i found the answer to my problem; here's the solution and hope it helps someone.
ref - http://msdn.microsoft.com/en-us/library/ms403356.aspx
copy the dll to the following folder(s). the exact folder depends on whether your on x64 or x86 (doesn't hurt to have it on both):
C:\Program Files (x86)\Microsoft SQL Server\100\DTS\PipelineComponents
C:\Program Files\Microsoft SQL Server\100\DTS\PipelineComponentsInstall the dll to your GAC. you will need to have it signed to do this.
In BI Dev Studio, go to Tools > Choose Toolbox Items. you will find your data source in the "SSIS Dataflow Items" tab
For steps 1 & 2 you might find it helpful to have a post build event like follows:
"C:\Program Files (x86)\Microsoft SDKs\Windows\v7.0A\bin\NETFX 4.0 Tools\gacutil.exe" -u $(TargetName)
"C:\Program Files (x86)\Microsoft SDKs\Windows\v7.0A\bin\NETFX 4.0 Tools\gacutil.exe" -iF $(TargetFileName)
copy $(TargetPath) "C:\Program Files\Microsoft SQL Server\100\DTS\PipelineComponents"
copy $(TargetPath) "C:\Program Files (x86)\Microsoft SQL Server\100\DTS\PipelineComponents"
Small Edit to the answer:
If you're using SSIS 2012 with BIDS 2010, the toolbox items get added automatically (i.e. u don't have to go to Tools > Choose Toolbox Items) you just need to copy it to the dll right places (ref - http://fendy-huang.blogspot.com/2011/09/how-to-add-ssis-custom-component-to.html):
C:\Program Files\Microsoft SQL Server\110\DTS\PipelineComponents
C:\Program Files (x86)\Microsoft SQL Server\110\DTS\PipelineComponents
C:\Program Files\Microsoft SQL Server\110\DTS\Tasks
C:\Program Files (x86)\Microsoft SQL Server\110\DTS\Tasks