Cornerstone Capital Resources Inc.
TSX VENTURE : CGP
FRANKFURT : GWN

Cornerstone Capital Resources Inc.

May 30, 2006 08:00 ET

Cornerstone and Thundermin Start Drilling at Cape Ray Gold Project

CALGARY, ALBERTA--(CCNMatthews - May 30, 2006) - Cornerstone Capital Resources Inc. (TSX VENTURE:CGP) (FWB:GWN) and Thundermin Resources Inc. (TSX-THR) are pleased to report a 1,000 m drill program has commenced on the Cape Ray gold property in southwestern Newfoundland. The program will focus on following up favourable results generated by drilling at the Windowglass Hill prospect in 2004. The 2006 program represents Thundermin's 4th year of a 5 year option and earn-in agreement whereby Thundermin has the right to earn a 55% interest in the project by spending CDN$1.75 million on exploration and making cash and share payments totaling CDN$100,000 and 150,000 shares respectively.

Windowglass Hill

Mineralization at Windowglass Hill comprises gold-bearing, base metal sulphide-rich quartz veins hosted by granite. Drilling in 2004 targeted surface exposures of gold-bearing quartz veins in four vein systems over a distance of 1.5 km. Three holes, WGH-04-11, -12 and -15, tested a high-grade shoot within the Main Zone as predicted by Cornerstone's detailed 3D geological model of previous drilling. All 3 holes intersected mineralization at depths predicted by the model. Hole WGH-04-11 intersected mineralization assaying up to 7.54 g/t Au and 49.1 g/t Ag over 5.15 m, including 14.5 g/t Au and 60.8 g/t Ag over 2.2 m. Three vein sets intersected in hole WGH-04-15 returned 16.35 g/t Au & 81.8 g/t Ag over 0.4 m; 7.6 g/t Au and 19.9 g/t Ag over 1.4 m; and 5.92 g/t Au and 90.4 g/t Ag over 0.8 m. WGH-04-12 returned 8.39 g/t Au and 26.7 g/t Ag over 0.95 m. These results confirm the presence of a high-grade shoot comprising a 200 m long southwest plunging tension vein array. This target, which remains open down plunge to the southwest, will be tested by 5 drill holes during the 2006 program.

At the Camp Zone, located 250 m west of the Main Zone, 2004 drill hole WGH-04-02, intersected a zone of thin, closely spaced quartz veins assaying 3.15 g/t Au and 24.2 g/t Ag over 3.0 m, including a 0.3 m assaying 9.14 g/t Au and 66.4 g/t Ag. Three 2006 drill holes will test for the extension of the Camp Zone mineralization.

At the Area 3 prospect, 500 m northeast of the Main Zone, rock samples collected over a 90 x 30 m area, assayed between 5.2 and 17.9 g/t Au. This shallowly dipping vein will be tested by 2 holes under the 2006 program.

This release was prepared by Bruce Mitton, P.Geo., Senior Geologist for Cornerstone and a Qualified Person as defined by National Instrument 43-101, responsible for supervising field programs at Cape Ray. Full assay information for assays referred to within this release, including QAQC protocols can be found at Cornerstone's Website.

(link to Cape Ray news release dated November 4, 2004 http://www.cornerstoneresources.com/s/NewsReleases.asp?ReportID=139145).

In addition to CDN$4.7 million joint venture-funded programs and 10,000 metres of drilling in 2006, Cornerstone also plans to spend approximately CDN$0.8 million to advance several of its 100% owned projects and to generate additional projects of merit. Areas of focus will include the Voisey's Bay Ni-Cu-Co mining district in Labrador as well as opportunities in Ecuador. The company hopes to conclude additional joint ventures as the year progresses.



On Behalf of the Board of Directors
Glen H. McKay
President



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

Contact Information

  • Cornerstone Capital Resources Inc.
    Glen McKay
    President
    Toll Free: 1- 877-277-8377
    or
    Cornerstone Capital Resources Inc.
    Mike Basha
    VP Exploration
    Toll Free: 1- 877-277-8377
    or
    Cornerstone Capital Resources Inc.
    Rosanne Williams
    Manager Corporate Communications
    Toll Free: 1- 877-277-8377
    Email: communications@crigold.com
    Website: www.cornerstoneresources.com