CanAm Coal Corp.

CanAm Coal Corp.

January 06, 2011 23:30 ET

CanAm Coal Closes $100,000 Private Placement

CALGARY, ALBERTA--(Marketwire - Jan. 6, 2011) - Further to a press release dated January 4, 2011, CanAm Coal Corp. (TSX VENTURE:COE) ("CanAm" or the "Company") has closed the non-brokered private placement of 408,164 units at a price of $0.245 per unit for gross proceeds of $100,000. Each unit consists of one common share and one common share purchase warrant. Each warrant is exercisable at $0.32 per common share for a period of two years from closing. All of the securities issued in connection with the private placement are subject to a four-month and one day hold period (until May 7, 2011).

Proceeds of the private placement will be used to for general operating purposes. The completion of the private placement is subject to final TSX Venture Exchange approval. CanAm has determined that there are exemptions available from the various requirements of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 for the issuance of certain of the units to a company, wholly owned by a director of CanAm, which participated in the private placement (Formal Valuation - Issuer Not Listed on Specified Markets; Minority Approval - Fair Market Value Not More Than $2,500,000).

About CanAm Coal Corp.
CanAm is a coal producer and development company focused on growth through the acquisition, exploration and development of coal resources and resource-related technologies. CanAm's main activities and assets include its Alabama coal mine operations, the exclusive rights to a proprietary Coal to Liquids technology which converts coal into liquid fuels (such as oil, jet fuel) at an economical cost with zero airborne emissions and the Buick Coal Project which holds significant coal resources, 188 million indicated and 103 million inferred resources, in Colorado, USA (see the technical report entitled "Limon Lignite Project, Elbert County, Colorado, USA," dated October 26, 2007 and filed on SEDAR on November 2, 2007). Other coal and related opportunities continue to be evaluated on an ongoing basis.

This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the Company's disclosure documents on the SEDAR website at The Company does not undertake to update any forward-looking information except in accordance with applicable securities laws.

Neither the 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.

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