Canaco drills 35.0 metres at 6.45 grams per tonne gold in the Western Lodes and 55.3 metres at 3.19 grams per tonne gold on the Magambazi Main Lode

VANCOUVER, BRITISH COLUMBIA–(Marketwire – Oct. 14, 2011) – Canaco Resources Inc. (TSX VENTURE:CAN) (“Canaco” or the “Company”) is pleased to announce new assay results from diamond drilling at the Magambazi gold discovery on the Company’s Handeni project in Tanzania.