Newstrike Capital Inc.
TSX VENTURE : NES

Newstrike Capital Inc.

November 23, 2011 12:07 ET

Newstrike Capital Intersects 135.40 Meters of 5.57 g/t Au and 75.30 Meters of 4.42 g/t Au at the Ana Paula Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 23, 2011) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

Newstrike Capital Inc. (TSX VENTURE:NES) ("Newstrike" or the "Company") is pleased to announce the latest drill results received from the ongoing 2011 drill program at the Company's 100%-owned Ana Paula Project, Guerrero Gold Belt (GGB). This series of drill holes all intersected multiple closely spaced intervals of gold mineralization over extended mineralized intersections and are from a program focused on delineating the boundaries of the high grade Breccia Zone.

Highlights from this series include:

Drill hole AP-11-69 intersected multiple intervals including 11.47 meters of 1.48 g/t Au, 48.00 meters of 0.52 g/t Au, 18.00 meters of 0.91 g/t Au, 34.36 meters of 0.57 g/t Au and 28.47 meters of 1.12 g/t Au.

Drill hole AP-11-70 intersected strong mineralization over multiple intervals. Some of the better intervals include 47.20 meters of 1.78 g/t Au, including 10.2 meters of 6.52 g/t, Au, 132.85 meters of 1.50 g/t Au, 122.00 meters of 0.67 g/t Au and a high grade interval of 33.00 meters of 12.39 g /t Au.

Drill hole AP-11-71 intersected high grade mineralization including 75.30 meters of 4.42 g/t Au and 135.40 meters of 5.57 g/t Au that includes 1.15 meters of 305.15 g/t Au.

Drill hole AP-11-72 also intersected multiple intervals including 40.54 meters of 3.86 g/t Au that also includes 20.87 meters of 7.79 g/t Au. Other intervals include 34.16 meters of 1.82 g/t Au including 1.50 meters of 17.20 g/t Au.

Selected highlights from this series of drill results are presented in the following table. A complete table of mineralized intersections, drill hole location maps and drill sections are available on the company website at www.newstrikecapital.com.

This series of drill holes are all from the ongoing delineation program of the high grade Breccia Zone, located in the southeast quadrant of a large exploration target area defined by a one by two kilometer surface gold geochemical anomaly with co-incident geophysical anomalies. The company has completed and reported a total of 17 drill holes or just over 9,775 meters into the Breccia Zone and another 61 drill holes or just over 20,620 meters into the step out and infill drill program since drilling began in October 2010 with two drill rigs. To continue the drill program of Breccia Zone delineation and the infill and step out drilling that will include step outs to the southwest and northwest quadrants of the Ana Paula Project area, the company recently increased its drill production capacity to three drill rigs and will shortly add a fourth.

Preliminary modelling of the Breccia Zone shows that it is an irregularly shaped body plunging steeply to the southwest with approximate true dimensions of 250 meters by 150 meters and a 250 meter vertical depth as drilled to date (September 19, 2011 press release), and that mineralization remains open along trend and at depth. The true thickness of high grade intercepts has not been determined. Drilling will continue to delineate and extend the Breccia Zone to its full dimensions as the company works towards a NI43-101 resource estimate, expected in 2012.

The Ana Paula Project is central to Newstrike's 88,000 hectares in the GGB and forms part of a district scale mining camp that is host to Torex Gold's advanced Morelos Project and to Goldcorp's producing Los Filos project. Ken Thorsen, a director of the company and a qualified person under NI43-101 has reviewed the contents of this press release. The drill program and all project operations are conducted under the direction and supervision of Dr. Craig Gibson, PhD, CPG and a qualified person under NI43-101.

A table of selected drill assay intervals greater than 0.5 g/t Au
and/or greater than 5.0 meters.

Drill hole No. From To Interval (m) Au (g/t) Ag ( g/t)
AP-11-69 * 98.61 192.00 93.39 0.51 4.6
or 98.61 110.08 11.47 1.48 19.39
includes 98.61 99.16 0.55 17.32 228.00
137.00 185.00 48.00 0.52 3.63
includes 160.00 183.80 23.80 0.70 5.48
261.50 279.50 18.00 0.91 1.22
includes 273.60 274.50 0.90 9.33 8.00
290.00 324.36 34.36 0.57 4.42
328.03 356.50 28.47 1.12 7.83
includes 338.65 352.00 13.35 1.89 5.15
AP-11-70 * 83.50 295.35 211.85 1.41 4.9
83.50 98.50 15.00 0.62 4.6
104.80 152.00 47.20 1.78 11.3
includes 104.80 115.00 10.20 6.52 38.6
and 104.80 110.40 5.60 10.83 68.0
162.50 295.35 132.85 1.50 3.1
includes 180.50 189.00 8.50 2.65 10.6
includes 204.25 213.50 9.25 2.99 6.1
includes 216.50 238.32 21.82 1.76 3.7
includes 241.00 267.00 26.00 2.82 3.0
and 245.10 245.95 0.85 12.99 6.6
327.60 351.72 24.12 0.49 2.9
355.41 386.46 31.05 0.94 2.1
includes 366.28 386.46 20.18 1.21 2.5
406.71 426.60 19.89 0.73 1.0
431.00 553.00 122.00 0.67 0.8
includes 433.24 485.00 51.76 1.01 1.1
577.00 587.50 10.50 0.67 1.2
607.00 614.60 7.60 0.86 1.5
AP-11-70 includes 607.00 608.50 1.50 3.00 3.2
654.50 670.00 15.50 0.64 1.6
677.50 710.50 33.00 12.39 10.7
Includes 677.50 692.50 15.00 26.09 21.1
and 683.23 689.50 6.27 60.61 45.7
and 683.23 684.10 0.87 112.71 42.4
and 684.10 685.00 0.90 32.62 137.0
and 686.61 688.00 1.39 158.05 60.0
AP-11-71 * 0.00 247.00 247.00 4.44 6.0
0.00 75.30 75.30 4.42 6.7
and 67.00 75.30 8.30 16.70 11.4
and 67.00 70.00 3.00 38.97 9.3
84.50 99.50 15.00 0.51 1.8
104.00 239.40 135.40 5.57 6.9
includes 135.20 239.40 104.20 7.13 8.3
and 147.40 181.35 33.95 3.44 20.59
and 232.30 239.40 7.10 72.03 11.8
and 235.45 236.60 1.15 305.15 43.2
and 236.60 237.78 1.18 57.95 23.0
304.00 310.00 6.00 0.85 4.1
AP-11-72 * 209.80 311.28 101.48 2.43 4.5
131.10 136.16 5.06 0.73 6.64
209.80 254.72 44.92 3.96 8.22
includes 219.00 239.87 20.87 7.79 14.70
277.12 311.28 34.16 1.82 1.90
includes 292.40 293.90 1.50 17.20 3.10
372.35 381.35 9.00 0.78 7.78
451.50 457.88 6.38 0.92 1.54
461.70 466.42 4.72 0.65 1.24
502.70 510.84 8.14 0.60 0.70
includes 502.70 503.95 1.25 2.53 2.40

The table also provides intervals marked in bold with an asterisk, that describe within each drill hole the aggregate grade of multiple closely spaced mineralized horizons that do not meet the usual 0.2 g/t Au cutoff protocol for bounding assays. All other reported intervals meet with the protocol.

QA-QC:

The mineralized intervals in core tend to be separated by "barren" intervals that may or may not contain narrow anomalous sections and local high-grade spikes that are not included in the calculations of mineralized intervals. Unless specified otherwise, reported intersections are calculated according to a protocol that uses a 0.2 g/t Au cutoff for bounding assays. Reported grade intervals are based on the original uncut assay certificates as received from the assay labs. They do not include check assays pending at the time of reporting.

Newstrike maintains strict QA-QC protocols for all aspects of their exploration programs that include the systematic insertion of blanks and standards into each sample batch. Analyses in this release were performed by ALS Chemex or SGS laboratories. All samples are assayed using the respective laboratories certified and industry standard assay techniques for gold and multi-element packages and for over limits; Au was analyzed by 50 gram fire assay with an atomic absorption finish, and other elements were analyzed by multi-element ICP packages.

About Newstrike (TSX VENTURE:NES)

Newstrike Capital Inc. is a gold-silver focused explorer, targeting known and historic mining districts in Mexico. Current management and directors co-discovered Goldcorp's and Teck's significant discoveries in Guerrero Gold Belt in Guerrero State, currently in advanced stages of exploration and production.

Newstrike holds a 100% interest in certain exploration properties in Mexico located within two established mining districts; the Au (Ag-Cu) skarn-porphyry camp of the Guerrero Gold Belt, and the polymetallic Pb-Zn-Ag (Au-Cu) rich epithermal camp of the mining districts of Oaxaca State.

website: www.newstrikecapital.com

blogsite: http://newstrikecapital.com/blog

Neither the TSX Venture Exchange (the "TSXV") nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) has reviewed, nor do they accept responsibility for the adequacy or accuracy of, this release.

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