Mr. Cory Belyk reports

CANALASKA PROPOSES TO SPINOUT FIVE NICKEL PROPERTIES

Canalaska Uranium Ltd. intends to spin out five of its nickel properties: Halfway Lake, Resting Lake, Hunter, Odei River, and its recently acquired Mel nickel deposit lease and claims. It is expected that the spinout of the nickel properties would be effected through a statutory plan of arrangement pursuant to which Canalaska would transfer the nickel properties to a wholly owned subsidiary, Core Nickel Corp., in consideration for common shares of Core Nickel. The Core Nickel shares would then be distributed to Canalaska's shareholders pro rata their interest in Canalaska, resulting in Canalaska's shareholders owning shares in two public companies upon completion of the arrangement.

The intent of the transaction would be twofold: (1) to permit Canalaska to continue to focus its efforts on its uranium and other properties; and (2) to position Core Nickel to operate as an independent company that would seek a separate public listing and focus on building and advancing the nickel properties.

Canalaska makes no assurance that a spinout will occur as it is subject to many conditions that include the assessment of legal and tax consequences, determining the specific details of the arrangement, Core Nickel satisfying stock exchange listing requirements, receipt of shareholder approval, receipt of all regulatory and other required approvals, the availability of financing for Core Nickel, and market conditions.

The company will provide further details when they become available.

About Canalaska Uranium Ltd.

Canalaska Uranium holds interests in approximately 350,000 hectares (865,000 acres) in Canada's Athabasca basin -- the Saudi Arabia of uranium.

The qualified technical person for this news release is Nathan Bridge, MSc, PGeo, Canalaska's vice-president, exploration.

We seek Safe Harbor.