Location

Windstorm Resources Inc. (TSX-V: WSR, FRA: 4WE, WKN: A1H700, “Windstorm” or the “Company”) is pleased to provide an update on its Mexican exploration projects.

At the Escondida gold-silver property, a 620 line km airborne Z-Axis Tipper electromagnetic (“ZTEM”) survey has been completed identifying a significant target characterised by low resistivity underlying an area of anomalous surface geochemistry. A follow-up 20 line km Induced Polarization (“IP”) survey is currently underway to refine and further characterize the anomaly prior to planning a drill test.

A 120 km ZTEM survey was also completed over Windstorm’s Rosa Blanca low sulphidation epithermal gold-silver prospect. The survey successfully outlined the 3.5 km strike length of the known vein system and indicated the potential for strike extensions. A 12 km IP and soil geochemical survey is currently underway over the central portion of the vein system in order to define priority targets for drill testing.

The Company has completed an alteration study of drill core from the 11 hole 2,896m Phase I drill program completed on its Caldera high sulphidation epithermal property earlier in the year. The study concluded that further drilling of selected targets in the North Sector of the drilled area should be considered in order to test the potential for that area to host either high sulphidation gold or deeper seated porphyry copper-gold mineralization.

Upon completion of the surface programs at Escondida and Rosa Blanca, the Company will evaluate and prioritize plans for drilling at its three key Mexican projects for the new year.

In addition, Windstorm is actively examining a number of gold-silver and base metal submissions in Mexico in order to expand its property portfolio and to provide its shareholders with increased exposure to the excellent opportunities for new discovery in that country.

Technical Summary

Escondida

The Company has received the results from a 620 line km airborne Z-Axis Tipper electromagnetic (“ZTEM”) survey that covered three discreet blocks over its Escondida project, Mexico. The ZTEM survey, flown by Geotech Ltd. of Aurora, Ontario, targeted the area of previously defined precious and base metals surface geochemical anomalies. The target is a Peñasquito-style bulk tonnage gold-silver deposit. ZTEM utilizes natural telluric earth currents to measure contrasts in resistivity within the earth’s crust, with the ability to detect anomalies to depths of greater than 1,000 m. The system has proven effective in outlining large deposits of disseminated mineralization, such as porphyry copper deposits. A preliminary examination of the survey data has shown at least one area of low resistivity underlying an area of anomalous surface geochemistry.

A follow-up 20 line km Induced Polarization (“IP”) survey is currently underway over the central portion of the ZTEM anomaly. It is expected that the IP will outline any zones of disseminated sulphide mineralization that may be present, with the objective of further refining and characterizing the anomaly prior drill testing. Results of the surface geophysical program are expected by year end.

Rosa Blanca

The Company completed a 120 km ZTEM survey over its recently acquired Rosa Blanca low sulphidation epithermal gold-silver prospect. The survey successfully outlined a minimum 3.5 km strike length for the epithermal vein system and suggested the potential for extensions beyond the known vein system.

A surface follow-up program is currently underway over the central portion of the vein system, including a 12 km IP survey and a soil geochemical survey in order to define priority targets for drill testing. It is expected that the soil geochemical survey will define the most prospective portions of the largely covered vein system in terms of gold, silver and indicator metal content, while the IP survey should outline those areas with strongest resistivity, indicating quartz veining, and possibly disseminated sulphide mineralization within the vein system.

Caldera

On June 10, 2011, the Company announced the completion of the Phase 1 drill program at its Caldera high sulphidation epithermal gold project near the town of Libres, Puebla, Mexico, 10 km from Almaden Minerals Ltd.’s (TSX-V: AMM, “Almaden”) Ixtaca Zone discovery on its Tuligtic property. The program included 2,896 metres of diamond drilling in eleven holes, testing the northern part of the Caldera alteration zone. The drilling encountered volcanic rocks and associated subvolcanic intrusive rocks that are variably altered with sections of intense argillic and advanced argillic alteration and silicification, including vuggy silica. Mineralization consists of disseminated and fracture controlled pyrite, locally in excess of 10%, with traces of sphalerite and jamesonite. Anomalous but sub-economic concentrations of gold were encountered along with associated variably anomalous values of molybdenum, arsenic, antimony, copper, lead and zinc.

The Company has since completed an alteration study of the drill core utilizing a portable TERRASPEC short wave infrared spectrometer as well as conventional petrography. Results of this study indicate two distinct alteration systems within the drilled area of the alteration zone. The Southern Sector of the property is characterized by alteration assemblages that vary from advanced argillic through argillic to propylitic. It displays a distinct trace element suite characterized by elevated molybdenum, selenium and to a lesser extent bismuth, but is relatively low in arsenic. Trace levels of gold are associated with the advanced argillic alteration. The Northern Sector, on the other hand, displays a uniquely different alteration mineralogy distinguished by the presence of tourmaline. The hydrothermal breccias in the lower part of hole 7 are interpreted to represent a diatreme or volcanic vent. Tourmaline-illite as an alteration assemblage is centred in a zone of advanced argillic or phyllic alteration around the vent feature which is characterized by a tourmaline — silica assemblage. The North Sector is characterized by high levels of arsenic, antimony, bismuth and selenium. High lead and zinc occur in narrow intervals related to fracture zones or late veins, which also carry elevated gold, suggesting a late gold-bearing mineralizing event.

Elevated gold values in the drill core appear to occur at the transitions from one alteration facies to another, such as from argillic to advanced argillic, suggesting that gold is indeed being mobilized by hydrothermal solutions. Elevated gold in fracture zones or veins is the best evidence that a late gold event occurred and is covered by the extensive argillic alteration envelope. Further drill testing of selected targets in the North Sector is suggested to determine if there are economic concentrations of gold associated with the late vein structures.

The technical information contained in this release has been reviewed by Gerald Carlson, Ph.D., P.Eng., a Qualified Person as defined by National Instrument 43-101.

About Windstorm Resources Inc.

Windstorm Resources is a new company focused on precious metals exploration in Mexico, led by an industry-renowned management team with technical expertise and market experience. Management continues to evaluate quality drill-ready prospects aiming to build an attractive portfolio of gold and silver projects offering multiple opportunities for discovery success. Windstorm is a member of the Grosso Group, a management company specializing in resource exploration for over 18 years.


ON BEHALF OF THE BOARD

“Gerald Carlson”
_______________________________
Dr. Gerald Carlson, President & CEO

For further information please contact:

Corporate Communications
Tel: 1-604-687-1828
Toll-Free: 1-800-901-0058
Email: [email protected]

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