Cornerstone Capital Resources Inc
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Cornerstone Capital Resources Inc Cornerstone Capital Resources Inc Cornerstone Capital Resources Inc
 May 11, 2012
12-11 - Cornerstone announces receipt of authorization to resume activities and exploration results for the Bella Maria project, Ecuador

 Mount Pearl, NL, Canada: Cornerstone Capital Resources Inc. ("Cornerstone") (TSXV-CGP) (F-GWN) (B-GWN) (OTC-CTNXF) announced today that the Company has been authorized by the Ministry of Non-Renewable Natural Resources - Ministerio de Recursos Naturales No Renovables (MRNNR) to resume the exploration activities corresponding to the initial exploration phase (prior to drilling) on Cornerstone's Bella Maria porphyry gold-copper project located in El Oro province in southern Ecuador. Results of exploration work by previous owners and Cornerstone have been compiled and are summarized below. Although at an early stage, initial results indicate that the property has excellent potential for hosting significant gold and copper mineralization.

Highlights

  • Stream sediment sampling: 44 samples collected, 26 with > 0.1 g/t (100 ppb) Au, including 11 > 1 g/t (1000 ppb) Au. 96 Heavy Mineral Concentrate (HMC) samples collected: 59 sampling sites showing gold grains, including 28 sites with > 10 gold grains.
  • Rock sampling: 262 samples collected, 97 with > 0.1 g/t Au and 29 > 1.0 g/t Au; 166 samples > 0.01% (100 ppm) Cu and 13 > 0.1% Cu.
  • Soil sampling: 725 samples collected by Cornerstone and predecessor company define extensive (3.5 km by 1.5 km) gold and copper in-soil anomalies in the central part of the property.
  • Four mineralized prospects identified.
  • Multiple stream sediment, rock and soil anomalies yet to be followed up.
Brooke Macdonald, Cornerstone's President & CEO stated "We are very pleased to have received the authorization from the MRNNR to pursue our exploration activities on the Bella Maria property. Although at an early exploration stage, the project area shows excellent potential for hosting significant gold and copper mineralization. Stream sediment samples collected across the property are exceptionally anomalous in gold, and a large coincident gold- and copper-in-soil anomaly accompanied by porphyry style mineralization has been identified in the central part of the property. Following our prospect generator business model we will look for potential partners to aggressively explore this property in the coming months".

Bella Maria property
The Bella Maria property is located in El Oro province along the western foothills of the Andes, 30 km southeast of the port city of Machala at elevations ranging from 100 m to 600 m above sea level. Access is good via paved roads from either Guayaquil, a major port city located approximately 200 km by road to the northwest of the property, or from Cuenca to the northeast. The area is characterized by tropical climate and vegetation. A series of maps showing the location of the Bella Maria project, regional and local geology, and geochemical results may be viewed at http://www.cornerstoneresources.com/s/Ecuador.asp?ReportID=136196.

Regional Geology
The project area is underlain by Paleozoic age metamorphic rocks including quartz biotite orthogneisses, quartz biotite schist and chlorite schist (La Victoria Formation) which form part of the El Oro Metamorphic Complex. The metamorphic rocks are intruded by Tertiary age granodiorite (Biron Batholith) and quartz diorite. The Oligocene age Saraguro Formation (andesitic to rhyolitic flows and pyroclatics) lies to the east. The intrusive rocks are cut by Miocene age porphyry stocks which host low-grade gold-copper (< 1 g/t Au and < 0.5% Cu) mineralization. Higher grade gold-copper mineralization occurs in hydrothermal breccias adjacent to porphyry bodies. Epithermal gold deposits in the region are commonly associated with the porphyry systems.

Property history and compilation work
The Bella Maria area was historically worked for gold by artisanal miners. Odin Mining and Exploration Ltd. ("Odin") was active on its Biron alluvial gold mine located about 10 km west of the Bella Maria concession from 1987 to 1995. Newmont Overseas Exploration Limited, a subsidiary of Newmont Mining Corporation ("Newmont") operated a joint venture with Odin from 1994 until 2001 to try to locate the source of the alluvial gold, at which time they withdrew and Odin continued exploration. The survey work carried out focused on the Trinchera-Paloma gold-copper porphyry and the Cacique breccia target areas, part of Odin's Cangrejos project which is contiguous with the Bella Maria property to the south.

The Bella Maria concession was acquired by Sierra Minera S.A. ("Sierramin") in 2001 to cover a mineralized breccia related to porphyry intrusions, at which time it was optioned to Bear Creek Mining Corporation ("Bear Creek"). Survey work completed during 2004 describes structurally controlled quartz-tourmaline-pyrite breccias with the development of silica flooding, potassic and sericitic alteration and quartz veinlets. The initial soil survey that was recommended by Bear Creek in 2005 consisted of two blocks each measuring approximately 1.2 km2 with one block centered on the Bella Maria breccia and the other centered on the gold anomalous defined by Bear Creek on the west side of the concession. Anomalous gold occurs in soil on both grids associated with the known mineralization, as well as other anomalous values (0.05 to 0.5 g/t Au) which require further follow-up.

The concession was acquired by Cornerstone in late 2005 and only limited prospecting work was carried out prior to the April 2008 Mining Moratorium in Ecuador.

Property geology and mineralization
Reconnaissance geological mapping and data compilation from previous surveys indicate that the property is located within the northern contact zone between the Biron Batholith to the south and Paleozoic age, basement rocks (El Oro Metamorphic Complex). This contact zone is characterized by multiphase intrusions varying from granitic to dioritic in composition intruding metasedimentary and metavolcanic rock units (schist and orthogneiss). Foliations strike WSW to WNW (N250E to N290E) and generally dip to the north. Faults and minor structures generally strike NE and NW.

Four mineralized prospects have been identified so far on the property. Assay results for each of the prospects are described in the table below.

Pavas Breccia (PB): Hydrothermal breccia developed within a quartz diorite intrusive. Matrix of the breccia is silicified and tourmaline rich. Late quartz veins and veinlets are present. Eight (8) rock samples were collected (4 locally derived floats and 4 outcrops).

Vega Rivera Porphyry (VRP): Located in the central part of the property along the Q. Cardenas stream. At this location, gold and copper mineralization is associated with stockworks of quartz veinlets developed within silicified and potassicly altered granodiorite and quartz-feldspar porphyry units. Pyrite, chalcopyrite and occasionally some molybdenite are present as fine disseminations, associated with quartz veinlets and as coatings along fractures. Potassic and silicic alteration is present over a 500 m distance on outcrops along Q. Cardenas stream. Twelve (12) representative grab and rock chip samples were collected by Cornerstone on this target.

Central Breccia (CB): Hydrothermal breccia located in the south central part of the property at the intersection of NE-SW, N-S and E-W oriented faults. The breccia is composed of angular fragments of metamorphic and intrusive rocks within a silicified matrix containing 1-5% pyrite and traces of chalcopyrite, bornite, covellite and chalcocite. Sulphides are disseminated and associated with late quartz and quartz-tourmaline veinlets. Eighty-six (86) rock samples (76% channel and panel samples and 24% grab samples) were collected on this target.

Southeast Breccia (SEB): This target area is located in the southeastern part of the property at the contact between a granodiorite-diorite and schist units. At this location rocks are highly silicified, fractured and oxidized (manganese and iron oxides after pyrite and chalcopyrite) and cut by quartz veins and quartz veinlets stockworks. Results: Fifty-six (56) channel and panel rock samples were collected on this target.

Balance of property: An additional 100 samples (mostly grab and some chip samples) were collected on the property, outside of the four prospect areas during the prospecting work.

Target # samples* Assay Results
Pavas Breccia (PB) 8 >0.1 g/t Au >1 g/t Au Max. Value Average Value
3 samples 3 samples 3.49 g/t Au 1.57 g/t
>0.01% Cu >0.1% Cu Max. Value Average Value
All samples with <0.01% Cu 0.004% Cu 0.002% Cu
Vega Rivera Porphyry (VRP) 12 >0.1 g/t Au >1 g/t Au Max. Value Average Value
6 samples 2 samples 1.68 g/t Au 0.42 g/t
>0.01% Cu >0.1% Cu Max. Value Average Value
10 samples 0 samples 0.087% Cu 0.026% Cu
Central Breccia (CB) 86 >0.1 g/t Au >1 g/t Au Max. Value Average Value
51 samples 15 samples 17.0 g/t Au 0.88 g/t
>0.01% Cu >0.1% Cu Max. Value Average Value
68 samples 8 samples 0.56% Cu 0.047% Cu
Southeast Breccia (SEB) 56 >0.1 g/t Au >1 g/t Au Max. Value Average Value
25 samples 7 samples 1.92 g/t Au 0.33 g/t
>0.01% Cu >0.1% Cu Max. Value Average Value
40 samples 3 samples 0.18% Cu 0.030% Cu
Balance of Property 100 >0.1 g/t Au >1 g/t Au Max. Value Average Value
22 samples 2 samples 2.38 g/t Au 0.11 g/t
>0.01% Cu >0.1% Cu Max. Value Average Value
48 samples 2 samples 1.91% Cu 0.018% Cu
* Only assay results from rocks collected by Cornerstone are included in this table.

Regional Airborne Magnetic Survey
A regional magnetic survey was flown in 2000 by Canada-based Sial Geosciences Inc. on behalf of the British Geological Survey. The survey is coarse with a line spacing of 1 km; however, regional structures are evident. A strong east-west magnetic anomaly (low) is situated along the southern boundary of the Bella Maria concession. Secondary northeast trending magnetic lineaments are also apparent, trending in the same direction as structures and mineralized trends defined on Odin's Cangrejos (name changed to Greater Cangrejos) project south of Bella Maria. The positive magnetic anomaly south of Bella Maria corresponds in part to an altered porphyry intrusion.

Airborne magnetic surveys confirm east-west and northeast-southwest striking structures defined during the prospecting and reconnaissance geological mapping programs.

Topography and Structure
The porphyry stocks and breccias may be related to a 15 km by 17 km caldera structure defined by two concentric ring features evident in topographic maps. Mineralized zones within the ring complex appear to be controlled by major SW-NE trending structures.

Stream sediment survey
A stream sediment survey was carried out. Forty-four (44) samples were collected over the property and sent to the laboratory for assaying the standard minus 80 mesh fraction. Ninety-six (96) sites were sampled and pan concentrated to check for the presence, size and shape of gold grains. The minus 80 mesh fraction of stream sediments is extremely anomalous in gold throughout the Bella Maria concession: 22 samples assayed > 100 ppb (0.1 g/t) Au, including 11 samples (25%) with > 1000 ppb (1 g/t) Au. Most streams contain abundant visible gold in panned concentrates. Other metal values are low to moderately elevated for Cu (8.0 to 160.0 ppm Cu) and Mo (0.2 to 4.3 ppm Mo). There is a correlation of copper and molybdenum with the higher gold values.

Soil sampling survey
Cornerstone's ridge top soil lines (227 samples) results show an extensive gold anomaly that is continuous between the two grids sampled by previous owner Sierramin-Bear Creek (498 samples) throughout the south central part of the concession. Copper results and to a lesser degree, molybdenum results, are coincident with the area of elevated gold. The sample locations and results for gold and copper can be seen on the accompanying maps.

Exploration targets and future work
There are two identified target types on the Bella Maria property: 1) high tonnage, low grade porphyry style gold - copper deposits and, 2) lower tonnage and higher grade, structurally controlled gold (copper) deposits (hydrothermal breccia bodies, stockworks, fault controlled shatter zones) which are peripheral to the mineralized porphyry bodies.

A systematic and detailed exploration program is required to further evaluate the four known prospects, as well as the stream sediment and soil anomalies that have been identified.

Future work proposed for the Bella Maria concession includes expansion of the soil grids to cover the entire property, a detailed ground magnetic survey and an induced polarization ("IP") survey, which will be followed by detailed geological mapping and trenching. Targets will then be prioritized for drill testing.

Assaying, Quality assurance / Quality control (QA/QC)
All samples collected by Cornerstone were delivered to and prepared by the ACME preparation laboratory in Cuenca and assayed by the ACME-Vancouver laboratory (www.acmelab.com) using the following procedures:

Rock samples: Two preparation schemes were used for rocks at Bella Maria: 1) ACME preparation code R150 (crush 1 kg to 80% passing 10 mesh, spilt 250 g and pulverize to 85% passing 150 mesh); assayed for gold and 2) ACME preparation code R200-250 crush 1 kg to 80% passing 10 mesh, spilt 250 g and pulverize to 85% passing 200 mesh), assayed for gold and multi-elements (ACME code 1DX2, Aqua Regia, ICP-MS finish, 15 g.) and (AC code G601, F.A., 30 g., AA finish) in some cases. Over limits results for gold were systematically re-assayed (ACME code G601; F.A., 30g.; AA finish).

Stream sediment samples: ACME preparation code SS80, assayed for gold (ACME code 3B01, F.A., 30 g.) and multi-elements (ACME code 1DX2, Aqua Regia, ICP-MS finish, 15 g.).

Soil samples: ACME preparation code SS80, assayed for gold and multi-elements (ACME code 1DX2, Aqua Regia, ICP-MS finish, 15 g.). Limited technical information is available from the early soil sampling by Sierramin with regards to sample preparation and assaying techniques used by the laboratory. Samples appear to have been assayed for gold (F.a., 30 g.) and an ICP suite of elements.

ACME is an ISO 9001:2008 qualified assayer that performs and makes available internal assaying controls. Certified blanks and standards are systematically inserted with samples as part of Cornerstone's QA/QC program.

Qualified Person
Yvan Crepeau, M.Ba., P.Geo, President of Cornerstone Ecuador SA and a qualified person in accordance with National Instrument 43-101, is responsible for the Bella Maria exploration program and has reviewed and approved the technical information contained in this news release.

About Cornerstone
Cornerstone Capital Resources Inc. is a mineral exploration company based in Mount Pearl, Newfoundland and Labrador, Canada, with a diversified portfolio of projects in Canada, Ecuador and Chile, and a strong technical team that has proven its ability to identify, acquire and advance properties of merit. The company's business model is based on generating exploration projects whose subsequent development is funded primarily through joint venture partnerships. Commitments from JV partners constitute significant validation of the strength of Cornerstone's projects.

Further information is available on Cornerstone's website: www.cornerstoneresources.com or for investor, corporate or media inquiries, please contact:

Investor Relations:
Email: communications@crigold.com
North America toll-free: 1 (877) 277-8377
Martti Kangas - Direct Line: 1 (416) 367-5124
Paul Benwell / Pat Kairns - Direct Line: 1 (514) 904-1333

The link to a recent Corporate presentation is:
http://www.cornerstoneresources.com/i/pdf/Presentations_0412_CRICorporate.pdf

Investors can also access Cornerstone on Twitter

Cautionary Notice:
This news release may contain 'Forward-Looking Statements' that involve risks and uncertainties, such as statements of Cornerstone's plans, objectives, strategies, intentions and expectations. The words "potential," "anticipate," "forecast," "believe," "estimate," "expect," "may," "project," "plan," and similar expressions are intended to be among the statements that identify 'Forward-Looking Statements.' Although Cornerstone believes that its expectations reflected in these 'Forward-Looking Statements' are reasonable, such statements may involve unknown risks, uncertainties and other factors disclosed in our regulatory filings, viewed on the SEDAR website at www.sedar.com. For us, uncertainties arise from the behaviour of financial and metals markets, predicting natural geological phenomena and from numerous other matters of national, regional, and global scale, including those of an environmental, climatic, natural, political, economic, business, competitive, or regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our Forward-Looking Statements. Although Cornerstone believes the facts and information contained in this news release to be as correct and current as possible, Cornerstone does not warrant or make any representation as to the accuracy, validity or completeness of any facts or information contained herein and these statements should not be relied upon as representing its views subsequent to the date of this news release. While Cornerstone anticipates that subsequent events may cause its views to change, it expressly disclaims any obligation to update the Forward-Looking Statements contained herein except where outcomes have varied materially from the original statements.

On Behalf of the Board,
Brooke Macdonald
President and CEO

Further information is available on the Cornerstone Web site at www.cornerstoneresources.com; via e-mail at communications@crigold.com; or toll free at 1-877-277-8377.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

 
 

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