Cancana Resources Corp.
TSX VENTURE : CNY

Cancana Resources Corp.

February 01, 2012 05:30 ET

Cancana Resources Corp.: Commencement of Pitting Exploration Program and Geotechnical Review

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 1, 2012) - Cancana Resources Corp. (TSX VENTURE:CNY) (the "Company") is pleased to announce it will be commencing a pitting, exploration, and geotechnical review program on its mining claim known as Valdirao Claim 6, ("Valdirao"). This work will be in used to establish a National Instrument 43-101 Compliant Report.

During the 3rd quarter of 2011, Cancana engaged the services of a qualified local prospector in order to complete initial stage surface and pitting exploration on the Valdirao claim. The results of this early stage review provided sufficient geotechnical information to warrant further exploration by a Qualified Person.

The Company has retained Andris Kikauka, a Professional Geologist and a Qualified Person, to complete the NI 43-101 report. Mr. Kikauka has visited the Valdirao claims in the 3rd quarter of 2011 in order to validate the work of the initial prospecting that was completed. During the initial visit by Mr. Kikauka, he concluded the mineralization included Manganite and Pyrolusite occurrences at surface, as well as in-situ occurrences within the initial pitting. Grab samples and extractions have graded up to 64% Mn and averaged 52% Mn.

The Company, under the guidance of Mr. Kikauka, will begin to execute a pitting and exploration review that has been established within the Mining Plan that has been developed by Christopher Morgan and Associates Ltd., ("CMAL"). The principal of CMAL, Christopher Morgan, is also a Director of Cancana and is an internationally recognized mining engineer and consultant.

The results of this NI 43-101 report will be released once complete.

With an economical quantification of Manganese within the Valdirao claim area, as well as an engineering review of the style and condition of the mineralization, Cancana will look to commence early stage trial mining once it has received its initial permit for the claim and area. The pitting and work being completed at this time will be used to establish where and how the commencement of mining activity can begin and have the best possible positive impact. This information will also be combined with the Mining Plan, in order to establish an economically viable process for manganese extraction and mine development.

Cancana Resources Corp. is a company that is transitioning from exploration to production with its assets in Brazil. The Company has been acquiring properties and seeking projects that expand its resource base and provide for near term production and revenue. All available resource reports and information on the Company's properties are located on the Company website.

Cancana continues to provide shareholders with Investor Updates, please ensure that you have already registered on the company website, if not please visit www.cancanacorp.com and input your name and email address on the home page.

Issued on behalf of the Board of Directors of Cancana Resources Corp.

Dr. William (Bill) Pfaffenberger, CEO and Director

The information in this news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. When used in this release, words such as "estimate", "expect", "anticipate" and "believe" as well as similar expressions are intended to identify forward-looking statements. Such statements are used to describe management's future plans, objects, and goals for the Company and therefore involve inherent risks and uncertainties. The reader is cautioned that actual results, performance or achievements may be materially different from those implied or expressed in such statements, which speak only as of the date the statements were made. The Company does not update forward-looking statements continually as conditions change. We seek safe harbour.

Neither the TSX Venture Exchange nor its Regulation Service 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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