Castillian Resources Corp.
TSX VENTURE : CT

Castillian Resources Corp.

April 26, 2011 07:00 ET

Castillian's Hope Brook Camp Connects to Newfoundland Power Grid

Creates Significant Cost Savings and Operational Efficiencies

TORONTO, ONTARIO--(Marketwire - April 26, 2011) - Castillian Resources Corporation ("Castillian" or the "Company") (TSX VENTURE:CT) is pleased to report that Newfoundland and Labrador Hydro have connected the Hope Brook camp to the power grid. This is the same power line that originally supplied power to the old Hope Brook Mine site. This is expected to result in a cost savings of at least $100,000 per year. Prior to being connected to the provincial power grid, Castillian transported approximately 90-100 barrels of diesel each month by boat in order to power the generators and drill rigs. Going forward, the Company will only require diesel fuel for its two drill rigs.

At the time the mine operated, the line was a three phase transmission line operating at 138kV (kilovolts) and was tapped from a substation on the Burgeo Road about 32 km east of Hope Brook. Following the mine's decommissioning, the line was reconfigured for single phase service to several local communities. Newfoundland and Labrador Power advises that the line the camp is connected to is capable of powering a small town.

Dr. Bill Pearson, P.Geo., President & CEO of Castillian, commented: "Having a reliable and steady supply of power to our camp is a huge advantage and highlights the excellent infrastructure in the Hope Brook area. We thank the crews of Newfoundland and Labrador Hydro for the efficient and timely manner in which they completed the installation and connection to the power grid."

Mr. Dan Lee, P.Geo. Chief Geologist and Project Manager for Hope Brook said: "The hydro connection was a desirable option for us on several fronts. In addition to the cost savings, using less diesel fuel reduces our environmental impact and fewer barrels to transport means less potential safety hazards for our crew. The much steadier and more reliable power source will also significantly reduce the risk of damage to our computer system and other electronic equipment."

ABOUT CASTILLIAN

Castillian Resources Corp. is a Canadian mineral exploration company listed on the TSX Venture Exchange under the symbol "CT" which has gold and base metal properties in Canada and South America. Castillian's flag ship property is the Hope Brook Gold Project located in southwestern Newfoundland where it is carrying out a 15,000 metre diamond drill program.

Cautionary Note Regarding Forward-looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the impact of changes regarding the provision of power, diamond drill program at the Hope Brook project and its anticipated results, the exploration program and anticipating timing and costs with respect to the exploration program and the completion of a NI 43-101 compliant resource estimate, future financial or operating performance of the Company, its subsidiaries and its projects, statements regarding exploration prospects, the identification of mineral reserves and resources, exploration expenditures, timing of future exploration, requirements for additional capital. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; future prices of mineral prices; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and shortages and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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.

Contact Information