Kanosak Capital Venture Corporation to acquire additional African gold exploration properties in Burkina Faso

MONTREAL, April 3, 2013 /CNW Telbec/ - Kanosak Capital Venture Corporation (TSXV: KKV) (the "Corporation" or "Kanosak") is pleased to announce the signature of an agreement to acquire new exploration assets.

On April 2, 2013 Kanosak entered into a definitive share purchase agreement (the "Agreement") to acquire 100% of LMZ GOLD Burkina SARL ("LMZ") a subsidiary of Gondwana Gold Inc. (TSXV- PAO), a publicly-listed company on the TSX Venture Exchange.

LMZ Gold Burkina holds 100% of the rights on 3 exploration properties known as Gabou, Dianvour and Ouaraba (the "Properties"). They are located in South West Africa, within the Birimian Boromo Greenstone Belt hosting the Kalsaka and Poura gold mines. The Properties are easily accessible by paved road from the capital of Burkina Faso, Ouagadougou.

• The Gabou Property covers 181.6 sq. km and is located 135 km west southwest of Ouagadougou,
• The Dianvour Property covers 248.5 sq. km and is located 210 km southwest of Ouagadougou,
• The Ouaraba Property covers 129.5 sq. km and is located 260 km south southwest of Ouagadougou;

To date, LMZ has incurred approximately $3 million in exploration costs on the Properties since the issuance of the necessary permits. As such, most of the minimum costs currently required by the Government of Burkina Faso for each permit have been met for the next 2 years and Kanosak has no material financial obligations in that regard.

Francois Auclair, Kanosak CEO, commented "This acquisition will be very accretive to the operations of Kanosak, further building on the extensive management and board experience in working in West Africa".

Transaction Details

• As consideration for this transaction Kanosak will issue 2,000,000 common shares on closing of the transaction, and 3,000,000 additional common shares upon reaching each of the following two milestones: upon the release of a mineral resource estimate of at least 1,000,000 ounces of gold on the Properties and upon the preparation of a bankable feasibility study on the Properties.
• Between the date of signing the Agreement and the closing of the Transaction, anticipated in June 2013, Kanosak will be the operator of the Properties and will be responsible for all related costs. Such costs are non-refundable in case of non-completion of this transaction.

The completion of this transaction is subject to customary closing conditions including Kanosak's completion of satisfactory due diligence as well as the receipt of the necessary regulatory and TSX Venture Exchange approvals. The transaction is expected to close in June, 2013.

In other news, Kanosak granted Deferred Share Units as special compensation to certain of its directors with a total value of $500,000 based on a per share value of $0.40.

This news release discusses items that may constitute forward-looking statements within the meaning of securities laws and that involve risks and uncertainties. Such statements include those with respect to the completion of the acquisition of the Properties and share issuances to be made. Although Kanosak believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in such forward-looking statements are based on reasonable assumptions, they can give no assurances that those expectations will be achieved and actual results may differ materially from those contemplated in the forward-looking statements and information. Such assumptions, which may prove incorrect, include that the acquisition of the Properties will obtain all required regulatory and shareholder approvals and that Gondwana will complete the sale of the Properties. Factors that could cause actual results to differ materially from expectations include Kanosak's inability to obtain the required approvals or Gondwana's refusal to proceed, for whatever reason, either on a timely basis or at all. These factors and others are more fully discussed in Kanosak's filings with Canadian securities regulatory authorities available at www.sedar.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: Kanosak Capital Venture Corporation

Kanosak Capital Venture Corporation
Mr. François Auclair, CEO
[phone] [email protected]

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Mr. Martin Tremblay
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