Aura to terminate the transaction commented Chilean CEO Terry Lynch.”

The Chilean board has been informed a private company controlled by Mr. Lynch has agreed to acquire the 50% interest in Tritis Gold for similar terms and the independent directors did not object to the transactions. Chilean Metals has no interest or agreement with the private company.

Chilean expects with this announcement that the Company stock which has been halted will resume trading in the next few days.

About Chilean Metals,

www.chileanmetals.com/

Chilean Metals Inc. is a Canadian Junior Exploration Company focusing on high potential Copper Gold prospects in Chile & Canada.

Chilean Metals Inc is 100% owner of five properties comprising over 50,000 acres strategically located in the prolific IOCG (“Iron oxide-copper-gold”) belt of northern Chile. It also owns a 3% NSR royalty interest on any future production from the Copaquire Cu-Mo deposit, recently sold to a subsidiary of Teck Resources Inc. (“Teck”). Under the terms of the sale agreement, Teck has the right to acquire one third of the 3% NSR for $3 million dollars at any time. The Copaquire property borders Teck’s producing Quebrada Blanca copper mine in Chile’s First Region.

ON BEHALF OF THE BOARD OF DIRECTORS OF
Chilean Metals Inc.

“Terry Lynch”

Terry Lynch, CEO

Contact: terry@chileanmetals.com

6474488044

Forward-looking Statements: This news release may contain certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical fact, that address events or developments that CMX expects to occur, are forward looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Forward-looking statements in this document include statements regarding current and future exploration programs, activities and results. Although CMX believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration success, continued availability of capital and financing, inability to obtain required regulatory or governmental approvals and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements.

Neither the 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.