Canstar Resources Inc. Commences Drilling on the CBS Project, Newfoundland; Mary March Adjudication Hearing Begins
TORONTO, ONTARIO - (Marketwire - Nov. 24, 2008) - The Directors of CANSTAR RESOURCES INC. (TSX VENTURE:ROX) (“Canstar”) are pleased to announce that drilling has commenced on the Company’s CBS base and precious metal project on the Avalon Peninsula, Newfoundland. The program is designed to test a number of airborne conductors identified in the recently completed VTEM survey. Drilling will focus on selected airborne conductors as well as the Pastureland base and precious metal showing located on the property. The project covers a belt of volcanic rocks of Proterozoic age which are known to host Volcanogenic Massive Sulphide (VMS) type mineralization containing economically significant values in copper, zinc, lead, gold and silver. Grab samples from the Pastureland showing assayed 8.9 % zinc, 5.2 % lead, 0.8 % copper, 0.3 g/t gold and 1.4 g/t silver.
The adjudication hearing for the Mary March property dispute begins today in St. John’s, Newfoundland. Harry J. Hodge, Chairman of Canstar, and David Palmer, President, will be in attendance. The adjudication hearing represents what is expected to be the final step in resolving this longstanding dispute, and a decision is expected early in the New Year. The Company is confident of a favourable outcome to the hearing and is looking forward to resuming work on this flagship property. The discovery of the Mary March deposit by Phelps Dodge in 1999 produced some of the highest-grade base and precious metal diamond drill intersections (9.2m @ 10.33% Zn, 1.62% Pb, 0.66% Cu, 118.1g/t Ag and 4.1 g/t Au) ever achieved in the area surrounding the Buchans mine.
Canstar Resources is a junior exploration company focused on base and precious metal exploration in eastern Canada. In addition to the recently acquired CBS Project, the Company owns property in the Buchans area of Newfoundland and the McFauld’s Lake area of the James Bay Lowlands of Ontario, proximal to the high-grade nickel-copper-PGE discovery of Noront Resources. The McFauld’s Lake property comprises 70 claims covering 1,120 hectares of the McFauld’s Lake volcanic belt, and is under an option-joint venture agreement with United Reef Limited. Canstar holds a 100% interest in the Shrimp Lake and Tahoe Lake VMS/gold properties north of Red Lake, Ontario, a 75% interest in the Slate Bay copper-gold project in Red Lake’s “Mine Trend”, and a 100% interest in the Miminiska gold property near Pickle Lake, Ontario. The Company currently has 59.9M shares issued and outstanding, which trade on the TSX Venture Exchange under the symbol ROX.
David Palmer, Ph.D., P.Geo., is the qualified person for all technical information in this release. To find out more about Canstar Resources, visit our website at www.canstarresources.com.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain “forward-looking statements”. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of Canstar, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Canstar’s expectations are exploration risks detailed herein and from time to time in the filings made by Canstar with securities regulators.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
For more information, please contact
Canstar Resources Inc.
(416) 777-6705 (FAX)
Canstar Resources Inc.
Harry J. Hodge, P.Eng.