Duncastle Gold Corp.
TSX VENTURE : DUN
FRANKFURT : 5D3

Duncastle Gold Corp.

March 26, 2010 14:56 ET

Duncastle Closes Private Placements

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 26, 2010) - Duncastle Gold Corp. (TSX VENTURE:DUN)(FRANKFURT:5D3) reported that it has now fully closed its two previously announced and oversubscribed non-brokered private placements (see NR-02-10 and NR-04-10) for gross proceeds of $796,654. 

Unit Private Placement

The company issued 7,110,900 units at a price of C$0.06 per unit to raise $426,654. Each unit consisted of one common share and one-half share purchase warrant, with each whole warrant exercisable to purchase one additional common share at an exercise price of C$0.10 per share for a period of one year. 

Flow-Through Private Placement

The company closed the second tranche of its flow-through private placement by issuing 4,375,000 flow-through shares at a price of C$0.08 per share for gross proceeds of $350,000. The first tranche closing of 250,000 flow-through shares for proceeds of $20,000 was announced on March 22, 2010 (NR-05-10). 

Securities issued pursuant to these two private placements, including common shares, share purchase warrants and finder's warrants issued as finder's fees, carry a legend restricting trading of the securities until July 27, 2010. Finder's fees are payable. Proceeds from the private placements will be used to fund exploration on the company's British Columbia properties, including an airborne geophysical survey and field work leading to an initial drilling program on its Porphyry Creek project in North West British Columbia, and for general working capital.

Early Warning – Acquisition of Securities

The company has been advised that Lawrence Page, Q.C., c/o Suite 1100 – 1199 West Hastings Street, Vancouver, BC V6E 3T5, together with Manex Resource Group Inc., and Lawrence Page, Q.C. Law Corporation, companies at the same address as Lawrence Page, Q.C., and over which Lawrence Page, Q.C. exercises control and direction (collectively referred to as the "Shareholder"), has acquired through the facilities of the TSX – Venture Exchange and through Private Placement purchases common shares at prices ranging from $0.05 to $0.09. The Shareholder now beneficially owns 4,555,084 common shares representing 9.55% of the outstanding capital of the company. Additionally, the Shareholder holds options to purchase an aggregate of 350,000 common shares and warrants exercisable within 60 days to purchase 1,966,184 common shares which, when added to the holdings of the Shareholder set out above, represent a total holding of 13.74% of the outstanding capital of the company. The Shareholder has advised that its current intention is that all of the shares of the company acquired were acquired for investment purposes but the Shareholder may, from time to time, reconsider its holdings in the company and, as circumstances dictate, may increase or decrease its position in the company. The company is further advised that a report relating to these matters is being filed with the British Columbia and Alberta Commissions by the Shareholder. A copy of the report may be obtained from the Manex Group of Companies on behalf of the Shareholder by calling 604-684-9384. 

About Duncastle Gold Corp.

Duncastle Gold Corp. is a Vancouver based gold exploration company with mineral claims covering or surrounding past producers in two historic BC districts. In Southeast BC Duncastle is targeting high-grade gold-silver-lead-zinc veins at the former Yankee-Dundee mine, 50km from the smelter at Trail BC. In Northwest BC the company's holdings cover a 10 km long magnetic anomaly, previous workings, and high-grade veins at its Porphyry Creek project. Now covering more than 150 sq km, Duncastle has assembled contiguous claim blocks in each of these two productive regions for gold exploration.

As part of the Manex Resource Group, Duncastle benefits from shared expertise in corporate finance, public company administration, investor relations, and technical and geological services provided for six public companies. Since its formation in 1997, the companies within the Manex Group have raised over C$250 million in exploration financing.

On behalf of the Board of Directors,

Victor J E Jones, President, Director, Duncastle Gold Corp.

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.

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