AURCANA CORPORATION TSX.V: AUN Contact: Gary Lindsey Investor Relations, StrataStar Group 720-273-6224 Aurcana Corporation 1188 West Georgia St., Suite 1750 Vancouver, BC V6E 4A2 Toll Free: (866) 532-9333 Phone: (604) 331-9333 Fax: (604) 633-9179 E-Mail: info@Aurcana.com Website: www.Aurcana.com Shares Outstanding: 477.5 million 52 Week Trading Range: Hi: C$1.10 • Low: C$0.35 Caution Regarding Forward-Looking Statements -- This article contains certain forward-looking statements, including statements regarding the business and anticipated financial performance of the Company. These statements are subject to a number of risks and uncertainties. Actual results may differ materially from results contemplated by the forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include unsuccessful exploration results, changes in metal prices, changes in the availability of funding for mineral exploration and development, unanticipated changes in key management personnel and general economic conditions. When relying on forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward-looking statements, oral or written, made by itself or on its behalf. The reader should be cautioned the Company has not completed a feasibility study confirming the projected production capacity for La Negra and there is no certainty the Company’s plans will be economically viable.

       In the past year, Aurcana expanded mill production to 1,500 tonnes per day at its La Negra Mine in Queretaro State, Mexico. Aurcana also bought back its silver stream agreement from Silver Wheaton to bring its share of silver La Negra production to match its 92% ownership. The mine site includes a three-stage crushing plant and a mill producing copper-silver and zinc concentrates. A new lead circuit was completed in April 2011 significantly improving revenues from the mine.
       The company installed additional mill equipment, expanding mill operations to 1,500 tpd, a 50% increase in throughput from 1000 tpd in 2010. And now the company is expanding La Negra again with expectations of reaching 2000 tpd in early 2012. When that is completed the company will begin expansion to 2500 tpd.
       A new tailings disposal area is now defined and being permitted to facilitate long term operations at the mine. Over the past year, mining operations and a partially completed 12,000 meter exploration drilling program have delineated additional mineralized zones potentially adding to the mine’s life.
       Aurcana acquired La Negra in 2006, and now has 28 distinct orebodies, three of which are currently being mined and five of which were discovered by Aurcana over the past three years. Most recently, Aurcana expanded the project’s resource potential following a drilling program that extended the boundaries of existing orebodies and intersected significant mineralization in the La Cruz and Sofia deposits. The increased mine production and the current high metal prices resulted in Aurcana reaching a Q3 2011 profit of $3.8 million. Silver production for 2011 is over 1 million ounces and increased 20.1% over silver production in 2010.
       The La Negra mine was discovered and developed by Industriales Peñoles S.A. de C. V. and was in production from 1970 until 2000. Historically, the mine produced 36 million oz. of silver, 323 million lbs. of zinc, 70 million lbs. of copper and 161 million lbs. of lead. Peñoles estimated at the time the mine was put on care and maintenance that it contained historical reserves of 1.22 million tonnes grading at 116 g/t silver, 2.8% zinc, 0.94% copper and 0.88% lead (not NI 43-101 compliant).
       “We feel that a significant number of the 28 ore bodies at La Negra have excellent potential to continue at depth,” says Vice President of Exploration Nils von Fersen.

       Aurcana is well on its way with developing its 100%-owned Shafter Silver Mine. When completed in May, 2012, the mine is expected to produce 3.8 million ounces of silver in its first two years of operations at an initial cash cost of $7.60 an ounce.
       At that point, Aurcana’s Shafter Mine will become the 14th largest primary silver mine in the world, the second largest pure silver mine in the U.S., and will increase total U.S. silver production by an impressive 10%.
       A very positive feasibility study completed in the fall of 2010 projected a 32% IRR with a Capex of $45 million over a five-year mine life, based on a $15.53 per ounce silver price and 4 oz. cut off grade. The mine, which is expected to pay back the company’s capital investment in just under two years may have at least a 10-year economic life if infill drilling confirms the inferred resources adding to the projects measured and indicated resources, and with higher metal prices reducing the cut off grade.
       The mine, located in southwest Texas, currently has an NI 43-101 compliant silver resource of 24.6 million ounces measured and indicated (2,900,000 tons @ 8.48 opt), 22.8 million ounces inferred (2,167,000 tons @ 10.52 opt) (assumes a 4.0 opt silver cut-off). The Shafter deposit is the northeastern down dip extension of the historic Presidio mine.
       Aurcana bought the mine in 2008 from Silver Standard, which holds 15 million shares in Aurcana. The company successfully secured financing to build a new mine, construction is well underway.
       The Shafter mine development program is currently on schedule and proceeding without interruption. Recent construction milestones include: completing the mine office, completing the decline portal, the new decline ramp has reached 1000 feet, the ball mill has been erected, all 6 leach tanks are completed, the Merrill Crowe plant has been delivered and installation will be completed soon, the jaw crusher and cone crusher have been installed. Older mined-out areas will be used for waste rock storage while existing shafts will provide ventilation for the new workings.
       The mine site’s infrastructure is excellent with a major power line currently being upgraded and paved highway crossing the property, an electrical substation on site, a 1,050 foot shaft serviced by an 80-ton per hour hoist, and 5,100 feet of underground development.
       Aurcana has completed an airborne ZTEM survey over the Shafter Trend and commenced studies to define drill targets to expand the project’s reserves under the direction of Dr. Peter Megaw a world renowned expert on carbonate hosted silver deposits. There appears to be substantial exploration potential both to the east and west of the Presidio and Shafter deposits.

       Aurcana is led by a particularly experienced management team. President and CEO Lenic Rodriguez, a top Mexican business executive with a strong background in international finance, was integral in the company’s acquisition and financing of the La Negra Mine. His extensive contacts in and knowledge of Mexico bode well for Aurcana’s future in that silver-rich country.
       Andy Nichols, the company’s Vice President of Operations, has over 35 years of underground mining experience in Canada, Africa, Asia and Latin America.
       Nils von Fersen, Vice President of Exploration, also has over 30 years experience in conducting and managing mineral exploration for base and precious metals in Canada, Chile, Mexico and Guatemala for both major and junior mining companies.
       Ken Collison, Director of the company, educated as a mining engineer brings over 30 years of experience in the mining industry in project development and operations in North America.
       Dr. Peter Megaw, Technical Advisor, will assist in planning exploration at both La Negra and Shafter.

       The participation of major financial institutions, in Aurcana’s recent financings is a strong endorsement of the company’s management and the quality of its La Negra and Shafter Silver Mines. In fact, institutional funds took $50 million of a $60 million equity financing in 2010.
       “We believe there are very strong reasons for investors to take a close look at Aurcana,” says Rodriguez. “We offer pure silver leverage backed by a growing annual silver production, robust mining economics and a compelling market valuation.”
       To see photos of the progress on the Shafter mine go to www.aurcana.com and click on ‘Shafter Mine Updates’.