Castle Minerals Limited ('Castle' or the 'Company') advises that it is planning a phased 28- hole, 3,500m RC drilling programme designed to extend drill-defined, open-ended, lode-style gold discoveries at its Kpali Gold Project which is part of its broader 2,686km2 Wa Gold Project, in Ghana's Upper West Region.

The Wa Gold Project encompasses large tracts of prospective Birimian terrane, host to several world class gold mining operations in Ghana and to many others in West Africa

Castle Managing Director, Stephen Stone, commented that 'With gold prices steadying around recent peak levels, increasing investor interest in the West African gold sector and the Kambale Graphite Project successfully transitioning into the development study phase, it's appropriate to revisit Castle's 100% owned Kpali Gold Project and the several virgin, open-ended discoveries it has made in a location central within one of the world's most well-endowed gold regions with some seventy deposits greater than one million ounces and forty over three million ounces. Individually, Castle's discoveries present highly compelling scale-up opportunities, whilst collectively the thesis is that they could be indicative of a much larger regional-scale prize especially as our Kpali licences host the convergence of two major greenstone belts and three regional-scale structures associated with several multi-million ounce gold deposits. It's a really exciting opportunity.'

Regional setting

The Kpali Gold Project comprises the Kpali and the nearby Bundi prospect plus several satellite discoveries which lie 30km west of regional town, Sawla. These prospects are situated within the 170km2 Degbiwu prospecting licence (PL 10/26) which is surrounded by the 1,033km2 Gbiniyiri retention licence (RL 8/27). The western border of each licence is the Black Volta River which also borders with Burkina Faso. Both licences are owned 100% by Castle through its wholly owned Ghanaian subsidiary, Carlie Mining Limited. The main exploration driver, and original reason for investigating this area, is the extremely strong geological focal point provided by the convergence of two major greenstone belts (Bole-Bolgatanga and Wa-Lawra/Boromo) and three traversing regional-scale structures. These are individually associated with several major gold deposits and operating mines making Castle's ground very compelling: 30km of the Batie West Shear, host to the 3.3Moz Konkera deposit (Centamin), 60km to the north west across the border in Burkina Faso

Castle is of the view that whilst very interesting in their own right, the Kpali Gold Project's prospects, which also includes the Kpali East, Bundi, Wa South and Wa East prospects, may be indicative of a major gold 'camp' hosting one or more large primary mineralised systems. These camps are typical of West African structurally-controlled orogenic gold environments and underpin the region's status as one of the world's most well-endowed gold regions. Gold anomalism and near-surface mineralisation, such as that already discovered at the Kpali Gold Project, provides a means to vector into and chase down-plunge major ore shoots which can extend to several hundred metres depth

Kpali Prospect

Kpali was a virgin discovery in 2013 arising from systematic wide-spaced RAB drilling and power-auger geochemical sampling beneath a veneer of transported soil cover. Some 2,711 RAB holes have been drilled in the Kpali-Bundi area. During 2013-2014, 20 RC holes drilled on eight sections delineated a mineralised corridor associated with a 30m to 50m wide zone of structural deformation (refer ASX release 18 January 2014). The drilling returned a series of wide, high-grade intercepts and confirmed the presence of hydrothermal lode-style mineralisation over a combined strike of at least 850m and to a depth of 100m. Better intercepts included:

The geology at Kpali is dominated by low-grade metamorphosed sediments and volcaniclastics, with a lesser amount of mafic volcaniclastics. This sequence is intruded by a coarse-grained felsic circular body that demarcates the eastern boundary of the mineralisation. Mineralisation runs north-south, is generally steeply dipping and occurs as a number of distinct, individual, more or less planar-lodes, that vary between 2m to 20m in thickness. These lodes are mostly continuous and were consistently intersected in drilling along an established central trend of some 500m that remains open to the south and possibly also to the north. Following several phases of drilling, an initial Mineral Resource was estimated for Kpali which was reported in accordance with JORC Code 2012 and comprised 2.91Mt at 1.1g/t Au, all of which is in the Inferred Mineral Resource category (refer ASX release 2 July 2014). Castle's proposed RC drilling will initially focus on this highly prospective central trend and area of the initial Mineral resource estimate with a view towards firmly establishing Kpali's credentials to deliver a sizeable and robust ore-body.


Stephen Stone

Managing Director

Tel: +61 (0)418 804 564



Castle Minerals Limited is an Australian Securities Exchange (ASX: CDT) listed and Perth, Western Australia headquartered company with interests in several projects in Ghana and Western Australia that are prospective for Battery Metals (graphite and lithium), base metals (zinc, lead and copper) and gold. In Ghana, West Africa, the emerging flagship Kambale Graphite Project owned by 100% Ghanaian subsidiary, Kambale Graphite Limited, is progressing through technical and commercial evaluation for the production of battery grade material to be used in lithium-ion battery manufacture. Castle's 100% owned Ghanaian subsidiary, Carlie Mining Ltd, holds a 2,686km2 tenure position in the same Upper West region. This encompasses large tracts of highly prospective Birimian geological terrane, the host to many of West Africa's and Ghana's multi-million-ounce gold mines. It has delineated several advanced gold exploration targets including at Kpali, Bundi and Kandia. In Western Australia, The Earaheedy Basin project comprises the Withnell and Terra Rossa sub-projects. The Withnell licence is strategically located adjacent to the evolving World-Class ChinookMagazine zinc-lead project of Rumble Resources Ltd (ASX: RTR) and north of the Strickland Metals Limited (ASX: STK) Iroquois prospect. The Terra Rossa licences have additional prospectivity for copper. The Beasley Creek project is prospective for gold and lithium and lies on the northern flanks of the Rocklea Dome in the southern Pilbara. The Polelle project, 7km southeast of the operating Bluebird gold mine near Meekatharra, hosts a mainly obscured and minimally explored greenstone belt prospective for gold and possibly base metals whilst the Wanganui project is prospective for down-plunge high-grade gold shoots. Both have been farmed-out to Great Boulder Resources Limited (ASX: GBR) for incorporation into its emerging Side Well project

Cautionary Statement

All of Castle's projects in Australia are considered to be of grass roots or of relatively early-stage exploration status. There has been insufficient exploration to define a Mineral Resource. No Competent Person has done sufficient work in accordance with JORC Code 2012 to conclusively determine or to estimate in what quantities gold or other minerals are present. It is possible that following further evaluation and/or exploration work that the confidence in the information used to identify areas of interest may be reduced when reported under JORC Code (2012).

Forward Looking Statement

Statements regarding Castle's plans, forecasts and projections with respect to its mineral properties and programmes are forward-looking statements. There can be no assurance that Castle's plans for development of its mineral properties will proceed. There can be no assurance that Castle will be able to confirm the presence of Mineral Resources or Ore Reserves, that any mineralisation will prove to be economic or that a mine will be successfully developed on any of Castle's mineral properties. The performance of Castle may be influenced by a number of factors which are outside the control of the Company, its Directors, staff or contractors

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