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Greystar Announces Re-Filing of Restated Q1 Interim Financial Statements

Greystar Resources Ltd. (TSX:GSL) (the "Company") announces that early next week it will re-file amended and restated condensed consolidated interim financial statements for the three months ended March 31, 2011 to correct its accounting treatment for equity tax expense related to its Colombian operations.

On December 29, 2010, the Colombian Congress passed a law that imposes a 6% equity tax levied on the Company's Colombian operations with effect on January 1, 2011. As a result, total equity tax payable is $6,647,624, which is to be paid in eight equal installments of $830,953 in each of May and September during the years 2011 to 2014. The Company has restated its condensed consolidated interim financial statements for the three months ended March 31, 2011, to record the equity tax liability at its net present value of $5,779,878 and related expense on January 1, 2011, rather than recognizing the installment payments as they arise as previously reported. The impact on the previously reported statement of financial position as at March 31, 2011, and statement of comprehensive loss for the three months ended March 31, 2011, is as follows:

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                            As previously                                  
                                 reported       Adjustment      As restated
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Statement of Financial                                                     
 Position                                                                  
March 31, 2011                                                             
 Current portion of                                                        
  equity tax liability   $              - $      1,657,746 $      1,657,746
 Equity tax liability                   -        4,329,734        4,329,734
 Deficit                     (152,313,762)      (5,987,480)    (158,301,242)

Statement of                                                               
 Comprehensive Loss                                                        
Three Months Ended March                                                   
 31, 2011                                                                  
 Finance costs                     18,330          101,440          119,770
 Equity tax                             -        5,779,878        5,779,878
 Foreign exchange gain         (2,057,826)         106,162       (1,951,664)
 Loss and comprehensive                                                    
  loss for the period                                                      
  attributable to                                                          
  shareholders of the                                                      
  Company                       3,615,977        5,987,480        9,603,457
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The correction had no impact on the statement of cash flows and the Company's financial statements as at and for the year ended December 31, 2010.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.