Castle Resources Provides Granduc Copper Project Update
Castle Resources Provides Granduc Copper Project Update
Castle Resources Provides Granduc Copper Project Update
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October 31, 2011 Symbol: CRI (TSX.V)<br />
<strong>Castle</strong> <strong>Resources</strong> <strong>Provides</strong> <strong>Granduc</strong> <strong>Copper</strong><br />
<strong>Project</strong> <strong>Update</strong><br />
• 30,000 metres surface drilling program completed at the <strong>Granduc</strong><br />
<strong>Copper</strong> <strong>Project</strong>; additional assay results pending<br />
• Procon Tide Tunnel rehabilitation nearing completion; miners are at km<br />
15 of 17 km long haulage tunnel which connects the <strong>Granduc</strong> Mine to an<br />
all season access road<br />
• <strong>Update</strong>d NI 43-101 resource estimate to be published by year end<br />
TORONTO, ONTARIO – <strong>Castle</strong> <strong>Resources</strong> Inc. (TSX.V: CRI) ("<strong>Castle</strong>" or the "Company") is pleased to<br />
provide investors an update on ongoing operations at the <strong>Granduc</strong> <strong>Copper</strong> <strong>Project</strong> near Stewart, British<br />
Columbia.<br />
“Tremendous progress has been made this field season in the exploration and development of the <strong>Granduc</strong><br />
<strong>Copper</strong> <strong>Project</strong>,” stated Mr. Mike Sylvestre, President & CEO of <strong>Castle</strong> <strong>Resources</strong> Inc. “We have<br />
completed our 30,000 meter surface exploration program and publically released assays that clearly<br />
confirm that copper mineralization extends over 600 meters to the south of the historic <strong>Granduc</strong> orebody<br />
and downdip 900 meters. The results of this year’s drilling are being compiled by SRK Consulting and we<br />
anticipate an updated NI 43-101 resource estimate by the end of the year.”<br />
30,000 Meter Drilling Program Completed:<br />
<strong>Castle</strong>’s surface program was focused on significantly expanding the inferred resource initially published<br />
by SRK Consulting by drilling downdip on the main <strong>Granduc</strong> zone and stepping out towards the South<br />
Zone. Drilling on the Main Zone was targeted below the 1600 foot (487 m) horizon, which was previously<br />
identified as an historical non NI 43-101 compliant resource estimate of 24 million tons grading 1.82% Cu<br />
(see <strong>Granduc</strong> Technical Report dated July 5, 2010). <strong>Castle</strong> also targeted the South Zone that Bell <strong>Copper</strong><br />
successfully drilled in 2005/06 to delineate additional copper mineralization (see Bell <strong>Copper</strong> release dated<br />
Dec 14, 2005) and confirmed continuity along strike with the Main Zone. Highlights of drill assays<br />
released to date include GD2011-25: 18 meters of 1.90% Cu (see press release dated Sept 20, 2011) and<br />
GD2011-16: 8 meters of 3.15% Cu (see press release dated Sept 8, 2011).<br />
Tide Tunnel Rehabilitation:<br />
<strong>Castle</strong> engaged Procon Mining & Tunneling to rehabilitate the 17 km long haulage tunnel in late spring and<br />
is pleased to report that Procon is nearing completion. The scope of Procon’s contract was to recondition<br />
the tunnel and entrance, remove sections of old rail, establish drainage, install ventilation and power and<br />
build a repair shop. With the near completion of the tunnel rehabilitation, <strong>Castle</strong> will now have unlimited<br />
access to the <strong>Granduc</strong> mine workings as it prepares and develops its comprehensive 2012 underground<br />
infill drilling program.
Stewart Port Negotiations<br />
<strong>Castle</strong> is close to completing negotiations with Stewart Bulk Terminals to secure a concentrate storage<br />
facility and a preferred concentrate handling rate for the <strong>Granduc</strong> <strong>Copper</strong> <strong>Project</strong>. It is anticipated that a<br />
signed agreement will be concluded this year.<br />
Environmental Data Collection:<br />
<strong>Castle</strong>’s Phase I environmental data collection programs are progressing very well and on schedule. These<br />
baseline studies are focused on geochemistry, water quality, hydrology, hydrogeology, fisheries and aquatic<br />
biota, vegetation, wildlife, social, economic, and heritage topics, to name a few. <strong>Castle</strong> <strong>Resources</strong> has<br />
assembled a team of highly respected technical specialists with proven track records for all necessary<br />
environmental disciplines. Given the scope of resource development work at the <strong>Granduc</strong>, it is anticipated<br />
that <strong>Castle</strong>’s <strong>Granduc</strong> <strong>Copper</strong> <strong>Project</strong> will likely enter the B.C. Environmental Assessment process in Q2 of<br />
2012.<br />
About <strong>Castle</strong> <strong>Resources</strong><br />
<strong>Castle</strong> is a Toronto-based junior mineral development company focusing on high-quality, advanced<br />
projects. Management’s goal is to continue the redevelopment of the 100% owned past producing <strong>Granduc</strong><br />
<strong>Copper</strong> Mine and begin new exploration activities; as well, management is quickly advancing the Elmtree<br />
Gold <strong>Project</strong> in New Brunswick toward feasibility in 2011. <strong>Castle</strong> currently has issued and outstanding<br />
shares of 115 million.<br />
For more information please visit the <strong>Castle</strong> <strong>Resources</strong>’ website at www.castleresources.com<br />
Disclaimer<br />
Certain statements contained in this news release may contain forward-looking information within the<br />
meaning of Canadian securities laws. Such forward-looking information is identified by words such as<br />
"estimates", "intends", "expects", "believes","may", "will" and include, without limitation, statements<br />
regarding the company’s plan of business operations (including plans for progressing assets), estimates<br />
regarding mineral resources, projections regarding mineralization and projected expenditures. There can<br />
be no assurance that such statements will prove to be accurate; actual results and future events could<br />
differ materially from such statements. Factors that could cause actual results to differ materially include,<br />
among others, metal prices, risks inherent in the mining industry, financing risks, labour risks, uncertainty<br />
of mineral resource estimates, equipment and supply risks, title disputes, regulatory risks and<br />
environmental concerns. Most of these factors are outside the control of the company. Investors are<br />
cautioned not to put undue reliance on forward-looking information. Except as otherwise required by<br />
applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to<br />
update publicly forward-looking information, whether as a result of new information, future events or<br />
otherwise.<br />
This news release does not constitute an offer to sell or solicitation of an offer to sell any of the securities<br />
in the United States. The securities have not been and will not be registered under the United States<br />
Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be<br />
offered or sold within the United States or to a U.S. Person unless registered under the U.S. Securities Act<br />
and applicable state securities laws or an exemption from such registration is available.
For further information please contact:<br />
Mike Sylvestre<br />
President & CEO<br />
Tel: 416-366-4100<br />
mike@castleresources.com<br />
or<br />
Lenny Foreht<br />
VP Corporate Development<br />
Tel: 416-644--9003<br />
lforeht@castleresources.com<br />
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX<br />
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.