Cancana JV Provides Exploration Update For Brazil Project

VANCOUVER, BC - Cancana Resources Corp. its joint venture partner Ferrometals, together Brazil Manganese Corporation (BMC), reported an update on exploration activities. Highlights include: N 6,710 meters of drilling completed between two drill rigs, with hydrothermal style manganese oxide mineralization encountered at or near surface at each of the 15 regional targets; Ñ Eduardo Mendes - Vitalino Corridor: vein-breccia zones encountered of up to ~3.0 meters in width, mineralization traced intermittently for up to 12 kilometers along a 20 kilometer structure identified in geophysics. Notable intersections include: 4.5m @ 31.0% Mn from 21.8m; 4.5m @ 23.9% Mn from 17.5m; Antonio Gomes Prospect: vein-breccia zones encountered of up to ~3.5 meters within a broader lower grade stringer/stockwork zone ~15.0 meters wide. Notable results include: 5m @ 32.9% Mn from 33m within 23.6m @ 14.3% Mn from 14.5m; Drill intercept grades vary based on host rock dilution. Some breccia zones are proving amenable to processing through the current wash plant where the silicate matrix is clay altered (e.g. Dnei). Metallurgical studies on a range of breccia mineralisation types will be conducted in 2016; Reconnaissance exploration will continue to extend across the 108,000ha land package in 2016 with infill drilling to be conducted on prioritized prospects.

Anthony Julien, President & CEO of Cancana said, "Significant progress was made this year with our exploration program. We advanced from a theoretical model of BMC's manganese mineralization, confirming that model, and then identifying multiple, regional-size manganese-bearing structures. It is encouraging that drilling, trenching, sampling and extraction activities have confirmed the presence of manganese in all of the structures targeted to date. Our focus now is to expand the drilling to test for areas that will ultimately support an expansion of operations through bedrock mining."