COALCORP SUBJECT TO TEMPORARY CEASE TRADE ORDER

TORONTO, Sept. 29 /CNW/ - Coalcorp Mining Inc. (NEX-CCJ) ("Coalcorp") announces that staff of the Ontario Securities Commission ("OSC") has issued a general cease trade order (the "Order") for a period of 15 days against Coalcorp for failure to file its audited annual financial statements, the related management's discussion and analysis ("MD&A"), its annual information form, each for the year ended June 30, 2010, and the certification of the foregoing filings.

The Order provides that, if the default continues, a hearing will be held to consider whether an order should be made that all trading in the securities of Coalcorp cease permanently or for such period as is specified in such order by reason of the continued default.

As previously disclosed, Coalcorp's securities were delisted from the Toronto Stock Exchange ("TSX") on August 16, 2010 due to Coalcorp's inability to meet the continued listing requirements of the TSX. Coalcorp's common shares and warrants are now listed on NEX.  Accordingly, Coalcorp is now classified as a "venture issuer" under National Instrument 51-102 - Continuous Disclosure Obligations ("NI 51-102") for the purposes of its continuous disclosure obligations.  Pursuant to NI 51-102, venture issuers at the applicable time are not required to file an annual information form and are required to file annual financial statements and related MD&A within 120 days after the end of the relevant financial year (as compared to the 90-day period afforded to non-venture issuers).  Coalcorp has been preparing its financial statements and related MD&A for filing within 120 days of its most recent June 30, 2010 financial year end, as required for venture issuers.  However, Coalcorp's securities were listed on the TSX as at June 30, 2010 and, as such, Coalcorp was not a venture issuer at the applicable time pursuant to NI 51-102.  As a result, Coalcorp was required to complete such filings within 90 days after year-end.  In the future and for such period as Coalcorp is listed on NEX, Coalcorp will be subject to the longer time period within which to make such filings.

Coalcorp is in discussions with the OSC and will work to file its annual financial statements, related MD&A and annual information form and have the cease trade order lifted as soon as possible.

Forward Looking Statements Disclaimer

Statements made in this news release may be forward-looking and therefore subject to various risks and uncertainties. Such statements can typically be identified by terminology such as ''may'', ''will'', ''could'', ''should'', ''expect'', ''plan'', ''anticipate'', ''believe'', ''intend'', ''possible'', ''continue'', "objective" or other similar expressions concerning matters that are not historical facts. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Coalcorp does not undertake to update any forward-looking statements; such statements speak only as of the date made.

For further information:

Steven Cresswell
Interim Chief Executive Officer
416-644-1217