NEWSTRIKE CAPITAL INC.
(NES : TSX-V : C$2.29 | NOT RATED)

Wendell Zerb, P. Geol 1.604.643.7485

Adam Melnyk, P. Eng 1.604.643.1655

Figure 6: NES : TSX-V Figure 7: NES : TSX-V

Shares O/S (M): 99.2
Shares FD (M): 111.4
Working Cap. (M): C$19
Market Cap. (M): C$227.2
Co. Website: www.newstrikecapital.com

Past 12 months – purchased: $61,230
Past 12 months – sold: $60,060

Since Sep 7/10: – acquisitions or dispositions: Nil

Source: Company reports, StockCharts.com Source: INK Research

Newstrike is a gold-silver focused mineral explorer, targeting known and historical mining districts in Mexico, including the
Guerrero gold belt in Guerrero State. Newstrike principals, including CEO, Richard Whittall (formerly at Miranda Mining),
and Gillian Kearvell, VP Exploration (formerly at Teck Corp.), have extensive experience in the Guerrero mining camp.
Newstrike is a 2011 Canaccord Genuity Watch List company.
• Last week, Newstrike announced an exceptional drill intersection (not true width) at the company’s 100%-owned Ana
Paula Project, in the Guerrero Gold Belt (GGB), Mexico. Drill hole AP-11-37 at Ana Paula returned an intersection of
230.95 metres grading 7.51 g/t gold within a broader zone of 316.95 metres grading 5.80 g/t gold. The company
interprets mineralization in AP-11-37 to be associated with a northerly striking, west dipping, strongly mineralized
breccia body that appears to parallel the structural grain of the Ana Paula deposit. Other drill holes, such as AP-11-19,
20, 33, and 35, also tested the mineralized breccia body but, based on the current interpretation of a west dipping
body, are likely more representative of the true width of mineralization (Figure 9). More drilling is planned to confirm
the orientation of this body, and to further define its dimensions.
• Newstrike is targeting gold mineralization associated with Tertiary-aged diorite to granodiorite stocks emplaced in
Cretaceous Morelos Formation carbonate rocks. Gold mineralization occurs largely on the margins of the intrusive
stocks and is related to high temperature metasomatic alteration (skarn) followed by meso-to epithermal alteration.
Management stated that drilling to date demonstrates robust mineralization that hosts multiple gold-bearing intercepts
over wide intervals that start at or near surface, remains open in all directions, including at depth, and shows good
continuity both along strike and down dip. The company has drilled about 16,000 metres in the current program and
expects to continue stepping out on 100 metre centres until it defines the extent of the mineralization at Ana Paula.
• The Ana Paula project is north of and along trend of Torex Gold’s (TXG : TSX : Not rated) Morelos project (which
includes the El Limon deposit), Cayden Resources (Morelos Sur project), and Goldcorp’s Los Filos mine. Newstrike is
one of the largest holders of mineral claims (88,950 hectares) covering the main trend of the Guerrero gold belt in
Guerrero State, Mexico. Newstrike acquired core mineral claims (3% NSR) at Ana Paula from Goldcorp in June 2010.
Newstrike has a 10-year surface access agreement with the local community and recently reached an agreement with
Desarrollos Mineros San Luis, S.A. de C.V. (DMSL), a wholly-owned subsidiary of Goldcorp Inc., to acquire land rights
in the Ana Paula area.
• The Lundin family controls about 52% of the outstanding common shares of Newstrike.

May 3rd, 2011
Categories: Uncategorized . Author: caliche