Newstrike Capital Inc. (“Newstrike” or the “Company”) – is pleased to announce it has entered into an agreement dated February 11th, 2010 to acquire a 100% interest in certain mining concessions situated in Guerrero State, Mexico, referred to as the “Ana Paula Properties” from Desarrollos Mineros San Luis, S.A. de C.V. (“DMSL”), a wholly-owned subsidiary company of Goldcorp Inc. (TSX:G, NYSE:GG).

As consideration for the Ana Paula Properties, Newstrike will pay to DMSL the amount of CAD$1.5 million in cash and a number of common shares in Newstrike that is equal to CAD$600,000, such shares to be issued at a price that is based on the volume weighted average trading price of the shares of Newstrike on the TSX Venture Exchange for the 20 consecutive trading days ending on the trading date prior to the issue date.

Located within the Guerrero Gold Belt, the Ana Paula Properties consist of four claims that in total aggregate 7,622 hectares (ha). The most advanced of these claims has been subject to 3,689 metres of drilling by Goldcorp.

Richard Whittall, President & CEO of Newstrike, commented:  “We are pleased to extend our strategic footprint within the Guerrero Gold Belt. The acquisition of Ana Paula certainly complements our 81,000 hectares of highly prospective mineral claims in the immediate area. Our management team is very familiar with Ana Paula’s geological setting and we look forward to advancing the work conducted by Goldcorp to date.”

Closing of the transaction is expected in April 2010 and is subject to receipt of all required shareholder, regulatory and third party consents, satisfaction of customary closing conditions

Vancouver, B.C., February 24, 2010 – Newstrike Capital Inc. (TSX-V: NES) (“Newstrike” or “the Company”) – www.newstrikecapital.com – today announced that its common shares will be listed on the TSX Venture Exchange (“TSXV”) with effect as of Wednesday, February 24, 2010.  The Company has met the requirements to list its common shares on the TSXV as a Tier 2 mining issuer, and the reactivation from the NEX to the TSXV has been approved.  The Company’s common shares will commence trading on the TSXV effective at the opening of the TSXV on Wednesday, February 24, 2010 under the symbol “NES”.

In conjunction with the reactivation, Newstrike announces that the TSXV has accepted for filing the Company’s September 30, 2009 technical report entitled “Geological Report and Summary of Field Examinations, Aurea Norte Project, Municipalities of Apaxtla, Cocula and Cuetzala del Progreso, Guerrero State, Mexico” (the “Technical Report”).  The Technical Report, authored by R.A. Lunceford, M.Sc., CPG, was prepared in respect of the Aurea Norte property, owned 100% by Minera Aurea, S.A. de C.V., the Company’s indirect wholly-owned subsidiary.  The Technical Report includes a recommended work program in respect of the Aurea Norte property with a proposed budget of $700,000.  A copy of the Technical Report has been filed on SEDAR under Newstrike’s profile.

In conjunction with the reactivation, an aggregate of 3,500,000 common shares of Newstrike were issued pursuant to the terms of subscription receipts issued as a part of Newstrike’s private placement which closed January 20, 2010.  Upon issuance of such shares, an aggregate of $1,400,000, plus interest, was released to Newstrike from escrow.  The Company intends to use the net proceeds of from the subscription receipts to fund the work program outlined in the Technical Report and for working capital purposes.

Following completion of the reactivation and the issuance of shares pursuant to the subscription receipts, Newstrike has 67,012,877 shares outstanding.

About Newstrike (TSX-V: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 gold bearing oxidized iron skarn-porphyry camp of the Guerrero Gold Belt, and the polymetallic Ag-Au-Cu rich epithermal camp of the mining districts of Oaxaca State.

For further information contact:

Richard O’C. Whittall
Chief Executive Officer
Phone: 604.604.4654

website: www.newstrikecapital.com
blogsite: http://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.