Capstone Mining Corp.
TSX : CS

Capstone Mining Corp.

March 30, 2006 09:15 ET

Capstone Intersects 4.4 m of 208.8 g/t Silver and 3.3% Copper at the Cozamin Copper-Silver-Zinc Project, Zacatecas State, Mexico

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 30, 2006) - CAPSTONE MINING CORP. (TSX:CS) is pleased to report additional assay results from its Phase III underground drilling program at the Cozamin copper-silver-zinc project located in Zacatecas, Mexico. Results are summarized in the table below. These reported drill intersections continue to show that the grade of copper mineralization increases with depth and that there is a strong association of higher silver values with increased copper grades. The Mala Noche vein mineralization remains open along strike (E-W) and down dip. Fifty-four holes have been drilled since the initial resource estimate was completed for the Cozamin Project which was released on November 15, 2005. These additional holes have been included in an updated resource study currently underway.

Highlights:

CG-05-U100: 2.45 m grading 136.9 g/t silver and 3.7% copper.

CG-05-U105: 4.38 m grading 208.8 g/t silver, 3.3% copper and 3.5% zinc.

CG-06-U106: 4.46 m grading 106.8 g/t silver and 4.5% copper.

CG-06-U108: 7.07 m grading 95.8 g/t silver and 3.3% copper.



---------------------------------------------------------------------
(i)
Inter- True
NQ Core From To val Width Silver Copper Zinc Lead CuEq
Hole # (m) (m) (m) (m) (g/t) (%) (%) (%) (%)
---------------------------------------------------------------------
(ii)
CG-05-U82 188.30 197.00 8.70 4.48 80.8 2.9 0.6 0.4 3.36
---------------------------------------------------------------------
CG-05-U95 256.00 261.00 5.00 2.82 73.8 2.7 0.4 0.2 1.00
---------------------------------------------------------------------
CG-05-U100 233.00 238.00 5.00 2.45 136.9 3.7 0.9 3.2 4.76
---------------------------------------------------------------------
CG-05-U102 269.50 278.00 8.50 3.03 82.4 2.8 1.2 0.05 3.40
---------------------------------------------------------------------
CG-05-U104 198.50 202.00 3.50 1.21 111.3 1.8 7.2 2.9 4.47
---------------------------------------------------------------------
CG-05-U105 154.00 165.00 11.00 4.38 208.8 3.3 3.5 0.2 5.19
and 165.00 175.00 10.00 3.98 7.6 0.2 10.0 0.02 2.87
---------------------------------------------------------------------
CG-06-U106 304.00 314.50 10.50 4.46 106.8 4.5 1.2 0.2 5.16
---------------------------------------------------------------------
CG-06-U107 123.50 132.75 9.25 7.90 103.7 1.7 1.0 4.7 2.86
---------------------------------------------------------------------
CG-06-U108 140.00 156.25 16.25 7.07 95.8 3.3 0.3 1.5 3.84
including 147.50 155.50 8.00 3.48 135.5 4.6 0.2 0.02 5.12
---------------------------------------------------------------------
CG-06-U109 358.00 364.00 6.00 2.07 pending 2.6 1.8 0.03 2.92
---------------------------------------------------------------------
CG-06-U110 126.00 133.00 7.00 4.62 74.7 2.3 0.7 1.3 2.88
---------------------------------------------------------------------
(i) True widths are estimated by correcting for the strike and dip of
the vein with regard to the bearing and inclination of the hole.
(ii) Partial assay results for CG-05-U82 were reported in the
December 6, 2005 news release.
- Assays are pending for holes CG-06-U111 to U115.
- Drill hole CG-05-U90 contained strongly anomalous values.
Note: (1) Copper equivalent calculations use metal prices of
US$1.25/lb for copper, US$0.50/lb for zinc, US$0.38 for lead and
US$6.25/oz for silver. Copper equivalent calculations (CuEq%) reflect
gross metal content that have been adjusted for metallurgical
recoveries based on the following criteria: Copper Recovery equals
94%, Zinc Recovery equals 66%, Lead Recovery equals 30% and Silver
Recovery equals 75%. (i) 1 kilogram equals 2.2 lbs.; 31.103 grams
equals 1 oz. Troy


Capstone has now completed the Phase III underground definition drilling program which consisted of 115 NQ core holes. This program has defined resources in about 60% of the area indicated as prospective by surface exploration drilling in 2004 and early 2005. The mineralization remains open along strike and down dip. Capstone anticipates that a Phase IV definition drill program will commence in the fourth quarter of 2006. This program will target the untested area indicated by surface exploration drilling plus additional targets along strike and at depth. Management is confident that the Phase IV drilling program will continue augmenting the resources at Cozamin.

To view the figure accompanying the release, please click on the following link: http://www.ccnmatthews.com/docs/CSfigure1.pdf.

QA/QC Highlights

- Sample preparation was conducted by SGS Lakefield Laboratories ("SGS") in Durango, Mexico and assays were completed by SGS in Toronto, Canada. Duplicate pulps, duplicates from sample rejects, blanks, standards and duplicate core samples were assayed by SGS and ALS Chemex in Vancouver, Canada.

- Hugh Willson, Vice President of Exploration for Capstone, a qualified person as defined by NI 43-101, supervised and directed all work associated with the drilling programs and this news release.

ABOUT CAPSTONE

Capstone is a Canadian based mining company focused on developing its Cozamin copper-silver-zinc mine located in Zacatecas State, Mexico. Capstone has approximately 63 million shares outstanding and is well financed with no debt. More information is available online at: www.capstonemining.com.

Contact Information