Burnstone Ventures Inc.

March 21, 2011 16:30 ET

Burnstone Ventures Acquires Major Cu-Mo Porphyry; Previous Drilling Intersected 347.9m of 0.06% Mo and 0.31% Cu

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 21, 2011) - Burnstone Ventures Inc. (CNSX:BVE) ("Burnstone" or the "Company") wishes to announce that the Company has entered into an agreement to acquire all of the shares of Tomichi Copper Corp., which has the right to acquire a 100% interest in the Tomichi copper-molybdenum (Cu-Mo) porphyry project in Gunnison County, south-central Colorado, (the "Project"). The following table contains assay results for a selection of holes from the historic drilling on the Project within the core area of the porphyry target:

DDH # From m To m Interval m % Mo % Cu % CuEq(1)
TM-04 140.2 385.7 245.4 0.066 0.08 0.34
TM-05 20.1 328.4 308.2 0.054 0.24 0.46
TM-07 6.1 441.2 435.1 0.024 0.26 0.36
TM-08 9.8 420.7 411.0 0.036 0.25 0.39
TM-09 10.1 357.9 347.9 0.060 0.31 0.55
TM-10 8.2 263.4 255.2 0.060 0.29 0.53
TM-11A 30.5 302.1 271.6 0.060 0.16 0.40
TM-13 73.2 398.5 325.3 0.042 0.32 0.49
TM-14 70.1 337.5 267.4 0.048 0.21 0.40
TM-15 21.3 337.5 316.2 0.060 0.22 0.46
(1) Copper Equivalent values were derived based on $10.00/lb moly and $3.00/lb copper.

The Project is located along the southeastern edge of the Colorado Mineral Belt, host to some of the world's largest (>250,000 tons contained Mo) porphyry moly deposits such as Henderson, Climax and Mt. Emmons. Initial exploration drilling at Tomichi was carried out by Climax Moly in 1957, with the most recent drilling by Molycorp in 1982-1984. A total of 55 diamond drill holes have been completed on the Project. A significant number of the drill holes intersected the mineralization at surface and many were terminated in ore grade material.

Mineralization at Tomichi consists of disseminated and fracture controlled molybdenite and chalcopyrite hosted by a mid-Tertiary, potassic altered, porphyritic quartz monzonite. The mineralized porphyry is exposed at surface on top of Copper Hill and has been traced to over 550m in depth. Diamond drilling has encountered copper-moly mineralization over an area in excess of 1500m by 800m, which remains open to the north and east.

Burnstone has the drill logs from most of the historical drill holes, and core from many of those holes has been preserved at the project site. Upon completion of the acquisition, the Company intends to re log the old core to get a better understanding of the mineralization and the related porphyry system. As all of the previous drilling was assayed only for copper and molybdenum, Burnstone will also resample selected mineralized intervals for precious metals and other significant pathfinder elements. Permitting for a summer exploration program, including diamond drilling, will begin as soon as possible.

Subject to approval of the Board of the Company and all regulatory authorities, the Company will issue 3.1 million shares for the acquisition of Tomichi Copper Corp., and pay a finder's fee in compliance with the regulations of the Canadian National Stock Exchange. Tomichi Copper Corp, through its US subsidiary, has the right to purchase a 100% interest in the Project for an exercise price of $4 million US on or before the seventh anniversary of the option agreement (the "Option"). A payment of $15,000 is required on signing and, until the Option is exercised, cash payments of $40,000, $60,000, $80,000, $125,000, $150,000 and $180,000 are required on the first to sixth anniversary to keep the Option in good standing. If the Option is exercised, no further annual payments are required. The current owners will retain a 1.5% Net Smelter Royalty.

Mr. James Chapman, P.Geo, is the technical person responsible for exploration on the Project and all exploration work on the Project will be done under his supervision.

The Company is further pleased to announce that Mr. Douglas Fulcher has been appointed as President of the Company. Mr. Fulcher is a seasoned industry veteran with over thirty-five years of mineral exploration experience. He has worked with numerous senior and junior mining companies domestically and at an international level, both publicly and privately. Most recently, Mr. Fulcher was the President and CEO of Abacus Mining and Exploration from 2003 until 2010 where he was instrumental in the development of the Afton Ajax project. Mr. Gordon Keevil will remain as a director of the Company.

On Behalf of the Board of Directors,

Douglas Fulcher – President

This release includes certain statements that may be deemed to be "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration and development activities and events or developments that the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see our public filings at www.sedar.com.

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