Goldstone Resources Regulatory News (GRL)

16 Dec 2005 10:01

Goldstone Resources Ltd16 December 2005 GOLDSTONE RESOURCES LIMITED COMPLETION OF SOIL SAMPLING PROGRAMME AND APPLICATION FOR PROSPECTING LICENCES The Directors of GoldStone Resources Limited ("GoldStone" or the "Company") arepleased to provide the following update on the gold programme in Guyana. The Company has completed the geochemistry and mapping programme which commencedin October 2005. The analytical results of the programme, which are expected tobe received during January 2006, will assist the Company to identify the mostprospective area for infill drilling. GoldStone has applied to the Guyana Geology and Mines Commission ("GGMC") forthe granting of 26 Prospecting Licences. The combined size of the ProspectingLicences is approximately 478 square miles. Under the terms of the Company's Geological Survey and ReconnaissancePermission, which expired on 14 December 2005, the Company is entitled to applyfor and be granted 20 Prospecting Licences. 25 of the applications forProspecting Licences relate to areas that are within the Company's formerPermission Area and one borders on that area. Once the applications have been processed by the GGMC, the Directors anticipatethat Licences with a term of three years with two additional rights of renewalof one year each will be granted. The Licences would become available upon thepayment of the first year's rental and submission of an acceptable performancebond equal to 10 per cent. of the approved budget of the first year'sexploration expenditure. The Prospecting Licence areas applied for were chosenon the basis of extrapolated extensions to outcrop of horizontally beddedgold-bearing layers intersected during the diamond drilling programme. Theseareas comprehensively encompass all the ground the Company considers to beprospective. Contact: GoldStone Resources Ltd 00 27 21 794 4004Nico van der Hoven (Chief Executive Officer) This information is provided by RNS The company news service from the London Stock Exchange