SOURCE: Coastal Pacific Mining Corp.

Coastal Pacific Mining Corp.

May 25, 2011 09:16 ET

Coastal Pacific Completes Preliminary Sampling Program on Santa Rita Property

CALGARY, AB--(Marketwire - May 25, 2011) - Coastal Pacific Mining Corp. (OTCQB: CPMCF) (PINKSHEETS: CPMCF) ("Coastal Pacific" or the "Company"), wishes to announce completion of the preliminary Phase I program on its Santa Rita property. The two week program, delayed due to torrential rains and flooding in Peru, was completed in April 2011.

The 1200 hectares (2965 acres) Santa Rita property is located within the Central Cordillera of the Peruvian Andes in rugged terrain at elevations that vary between 4200 m (13,780 feet) to 4800 m (15,748 feet) above sea level. Limited exploration had previously documented both vein and replacement (manto) mineralization, hosted within the limestone-dominated Jumasha Formation which is up to 400 m thick. The Jumasha Formation is important in central Peru for its documented mineral potential, including the Antamina deposit, comprising large volume skarn mineralization.

Dave Gibson, VP of Exploration, and Rick Walker, Chief Geologist, mobilized to Lima in late March to supervise and direct the program, comprised of a Real Time Kinematic (RTK) GPS Grid survey, mapping, soil and rock sampling. The emphasis of the Phase I program was on Humaspunco Mountain, which is underlain by a limestone-dominated succession previously documented to host a manto horizon and up to three distinct vein sets, at least two of which are mineralized. Therefore, the RTK GPS and soil surveys encompassed the entirety of the mountain.

A total of 47.75 km of grid lines were surveyed using Leica RTK GPS equipment, comprised of a base station and 3 rovers. A total of 904 "B Horizon" soil samples were taken from the property, localized primarily on Humaspunco Mountain. A small grid was surveyed and sampled over the "Red Fingers" area, a very prominent and distinctive gossan in the southeast portion of the property. Mapping was completed on the property, localized on Humaspunco Mountain and the immediately surrounding area. More specifically, mapping concentrated on exposures of the uppermost Jumasha Formation (the Gymnasia Limestone) and the contact with the overlying Sacsaquro Volcanic Group. The rock sampling program was undertaken on mineralized manto's and vein occurrences to confirm previously reported grades. A total of 262 rock samples were recovered during the program, with sample locations, workings and exposed surface expression of both the dominant vein set recorded using the RTK GPS equipment.

The most significant outcomes of Phase I were: 1) identification of three separate and distinct, mineralized manto horizons in the uppermost Jumasha Formation (Gymnasia Limestone), 2) identification of sulphosalts as a common mineral phase in the silver-rich, base metal-bearing veins, 3) the occurrence of additional breccia horizons, both deeper in the limestone succession and in exposures adjacent to Humaspunco Mountain, 4) considerably more workings than previously reported, developed in both the manto horizons and along the veins (ranging from small pits to relatively extensive underground workings), and 5) moderate to high grade mineralization associated with both veins and manto horizon(s) on the west half of Humaspunco Mountain (previously unreported).

Dave Gibson, VP of Explorations, commented, "What we have seen on Humaspunco Mountain on the Santa Rita Program in central Peru, is a much larger mineralized Silver-Lead-Zinc system than we anticipated. We are very pleased by the initial results of the Phase I program as they lead us into a Phase II program to further delineate Silver veins and Manto horizons identified on Humaspunco Mountain."

The Phase II program is expected to commence in early July. A significant objective of the proposed Phase II program is to acquire the necessary results to facilitate preparation of an initial NI 43-101 compliant resource estimate for the property.

The technical information of this press release has been reviewed by Rick Walker, B.Sc., M.Sc., P. Geo and Qualified Person as defined by NI 43-101.

Note that no statement in this release is to be construed as there presently being actual or potential reserves identified on the Property.

About Coastal Pacific
Coastal Pacific activities are to explore, develop and mine gold and silver resources in North and South America. As its primary focus, Coastal Pacific will partner with companies having mineral properties to develop and produce. Currently the Company has option agreements in place for properties in Ontario, Canada and the Province of Huancavelica, Peru.

Our philosophy is to participate with companies who are in the later stage of exploration and are ready for development. Gold and silver have been used as currency for over 3,000 years. History has shown that in periods of market downturns gold and silver have proven to be a dependable hedge for investors against both inflation and any monetary crisis.

CAUTIONARY NOTE: Our mineral properties have reports that may use terms which are recognized and permitted under Canadian regulations. We advise U.S. investors that while such terms are recognized and permitted under Canadian regulations, the U.S. Securities and Exchange Commission does not recognize them. The United States Securities and Exchange Commission requires a final or full Feasibility Study to be completed in order to support either Proven or Probable Reserves and does not recognize other classifications of mineralized deposits.

FORWARD-LOOKING STATEMENTS: "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements relating to the company's business activities and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations about the Company's business. Words such as expects, anticipates, intends, plans, believes, estimates and similar words and expressions are intended to identify such forward-looking statements. These statements involve risks that are difficult to evaluate. Actual results can vary from descriptions herein due to many factors including changes in metal prices and business conditions; changes in laws and regulations; problems encountered in exploration and obtaining permits; changes in the competitive environment; technological advances; shortages of skilled workers, drill rigs and equipment; the need for additional capital and other risks listed in the Company's Securities and Exchange Commission filings under "risk factors" and elsewhere. Forward-looking statements speak only as of the date they were made. The Company does not undertake any obligation to update forward-looking statements.

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