Gold Exploration in West Africa

[FL]

Castle [Sydney:CDT] gets large Newmont North-Ghana gold project

Castle Minerals' Ghana project locations: [See http://www.minebox.com/story.asp?articleId=10347 for map ]

Castle Minerals has reached agreement with Newmont Ghana Gold Limited to acquire Newmont’s 8,200sqkm Wa gold project in northern Ghana.

The Wa project surrounds the Julie, Josephine and Collette gold prospects held by London-based Crew Gold Corporation and is south along strike of Azumah Resource’s 500,000-ounce Kunche gold deposit.

Work by Newmont has identified numerous gold targets based on the collection of over 7,000 soil and stream sediment samples.

Anomalous gold zones have been returned from the area west (along strike) of the Julie gold deposit and represent a priority area for Castle follow up work.

Castle Managing Director, Mike Ivey said the company believes the project is an excellent fit with its nearby Ducie project and has potential to deliver economic gold mineralisation.

“It is an enormous landholding with identified gold targets, particularly the area west along strike of the Julie gold deposit,” Mr Ivey said.

Under the key terms of the deal, Castle must issue to Newmont 400,000 Castle shares and spend US$300,000 on exploration. Castle can acquire a full 100 percent interest by issuing a further 600,000 options ($0.30 exercise price) to Newmont. The agreement is subject to the approval of the Ghanaian Minister of Mines.

- 07 Nov 2007