Mr. Chad Ulansky reports

CANTEX CLOSES FIRST TRANCHE OF A NON-BROKERED PRIVATE PLACEMENT

Cantex Mine Development Corp. has closed the first tranche of its previously announced non-brokered private placement. The first tranche of the offering consisted of 4,428,000 charity flow-through (CFT) units at 36.25 cents per CFT unit, 283,333 flow-through (FT) shares at 30 cents per FT share and 959,000 hard units at 25 cents per unit for total gross proceeds of $1,929,900. Each CFT unit comprises one flow-through share and one-half of a non-flow-through warrant. Each unit comprises one common share and one-half of a non-flow-through warrant. Each whole warrant issued in connection with the offering entitles the holder to acquire one common share at a price of 40 cents for a term of two years.

Chad Ulansky, president and chief executive officer of the company, subscribed for 100,000 FT shares for a total subscription price of $30,000. The issuance of the FT shares constitutes a related party transaction as defined in Multilateral Instrument 61-101, Protection of Minority Securityholders in Special Transactions. The company is relying on the exemption from valuation requirements and minority approval pursuant to subsections 5.5(a) and 5.7(1)(a) of MI 61-101, respectively, for the insider participation in the offering, as the value of the units subscribed for does not represent more than 25 per cent of the company's market capitalization, as determined in accordance with MI 61-101.

In connection with the closing of the first tranche of the offering, the company paid an aggregate cash finders' fees of $35,350 and issued an aggregate of 126,000 non-transferable finders' warrants to certain arm's-length finders. Each finder's warrant entitles the holder to purchase one common share at an exercise price of 40 cents per finder's share for a period of two years from the date of issuance of the finder's warrant.

Proceeds from the offering will be used to finance qualified critical mineral exploration expenditures on the company's North Rackla drill projects in Yukon, including drilling of gold targets, high-grade copper discoveries, as well as the high-grade silver-lead-zinc-germanium massive sulphides to potentially expand the strike length toward the now open northeast, and for general operations. The offering remains subject to the acceptance of the TSX Venture Exchange.

About Cantex Mine Development Corp.

Cantex is focused on its 100-per-cent-owned, 20,000-hectare North Rackla project, located 150 kilometres northeast of the town of Mayo in Yukon, Canada, where high-grade massive sulphide mineralization has been discovered. Over 60,000 metres of drilling has defined high-grade silver-lead-zinc-germanium mineralization over 2.3 kilometres of strike length and 700 metres of depth. The mineralization remains open along strike and to depth. The company is led by Dr. Charles Fipke, CM, the founder of Ekati, Canada's first diamond mine.

The technical information and results reported here have been reviewed by Chad Ulansky, PGeol, a qualified person under National Instrument 43-101, who is responsible for the technical content of this news release.