Progress report

Goldstone Resources Ltd
26 August 2005

GOLDSTONE RESOURCES LTD
GOLD: ASSAY RESULTS AND PROGRESS REPORT


The Directors of GoldStone Resources Ltd ('the Company' or 'GoldStone') are
pleased to report on the progress of the Company's gold programme

From the initial programme, twenty-one additional positive assay results from
eleven drill holes have been received.  These results range from 100 to 3,780
ppb Au (0.10 to 3.78 g/t), which are set out below. These complete the
reconnaissance drill hole sampling record. In total, 54 positive assay results
have been obtained from 29 of the reconnaissance drill holes.

Three dimensional stratigraphic analyses integrating the assay data is in
progress.

Dr. Minter, Goldstone's Director of Exploration reports: 'A newly discovered
palaeosurface,  carrying 1.96 g/t over 37cm, was intersected 26 metres below
surface in Lease Area 'B' on the wind-deflated top of a fluvial unit.  Three
clastic grains of greenstone containing visible gold were identified in the
sample. This is the first direct evidence that gold was derived from the
granite-greenstone Basement rocks located to the northeast'.


          SAMPLE                       THICKNESS                   ASSAY VALUE
          number                           m                         ppb  Au

           6306                          0.24                          200
           6329                          0.23                          850
           6396                          0.16                          160
           6402                          0.13                          310
           6526                          0.33                          630
           6529                          0.37                          150
           6530                          0.37                          100
           6801                          0.36                          150
           6892                          0.41                          180
           7241                          0.31                          140
           7292                          0.34                          120
           7293                          0.21                          200
           7307                          0.18                         3,780
           7407                          0.32                          100
           7490                          0.14                          620
           7519                          0.23                          210
           7598                          0.12                          120
           7607                          0.35                          220
           7619                          0.19                          150
           7625                          0.35                         1,360
           7652                          0.19                          240


Contacts:

GoldStone Resources Ltd                                       00 27 21 794 4004
Nico van der Hoven (Chief Executive Officer)




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