CANADA PHOSPHATE STARTS DEFINITION DRILLING ON THE PAUL ZONE

Saguenay, November 3rd 2010. The management of Canada Phosphate Inc. ( the « Company ») is pleased to announce the start of a new definition drilling campaign on one of the Lac à Paul deposits, Quebec, Canada. The objective of this  3,500-meter drilling program is to increase the resource on the Paul Zone which contains a NI 43-101 indicated resource of 78 Mt grading 7.24 % P2O5 and 7.84 % TiO2 and an inferred resource of 58 Mt grading 6.97 % P2O5 and 8.00 %  TiO2.  

This drilling program precedes the Prefeasibility Study that will take place on this promising mining project in 2011. The conclusions of the recently published Scoping Study showed a project value of 325 M Can$ for an internal rate of return of 20.8 %. The discounted Net Present Value (NPV) amounts to 439 M Can$. An increased resource estimate will improve these numbers.  

The production of phosphate in North America is in decline and to advance this mining project into production would be a great opportunity to fill this need. The Lac à Paul property comprises 271 claims covering an area of more than  15,000 hectares. The 2 and Manouane Zones are also present on these claims and can be combined with the Paul Zone for a grand total of 260.25 Mt of inferred resources at 5.7 % P2O5 and 7.64 % TiO2 in addition of the indicated resource of  78 Mt grading 7.24 % P2O5 and 7.84 % TiO2 

Arianne Resources (www.arianne-inc.com ) is a Canadian exploration company who’s mission is to explore and develop gold, silver and other metals in Canada and Mexico. Arianne has 33 M shares issued. Canada Phosphate (  www.canadaphosphate.com ) is Arianne’s wholly-owned subsidiary that develops the Lac à Paul phosphorus-titanium deposits that produce a superior grade apatite concentrate grading close to 40% P2O5.  

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.  

Source: Mr. Bernard Lapointe, CEO                Tel : (418) 549-7316                 Fax : (418) 549-5750         bernard@arianne-inc.com

About Arianne Phosphate

Arianne Phosphate (“Arianne Phosphate Inc.”) (www.arianne-inc.com) is developing the Lac à Paul phosphate deposits located approximately 200 km north of the Saguenay/Lac St. Jean area of Quebec, Canada. These deposits will produce a high quality igneous apatite concentrate grading 39% P2O5 with little or no contaminants. The Company has 100,530,580 million shares outstanding.

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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