Canarc to Manage Construction of a 600 tpd Gold Mine in Senegal, Holds Right of First Refusal on Surrounding 1,600 sq. km Exploration Permits.

VANCOUVER--(BUSINESS WIRE)--Feb. 9, 1996--Canarc Resource Corp. has been appointed project manager to oversee the construction of a 600 ton per day, 25,000 ounce per year open pit gold mine and C.I.L. processing plant in the Sabodala region of eastern Senegal. Canarc will receive a management fee based on expenses incurred on the project by Eeximcor Afrique, the property owner, who is funding all of the work.

Eeximcor has determined that a viable gold orebody was delineated on the 160 sq. km. MACO exploitation permit by previous operators over the past 20 years. The most recent reserve estimate, from 1994, included a measured resource of 2.7 million tonnes grading 4.22 gpt gold, and additional drill-indicated and inferred resources of 6.1 million tonnes grading 3.0 gpt gold, for a total contained gold content of 950,000 oz. gold. Additional gold prospects on the permit area lend credence to the million oz. potential of gold mineralization at Sabodala.

Canarc has appointed Davy International of Toronto, Canada, as project engineers for the construction of the processing plant. Since Eeximcor has placed the Sabodala project on a fast track, Davy has already completed most of the design work, procurement of good used equipment is well underway and plant commissioning is scheduled for late May 1996.

Canarc has retained an independent Canadian mine engineering consultant who is now on site to oversee further reserve definition and mine development work. Davy is also retained to carry out a revised final feasibility study.

Once the plant is in commercial production, Canarc intends to assess its potential to expand up to 1,500 tpd or 65,000 opy. Canarc also expects to commence exploration work on the surrounding 1,600 sq. km. exploration permits at that time on behalf of Eeximcor.

Should Eeximcor wish to joint venture or sell either the mine or the exploration lands, Canarc has been granted a Right of First Refusal by Eeximcor to participate. Canarc anticipates the first opportunity to participate will arise this year.

Stated Bradford Cooke, President of Canarc, "The Sabodala project gives Canarc direct exposure to an exciting new gold camp hosted by the prolific Birimmian greenstone belt that trends northeasterly into the Sadiola Hill area of Mali. Our agreement provides Eeximcor with the exploration, development and production expertise they require to continue work at Sabodala, while reserving Canarc the right to participate in the future with no initial cost requirement."

Canarc Resource Corp. 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.

ON BEHALF OF THE BOARD OF DIRECTORS CANARC RESOURCE CORP. Bradford J. Cooke President

CONTACT: Robert Carriere

Manager of Investor Relations 

Tel: [phone]