Cancana Resources to start review on Valdirao Claim 6

2012-02-01 03:43 PT - News Release
Shares issued 20,914,208
CNY Close 2012-01-31 C$ 0.47

Dr. William Pfaffenberger reports

CANCANA RESOURCES CORP.: COMMENCEMENT OF PITTING EXPLORATION PROGRAM AND GEOTECHNICAL REVIEW

Cancana Resources Corp. will be commencing a pitting, exploration and geotechnical review program on its mining claim known as Valdirao Claim 6. This work will be in used to establish a National Instrument 43-101-compliant report.

During the third 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 National Instrument 43-101 report. Mr. Kikauka has visited the Valdirao claims in the third 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 per cent manganese (Mn) and averaged 52 per cent 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.

We seek Safe Harbor.