Canadian Shield Closes Private Placement Financing

TORONTO, ONTARIO, Jul 10 (MARKET WIRE) --
Canadian Shield Resources Ltd. (TSX VENTURE: EXP) ("Canadian Shield" or
the "Company") is pleased to announce it has completed a non-brokered
exempt private placement financing of 1,062,500 Units at $0.80 per Unit
for gross proceeds of $850,000. The executive officers and a director
participated in the private placement financing.

Each Unit is comprised of one common share and one non-transferable
Warrant. Each Warrant entitles the holder to purchase one additional
common share at $1.20 per share until July 10, 2010. The Warrant is
callable, at the option of Canadian Shield, after November 10, 2009 in
the event its common shares trade at or over $1.60 per share for 10
consecutive trading days. In connection with the financing, the Company
agreed to pay finders fees of $44,500, representing 10% of the gross
proceeds from the Units placed by qualified finders.

The 1,062,500 common shares issued under the private placement and any
shares issuable upon the exercise of the Warrants are subject to a four
month regulatory hold period. Immediately following the closing of this
financing, Canadian Shield has 7,650,034 common shares issued and
outstanding. The closing of the private placement is subject to the
acceptance of the TSX Venture Exchange.

The net proceeds of the offering will be used for: drilling and
analytical analysis at Colpayoc Property; property earn-in payments and
community agreements at Colpayoc Property; property license fees; and
working capital and general corporate purposes.

Investors are invited to visit the Canadian Shield IR Hub at
http://www.agoracom.com/IR/CanadianShield where they can post questions
and receive answers or review questions and answers already posted by
other investors. Alternatively, investors may e-mail all questions and
correspondence to EXP@agoracom.com where they can sign up for the
investor e-mail list to receive press releases and updates in real time.

About Canadian Shield Resources Ltd. (TSX VENTURE: EXP)

Canadian Shield acquires and explores strategically-located precious and
base metal properties in South America. The Company controls a portfolio
of eight exploration properties located in Peru and Chile. Canadian
Shield will continue to focus on project generation and joint venture
opportunities to provide shareholders with interests in a broad portfolio
of South American mineral properties. The Company's shares are listed on
the TSX Venture Exchange (Trading Symbol TSX-V: EXP). Further information
is available at Canadian Shield's website:
www.canadianshieldresources.com.

STATEMENTS IN THIS PRESS RELEASE, OTHER THAN PURELY HISTORICAL
INFORMATION, INCLUDING STATEMENTS RELATING TO THE COMPANY'S FUTURE PLANS
AND OBJECTIVES OR EXPECTED RESULTS, MAY INCLUDE FORWARD-LOOKING
STATEMENTS. FORWARD-LOOKING STATEMENTS ARE BASED ON NUMEROUS ASSUMPTIONS
AND ARE SUBJECT TO ALL OF THE RISKS AND UNCERTAINTIES INHERENT IN
RESOURCE EXPLORATION AND DEVELOPMENT. AS A RESULT, ACTUAL RESULTS MAY
VARY MATERIALLY FROM THOSE DESCRIBED IN THE FORWARD-LOOKING STATEMENTS.
THE FOLLOWING ARE IMPORTANT FACTORS THAT COULD CAUSE THE COMPANY'S ACTUAL
RESULTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED BY SUCH
FORWARD-LOOKING STATEMENTS: RISKS INHERENT IN EXPLORATION; RISKS
ASSOCIATED WITH DEVELOPMENT, CONSTRUCTION AND MINING OPERATIONS; CHANGES
IN THE WORLD WIDE PRICE OF COMMODITIES; THE UNCERTAINTY OF FUTURE
PROFITABILITY AND THE UNCERTAINTY OF ACCESS TO ADDITIONAL CAPITAL.

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.

Contacts:
Canadian Shield Resources Ltd.
Bernard Kraft
Chairman & Interim CEO
(416) 927-0025 Ext. 30 or Toll Free: 1 (888) 927-0025
(416) 927-1222 (FAX)
investor@canadianshieldresources.com
www.canadianshieldresources.com

Investor Relations
AGORACOM Investor Relations
www.agoracom.com/IR/CanadianShield
EXP@Agoracom.com

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