Mr. Juan Giron reports

CANSTAR'S HIGH-RESOLUTION AIRBORNE GEOPHYSICS DATA ADVANCES DRILL HOLE TARGETING AT GOLDEN BAIE

Canstar Resources Inc. has released preliminary results of a newly acquired high-resolution airborne geophysical survey using ALS Goldspot Discoveries Ltd.'s "multiparameter airborne acquisition system (M-Pass)" over the company's Little River trend mineral licences. The LRT licences are within the company's district-scale gold- and antimony-bearing Golden Baie project in the southern portion of the central Newfoundland gold belt. The LRT has a large concentration of gold-in-soil/till/rock anomalies and over 25,000 metres of drilling concentrated on the Kendell, 97 West and Wolf Pond prospects. Significant results along the LRT include 3.2 grams per tonne gold over 22 metres and 4.3 g/t Au over 14 m from Canstar drilling at Kendell and over 100 rock samples grading greater than 10 g/t Au.

The magnetic gradient and very low frequency electromagnetic data, combined with existing lidar and geochemistry data, essentially triple the data density of what was previously available and will facilitate mapping and targeting of geological structures that could host gold and antimony mineralization, guide future surface exploration, and drill hole targeting at Golden Baie. The company will also use these data to benchmark known high-grade targets, such as the Kendell prospect, along the LRT, to find additional mineralized targets. Canstar previously announced the acquisition of an M-Pass airborne survey over the company's Facheux Bay project (see Canstar's May 24, 2023, press release).

These new data have already identified several underexplored areas that display similar geophysical expressions to those of Kendell, and identified potentially large fold and fault structures in areas where the company will plan additional exploration work, such as geological mapping, soil and till sampling, and trenching leading to a diamond drilling program.

Canstar's president and chief executive officer, Juan Carlos Giron Jr., said: "Canstar is committed to a data-informed, first-principles approach to mineral exploration. These high-resolution, project-scale surveys lay the foundation for a deeper geological understanding of the mineralized structures at Golden Baie and Facheux Bay. By identifying the structural controls for gold and antimony mineralization at both projects, we can conceptualize known mineral occurrences to inform further exploration and create models to guide new discoveries.

"New geological modeling completed by Resourceful Geoscience Solutions Inc. of Halifax, N.S., proposes that the area's complex folds and faults may not have been fully understood in past interpretations. Increasing the understanding of these known mineral occurrences could help identify additional structural settings and potentially expand isolated prospects into larger exploration districts."

M-Pass survey details

ALS Goldspot's proprietary M-Pass helicopter-based system consists of a triaxial magnetic gradient magnetic and VLF-EM platform with a 2,048-channel radiometric sensor. The airborne geophysical data comprise approximately 1,200 line kilometres of high-sensitivity data along the LRT and was flown as part of a larger 1,926.4-line-kilometre program composed of two survey grids: (1) a large grid on Canstar's LRT mineral licences (current data set); and (2) another grid on its Facheux Bay mineral licences in the southwestern part of the Golden Baie project. ALS Goldspot's proprietary technology used 50-metre line spacings as opposed to 150-metre line spacings, essentially tripling data resolution compared with the publicly available airborne magnetic and VLF-EM data acquired by the Geological Survey of Newfoundland and Labrador in 2015 (GeoFile: NFLD/3339).

Preliminary interpretations from the new M-Pass survey are already yielding insights into the structural controls on known mineralization occurrences, which support previous interpretations that there are anomalies over several kilometres along brittle ductile shear corridors related to the Day Cove thrust, apparently upgraded at certain prospects by the intersection of brittle cross structures. This is a comparable structural setting to Calibre Mining's Valentine gold mine along the Valentine Lake shear zone and the high-grade mineralization reported by New Found Gold at its Queensway gold project along the Appleton fault zone. Both are major fault structures of comparable age and scale to the Day Cove thrust, which hosts gold and antimony at Golden Baie.

Qualified person statement

Paul Teniere, MSc, PGeo, senior vice-president of exploration for Canstar, a qualified person as defined in National Instrument 43-101 has prepared and approved all scientific and technical information disclosed in this news release.

Mr. Teniere has verified all scientific and technical data disclosed in this news release, including the rock, soil and drilling results and certified analytical data underlying the technical information disclosed. Mr. Teniere noted no errors or omissions during the data verification process, and Canstar's geological staff has also verified the information disclosed. The company and Mr. Teniere do not recognize any factors of sampling or recovery that could materially affect the accuracy or reliability of the results disclosed in this news release.

Cautionary statements

Please note that soil, till and rock samples are selective by nature, and values reported may not represent the true grade or style of mineralization at Golden Baie. Readers are cautioned that these potential grades are conceptual in nature. There has been insufficient exploration by the company or its qualified person to define a mineral resource or deposit. It is uncertain whether further exploration will result in these targets being delineated as a mineral resource.

Acknowledgment

Canstar is grateful for the financial support of the junior exploration assistance program from the government of Newfoundland and Labrador Department of Industry, Energy and Technology, which has been a valuable contribution to the exploration programs on the company's Buchans-Mary March and Golden Baie projects.

About Canstar Resources Inc.

Canstar is a mineral exploration company unlocking immense potential for gold and critical minerals in the central Newfoundland gold belt. Its 100-per-cent-owned Golden Baie project (548.75 square kilometres) hosts high-grade gold and antimony prospects along a major mineralized structure that also hosts a large number of gold deposits. Its Buchans-Mary March projects (65.75 square kilometres), which include a Glencore joint venture, are located within the world-class, past-producing, volcanogenic massive sulphide zinc-copper-silver-rich Buchans mining camp and boast high-grade zinc and copper discoveries.

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