Mr. Bill Pearson reports

CASTILLIAN ANNOUNCES $10 MILLION BOUGHT DEAL PRIVATE PLACEMENT OF COMMON SHARES AND FLOW-THROUGH COMMON SHARES

Castillian Resources Corp. has entered into a private placement financing agreement with a syndicate of agents led by RBC Capital Markets, and Dundee Securities Ltd. to purchase common shares at 20 cents per common share and flow-through common shares at 20 cents per flow-through share of the company for aggregate gross proceeds of $10-million. The flow-through component of the offering will not exceed $5.5-million. Up to 50 million common shares of the company will be issued in connection with the offering.

The net proceeds of the common share offering will be used for exploration at the company's Hope Brook gold project and for general working capital purposes. The net proceeds of the flow-through common shares will be used by the company to incur Canadian exploration expenses prior to Dec. 31, 2012, on Castillian's Canadian properties. The company will renounce the qualifying expenditures to subscribers of the flow-through shares for the fiscal year ended Dec. 31, 2011.

The offering is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the approval of the TSX Venture Exchange. Closing is expected on or about March 23, 2011.

In connection with the offering, the company has agreed to pay the underwriters a cash commission an amount equal to 5 per cent of the gross proceeds of the offering. In addition, the company will issue the underwriters compensation warrants entitling the underwriters to acquire that number of common shares equal to 5 per cent of the total number of shares sold pursuant to the offering. Subject to regulatory approval, each compensation warrant shall be exercisable to acquire a common share at a price equal to the common share offering price for a period of 24 months following the closing of the offering.

The company will file today a disclosure supplement to enhance the executive compensation disclosure contained in its May 18, 2010, management information circular. The disclosure supplement will be available on SEDAR.