Primorus Inv. Regulatory News (PRIM)

17 April 2012

CSS Stellar Plc

("CSS" or the "Company")

Independent Consultant estimates Welsh Gold potential of 130,000 - 500,000 ounces.

AIM-listed CSS Stellar Plc is pleased to announce that it has received a very positive assessment from Snowden, a leading provider of consulting services to the Mining sector, on its 49 per cent. investment in Gold Mines of Wales Limited. For the first time in 150 years, the entire known Dolgellau gold-belt in County Gwynedd, North Wales, United Kingdom is held by one exploration company. The gold-belt covers some120 km2 and is dominated by quartz-lode style gold mineralisation.

Snowden concludes the following from its independent technical review of the Dolgellau gold project:

·; For the first time, the entire known Dolgellau gold-belt in County of Gwynedd, North Wales, United Kingdom has been held by one explorer. The gold-belt covers some 120 km2 and is dominated by quartz-lode style gold mineralisation.

·; Snowden considers that the global [#] Exploration Target for the entire gold-belt is between 500,000 t to 2,000,000 t at 3 g/t Au to 15 g/t Au for 130,000 oz Au and 500,000 oz Au.

[#]These figures are reported as an Exploration Target as defined in the 2004 JORC Code. They are hypothetical or conceptual indications of likely tonnage and grade ranges of mineralised quartz lode which is not necessarily economic. It must be noted that these figures are not Mineral Resource or Ore Reserve estimates. There is no guarantee that such tonnages or grades will be either realised or economic. Further study, including historical data review, geological mapping, exposure and/or core sampling, underground development and diamond drilling are required. In reality, lower tonnages may be mined with the potential for higher grades. These figures are based on the gross continuity of lodes, previous production and proportion of unexplored ground. These are based on previous production and proportion of unexplored ground. The global contained ounces range was calculated based on a grade of 8 g/t Au - a 3:2 partition between 3 g/t Au and 15 g/t Au. This attempts to reflect that run of mine grade will be dependent upon: a) what is located in-ground (specifically relative proportions of very-high grade versus low- and barren material); b) mining method and c) selectivity achieved. In reality, lower tonnages may be mined with potential for higher grades.

·; The Crown Estates has granted an Exploration Licence over the prospective gold-belt to Gold Mines of Wales Ltd (49% owned by CSS Stellar PLC) with the latest renewal being approved in February 2012. The Crown is entitled to a 4% net smelter royalty on any gold produced from the area.

·; Dolgellau is considered highly underexplored and the area has potential for discovery of further lode-style high-grade ore shoots at relatively shallow depths (Snowden also notes that a porphyry-style copper-gold-molybdenum system (Coed-y-Brenin) and mineralised breccia bodies (eg Glasdir copper-gold breccia) are located on the Licence area.

·; Since the 1860's, the Dolgellau gold-belt has intermittently produced the largest quantity of gold from any region in the United Kingdom. Around 131,000 oz Au has been recorded, mainly from the underground Clogau St David's and Gwynfynydd mines. The actual figure is likely to much higher, given that many of the mines kept incomplete records.

·; The gold-bearing quartz lodes form an ENE to WSW trending array of generally steeply dipping structures up to 6 m in width. Gold is shown to occur preferentially where the lodes transect the Clogau Formation - a series of Cambrian black shales. Numerous lodes have been identified, many of which have not been fully explored and there is good potential for the discovery of additional structures.

·; High-grade 'pockets' are hosted in discrete veins within a larger quartz lode package. The veins generally posses bonanza grades running 10's to 100's oz/t Au. Historical records shown that some gold-rich pockets grade up to 300 oz/t Au. Prediction of the pockets is challenging, but recent work has shown them to be related to interactions of the lode with greenstone bodies to form larger ore shoots, which have a high probability of containing pockets.

·; The two largest mines in the region, Clogau St David's (81,000 oz Au) and Gwynfynydd (45,000 oz Au), both have 'in-mine' and 'near mine' potential. Elsewhere, the gold-belt is underexplored and prospective.

·; A unique feature of the gold-belt is that the gold produced has been traditionally used to produce Welsh Gold jewellery. This relates to the notion of Royal Gold and dates back to Celtic times.Welsh Gold bullion is potentially worth between two and three times the spot gold price. There are currently no operating mines in the region and minimal production of pure Welsh Gold jewellery.

·; Recent geological studies have led to a better understanding of the controls to lode formation and shoot/sub-shoot localisation at Clogau and Gwynfynydd. The company will make use of this new data and intends to undertake a rigorous geological mapping and sampling programme during 2012 to 2013, and intends to regain underground access to Clogau by year end 2012 to undertake drilling and bulk sampling work.

·; The gold is free milling, with a recovery above 90% using gravity-only methods. Cyanide and other chemicals are not required. During its last production period (1990 to 1999), the Gwynfynydd mine operated the world's first underground gold processing plant.

·; Snowden concludes that the Dolgellau gold-belt bears three styles of mineralisation which represent targets that warrant further exploration. In particular, the area is prospective for the definition of high-grade gold ore shoots. Snowden recommends a rigorous exploration programme over the next two to three years. Funding should enable the company to evaluate the gold-belt fully, including gaining access to the key Clogau and Gwynfynydd mines, undertake the required environmental and planning work and explore throughout the wider Licence area.

·; Certain project risks require careful management at Dolgellau, these principally relate to geological risk (resource definition and mining control), environmental risk (location within a National Park and maintaining sustainable operations) and planning risk (gaining planning permission).

David Lenigas, CSS Stellar's Executive Chairman, today commented:

"The Dolgellau gold-belt in North Wales is the UK's largest goldfield by production, and is now finally owned by one company, Gold Mines of Wales Limited. This will enable a detailed exploration over the entire 120km gold belt using advanced, low impact exploration techniques for the first time in history.

The Welsh gold project appears to have significant potential. Gold Mines of Wales is looking forward to working with the local community and the Crown Estates to assess the ultimate economic potential of this highly unexplored gold resource."

Competent Person's Statement:

Information in this Announcement which relates to Exploration Results ("Exploration Targets") is based on information compiled by Dr Simon Dominy, a full-time employee and Executive Consultant of Snowden Mining Industry Consultants Pty Ltd, who is a Fellow of the Australasian Institute of Mining and Metallurgy (FAusIMM), the Australian Institute of Geoscientists (FAIG) and the Institute of Materials, Minerals and Mining (FIMMM), and who has the relevant experience as a Competent Person, as defined in the 2004 edition of the 'Australian Code for Reporting of Exploration Results, Minerals Resources and Ore Reserves (the JORC Code)'. Dr Dominy, has given and has not withdrawn prior to lodgement, his written consent to be named in this Announcement as the person responsible for the Exploration Results statements and to the inclusion of these statements in the form and context in which they appear.

About Snowden:

Snowden is an independent firm providing specialist mining industry consultancy services in the fields of geology, exploration, resource estimation, mining engineering, geotechnical engineering, mineral process engineering, risk assessment, mining information technology and corporate services. The company operates from offices in Australia, Brazil, Canada, South Africa and the United Kingdom and has prepared independent technical reports and valuations on a variety of mineral commodities in many counties.

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