Moydow Mines fka MOY

[Ed Monton]

True Grit news:

CORNERSTONE CAPITAL RESOURCES INC. NEWS RELEASE

NEWS RELEASE NO. 03-25
Cornerstone and Moydow Announce
True Grit Drilling Results and Additional Staking
August 7, 2003


Mount Pearl, Newfoundland & Labrador: Cornerstone Capital Resources Inc. (TSXV -- CGP) and joint venture partner Moydow Mines International Inc. (TSE - MOY) are pleased to announce the results from the recently completed first phase of drilling on the True Grit Gold Project in south-central Newfoundland.

This first phase of drilling comprised a 1,251-meter, 22 hole diamond drilling program. All drill holes except TG3 and TG4 were drilled to a depth of approximately 50m at azimuths ranging 295-300 degrees and inclined at -45 degrees. TG3 and TG4 were drilled vertically to depths of 103 and 121.3 m, respectively.

The drilling was designed to test a broad zone of low-grade gold mineralization hosted within a sequence of thinly bedded pelites and lesser phyllites and characterized by finely disseminated arsenopyrite-pyrrhotite-pyrite mineralization and numerous narrow quartz veinlets and stringers. Previous drilling in two diamond drillholes (TG1 and TG2) had returned 0.48 g/t Au over 42.7 m (see Cornerstone News Release 02-12). The zone occurs within a 2600 m by 800 m coincident gold, arsenic and antimony soil anomaly. High-grade arsenopyrite-bearing quartz veins located approximately 1.2 km to the northwest of this low-grade zone assayed 15.9 g/t Au over 1.0 m and 18.0 g/t Au over 0.5 m from saw-cut channel samples.

The 2003 drilling program has confirmed the results obtained in holes TG1 and TG2, and has outlined similar mineralization along two sections located approximately 200 m and 350 m to the north-northwest. The best intersection was obtained in hole TG4, which returned 0.6 g/t Au over 117 m including a 26 m wide section grading 0.83 g/t Au. Intersections ranging from 16 to 46 m wide with grades of 0.45 to 0.75 g/t Au were encountered in holes TG3, 11, 12, 22 and 23. The full drilling results are summarized in Table 1. Gold grades across the mineralized sections are very consistent with the highest individual assay reported being 1.5 g/t Au. The true width and attitude of the mineralization has have not been determined at this time.

Maps and figures showing drillhole locations and cross-sections are posted on Cornerstone's website at www.cornerstoneresources.com

New Valley Drilling of Springdale, Newfoundland conducted the drilling. All core samples were saw-cut; one half was submitted for assay to Eastern Analytical of Springdale, Newfoundland and the other half was retained for permanent record. All field work was supervised by Moydow personnel. Michael Power, P.Eng. of Moydow Mines International, was the Qualified Person, as per National Instrument 43-101, for the True Grit phase one drilling program.

Cornerstone and Moydow personnel are currently reviewing the data with a view to further drilling.

The True Grit property, originally comprising 356 claims, has been enlarged to 535 claims covering 134 sq. km. by way of additional claim staking by Cornerstone and Moydow.

Cornerstone and Moydow wish to acknowledge funding support from the Newfoundland & Labrador Department of Mines & Energy, under the Junior Company Exploration Assistance Program.

The agreement with Moydow Mines on the True Grit Property is one of eight joint venture agreements Cornerstone now has in place, including seven gold projects and one VMS project.

Fig 1 DDH Location
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http://www.crigold.com/aug0703.htm