VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 28, 2012) - Cancana Resources Corp. (TSX VENTURE:CNY) ("Cancana" or the "Company") today announced it has engaged CHF Investor Relations, ("CHF") a highly regarded Canadian investor relations firm headquartered in Toronto, as its IR partner.
Andrew Male, CEO of Cancana, commented, "We are excited to retain CHF, with their knowledge of Brazil as well as the Canadian public markets. I think this will be a true value-added situation for us as a company. As Cancana is one of only four companies on the TSX Venture having an interest in Manganese ore, CHF will enhance Cancana in order for it to become the pre eminent company in Manganese."
Effective immediately, the services agreement for investor relations and market-making is for a term of twelve months to November 25th 2013, subject to two months termination notice and may be extended for up to one year. Under the terms of the agreement, which is subject to TSX Venture Exchange approval, CHF will receive $7,500 per month in fees and reimbursement of expenses. CHF has been granted 200,000 CNY options exercisable at $0.25. The options vest quarterly over twelve months and have a five-year term. Upon termination of the services agreement, any vested options will be cancelled after 30 days, as is required for TSX Venture's Tier 2 Issuers.
The market-making activity will be conducted using a registered broker in compliance with Policy 3.4 of the TSX Venture Exchange Corporate Finance Manual (the "Manual"), IIROC's Universal Market Integrity Rules & Policies (2010) and other relevant policies, so that trading orders in Cancana's shares are made to manage share price volatility and imbalances of orders in order to improve trading liquidity on the exchange. In accordance with Policy 3.4, section 2.8 of the Manual that states in part "an Issuer may not use its own funds, or provide direct or indirect compensation to other parties to undertake a market-making function in its securities," the Company and CHF confirm that capital for the purposes of market-making has not and will not be provided from the Company's treasury.
Prior to the grant of options outlined above, CHF had no direct or indirect interest in the Company or its securities.
About CHF Investor Relations
CHF's effective role is acting as the public company's outsourced, low-cost equivalent to an internal investor relations department. CHF serves an international portfolio of TSX/TSX Venture and CNSX listed companies, and others that may seek to list on North American Exchanges that operate in a broad range of industries including mining exploration and producers, oil & gas, renewable energy and industrial services, biotech, high-tech, business solutions and products. The depth of capital market experience at CHF is formidable dating back to the late 1970's.
About Cancana Resources Corp.
Cancana Resources Corp. is an exploration stage company with assets in Brazil and Canada. The Company has been 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: www.cancanacorp.com.
Issued on behalf of the Board of Directors of Cancana Resources Corp.
Andrew Male, 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 and applicable Canadian securities laws. 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.