Goldstone Resources fka GRC

[NYBob]

Goldstone Deploys Third Rig for Key Lake, Beardmore Properties;
Undertakes Limited Drilling Program at Faymar, Near Timmins
IP Identifies Additional Anomalies
May 12, 2011 (Marketwire Canada) --
TORONTO, ONTARIO --

Goldstone Resources Inc.
(TSX:GRC)(PINK SHEETS:GRSZF) announced that a third drill
rig has been added to its 2011 exploration program, initially
for use at its Key Lake property in Geraldton and subsequently
at its Northern Empire and Leitch-Sand River properties near
Beardmore, Ontario.

The Company also said that it plans to drill several targets
over the next few weeks on its Faymar property near Timmins,
Ontario.
Goldstone's overall exploration budget for the year is
approximately $6.5 million.

The Key Lake drilling program, of which 8,286 metres has been
completed by May 10, 2011 as a result of a later–
than-anticipated March 1 start and some earlier operational
difficulties, is primarily focused on identifying near surface
gold mineralization amenable to open pit mining.

About 30,000 metres of drilling are planned for the year at
Key Lake.
Initial assay results are expected to be announced soon.

In addition, in March and April, two large grids totalling 54 km
were cut over other favourable geological horizons and an
IP survey was completed with initial interpretation received
from JVX Ltd., a geophysical contactor and
consulting services company.

A number of significant anomalies have been identified and will
be tested by drilling as soon as ground conditions are drier.

The Key Lake property is contiguous to the Hardrock Project
where eight rigs will be active in 2011 and where diamond
drilling
by the Company's joint venture partner,
Premier Gold Mines Limited (TSX: PG) as operator,
has established a gold resource (near surface as well as in
high grade intersections at depth).

Goldstone holds a 30% carried interest in the Hardrock Project
and in the estimated NI 43-101 resource of 3.6 million ounces
of gold and a 100% interest in Key Lake and all other
properties mentioned in this news release.

Beardmore Properties

In the Beardmore area, interpretation of data on
the Leitch-Sand River and Northern Empire Mine properties
is underway.
Current expectations are for approximately 11,000 metres
of diamond drilling to begin shortly, to explore structural
targets along strike from the Sand River, #16 Vein and
Creek Vein systems at Leitch-Sand River, with drilling
planned on the northeast portion of
the Northern Empire mine and possibly elsewhere.

In addition, drilling will expand on the outcome of the
limited 2010 program completed on the McWilliams prospect,
with an initial four drill holes scheduled.

Work is being conducted by George Langstaff, P.G., P.Geo.
(Temporary), the Qualified Person for the information
contained in this section and a Qualified Person within
the meaning of National Instrument 43-101.

Faymar Property

At the Faymar property, a former producer located in Deloro
Township in the Timmins Gold Camp just south of and adjacent
to the Destor-Porcupine Fault, results from the Fugro Airborne
GEOTEM survey carried out earlier this year have outlined
a number of anomalies, four of which will now be tested over
the next few weeks as part of an initial phase of
approximately 1,500 metres of diamond drilling in a
co-operative program with another exploration company which
owns adjoining land.

"We got off to a late and slow start on the Key Lake program,
but have since hit our stride," said Philip Cunningham,
Goldstone's Chairman and Interim Chief Executive Officer.
"These are early days for 2011 exploration, but what we
have seen so far is encouraging."

"Over the course of the year, we will be conducting infill
drilling in previously explored areas to increase confidence
about previous results, as well as testing new targets
suggested by historical results, the IP survey, and a
preliminary open pit analysis conducted earlier," he added.

Goldstone's previously-stated objective is to establish
the viability of an open pit mining operation at Key Lake
and to build a NI 43-101 resource.

The program is also seeking to extend the zone another
kilometre to the west of 2010 drilling where, in addition
to open pit potential, there is higher grade underground
potential as a result of Hole 195-46 drilled by Cyprus
in the 1990's, which returned 44.9 g/t Au over 3.4m,
including 136.1 g/t over 1m (uncut-not true width).

"As we've said before, our objective in Beardmore—where we
are currently prioritizing drill locations—is to develop
more gold resources near our Northern Empire mill which could
be developed sequentially with those identified at our
Brookbank and Northern Empire properties."

Cunningham stated. "We have already outlined a number of
promising anomalies at the McWilliams structure and
look forward to testing these and others in
the Beardmore Camp with one of the three rigs currently at
Key Lake."

About Key Lake

The Key Lake property hosts the former Jelex Gold Mine
which had historical production of 5,675 oz of recovered gold.

The gold mineralization is hosted by greenschist facies
metagreywacke and is associated with alteration, quartz veining,
and disseminated arsenopyrite and pyrite.
Mineralization boundaries are generally gradational and
not visually distinctive.
By the end of 2010, over 200 holes had been drilled over a
3 km long north-northwest trending zone down to a depth of
about 200 m with horizontal spacing of 25-50 m in
the eastern two-thirds and spacing of 25-100 m in
the western third.

About Goldstone

Goldstone Resources Inc. is a gold exploration and development
company operating in the historically significant

Geraldton-Beardmore camp of Northwestern Ontario and focused
on gold exploration and deposit delineation at its Key Lake,
Brookbank, Northern Empire and Leitch-Sand River gold
properties, and as a partner in the Hardrock Project joint
venture with Premier Gold.

Goldstone's 100%-owned NI 43-101 resources in the Beardmore
area total more than 800,000 ounces.

In April 2011, Premier announced an updated NI43-101 resource
estimate for the Hardrock Project in the Geraldton area of
3.6 million ounces of gold of which Goldstone has a 30%
interest (more than 1 million ounces).

The camp is host to several past producers in a district
that has historical production of more than 4.1 million ounces
of gold from high grade ore before being shut down primarily
as a result of a $35 gold price—and to Goldstone's fully
permitted, expandable 200-TPD Northern Empire mill.

Further information is available on the Company's website
at http://www.goldstoneresourcesinc.com
and on SEDAR under the Company's profile at
www.sedar.com.

Forward-Looking Statements

This news release may contain forward-looking information ----except as may be required under applicable securities laws.

Neither the Toronto Stock Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

Goldstone Resources Inc.
Chairman and Interim CEO
[phone]

http://www.goldstoneresourcesinc.com

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