Encanto Potash Corp V.EPO.H

RE: RE: Encanto Corp start

[theorlando]

Raytec finalizes agreements with Encanto Potash Corp. and acquires shares

    TSX.V-RAY

VANCOUVER, Aug. 24 /2009/ - Raytec Metals Corp. (the "Company" or
"Raytec") (TSX.V - RAY) is pleased to announce that it has closed its
previously announced transactions with Encanto Potash Corp. ("Encanto").
Raytec has transferred all of its interests in its potash properties in
Saskatchewan to Encanto's operating subsidiary in exchange for 19,846,525
common shares of Encanto, at a deemed total value of 
.25 per share
($4,961,631 in total). As a result, Raytec now owns 19,846,525 common shares
of Encanto representing approximately 14.76% of the common shares of Encanto.
Raytec has acquired the common shares of Encanto for investment purposes.
Raytec will also incur $6,500,000 in expenditures on Encanto's existing
potash properties and Raytec's potash properties (collectively, the "Potash
Properties") by December 31, 2009, to earn a 51% interest in the Potash
Properties. Encanto will have the option to repurchase the 51% Raytec interest
in the Potash Properties for 26,000,000 common shares of Encanto. If this
option is exercised, Raytec will own an aggregate of up to 45,846,525 shares
of Encanto which will be equal to an estimated 28.57% of Encanto's issued
shares based on its current issued share capital.

Raytec became lion energy