CanAsia Industries Corporation
OTC Bulletin Board : CANSF

CanAsia Industries Corporation

August 26, 2009 03:01 ET

Canasia to Acquire Lithium Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 26, 2009) - Canasia Industries Corporation (the "Company" or "Canasia") (TSX VENTURE:CAJ) (OTCBB:CANSF) (FRANKFURT:45C) wishes to announce that it has entered into an option agreement with an arm's length vendor to acquire approximately 180,000 acres of land prospective for lithium in Alberta.

Canasia will pay the vendor, $75,000 cash, and issue 6,000,000 common shares of Canasia and grant a 3% net smelter return royalty, with an option to buy-back 1% for $1-million. The Company also has agreed to spend $250,000 by September 1, 2010, as well as an additional $250,000 by September 1, 2011, as a work commitment. This transaction is subject to TSX Venture Exchange ("Exchange") approval.

Schedule of payments would be the following:

- $25,000 upon signing (non-refundable);

- $25,000 and 3,000,000 common shares upon Exchange approval; and

- $25,000 and 3,000,000 common shares within twelve months of Exchange approval.

Graeme Sewell, a director of Canasia stated, "Becoming involved in this growth sector fits the strategy of Canasia. Managment is continually evaluating projects that could add value to the Company and feels that lithium is a commodity of the future. In addition to this new proposed acquisition, Canasia is currently drilling its Clone Gold Property and anticipates that the Debut Gold property, on which it has a joint venture with Kinross Gold, will commence drilling shortly."

Canasia has granted, pursuant to its 2009 Rolling Stock Option Plan, up to 1,880,000 incentive stock options directors, officers and consultants at an exercise price of $0.10 per share for five years. These shares are subject to a hold period expiring December 27, 2009.

If you would like to be added to Canasia's news distribution list, please send your email address to

Graeme Sewell, Director

Canasia Industries Corporation

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

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