Canstar Resources Inc.
TSX VENTURE : ROX

Canstar Resources Inc.

October 28, 2014 08:00 ET

Canstar Intercepts 11.5 Meters of Zinc Sulphide Mineralization at March March Project

TORONTO, ONTARIO--(Marketwired - Oct. 28, 2014) - Canstar Resources Inc. (TSX VENTURE:ROX) -

Canstar Resources is pleased to announce the first results of it 2014 summer drilling program on its Mary March Project. Results have been received for the first two drillholes completed in the program. The Company successfully extended the Mary March Zone 50 meters to the northeast and at depth encountering the following results:

  • Borehole MM14-32 intercepted 11.5 meters 1.2% zinc, 0.2% lead, 1.8 g/t silver, 0.2 g/t gold from 431.5 to 443 meters
  • Including an interval of 3.6 meters grading 2.7% zinc, 0.1% copper, 2.4 g/t silver and 0.1 g/t gold nested in the above intercept from 435.9 to 439.5 meters.

The summer 2014 drilling program was comprised of 5 holes totaling 1724 meters of drilling, and was drilled in two separate phases.

Phase 1 Drilling Results (Mary March Zone)

The first 2 holes reported were designed to test a borehole electromagnetic target (BHEM) in and around the Mary March discovery zone that was detected by Canstar Resources from work earlier in 2014 (see Company's press release dated March 26, 2014). The following table provides a summary of significant drilling results to date:

BHID From To Length Zn % Pb% Cu% Ag gpt Au gpt
MM14-32 399.68 407 7.32 0.21 0.06 0.01 1.40 0.05
including… 399.68 402 2.32 0.33 0.05 0.02 1.35 0.07
MM14-32 410.39 416.19 5.80 0.43 0.08 0.02 3.45 0.13
including… 411.64 414.47 2.83 0.54 0.14 0.02 5.08 0.17
MM14-32 431.5 443 11.5 1.18 0.16 0.04 1.77 0.12
including… 434.5 441.1 6.6 1.84 0.13 0.06 1.88 0.09
including… 435.9 439.47 3.57 2.73 0.03 0.10 2.39 0.11

In addition to MM14-32, diamond drill hole MM13-30 (see News Release dated January 21, 2014) was extended as part of this program in order to test a geophysical anomaly that was identified near the end of this hole. The extended hole encountered significant pyrite mineralization, however, assays did not return any significant results.

Phase 2 Drilling Results (Nancy April Zone)

The second phase of drilling results are pending and include targets delineated from the Company's recent induced polarization (IP) survey (see Company's press release dated June 25, 2014). Three holes were completed along a chargeability zone that coincides with the Nancy April mineralized horizon. This anomaly was traced over the entire geophysical grid and is open along strike. In addition to this target, two other sub-parallel horizons also exhibit chargeable anomalies were discovered by the IP survey. These parallel horizons remain untested and will be the focus of future drill programs. Chargeability and resistivity maps can be viewed at the company's website: http://www.canstarresources.com/i/maps/IPChargeabilityMap.jpg.

Danniel Oosterman, President and CEO of Canstar states "The Mary March drill results are very encouraging, having successfully demonstrated the additional on-strike potential at Mary March proper. The pending results for Nancy April are also important given that the Company targeted IP anomalies for that phase of drilling. If we receive positive results at Nancy April, we will have confirmed that IP works well with our type of mineralization. This would validate the additional anomalies we received from the geophysical program and provide numerous targets for future drilling".

Assays for the Nancy April (Phase 2) drilling are expected in the coming weeks.

The Mary March Property is subject to a Joint Venture Agreement between Canstar Resources Inc and Glencore Plc. Glencore opted for voluntary non-participation for this program.

Canstar Resources adopts industry recognized QA/QC methods. Drill intervals are core length and are estimated to be close to true thickness. A geochemical standard control sample and one blank sample is inserted into the sample stream every 20th sample. Lab duplicates are analyzed using Thompson-Howarth plots. Samples are shipped to AGAT Laboratories in Mississauga for analysis. AGAT Labs is an ISO/IEC 17025 accredited laboratory and maintains ISO 9001 standards, policies and procedures.

Mr. Danniel Oosterman, P.Geo., the President and CEO of the Company, is a "Qualified Person" under National Instrument 43-101 and has reviewed the technical disclosure in this press release.

On behalf of myself and the Board of Directors,
Danniel J. Oosterman, P.Geo, President & CEO

Forward-Looking Statements

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. This News Release includes certain "forward-looking statements". These statements are based on information currently available to the Company and the Company provides no assurance that actual results will meet management's expectations. Forward-looking statements include estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, project development, reclamation and capital costs of the Company's mineral properties, and the Company's financial condition and prospects, could differ materially from those currently anticipated in such statements for many reasons such as: changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with the activities of the Company; and other matters discussed in this news release. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.

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