Progress Report

Goldstone Resources Ltd
04 November 2004


GOLDSTONE RESOURCES LTD
PROGRESS REPORT


The Directors of GoldStone Resources Ltd (the 'Company' or 'GoldStone') are
pleased to report on the progress of the Company's gold and bauxite exploration
programme in Guyana.


RORAIMA GOLD

Drill hole 23NE1, located at the northern end of Lease Area 'A', has been
completed. It intersected palaeoplacer mineralization 54 metres below surface,
which assayed 6.3 g/t over a thickness of 5 cm.  The rig used to complete drill
hole 23NE1 has now been moved east to a site nearer the basin margin which is
believed to have been the source area of the gold.

Assay results returned from five additional holes drilled in Lease Area 'B'
during the current programme have failed to indicate any economic
mineralization.  Dr Minter, GoldStone's Director of Exploration, reports that: 
'Further drilling may be undertaken in Lease Area 'B' once a down-hole
geophysical survey has been completed and a 3-dimensional stratigraphic model
studied'.


BAUXITE

During the drilling operations in Lease Area 'B' referred to above, a sixth hole
intersected a weathered Gabbro.  Analytical results indicated a classic bauxite
sequence 8 metres thick that contained 48 per cent. extractable alumina and 0.7
per cent. reactive silica.

An independent review has indicated that similar deposits, which occur scattered
as remnants of a deeply weathered Gabbro sill across Lease Area 'B', may
collectively amount to 50 million tonnes of bauxite.  Since these deposits are
remote from the Company's existing bauxite resources, which have been
independently assessed to be in excess of 1,100 million tonnes, the Board
intends to investigate whether they independently hold the economic potential to
warrant further exploration.

A further update will be provided in due course.



Contact:

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


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