Castle Resources Inc.
TSX VENTURE : CRI

March 13, 2008 18:43 ET

Castle Resources Inc. Announces Increase in Private Placement Units and Change in Price

TORONTO, ONTARIO--(Marketwire - March 13, 2008) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

Castle Resources Inc. ("Castle" or the "Company")(TSX VENTURE:CRI) announces that it has increased its previously announced flow-through placement (the "Flow-Through Private Placement') of 3,750,000 Flow-Through Units of Castle to 4,857,143 Flow-Through Units at $0.35 per Flow-Through Unit.

Each Flow-Through Unit consists of one common share (the "Common Shares") to be issued on a "flow-through" basis under the Income Tax Act (Canada) (the "Flow-Through Shares") and one half of one common share purchase warrant of Castle (the "Flow-Through Unit Warrants"). Each whole Flow-Through Unit Warrant has a term of 18 months (the "Term") and will entitle the holder to purchase one Common Share at a price of $0.60 per share during the Term.

Castle also announces that is has increased its second private placement offering (the "Private Placement") of up to 5,000,000 units of Castle (the "Units") at a price of $0.30 per Unit to 6,666,667 Units. D & D Securities Company will act as agent for the Private Placement.

Each Unit consists of one Common Share and one half of one Common Share purchase unit (the "Unit Warrant"). Each whole Unit Warrant has a term of 18 months and will entitle the holder to purchase one Common Share at a price of $0.45 per share during the 18 month term.

About Castle

Castle recently signed a Letter of Intent to acquire rights to a majority land position within the Cobalt Ontario Silver Camp, one of the prolific silver mining camps in the Cobalt region.

- Historic Cobalt Mining Camp produced more than 445 million oz silver, 45 million lbs cobalt

- District-scale exploration opportunity on previously unconsolidated 3,083 ha land package

- Near-term potential for mine rehabilitation, tailings production and additional acquisitions

In addition, Castle is focusing on high-quality advanced exploration projects in Mexico. The Company's initial focus is on silver exploration and development in Zacatecas, Mexico, a prolific silver camp in Mexico. Management's goal is to quickly advance current projects and to seek additional opportunities to continue to add value for shareholders.

Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Factors that might cause a difference include, but are not limited to: changes in the worldwide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. The Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect the financial results is included in documents filed from time to time with Canadian securities regulatory authorities by the Company.

The TSX Venture Exchange has neither approved or disapproved of the contents of this press release.

Contact Information

  • Castle Resources Inc.
    Stephen Shefsky
    President and CEO
    (416) 366-4200
    (416) 366-4201 (FAX)