VANCOUVER, June 28, 2011 /CNW/ - Nanika Resources Inc. (TSXV: NKA) and (FSE: C7X) today provided an update from exploration conducted on its 100% owned Rivett Lake property in the Northwest Territories. The project team consisted of two geologists and two assistants who were at the site until last week. They were supported by a Bell L4 Jet Ranger Helicopter and attempted to visit and document approximately 55 showings and mineral occurrences, mostly located within volcanic rocks of the greenstone belt. In a few cases the team was unable to locate indicated showings likely because of location errors in the assessment file documentation, or the occurrence being too small to recognise. Outcrop maps containing structural and lithological observations and sampling information, photo documentation and general descriptions were produced. This was a focused investigation and did not cover any significant areas beyond those outlined by the showings database.

Significant results are as follows:

• Important areas of pyritic and sericite-altered felsic breccias and tuffs were outlined in areas. These rocks often host or underlie volcanogenic massive sulphide (VMS) deposits containing ore-grade concentrations of Cu, Pb Zn, Ag and Au. The work suggests that the felsic volcanics are thicker and more laterally extensive than previously indicated in one area.
• A prominent sequence of of gabbroic to dioritic sub-volcanic mafic intrusives occupies the basal portions of the southwest portion of the belt. Facings on pillows indicate that this arcuate section of the greenstones form a north and east facing homocline that is steeply overturned. Mafic volcanics and sub-volcanic intrusives occupy the stratigraphically lower southern and western areas, and felsic volcanics outcrop to the north. The gabbroic rocks may host Cu and Ni mineralisation as magmatic segregations as evidenced by the previously drilled San showing south of Hart Lake.

Assay results should be available in 3 to 4 weeks in the ordinary course of events.

All samples will be submitted to Assayers Canada, an experienced, and ISO- 9001 certified lab based in Vancouver, BC.

Nanika's management is currently reviewing work plans to evaluate the next phase of work that can be undertaken on Rivett Lake.

About Nanika's Rivett Lake Property.
Nanika's Rivett Lake property consists of 30 claims totaling 59,714.59 acres (24,165.72 hectares) and is approximately 30 kilometres southwest of the operating Snap Lake Diamond Mine and approximately 200 kilometers northeast of Yellowknife.

Previous samples from historical reports in the Rivett Lake area have documented assays up to 85 grams per ton gold. Nanika is interested in the property as a result of historic work near Rivett Lake which is potentially prospective for gold, silver, nickel, and zinc as well as the proven diamond potential in the area. However, it must be noted that at this time there is no certainty that mineralization with the above reported grades will be found on Nanika's Rivett Lake claims.

In 2010, Nanika completed a Rivett Lake airborne survey which involved low-level, high-resolution airborne magnetic surveys. These surveys were completed on 50 meter-spaced lines with a total survey distance flown of 5,800 line kilometers by Special Projects Inc., a Calgary-based geophysical company. A report on the airborne magnetic survey was completed by Martin St. Pierre, Professional Geophysicist of Coquitlam, British Columbia.

Lou Covello, B.Sc. and Gary Vivian, M.Sc., both P. Geols. from Aurora Geosciences Ltd. in Yellowknife, are qualified persons under National Instrument 43-101 and are supervising the current project and have 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.

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