51% Interest Earned in Homase

RNS Number : 2893M

Goldstone Resources Ltd

21 May 2010

 



GOLDSTONE RESOURCES LIMITED

51% INTEREST EARNED IN HOMASE GOLD PROJECT

GoldStone Resources Limited ("GoldStone" or the "Company") is pleased to announce that following the publication of a JORC compliant resource statement by the Company on the Homase Joint Venture Project in the Ashanti gold belt, and the agreed payment of US$60,000 to Cherry Hill Mining Company Ltd ("Cherry Hill"), GoldStone has earned a 51 per cent. interest in the Homase licence in accordance with the terms of the Joint Venture agreement (the "Agreement") announced on 19 October 2009. 

Under the terms of the Agreement, the Company may increase its interest further through:

·    either expending a minimum of US$1 million on exploration work, or by conducting a pre-feasibility study over the permit area. On satisfaction of this provision, GoldStone's interest will increase to 65 per cent.  Participation fees of US$30,000 are payable to Cherry Hill by GoldStone in relation to this phase; and

·    the completion of a successful feasibility study over the area.  In this event, GoldStone's interest will increase to 85 per cent.  Participation fees of US$60,000 will be payable to Cherry Hill by GoldStone in relation to this phase.

Jurie Wessels, Chief Executive Officer, said "The publication of a JORC compliant resource has enabled us to increase our holding in Homase to 51 per cent. We are very pleased with the progress at Homase and to have hit this milestone in the JV agreement ahead of schedule to earn our holding, in particular as the alternative route to gaining this interest was to spend US$1.5 million on exploration activity."

Enquiries:

GoldStone Resources Limited	[phone]
Jurie Wessels (Chief Executive Officer)
Westhouse Securities Limited	[phone]
Tim Feather / Matthew Johnson
Orbis Equity Partners Limited
Jason Robertson	[phone]
Jeremy King	[phone]
Walbrook PR	[phone]
Ben Knowles / Leah Kramer

 

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