Acquisition Update

VANCOUVER, July 18, 2011 /CNW/ -- 
VANCOUVER, July 18, 2011 /CNW/ - Stone Resources Limited (TSX-V: SRH) (the "Company") announced today that it will not proceed
 with its previously disclosed potential acquisition of a 55% interest
 in Zhong Ji Mining Company. This decision follows a comprehensive due
 diligence and evaluation process by the Company of Zhong Ji Mining
 Company and its assets.


The Company has identified certain other potential mineral property
 acquisition targets, and is conducting due diligence on these
 prospects. Subject to the satisfaction of conditions including
 completion of due diligence activities, conclusion of the Offering (as
 described below) and obtaining adequate financing, the negotiation of
 definitive agreements, obtaining the consent of shareholders of the
 Company, and the receipt of requisite approvals including that of the
 TSXV, the Company intends to use the proceeds from the Offering to fund
 the acquisition of such mineral properties.


The Company previously announced a non-brokered private placement of
 270,000,000 common shares of the Company at $0.15 per common share for
 gross proceeds up of to $40,500,000 (the "Offering"), for which it has
 received conditional approval from the TSX-V.


On behalf of the Board,


"Yongji Duan"


Yongji Duan 
Chairman


About Stone Resources Limited


Stone Resources Limited (TSX-V: SRH) is a company incorporated in
 Bermuda and listed on the TSX Venture Exchange in Canada. The Company
 is involved with mineral resources exploration and development in Yemen
 and Tanzania. Stone Resources plans to expand and develop its business
 using its effective team of experts in exploration, geology,
 metallurgy, mine engineering, law and finance. 


Cautionary Statement on Forward-Looking Statements


The information in this document contains certain forward-looking
 statements with respect to acquisition and financing activities of the
 Company, based on assumptions about future courses of action. Although
 management has a reasonable basis for the conclusions drawn, risk
 factors and uncertainties may cause actual results to differ materially
 from those currently anticipated in such statements. These risks and
 uncertainties relate to such factors as the ability of the Company to
 complete its due diligence activities, successfully conclude the
 Offering and obtain adequate financing, negotiate definitive
 agreements, obtain the consent of shareholders, and receive requisite
 approvals including that of the TSX-V. In view of these uncertainties
 we caution readers not to place undue reliance on these forward-looking
 statements. Statements made in this document are made as of the date
 hereof and the Company disclaims any intention or obligation to update
 or revise any statements made herein, except in accordance with
 applicable securities laws.


Neither TSX Venture Exchange nor its Regulation Services Provider (as
 that term is defined in policies of the TSX Venture Exchange) accepts
 responsibility for the adequacy or accuracy of this release.



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p Mr. Kelei Xin at 001-604-3220607 /p 

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