Greystar Resources Ltd.
TSX : GSL
AIM : GSL

Greystar Resources Ltd.

January 30, 2008 02:00 ET

Greystar Initiating Drilling at Las Animas

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 30, 2008) - Greystar Resources Ltd. ("Greystar") (TSX:GSL)(AIM:GSL) is pleased to report that it is mobilizing a diamond drill to the most northern of the Las Animas gold-silver targets, which is located less than one kilometre south of its wholly owned, multi-million ounce Angostura gold-silver resource in northeastern Colombia within one of the Company's existing mineral concessions.

The first Las Animas target is marked by a 200-by-300 metre gold-in-soil geochemical anomaly where mapping and trenching revealed similar types of mineralization as that seen in the Angostura area.

"In unison with moving the Angostura deposit through the feasibility stage, we will be advancing several exploration targets that have the potential to further enhance a long life, mining operation," said Greystar's Executive Vice President, Frederick Felder, P.Geo. "At Las Animas we will be testing the oxide gold potential of the target, which is one of three anomalies to be drilled in the Las Animas-Mongora area."

On the Angostura deposit, the 12.5 metre spaced detailed drill program in the Perezosa workings has been completed and the Veta de Barro adit has advanced to 34 metres following a pilot hole currently being drilled in advance of the drive. The results of this program will provide valuable information required for defining some of the criteria for the infill drilling. There are currently nine drills working on advancing the Angostura deposit in addition to one drill being set up at Las Animas.

Sampling for the phase two metallurgical program continues to progress with two samples weighing 2.1 tonnes and 0.7 tonnes having been assembled for shipment to McClelland Laboratories in Reno, Nevada.

Surveying of the proposed new access road into Angostura has been completed and the road design work is in progress. The higher elevation road connects the upper reaches of the property near the proposed plant site. The new road will facilitate the transport of labour, materials and machinery. Part of the overall road plan includes an upgrade of the existing lower road and a by-pass around the village of California. Meetings with the municipal authorities of Vetas and California were held to socialize the proposed road projects in those communities. The detailed project design for the upper road should be ready by the middle of March.

All project development activities remain generally on schedule and field results continue to be positive.

Based on the December 2007 resource update estimation, the Angostura deposit hosts a measured resource of 88.49 million tonnes grading 0.79 gram gold and 4.0 grams silver per tonne for 2.247 million contained ounces of gold and 12.08 million contained ounces of silver; an indicated resource of 145.826 million tonnes grading 1.69 grams gold and 8.0 grams silver per tonne for 7.905 million contained ounces of gold and 37.76 contained ounces of silver. Combined the measured and indicated resources host 10.15 million ounces of gold and 49.8 million ounces of silver in 234.32 million tonnes of material grading 1.35 grams gold per tonne and 7.3 grams silver per tonne, plus an inferred resource of 3.43 million ounces of gold in 77.7 million tonnes grading 1.37 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 (NI) 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 our 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 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, 2007 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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