Prefeasibility Study On Bellavista Project, Costa Rica Indicates Mine Should Generate Strong Profits;  Wheaton River To Commence Infill Drilling Program In June
April 29, 1998

Vancouver, British Columbia, Canada, April 29, 1998....Canarc Resource Corp. is pleased to announce that a prefeasibility study completed by partner Wheaton River Minerals Ltd. on the Bellavista project in Costa Rica indicates that the mine should generate strong profits over its 8.7 year minimum minelife. 

Canarc owns an 18.3% carried interest in Bellavista, and receives annual pre-production payments of US $117,000 from Wheaton River.

The study indicates that a profitable open pit and underground gold mine can produce gold, utilizing heap leach processing, at a total cash cost of US$168 per ounce, generating an attractive 28% rate of return on capital.  Total gold production will exceed 550,000 oz. at an annual output of 64,000 oz. per year.  Proven and probable mineable resources are estimated to be 780,000 oz. and  heap leach recoveries should exceed 75%.

Wheaton River, the Operator, will commence a 7600 meter underground infill drilling program in June in order to move underground resources into the mineable reserve category.  A final feasibility study should be completed in the 1st Quarter of 1999.

Canarc Resource Corp. is a growth-oriented, international gold exploration and mining company. Production increased over 300% last year to 7000 oz. at the Company's Sara Kreek (80%) mine .  Reserves and resources now total 2.4 million oz. at the New Polaris (100%) and Bellavista (18%) projects.  Our large exploration portfolio includes joint ventures with Placer Dome and Homestake/Prime.  Major shareholders include Barrick Gold and Echo Bay Mines.  The Company's common shares trade under the symbol "CCM" on the Toronto Stock Exchange.

ON BEHALF OF THE BOARD OF DIRECTORS 
CANARC RESOURCE CORP.
                             
Bradford J. Cooke
President