CanAm Consolidates Mine Operations Under Common Structure to Drive Operational Efficiencies

CanAm Coal Corp. (TSX VENTURE:COE) (OTCQX:COECF) ("CanAm" or the "Company") is
pleased to report on the consolidation of mine operations under one common
structure and team that will be led by Birmingham Coal & Coke ("BCC"). 


Since November 2009, CanAm has embarked on a strategy to become an emerging coal
producer and the Company has successfully completed two acquisitions: gaining
control of RAC Mining LLC ("RAC"), a predominantly metallurgical coal producer,
and acquiring a 50% ownership stake in Birmingham Coal & Coke Inc., a
predominantly thermal coal producer, with a 5-year option to purchase the
remaining 50%. Up until recently, these respective operating subsidiaries and
their mines were managed and run independently. However, a desire to
continuously improve our operations, to drive operational efficiencies and to
leverage BCC's proven process of running safe, reliable and profitable
operations, has motivated the Company to consolidate mine operations under one
common structure.


Under this structure BCC will, in addition to the operation of the Bear Creek,
Old Union and Gooden Creek mine, also take on operational responsibility for the
Powhatan and Davis mine. This consolidation will allow the Company to simplify
the management structure, implement consistent policies, processes and
procedures across all mines and establish a common performance measurement and
accountability framework. In this context, Mr. Wayne Bass, VP of Operations for
BCC, and Mr. Eddie Colburn, General Mine Superintendent for BCC, will take on
the additional responsibility for the Powhatan and Davis mine and be accountable
for their respective mining operations. Additional mines that are slated to open
up later on this year, the Old Union 2 and the Posey Mill 2 mines, will also be
managed within the context of this common structure and team.


The Company believes that a multitude of benefits will be derived from this
consolidation including sharing of resources; staff, equipment and parts,
optimization of equipment utilization, leveraging the purchasing power of the
combined organization with suppliers and vendors, obtaining more favorable
financing terms with various lenders. Last but not least, improved operating
practices and policies and, consistent implementation thereof, will lead to
operational efficiencies. The transition to this new structure was started in
early March and is nearing its completion.


The Company is also announcing the appointment of Mr. Eric Hallmark as the
controller for the Alabama mining operations. In this capacity, Eric will have
responsibility over all aspects of accounting, financial and regulatory
reporting, financing and banking, taxation and general administrative matters.
Eric joined the Company in December of 2011 after a 23 year career in public
accounting. He is a graduate from the University of Alabama in Birmingham with a
Bachelor's degree in Accountancy. In the twenty years prior to starting his own
practice, he was a senior manager with one of Alabama's top ten accounting firms
and prior to this was a manager with an international accounting firm. His
experience includes working with partnerships, LLCs, S corporations and
closely-held corporations in the mining, architectural, construction and
manufacturing industries and serviced Birmingham Coal & Coke Co., Inc. for over
ten years prior to joining the team.


"Consolidation of our operations under a common structure was the next logical
step for us as we look to drive synergies and operational efficiencies across
the mines", said Jos De Smedt, CFO of CanAm. "In addition, simplification of our
structure and leveraging BCC's 30 year experience of running safe and profitable
mining operations makes perfect sense as we continue our consolidation strategy
in Alabama and look to exercise our BCC option in the near future. Complementing
our team with an experienced individual like Eric will further assist us in the
execution of this strategy while maintaining financial discipline and
strengthening controls across our business". 


About CanAm Coal Corp. 

CanAm is a coal producer and development company focused on growth through the
acquisition, exploration and development of coal resources and resource-related
technologies. CanAm's main activities and assets include its four operating coal
mines in Alabama and the Buick Coal Project which holds significant coal
resources, 188 million indicated and 103 million inferred resources, in
Colorado, USA (see the technical report entitled "Limon Lignite Project, Elbert
County, Colorado, USA," dated October 26, 2007 and filed on SEDAR on November 2,
2007). Other coal and related opportunities continue to be evaluated on an
ongoing basis. 


Forward-Looking Information and Statements

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.


This news release may contain certain forward-looking information. All
statements included herein, other than statements of historical fact, is
forward-looking information and such information involves various risks and
uncertainties. There can be no assurance that such information will prove to be
accurate, and actual results and future events could differ materially from
those anticipated in such information. A description of assumptions used to
develop such forward-looking information and a description of risk factors that
may cause actual results to differ materially from forward-looking information
can be found in the Company's disclosure documents on the SEDAR website at
www.sedar.com. The Company does not undertake to update any forward-looking
information except in accordance with applicable securities laws.
Benz Capital (TSXV:BCC)
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