October 13, 2015 Antioquia Announces Start-Up at Cisneros with Initiation of Guaico Tunnel and Civil Works, Acquisition of Key Mining Concessions Contiguous with Guayabito Property October 13, 2015 - Calgary, Alberta: Antioquia Gold Inc. ("Antioquia" or the "Company") (TSXV: "AGD") is pleased to announce that construction will begin on October 14, 2015 at its Cisneros Project. On October 6, 2015 the Company entered into an agreement with Consorcio Guaico, a consortium of respected Colombian contractors Mincivil S.A,, Estyma S.A. and Latinco S.A. The agreement calls for Consorcio Guaico to carry out civil works and mining activities in the permitted Guaico sector of the Cisneros Project including a tunnel portal for ore extraction. The work is scheduled for completion on or before February 5, 2016; the value of the contract is approximately CDN $1.5 million.
Antioquia also wishes to announce that it has finalized an agreement with Gramalote Colombia Limited ("Gramalote") to acquire two key mining concessions totalling 163.94 hectares contiguous with its Guayabito property. The terms of the agreement calls for a cash payment of US $140,000 plus a 1.75% Net Smelter Royalty (NSR) on any minerals produced from the concessions. Gramalote is the operating company of a joint venture between B2Gold and AngloGold.
This strategic acquisition essentially fills in previous gaps between the Company's Guayabito, Santo Domingo, La Manuela, Pacho Luis and Guaico properties and will allow for optimized mine development at Guayabito. Gramalote has already delivered to Antioquia all technical information from their exploration activities on the concessions. The area acquired is shown in Figures 1 and 2 following.
Figure 1 - Cisneros Properties with New Acquisition
Figure 2 - Cisneros Properties with New Acquisition
Mr. Jim Decker, P. Eng., Executive Vice President and Director of Antioquia Gold Inc. and a Qualified Person as defined by National Instrument 43-101, has reviewed the contents of this news release.
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This press release contains "forward-looking information" within the meaning of Canadian securities legislation. This information and these statements, referred to herein as "forward-looking statements", are made as of the date of this press release and the Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by law.
Forward-looking statements relate to future events or future performance and reflect current expectations or beliefs regarding future events and include, but are not limited to, statements with respect to: capital expenditures, operating costs, and the anticipated project schedule. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects", "anticipates", "plans", "projects", "estimates", "assumes", "intends", "strategy", "goals", "objectives", "schedule" or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.
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