CAU Canyon Resources Corp

Update on Canyon Resources Due-Diligence and Drilling Activities at the Hycroft Mine in Nevada GOLDEN, Colo., April 14 /PRNewswire-FirstCall/ -- Canyon Resources Corporation (AMEX:CAU), a Colorado-based mining company, is pleased to provide an update on the six month, $500,000 work commitment program required under its option with Vista Gold Corp. to acquire the Hycroft Mine near Winnemucca, Nevada. Canyon may exercise its option to acquire the Hycroft mine at any time during the option period for $4.0 million in cash plus $6.0 million in Canyon equity units consisting of one common share and one half warrant, priced at the 20 business day closing average prior to the exercise date. This program, to be completed prior to the final Option Exercise date of 20 August, 2005, is designed to complete due-diligence, while developing an implementation plan to re-start the mine. A component of this work program includes a 20,000 foot reverse circulation drilling program designed to confirm existing drilling results, convert mineralized inventory within the open pit shell to reserve status and to test extensions of the Brimstone and Boneyard orebodies. Lang Exploratory Drilling of Elko, Nevada commenced drilling on March 30 and is expected to complete the program over the next three months. The first eight holes of this program have been completed to an average depth of 273 feet and the chip samples from these holes have been sent to American Assay Laboratories of Sparks, Nevada for assaying. These angle holes have been targeted to intercept the East Fault structure which bounds the east side of the Brimstone orebody and to potentially convert mineralized inventory along the fault zone to reserve status. A group of highly experienced consultants have been assembled to complete the re-start analysis. These include SRK of Reno, Nevada, which is conducting environmental and permit review and costing; Kappes Cassidy of Reno, Nevada which is performing metallurgical and plant cost reviews; Ore Reserves Engineering of Lakewood, Colorado, which is performing resource modeling; and WLR Consulting of Lakewood, Colorado which is providing mine engineering and design services. Initial review by Kappes shows the Brimstone Merrill Crowe gold recovery plant to be in good condition and that only limited facility repairs are required to commence production. Validation of metallurgical recovery parameters is nearing completion. SRK's review shows that site permits are in good standing and only notification to State regulators is required, with a potential increase in bonding levels, to commence construction of a 40 million ton expansion to an existing leach pad. The Brimstone resource model has been verified by Ore Reserves Engineering, and WLR Consulting is nearing completion of a new open pit design and reserve estimate using today's higher operating cost structures including higher fuel prices. Pit designs will be modified as the infill and step-out drilling is completed. "This work program is designed to develop a life of mine operating plan and cash flow using current capital and operating costs estimates, while also testing the existing reserves and resource expansion potential of the property. We are taking steps to strengthen our existing operating team and are in discussions with contract mining groups and equipment vendors to provide mining services or equipment to supplement mining units that would be transferred from our Briggs mine. When completed, we shall have a well engineered and documented plan to use as a basis to make an option exercise decision and, if exercised, to use as a basis to re-start operations at this property. We are pleased with the results of our initial review," states James Hesketh, President and COO of Canyon Resources. Actual results may differ materially from any forward-looking statement whether expressed or implied in this news release. The following risks and uncertainties which could cause actual results to vary include, but are not limited to speculative nature of mineral exploration, precious metal prices, production and reserve estimates, production costs, cash flows, environmental and governmental regulations, availability of financing, judicial proceedings and force majeure events and other risk factors as described from time to time in the Company's filings with the Securities and Exchange Commission. Most of these factors are beyond the Company's ability to control or predict. FOR FURTHER INFORMATION, CONTACT: James Hesketh, President, (303) 278-8464 Gary Huber, VP Finance, (303) 278-8464 DATASOURCE: Canyon Resources Corporation CONTACT: James Hesketh, President, or Gary Huber, VP Finance, both of Canyon Resources Corporation, +1-303-278-8464 Web site: http://www.canyonresources.com/

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