Greystar Resources Ltd.

Greystar Resources Ltd.

June 03, 2009 02:00 ET

Greystar Confirms Near Surface Gold Discovery



June 2, 2009

Greystar Confirms Near Surface Gold Discovery

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 3, 2009) - Greystar Resources Ltd. (TSX:GSL)(AIM:GSL)
("Greystar" or the "Company") reports that significant, near surface gold mineralization continues to
be encountered three kilometres south of its wholly-owned, multi-million ounce Angostura gold-silver
deposit in northeastern Colombia.

"It is exciting to find success so early on in our regional exploration program with the drill results
from the Mongora area showing excellent potential to develop additional oxide mineralization outside
of our advanced Angostura deposit," said Greystar's Executive Vice President, Frederick Felder, P.
Geo. "Initially we are drilling the Mongora target with widely spaced holes angled at 50 degrees to
most efficiently define oxide gold mineralization, which has the potential to enhance the economics of
the envisioned Angostura operation by extending and/or expanding the early years of mining when the
higher recovery - lower cost, oxide material is anticipated to be treated."

Much like the Angostura area, the Mongora results comprise higher-grade intercepts like 16.3 grams
gold per tonne over 1.05 metres and 12.35 grams over 1.6 metres to go along with broader zones of gold

Most encouraging is hole AN08-09, which returned 36.7metres grading 1.11 gram gold per tonne from 26.3
metres downhole and 10.6 metres of 3.77 grams gold per tonne from 69.9 metres downhole.

Moving 220 metres to the north, hole MO09-09 intersected 17.4 metres running 2.67 grams gold per tonne
from 98.6 metres downhole and 18.95 metres grading 0.87 gram gold per tonne from 204.2 metres

Hole MO09-01, which was collared 230 metres to the south and 80 metres to the west of hole AN08-09 hit
26.75 metres grading 0.55 gram gold per tonne from 65.7 metres downhole and 14.2 metres averaging 0.86
gram gold per tonne from 125 metres downhole.

For 2009, Greystar has programmed a total of 10,000 metres of drilling for the testing of satellite
targets and so far this year the Company has completed 4,137.9 metres on the Mongora target.
Preliminary metallurgical evaluations are underway.

Highlights from the nine drill holes of the exploration drill program are in the attached table.


                                        Interval       Gold     Silver
Hole                 From (m)   To (m)   (m(iii))     (gm/t)     (gm/t)
AN08-09                 26.3     63.0       36.7       1.11        3.5
                        69.9     80.5       10.6       3.77        3.5
                       217.0    231.0       14.0       0.77        3.3
                       240.2      260       19.8        0.9        1.1
MO09-01                 65.7    92.45      26.75       0.55        2.1
                       125.0    139.2       14.2       0.86        1.6
                       164.9    170.0        5.1       2.67        2.3
                       205.0    208.0        3.0       1.31        2.8
                      264.55    270.0       5.45       1.44        0.9
MO09-02                  5.2     12.4        7.2       0.79        3.7
                       169.0   170.05       1.05       16.3        3.7
                       188.0    190.0        2.0       1.48        0.1
MO09-03                61.65     73.0      11.35       0.46        1.1
                       215.0    219.0        4.0       2.08        2.7
                       248.0    250.0        2.0       1.14        1.6
                       326.0    332.0        6.0       1.02        0.7
MO09-04                 52.1     53.7        1.6      12.35        3.9
                       140.4    145.0        4.6       1.09        0.3
                       266.0    268.0        2.0       6.18        5.8
MO09-06                 94.0    107.5       13.5       0.65        6.8
MO09-07                 30.0     37.0        7.0       0.49        2.1
MO09-08                 24.0    38.45      14.45       0.38        2.1
                        82.9     92.0        9.1       0.81        4.1
MO09-09                 98.6    116.0       17.4       2.67        4.2
                      120.65    130.0       9.35       1.01        3.3
                       204.2   223.15      18.95       0.87        1.9
                      223.15    225.0       1.85       8.53        1.7
Note: (m(iii)) Downhole width, not corrected but based on drill holes
      and structural dip of the mineralization, the interval is
      considered to be close to true width.


Based on the December 2008, resource update estimation, the Angostura deposit hosts a measured
resource of 148.9 million tonnes grading 0.78 gram gold for 3.736 million contained ounces of gold; an
indicated resource of 182 million tonnes grading 1.34 grams gold for 7.813 million contained ounces of
gold. Combined, the measured and indicated resources host 11.5 million ounces of gold in 330.9 million
tonnes of material grading 1.09 grams gold per tonne, plus an inferred resource of 3.472 million
ounces of gold in 90.8 million tonnes grading 1.11 grams gold per tonne. Resource estimation was
undertaken in compliance with CIM mineral resource and mineral reserve definitions that are referred
to in National Instrument 43-101 - Standards of Disclosure for Mineral Projects. A location map of the
Angostura drilling, along with a map of the underground tunnel work and an updated concession map, can
be accessed from the Company's home page link at Greystar's website (


The results of the Company's drilling program have been reviewed, verified (including sampling,
analytical and test data) and compiled by the Company's geological staff (which includes a qualified
person, Frederick Felder, P.Geo., for the purpose of National Instrument 43-101, and Guidance Note for
Mining, Oil and Gas Companies issued by the London Stock Exchange in respect of AIM companies, which
outline standards of disclosure for mineral projects). Frederick Felder, P.Geo., has over 30 years of
mineral exploration experience, is a member in good standing with the Association of Professional
Engineers and Geoscientists of British Columbia and is the qualified person responsible for this

The Company has implemented a quality control program to ensure sampling and analysis of all
exploration work is conducted in accordance with the best possible practices. Under these quality
assurance measures, drill core is sawn into halves with one half of the core prepped on site and
samples shipped to ALS-Chemex Laboratory (ISO 9002 registered) in Vancouver, B.C. for analysis. The
remainder of the core is retained for future assay verification. Gold analysis is conducted by fire
assay (one assay tonne) using an atomic absorption finish. The laboratory re-assays using the ALS-
Chemex protocol, and additional checks may be run on anomalous values. Greystar has independent re-
analysis and sample preparation checks run at other accredited laboratories. The Company also
introduces background blanks prepared from previously analyzed core samples from the Angostura

Forward-Looking Statements

Certain statements included in this release are "forward-looking statements" within the meaning of
Canadian securities legislation. Forward-looking statements include, among other things, statements
regarding targets, estimates and assumptions in respect of gold prices, results, mineral resources and
anticipated grades. Forward-looking statements are necessarily based upon a number of estimates and
assumptions that, while considered reasonable by the Company, are inherently subject to significant
business, economic, competitive, political and social uncertainties and contingencies. Many factors
could cause the Company's actual results to differ materially from those expressed or implied in any
forward-looking statements made by, or on behalf of, the Company. Such factors include, among other
things, risks relating to additional funding requirements, resource estimates, exploration,
development and operating risks, limited experience with development-stage mining operations,
dependence on one principal exploration stage property, political and foreign risk, uninsurable risks,
competition, production risks, environmental regulation and liability, government regulation, currency
fluctuations, potential title disputes and dependence on key employees as set out under the heading
"Risk Factors" in the Annual Information Form of the Company dated March 31, 2009 which is available
in SEDAR. Investors are cautioned that forward-looking statements are not guarantees of future
performance and, accordingly, investors are cautioned not to put undue reliance on forward-looking
statements due to the inherent uncertainty therein. The Company disclaims any intention or obligation
to update or revise any forward-looking statements, whether as a result of new information, future
events or otherwise.



Greystar Resources Ltd.
David B. Rovig
(406) 245-9520


Greystar Resources Ltd. - Contact in Canada
Mr. Andreas Curkovic
Investor Relations
(416) 577-9927


NCB Stockbrokers Limited - Contact in London
Christopher Caldwell
+44 (0) 20 7071 5200


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  • Greystar Resources Ltd.