Duncastle Gold Corp.

Duncastle Gold Corp.

February 08, 2010 09:30 ET

Duncastle Announces Private Placements and Amendment to Property Agreement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 8, 2010) - Duncastle Gold Corp. (TSX VENTURE:DUN)(FRANKFURT:5D3) (the "Company") reported today that it plans to issue up to 6.875 million common shares in two non-brokered private placements for total gross proceeds of C$500,000.

The Company plans to issue up to 4.375 million common shares in a non-brokered flow-through private placement at a price of C$0.08 per share to raise C$350,000, and to issue up to 2.5 million common shares in a non-brokered non flow-through unit private placement at a price of C$0.06 per unit to raise C$150,000. Each unit will consist of one common share and one-half share purchase warrant, each one warrant exercisable to purchase one additional common share at an exercise price of C$0.10 per share for a period of one year.

Finder's fees may be payable on both private placements. The private placements and finder's fees are subject to regulatory approval. Proceeds from the private placements will fund an airborne geophysical survey and field work on the Company's exploration projects in British Columbia, and for working capital.

Property Agreement Amendment

The Company has amended the underlying property Agreement on its Porphyry Creek project: extending the date for the next $30,000 payment to June 30, 2010; rescheduling the series of payments for the balance of $240,000 due to the owners under the existing Agreement; and extending the date for the aggregate work commitments of $400,000 to June 30, 2012. An airborne VLF-EM geophysical survey is planned for the Porphyry Creek project starting this quarter.

About Duncastle Gold

Duncastle Gold Corp. is a Vancouver based gold exploration company with mineral claims covering or surrounding past producers in two historic BC districts. In Southeast BC Duncastle is targeting high-grade gold-silver-lead-zinc veins at the former Yankee-Dundee mine, 50km from the smelter at Trail, BC. In Northwest BC the Company's holdings cover a 10 km long magnetic anomaly, previous workings, and high-grade veins at its Porphyry Creek project. Now covering more than 150 sq km, Duncastle has assembled contiguous claim blocks in each of these two productive regions for gold exploration.

As part of the Manex Resource Group, Duncastle benefits from shared expertise in corporate finance, public company administration, investor relations, and technical and geological services provided for six public companies. Since its formation in 1997, the companies within the Manex Group have raised over C$250 million in exploration financing.

On behalf of the Board of Directors,

"Victor J E Jones"

Victor J E Jones, President, Director, Duncastle Gold Corp.

This News Release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Duncastle Gold Corp. relies upon litigation protection for forward-looking statements.

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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