RE: RE: news!!!! GXS PartAGREEMENT WITH GOLDSOURCE
As noted in Westcore's news release datedDecember 11, 2009, Westcore's agreement with Goldsource defined the term,"Success Criteria" as the "successful drilling of at least one interceptconsisting of not less than 10 metres of coal on each of two drill targetsidentified by Goldsource". As the Success Criteria have been satisfied, thefollowing terms of the foregoing agreement will now take effect;
(a) Westcore will issue an additional 1.0 million common shares of Westcore
to Goldsource;
(b) Goldsource will receive a 25% working interest in all of Westcore coal
lands in Saskatchewan and Manitoba;
(c) Westcore will expend an additional $3.0 million on the aforementioned
lands before Goldsource will be required to contribute its 25% of
expenditures;
(d) Westcore and Goldsource will enter into a 75% / 25% joint venture
agreement with terms and conditions standard to mining industry joint
ventures;
(e) Goldsource will contribute its 100% interest in its 10 sections of
coal permits that are within Westcore's northern block adjacent to
Border in Saskatchewan; and
(f) In the event that Westcore acquires interests from time to time in any
additional prospective coal properties in Saskatchewan or Manitoba,
Goldsource shall have the option to acquire a 25% joint venture
participating interest therein.