Cadence Reports Continued Drilling Success on Fourth and Fifth Wells at De Soto Parish Property; Sixth Well in Progress.

Business Editors

WALLA WALLA, Wash.--(BUSINESS WIRE)--Jan. 16, 2004

Cadence Resources Corp (OTCBB: CDNR) announced today successful results obtained from drilling and logging of its fourth and fifth wells in De Soto Parish, Louisiana. The fourth well, the Eva Gamble #32-1, was drilled to a total depth of 10,300 feet targeting multiple pay zones in the Hosston and Cotton Valley sands. Results of the well logs indicate that there are 95 feet of pay in the Cotton Valley and 73 feet of pay in the Hosston sand formations. Cadence has a 45% working interest in this well.

The fifth well, called the Lewis 29-1, was also drilled to 10,300 feet. Results of the well logs indicate that there are 114 feet of pay in the Cotton Valley and 164 feet of pay in the Hosston sand formations. Cadence has a 45% working interest in this well.

The sixth well to be drilled on the project is well on its way to a total depth of approximately 10,300 feet, having obtained a depth of over 8000 feet as of today. Further results on this well will be released when available.

The project is a joint venture with Bridas Energy USA, which is based in Houston, and has operations in the Texas-Louisiana Gulf Coast Area. Cadence Resources is an oil and gas exploration company based in Walla Walla, Washington with development activities in Louisiana, Kansas, Texas, and Michigan.

Certain statements contained herein may contain forward-looking statements that involve risks and uncertainties. Therefore, actual results may differ materially from those projected or implied. As a result, these forward-looking statements represent the Company's best judgment as of the date of this news release.