Eagle Star Minerals Receives Assay Results From Channel Samples of Up to 4.0m at 2.77% P2O5 (incl. 3.0m at 3.17% P2O5) that Confirm the Phosphate Mineralization Over 15 Kilometers at Canabrava

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 5, 2012) - Eagle Star Minerals Corp. (TSX VENTURE:EGE)(PINKSHEETS:ELGSF)(FRANKFURT:E6R) ("Eagle Star" or "the Company") is pleased to announce that composite interval channel sampling results confirm phosphate mineralization within the previously announced 7 meter mineralized package over the 15 kilometers outlined strike area (see press release dated June 21, 2012). Results for an additional eight points are still pending.

The area is located less than 20km to the north of Picos, the third largest city in Piauí State, Brazil. The city is at the center of the state and benefits from good infrastructure including close proximity to large agricultural centers and railroads. The Bocaina dam located at the heart of the concession block, can supply water for the future beneficiation process.

The Canabrava Block is 100% wholly owned and covers 40,678 hectares across 23 mineral claims.

To view the map accompanying this press release please click on the following link: http://media3.marketwire.com/docs/EGEmap.pdf

John Harrop, P.Geo, FGS, of Coast Mountain Geological Ltd., a qualified person under NI 43-101, reviewed and approved the technical disclosures of this press release on behalf of the Company.

Sector	Point	Elevation	Package thickness		Composite results from channel sampling (P2O5)
CB-Central	CBG01	278	2m		2.0m @ 1.46%
CB-North	CBG02	290	0.5m		0.5m @ 0.3%
CB-North	CBG03	280	7m		7.0m @ 0.6% incl. 1.3m @ 1.7%
CB-North	CBG04	326	5m		5.0m @ 1.1% incl. 3.0m @ 1.27% incl. 1.0m @ 2%
CB-North	CBG05	297	4m		4.0m @ 1.3%; including 2.0m @ 1.7%
CB-South	CBG06	239	2m		2.0m @ 1.3%
CB-North	CBG07	285	6.05m		5.15m @ 0.53 including 1.3 m @ 1.3.%
CB-South	CBG08	289	6.7m		5.7m @ 1.4% incl. 2.15m @ 2.24% incl. 1.0m @ 3.8%
CB-North	CBG09	415	0.6m		0.6m @ 1.88%
CB-North	CBG10	316	0.7m		0.7m @ 3.35%
CB-North	CBG11	301	4.0m		4.0m @ 2.77% incl. 3.0m @ 3.17%
CB-South	CBL01	252	1.5m		1.5m @ 2.42%
CB-North	CBL02	300	2m		2.0m @ 1.77%
CB-North	CBL03	288	2m		2.0m @ 1.71%
CB-North	CBL04	293	2.20m		2.20m @ 2.6%
CB-North	CBL05	296	5.80m		5.80m @ 1.13% incl. 3.50m @ 1.35%
CB-Central	CBL06	364	1.5m		1.5m @ 0.97%
CB-North	CBL07	393	1.8m		1.80m @ 4.7%
CB-South	CBL09	254			Pending
CB-South	CBL10	279			Pending
CB-South	CBL11	278			Pending
CB-Central	CBL12	290			Pending
CB-Central	CBL13	307			Pending
CB-Central	CBL14	289			Pending
CB-North	CBL15	293			Pending
CB-North	CBL16	330			Pending

The composite channel samples aggregate both the high-grade sandstone (4-12%) and low- grade siltstone (1-3%) into one average result. Eagle Star intends to separate both materials using a common mining process that relies on the significant difference between their physical attributes (weight, density, grain size) of both materials, thus enabling separation of homogeneous and higher grade fractions to SSP standard grade of 28% P₂O₅ and use the low grade by product as natural fertilizer.

Chemical and Metallurgical Tests (solubility)

Chemical and metallurgical tests with an objective to determine solubility (conversion of phosphorus in citric acid solution and in CNA+water) are currently taking place. Results from the chip samples that are representative of the mineralized rock types are expected by mid-July.
Positive solubility results rely on the rock characteristics.

Description of thin sections being carried out will also assist the interpretation of the solubility results.

Sedimentary rocks typically show greater phosphate solubility than that of crystalline rocks.

To view the photos accompanying this press release please click on the following link: http://media3.marketwire.com/docs/EGEphotos.pdf

Characterization of lateral and vertical variation of grade and solubility

A study to characterize the lateral and vertical variation of grade and solubility within the materials that compose the mineralized package is ongoing. The locations to conduct the work were selected based on the best composite results, favorable exposure for sampling and the distribution within the mineralized outline. At point CBG-11 (3m at 3.17% P₂O₅) the sampling will be done on walls within trenches. Pit opening will be conducted at the southern portion, where the geological evidence show that the mineralized package is covered by thin overburden coverage.

To view Lateral and Vertical Variation please click on the following link: http://media3.marketwire.com/docs/EGEvariation.pdf

Perspectives

The potential outline extends over at least 15km in strike and is supported by the spatial distribution of the composite results from channel sampling.

The fact that the rock types are stratified and horizontal by nature, and considering that the composite results from channel samples occur within a topographic interval up to 100 meters, the possibility of having successive packages (with different thicknesses and grades) is believed to be highly likely. The presence of regional lineaments that cross the area may also explain the topographic variation observed.

The cumulative understanding of the geology (local and regional) and the characterization of the elements that control the mineralization is supporting the genetic model that has been developed by Eagle Stars' technical team.

Analytical work was conducted by SGS Geosol Laboratórios Ltda. at their Vespasiano facility in Brazil. SGS Geosol is an ISO certified laboratory and as part of the SGS group of laboratories is widely recognized as an expert in geochemical analysis and assaying.

John Harrop, P.Geo, FGS, of Coast Mountain Geological Ltd., a qualified person under NI 43-101, reviewed and approved the technical disclosures of this press release on behalf of the Company.

Conclusions

"The team is now eagerly awaiting results from the chemical and metallurgical tests. The combination of positive results from these tests with the information already available on the extent of the mineralized package will confirm that we have discovered a package of significant volume and grade that could be further expanded by way of drilling and could be exploited economically," commented Dr. Campos, Eagle Stars' COO, Director and expert on phosphate.

About the Company

Eagle Star Minerals Corp. is a publicly listed company focused on the acquisition, exploration and development of agro-mineral properties in Brazil. Over the past two years, Eagle Star Minerals has strategically grown its' presence in Brazil and continues to focus on maximizing shareholder value by acquiring assets located in geological areas known for proven phosphate mineralization, coupled with good logistics in close proximity to agriculture.

The Company's shares are publicly traded on the TSX Venture Exchange under the symbol EGE, on the OTC Pink Sheets under the symbol ELGSF and on Frankfurt Stock Exchange under the symbol E6R.

On behalf of the Board of Directors

EAGLE STAR MINERALS CORP.

Eran Friedlander, President