Newstrike Capital Inc. (TSX VENTURE:NES) (“Newstrike” or the “Company”) is pleased to announce the results of the first series of holes completed in the 2012 drill program at the Company’s 100%-owned Ana Paula Project, Guerrero Gold Belt (GGB). These drill results are from an exploration and delineation program begun in October of 2010 that continues to test a one by two kilometer exploration target area as defined by anomalous surface gold geochemistry and underlying geophysical anomalies. The results reported here include two drill holes from the ongoing delineation of the high grade Breccia Zone discovery located in the southeast quadrant of the target area, reports results from two holes located in the southwest quadrant that are part of program to follow up the new discovery announced with AP-11-67 (November 28^th, 2011 press release), and reports on two drill holes located in the northeast quadrant that are from an ongoing step out drill program that continues to explore new targets.

Highlights from this series include:

• Breccia Zone Delineation Program, Southeast Quadrant: Drill hole AP-12-81 returned a 90.70 meter interval of 0.48 g/t Au followed by a 173.50 meter interval of 3.07 g/t Au that includes 46.40 meters of 7.08 g/t Au.


• Southwest Quadrant: Drilling continues to outline a strong mineralized alteration envelope with hole AP-12-78 returning multiple low grade intersects the best of which was 12.74 meters of 0.52 g/t gold. Drill hole AP-12-83 returned among other intersects 11.97 meters of 0.52 g/t Au, 24.15 meters of 0.43 g/t Au, 9.50 meters of 0.67 g/t gold, 63.40 meters of 0.42 g/t gold and 17.70 meters of 2.12 g/t gold that includes a 1.87 meter interval of 17.73 g/t Au.


• Northeast Quadrant: Drill hole AP-12-82 drilled a previously untested area of strong alteration and mineralization located to the west of and outside of the currently defined main Ana Paula mineralized trend. Strong mineralization was intersected over multiple intervals from near surface to the bottom of the hole, including among other intersects, 9.50 meters of 1.11 g/t Au and 6.1 g/t Ag, 28.00 meters of 0.94 g/t Au and 16.3 g/t Ag, 7.25 meters of 0.78 g/t Au and 27.7 g/t Ag, 7.14 meters of 0.81 g/t Au and 34.3 g/t Ag and 12.76 meters of 1.05 g/t Au and 12.4 g/t Ag.

Selected highlights from this series of drill results are presented in the following table.

Southeast Quadrant Drill Holes � Breccia Zone Delineation

Drill holes AP-12-80, AP-12-81 and AP-12-84 are part of the ongoing program to infill and delineate the boundaries of the Breccia Zone first discovered in AP-10-19 (January 18^th, 2011 PR). Results are still pending for the fourth hole in this series.

Drill hole AP-12-81 was drilled northwesterly to test the shallow southeastern boundary of the Breccia Zone, and was extended to test mineralization at depth along the northwestern boundary of the breccia zone beneath AP-11-68 and AP-11-72. Drill hole AP-12-81 returned strong mineralization between a downhole depth of 2.00 to 348.50 meters that includes a 90.70 meter interval of 0.48 g/t Au followed by another 173.50 meter interval of 3.07 g/t Au, which includes a 95.50 meter interval of 4.51 g/t Au that can be further defined to include a 46.04 meter interval of 7.08 g/t Au. This is followed by an 18.60 meter interval of 1.72 g/t Au and another 15.80 meter interval of 0.50 g/t Au.

Drill holes AP-12-80 and 84 were drilled easterly away from the breccia to test the limits of the mineralization surrounding the breccia zone, and intersected multiple mineralized intervals, the better of which include 13.18 meters of 0.66 g/t Au, 8.00 meters of 0.58 g/t Au and 15.74 meters of 0.44 g/t Au in AP-12-80, while AP-12-84 intersected 4.80 meters of 0.54 g/t Au and 1.90 meters of 2.59 g/t Au.

Preliminary modelling of the Breccia Zone indicates that it is an irregularly shaped body plunging steeply to the south southwest with nominal true dimensions of 250 meters by 150 meters and a 250 meter vertical depth as announced on September 19, 2011. Drill results reported since then, including the results presented here, indicate that the Breccia Zone mineralization continues to remain open in several directions and continues open at depth. While the true thickness of the high-grade intersections has not been determined, delineation drilling will continue to refine and extend the boundaries of the Breccia Zone until its true dimensions are determined. Completing this drilling is an integral part of the work required to bring the Ana Paula project to an initial NI 43-101 resource estimate, expected in 2012.

Southwest Quadrant Drill Holes

Drill holes AP-12-78 and AP-12-83 both tested targets to follow up the new discovery announced in AP-11-67 (November 28th, 2011 PR). Drill hole AP-11-78, located about 100 meters north and 300 meters west of AP-11-67, intersected moderately anomalous gold over multiple intervals, the best of which include 5.00 meters of 0.54 g/t Au, 12.74 meters of 0.52 g/t Au and 4.62 meters of 0.52 g/t Au.

Drill hole AP-12-83, located about 200 meters north of AP-12-78, intersected some of the strongest mineralization to date in the southwest quadrant with a consistently anomalous intrusion hosted low grade mineralization that includes among other intersects 11.97 meters of 0.52 g/t Au, 24.15 meters of 0.43 g/t Au, 9.50 meters of 0.67 g/t gold, 63.40 meters of 0.42 g/t gold and 17.70 meters of 2.12 g/t gold that in turn includes a 1.87 meter interval of 17.73 g/t Au. These are positive results for this new gold zone considered to be in the early stages of exploration and drilling.

Northeast Quadrant Drill Holes

Drill holes AP-12-79 is an infill hole north of AP-10-16 (23.13 meters of 4.06 g/t Au and 6.1 g/t Ag, January 19, 2011 press release). AP-12-79 intersected multiple intervals including among others 20.43 meters of 0.79 g/t Au and 4.1 g/t Ag, 17.01 meters of 0.77 g/t Au and 4.4 g/t Ag and 11.96 meters of 0.93 g/t Au and 3.6 g/t Ag.

AP-12-82 is a step out hole that tested a new target of advanced argillic alteration exposed at surface and located to the west of any previous drilling, The drill hole was extended to also explore the main Ana Paula mineralized trend at depth. AP-12-82 intersected a strongly mineralized alteration halo where some of the better intersections include 9.50 meters of 1.11 g/t Au and 6.1 g/t Ag, 28.00 meters of 0.94 g/t Au and 16.33 g/t Ag, 7.25 meters of 0.78 g/t Au and 27.7 g/t Ag, 7.14 meters of 0.81 g/t Au and 34.3 g/t Ag and 12.76 meters of 1.05 g/t Au and 12.4 g/t Ag. Additional infill and step out drilling is planned to follow up on these strong results. New drilling is also planned in the northwest quadrant to follow up the area of strong surface alteration that extends to the west.

The Ana Paula Project is central to Newstrike’s 88,000 hectares in the GGB and forms part of a district scale mining camp that is host to Torex Gold’s advanced Morelos Project and to Goldcorp’s producing Los Filos project. Dr. Craig Gibson, PhD, CPG and a qualified person under NI 43-101 has reviewed the contents of this press release.

QA-QC:

Newstrike maintains strict QA-QC protocols for all aspects of their exploration programs that include the systematic insertion of blanks and standards into each sample batch. SGS laboratories or ALS Chemex performed assay analyses reported in this release. All samples are assayed using the respective laboratories certified and industry standard assay techniques for gold and multi-element packages and for over limits; Au was analyzed by 50 gram fire assay with an atomic absorption finish, and other elements were analyzed by multi-element ICP packages.

The reported mineralized intervals in core tend to be separated by “barren” intervals that may or may not contain narrow anomalous sections and local high-grade spikes that are not included in the calculations of mineralized intervals. Unless specified otherwise, reported intersections are calculated according to a protocol that uses a 0.2 g/t Au cut off for bounding assays. Reported grade intervals are based on the original uncut assay certificates as received from the assay labs. They do not include check assays pending at the time of reporting.

The dip of the geology and the mineralized intersections varies across the property and the true widths are not accurately known at this time. True width can be expected to be a smaller percentage of the reported intervals. A table of all weighted grade intercepts over a 0.2 g/t bottom cut is available on the company website together with drill location maps and sections at www.newstrikecapital.com.

A table of selected drill assay highlights:

About Newstrike (TSX VENTURE:NES)

Newstrike Capital Inc. is a gold-silver focused explorer, targeting known and historic mining districts in Mexico. Current management and directors co-discovered Goldcorp’s and Teck’s significant discoveries in Guerrero Gold Belt in Guerrero State, currently in advanced stages of exploration and production.

Newstrike holds a 100% interest in certain exploration properties in Mexico located within two established mining districts; the Au (Ag-Cu) skarn-porphyry camp of the Guerrero Gold Belt, and the polymetallic Pb-Zn-Ag (Au-Cu) rich epithermal camp of the mining districts of Oaxaca State.

FOR FURTHER INFORMATION PLEASE CONTACT:

Richard Whittall

Newstrike Capital Inc.

Director, President & CEO

604-605-4654

604-806-6112 (FAX)

www.newstrikecapital.com

www.newstrikecapital.com/blog

Neither the TSX Venture Exchange (the “TSXV”) nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) has reviewed, nor do they accept responsibility for the adequacy or accuracy of, this release.