Globestar Mining Corporation
TSX : GMI

Globestar Mining Corporation

November 29, 2007 13:29 ET

GlobeStar Mining Corporation Cumpie Sector-Cumpie Hill Nickel Laterite Project in the Dominican Republic

New Mineral Resource Estimate and Metallurgical Testwork Reporting Nearly 90% Nickel Recovery

TORONTO, ONTARIO--(Marketwire - Nov. 29, 2007) - GlobeStar Mining Corp. (TSX:GMI) ("GlobeStar" or the "Company") is pleased to announce the completion of a National Instrument ("NI 43-101") compliant Technical Report that discloses a Mineral Resource estimate and the result of preliminary metallurgical test work for the Cumpie Sector of its Cumpie Hill nickel laterite project in the Dominican Republic. An Indicated Resource of 3.0 million tonnes grading 1.5 % nickel ("Ni") and an Inferred Resource of 2.5 million tonnes grading 1.5 % Ni were estimated at a cut-off grade of 1 % Ni by Snowden Mining Industry Consultants Inc. ("Snowden"), as summarized in Tables 1 and 2. Results of preliminary metallurgical leach test work by SGS Mineral Services in Lakefield, Ontario ("SGS Lakefield") on material from this deposit show Ni extraction nearly 90% in the transition and saprolite samples. This work is summarized in Tables 3 and 4 below in this release.

"This Mineral Resource estimate announced today represents an excellent initial result for building a strong nickel Resource on our properties in the Dominican Republic", stated Bill Fisher, CEO of GlobeStar. Fisher added "the Loma Mala Sector Resource estimate is expected to yield an increase in resources of the complex".

JP Chauvin, President of GlobeStar commented: "The metallurgical results are very encouraging for us and allow us to start looking to alternative ways of processing the nickel mining project; the proximity of the Cumpie Hill to the Cerro de Maimon project and Falcondo smelter controlled by Xstrata Nickel is definitely an asset. These existing infrastructure will allow GlobeStar to optimize the economics of the project will provide us with technical and operational synergies as we move forward".

GlobeStar discovered Ni at Cumpie Hill early in 2006 and finished a regular spaced drilling program in July 2007. Since the discovery of Ni at Cumpie Hill, GlobeStar has focused its Ni exploration program in the northern part of the 43 km long (198 sq km) segment of the Dominican Republic ultramafic laterite belt that it controls, as shown in Figure 1. The rest of this belt is controlled by Falcondo (Xstrata Nickel). Cumpie Hill is immediately adjacent to the Falcondo Ni laterite mine, 8 km from the Falcondo smelter and 5 km from the Cerro de Maimon Project.

The Mineral Resource estimates, completed by Snowden are based on the results of 75 NTW and HQ3 core drillholes (2015 m), nominally spaced on 71 m centres, completed between May 2006 and July 2007 on the Cumpie Sector of the Cumpie Hill Project, as shown in Figure 2.

The results of the leach test work completed by SGS Lakefield are based on bottle roll testing of ten composite samples prepared from crushed core analytical reject materials from selected holes in the Cumpie Sector. Two limonite zone, four transition zone (soft serpentine) and four saprolite zone (hard serpentine and serpentinized peridotite) samples were prepared and the composites subject to simple bottle roll type leach tests in which the bottles were rolled for 1 minute of every hour for a total of 28 days. The leach tests were carried out at 30% solids by weight. Solution samples were periodically withdrawn to complete free acid titrations and re-adjust to the target acid level of 75 g/L H2SO4. The transition and saprolite zone composites leached well with nearly 90% Ni extractions. Cobalt extractions are estimates due to the low level of cobalt within the samples. The limonite sample did not leach effectively under bottle roll conditions. Based on these results, further test work is warranted aimed at improving the ability to leach limonite; maximizing the nickel and cobalt selectivity versus iron and aluminium; and reducing the overall acid consumption.

Additional scheduled work on GlobeStar's Ni properties in the Dominican Republic currently includes undertaking a Mineral Resource estimate for the Loma Mala Sector using the completed 71 m x 71 m core drilling; reconnaissance drilling in the Corozal area (about 3 km East of Cumpie Hill); and completion of the reconnaissance for additional target areas of laterite development within Mining Block C1 and the other GlobeStar mineral concessions in the Dominican laterite belt as shown in Figure 1.

The Company will file the NI 43-101 compliant Technical Report detailing the Mineral Resource estimates in the Cumpie Sector co-authored by F.R. Billington, P. Geo., Consulting Geologist, and A.M. Trueman, P.Geo. (CP), Divisional Manager of Snowden, shortly.



Summary of the Mineral Resource Estimates:

Table 1
Cumpie Sector November 2007 Mineral Resource Estimate for a range of
cut-offs

----------------------------------------------------------------------------
Category Cut-off Tonnage %Ni %Co %Fe2O3 %SiO2 %Al2O3 %MgO
(%Ni) (Mt)
----------------------------------------------------------------------------
Indicated 0.8 3.7 1.38 0.048 22.7 33.9 3.4 25.8
0.9 3.4 1.43 0.048 22.2 34.3 3.2 26.1
1.0 3.0 1.49 0.047 21.3 34.9 3.0 26.6
1.1 2.6 1.55 0.041 19.8 35.9 2.7 27.4
1.2 2.3 1.61 0.035 18.2 36.9 2.5 28.2
1.3 2.0 1.67 0.033 17.9 37.1 2.4 28.3
1.4 1.7 1.72 0.034 18.7 36.6 2.5 27.8
----------------------------------------------------------------------------
Inferred 0.8 3.1 1.33 0.037 21.7 35.4 3.7 25.3
0.9 2.8 1.39 0.035 20.8 36.0 3.5 25.7
1.0 2.5 1.45 0.033 20.1 36.5 3.3 26.1
1.1 2.1 1.51 0.031 19.5 36.9 3.2 26.4
1.2 1.8 1.57 0.030 19.1 37.2 3.1 26.6
1.3 1.6 1.62 0.030 19.4 36.9 3.1 26.3
1.4 1.3 1.68 0.029 18.7 37.4 3.0 26.7
----------------------------------------------------------------------------


Table 2
Cumpie Sector Mineral Resources at a 1% Nickel Cut-off by Mineral

----------------------------------------------------------------------------
Category Unit Tonnage Grade Contained
(Mt) (% Ni) Ni (kt)
----------------------------------------------------------------------------
Indicated Limonite 0.3 1.1 3.4
Soft serpentine 1.3 1.7 22.6
Hard serpentine 1.0 1.4 14.7
Serpentinized peridotite 0.3 1.3 4.0

Sub-total saprolite 2.7 1.5 40.7
Total Indicated 3.0 1.5 44.8
----------------------------------------------------------------------------

Inferred Limonite 0.2 1.2 2.7
Soft serpentine 0.9 1.7 15.3
Hard serpentine 0.9 1.4 13.1
Serpentinized peridotite 0.4 1.3 4.7

Sub-total saprolite 2.1 1.5 31.0
Total Inferred 2.5 1.5 35.7
----------------------------------------------------------------------------


These estimates must be read in conjunction with the details of the Mineral Resource estimate methods and the other parameters and assumptions used as described in the NI 43-101 Technical Report for the Cumpie Sector when released and summarized below:

- Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability.

- The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.

- It is uncertain if further exploration will result in upgrading the Inferred Mineral Resource to an Indicated or Measured Mineral Resource or the Indicated Mineral Resource to a Measured Mineral Resource category.

- Figures have been rounded and this may have resulted in minor discrepancies.

- The most likely cut-off grade for this deposit is not known and will need to be confirmed by the appropriate economic studies.

- The Mineral Resources were estimated by ordinary kriging into three-dimensional (3D) block models that identify the limonite, soft serpentine, hard serpentine and serpentinized peridotite horizons within the laterite profile.

- Sample preparation was undertaken at the Falcondo Mine laboratory, Dominican Republic and at SGS Lakefield, Canada.

- The majority of the samples (1604) were analysed by SGS Lakefield, Canada. A minority (63) were analysed by the Falcondo Mine laboratory, Dominican Republic.

- Full Quality Assurance/Quality Control procedures were implemented for the samples analysed by SGS Lakefield, including the insertion of standards, duplicates and blanks.

- Bulk density factors from measurements by GlobeStar on core samples from individual horizons from the Cumpie Sector were applied to all the estimates.

- A Mineral Resource classification scheme has been applied for reporting the estimates that reflects the requirements of NI 43-101, and the CIM Standard Definitions.

The data were validated by F.R. Billington, P.Geo., Consulting Geologist and A.M. Trueman, P.Geo. of Snowden , both Qualified Persons as defined in N 43-101. The Mineral Resource estimates were prepared by A.M. Trueman P.Geo. of Snowden, an independent Qualified Person as defined in NI 43-101.



Summary of the leach test work:

Table 3
Composite Head Analysis (1)

----------------------------------------------------------------------------
----------------------------------------------------------------------------
Sample ID Ni% Cu% Fe% Co% Zn% Ca%
----------------------------------------------------------------------------
Tran 1 2.11 0.005 9.93 0.019 0.014 0.08
Tran 2 1.69 0.002 9.18 0.017 0.01 less than 0.01
Tran 3 2.65 0.003 9.59 0.019 0.006 0.03
Tran 4 1.45 0.004 9.47 0.02 0.013 0.44
Sap 1 1.61 0.003 7.18 0.014 0.011 0.45
Sap 2 1.53 0.002 6.66 0.015 0.005 0.32
Sap 3 1.56 less than 0.002 6.40 0.016 0.015 0.18
Sap 4 1.34 0.004 7.15 0.015 0.010 0.56
Lim 1 1.08 0.021 45.8 0.25 0.036 less than 0.01
Lim 2 1.00 0.01 42.1 0.16 0.025 0.01
----------------------------------------------------------------------------
----------------------------------------------------------------------------

----------------------------------------------------------------------------
----------------------------------------------------------------------------
Sample ID Cr% Mn% Mg% Al% Si% S%
----------------------------------------------------------------------------
Tran 1 0.49 0.16 17.3 1.03 15.4 0.07
Tran 2 0.42 0.15 17.2 0.68 16.8 0.04
Tran 3 0.4 0.15 17.7 0.91 16.3 0.06
Tran 4 0.53 0.16 16.8 1.07 17.4 less than 0.01
Sap 1 0.34 0.12 19.3 0.8 17.7 0.29
Sap 2 0.33 0.11 19.6 0.75 16.9 0.03
Sap 3 0.32 0.12 19.5 0.64 17.6 less than 0.01
Sap 4 0.32 0.12 19.3 1.12 17.1 0.04
Lim 1 1.15 1.60 0.44 5.91 0.96 0.18
Lim 2 1.90 0.61 0.66 3.88 4.84 0.18
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(1) Tran equals Transition; Sap equals Saprolite; Lim equals Limonite


Table 4
Leach Extractions and Acid Addition

----------------------------------------------------------------------------
----------------------------------------------------------------------------
28 day Metal Extractions, % H2SO4
Addition
Sample ID Ni Co Fe Al Mg kg/t
----------------------------------------------------------------------------
Tran 1 88.8 approximately 95 3.1 87.6 24.4 984
Tran 2 91.9 approximately 63 30.6 94.2 58.7 983
Tran 3 91.9 approximately 68 46.3 91.5 54.6 1011
Tran 4 86.4 approximately 66 52.6 77.2 25.0 932
Sap 1 88.9 approximately 47 40.1 79.6 41.2 978
Sap 2 87.5 approximately 51 43.3 84.0 56.0 1051
Sap 3 87.0 approximately 53 41.5 82.1 40.1 997
Sap 4 87.4 approximately 51 42.1 85.4 41.7 1036
Lim 2 23.5 45 22.0 27.5 28.2 335
----------------------------------------------------------------------------
----------------------------------------------------------------------------


Geology and mineralization of Cumpie Hill

Two main areas of laterite development have been identified in the Cumpie Hill Project area to date (See Figure 2). These are designated the Cumpie Sector and the Loma Mala Sector. The evaluation of the Cumpie Sector is the most advanced and is the subject of this press release. The description and the results of the Mineral Resource estimate of the Loma Mala Sector will be the focus of a future report.

The Cumpie Sector consists of three dismembered areas of laterite. Together, they cover an area of 331900 m2 with a combined strike length of about 1250 m in a north-south direction and an average width of 300 m in west-east direction. The thickness of the laterite profile ranges from 2 m to 40 m with an average thickness of 20 m.

Limonite, transition, and saprolite horizons are developed in the Cumpie Sector; however the limonite is generally less well developed/preserved than the transitional and saprolite zones. The laterite/ultramafic bedrock contact is generally transitional and barren rock remnants/boulders are common in the laterite profile. The geology is similar to the adjacent Falcondo mine.

Figure 1. GlobeStar mineral concessions in the Dominican laterite belt

To see Figure 1, click here: http://www.ccnmatthews.com/docs/1129gmifigure1.pdf

Figure 2: Location of Cumpie Hill Project in Mining Block C1

To see Figure 2, click here: http://www.ccnmatthews.com/docs/1129gmifigure2.pdf

This news release was prepared by GlobeStar and reviewed by F. Roger Billington, P. Geo., Consulting Geologist, who is the designated independent Qualified Person as defined in NI 43-101 for GlobeStar's nickel laterite exploration program.

About GlobeStar

GlobeStar is a well-funded minerals exploration company, developing the permitted Cerro de Maimon copper/gold project in the Dominican Republic. Production from the 6 million tonne, high-grade open pit mine is currently expected in the summer of 2008. GlobeStar is exploring an extensive base and precious metals exploration portfolio in the Dominican Republic with over C$4.0 million committed to exploration during 2007 and early 2008.

Reader Advisory

The information in this news release may include certain information and statements about management's view of future events, expectations, plans and prospects that constitute forward-looking statements. Assumptions that are subject to significant risks and uncertainties are the basis for these statements. Because of these risks and uncertainties and, as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Although GlobeStar believes that the expectations reflected in forward looking statements are reasonable, we can give no assurances that the expectations of any forward-looking statements will prove to be correct. GlobeStar disclaims any intention, and assumes no obligation, to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise, except as required pursuant to applicable securities laws.

Contact Information