Greystar Resources Ltd.

Greystar Resources Ltd.

October 24, 2007 17:50 ET

Greystar Drills 143.1 Metres Grading 1 g/t Gold at Angostura

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 24, 2007) - Greystar Resources Ltd. ("Greystar") (TSX:GSL)(AIM:GSL) is pleased to report that delineation drilling has returned 1 gram gold per tonne over 143.1 metres in the La Alta area and 1.32 grams gold per tonne over 113.95 metres in the Los Laches area of its wholly owned, multi-million ounce Angostura gold-silver resource in northeastern Colombia.

"The latest drill results (10 holes) have returned good widths of mineralization in the La Alta - Los Laches gap area with holes AL07-06 and LL07-08 containing several higher-grade shoots like 7.25 grams gold per tonne over 6.1 metres and 8.44 grams gold per tonne over 5.3 metres within these very long mineralized intercepts," said Greystar's Executive Vice President, Frederick Felder, P.Geo.

The ongoing drill program is progressing well and is continuing to advance the geological understanding of the deposit. As part of the continuing evaluation of the Angostura deposit and to update the resources, Strathcona Mineral Services of Toronto has proposed a more detailed test drilling program on 12.5 meter centers in the Silencio and La Alta area. The purpose of this drilling is to further test the resource modeling parameters.

On the metallurgical front, in order to generate samples for metallurgical testing of the oxide zone a program of PQ diameter drilling is proposed. The PQ core size (85 mm/3.345 in) will permit samples for column testing of up to 38 mm in diameter. Also the services of a statistician have been retained to establish the sampling protocols and develop a QC/QA program for the metallurgical sampling from drill core and tunnels.

Greystar is also engaging consulting firms Tetra Tech, Inc. and Kappes, Cassiday & Associates to perform a Data Review and Feasibility Directional Study, which will serve as a Guidance Document for the Terms of Reference for a Feasibility Study. It is anticipated this work will be completed before year-end and pave the way for the feasibility study to begin early in 2008. Contact has already been made with Colombian engineering firms, including major engineering suppliers for components of major heap leach and base metal operations in Latin America.

The latest drill results include:

From To Interval Gold Silver
Hole Intercept (m) (m) (m(iii)) (gm/t) (gm/t)
V406-V407-V439 121.9 265.0 143.1 1.0 9.0
within which 150.5 164.0 13.5 1.95 14.3
AL07-06 within which 202.0 206.0 4.0 3.23 77.9
within which 247.0 253.1 6.1 7.25 50.9
within which 253.1 265.0 11.9 0.51 3.8
AL07-07 V416FW 148.55 161.5 12.95 0.61 2.7
CLOUD3 362.0 415.0 53.0 0.65 12.5
ALE07-25 ------------------------------------------------------------
CLOUD3 446.0 449.0 3.0 0.73 121.7
V703 261.0 277.0 16.0 0.77 2.2
ALE07-26 ------------------------------------------------------------
V702HW 327.3 336.6 9.3 2.12 1.3
CLOUD3 336.0 387.0 51.0 1.07 7.9
ALE07-27 ------------------------------------------------------------
CLOUD3 394.0 395.75 1.75 1.56 2.4
CLOUD3 200.0 207.0 7.0 0.62 6.2
ALE07-28 ------------------------------------------------------------
CLOUD3 216.4 226.5 10.1 0.48 6.6
V605 170.5 178.0 7.5 1.02 5.8
ALE07-31 ------------------------------------------------------------
V406 210.0 217.0 7.0 1.94 7.8
LL07-07 CLOUD3 80.95 127.0 46.05 1.54 41.0
CLOUD3 75.0 188.95 113.95 1.32 21.9
within which 75.0 92.0 17.0 1.23 25.1
within which 140.0 149.55 9.55 3.28 32.1
LL07-08 ------------------------------------------------------------
within which 161.7 167.0 5.3 8.44 92.2
within which 180.8 181.8 1.0 22.0 532.0
within which 181.8 188.95 7.15 1.35 8.5
CLOUD3 0.0 17.65 17.65 1.43 45.8
NA07-05 ------------------------------------------------------------
CLOUD3 40.5 52.5 12.0 0.86 18.1
Note: m (iii) - Down-hole 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 2006 resource update estimation, the Angostura deposit hosts an indicated resource of 7.42 million ounces of gold in 173.4 million tonnes of material grading 1.33 grams gold per tonne and an inferred resource of 4.2 million ounces of gold in 80.9 million tonnes grading 1.62 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 (NI) 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 our home page link at Greystar's website:

Frederick Felder, a qualified person for the purposes of National Instrument 43-101, has verified and approved the data disclosed in this press release.


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 release.

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 in 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 Project.

Forward-Looking Statement

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 30, 2006 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.

All dollar amounts are in Canadian dollars, unless otherwise stated.

No Stock Exchange has reviewed or accepts responsibility for the adequacy or accuracy of this news release.

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