Canasil Resources, Inc. filed its Annual on Apr 26, 2013 for the period ending Dec 31, 2012. In this report its auditor, Davidson & Company, gave an unqualified opinion expressing doubt that the company can continue as a going concern.

Canasil Resources, Inc. announced that the company has received comprehensive drill permits for the Salamandra silver-copper-zinc-lead and Sandra-Escobar silver-gold projects in Durango State, Mexico. Since the introduction of new environmental and land use regulations in Mexico in 2012 with respect to drill permits, the process for approving drill permits requires longer lead times. As a result it has systematically applied for drill permits for its drill ready projects in Mexico to avoid any delays with the implementation of any planned drill programs. The company is pleased to have received comprehensive drill permits for both projects within a relatively short lead time following filing of the applications. Each of the permits provides for multiple drill holes from 25 drill locations with provisions for building drill access roads etc. with a validity of two years, which may be extended if necessary. This will provide significant flexibility in planning appropriate drill programs to test these high potential projects. It has also increased the claim area at the Sandra-Escobar project from 7,451 hectares to 9,451 hectares through registration of a new mineral claim covering the southeast silver trend identified through surface sampling programs in 2012. This area has demonstrated the potential for both high grade silver veins as well as disseminated silver mineralization. The Salamandra project is located 35 km to the northeast of the City of Durango and covers 14,719 hectares (over 140 square kilometers), and benefits from excellent access and infrastructure for mineral exploration and development. This large claim area is strategically located within the major silver-gold trend running through Durango and Zacatecas States, and is directly on trend with a number of important operating mines and recent discoveries. The project is located on the mineral-rich Fresnillo geologic trend, approximately 80 km northwest of, and within a similar geologic environment, to the San Martin mine of Grupo Mexico. The San Martin mine is the largest underground silver-copper-zinc mining operation in Mexico, producing at approximately 6,000 tones per day. The exploration programs to date at the Salamandra project indicate the potential for a large buried intrusive and carbonate hosted massive sulphide skarn/manto replacement system. Initial ground geophysics and diamond drilling identified significant silver-zinc mineralization at Salamandra, including 7.45 metres of 50 g/t silver and 12% zinc and 10 metres of 71 g/t silver, 3.48% zinc and 1.26% lead. This mineralization is associated with skarn, hydrothermal breccias, sulphide rich veins and quartz porphyry dykes. Preliminary metallurgical tests indicate high zinc and silver recoveries to clean concentrates. A subsequent ZTEM airborne geophysical survey completed in 2011 outlined a much larger complex response area covering 2.5 km by 3.5 km. Detailed surface sampling in this area led to the discovery of a high grade vein outcrop, carrying 2,150 g/t silver, 5.39% copper, and 1.89% zinc over 0.90 metres. In addition, sampling has outlined extensive areas of anomalous silver-copper-arsenic-antimony with peripheral lead and zinc anomalies, which is similar to the surface signature of the San Martin mine. The significant silver-zinc drill intercepts from prior drilling, plus results of both airborne and surface geophysical surveys, and the discovery of a high grade silver-copper-zinc vein outcrop within an area of widespread silver-copper-zinc-lead-arsenic-antimony geochemical anomalies indicate the potential for a large silver-copper-zinc-lead mineralized system. The Sandra-Escobar project is located in northern Durango State, Mexico, 200 km northwest of the City of Durango with excellent access and infrastructure, on an important mineral trend with many past and presently producing silver-gold mines and deposits. It holds a 100% interest in the 7,451-hectare Sandra project claims, and a 40% interest in Pan American Silver's adjacent 634-hectare Escobar claims. The project area hosts a mineralized system centered on a large altered rhyolite dome complex, with surrounding geological formations, alteration patterns, and extensive evidence of gold, silver and base metal mineralization. These features indicate the potential for hosting a large disseminated silver-gold-base metal mineralized system. A number of high-grade silver-gold veins surround the dome area. Exploration programs to date at the Sandra-Escobar project include ASTER satellite alteration and GeoEye satellite mapping surveys, ZTEM airborne and IP ground geophysical surveys, plus surface mapping and sampling and 1,849 meters of diamond drilling in 11 drill holes. These programs have confirmed evidence of a large hydrothermal system centered on an intrusive source with the potential for hosting both high-grade vein style and disseminated mineralization. The mineralized zones observed at surface with veins and outcrops consistently return high silver, gold, copper, lead and zinc mineralization (silver grades up to 1,465 g/t, gold grades up to 19.95 g/t, copper grades up to 3.75% in surface samples). An initial shallow drill hole to test the Maria Fernanda vein, with a strike length of over 1.5 km and which is open along strike and at depth, returned 0.40 metres with 2.58 g/t gold, 429 g/t silver, 0.53% copper. Seven significant silver-gold targets have been outlined over an area of 25 square km for future drilling. The results to date indicate a similar geologic setting to some major silver and gold deposits in northern Durango State such as Silver Standard Resources' La Pitarrilla deposit, with a recently completed feasibility indicating Probable Mineral Reserves of 479 million ounces silver 32-year mine life producing 15 million ounces silver for the first 15 years.

Canasil Resources Inc. announced completion of remote sensing survey data acquisition for the Vega copper-gold, Lil silver, and Granite gold projects in north-central British Columbia, Canada. The survey is being conducted by Auracle Geospatial Science Ltd. The data set includes three separate sets of satellite image data including Worldview 2 multispectral high spatial resolution image data, Radarsat 1F fine Synthetic Aperture Radar (SAR) data, Short Wave Infra-red (SWIR) and Long Wave Thermal Infra-red (TIR) data, together with available archived geoscience data for the project areas. These data sets are currently being processed and analyzed to generate three spectral mineral classification data sets covering target minerals, alteration minerals and lithological information, which will then be integrated with property related geoscience data. The combined data sets will be used to produce mineral, alteration and lithological models and maps of the project areas enabling identification of potential target zones and important structural features for further exploration and evaluation. The data analysis and technical report is expected to be completed within March 15, 2013. This survey will provide a systematic basis for guiding planned field exploration programs to define drill targets on these projects. Vega copper-gold project: The 100% owned Vega copper-gold project covers 11,104 hectares located in the Omineca Mining Division, 300 km northwest of Prince George, with access via the Omineca Mines Access Road and logging roads. The project has the potential for hosting both porphyry copper- gold mineralization as well as lenses of volcanogenic massive sulphide mineralization. Lil silver project: The 100% owned Lil silver project covers 6,145 hectares, located in the Omineca Mining Division, 350 kilometres northwest of Prince George, with access via the Omineca Mines Access Road and logging roads. Mineralization on the property consists of narrow high grade, silver bearing quartz veins and breccia zones, with extremely high grade silver values ranging from 4.3 ounces/ton silver to 325.4 ounces/ton silver, over widths ranging from 0.20 to 0.90 metres. Larger silver bearing floats, indicating greater widths, are found downstream in Lil creek. The mineralization show similarities to the Keno Hill-Galena Hill mining camp in the Yukon. Some local dolomitized carbonate rock outcrops indicate possibilities of a carbonate replacement system, particularly as limited sampling has shown elevated lead and zinc values at these showings. Granite gold project: The 100% owned Granite gold project covers 1,626 hectares in the Johansson Lake area of the Omineca Mining Division, located 360 km northwest of Prince George, with access via the Omineca Mines Access Road and auxiliary roads. Historical prospecting, trenching, and sampling of old underground workings returned high gold values of up to 10.30 g/t gold across 10 metres. Three mineralized shear zones with gold/silver mineralization have been identified to date on the property, with values from rock sampling returning gold and silver grades ranging from 1.99 g/t to 43.88 g/t gold and 9.94 g/t to 546.77 g/t silver, as well as a broad 300 metres by 2.0 kilometre gold soil anomaly.