Castle Resources Inc.

September 09, 2010 15:58 ET

Castle Resources Provides Granduc Operations Update

- Over 3,000 metres of 10,000 metre drill program completed; objective to outline large 43-101 resource within the undeveloped historical deposit

- Initial assays from twinning program expected by end of September 2010

- Granduc is a significant copper asset with excellent infrastructure in place

TORONTO, ONTARIO--(Marketwire - Sept. 9, 2010) - Castle Resources Inc. (TSX VENTURE:CRI) ("Castle" or the "Company") is pleased to update investors about its ongoing exploration and drilling activity at the Granduc Project near Stewart, B.C.

The immediate objective of the drill program at Granduc is to test the down dip extent of the historical deposit beneath and to the south of the zones mined by Newmont and Esso between 1971 and 1984. Specifically, drilling is targeting Blocks 3 and 4, which include the A, B and C orebodies between the 2175 and 2600 foot level (above sea level) in addition to targeting Block 5, between 1600 foot elevation and 2175 foot elevation, which includes the F, A, B and C orebodies (see press release dated July 22, 2010, to learn more about historical non NI 43-101 resource estimates). Castle has engaged MinConsult Exploration Services and MoreCore Diamond Drilling Inc. to manage and execute the diamond drill twinning program at the Granduc. In addition, Castle has engaged SRK Consulting to review and analyze exploration objectives at the Granduc in preparation of calculating a NI 43-101 resource estimate.

"Since announcing the initial option transaction for the Granduc in July we have moved quickly to establish and begin a comprehensive drill twinning program," said Mr. Mike Sylvestre, President & COO of Castle Resources. "Our objective is to commission a preliminary NI 43-101 resource estimate based on the results of this year's program which will confirm the presence of a large and potentially mineable copper and precious metal resource at the Granduc."

Granduc Highlights

• Significant high grade in situ copper resource: 
Historic Mineral Resource Estimates above Sea Level 1983  
(Table taken from July 4, 2010 Granduc NI 43-101 (see page 45) by Paul J. McGuigan, P.Geo and Don J. Harrison, P.Geo as found in Schmidt et al, 1983. (The resources presented in the table below are not in compliance with NI 43-101 standards and are for geological information only)   
Location In Granduc Mine Grade (%Cu) Tons
Block 3, 4 (above 2175 level) 1.84 5,585,910
Block 5 (2175 to 1600 elevation) 1.78 5,750,000
1600 elevation to Sea Level 1.82 24,772,434
Note: The historical estimates above should not be relied upon. A qualified person has not done sufficient work to classify the historical estimates as current mineral resources or reserves and the Company is not treating the historical estimates as current mineral resources or reserves.
• Newmont and Esso Minerals operated the Granduc Mine between 1971-1984; processed over 15 million tonnes of ore grading 1.71% Cu; produced 420 million pounds of copper (plus gold and silver credits); the mine was closed in 1984 due to low copper prices
• Operators of the Granduc Mine invested over $115 million from Oct 1965 until start-up operations began in 1971
• 16 km haulage tunnel remains in good condition today
• Mining operations at the Granduc Mine consisted of crushing underground then processing of up to 9000 tpd. The concentrate was trucked 32 miles on an all weather road to the year-round deep sea port facility in Stewart which remains in operation today
• Bell Copper's exploration activities between 2004 and 2007 have confirmed mineralization within 4 kms to the north and south of the main Granduc orebody

Castle also wishes to announce that pursuant to the terms and conditions of its Stock Option Plan, it has granted, in the aggregate, 300,000 incentive stock options (the "Options") to a director and consultant of the Company. The options will be exercisable for a five year period at $ 0.235 per share.

About Castle Resources

Castle Resources Inc. is a Toronto-based junior mineral exploration company focusing on high-quality, advanced exploration projects. Management's goal is to begin the redevelopment of the 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 2010. 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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