Greystar Resources Ltd.

Greystar Resources Ltd.

August 30, 2005 17:14 ET

Greystar Reports $13.98 Million in Warrants Exercised

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 30, 2005) - Greystar Resources Ltd. (the "Company") (TSX:GSL)(AIM:GSL) is pleased to report that warrants for the purchase of 3,494,996 common shares at a price of $4.00 per share have been exercised pursuant to the Acceleration Notice dated July 21, 2005. The Company received total proceeds of $13,979,984 from the exercise of the warrants bringing its current cash position to $39,400,000 with 36,767,956 shares outstanding (41,855,118 fully diluted).

Greystar is a mineral exploration company focused on advancing its wholly-owned Angostura gold-silver deposit in Colombia, which based on the August 2005 resource calculation contains 5.83 million ounces of gold and 24.6 million ounces of silver within an indicated resource of 148.14 million tonnes grading 1.22 grams gold per tonne and 5.17 grams silver per tonne, plus another 4.47 million ounces of gold and 21.5 million ounces of silver within an inferred resource of 123.3 million tonnes grading 1.13 grams gold per tonne and 5.42 grams silver per tonne using a cut off of 0.4 gram gold for oxide and 0.55 gram gold for sulfide (Press Release August 16, 2005).

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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