Archean Star Resources Inc.
TSX VENTURE : ASP

Archean Star Resources Inc.

June 23, 2011 14:19 ET

Archean Star Resources Increases Size of Gnaweeda Claims

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 23, 2011) - Archean Star Resources Inc. (TSX VENTURE:ASP) and its wholly owned subsidiary, Archean Star Resources Australia Pty Ltd (together "Archean" or the "Company") reports that two additional tenements have been granted by the WA Department of Mines to Teck Australia Pty, Ltd, ("Teck") on the Gnaweeda Gold Project, ("Gnaweeda") Meekatharra, Western Australia.

The two tenements, E51/1419 and E51/1420, were applied for after a 2009 geophysical program identified geophysical anomalies at Gnaweeda that extended beyond the original tenement boundaries.

E51/1419 consists of two blocks and is located at the northwest corner of Tenement E51/927 to cover the extension of a large structural/alteration target striking generally from the center of the new tenement to the northeast. E51/1420 also consists of two blocks and is located approximately halfway up the eastern boundary of Tenement E51/926 and was located to cover a portion of the large magnetic low anomaly that extends beyond the eastern boundary of E51/926 to the center of tenement E51/1420.

The Company is currently conducting an IP program at the St. Anne's prospect, projected to be completed by the end of July, 2011, to assist in targeting diamond drill collars.

Under the terms of the Underlying Agreement between Teck and Chalice Gold Mines Ltd ("Chalice"), as of February 2011, Chalice's interest in Gnaweeda has been diluted from 30% to 20.26%. Chalice elected not to participate in the funding for the 2010 – 2011 Joint Venture work program and has also elected to not participate in the 2011 – 2012 Joint Venture work program.

The Company has granted 400,000 incentive stock options to consultants and employees exercisable for five years at $0.15 cents.

Archean Star Resources Inc. is a junior exploration company that, through its wholly owned subsidiary, Archean Star Resources Australia Pty Ltd, has entered into an Option Agreement, subject to a 75% back in right, to earn 100% of Teck Australia Pty Ltd's ("Teck") interest in Chalice Gold Mines Limited's Gnaweeda Gold Project in West Australia. Kent Exploration Inc. (TSX VENTURE:KEX) with approximately 10,000,000 shares or 35% of the outstanding common shares, is the controlling shareholder of Archean.

This News Release has been prepared on behalf of the Archean Star Resources Inc. Board of Directors, which accepts full responsibility for its contents.

ON BEHALF OF THE BOARD

Graeme O'Neill, President

Neither the TSX Venture Exchange, nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), has reviewed, nor do they accept responsibility for, the adequacy or accuracy of this news release.

Contact Information

  • Archean Star Resources Inc.
    Graeme O'Neill
    President
    (604) 684-3394
    (888) 282-7763 (FAX)
    www.archeanstar.com