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Message: Goldstream Exploration

Griz..

Check it out here..

http://www.prodigygold.com/_resources/news/nr_2011_10_19.pdf

Here is a press release.

Goldstream Exploration Ltd. Closes Financing, Options Hardrock East Project

Toronto, Ontario CANADA, October 19, 2011 /FSC/ - Goldstream Exploration Ltd.("Goldstream" or "Goldstream Exploration"), is pleased to announce that it has signed an agreement (the "agreement") with Prodigy Gold Incorporated (PDG: TSX.V) ("Prodigy" or "Prodigy Gold") and the principals of Bayfront Capital Partners ("Bayfront"), among others, to form Goldstream Exploration, an Ontario corporation focused on the exploration and development of the Hardrock East project in the Beardmore-Geraldton gold camp of northern Ontario. As part of the agreement, Prodigy has granted an option (the "option" or "option agreement") to Goldstream to acquire 100% of Prodigy's interest in a group of properties located in the eastern portion of the Beardmore-Geraldton Gold Camp, collectively referred to as the Hardrock East project. Goldstream can exercise the option to acquire the Hardrock East project by: 1) completing an equity financing of Goldstream by October 31, 2011 of at least $3,000,000 (the "financing"), 2) issuing Prodigy shares representing 30% of the outstanding voting shares of Goldstream on a fully diluted basis after giving effect to the financing, and 3) incurring exploration expenditures of $1,000,000 by December 31, 2012 and a further $1,000,000 in exploration expenditures by December 31, 2013 at Hardrock East or completing a qualifying Going Public Event by December 31, 2013.

Pursuant to the option agreement outlined above, Goldstream Exploration is pleased to announce that it has closed a private placement to raise approximately $3,025,000. Bayfront acted as agents in the financing and have placed 11,227,500 common shares at a price of $0.20 per share plus 3,389,569 flow-through common shares at a price of $0.23 per flow-through common share. As consideration for their services, Bayfront was paid a cash commission of $151,250, equal to 5% of the gross proceeds of the financing. The proceeds from the private placement will be used to fund Goldstream's exploration of the Hardrock East project and general corporate purposes. In accordance with the option agreement, Goldstream has also issued 10,764,458 common shares to Prodigy Gold, representing 30% of the outstanding voting shares of Goldstream on a fully diluted basis after giving effect to the financing.

The Hardrock East project consists of a land package totaling over 350 square kilometres in the eastern portion of the Beardmore-Geraldton gold camp. Hardrock East encompasses claims previously staked by Prodigy as well as Prodigy's Milestone, Adel, Solarus and Pagwachuan Lake projects. Mr. Michael Berry, Director of Goldstream commented: "Goldstream is very pleased to have signed this agreement with Prodigy to acquire the Hardrock East gold project. We believe the property has excellent exploration potential and we look forward to beginning our exploration program immediately. We intend to leverage the exploration success accomplished by Prodigy into a flagship project for Goldstream Exploration".


All scientific and technical information for the Hardrock East project has been reviewed and approved by Tom Pollock, P.Geo., a member of Goldstream Exploration's Management Committee, who is a qualified person under the definitions established by National Instrument 43-101.


On behalf of the Board of Directors

Michael Berry
Director


FOR FURTHER INFORMATION, PLEASE CONTACT:

Goldstream Exploration Ltd.
Kimberly Ann, Corporate Communications
Email: kimberly.ann@ka-gold.com
tel.: 530-414-4400

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