Canarc Resource Corp. (TSX: CCM, OTC-BB: CRCUF, Frankfurt: CAN) highlights the results of its 2017 programs and outline its 2018 plans for continued growth and advancement of its projects in the US and Canada.

2017 Highlights:

• Completed the acquisition of a portfolio of ten gold exploration properties in Nevada with historic gold resources and significant exploration potential substantially enhancing Canarc’s potential for new discoveries and resource expansions in the prolific and mining- friendly jurisdiction of Nevada.
   
• Completed a NI 43-101 technical resource report on the Fondaway Canyon property, Nevada.
• Completed an initial 7-hole, 2500-meter core-drilling program at the Fondaway Canyon project in west-central Nevada. All seven holes intersected gold mineralization. Highlights of the program included:
  • 65.4 meters grading 2.83 grams per tonne (gpt) Au in hole FC17-3
  • 62.9 meters grading 1.77 grams per tonne (gpt) Au in hole FC17-2
  • 30.1 m grading 1.45 grams per tonne (gpt) Au and 6.1 m grading 3.74 gpt Au in hole FC17-1
  • 24.4 meters grading 1.80 grams per tonne (gpt) Au in hole FC17-4.

* Complete drilling results were reported in news releases dated December 5, 2017 and January 16, 2018.

• 2017 drilling results, integrated with historical drilling, indicate the project has bulk-mineable, open-pit potential, as opposed to the underground mining of narrow high-grade zones that was the focus of previous project owners. 

• Received positive results on bench-scale metallurgical testing of an alternative treatment process for the refractory gold concentrate at the New Polaris project in British Columbia
• Completed geological review of historic data for Windfall Hills Project with recommendations for further work to refine targets for next drill program

2018 Strategic Plans

• Appointed a Vice President of Exploration to lead Canarc’s exploration efforts
   
• Continue the strategy to acquire additional advanced and/or near-term gold mining projects located in the Americas.
   
• Initiate strategic discussions with groups that have interest in Joint ventures or partnerships on Canarc’s more advanced projects in Nevada and Canada or other accretive transactions

Nevada

• Update the Fondaway Canyon resource model with the new drill results and assess targets to expand the open pit, bulk tonnage potential of the project.
   
• Develop a Phase 2 exploration plan at Fondaway Canyon for near term production potential.
   
•  Evaluate Canarc’s nine other Nevada projects and prioritize the projects for further work and possible sale or joint venture

Canada

• Undertake additional metallurgical testing of an alternative new technological process for treatment of the high grade refractory gold concentrate from New Polaris.
   
• Continue seeking a partner to advance the New Polaris property through feasibility, permitting and construction.
   
• Complete a $500K exploration program at the Windfall Hills property in British Columbia  to include stream sediment sampling, soil sampling, trenching and geophysics to identify new drilling targets on the property.

Catalin Kilofliski, CEO of Canarc, stated: “With the acquisition of the Nevada properties in 2017, we doubled our gold resources, completed a successful exploration program in Nevada and ended the year with a healthy cash balance.  We look forward to building on these successes and continue growing in 2018 and beyond.”

Qualified Person:

Dr. Jacob Margolis, Canarc Vice President, Exploration is a qualified person, as defined by National Instrument 43-101, and has approved the technical information in this news release.

“Catalin Kilofliski”