AmCan Minerals Limited -- Armsec Purchase Nearing Completion.

TORONTO--(BUSINESS WIRE)--March 26, 1997--AmCan Minerals Limit(VSE:AMF.) AmCan Minerals Limited is pleased to report that the necessary due diligence including audited financial statements for the purchase of Armsec International Ltd. is proceeding and final details of the agreement are expected to be completed shortly.

The acquisition will increase AmCan's diamond bearing properties and will bring to the Company unique and proprietary diamond mining equipment designed and manufactured in South Africa exclusively for Armsec valued at $2,000,000.00 Cdn. This equipment will enable AmCan to operate, cost efficiently 24 hours per day and will increase output capacity from 200 tons per day to over 1000 tons per day. Under the terms of the agreement to acquire Armsec, AmCan is to issue 8 Million shares.

Production is expected shortly from the development of AmCan's existing alluvial diamond bearing properties in Sierra Leone. Increasing international interest in the country's diamond wealth is demonstrated by the recent announcement that De Beers, the world's major diamond organization, is opening an office after a nine year absence.

E. Allan McCaffrey Director, Investor Relations -0-

The Vancouver Stock Exchange has neither approved nor disapproved this information.

CONTACT: AmCan Minerals Limited

E. Allan McCaffrey, 416/ 214-6296

Fax: [phone]

800/893-1188