Canstar Resources Inc. announced assay results from diamond drilling on its Golden Baie project in south-central Newfoundland, which took place in the fall of 2022. Drilling tested six target areas, including Kendell, Hillside, 97 West, Northbrush, Osprey, White Out and Wolf Pond along a approx. 15 kilometre (km) prospective trend.

In total, 6,471 metres (m) were drilled in 51 holes. All assays from the drill program have now been received. Kendell Prospect: Drilling at Kendell focused on expanding the footprint of mineralization to the northwest, in the interpreted down-plunge direction.

Twenty holes were drilled for a total of 2,438 m. Drilling successfully extended gold mineralization down-plunge to the northwest and west-northwest. Hole GB-22-102 intersected 5.8 g/t Au over 4.0 m at a downhole depth of only 58.0 m. This intercept is approximately 15 m down-plunge of hole GB-22-92, which intersected 6.1 g/t gold over 3.6 m at a downhole depth of 52.5 m. The total known down-plunge length of gold mineralization at the Kendell prospect is now estimated to be 195 m. To further define the geometry of the plunging mineralization, four drill holes were oriented east-west as opposed to the typical northwest-southeast drill orientation. The east-west orientation was designed to intersect the northwest plunging shoot at a more perpendicular drill angle.

All four drill holes with this orientation intersected significant gold mineralization including GB-22-107 (4.3 g/t Au over 14.0m), GB-22-112 (7.0 g/t Au over 3.0 m), GB-22-120 (6.6 g/t Au over 5.0 m) and GB-22-121 (3.2 g/t Au over 22.0 m). Holes GB-22-106, GB-22-110, GB-22-111, GB-22-115, GB-22-116 and GB-22-117 were drilled approximately 20 m southeast of the known mineralization. Gold mineralization was encountered in four of these holes: GB-22-110 (1.7 g/t Au over 3.0 m - with visible gold), GB-22-111 (1.8 g/t Au over 6.0 m), GB-22-115 (0.3 g/t Au over 16.0 m) and GB-22-116 (1.0 g/t over 6.4 m).

Gold mineralization in these holes suggests the plunging zone is possibly changing direction and open to the west-northwest. Holes GB-22-108 and GB-22-109 were drilled approximately 20 m northeast of the known mineralization and Holes GB-22-113, GB-22-114 and GB-22-118, GB-22-119 were drilled approximately 45 m southwest of the defined plunging mineralized zone. No significant gold mineralization was intersected in these holes suggesting that the zone narrows in this area, but remains open at depth.

Wolf Pond Target: Historic drilling at Wolf Pond in the 1980s delineated a mineralized zone (the Wolf Pond Gold Zone) averaging 2 to 3 m thick with grades of 3 to 5 g/t gold within a broader envelope 5 to 8 m thick averaging 1 to 2 g/t gold. The Wolf Pond Gold Zone was delineated by previous operators over a strike length of 450 m and to a depth of 165 m and is open both along strike and at depth. Approximately 300 m southeast of the Wolf Pond Gold Zone is a 1,200 m by 50 m gold-in-soil anomaly, with values ranging from 30 to 752 ppb gold, which had never been drill tested.

Canstar drilled four holes totaling 679 m into the soil anomaly, testing approximately 150 m of strike length. All four holes intersected gold mineralization with the best results from the two most north-easterly holes WP-22-04 (1.9 g/t Au over 6.7 m) and WP-22-02 (0.8 g/t Au over 11.5 m including 1.2 g/t Au over 5.0 m). Mineralization is associated with arsenopyrite-stibnite-bearing quartz veins hosted in felsic- intermediate volcaniclastics intercalated with sediments.

97 West Target: The 2022 fall drill campaign at 97 West targeted gold mineralization in trenches excavated during 2021 and tested the graphitic shale horizons that also host the high-grade gold mineralization at the Kendell prospect, located approximately 3.5 km to the southwest. Thirteen holes (1,787 m) were drilled in the 97 West area. Drill hole 97W-22-01 was drilled beneath a 2021 channel sample of 13.1 g/t gold over 1.0 m (trench 97W-21-TR01) and returned an intersection of 1.9 g/t Au over 2.0 m, starting at 13 m downhole.

Drill holes 97W-22-07 and 97W-22-09 to 97W-22-13 were collared 200 m to the northeast of the 2021 trenches in an area identified during 2022 trenching. All six holes encountered gold mineralization. The best results include hole 97W-22-11 which assayed 5.2 g/t Au over 1.0 m starting at a down hole depth of 7.2 m and hole 97W-22-09 with 4.7 g/t Au over 1.0 m starting at a down hole depth of 8.0 m. Gold mineralization is related to quartz-carbonate veining hosted in grey shales with disseminated arsenopyrite-stibnite.

Reconnaissance Drilling: Canstar completed scout drilling on several early-stage exploration targets during the fall drill program. These included the Northbrush, Osprey, White Out and Hillside targets. Thirteen drill holes totaling 1,567 m were completed in these target areas, which have significant glacial till cover.

Drilling targeted Induced Polarization (IP) chargeability and resistivity anomalies, soil anomalies and/or anomalous channel and outcrop samples hosted in favourable geology. The best assay result of this drilling came from Northbrush hole NB-22-02 which intersected 0.2 g/t over 16.0 m from a quartz-carbonate vein zone. The best drill intercept on the recently acquired Golden Eye license was from hole GE-22-06 at the White Out target which intersected many broad zones of low grade gold mineralization including 0.2 g/t Au over 14.0 m, 0.3 g/t Au over 10.9 m and 0.4 g/t Au over 6.0 m. Gold mineralization in both of these holes is associated with arsenopyrite-stibnite-bearing quartz veins hosted in intermediate-felsic volcaniclastics that are variably intercalated with shaley sediments.

2023 Field Program: Canstar's technical team is currently preparing plans and prioritizing exploration targets for the 2023 field program. More details will be provided in a future release. 2022 drill results warrant follow-up exploration in the large Wolf Pond area and at the high-grade Kendell prospect.

Advanced exploration targets include Wood Cutter, located approximately 1 km south of Wolf Pond, and Facheux Bay, which is west-southwest of the core licences at Golden Baie. In addition, new exploration targets will be generated. Given the large size of the Golden Baie project, many areas still have had little or no exploration work to date, despite confirmation of multiple styles of gold mineralization present throughout the extensive Golden Baie claim package.