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Canarc Completes Airborne Geophysical Survey Over the Newly Acquired Hard Cash Gold Property in Nunavut, Canada

Mergers & Acquisitions Exploration Programs

News Release

Canarc Completes Airborne Geophysical Survey Over the Newly Acquired

Hard Cash Gold Property in Nunavut, Canada

Vancouver, Canada –January 23, 2019 – Canarc Resource Corp. (TSX: CCM, OTC-BB: CRCUF,

Frankfurt: CAN) announces the completion of a 970 line-km airborne magnetic and radiometric

survey over the newly acquired 2,090 hectare Hard Cash Gold Property, located in southwestern

Nunavut, Canada.

Scott Eldridge, Canarc’s CEO, stated: “Since identifying Hard Cash late last year as a district scale

gold exploration opportunity, Canarc has visited the site, sampled high grade gold in bedrock,

signed an option agreement to acquire a 100% interest, completed an aero-geophysical survey, and

we plan to drill the initial high priority targets this summer. We are moving expeditiously to execute

our new corporate strategy of acquiring and exploring high impact gold discovery projects and de-

risking our current core assets in order to create shareholder value.”

Canarc recently entered into an option agreement wit h Silver Range Resources to acquire a

100% interest in Hard Cash ( see news release dated November 29, 2018). Nunavut is home to

two multi-million ounce gold deposits at the operating Meadowbank Mine and the Meliadine

Mine currently under construction, both owned by Agnico Eagle Mines.

The survey data are now being interpreted and r esults will be released following receipt of the

report from the geophysical contractor, Geotech Ltd.

Historic Exploration Results

Gold was first discovered on the Hard Cash property in 1946 in the area of the Swamp showing.

Small, h istoric exploration programs located high-grade gold mineralization associated with

quartz-carbonate-sulfide veins within a broad, northeast-trending, quartz-sericite altered shear

zone. Elsewhere on the property, one gold showing was found within a banded iron formation.

Recent prospecting identified multiple high -grade Archean lode gold showings , extending the

known mineralization for 3.4 km along the altered shear zone . Bedrock mineralization is best

exposed at the Swamp Showing at the northeast end of the trend where quartz-carbonate-sulfide

veins occur within a 60 to 100 m wide shear zone.

Historic sampling of outcrop and proximal float from the Swamp Zone returned values to 125

g/t gold with 719 g/t silver. Sampling of float boulders along a 1.0 km extension to the southwest

has returned values to 116 g/t gold with 1,030 g/t silver and sampling of sheared outcrop at the

Pond Showing, to the southwest, has returned values to 11.45 g/t gold with 719 g/t silver.

CANARC RESOURCE CORP .

810-625 Howe Street

Vancouver, BC V6C 2T6

T: 604.685.9700

F: 604.6685 -9744

www.canarc.net

CCM: TSX

CRCUF: OTCQX

Float boulder sampling, up to 2.7 km southeast of the Southeast Lineament, returned several high

gold values, inclu ding 6.81 and 12.45 g/t gold from separate locations. A large boulder, 450

metres southeast of the Swamp Zone, returned a value of 95.7 g/t gold with 251 g/t silver.

Canarc considers these results to be historical, it has not completed sufficient work to

independently verify these historic results.

Canarc’s consulting geologist visited the property in September 2018 and sampled similar high-

grade gold assays in quartz vein float and outcrop samples including 72.6 gpt Au and 14.6 gpt

Au respectively for quartz vein float and outcrop samples collected at and near the Swamp

showing.

The property has seen only minor, shallow historic drilling. Nine small diameter holes were

drilled at the northeastern end of the Swamp Zone between 1946 and 1956. In 2017 Silver Range

conducted a small program of very shallow pack sack drilling (29 meters in 7 holes) which failed

to reach the targeted structures and depths due to mechanical issues with the equipment.

The new geophysical survey results are intended to help define the magnetic and radiometric

responses of the known gold mineralization and identify new high priority drill targets along the

gold mineralized trend where it is covered by glacial overburden.

Qualified Person

Garry Biles, P.Eng, President & COO for Canarc Resource Corp, is the Qualified Person who

reviewed and approved the technical contents of this news release.

"Scott Eldridge”

____________________

Scott Eldridge, Chief Executive Officer

CANARC RESOURCE CORP.

About Canarc - Canarc Resource Corp. is a growth-oriented gold exploration company focused

on generating superior shareholder returns by discovering, exploring and developing strategic

gold deposits in North America. The Company is currently advancing two core assets, each with

substantial gold resources, and has initiated a high impact exploration strategy to acquire and

explore new properties that have district-scale gold discovery potential. Canarc shares trade on

the TSX: CCM and the OTCQX: CRCUF.

For More Information - Please contact: 


Scott Eldridge, CEO

Toll Free: 1-877-684-9700
Tel: (604) 685-9700
Cell: (604) 722-5381


Email: [email protected] 
Website: www.canarc.net

Cautionary Note Regarding Forward-Looking Statements

This news release contains “forward-looking statements” within the meaning of the United States private securities litigation reform

act of 1995 and “forward -looking information” within the meaning of applicable Canadian sec urities legislation. Statements

contained in this news release that are not historic facts are forward -looking information that involves known and unknown risks

and uncertainties. Forward -looking statements in this news release include, but are not limited to, statements with respect to the

future performance of Canarc, and the Company's plans and exploration programs for its mineral properties, including the timi ng

of such plans and programs. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "has

proven", "expects" or "does not expect", "is expected", "potential", "appears", "budget", "scheduled", "estimates", "forecast s", "at

least", "intends", "anticipates" or "does not anticipate", or "believes", or varia tions of such words and phrases or state that certain

actions, events or results "may", "could", "would", "should", "might" or "will be taken", "occur" or "be achieved".

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results,

performance or achievements of the Company to be materially different from any future results, performance or achievements

expressed or implied by the forward-looking statements. Such risks and other factors include, among others, the Company’s ongoing

due diligence review in relation to the Acquisition, risks related to the uncertainties inherent in the estimation of mineral resources;

commodity prices; changes in general economic conditions; market sentiment; currency exchange rates; the Company's ability to

continue as a going concern; the Company's ability to raise funds through equity financings; risks inherent in mineral explo ration;

risks related to operations in foreign countries; future prices of metals; failure of equipment or processes to operate as an ticipated;

accidents, labor disputes and other risks of the mining industry; delays in obtaining governmental approvals; government regulation

of mining operations; environmental risks; title disputes or claims; limitations on insurance coverage and the timing and pos sible

outcome of litigation. Although the Company has attempted to identify important factors that could affect the Company and may

cause actual actions, events or results to differ materially from those described in forward -looking statements, there may be other

factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-

looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipa ted in

such statements. Accordingly, do not place undue reliance on forward-looking statements. All statements are made as of the date of

this news release and the Company is under no obligation to update or alter any forward -looking statements except as required

under applicable securities laws.