CanAm Closes Non-Brokered Private Placement of Common Shares and Flow-Through Shares

Calgary, Alberta--(Newsfile Corp. - December 22, 2014) - CanAm Coal Corp. (TSXV: COE) ("CanAm" or the "Company") is pleased to announce that it closed a non-brokered private placement of 23 units (the "Units) at a price of $11,250 per Unit for total gross proceeds of $258,750. Each Unit is comprised of: (a) 125,000 common shares of the Company ("Common Shares"); (b) 100,000 common shares of the Company issued on a "flow-through" basis pursuant to the Income Tax Act ("Flow-Through Shares"); and (c) 86,538 common share purchase warrants ("Warrants"). The Common Shares and Flow-Through Shares are issued at a price of $0.05 per share and the Flow-Through Shares represent $5,000.00 of the Unit Price. Each whole Warrant shall entitle the holder to acquire one Common Share at a price of $0.065 for the period of one year from the closing date. Insiders participated in the private placement for an amount of $22,500.

A finder's fee of eight percent of the gross proceeds of the private placement was paid. Additionally, finder's warrants exercisable into common shares of CanAm were issued in the amount of eight percent of the number of units sold under this private placement. The finder's warrants will be exercisable into common shares at a price of $0.05 per common share for a period of two years from the date of the issuance of the finder's warrants.

Proceeds of the financing will be used to commence exploration and development of the frac sand property, to create a new frac sand business unit within the Company and for general corporate purposes.

The completion of the private placement is subject to regulatory approval including approval of the TSX Venture Exchange.

For Further Information:

CanAm Corporate Office:
Jos De Smedt, CEO
Tel: 403.262.3797
Toll Free: 1.877.262.5888
Email: jdesmedt@canamcoal.com

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.