Canaco Resources Inc.

Canaco Resources Inc.

October 05, 2011 06:00 ET

Canaco Appoints David Sinitsin as Vice President Project Development and Adds Peter Mordaunt to Advisory Board

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 5, 2011) - Canaco Resources Inc. (TSX VENTURE:CAN) ("Canaco" or the "Company") is pleased to announce the appointment of David Sinitsin to the position of Vice President Project Development, and the appointment of Peter Mordaunt to the Advisory Board.

Vice President Project Development

Mr. Sinitsin's career spans 28 years in industry, encompassing significant activities in project development, planning, financing, permitting and execution. His responsibilities have ranged from research and prototype development through to successful completion of feasibility studies and large, multi-discipline, international construction projects for the mining, chemical, pulp and paper industries. He has held increasingly senior positions in engineering and project development with Emgold Mining, Hunter Dickinson and Freeport McMoRan. Most recently he was Director of Project Development at Silver Standard Resources Inc., where he was responsible for all aspects of project development.

In his new role at Canaco Mr. Sinitsin will lead the advancement of the Handeni project into development, beginning with an initial resource estimate planned for completion in the first quarter of 2012. He will also direct the preliminary economic assessment (PEA) scheduled for completion by the end of June 2012. The PEA will include metallurgical testing, geotechnical assessment, a preliminary mine plan, mill flow-sheet design, engineering design, estimation and economic analysis.

Mr. Sinitsin holds both BSc and MSc degrees in Mechanical Engineering from the University of British Columbia and is a registered member of the Association of Professional Engineers and Geoscientists of B.C.

Advisory Board

Mr. Mordaunt is a Registered Professional Geoscientist with more than 25 years of experience in mining, mine development and advanced exploration. In January 2010 he retired from the role of Chairman and CEO of Stingray Copper Inc., which he founded, managed and merged with Mercator Minerals Ltd. in December 2009. Previous to that he was Chairman and CEO of Corner Bay Silver Inc., which he also founded and managed until its merger with Pan American Silver Inc. in 2003.

Mr. Mordaunt's business skills have been focused on advanced project development leading to bankable feasibility studies, finance and corporate development. He graduated from the University of Guelph in 1984 and is a registered Professional Geoscientist in the Province of Ontario. He is a member of the Institute of Corporate Directors and has the Professional Certification as ICD.D. Mr. Mordaunt also serves as a Director of Argonaut Gold Inc., Lipari Energy, Inc. and Ethos Capital Corp.

Canaco President and CEO Andrew Lee Smith said: "These appointments signal Canaco's commitment to the rapid advancement of the Handeni project, which we believe will emerge as a world-class mining asset. We have identified several important milestones over the coming 12 months, beginning with our initial resource estimate and PEA, which will transform the project and the Company. Mr. Sinitsin and Mr. Mordaunt will play key roles in the ongoing development of the project. Please join me in welcoming them to the Canaco team."

Stock Options

Pursuant to the Company's Stock Option Plan, Canaco has granted 150,000 stock options to an officer of the Company. The options have an exercise price of $1.80 per share and an expiry date of October 4, 2016.

About Canaco

Canaco is a Vancouver-based mineral exploration company focused on advanced exploration projects in Africa. Built on a foundation of experienced management, the Company is rapidly advancing the Handeni project in Tanzania and is well positioned to build shareholder value through discovery and resource development.

Canaco's shares trade on the TSX Venture Exchange under the symbol CAN.

On behalf of the Board of Directors:

Andrew Lee Smith, P.Geo., President, CEO and Director

Cautionary Statement Regarding Forward-Looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "anticipate", "believe", "plan", "expect", "intend", "estimate", "forecast", "project", "budget", "schedule", "may", "will", "could", "might", "should" or variations of such words or similar words or expressions. Forward-looking information is based on reasonable assumptions that have been made by the Company as at the date of such information and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: risks associated with mineral exploration and development; metal and mineral prices; availability of capital; accuracy of the Company's projections and estimates; interest and exchange rates; competition; stock price fluctuations; availability of drilling equipment and access; actual results of current exploration activities; government regulation; political or economic developments; environmental risks; insurance risks; capital expenditures; operating or technical difficulties in connection with development activities; personnel relations; the speculative nature of strategic metal exploration and development including the risks of diminishing quantities of grades of reserves; contests over title to properties; and changes in project parameters as plans continue to be refined. Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to the price of gold; the demand for gold; the ability to carry on exploration and development activities; the timely receipt of any required approvals; the ability to obtain qualified personnel, equipment and services in a timely and cost-efficient manner; the ability to operate in a safe, efficient and effective manner; and the regulatory framework regarding environmental matters, and such other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking contained herein, except in accordance with applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Canaco Resources Inc.
    Meghan Brown
    Director Investor Relations
    604-488-2557 or Toll Free: 1-866-488-0822
    604-899-1240 (FAX)