Newcastle Minerals Ltd.

Newcastle Minerals Ltd.

October 14, 2010 10:09 ET

Newcastle Options Crowshore Property Patents Along PC Gold's Core Mine Trend

VICTORIA, BRITISH COLUMBIA--(Marketwire - Oct. 14, 2010) - Newcastle Minerals Ltd. (TSX VENTURE:NCM) is pleased to announce that it has, subject to regulatory acceptance, negotiated an option to purchase a 90% interest in the Crowshore property, comprising eight property patents covering 129 hectares along the northeast extension of PC Gold Inc.'s Core Mine Trend near Pickle Lake, Ontario.

PC Gold's Core Mine Trend is host to the Pickle Crow Gold Mine, which consists of multiple past-producing zones mined via the No. 1, No. 3 and Albany shafts. The Pickle Crow Gold mine operated from 1935 until 1966, when it closed due to low gold prices. The Pickle Crow Gold Mine produced 1.47 million ounces of gold at a grade of 0.47 ounces per ton and 168,757 ounces of silver at a grade of 0.055 ounces per ton. While the PC Gold property does not have National Instrument 43-101-compliant resources reported, historical estimates range from a general resource inventory in place on mine closure (Coates and Anderson, 2008) of 140,000 tonnes averaging 11.31 grams of gold per tonne to a global resource calculation (Noramco, 1988) totaling 5,731,050 tonnes at 7.26 grams of gold per tonne. This is a historical resource not compliant with NI 43-101. The author did not review the methods of calculating this resource.

Historical exploration of the Crowshore patents indicates four gold-bearing zones. Drilling in 1938 traced the A Zone for about 122 metres and yielded gold assays as high as 0.74 ounces per ton. The B Zone was tested over a length of approximately 1,067 metres and returned values as high as 0.32 ounces per ton over 0.65 metres. Channel sampling of the C Zone in 1944 indicated the presence of a possible 46-metre long ore shoot with a mean width of 0.16 metres with an average gold content of 0.3 ounces per ton. Drilling of the D Zone in 1989 between the Albany shaft and the Crowshore shaft identified a series of narrow anastomosing quartz veins yielding up to 5.6 grams of gold per tonne over 1.89 metres, and on the 38-metre level, 58.83 metres of strike length averaging 8.57 grams of gold per tonne across an average width of 0.67 metres. These historical figures are quoted from various government sources, which present the data in this method. The author did not review the methods of calculating these figures.

In October 1945, Crowshore Patricia sunk a three-compartment shaft and had advanced it to a vertical depth of 175 meters by the following year. Crosscuts to the three zones were completed by the spring of 1947 with a total of 521 meters of crosscutting being performed. The Crowshore shaft is located 1,000 metres northeast of PC Gold's Albany shaft along the mine trend. A historical non-NI 43-101-compliant resource estimate of the Albany by Highland Crow Resources in 1985 lists 90,639 tons grading 0.32 ounces of gold per ton. This is a historical resource not compliant to NI 43-101. The author did not review the methods of calculating this resource.

Newcastle's President, Mr. Michael Romanik, said, "These patents are an excellent addition to our existing 11,000 hectare Pickle Lake land package. What makes the Crowshore such an interesting property is that its gold occurrences have not been revisited in any detail since Crowshore Patricia suspended operations back in 1947."

To exercise its option and acquire a 90% interest in the property patents, Newcastle must pay the optionor a total of $115,000 and 900,000 shares of the Company over four years, and grant the optionor a 2% net smelter returns royalty. Newcastle may repurchase one-half of the royalty for $1,000,000.

The technical information herein was prepared under the supervision of Mr. Garry Clark, P. Geo., of Clark Exploration Consulting Inc., who acts as Newcastle's Qualified Person as defined by National Instrument 43-101.

Newcastle Minerals Ltd. is a Canadian gold and base metal exploration company trading on the TSX Venture Exchange (TSX VENTURE:NCM). The company is advancing three key properties, including its 120-hectare Carscallen Property in the West Timmins area of Ontario, its 11,000-hectare Pickle Lake Property in northwestern Ontario, and its 6,600-hectare property located in the Swayze greenstone belt of Ontario near Trelawney Mining and Exploration Inc.'s Chester Project.


Michael Romanik, President

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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