Cancor Mines Inc.
CNSX : KCR

Cancor Mines Inc.

July 18, 2011 14:18 ET

Cancor Reports Further Excellent Results on its North Tirek Property in Algeria

MONTREAL, QUEBEC--(Marketwire - July 18, 2011) - Cancor Mines Inc. (CNSX:KCR) is pleased to report additional results for its recently completed exploration program on North Tirek, one of the Company's four gold properties in Algeria.

The Kiouene gold field, one of several gold fields located on the Tirek North property, appears to offer considerable promise as being capable of supporting a viable open-pit operation. The field is large, with dimensions of 7 km by 2 km, and contains an extensive network of outcropping known veins with high grade gold mineralization which have been the focus of historical trenching and sampling.

In its recent exploration program Cancor took over 1,000 channel samples from the bottom of numerous trenches in the bedrock, either newly dug or rehabilitated, in order to test for gold mineralization. In its press release of June 16th Cancor reported on the results obtained from this channel sampling which confirm the high grade gold values contained in the outcropping known veins which are located 100 to 300 meters apart.

In order to further assess the potential for an open-pit operation, Cancor also desired to test the previously unexplored areas between the known and outcropping veins. Accordingly, shallow cuts were made in the overburden (consisting of a thin layer of sand and gravel) to expose the underlying rock over distances ranging in length from 235 to 754 meters. These cuts were sampled on average every fifteen meters. With the exception of a few samples taken by channel, most of the samples were grab samples, taken after cleaning the outcrop.

Maps are available at the following address: http://media3.marketwire.com/docs/CancorMap07.pdf

Cancor's objective with this work was to identify the presence of veins and mineralized zones beneath the thin layer of gravel, pinpoint sectors of high-volume mineralization, and establish anchor points and targets for an autumn 2011 drilling program.

A total of 271 samples were collected. This quantity, although relatively low given the size of the Kiouene field, covered the field's northern and central areas as well as Zone 13 to the south.

The results to date are very encouraging. Excellent gold grades are present in many samples. Additionally, several visible gold grains were observed between the lode zones on small outcrops. The presence of visible gold in these areas suggests that gold mineralization may be much more extensive than previously understood.

These results are highly significant since they indicate that gold mineralization extends well beyond the outcropping known veins. It appears that there is an abundance of additional mineralized veins which are not visible from surface, and that gold mineralization is also to be found in altered granite, syenite and microdiorite, thus offering vast potential for additional discovery.

The central part of the Kiouene gold field is emerging as Cancor's highest priority drilling target.

The following are the most significant values obtained in Cancor's sampling:

Cuts NN° Zone Lithology Au, g/t Ag, g/t
M1 885767 Kiouène South Quartz vein, 0.40 m 1.34 0.7
M3 885733 Kiouène South Quartz vein, 3.00 m 0.10 0.7
M4 885718 Kiouène North Quartz vein, 0.5m 0.48 <.5
M4 885727 Kiouène North Quartz vein, 1 m 0.82 <.5
M4 885815 Kiouène North Quartz vein, Visible Gold 7.24 15.6
M4 885816 Kiouène North Altered Granite 3.00 <.5
M4 885821 Kiouène North Quartz vein, Visible Gold 13.44 80.8
M6 885641 Kiouène North Quartz vein, 0.50m 0.25 <.5
M7 885562 Kiouène North Quartz vein, 0.60m 0.41 <.5
M7 885567 Kiouène North Sheared, Silicified Granite 0.12 <.5
M8 885615 Kiouène North Quartz vein 4.56 <.5
M9 885791 Zone 13 Chloritised Syenite 0.29 <.5
M9 885792 Zone 13 Quartz vein, malachite 11.32 30.0
M9 885793 Zone 13 Microdiorite 0.51 <.5

The Tirek North licence covers an area of 98,990 hectares (989 km²). The perimeter of Tirek North is on the eastern edge of the In Ouzzal mole, which consists of a band of mylonites between 300 and 3,000 metres thick corresponding to a major tectonic deformation rift. This tectonic zone controls the emplacement of numerous vein-type gold showings, including the two gold deposits at Tirek and Amessmessa, located 17 and 70 km south of the southern boundary of the licence, respectively. The Amessmessa deposit is currently in production.

The gold-bearing veins are grouped together into eight vein-type gold fields within the boundaries of the Tirek North licence. From south to north, these are the Kheima showing, the gold fields known as Zone 12, Zone 13, and Zone 17, the Syenite showing, the Kiouène gold field, the South Site, and gold field Number Three.

All samples are analyzed by OMAC Laboratories in Ireland.

Mr. Jacques Marchand, independent geological engineer and qualified person as defined in NI 43-101, has overseen the exploration program. Mr. Marchand established the sampling procedures, and he will publish a compliant report on the Tirek North property. This report will define the subsequent work program and surveys planned for the fall of 2011 and winter of 2012.

Tirek Resources L.P., a Cancor subsidiary, holds a 100% interest in the North Tirek property through a prospection license acquired in 2008. The North Tirek property straddles a major fault associated with numerous extensive surface and near-surface gold showings which appear to offer exceptional potential for open pit mining.

Quality Control

Follow up on the exploration program is carried out by Cancor employees under the supervision of Mr. Jacques Marchand, eng. , independent geologist and qualified person (as defined by National Instrument 43-101) with more than 35 years of experience in exploration.

Mr. A. Chaouche, an Algerian consulting geologist, accredited by the Algerian Ministry of Energy and Mines and working in close collaboration with Mr. Marchand, was in charge of the sampling process including the preparation and transport of the samples to OMAC Laboratories in Ireland, an internationally accredited laboratory. They have been assayed by fire-assay followed by atomic absorption or gravimetry, according to industry standards.

About Cancor Mines Inc.

Cancor Mines Inc. is a Canadian company involved in the exploration and development of mineral properties with high potential for precious or base metals. In addition to its Quebec properties, the Company holds a 100% interest in four Algerian properties which are prospective for gold. The Company is listed and traded on the Canadian National Stock Exchange under the symbol: KCR (CNSX-www.cnsx.ca)

The Algerian properties are located in the Hoggar region approximately 2000km south of the capital Algiers. They are located in a very favourable geological environment for gold similar to Canada's Abitibi greenstone belt and contain numerous gold fields on or near surface which may be amenable to open-pit mining. The properties are as follows:

  • Tan Chaffao West prospection permit (44 580 ha),
  • In Ouzzal North exploration permit (6528 ha),
  • Tirek North prospection permit (98 990 ha), and
  • Tan Chaffao East exploration permit (20 000 ha).

All Cancor Mines press releases, maps and figures related to these properties are available on the company's website, www.cancor.ca.

Technical reports with compliance to NI 43 101 have been completed for all our properties and are available on SEDAR site (www.sedar.com) and on our web page on CNSX (www.cnsx.ca).

Mr. Khobzi an engineer and qualified person under NI 43-101, who has visited the properties, has read and approved this release.

Caution concerning forward-looking statements

This press release contains certain "forward-looking statements", including. but not limited to, the statement regarding exploration work and the emphasis on looking for a certain type of deposit. Forward-looking statements involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. Risks and uncertainties that could cause results or future events to differ materially from current expectations expressed or implied by the forward-looking statements include, among other things, those set forth in Cancor's 2009 Annual Information Form, a copy of which can be obtained on the SEDAR website at www.sedar.com

The CNSX does not accept responsibility for the adequacy or accuracy of this release.

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