Greystar Resources Ltd.
TSX : GSL
AIM : GSL

Greystar Resources Ltd.

July 18, 2007 17:30 ET

Greystar Drilling Eyes Waste Rock Reduction

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 18, 2007) - Greystar Resources Ltd. ("Greystar") (TSX:GSL)(AIM:GSL) is pleased to report that delineation drilling is continuing to indicate a reduction of the relative amount of waste rock within the envisioned pit shell on its wholly owned, multi-million ounce Angostura gold-silver resource in northeastern Colombia.

The ongoing drill program is currently focused on testing the gap between La Alta area - Silencio area and the Los Laches areas. This is the portion of the resource that holds the most promise in providing upside to the project from the perspective of reducing stripping, increasing mine life and reducing mining costs.

"Of the results from seventeen new drill holes, nine holes were collared in the Los Laches and the Los Laches-La Alta gap areas," said Greystar's Executive Vice President, Frederick Felder, P.Geo. "And the results confirm our belief that this is a high priority drill area given the high pit wall area to outline mineralization and the subsequent ability to reduce the amount of potential waste rock, thus impacting the project economics."

On the western end of this target area, hole ALE07-11 intersected 11 structures with values of 0.52, 0.51, 0.84 and 1.71 gram gold per tonne over 4.0, 7.7, 8.0 and 8.0 metres, respectively. On the eastern side in the Los Laches area, holes ALE07-13, 15 and 16 tested a 450-by-50 metre area yielding intercepts such as 1.12 gram gold per tonne over 7.8 metres, 1.92 grams gold per tonne over 7.55 metres,1.27 grams gold per tonne over 5.35 metres and 1.17 grams gold per tonne over 13. 8 metres in hole ALE07-13 and 1.37 grams gold per tonne over 18 metres, 1.52 grams gold per tonne over 7 metres, 1.82 grams gold per tonne over 5.9 metres, 12.9 grams gold per tonne over 1.05 metres and 3.99 grams gold per tonne over 6.25 metres in hole ALE07-16. Meanwhile, hole ALE07-15, which was collared 95 metres to the south, intersected two new structures with 0.79 and 1.42 grams gold per tonne over 11.2 and 9.05 metres, respectively. Drilling in Los Laches is also confirming the higher concentrations of silver in this area as is demonstrated by hole ALE07-16, which returned 44.15 grams silver per tonne over 18 metres and 175.3 grams silver per tonne over 6.25 metres.

Staying within the gap area and moving 100 metres west of hole ALE07-16, hole ALE07-19 intersected 0.47 gram gold per tonne over 11.0 metres and a further 250 metres to the west hole ALE07-14 returned 0.87 gram gold per tonne over 10.3 metres and 1.13 grams gold per tonne over 6.0 metres. On the northern limit of this gap area, hole QPO07-06 intersected three structures that returned 1.88, 1.04 and 1.23 grams gold per tonne over 6.15, 8.9 and 9.15 metres, respectively.

Underground drilling in the Silencio area continued to focus on the eastern extension of the structures towards Los Laches with hole USI07-03 intersecting 10.33 grams gold per tonne over 6.0 metres, 0.68 gram gold per tonne over 13.55 metres and 1.11 grams gold per tonne over 14.0 metres. The first intercept also contained 78.8 gram silver per tonne, further indicating a strong silver component. The Silencio tunnel is being lengthened 150 metres towards the east to facilitate drilling of the gap area from underground.

In La Alta area, infill drill hole ALE07-04 returned 5.45 grams gold per tonne over 4.9 metres and 12.66 grams gold per tonne over 4.3 metres, while hole AL07-05 returned 0.56 gram gold per tonne over 11.0 metres and 0.4 gram gold per tonne over 13.65 metres. Underground in fill drilling in La Alta and Diamante areas included hole UAL07-05, which intersected 1.55 grams gold per tonne over 23.2 metres, 1.27 grams gold per tonne over 7.3 metres, 1.31 grams gold per tonne over 10.0 metres, 0.84 gram gold per tonne over 21.75 metres, 1.12 gram gold per tonne over 14.65 metres and 1.4 grams gold per tonne over 7 metres. Moving 250 metres to the west in the El Diamante area, hole UDM07-01 returned 6.32 grams gold per tonne over 4.85 metres, 0.75 gram gold per tonne over 73.45 metres and 7.99 grams gold per tonne over 2.5 metres.

Two holes drilled on the western limit of the Diamante area further confirmed the thinning of the structure towards the Angostura Creek, where two intercepts of 0.89 gram gold per tonne over 9.7 metres and 0.67 gram gold per tonne over 4.55 metres were encountered.

The latest drill results include:



----------------------------------------------------------------
Interval Gold Silver
Hole Intercept From (m) To (m) (m(iii)) (gm/t) (gm/t)
----------------------------------------------------------------
ALE07-11 V902FW 303.5 317.5 14.0 0.73 1.1
-----------------------------------------------------
V902FW 325.0 338.85 13.85 0.54 1.8
-----------------------------------------------------
NEW 376.5 384.5 8.0 1.71 4.2
----------------------------------------------------------------
ALE07-13 V1005 319.2 327.0 7.8 1.12 5.9
-----------------------------------------------------
V1005 358.45 366.0 7.55 1.92 7.6
-----------------------------------------------------
V1004 414.0 419.35 5.35 1.27 7.5
-----------------------------------------------------
V1004 424.2 438.0 13.8 1.17 14.5
----------------------------------------------------------------
ALE07-14 V610 233.7 244.0 10.3 0.87 5.3
-----------------------------------------------------
V708 308.0 314.0 6.0 1.13 12.9
----------------------------------------------------------------
ALE07-15 NEW 276.8 288.0 11.2 0.79 21.0
-----------------------------------------------------
NEW 306.0 315.05 9.05 1.42 21.1
----------------------------------------------------------------
ALE07-16 V1005 237.0 255.0 18.0 1.37 44.2
-----------------------------------------------------
V1005 280.0 287.0 7.0 1.52 28.2
-----------------------------------------------------
V1005 294.6 300.5 5.9 1.82 28.2
-----------------------------------------------------
V1004 314.15 315.2 1.05 12.9 272.0
-----------------------------------------------------
V1004 326.0 332.25 6.25 3.99 175.3
----------------------------------------------------------------
ALE07-17 NEW 177.15 191.25 14.1 1.92 18.4
----------------------------------------------------------------
ALE07-18 V617 395.3 398.95 3.65 0.62 6.3
----------------------------------------------------------------
ALE07-19 NEW 410.55 421.6 11.05 0.47 18.6
----------------------------------------------------------------
AL07-04 V419 315.6 320.5 4.9 5.45 23.3
-----------------------------------------------------
V402 367.0 371.3 4.3 12.66 23.7
----------------------------------------------------------------
AL07-05 V417 230.0 241.0 11.0 0.56 0.6
-----------------------------------------------------
V430 285.0 298.65 13.65 0.4 1.7
----------------------------------------------------------------
DM07-06 V402 210.05 219.75 9.7 0.89 0.1
----------------------------------------------------------------
DM07-07 V610 276.8 281.35 4.55 0.67 2.6
----------------------------------------------------------------
NA07-02 NEW 161.0 167.7 6.7 0.88 1.6
----------------------------------------------------------------
QPO07-06 V437 73.0 79.15 6.15 1.88 7.3
-----------------------------------------------------
V431FW 247.9 256.8 8.9 1.04 1.5
-----------------------------------------------------
V439 431.35 440.5 9.15 1.23 4.4
----------------------------------------------------------------
UAL07-05 V705 3.8 27.0 23.2 1.55 3.7
-----------------------------------------------------
V704FW 50.7 58.0 7.3 1.27 13.7
-----------------------------------------------------
V708 63.0 73.0 10.0 1.31 7.0
-----------------------------------------------------
V407 196.75 218.5 21.75 0.84 4.3
-----------------------------------------------------
V411 218.5 233.15 14.65 1.12 4.7
-----------------------------------------------------
V605FW 250.0 257.0 7.0 1.4 3.7
----------------------------------------------------------------
UDM07-01 V637 36.55 41.4 4.85 6.32 30.2
-----------------------------------------------------
V604-V610 41.4 114.85 73.45 0.75 4.1
-----------------------------------------------------
V605 148.3 150.8 2.5 7.99 52.0
----------------------------------------------------------------
USI07-03 V904FW 9.0 15.0 6.0 10.33 78.8
-----------------------------------------------------
V951 88.0 101.55 13.55 0.68 3.6
-----------------------------------------------------
V902 135.0 149.0 14.0 1.11 1.7
----------------------------------------------------------------
Note: m (iii) - Down-hole width, not corrected but based on drill holes and
structural dip of the mineralization, the interval is considered to be
close to true width.


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 in 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.

Forward-Looking Statement

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 30, 2006 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.

All dollar amounts are in Canadian dollars, unless otherwise stated.

No Stock Exchange has reviewed or accepts responsibility for the adequacy or accuracy of this news release.

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