Cornerstone Capital Resources Inc.

Cornerstone Capital Resources Inc.

May 19, 2010 08:00 ET

Cornerstone Options New Brunswick REE Property

MOUNT PEARL, NEWFOUNDLAND--(Marketwire - May 19, 2010) - Cornerstone Capital Resources Inc. (TSX VENTURE:CGP) (FRANKFURT:GWN) (BERLIN:GWN) (PINK SHEETS:CTNXF) announces that it has signed an option agreement with Great Western Minerals Group Ltd. (TSXV-GWG) ("Great Western") for its 200 claim Chaleur East property in northern New Brunswick. Great Western will make an initial payment of 25,000 shares and guarantees minimum 2010 expenditures of $50,000, sufficient to maintain the property in good standing. Thereafter, Great Western may elect to make further payments of cash and shares totaling $100,000 and 200,000 respectively over the next three years and incur additional exploration expenditures totaling $950,000 in order to earn a 51% interest in the claims. The parties will then form a joint venture to further explore and develop mineral resources on the property. Great Western will operate the exploration programs during the option period in conjunction with their on-going Benjamin River REE project adjacent to the Chaleur East property.

"We are very pleased to be working with Great Western in this potential new REE district," said Colin McKenzie, Cornerstone's President & CEO. "This is in keeping with our strategy to develop prospective properties and bring in strategic partners to provide funding through the early exploration stages."

States Jim Engdahl, President of Great Western, "This project is an excellent addition to our current Benjamin River project and could significantly add to the total number of heavy rare earth enriched occurrences in the project area once followup exploration work on the existing anomalies is undertaken."

The Chaleur East claims are underlain by the Siluro-Devonian Chaleurs Group which comprises bimodal felsic and mafic volcanic rocks with minor intercalated sedimentary units. Locally these rocks are intruded by small bodies of Silurian or Devonian granites. In the district, a number of copper-iron skarn prospects are known in the metamorphic aureole of these intrusions. Great Western has been exploring its Benjamin River project immediately to the north of Chaleur East where a number of heavy rare earth element enriched, apatite-diopside-magnetite dykes occur adjacent to one such intrusion. Cornerstone's geochemical surveys on the Chaleur East property identified several strong total rare earth element anomalies indicating this prospective environment may continue to the south.

This press release was prepared by Terry Brace, P.Geo., Cornerstone's VP Exploration and a Qualified Person in accordance with National Instrument 43-101.

About Cornerstone

Cornerstone Capital Resources Inc. is a mineral exploration company based in Mount Pearl, Newfoundland and Labrador, Canada, with a diversified portfolio of projects in Canada and Ecuador and a strong technical team that has proven its ability to identify, acquire and advance properties of merit. The company's business model is based on generating exploration projects whose subsequent development is funded primarily through joint venture partnerships.

Further information is available on Cornerstone's website: or for investor, corporate or media inquiries, please contact information. 

Cautionary Notice:

Certain statements contained in this press release may be considered as forward-looking. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from estimated or implied results. While Cornerstone anticipates that subsequent events may cause its views to change, it expressly disclaims any obligation to update the Forward-Looking Statements contained herein except where outcomes have varied materially from the original statements.

On Behalf of the Board,

Colin B. McKenzie

President & CEO

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.

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