2004 News

Release No. 115

Vancouver, British Columbia, November 16th, 2004. Candente Resource Corp. - DNT:TSX-V ("Candente" and/or the "Company") is pleased to report the following highlights from the Third Quarter 2004:

The Company confirms that its unaudited interim financial statements for the third quarter ended September 30, 2004 were filed on SEDAR on November 15, 2004 as required by applicable securities laws.

The following discussion and analysis is for the period ended September 30, 2004 compared with the period ended September 30, 2003. This information is current to November 12, 2004 and has not been reviewed by the Company's auditors. (All amounts in U.S. Dollars)

Introduction

The discussion and analysis of the operating results and financial position of the Company should be read in conjunction with the attached Consolidated Financial Statements and related Notes (the "Financial Statements"), which have been prepared in accordance with Canadian generally accepted accounting principles (GAAP) (see Summary of Significant Accounting Policies and Note 1: Nature of Operations) in United States dollars. This discussion and analysis may contain forward-looking statements about the Company's future prospects, and the Company provides no assurance that actual results will meet management's expectations.

Results of Operations

The Company incurred a loss of $98,676 in the quarter ended September 30, 2004 ($80,290 in 2003), net of foreign exchange gains of $90,845 and combined expenses for corporate development and shareholder communication costs, stock-based compensation expense, legal fees, and security costs of $107,752. For the nine month period ended September 30, 2004, the loss was $839,006 ($299,720 in 2003). The difference of $539,236 was primarily related to the same expenses as in the 2004 quarterly results, which equal $499,669 over the nine months. The Company also wrote off $2,246 in mineral property costs in 2004. These properties written-off were all located in Newfoundland. The increase in overhead was incurred due to the increase in activities of the Company made possible by the successful capital raising activities during the previous year and the resultant additional exploration conducted on the properties.

The operational effectiveness of the Company's activities in Peru has improved over prior periods due to an increasingly favourable Canadian to U.S. dollar and Peruvian sole exchange rate. The Company maintains its own equipment, premises and staffing in Peru and as a result management believes that cost control is very good. The Company's properties are located in various climate zones in Peru and as a result the Company is always able to conduct activities on some of its properties.

The following is a summary of the key exploration projects the Company has been working on:

Alto Dorado/Toril

The Alto Dorado property is situated in Northern Peru in the Department of La Liberated, 20 km south of the town of Santiago de Chuco. It is within the same belt of Tertiary-age volcanic rocks as the world-class Yanacocha gold deposit. Anomalous levels of gold, copper and several other elements in soils overlie an extensive hydrothermal alteration zone, which has a north-south extent of 9 km and an east-west extent of 2 to 3km. An Induced Polarization (IP) survey recently completed in October has outlined a chargeability anomaly over an area extending 7 km by 1 km and is still open. The chargeability signature is typical of disseminated mineralization found in porphyry deposits and occurs within the geochemical anomalies and alteration zone. A Time Domain EM (TDEM) survey was also carried out over the Toril high sulphidation target areas and identified several high resistivity targets.

A Phase One diamond (core) drilling program comprising 1050 metres in nine holes was carried out in July and August of 2004. The holes were drilled to depths of 46m to 201m. Eight of the holes were drilled in the Toril high sulphidation gold zone and one in the combined Ana-Olla porphyry gold-copper zone. Two of the eight holes at Toril were terminated prior to reaching target depths due to drilling difficulties.

The most significant results from the drilling were obtained in the Ana-Olla Zone where diamond drill hole (DDH) 04-008 intersected alteration and mineralization typical of gold-copper porphyry deposits over a depth of 189 metres. The IP survey was not completed at the time of the drilling and therefore the drill hole was targeted using geochemistry and geology only. Once the IP survey had been interpreted it was evident that DDH-04-008 was drilled in a fault zone within the extensive IP chargeability anomaly. Porphyry style alteration and mineralization is evident on surface above the chargeable body over a 1.8 km length and 0.8 km width.

Chalcopyrite and chalcocite (copper minerals) occur as disseminations (particles) and in quartz stockwork over much of the drill hole. Molybdenum (Mo) was observed starting at 80 metres to the bottom of the hole as disseminations and in stockwork. Gold (Au) and copper (Cu) levels ranging from 0.1 grams per tonne (gpt) to 1.2 gpt Au and 0.1 percent (%) to 0.69% Cu occur in 100 of the 130 samples collected. The average grades intersected over the 160 metres of mineralization in this hole are 0.22 gpt gold and 0.17% copper, which demonstrate a strong gold and copper bearing system but are not believed to be in the best part of the porphyry system. Once all data is compiled a follow-up drilling program will be planned.

Cañariaco

The Cañariaco property covers three porphyry copper-gold prospects in the Western Cordillera of the Peruvian Andes and was acquired (100% interest) from the Peruvian government in an auction for US$75,000. At that time 10 drill holes had intersected 100 to 300 metres of significant copper mineralization over an area measuring 1 km by 1.2 km.

The Company discovered several outcrops with significant copper mineralization within the same area and commenced a twelve hole core drilling program totalling approximately 2500 metres on the property in early September. All holes are being drilled as part of a systematic pattern on a grid with 100 metre centres.

Results have been received and released from four holes to date which have grades of 0.65% to 1.00% copper over 100 to 300m intersections. The mineralization and grades encountered in all four drill holes are consistent with those seen in large porphyry copper systems. All of the holes bottom in significant copper mineralization and have a significant thickness of chalcocite. The mineralized body is much thicker than the leached cap, which together with topographical components indicate a very low strip ratio for mining.

The four holes were drilled to depths of 200 to 300 metres and block out a 100 metre square area, which is part of a systematic pattern on a grid with 100 metre centres. Due to logistical reasons holes were not always drilled in the same order that they were numbered and as such assays have not yet been received for holes DDH-04-003 and DDH-04-004.

All core from drilling is being cut in half with a diamond saw and sampled at two metre intervals on the property. One half of the split core is collected by Candente's Peruvian geologists in accordance with industry standards and is being submitted to Actlabs in Lima, Peru. Total copper, acid soluble copper and cyanide soluble copper analyses were carried out by a sequential leach procedure in Actlabs laboratory in Lima. An additional 36 elements were analysed for using Inductively Coupled Plasma (ICP) in Actlabs laboratory in Ancaster, Ontario, Canada. Quality Assurance and Quality Control, including the use of sample standards, blanks and duplicates as well as chain of custody is monitored by Candente. Mike Casselman, M.Sc., P.Geo., General Manager Exploration and Director of Candente and James Currie, P.Eng., Independent Director of Candente are the qualified persons as defined by NI 43-101 for the Cañariaco project and have verified all information disclosed.

Staghorn

The Staghorn property is located in Southwestern Newfoundland, approximately 60 kilometres southeast of the seaport of Stephenville. Goldcorp has an option to earn a 70% interest by funding all exploration and development and completing bankable feasibility studies by January 2010 on the property.

Large tonnage gold potential with similarities to intrusion-hosted orogenic deposits in the Tien Shans in Central Asia (Muruntau and Kumtor: 175 and 19 Moz) has been recognized on the Staghorn Property. Similarities include host rocks, structural setting, alteration, mineralization and metal suites.

Exploration to date by the Company has included an interpretation of a 1981 Airborne magnetic/EM Survey for structure, geology and magnetic anomalies; collection of 15 lake bottom sediment samples; 89 rock float, grab and channel samples (mostly from trenching), geological mapping, Induced Polarization (IP) and magnetics (geophysical) surveys. A 2700m core drilling program is planned and will be funded by Goldcorp.

Summary of Quarterly ResultsNet loss by quarter

As the Company is still in the exploration and development stage, variances in its quarterly losses are not affected by sales or production-related factors. Year over year increased costs are generally attributed to successful financing activities which result in the Company being able to conduct more exploration, which results in additional overhead costs to maintain. The loss in the first three quarters of 2004 was primarily due to the recognizing of stock-based compensation of $232,359. Additional costs were incurred due to increasing office space to handle the increased exploration activity.

Capital Resources and Liquidity

The Company's financial resources increased during the quarter with $23,849 raised by the issue of 50,000 shares on the exercise of stock options and warrants to a balance of $2,170,293 at the period end.

The Company has adequate financial resources to conduct its activities for the next year and currently does not anticipate difficulties in raising additional funding if needed.

There is however, no assurance that any future funding can be accomplished as it would be wholly dependent on the state of the capital markets for junior gold exploration companies. The Company does not anticipate the payment of dividends in the future.

Off-Balance Sheet Arrangements

The Company has no off-balance sheet arrangements.

Related Party Transactions

Details of these related party transactions, including the purpose and recorded amounts of the transactions are identified in Note 4 to the Financial Statements.

Changes in Accounting Policy

The Company adopted in 2003 the transitional provisions of Canadian Institute of Chartered Accountants' Handbook Section 3870 on stock-based compensation on a prospective basis. The Company accounts for the derived value of stock-based compensation to all employees and consultants.

Financial and Other Instruments

The Company's financial assets and liabilities consist of cash, short-term investments, receivables, accounts payable and accrued liabilities, some of which are denominated either in Canadian dollars, U.S. dollars or Peruvian soles, however they are recorded in the financial statements in U.S. dollars. These accounts are recorded at their fair market value. The Company is at risk for a financial gain or loss as a result of foreign exchange movements against the United States dollar. In the nine months ended September 30, 2004, the Company recorded a loss of $12,992 while in 2003 a loss of $12,205 was recorded for foreign exchange. The Company minimizes its foreign exchange risk by maintaining low account balances in U.S. dollars and Peruvian soles, to the extent possible. The Company does not have major commitments to acquire assets in foreign currencies at this time, but does expect that certain significant future expenditures will be denominated in soles or U.S. dollars.

The Company has placed its cash and cash equivalents in liquid bank deposits which provide a variable rate of interest.

The Company believes that the U.S. dollar is in a declining trend and accordingly keeps most of its cash balances in Canadian dollars, which amounts are translated for accounting purposes into U.S. dollars for financial statement purposes. Short term rallies in the U.S. dollar will therefore result in unrealized losses on the conversion of Canadian dollar balances.

Outstanding Share Data

The Company has one class of common shares: as at November 15, 2004, there were 36,122,704 common shares outstanding.

The Company has a stock option plan: As at November 15, 2004, there were 3,471,250 stock options outstanding.

The Company has outstanding as at November 15, 2004 of 3,287,500 warrants.

Risk and Uncertainties

Except for historical information contained in this discussion and analysis, disclosure statements contained herein are forward-looking, which statements are subject to risks and uncertainties, which could cause actual results to differ materially from those in such forward-looking statements.

The Company is a mineral exploration and development company and is exposed to a number of risks and uncertainties that are common to other companies in the same business; some of these risks have been discussed elsewhere in this report.

The Company's financial success is subject to general market conditions which affect mining and exploration companies. The value of the Company's mineral resources and future operating profit and loss is affected by fluctuations in gold prices, over which the Company has no control, although it may choose to hedge some of its future production. The cost of exploration and future capital and operating costs are affected by foreign exchange rates for the U.S. dollar and Peruvian sole. The Company can mitigate the effects of these rate fluctuations, to some extent, through forward purchases. The Company's ability to hedge future foreign exchange rates is affected by its creditworthiness. Because of its limited operating record and history of losses, it may not be able to hedge future risk to the extent it feels is warranted. The Company also competes with other mining companies which are larger and have more economic resources to acquire prospective exploration properties or producing mines.

The Company also faces certain risks and uncertainties specific to its circumstances. The Company's ability to obtain financing to explore for mineral deposits and to continue and complete the development of those properties it has classified as assets is not assured; nor is there assurance that the expenditure of funds will result in the discover of an economic mineral deposit. The Company has not completed a feasibility study on any of its deposits to determine if it hosts a mineral resource that can be economically developed and profitably mined. While the Company has used its best efforts to endure title to all its properties and secured access to surface rights, these titles or rights may be disputed.

Candente is a well-funded mineral exploration company focused on the acquisition and exploration of gold and copper projects with world-class potential. Management has a strong geological/technical focus and a track record of discovering world-class mineral deposits. Candente subscribes to principles which ensure that its exploration and development activities are beneficial to the local communities. For more information visit www.candente.com, call us at (604) 689-1957, toll free 1-877-689-1964 or e-mail to info@candente.com.

ON BEHALF OF THE BOARD OF DIRECTORS

"Joanne C. Freeze"

Joanne Freeze, P. Geo., President & CEO
Candente Resource Corp.
Release No. 115

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. Candente relies upon litigation protection for forward-looking statements.