Cornerstone provides update on the La Plata VMS project, Ecuador

Mount Pearl, NL - October 16, 2007 - Cornerstone Capital Resources Inc. (TSXV-CGP) (F-GWN) (B-GWN) (OTC-CTNXF) has been advised by joint venture partner Coastport Capital Inc. (TSXV-CPP) (F-C1J) that it has decided not to exercise its option to earn up to a 70% interest in the La Plata gold-rich copper-zinc massive sulphide project in Ecuador, which Cornerstone is acquiring from Sultana del Condor SA, a private Ecuadorian mining company.

Under the option/earn in agreement, Coastport funded a Phase I and a Phase II drilling program for a total cost of approximately US$3 million comprising approximately 6000 m of drilling, on the La Mina deposit, and Guatuza and San Pablo prospects at the La Plata project. The drilling results to date are summarized in figures and tables at http://www.cornerstoneresources.com/s/Ecuador.asp?ReportID6199. 

As a result of a geological evaluation undertaken by Bruce Mitton, PGeo., Cornerstone's Exploration Manager, Canada, and VMS consultant Dr. James Franklin, PGeo., Cornerstone is considering whether or not to exercise its option to earn up to a 70% interest in the La Plata project from Sultana. The earn-in terms require the expenditure of US$3M, which has been expended by Coastport, and completing the payment of $125,000 and issuing Cornerstone shares equal to a value of $125,000 before December 31, 2007. Having met the exploration expenditure requirement and by completing these additional payments Cornerstone may earn a 51% interest in the La Plata project if it so elects.

The conclusion of the geological evaluation is that there are a number of untested drill targets of merit on the project that require follow-up drilling. Cornerstone is considering its options regarding how best to move the exploration of the La Plata deposit and other prospects on the project forward.

This press release was prepared by Mike Basha, PEng, PGeo, Cornerstone's Vice President Exploration and a Qualified Person as per the definition in National Instrument 43-101. Bolivar Reza, Ing., and Bruce Mitton, PGeo, are supervising the field program. 

About Cornerstone
Cornerstone's business model is based on maximizing the potential for exploration success with multiple high quality exploration projects that are financed primarily through joint venture partnerships and that have the potential to yield outstanding returns to the company and its shareholders. Current and past joint venture partners include Agnico Eagle, Celtic, Cash Minerals, Candente, Coastport, Cogitore, Falconbridge, Inmet, Kermode, Mountain Lake, Moydow, Noranda, Phelps Dodge, and Thundermin.

On Behalf of the Board,
Glen H. McKay
President & CEO

Further information is available on the Cornerstone Web site at WWW.CORNERSTONERESOURCES.COM; VIA E-MAIL AT COMMUNICATIONS@CRIGOLD.COM; OR TOLL FREE AT 1-877-277-8377.

RENMARK FINANCIAL COMMUNICATIONS INC.
TINA CAMERON : TCAMERON@RENMARKFINANCIAL.COM
MAURICE DAGENAIS : MDAGENAIS@RENMARKFINANCIAL.COM
TEL. : (514) 939-3989
FAX : (514) 939-3717
WWW.RENMARKFINANCIAL.COM

THE COMMON SHARES OF THE COMPANY ARE CURRENTLY LISTED ON THE TSXV IN CANADA (SYMBOL CGP), THE OTC IN THE USA (SYMBOL CTNXF) AND THE FRANKFURT STOCK EXCHANGE (SYMBOL GWN)

THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.