Oct 19 2010
Alder Resources Ltd. (TSX VENTURE:ALR) has announced that the previously announced drill program has commenced at site with respect to the La Montanita property located in Colombia.
The company has engaged Energold Drilling Corp. to do a 2,500 meter drill program, which began on October 6th, 2010. The Company anticipates that assay results will be available within 45 days. Will Randall, VP Exploration stated, "We are pleased to announce the commencement of the drill program at La Montanita. Recent and historical artisanal mining on this property has helped to identify the potential of this prospect. The drill program, in conjunction with the geophysical and IP program aims to better quantify this potential resource and mark the transition from exploration to potential production for Alder Resources."
The Company also announces that it has entered into a letter agreement (the "Letter Agreement") to sell its right to earn a 60% interest in its Canadian Creek mineral property located in the Whitehorse Mining District (the "Property") to Castillian Resources Corp. ("Castillian"). Alder acquired its interest in the Property pursuant to an option agreement (the "Option Agreement") dated June 11, 2009 entered into between Alder and Cariboo Rose Resources Ltd. (the "Optionor").
In consideration for the acquisition of the right to earn a 60% interest in the Property, Castillian shall pay Alder an aggregate cash fee of $250,000 and to issue to Alder that number of common shares of Castillian which in the aggregate shall equal $1,000,000 over a three (3) year period.
In addition, the parties shall enter into an assignment agreement with the Optionor in accordance with the terms of the Option Agreement (the "Assignment Agreement").
Completion of the transaction remains subject to the satisfactory completion of a 30 day due diligence period, and receipt of all required regulatory and securities approvals, including the approval of the TSX Venture Exchange, along with other customary closing conditions.
Rene Bharti, President and CEO states, "The company is excited at the prospect of being able to focus exclusively on Colombia, while continuing to participate in the upside of what we feel is a valuable asset in the Yukon."
In addition, the Company announces that Carl Jonsson has resigned from the Board of Directors of the Company effective September 28, 2010. The Company would like to thank Mr. Jonsson for his hard efforts with respect to the Company and wish him all the best on future endeavours.
Will Randall, a Director of the Company and a qualified person under NI 43-101, has reviewed and approved the scientific and technical information in this press release.
Source: Alder Resources Ltd.