Canarc options three gold-silver properties in Mexico.

VANCOUVER, British Columbia--(BUSINESS WIRE)--Aug. 10, 1995-- Canarc Resource Corp. (TSE:CCM) has acquired options to earn up to a 65-percent interest in three gold-silver properties located 6 Km. south of the town of Uruachic, Ocampo mining district, Chihuahua state, Mexico.

The Esperanza, Oteros and Danny (1 & 2) properties are contiguous and cover 2,420 acres in a historic gold-silver mining camp marked by numerous old pits, shafts and workings. Recent exploration work by Minera Delta SA de C.V. has revealed a large altered and mineralized epithermal gold-silver hydrothermal system crosscutting Tertiary andesitic volcanic rocks intruded by high- level granites and porphyries.

Abundant rusty gossans and clay alteration have been observed up to 500m wide over a several-kilometer strike length. Individual mineralized zones within the system exhibit gold-silver bearing micro-fractures, quartz veinlets and stockworks within argillite and sericite alteration zones.

Esperanza and Oteros mineralized zones were sampled over areas of 70 m. x 100 m. and 275 m. x 550 m., respectively. Minera Delta reported grab samples assaying up to 51 gpt gold and 1122 gpt silver, and semi-continuous chip samples returned the following results: -0-

ZONE      SAMPLE       WIDTH     GOLD     SILVER       GOLD
          (NO.)         (M.)     (GPT)    (GPT)    EQUIVALENT

Esperanza M47-50, M1     28      2.08     17.5         2.31
          M60-63         15      1.94     34.5         2.40
          M66-69         18      3.91     18.7         4.16
         M151-164        70      1.54     18.4         1.79
_____________________________________________________________
Oteros   M178-180        85      0.33    200.0         3.00
         M181-184        93      0.68    146.2         2.63
         M188-189        40      0.45    135.3         2.25
         M190-193        63      0.58    178.0         2.95

         M194-199 )
         M454-485 )     219      1.35    153.2         3.39

         M200-204 )
   M247-250,M451-453 )  130      1.26    145.5         3.20

         M205-206        77      1.82    127.3         3.52
_____________________________________________________________
         AVERAGE         76      1.21    133.8         2.99
_____________________________________________________________

Check sampling by Canarc generally confirmed the gold and silver grades reported by Delta. The mineralized zones were not closed off by sampling and remain open along strike. A Phase 1 road building, trenching and prospecting program has been proposed to sample in a systematic manner all mineralized areas prior to an initial drilling program.

Canarc can earn a 50-percent interest in Esperanza, Oteros and Danny (1 & 2) from Levelland Energy & Resources Ltd. by issuing 100,000 shares and spending $750,000 (Cdn) on exploration over a four-year period. The company has also agreed to enter into a private placement in Levelland for 1 million units at 25 cents per unit for total proceeds of $250,000 (Cdn), each unit to consist of one common share and one warrant to purchase a further common share at 35 cents within one year or 50 cents within two years.

On closing Canarc will hold 12.4-percent of Levellands 8,075,943 shares issued and 21.7 percent on a fully diluted basis (assuming Canarc has exercised all 1,000,000 of its warrants).

Canarc can separately earn a further 15-percent interest in the three properties from Mineral Delta SA de C.V. by paying $22,500 and issuing 15,000 shares over a one-year period. Canarc must then carry Delta's remaining 10-percent interest until the completion of feasibility studies on a property by property basis.

If Delta does not participate in its share of post-feasibility costs, then Delta's 10-percent interest will revert to a 2-percent net smelter royalty which can be reduced to 1 percent upon payment of $1 million to Delta.

"These Mexican gold-silver properties offer excellent exploration potential to Canarc. Although Mexico is a new jurisdiction for the company, we believe our association with Levelland and Delta on these properties gives Canarc a significant opportunity to find and develop gold-silver deposits in that country," noted Bradford Cooke, President and CEO.

The above mentioned transactions are subject to regulatory and Exchange approvals.

Canarc Resource is a growth-oriented international gold exploration and mining company with active projects in North, Central and South America. Major shareholders include Barrick Gold Corp. (4 percent) and Echo Bay Mines Ltd.(10 percent). -0-

NOTE: Location map available from the company at the phone number listed above.

CONTACT: Canarc Resource Corp., Vancouver

Robert Carriere, 604/685-9700