Canstar plans red lake drilling program

The Directors of Canstar Resources Inc. have been advised that the adjudication hearing for the Mary March property has been set for September 15th, 2008 and is expected to take ten days to complete.

The hearing will be held by the Mineral Rights Adjudication Board, a three-person panel set up under the auspices of the Ministry of Natural Resources Mines and Energy Branch that is responsible for deciding the ownership of the Mary March property.

Ordered by the Supreme Court of Newfoundland and Labrador, this is the second hearing of the Mineral Rights Adjudication Board mandated to decide ownership of the Mary March property.

Notably, the Supreme Court, in its decision of July 27, 2007 and upheld by the Court of Appeal in their decision of February 19, 2008, has directed that the burden of proof be placed on Vinland Resources, a decision favourable to Canstar.

Owing to historical facts and recent legal decisions, the Company is confident that the Adjudication Board will confirm Canstar’s right to the property.

The Mary March deposit is located within the same geological group that hosts the prolific former producing Buchans mine, and drilling has produced some of the highest-grade base and precious metal diamond drill intersections (9.2m @ 10.33% Zn, 1.62% Pb, 0.66% Cu, 118.1g/t Ag and 4.1 g/t Au) ever achieved in the area outside the Buchans mine.

Canstar has the right to earn 50% interest in the property, with first refusal rights on the remaining 50%, from Phelps Dodge Corporation of Canada.