Greystar Resources Ltd.
LSE : GSL

Greystar Resources Ltd.

July 20, 2009 02:00 ET

Greystar Acquires Key Surface Rights at Angostura

FOR:  GREYSTAR RESOURCES LTD.

TSX, AIM SYMBOL:  GSL

July 20, 2009

Greystar Acquires Key Surface Rights at Angostura

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 20, 2009) - Greystar Resources Ltd. ("Greystar" or the
"Company") (TSX:GSL)(AIM:GSL) reports that it has purchased the final surface rights required for the
envisioned mine development of its wholly-owned, multi-million ounce Angostura gold-silver deposit in
northeastern Colombia.

"Greystar has been very aggressively pursuing surface right purchases since 2005," said Greystar's
Executive Vice President, Frederick Felder, P.Geo. "In addition to covering those areas of mine
infrastructure, we have also acquired the surface rights to promising exploration targets in the
Mongora, Animas and Violetal areas of the Angostura project. In total, Greystar now owns 3,538.7
hectares (8,744.3 acres) of surface rights and approximately 30,000 hectares of mineral rights thereby
assuring that the ownership is in place to proceed with project construction, which is anticipated in
the middle of 2010."

The latest and most important surface rights acquisition comprised 1,034 hectares of land that covers
the proposed location of one of the two major heap leach pads and most of the waste rock storage site.
The transaction involved numerous local families.

On the technical front, the Angostura Feasibility Study, which is scheduled for completion by year-
end, is well underway with all technical contracts having been awarded.

The Feasibility Study includes three very well defined stages: Optimization, Design and Financials.
Each of which look to improve the technical and financial parameters defined in the Prefeasibility
study, while reducing the risk on all fronts. The expected level of accuracy is +/- 15%, and the
Feasibility Study will include basic engineering in all disciplines. The final report of the
Feasibility Study will be the basis for project financing.

At the same time, the Environmental and Social Impact Study ("EIS") has been awarded and is underway.
The EIS is also scheduled to be done by year end, in order to file the report in the Colombian
Environmental Ministry.

The following are the companies and functions being developed in the Feasibility Study.

/T/

----------------------------------------------------------------------------
COMPANY                                                                  MAN
CITY, COUNTRY     CONTRACT     SCOPE                                   HOURS
----------------------------------------------------------------------------
GRD Minproc       Principal    Major engineering company that is the  19,970
Ingenieria y      Consultant,  primary consultant for the Feasibility
Construccion      Process &    Study. Primary role is to optimize the
Ltda. Chile       Engineering  process selection, develop the process
("Miniproc")                   design, design the general infrastruc-
Santiago, Chile                ture and compile all others studies
                               carried out in parallel with the
                               Feasibility Study.
----------------------------------------------------------------------------
NCL Ingenieria y  Resources,   NCL is a consulting company             2,090
Construccion      Mine Design  specializing in mining engineering and
Santiago, Chile   & Planning   has worked in more than 18 countries
                               on five continents. NCL will revise
                               and validate the mining resources
                               model, the pit design and the mining
                               plan and the waste dump design all at
                               a Feasibility Study level.
----------------------------------------------------------------------------
Vector            Leach Pad    Vector provides engineering and         7,120
Lima, Peru        Design       environmental support services for
                               projects in South America. Vector will
                               elaborate the heap leach design at a
                               Feasibility Study level.
----------------------------------------------------------------------------
McClelland        Metallur-    McClelland is providing consulting and    N/A
Laboratories,     gical Test   metallurgical testing for the project
Inc.                           including Heap Leach evaluation, pulp
Sparks, Nevada,                agglomeration testing, solid/liquid
USA                            separation testing, comminution indexes
                               determination, environmental
                               characterization, and roasting testing
                               (through Hazen Research / Colorado
                               USA) and ultrafine grinding (through
                               G&T / B.C. Canada).
----------------------------------------------------------------------------
SGS Lakefield     Flotation    SGS Chile is providing mineralogical      N/A
Research Chile    Test         characterization of sulfides and
SA                             flotation optimization testwork.
Santiago, Chile
----------------------------------------------------------------------------
Geoblast          Geotech-     Hydrogeological & geotechnical studies  4,806
Santiago, Chile   nical        of the pit, waste dump, crushing and
                  & Hydro-     milling area, and the industrial area.
                  geological
                  Studies
----------------
iC Consulenten
Salzburg,
Austria
----------------
Schlumberger
Water Services
Santiago, Chile
----------------------------------------------------------------------------
Vector            Run-off      Vector will be in charge of Water       8,094
Lima, Peru        Water        Management, Water Balance and Water
                  Management,  Impoundment Design.
                  Water
                  Balance &
                  Reservoir
                  Design
----------------------------------------------------------------------------
Belzile Solutions Selective    Perform a study on selective mining       160
Val Dor, Quebec,  Mining       and grade control procedures at the
Canada                         Angostura Project.
----------------------------------------------------------------------------
Vector - Lima,    Environ-     Vector and Ingetec will complete the      N/A
Peru & Ingetec    mental       Environmental Impact Study for the
Ingenieria y      Impact       project.
Diseno S.A.       Study
Bogota, Colombia
----------------------------------------------------------------------------
Gradex SA         Contin-      Local Company dedicated to              8,777
Bucaramanga,      uation of    environmental studies and
Colombia          the LBA and  environmental planning. Will be
                  LBA of the   working on the second part of the
                  reservoir    environmental baseline.
                  area
----------------------------------------------------------------------------

/T/

Based on the December 2008, resource update estimation, the Angostura deposit hosts a measured
resource of 148.9 million tonnes grading 0.78 gram gold for 3.736 million contained ounces of gold; an
indicated resource of 182 million tonnes grading 1.34 grams gold for 7.813 million contained ounces of
gold. Combined, the measured and indicated resources host 11.5 million ounces of gold in 330.9 million
tonnes of material grading 1.09 grams gold per tonne, plus an inferred resource of 3.472 million
ounces of gold in 90.8 million tonnes grading 1.11 grams gold per tonne. Resource estimation was
undertaken in compliance with CIM mineral resource and mineral reserve definitions that are referred
to in National Instrument 43-101 - Standards of Disclosure for Mineral Projects. A location map of the
Angostura drilling, along with a map of the underground tunnel work and an updated concession map, can
be accessed from the Company's home page link at Greystar's website (www.greystarresources.com).

REVIEW BY QUALIFIED PERSON, QUALITY CONTROL AND REPORTS

The results of the Company's drilling program have been reviewed, verified (including sampling,
analytical and test data) and compiled by the Company's geological staff (which includes a qualified
person, Frederick Felder, P.Geo., for the purpose of National Instrument 43-101, and Guidance Note for
Mining, Oil and Gas Companies issued by the London Stock Exchange in respect of AIM companies, which
outline standards of disclosure for mineral projects). Frederick Felder, P.Geo., has over 30 years of
mineral exploration experience, is a member in good standing with the Association of Professional
Engineers and Geoscientists of British Columbia and is the qualified person responsible for this
release.

The Company has implemented a quality control program to ensure sampling and analysis of all
exploration work is conducted in accordance with the best possible practices. Under these quality
assurance measures, drill core is sawn into halves with one half of the core prepped on site and
samples shipped to ALS-Chemex Laboratory (ISO 9002 registered) in Vancouver, B.C. for analysis. The
remainder of the core is retained for future assay verification. Gold analysis is conducted by fire
assay (one assay tonne) using an atomic absorption finish. The laboratory re-assays using the ALS-
Chemex protocol, and additional checks may be run on anomalous values. Greystar has independent re-
analysis and sample preparation checks run at other accredited laboratories. The Company also
introduces background blanks prepared from previously analyzed core samples from the Angostura
Project.

Cautionary Note Regarding Forward-Looking Statements

Certain statements included in this release are "forward-looking statements" within the meaning of
Canadian securities legislation. Forward-looking statements include, among other things, statements
regarding targets, estimates and assumptions in respect of gold prices, results, mineral resources and
anticipated grades. Forward-looking statements are necessarily based upon a number of estimates and
assumptions that, while considered reasonable by the Company, are inherently subject to significant
business, economic, competitive, political and social uncertainties and contingencies. Many factors
could cause the Company's actual results to differ materially from those expressed or implied in any
forward-looking statements made by, or on behalf of, the Company. Such factors include, among other
things, risks relating to additional funding requirements, resource estimates, exploration,
development and operating risks, limited experience with development-stage mining operations,
dependence on one principal exploration stage property, political and foreign risk, uninsurable risks,
competition, production risks, environmental regulation and liability, government regulation, currency
fluctuations, potential title disputes and dependence on key employees as set out under the heading
"Risk Factors" in the Annual Information Form of the Company dated March 31, 2009 which is available
in SEDAR. Investors are cautioned that forward-looking statements are not guarantees of future
performance and, accordingly, investors are cautioned not to put undue reliance on forward-looking
statements due to the inherent uncertainty therein. The Company disclaims any intention or obligation
to update or revise any forward-looking statements, whether as a result of new information, future
events or otherwise.



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FOR FURTHER INFORMATION PLEASE CONTACT:

Greystar Resources Ltd. - Contact in Canada
David B. Rovig
President
(406) 245-9520

OR

Greystar Resources Ltd. - Contact in Canada
Mr. Andreas Curkovic
Investor Relations
(416) 577-9927
www.greystarresources.com

OR

NCB Stockbrokers Limited - Contact in London
Christopher Caldwell
+44 (0) 20 7071 5200
Christopher.Caldwell@ncb.ie

Neither the Toronto Stock Exchange nor the AIM Market of the London Stock Exchange has reviewed and
neither accepts responsibility for the adequacy or accuracy of this news release.


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