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Canaco Resources Inc.: Corporate Update

29.10.2010  |  Marketwire

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 10/29/10 -- Canaco Resources Inc. (TSX VENTURE: CAN) ('Canaco') attended a meeting yesterday, October 28th, at the offices of the Commissioner for Minerals of The United Republic of Tanzania.


In this meeting, it was discussed how best to resolve the competing interests between the 0.07 sq. km. Mining Licence No. ML 413/2010 owner and the 200 sq. km. Prospecting Licence No. PL 4871/2007 of Canaco Resources (Tanzania) Limited in the Magambazi Mineral Property located in the Handeni District.


The Commissioner reiterated in this meeting that: 'It was in the interest of the Government to see that the Magambazi Mineral Property is developed into a large scale mine in the future. This can be achieved if the area covered by ML 413/2010 (converted from PML 0010145), located within the Prospecting Licence owned by Canaco Resources (Tanzania) Limited, becomes part of the project in order to ensure that the current exploration activities continue.'


The Commissioner directed that all parties hold discussions to resolve this matter amicably and report to the Commissioner no later than November 29th, 2010.


Canaco would again like to thank the Government of Tanzania for their continued support of the company's efforts.


Andrew Lee Smith, P.Geo, CEO


Canaco Resources Inc.


Dr. Jingbin Wang, Chairman


Canaco Resources Inc.


Canaco relies on litigation protection for 'forward-looking' statements. This press release contains forward-looking statements that are based on Canaco's current expectations and estimates. Forward-looking statements are frequently characterized by words such as 'plan', 'expect', 'project', 'intend', 'believe', 'anticipate', 'estimate', 'suggest', 'indicate' and other similar words or statements that certain events or conditions 'may' or 'will' occur, and include, without limitation, statements regarding Canaco's plans with respect to the exploration and development of its projects. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements, including but not limited to: risks related to Canaco's mineral rights in Tanzania; risks related to the exploration and development of mineral properties; actual results of current exploration activities; current global economic conditions; conclusions of future economic evaluations; changes in project parameters as plans continue to be refined; environmental risks; future prices of gold and other metals; currency fluctuations; possible variations in ore reserves, resources, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; risks related to joint venture operations; delays in obtaining governmental approvals or financing or in the completion of development or construction activities; and those factors discussed in the section entitled 'Risk Factors' in Canaco's management's discussion and analysis for the nine month period ended March 31, 2010. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Canaco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts:

Canaco Resources Inc.

Nicholas Watters

Investor Relations

604-488-0822 or 1-866-488-0822
investors@canaco.ca
www.canaco.ca



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