Nanika Receives Permit on Red Cliff East Drill Program

VANCOUVER, Sept. 27 /CNW/ - Nanika Resources Inc. (TSX-V: NKA and FSE: C7X) Nanika Resources Inc. (TSX-V: NKA and FSE: C7X) is pleased to announce that approval has been received to commence a drill program on Nanika's 100 per cent owned Red Cliff East Property. The property is located approximately twenty kilometers north-east of Stewart BC and Nanika's Red Cliff East is located immediately adjacent to the property currently being worked by Decade Resources Ltd. (TSX-V:DEC). A map of the property is available at www.nanikaresources.com.

Decade recently announced drill results on the Red Cliff Property - "Montrose Zone" including a 0.3 interval of 2847 g/t gold and 18 meters of 49 g/t gold. These results confirm the high grade nature of the structure in the area. Other Decade intercepts included 24.7 metres grading 20.87 grams per tonne gold with 2.13 metres averaging 142.2 grams/tonne gold.  (For full results please see the Decade Resources Inc. news release of September 21, 2010).

Nanika intends to begin site preparation and drilling the first hole on Red Cliff East within the next ten days, depending on weather and trail conditions. Approximately 1.5 kilometers of new access trails will be constructed. The site has good road access off paved Highway 37A and the existing American Creek access road. There has been no previous drilling on this property. Approval has been received for up to 7 holes, the first of which Nanika intends to be approximately 400 meters away from Decade's "Montrose Zone".  Nanika intends to complete approximately 1000 meters of drilling under the current program. Nanika's President and CEO, James Jacuta, indicated that, "It is a pleasure to work with good people who have so quickly responded to the desire to initiate this program on short notice. I am looking forward to an excellent program."

Alex Walus, P. Geo., a qualified person under National Instrument 43-101 is supervising Nanika's work program and has reviewed and approved the technical disclosure in this news release.

About Nanika Resources Inc.

Nanika Resources Inc. is a TSX Venture listed mineral exploration and development company focusing on the advancement of its mineral properties, all of which are located within Canada.

On Behalf of the Board, James D. Jacuta,

Chairman, President and CEO.

To receive Company news via email please contact [email protected] and mention "Nanika Resources News" in the subject line.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada (IIROC) accepts responsibility for the adequacy or accuracy of this release.

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For further information:

CHF Investor Relations at 416-868-1079 
Christopher Haldane, Account Manager, at ext. 237, [email protected]  
Jeanny So, Director of Operations, at ext. 225, [email protected]

Or Nanika Resources Inc. at 604-638-0699 or Toll Free at 1-866-580-0699 
http://www.nanikaresources.com