Cranbrook BC, 20 December, 2010: Copper Canyon Resources Limited (?Copper Canyon? or the ?Company?) (TSX-V:CPY) is responding to an announcement made Monday December 20th by NovaGold Resources Inc. (?NovaGold?) that it intends to make an offer to purchase by way of an unsolicited takeover bid circular (the ?Takeover Bid?) all of the shares of Copper Canyon for an effective price of approximately $.60 per share.

Under the terms of the announced proposed Takeover Bid, the common shares of Copper Canyon (the ?Common Shares?) would be exchanged for common shares of NovaGold (?NovaGold Common Shares?) on the basis of 0.0425 of a NovaGold Common Share for each one Common Share, representing an effective purchase price of $.60 per Common Share, based upon the closing price of the Common Shares and the NovaGold Common shares on the TSX Venture Exchange (?TSX-V?) and the Toronto Stock Exchange (?TSX?), respectively, on December 17th, 2010.

Copper Canyon?s principal asset is its 40% joint venture interest in the Copper Canyon copper-gold-silver property that is adjacent to the Galore Creek project, owned equally by NovaGold and Teck Resources Limited. A wholly-owned subsidiary of NovaGold owns the remaining 60% joint venture interest in the Copper Canyon property. Copper Canyon also holds a 100% interest in the ?Abo? gold project located near Harrison, B.C.

Tim J. Termuende, President and Chief Executive Officer of Copper Canyon, stated: ?By making an offer for Copper Canyon, NovaGold has clearly acknowledged the quality and caliber of the Copper Canyon assets. We are surprised by the timing of this offer so close to the Holiday season, but are not unprepared?.

Discussions with Copper Canyon?s shareholders, which together with insiders control a substantial percentage of Copper Canyons? fully diluted shares, have indicated strong support for Copper Canyon?s management and a belief in the long-term value of the Company?s assets - value that is apparently not reflected in the NovaGold offer.

The Board of Directors of Copper Canyon is now reviewing the adequacy of this offer. As part of the review process, the Board of Directors has established a committee of independent directors to oversee the appointment of a financial adviser and special legal counsel to the committee. An independent valuation has been commissioned for the existing assets of the Company. The Company has in place a shareholders rights plan, which is designed to protect the interest of all shareholders. Copper Canyon will consider all possible alternatives, including any competing offers it may receive, to maximize shareholder value.

While that process is underway, Copper Canyon shareholders should await the results of the review and the recommendation of the Copper Canyon Board before making any decisions with respect to the NovaGold offer. After the formal Takeover Bid is received from NovaGold, Copper Canyon will issue a Directors? Circular that will contain important information for shareholders, including the Board recommendation regarding the offer. Copper Canyon advises shareholders to not deposit any common shares to the NovaGold offer and to not take any other action concerning the offer until shareholders have received and read the Directors? Circular.

The Directors? Circular, when it becomes available, along with other documents will be filed by Copper Canyon with the Canadian provincial securities regulators on SEDAR at www.sedar.com, and with other applicable securities regulatory authorities. The Directors? Circular and these other documents may also be obtained for free, once they have been mailed, on Copper Canyon?s website or by directing a request to Copper Canyon?s corporate secretary at Suite 200, 44-12th Avenue S., Cranbrook, British Columbia, Canada V1C 2R7, telephone (250) 426-0749.

About Copper Canyon

Copper Canyon Resources was created by way of a Plan of Arrangement on June 9, 2006. Shareholders of Eagle Plains Resources Ltd. (TSX-V:EPL) approved the plan to reorganize the company?s mineral property assets in an effort to maximize shareholder value. Under the terms of the arrangement, three of Eagle Plain?s projects: Copper Canyon, Severance and Abo (Harrison) Gold, were transferred into Copper Canyon.

On behalf of the Board of Directors

Signed

Tim J. Termuende
President and CEO

For further information, please contact Mike Labach at
1 866 HUNT ORE (486 8673)
Email: mgl@copcanyon.com or visit our website at http://www.copcanyon.com

Cautionary Note Regarding Forward-Looking Statements

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.