Castillian Intersects 3.78 g Au/t Over 53 Metres in Footwall Zone Within Former Mine at Hope Brook
Posted on June 25, 2012 at 07:00 AM EDT

TORONTO, ONTARIO -- (Marketwire) -- 06/25/12 -- Castillian Resources Corp. ("Castillian" or the "Company") (TSX VENTURE: CT)(OTCQX: CTIIF) is pleased to report the final results from its 4,316 metre diamond drilling program in 15 holes, which completes the first phase of drilling in the Company's 2012 exploration program at the Hope Brook Gold Project, located in southwestern Newfoundland. These last holes reported in this news release focused on confirming the locations of workings and major pillars in the deeper part of the Mine Zone area (HB12-080E, -087) and further testing the Southwest Extension target area (HB12-089, -090) (see also the press release dated June 5, 2012 for a discussion of the previous results released). Significant results are summarized in Table 1 below. Highlights are as follows:

Mine Zone Area


--  Hole HB12-087, drilled from northwest to southeast, intersected 3.78
    grams of gold per tonne ("g Au/t") over 53.0 metres core length (16.9
    metres true width) from 271.0 to 324.3 metres and a second zone grading
    4.41 g Au/t over 5.0m (1.6 metres true width) from 354.5 metres to 359.5
    metres in the footwall area below the old workings.
--  Hole HB12-080E, an extension of previously reported hole HB12-080 which
    was lost, intersected 2.14 g Au/t over 14.4 metres core length (10.8
    metres true width) in a shallow pillar within the former mine at
    approximately the 5000 metre level (122 metres below surface).

Southwest Extension Area


--  1.21 g Au/t over 23.1 metres core length in hole HB12-090. This hole is
    approximately 500 metres southwest of the former open pit.
--  0.78 g Au/t over 11.7 metres core length including 1.13 g Au/t over 5.7
    metres core length in hole HB12-089.

Dr. Bill Pearson, P.Geo., President & CEO of Castillian, commented: "These new results continue to confirm that significant pillars remain in the former mine and that there is potential for a significant remaining footwall mineralized zone. The southwest extension remains open along strike and downdip with good potential to define additional mineral resources in this area and potentially extend the constraining shell defining the mineral resource estimate further to the southwest. Work is continuing on the geological mapping and prospecting program over the full 8 kilometre strike length of the favourable mineralized structure as well as compilation of historical data."

Figure 1 shows the location of the major target areas with pierce points of the 2012 holes in the Southwest Extension Target and Northeast Target areas. Figure 2 is a longitudinal section of the Mine Zone area showing the historical workings and the locations of pierce holes in the former mine area completed in this program and in the 2011 drilling program. Collectively, these holes provide good overall coverage with holes drilled from both the north and south of the mine to provide maximum coverage. Table 2 lists collar coordinates, dip, azimuth and length for all holes drilled in the 2012 program.


Table 1: Significant Diamond Drilling Results, Hope Brook Gold Project, June
                                  21, 2012

----------------------------------------------------------------------------
                                             Core     True
                           From       To   Length    Width     Gold   Copper
Hole No.                    (m)      (m)      (m)      (m)    (g/t)      (%)
----------------------------------------------------------------------------
                               Mine Zone Area
----------------------------------------------------------------------------
HB12-080                  132.8    143.3     10.5      7.9     0.72     0.01
----------------------------------------------------------------------------
and                       148.4    156.2      7.8      5.8     0.98     0.11
----------------------------------------------------------------------------
incl.                     155.0    156.2      1.2      0.9     2.51     0.26
----------------------------------------------------------------------------
HB12-080E(i) #            156.2    170.6     14.4     10.8     2.14     0.12
----------------------------------------------------------------------------
incl.                     156.2    161.9      5.7      4.3     3.40     0.20
----------------------------------------------------------------------------
HB12-082(ii)               62.0     63.0      1.0      0.8     0.88     0.07
----------------------------------------------------------------------------
                         Hole was lost before reaching UG workings target.
----------------------------------------------------------------------------
HB12-083(ii)              252.0    261.0      9.0      6.8     0.49     0.01
----------------------------------------------------------------------------
incl.                     255.0    256.5      1.5      1.1     1.81     0.01
----------------------------------------------------------------------------
and                       304.9    312.5      7.6      5.7     0.27     0.02
----------------------------------------------------------------------------
and                       320.6    322.1      1.5      1.1     0.60     0.06
----------------------------------------------------------------------------
                         Hole was lost before reaching UG workings target.
----------------------------------------------------------------------------
HB12-087(iii) #           271.0    324.3     53.3     16.9     3.78       tr
----------------------------------------------------------------------------
incl.                     284.0    294.7     10.7      3.4     6.71       tr
----------------------------------------------------------------------------
and                       354.5    359.5      5.0      1.6     4.41       tr
----------------------------------------------------------------------------
and                       406.3    425.2     14.2      6.0     0.81       tr
----------------------------------------------------------------------------
HB12-047E(iv)               149      187     38.0    14.23     5.47     0.13
----------------------------------------------------------------------------
incl.                     173.5      187     13.5     5.06    10.54       Tr
----------------------------------------------------------------------------
incl.                     173.5    178.5      5.0     1.87    13.00     0.54
----------------------------------------------------------------------------
incl.                     184.5      187      2.5     0.94    19.44       Tr
----------------------------------------------------------------------------
                      Extension of HB11-047 to test location and grade of UG
                                             workings.
----------------------------------------------------------------------------
                       Southwest Extension Target Area
----------------------------------------------------------------------------
HB12-081                  291.9    292.2      0.3      0.2     5.22     1.00
----------------------------------------------------------------------------
incl.                     391.0    391.5      0.5      0.4     0.83     1.62
----------------------------------------------------------------------------
HB12-084                    nsv
----------------------------------------------------------------------------
HB12-085                  121.0    154.4     34.4     25.8     0.59       Tr
----------------------------------------------------------------------------
incl.                     146.0    154.4      8.4      6.3     1.48     0.37
----------------------------------------------------------------------------
incl.                     149.3    150.3      1.0      0.8     3.17     1.17
----------------------------------------------------------------------------
HB12-086                  306.8    311.7      4.9      3.7     0.79       Tr
----------------------------------------------------------------------------
HB12-088                  277.9    286.2      8.3      6.2     0.92       Tr
----------------------------------------------------------------------------
incl.                     277.9    280.9      3.0      2.3     1.36       Tr
----------------------------------------------------------------------------
incl.                     283.6    286.2      2.6      1.9     1.18       Tr
----------------------------------------------------------------------------
HB12-089 #                227.7    239.4     11.7      8.8     0.78     0.02
----------------------------------------------------------------------------
incl.                     232.3    238.0      5.7      4.3     1.13     0.02
----------------------------------------------------------------------------
HB12-090 #                214.0    237.1     23.1     17.3     1.21     0.04
----------------------------------------------------------------------------
incl.                     214.0    226.0     12.0      9.0     1.38     0.01
----------------------------------------------------------------------------
                       Northeast Extension Target Area
----------------------------------------------------------------------------
HB12-078                    nsv
----------------------------------------------------------------------------
HB12-079                    nsv
----------------------------------------------------------------------------
(i)   HB12-080E, the extension of HB12-080 which was originally lost before
      reaching its target, extended into the mine workings, testing the
      grade and location of historic underground mine.
(ii)  HB12-082 and HB12-083 were unsuccessful in reaching target because of
      rock competence.
(iii) HB12-087 was drilled from north to south and successfully penetrated
      through the possible ramp material and the lower mine workings.
(iv)  HB12-047E is the extension of HB11-047 to test the location and grade
      of old mine workings. This hole ended in the mine workings.
incl. = including; tr = trace, nsv = no significant values, UG = underground
New results reported in this press release are marked with the # symbol

  Table 2: Collar Coordinates and Orientations of Drill Holes, Hope Brook,
                                June 21, 2012

----------------------------------------------------------------------------
Hole No.                UTM            Mine Grid
----------------------------------------------------------------------------
                                                      Elev.          Az  Dip
                  Easting Northing  Easting Northing    (i) Length (ii) (ii)
----------------------------------------------------------------------------
HB12-078           418766  5288202    12403     4969   5136    742  325  -45
----------------------------------------------------------------------------
HB12-079           418325  5288577    12257     5530   5157    156  324  -65
----------------------------------------------------------------------------
HB12-080           418096  5287764    11603     4995   5122    156  325  -58
----------------------------------------------------------------------------
HB12-082           418279  5287812    11781     4930   5153    187  323  -51
----------------------------------------------------------------------------
HB12-081           417591  5287087    10801     4730   5124    464  325  -71
----------------------------------------------------------------------------
HB12-083           418282  5287768    11758     4891   5156    326  324  -65
----------------------------------------------------------------------------
HB12-084           417642  5287446    11049     4994   5132    186  341  -65
----------------------------------------------------------------------------
HB12-047E          418040  5288015    11702     5233   5142    187  145  -50
----------------------------------------------------------------------------
HB12-085           417761  5287473    11162     4949   5125    218  325  -45
----------------------------------------------------------------------------
HB12-086           417859  5287460    11235     4882   5119    350  341  -65
----------------------------------------------------------------------------
HB12-087           418071  5288066    11756     5257   5146    465  144  -48
----------------------------------------------------------------------------
HB12-088           417717  5287267    11008     4805   5137    336  324  -48
----------------------------------------------------------------------------
HB12-089           417762  5287406    11124     4893   5127    308  325  -65
----------------------------------------------------------------------------
HB12-090           417628  5287228    10913     4824   5125    292  321  -53
----------------------------------------------------------------------------
(i)   Elevations have 5000 metres added to actual measurements to conform to
      historical practice.
(ii)  All measurements are in metres except Azimuth (Az) and Dip, which are
      measured in degrees.

SAMPLING, ASSAYING AND QUALITY CONTROL

The core (NQ (47.6 mm)) is logged, photographed and then sawn in half with one-half sent to the laboratory for analysis and the other half retained and stored on site. All core samples were prepared and assayed at ALS Chemex, with sample preparation done in Sudbury and analytical work done in Vancouver. All locations of ALS Chemex are ISO 9001:2000 certified. The entire sample received is weighed and crushed to greater than or equal to 70% passing 2mm (10 mesh). A sample split of up to 1000g is then pulverized to greater than or equal to 85% passing 75 microns (200 mesh) to produce a homogenized sample. A 50g aliquot is used for fire assaying with an atomic absorption (AA) finish to determine gold concentration. Copper is initially analyzed using a four acid digestion ICP (inductively coupled plasma-atomic emission spectrometry) method. Any results for copper greater than 10,000 ppm are assayed further by a four acid digestion and "ore grade" ICP method. Internal quality control includes the use of blanks, duplicates and standards in every batch of samples. The Company also conducts internal check assaying using certified external reference standards and blanks. Regular external check assays are performed at a second certified Canadian commercial laboratory. Castillian also inserts external reference standards as well as blank granite drill core in each sample batch as a further external check.

QUALIFIED PERSON

Dr. Bill Pearson, P.Geo., President and CEO of Castillian, who is a qualified person as defined by NI 43-101, has reviewed and approved the scientific and technical content of this press release.

ABOUT CASTILLIAN

Castillian Resources Corp. is a Canadian mineral exploration company listed on the TSX Venture Exchange under the symbol "CT" which has gold and base metal properties in Canada and South America. Castillian's flag ship property is the Hope Brook Gold Project located in southwestern Newfoundland, which has 290,000 ounces of NI 43-101 compliant indicated mineral resources and 740,000 ounces of inferred mineral resources (see Table 1 below and the news release issued by Castillian on February 14, 2012). Castillian has also outlined an extensive new Gold-in-Soil anomaly trend on its Canadian Creek property in the Yukon that is adjacent to Kaminak's Sugar Gold-in-Soil trend.


----------------------------------------------------------------------------
----------------------------------------------------------------------------
 Table 1. NI 43-101 Mineral Resource Estimate, Hope Brook Gold Project as at
                              February 14, 2012
----------------------------------------------------------------------------
           Within constraining    Below constraining           Total
                 shell                  shell
          @ 0.50 g Au/t cutoff   @ 2.0 g Au/t cutoff
----------------------------------------------------------------------------
----------------------------------------------------------------------------
              Tonnes Gold  Gold     Tonnes Gold   Gold    Tonnes  Gold  Gold
Category  (millions)(g/t)(k Oz) (millions)(g/t) (k Oz)(millions) (g/t)(k Oz)
----------------------------------------------------------------------------
Indicated        4.0 1.11   140        1.5 3.04    150       5.5  1.65   290
----------------------------------------------------------------------------
Inferred        11.2 1.57   570        2.0 2.65    170      13.2  1.73   740
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Cautionary Note Regarding Forward-looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding exploration prospects and timing of future exploration. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; future prices of mineral prices; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and shortages and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

Information Concerning Estimates of Indicated and Inferred Resources

This news release uses the terms "indicated resources" and "inferred resources". Castillian advises investors that although these terms are recognized and required by Canadian regulations (under NI 43-101), the U.S. Securities and Exchange Commission does not recognize them. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into mineral reserves. In addition, inferred resources have a great amount of uncertainty as to their existence, and economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, or economic studies except for preliminary economic assessments as defined under NI 43-101. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable.

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/ct0625fig1.pdf.

To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/ct0625fig2.pdf.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contacts:
Castillian Resources Corp.
Bulgan Orgilsaikhan
Communications Coordinator
416-309-2895
borgilsaikhan@castillian.ca

Castillian Resources Corp.
Bill Pearson
President & CEO
416-861-2968
president@castillian.ca
www.castillian.ca

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