Canada Coal Inc. Obtains 2012 Mining Permits to Explore Its Arctic Coal Properties

VANCOUVER, June 14, 2012 - Canada Coal Inc. (the "Company" or "Canada Coal"), (TSX VENTURE:CCK) is pleased to announce that it has now received all of the required permits to commence its 2012 exploration program focused on improving ore body knowledge with a view to discovering significant high grade metallurgical coal deposits in its arctic coal licence areas. These work programs are expected to commence as soon as June 16, 2012 and will consist of various mapping and sampling programs that will be focussed on the Company's West Fosheim license areas.

Braam Jonker, CEO and President commented, "We are excited to commence operations on our Fosheim coal licence areas now that all of the required permits are in place. We are very pleased with the co-operation and support that we have received to date from both the regulatory authorities and the community. We believe that the Company has the potential to add meaningful economic value to the Territory of Nunavut and the community at large whilst also creating significant shareholder value."


About Canada Coal

Canada Coal is a publically listed company focused on coal exploration and development in Nunavut. Through its two wholly-owned subsidiaries, Canada Sovereign Coal Corp. and 5200 Nunavut Ltd., Canada Coal holds 75 active licenses comprising approximately 2,442,627 acres located on Ellesmere Island and Axel Hieberg Island in Nunavut (the "Nunavut Coal Property"). Canada Coal has commissioned a National Instrument 43-101 compliant technical report in respect of the Nunavut Coal Property, dated September 30, 2011 entitled "The Nunavut Coal Project-Ellesmere Island and Axel Heiberg Island, Nunavut, Canada" prepared by Keith McCandlish, P. Geol., P. Geo., and Susan O'Donnell, P. Geol., of Associated Geosciences Ltd., Calgary, Alberta, Canada, a copy of which is available on SEDAR at www.sedar.com.


On behalf of the Board of Directors

Braam Jonker
President and Chief Executive Officer



CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

This news release includes certain "forward-looking information" under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; delay or failure to receive regulatory approvals; the price of mineral resources; and the results of current exploration and testing. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Canada Coal disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

The TSX Venture Exchange has in no way passed upon the merits of the Transaction and neither the 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.

(NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA)



Contact

Canada Coal Inc.
Braam Jonker, President and Chief Executive Officer
1-604-638-0971
info@canadacoal.com