CanAm Coal Corp. (TSX VENTURE:COE), (OTCQX:COECF) ("CanAm" or the "Company") is
pleased to report coal production and sales for the third quarter ending
September 30, 2012. Consolidated Q3 2012 coal sales were 158,000 tons, more than
double Q2 coal sales of 77,000 tons and a 68% increase over Q3 in the prior
year. For the nine month period ended September 30, 2012, consolidated coal
sales were 302,000 tons, a 46% increase over the prior year. Q3 coal production
was 167,400 tons, including 21,300 tons of metallurgical coal.




                             Three Month Period         Nine Month Period   
                                    Ended                     Ended         
                               Sept 30      Oct 31       Sept 30      Oct 31
                                  2012     2011(i)          2012     2011(i)
                          ------------------------  ------------------------
                                                                            
Metallurgical coal              15,443      13,175        47,014      43,203
Thermal coal                   142,457      81,086       254,615     163,166
                          ------------------------  ------------------------
                                                                            
Total                          157,900      94,261       301,629     206,369
                          ------------------------  ------------------------
                          ------------------------  ------------------------



(i)The comparative period is to October 31, 2011 as the Company formerly had a
January year-end.


Note: CanAm holds 80% ownership in Birmingham Coal & Coke (BCC) following its
acquisition of an additional 30% interest, effective July 1, 2012. As at that
date, CanAm began consolidating the financial results of BCC in accordance with
generally accepted accounting principles and, accordingly the above information
is presented on a consolidated basis and includes 100% of BCC's sales and
production volumes. 


The significant increase in both sales and production is attributable to an
increase in the Company's ownership in BCC, which was effective July 1, 2012 and
an improvement in production at all of our four operating mines. Management and
operational changes executed in the first half of the year at the Powhatan mine
paid off and coal sales at that mine set an all-time high of 33,332 tons.
Operational challenges at the BCC mines, mainly resulting from an incident in Q1
that damaged an excavator at the Gooden Creek mine, were ironed out and sales
from BCC's operations were 124,568 tons, the highest level since Q1 of 2008.
Sales of metallurgical coal were up 16% from the prior year but slightly down
from Q2 as shipments were somewhat hampered by inconsistency in coal quality.


Looking forward to our Q4 and beyond, the Company is expecting continued growth
in production and sales as it brings on production from newly permitted mines.
The Old Union 2 mine, which received final permitting in late August, started
operations in early October and permits for the Knight and Posey Mill 2 mine are
expected in the near term.


Jos De Smedt, President and COO of CanAm, commented: "CanAm achieved significant
production and sales growth in Q3. The majority of this growth came from our
acquisition of 30% of BCC but important operating improvements also positively
impacted results. We look forward to building on this momentum with production
from our new Old Union 2 mine starting in October. We are also in the final
permitting stages for our Knight and Posey Mill 2 mines. Upon receipt of these
permits, mining can commence within a short period of time. We look forward to
building on our momentum in Q4 and into 2013".


The Company will release full third quarter financial results in late November 2012.

About CanAm Coal Corp.

CanAm is a coal producer and development company focused on growth through the
acquisition, exploration and development of coal resources and resource-related
technologies. CanAm's main activities and assets include its four operating coal
mines in Alabama and the Buick Coal Project which holds significant coal
resources, 188 million indicated and 103 million inferred resources, in
Colorado, USA (see the technical report entitled "Limon Lignite Project, Elbert
County, Colorado, USA," dated October 26, 2007 and filed on SEDAR on November 2,
2007). Other coal and related opportunities continue to be evaluated on an
ongoing basis. 


Forward-Looking Information and Statements

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.


FOR FURTHER INFORMATION PLEASE CONTACT: 
CanAm Corporate Office:
Jos De Smedt
President & COO
403.262.3797 or Toll Free: 1.877.262.5888
jdesmedt@canamcoal.com


Brisco Capital Partners:
Scott Koyich
Partner
403.262.9888
scott@briscocapital.com