October 17, 2008 Antioquia Gold Signs Agreement to Acquire Additional Mining Concessions in Colombia
Calgary, Alberta, October 17, 2008: Antioquia Gold Inc. (TSX-V: AGD) is pleased to announce that it has entered into a Letter of Intent with Grupo de Bullet (Bullet), a private company with a large portfolio of mining properties in Colombia, to acquire a 90% interest in two concessions totalling 5,243 hectares, adjacent to AGD's existing Cisneros Project in Antioquia, Colombia.
Subject to due diligence, entering into a definitive agreement, other conditions precedent and subject to regulatory approvals, AGD will acquire up to 90% interest in the subject Bullet concessions over 13 months, in exchange for up to 1,000,000 AGD common shares and 500,000 AGD warrants to be issued to Bullet. AGD is to fulfill US$ 2 million in exploration expenditures by December 31, 2009 on the Cisneros Project.
The strategy behind this acquisition is to increase AGD's land position in the Cisneros Project area to form an integrated project whereby AGD operates and funds the exploration program. AGD believes that this approach will be the most cost efficient and expeditious to explore the Cisneros area on behalf of all the companies and individuals involved.
Brad Van Den Bussche, P. Geol., AGD's VP Exploration is excited by this development and will immediately incorporate these new mining concessions into the company's current field program being conducted in the Cisneros Project area.
Antioquia Gold Inc. is a junior exploration company focused on searching out, exploring and developing mineral opportunities in Colombia. Its initial project, the Guayabito Property, is located in the Antioquian Batholith near the town of Cisneros
in the Department (region) of Antioquia in Colombia. The Company has offices in Calgary, Alberta and in Medellin, Colombia. Antioquia Gold Inc. currently has a total of 26,151,188 common shares issued and outstanding.