Castle Resources Inc.

October 31, 2011 06:00 ET

Castle Resources Provides Granduc Copper Project Update

- 30,000 metres surface drilling program completed at the Granduc Copper Project; additional assay results pending

- Procon Tide Tunnel rehabilitation nearing completion; miners are at km 15 of 17 km long haulage tunnel which connects the Granduc Mine to an all season access road

- Updated NI 43-101 resource estimate to be published by year end

TORONTO, ONTARIO--(Marketwire - Oct. 31, 2011) - Castle Resources Inc. (TSX VENTURE:CRI) ("Castle" or the "Company") is pleased to provide investors an update on ongoing operations at the Granduc Copper Project near Stewart, British Columbia.

"Tremendous progress has been made this field season in the exploration and development of the Granduc Copper Project," stated Mr. Mike Sylvestre, President & CEO of Castle Resources Inc. "We have completed our 30,000 meter surface exploration program and publically released assays that clearly confirm that copper mineralization extends over 600 meters to the south of the historic Granduc orebody and downdip 900 meters. The results of this year's drilling are being compiled by SRK Consulting and we anticipate an updated NI 43-101 resource estimate by the end of the year."

30,000 Meter Drilling Program Completed:

Castle's surface program was focused on significantly expanding the inferred resource initially published by SRK Consulting by drilling downdip on the main Granduc zone and stepping out towards the South Zone. Drilling on the Main Zone was targeted below the 1600 foot (487 m) horizon, which was previously identified as an historical non NI 43-101 compliant resource estimate of 24 million tons grading 1.82% Cu (see Granduc Technical Report dated July 5, 2010). Castle also targeted the South Zone that Bell Copper successfully drilled in 2005/06 to delineate additional copper mineralization (see Bell Copper release dated Dec 14, 2005) and confirmed continuity along strike with the Main Zone. Highlights of drill assays released to date include GD2011-25: 18 meters of 1.90% Cu (see press release dated Sept 20, 2011) and GD2011-16: 8 meters of 3.15% Cu (see press release dated Sept 8, 2011).

Tide Tunnel Rehabilitation:

Castle engaged Procon Mining & Tunneling to rehabilitate the 17 km long haulage tunnel in late spring and is pleased to report that Procon is nearing completion. The scope of Procon's contract was to recondition the tunnel and entrance, remove sections of old rail, establish drainage, install ventilation and power and build a repair shop. With the near completion of the tunnel rehabilitation, Castle will now have unlimited access to the Granduc mine workings as it prepares and develops its comprehensive 2012 underground infill drilling program.

Stewart Port Negotiations

Castle is close to completing negotiations with Stewart Bulk Terminals to secure a concentrate storage facility and a preferred concentrate handling rate for the Granduc Copper Project. It is anticipated that a signed agreement will be concluded this year.

Environmental Data Collection:

Castle's Phase I environmental data collection programs are progressing very well and on schedule. These baseline studies are focused on geochemistry, water quality, hydrology, hydrogeology, fisheries and aquatic biota, vegetation, wildlife, social, economic, and heritage topics, to name a few. Castle Resources has assembled a team of highly respected technical specialists with proven track records for all necessary environmental disciplines. Given the scope of resource development work at the Granduc, it is anticipated that Castle's Granduc Copper Project will likely enter the B.C. Environmental Assessment process in Q2 of 2012.

About Castle Resources

Castle is a Toronto-based junior mineral development company focusing on high-quality, advanced projects. Management's goal is to continue the redevelopment of the 100% owned past producing Granduc Copper Mine and begin new exploration activities; as well, management is quickly advancing the Elmtree Gold Project in New Brunswick toward feasibility in 2011. Castle currently has issued and outstanding shares of 115 million.

For more information please visit the Castle Resources' website at


Certain statements contained in this news release may contain forward-looking information within the meaning of Canadian securities laws. Such forward-looking information is identified by words such as "estimates", "intends", "expects", "believes", "may", "will" and include, without limitation, statements regarding the company's plan of business operations (including plans for progressing assets), estimates regarding mineral resources, projections regarding mineralization and projected expenditures. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, metal prices, risks inherent in the mining industry, financing risks, labour risks, uncertainty of mineral resource estimates, equipment and supply risks, title disputes, regulatory risks and environmental concerns. Most of these factors are outside the control of the company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

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