VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 09/24/10 -- Mr. Ivan Bebek reports,
Cayden Resources Inc. (TSX VENTURE: CYD) ("Company"), formerly Vistech Capital Corp., is pleased to announce that it has completed its Qualifying Transaction (the "Transaction") described in its filing statement dated September 16, 2010 and as originally announced by the Company's news release of July 8, 2010.
Effective at the opening of the market on Friday, September 24, 2010, the common shares of the Company will resume trading on Tier 2 of the TSX Venture Exchange (the "Exchange") under the new trading symbol CYD, and the common shares of Vistech Capital Corp. will be delisted. The Company will no longer be considered a Capital Pool Company and will be classified as a "Mineral Exploration and Development" company.
Qualifying Transaction- Acquisition of a 100% interest in the Wildcat Property
Under the terms of a property option agreement dated July 2, 2010 (the "Option Agreement") between the Company and HRS Resources Corp. ("HRS"), the Company has been granted an option to acquire up to a 100% interest in the Wildcat Property. The Wildcat Property consists of five mineral claims totaling 3,227 hectares located approximately 65 kilometers north of Fort St. James, 75 kilometers west of Mackenzie and 150 kilometers northwest of Prince George in the Omineca Mining Division of north-central British Columbia.
Under the Option Agreement, the Company can earn up to a 100% undivided interest in the Wildcat Property by making total cash payments of $575,000, issuing to HRS 425,000 common shares and expending $600,000 on the Wildcat Property over the next 7 years and prior to the anniversary dates of Exchange acceptance to the Transaction as follows:
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Exploration
Due Dates Cash Payments Shares Expenditures
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September 24, 2011 CDN $200,000 on
professionally
documented
geophysical
surveying or diamond
drilling
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September 24, 2012 CDN $400,000 on
professionally
documented
geophysical
surveying or diamond
drilling
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September 24, 2013 CDN $50,000 50,000
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September 24, 2014 CDN $75,000 75,000
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September 24, 2015 CDN $100,000 75,000
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September 24, 2016 CDN $150,000 75,000
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September 24, 2017 CDN $200,000 150,000
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Each additional CDN $50,000
anniversary date of
Exchange approval of the
Option Agreement (to be
treated as advance
payments against 2% Net
Smelter Returns royalty)
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Following the Company's acquisition of its 100% interest from HRS, HRS retains a Net Smelter Returns royalty of 2%.
The full particulars of the Company's acquisition of the Wildcat Property are set forth in the Filing Statement, which is available under the Company's profile on SEDAR.
Non Brokered Private Placement
The Company has closed its concurrent non brokered Private Placement for 3,739,917 common shares at a purchase price of $1.20 per common share for gross proceeds of $4,487,900.40.
Transfer within Escrow
In conjunction with the completion of the Transaction, a total of 140,000 common shares held under the Company's CPC Escrow Agreement were sold to Peter Rees and Daniel McCoy (incoming directors of the Company) and Shawn Wallace.
New Management
The Company is also pleased to announce the appointment of Peter Rees and Daniel McCoy as new members of the Company's management. Peter Rees will be a director, the Company's Chief Financial Officer and its Corporate Secretary and Daniel McCoy will be a director. The Company would like to thank Adam Cegielski who has been involved with the Company since its formation but has resigned as director effective as of the closing of the Transaction.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Cayden Resources Inc.
Jay Adelaar
Manager of Investor Relations
(604) 683-8193
(604) 683-8194 (FAX)
