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Canadian Arrow Mines Announces Assay Results from Kelex Nickel Project

Canadian Arrow Mines, Ltd. (CRO: TSX-V) reports assay results on the next holes drilled on its Timmins, Ontario Kelex nickel project 2010 program.

Hole 2010-03 intersected 0.63% Ni over a 4.0 metre interval within a larger interval averaging 0.45% Ni over 32.3 metres.  The hole was drilled on the same section as, and approximately 30 metres below,  previously announced hole 2010-02 which intersected  24.5 metres averaging 0.64% nickel including a higher grade interval grading 1.22 % nickel over 4.7 metres.  Drill holes 2010-01, -02 and -03 have successfully extended the nickel sulphide mineralization within pyroxenite host rock to depth and along strike east of the Kelex West (KW) zone towards the adjacent Kelex Central West (KCW) Zone.

Additionally holes 2010-05 and 2010-07 intercepted narrow intervals of massive sulphide in thinner pyroxenite grading 2.21% nickel over 0.4 m and 2.5% nickel over 0.2 m respectively. The holes were drilled on section 1400E approximately 100 metres east along strike of the KW Zone.  The broader, lower grade disseminated mineralization intercepted in the KW zone is interpreted to resolve into narrower, high grade, massive sulphides accumulating along the footwall contact in the KCW pod. Previous drilling in the KCW zone intercepted grades between 0.83% Ni/4.8m in LOX-26-04 and 2.34% Ni/9.4m in LOX-14-04. The 100 metre gap of ground between the two zones remains under-drilled.

Mr. Kim Tyler, President of the Company, said, "We are very pleased that these new results extend the mineralization at Kelex.  These results will be incorporated into a new resource estimate and will have a positive impact on our ongoing planning to resume production at Kelex."

Drilling suspended over the holiday season has resumed as of January 4, 2011.

The Kelex zones discovered to date are defined by a string of five lenses of higher grade massive sulphides within a broader, lower grade, nickel sulphide halo that extend along a 600 metre strike length and are drill defined to only 100 metres below surface. Sparse drilling below the 100 metre horizon has intercepted additional mineralization to at least the 350 metre elevation. Widths and continuity of both the Kelex and Alexo zones indicate amenability for both bulk minable open pit and underground extraction.

The exploration program is being carried out under the direction of Kim Tyler, P. Geo., President of the Company, a qualified person as defined by National Instrument 43-101.

Mineralized diamond drill hole intervals reported are down hole core lengths only. NQ diameter drill core samples are split in half; one half being retained in its original core box and the second half sent to an independent commercial laboratory for analysis. Samples are analyzed by ALS Chemex Laboratories in Vancouver, BC. Samples analyzed for base metals (nickel, copper, and cobalt) are digested with a four acid digestion technique with an ICP-AES finish.  Precious metals, (platinum, palladium and gold), are fire assayed with an ICP-AES finish.

Source:

Canadian Arrow Mines, Ltd.

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