Canasil Resources, Inc. announced an update on exploration activities on the companys Sandra-Escobar Gold-Silver and La Esperanza Silver-Lead-Zinc projects in Durango and Zacatecas States, Mexico. The company is completing comprehensive mapping and sampling programs to define drill targets for testing of these projects. The company has also received several expressions of interest for option and joint venture cooperation to advance the La Esperanza and other Mexican exploration projects, which are in the process of evaluation. At the Sandra-Escobar gold-silver project, a surface rock chip and stream sediments sampling program is nearing completion with over 300 surface samples collected and sent for assay to date. The program objective is to gather approximately 500 surface samples over an area of 5 square kilometers on a 100m x 100m grid in the central area and 200m x 200m grid in the surrounding area. The samples will test in detail the alteration zones and mineralized structures already identified by earlier sampling and historical surface sampling data in order to identify targets for drill testing. The company plans to undertake a Phase 1 drill program after analyzing the results of the sampling program. The project is located in northern Durango State, Mexico, 200 kilometers northwest of the city of Durango with excellent access and infrastructure, on an important mineral trend with many past and presently producing silver-gold mines and deposits. Canasil holds 100% interest in the 7,512 hectares Sandra project claims, and has entered into an option agreement with Pan American Silver to earn 51% interest in Pan Americans 634 hectares adjoining Escobar project claims.

Canasil Resources, Inc. announced increases in the mineral claim areas covering several core projects in Durango and Zacatecas States in Mexico. The Company has added a total of 17,222 hectares in mineral claims covering prospective alteration zones along trends surrounding the Sandra-Escobar and Vizcaino gold-silver projects in northern and central Durango State, and the La Esperanza silver-lead-zinc project in northern Zacatecas State, Mexico. The Sandra-Escobar project is located in northern Durango State, Mexico, 200 kilometres northwest of the city of Durango. The project area has excellent access via paved highways, as well as the availability of electricity, water, telecommunications and services from local communities. The project is located on an important mineral trend with many past and presently producing silver-gold mines and deposits, such as Silver Standards La Pitarrilla deposit, Endeavour Silvers Guanacevi mine, and Great Panthers Topia mine. Canasil holds 100% interest in the 5,512 hectares Sandra project claims, and has entered into an option agreement with Pan American Silver to earn 51% interest in Pan Americans 634 hectares adjoining Escobar project claims. The project area hosts a mineralized system centered on a large altered rhyolite dome complex, with surrounding geological formations, alteration patterns and extensive evidence of gold, silver and base metal mineralization, indicating the potential for discovery of a large disseminated gold-silver-base metal deposit. Canasil has added a further 2,000 hectare claim covering the southwest extension of the alteration zones observed in the project area, increasing the total combined project area to 8,146 hectares. The La Esperanza project is located in the Chalchihuites district in northern Zacatecas and southern Durango States. This recognized silver district hosts a number of active mines such as Pan American Silvers La Colorada and First Majestics La Parrilla silver-lead-zinc mines. The company has increased the claim area at the La Esperanza project from 4,787 hectares by 12,222 hectares to 17,009 hectares. The claims now cover the prospective SE-NW trend where significant alteration is observed along over 4 km strike extensions of the La Esperanza vein. The La Esperanza vein outcrops over a strike distance of 300 metres and has been drill tested in 2006 with 9 diamond drill holes for a total of 1,422 metres. As previously reported, the drilling intersected a high grade epithermal vein shoot with an average grade of 396 g/t silver, 0.71% zinc and 1.96% lead over a true width of 10.30 metres. The alteration zones observed indicates a possibility that the La Esperanza vein and surrounding structures may be part of a district scale epithermal silver vein system.

Canasil Resources, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. For the quarter, the company reported loss and comprehensive loss of CAD 79,632 against loss and comprehensive loss of CAD 196,920 or CAD 0.01 basic and diluted per share for the same period a year ago. The company reported cash used for operating activities of CAD 19 and resource property costs of CAD 79,346 against cash used for operating activities of CAD 79,802 and resource property costs of CAD 230,708 for the same period a year ago. Loss before other items was CAD 79,668 against CAD 197,984 for the same period in the last year. For the nine months, the company reported loss and comprehensive loss of CAD 297,084 or CAD 0.01 basic and diluted per share against loss and comprehensive loss of CAD 573,136 or CAD 0.02 basic and diluted per share for the same period a year ago. The company reported cash provided by operating activities of CAD 78,067 and resource property costs of CAD 209,139 against cash used for operating activities of CAD 365,630 and resource property costs of CAD 774,205 for the same period a year ago. Loss before other items was CAD 297,785 against CAD 577,537 for the same period in the last year.