Canamex Resources Corp.
TSX VENTURE : CSQ
OTCQX : CNMXF
FRANKFURT : CX6

Canamex Resources Corp.

June 27, 2012 10:00 ET

Canamex Resources Corp.: Bruner Gold Project in Nye County, Nevada Progressing Well

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 27, 2012) - Canamex Resources Corp. (TSX VENTURE:CSQ)(OTCQX:CNMXF)(FRANKFURT:CX6) is pleased to report that cyanide leach tests running on bulk samples from the historic resource area at the Bruner Project in Nye County, Nevada are progressing well. "We appear to be well on our way to realizing +80% gold extraction from these two column tests," stated Chairman & CEO, Greg Hahn. "We believe that if we can achieve ~80% extraction of gold from this historic resource area we can justify drilling the historic resource and the adjacent northern extension and exploration area to bring the resource up to NI 43- 101 reporting standards for measured and indicated resources, and then proceed to a Preliminary Economic Assessment on that resource."

Highlights

  • Gold is effectively completely soluble in cyanide
  • Heap leach gold extraction is at 71-77% after 27 days and likely to top 80% ultimately
  • Reagent (cyanide, lime and cement) consumption low

Bruner Target Areas

"The Bruner Project is very exciting because it contains two targets: the historic low-grade resource which is the subject of the tests reported herein, and the potential for a high-grade vein system confirmed by the exceptional intercept in drill hole B-1115 announced earlier this year," continued Hahn. Further to its announcement on May 23rd, the Company has commenced RC drilling of the Penelas East vein system and adjacent low-grade envelope surrounding the vein. The first hole of a six to seven hole program has been completed, and samples from it have been shipped to ALS-Chemex in Reno for preparation and analyses. Turnaround time at the lab is currently running about three weeks. The drill rig is currently on the second hole.

Bottle Roll Cyanide Tests to Determine Head Grade and Total Cyanide Solubility

Bottle roll cyanide leach tests were run on a representative split of the bulk sample taken from underground in the upper adit within the historic resource area of the Bruner gold-silver project. The sample location is within a conceptual pit on the historic resource area and was selected to evaluate the leach characteristics of the historic resource area prior to further drilling of the resource to bring it up to current NI 43-101 standards for reporting purposes. Four bottle rolls cyanidation tests were run: two at a -10 mesh particle size for 144 hours and two at a -200 mesh particle size for 96 hours. Cyanide extractions for gold range from 79-81% for the -10 mesh particle size tests and 99% for the two -200 mesh particle size tests. These results indicate that the gold in the bulk sample is for all intents and purposes completely soluble in cyanide given enough exposure to cyanide solutions. Calculated head grades for the sample, based upon gold extracted and leach residue analyses, were between 0.0252 opt Au (0.86 gpt) and 0.0357 opt Au (1.22 gpt), with an average calculated head grade of 0.032 opt Au (1.10 gpt) for the four tests run. Metallic screen analyses of a representative split of the bulk sample returned head grade assays of 0.0326 opt Au and 0.0395 opt Au, corroborating the calculated head grade determined from bottle roll tests.

Column Leach Tests

Two column leach tests on representative splits of the bulk sample are currently underway: one at a -3 inch particle size and one at a -3/4" particle size. These two sizes represent two-stage and three-stage crush products respectively. Using the average calculated head grade obtained from the bottle roll tests on a representative split from the bulk sample, estimated gold extractions after 27 days of leaching are 71% and 77% respectively for the -3 inch and -3/4 inch particle sizes. Leaching will continue for at least 50-60 days to determine total gold extractions for these two particle sizes, and perhaps for as long as 90 days if gold continues to leach after the initial 50-60 day period, after which time the columns will be dismantled and the leach residues assayed for gold. The gold extracted in cyanide solution plus the gold remaining in residue will determine the actual head grade of the sample leached, and the gold extracted divided by the actual head grade determined after assaying of the leach residue will determine actual gold extractions after termination of the column leach tests. Cyanide consumption after 27 days leaching is less than 0.5 lbs./ton. This low cyanide consumption, low lime addition of 3 lbs./ton for pH control, and no cement required to agglomerate the sample prior to leaching suggest reagents consumption will be minimal, and respective reagent costs should be low.

Miramar Mining Company in their 1991 Annual Report reported 82% extraction of gold in 56 days from a column test run on unagglomerated -3/8 inch particle size material from the historic resource area, with low cyanide consumption. The head grade was unreported.

Greg Hahn, Certified Professional Geologist (#7122) is the Qualified Person who has prepared and reviewed this press release in accordance with NI 43-101 reporting standards.

ON BEHALF OF THE BOARD

Gregory A. Hahn, Chairman and CEO

Forward-Looking Statements:

This note contains forward-looking statements regarding future events and Canamex's future results. These statements are based on current expectations, estimates, forecasts, and projections about the industry in which Canamex operates and the beliefs and assumptions of Canamex's management. Words such as "expects," "anticipates," "targets," "goals," "projects," "intends," "plans," "believes," "seeks," "estimates," "continues," "may," variations of such words, and similar expressions, are intended to identify such forward-looking statements. In addition, any statements that refer to projections of Canamex's future financial performance, Canamex's anticipated growth and potentials in its business and other characterizations of future events or circumstances are forward-looking statements. Readers are cautioned that these forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict, including those identified elsewhere herein and Canamex's filings on www.sedar.com. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. Canamex undertakes no obligation to revise or update any forward-looking statements for any reason.

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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