Canasil Resources Inc.
TSX VENTURE : CLZ

Canasil Resources Inc.

March 27, 2007 19:06 ET

Canasil Acquires 100,000 Hectares (247,000 Acres) Strategic Land Position and Mobilizes to Drill at the Salamandra Project in Durango, Mexico

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 27, 2007) - Canasil Resources Inc. (Canasil) (TSX VENTURE:CLZ) announces that the Company has acquired through direct staking of claims 100,000 hectares (247,000 acres) surrounding and adjacent to the Salamandra zinc-silver project in Durango, Mexico. The area covers a northwest-southeast trend of magnetic anomalies, possibly related to intrusive bodies within calcareous sediments, similar to the formation observed at the Salamandra project. The claim area lies within the Fresnillo silver / base metal trend which extends from northwest of Durango State through Zacatecas State and on to Guanajuato State. The Company will be initiating a regional mapping and sampling survey and evaluation program to identify prospective targets for further exploration within this large claim area.

The Company has also concluded a drill contract to start the Phase 1 diamond drill program, initially planned for 1,500 metres, at the Salamandra project. The preparations for the drill program have been completed and the drill program is planned to start during the first week of April 2007. The drill program will test a number of strong chargeability anomalies identified by the 3-Dimensional Induced Polarisation survey over an area of 2,000 metres by 1,200 metres, conducted during the fourth quarter 2006. The chargeability anomalies are coincident with surface silver, zinc, copper and lead geochemical anomalies, indicating the potential for disseminated skarn and manto replacement mineralized zones. The IP sections may be viewed on Canasil's website using the link below:

http://canasil.com/properties/mexico_properties/salamandra/

Gary Nordin, Director of Canasil, commented: "We are very pleased with the acquisition of a major land position in the Salamandra project area. Our exploration work to date in this area has provided a better understanding of the geological environment in this region, which is located close to our operating base in Durango and well known for its mineral wealth. The numerous operating mines and deposits confirm the region's potential for hosting high-grade vein type deposits, as well as large disseminated deposits. Our currently planned drill program will provide further data both on the Salamandra project and for evaluating prospects within the new claim area."

The Salamandra project covers 2,900 hectares (7,163 acres) located 35 km NE of the city of Durango in Durango State, Mexico, with good access via paved and gravel roads. The access, infrastructure, climate and topography at the Salamandra property provide favourable conditions for exploration and development.

About Canasil:

Canasil is a Canadian mineral exploration company with interests in precious and base metal properties in British Columbia, Canada, and in Durango, Sinaloa and Zacatecas States, Mexico. The Company's directors and management include industry professionals with a consistent track record of identifying and advancing successful mineral exploration projects. The Company is actively engaged in the exploration of mineral properties and evaluating additional acquisition opportunities.

This news release contains certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects to occur, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Investors are cautioned that any such statements are not guarantees of future performance. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this news release.

Contact Information

  • Canasil Resources Inc.
    Bahman Yamini
    President and C.E.O.
    (604) 709-0109
    or
    Canasil Resources Inc.
    Doug Kerr
    Corporate Communications
    (604) 718-5454
    Email: dkerr@canasil.com
    Website: www.canasil.com