(NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA) 

Canada Coal Inc. (the "Company" or "Canada Coal"), (TSX VENTURE:CCK) is pleased
to announce that it has now received all of the required permits to commence its
2012 exploration program focused on improving ore body knowledge with a view to
discovering significant high grade metallurgical coal deposits in its arctic
coal licence areas. These work programs are expected to commence as soon as June
16, 2012 and will consist of various mapping and sampling programs that will be
focussed on the Company's West Fosheim license areas. 


Braam Jonker, CEO and President commented, "We are excited to commence
operations on our Fosheim coal licence areas now that all of the required
permits are in place. We are very pleased with the co-operation and support that
we have received to date from both the regulatory authorities and the community.
We believe that the Company has the potential to add meaningful economic value
to the Territory of Nunavut and the community at large whilst also creating
significant shareholder value." 


About Canada Coal 

Canada Coal is a publically listed company focused on coal exploration and
development in Nunavut. Through its two wholly-owned subsidiaries, Canada
Sovereign Coal Corp. and 5200 Nunavut Ltd., Canada Coal holds 75 active licenses
comprising approximately 2,442,627 acres located on Ellesmere Island and Axel
Hieberg Island in Nunavut (the "Nunavut Coal Property"). Canada Coal has
commissioned a National Instrument 43-101 compliant technical report in respect
of the Nunavut Coal Property, dated September 30, 2011 entitled "The Nunavut
Coal Project-Ellesmere Island and Axel Heiberg Island, Nunavut, Canada" prepared
by Keith McCandlish, P. Geol., P. Geo., and Susan O'Donnell, P. Geol., of
Associated Geosciences Ltd., Calgary, Alberta, Canada, a copy of which is
available on SEDAR at www.sedar.com. 


On behalf of the Board of Directors 

Braam Jonker, President and Chief Executive Officer

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

This news release includes certain "forward-looking information" under
applicable Canadian securities legislation. Forward-looking statements are
necessarily based upon a number of estimates and assumptions that, while
considered reasonable, are subject to known and unknown risks, uncertainties,
and other factors which may cause the actual results and future events to differ
materially from those expressed or implied by such forward-looking statements.
Such factors include, but are not limited to: general business, economic,
competitive, political and social uncertainties; delay or failure to receive
regulatory approvals; the price of mineral resources; and the results of current
exploration and testing. There can be no assurance that such statements will
prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly, readers
should not place undue reliance on forward-looking statements. Canada Coal
disclaims any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or otherwise,
except as required by law.


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