Canadian Arrow Announces Non-Brokered Private Placement

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES/

VANCOUVER, Oct. 1 /CNW/ - Canadian Arrow Mines Limited (CRO: TSX-V) (the "Company") is pleased to announce that subject to regulatory acceptance, the Company is arranging a non-brokered private placement consisting of up to 14,300,000 units of the Company ("Units") at a price of $0.07 per Unit for gross proceeds of up to $1,001,000. Each Unit will consist of one common share of the Company and one common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder thereof to acquire one common share of the Company for a period of 24 months at a price of $0.10 per common share.

The proceeds from the private placement will be used for general working capital.

All securities issued in connection with this financing will be subject to a four-month hold period.

The Company may pay a finders' fee of up to 3.5% of the gross proceeds in connection with a portion of the financing.

It is anticipated that the financing will close on or about October 15, 2010.

This press release may contain "forward-looking statements" within the meaning of the Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995.

These forward-looking statements are made as of the date of this press release and the Company does not intend, and does not assume, any obligation to update these forward-looking statements.

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

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For further information: visit the website at www.canadianarrowmines.ca, or contact Mr. Andreas Curkovic, Investor Relations at [phone] or Mr. Kim Tyler President and Director toll free, 1-877-262-6354