Canarc To Update Economic Assessment 

VANCOUVER - Canarc Resource Corp. reported that it has commissioned an updated NI 43-101 preliminary economic assessment report ("PEA") for the New Polaris gold mine project in northwestern British Columbia. The updated study will be done by Moose Mountain Technical Services who completed the previous PEA studies for Canarc to build an 80,000 oz per year gold mine at New Polaris.

The revised PEA will review capital and operating cost estimates and examine the effects of higher gold prices and lower cutoff grades on gold production, mine-life and project economics compared to the previous PEA report dated December 23, 2009. In recent weeks, Canarc has initiated discussions with a number of interested parties regarding a possible strategic or financial partnership to advance the New Polaris gold mine project through a mine development and feasibility program to a production decision. The company's address is 301-700 West Pender Street, Vancouver, BC V6C 1G8, 604-685-9700, fax: 604-685-9744, email: [email protected], www.canarc.net.