Issue of Equity

Goldstone Resources Ltd
20 September 2005



                         GOLDSTONE RESOURCES LIMITED

                                    PLACING


The Directors of GoldStone Resources Limited ('GoldStone' or the 'Company') are
pleased to announce that a placing which will raise £2,042,500 for the Company
(the 'Placing') has been carried out by Westhouse Securities LLP, the Company's
broker.


Under the Placing, which is conditional upon the approval of shareholders at an
Extraordinary General Meeting of the Company to be held on 12 October 2005 (the
'EGM'), 68,083,330 ordinary shares of 1p each will be issued at a price of 3p
per share.  Notice of the EGM will be posted to shareholders today.


The funds will be used to further the Roraima gold project in Guyana and, in
particular, to undertake a detailed soil sampling programme to identify the most
prospective area for subsequent infill drilling.  The funds will also be used to
enable the Company to pursue potential joint ventures with majors.


In order to reduce the overhead base of the Company, the Directors have agreed
to a reduction of the Directors' collective remuneration by 50 per cent. The
Chairman, Sir Michael Oliver, has elected to receive his remuneration of £10,000
in the form of shares in the Company at an issue price of 3p per share.


Application will be made for the new ordinary shares to be issued pursuant to
the Placing and, subject to the EGM, it is expected that dealings will commence
in those shares on 13 October 2005.


Nico van der Hoven, Chief Executive of GoldStone, said: 'The successful placing
will allow us to take the project to the next stage and may also enable us to
pursue the possibility of partnering with a major gold company.'


Enquiries:

Nico van der Hoven
GoldStone Resources Limited
00 27 21 794 4004

Westhouse Securities LLP
Bill Staple/Tim Feather
[phone]






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