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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers

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From: maxncompany4/25/2006 1:42:11 AM
   of 78416
 
Capstone declares Silverstone dividend in kind

2006-04-24 19:03 ET - News Release

Mr. Darren Pylot reports

CAPSTONE DECLARES SILVERSTONE DIVIDEND AND SETS THE RECORD DATE

Capstone Mining Corp. and Silverstone Resources Corp. have received conditional approval from the TSX Venture Exchange for the listing of Silverstone's common shares and warrants, and have received a receipt for Silverstone's final prospectus from Canadian securities commissions. Silverstone will trade under the symbol SST. The listing is conditional on the closing of the distribution of the company's units to the shareholders of Capstone Mining, by way of a dividend in kind on the basis of one Silverstone unit for every three common shares held in Capstone. Each Silverstone unit will comprise one common share of Silverstone and one-half of one transferable share purchase warrant of Silverstone. Each whole warrant will entitle the holder to purchase one common share at an exercise price set at a 50-per-cent premium to the volume-weighted average trading price of the common shares on the first five days of trading. The term of the warrants will commence on the date the warrants are listed for trading on the exchange and expire one year from the date of listing of the common shares on the exchange.

The board of directors of Capstone Mining has determined May 5, 2006, as the record date for the purposes of the distribution of the dividend in kind. The dividend in kind will only be distributed to those individuals who hold shares as of the record date. No distribution will be made in regard of any convertible rights issued by Capstone, including any outstanding options and warrants. Following the completion of the distribution of the dividend in kind, further news as to the date of listing and trading of the common shares and warrants will be announced. Trading in the shares of Silverstone on the exchange is expected within approximately two weeks of the date of distribution, subject to regulatory approval. The exact date will be issued in a future news release.

We seek Safe Harbor.
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