Last updated on April 17, 2014 at 14:30 EDT

Gran Colombia Gold announces purchase of mine processing equipment for new Pampa Verde project at Segovia

January 29, 2013

TORONTO, Jan. 29, 2013 /PRNewswire/ – Gran Colombia Gold Corp. (TSX: GCM)
announced that it has entered into an asset purchase agreement with
Industrias Infinito S.A., a wholly-owned indirect subsidiary of
Infinito Gold Ltd. (TSX-V: IG) (“Infinito”), to purchase certain mine
processing equipment for cash consideration of US$4.3 million.

As announced on October 30, 2012, Gran Colombia closed a US$100 million
financing with the proceeds to be used for the Pampa Verde project at
the Company’s Segovia Operations in Colombia, which includes the
construction of a 2,500 tpd mill, the development of a new mechanized
underground mine to access new vein deposits as well as improve access
to the existing mines.  The equipment being purchased from Infinito
includes certain of the primary components of a Carbon In Leach (CIL)
process plant.

“The Pampa Verde project team is progressing well in its objective to
complete the project on-time and under budget,” said Vicente Mendoza,
Chief Project Director at Gran Colombia Gold.  “We are very pleased to
have been able to secure a deal with Infinito to acquire this equipment
for our new 2,500 tpd mill, including feeders, SAG and ball mills and
motors, and other equipment to complete the CIL circuit”.

Under the terms of the agreement, the purchase price is payable to in
two equal installments, with the first installment due on or before TSX
Venture Exchange acceptance of the transaction for Infinito and the
balance due on or before the earlier of the date that is 90 days after
such acceptance or the date by which the majority of the equipment is
removed from its current storage site in Nicaragua.

About Gran Colombia Gold

Gran Colombia is a Canadian-based gold and silver exploration,
development and production company with its primary focus in Colombia.
Gran Colombia is currently the largest underground gold and silver
producer in Colombia with several underground mines in operation at its
Segovia and Marmato Operations. In addition, Gran Colombia is advancing
a project to develop a large-scale, gold and silver mine at its Marmato

Additional information on Gran Colombia Gold can be found on the
company’s website at www.grancolombiagold.com and by reviewing the company’s page on SEDAR at www.sedar.com.

This news release contains “forward-looking information”, which may
include, but is not limited to, statements with respect to the future
financial or operating performance of the Company and its projects and,
specifically, statements concerning anticipated growth in annual gold
production and reduction of cash costs. Often, but not always,
forward-looking statements can be identified by the use of words such
as “plans”, “expects”, “is expected”, “budget”, “scheduled”,
“estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or
variations (including negative variations) of such words and phrases,
or state that certain actions, events or results “may”, “could”,
“would”, “might” or “will” be taken, occur or be achieved.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Gran Colombia to be materially different
from any future results, performance or achievements expressed or
implied by the forward-looking statements. Factors that could cause
actual results to differ materially from those anticipated in these
forward-looking statements are described under the caption “Risk
Factors” in the Company’s Annual Information Form dated as of March 28,
2012 which is available for view on SEDAR at www.sedar.com. Forward-looking statements contained herein are made as of the date of
this press release and Gran Colombia disclaims, other than as required
by law, any obligation to update any forward-looking statements whether
as a result of new information, results, future events, circumstances,
or if management’s estimates or opinions should change, or otherwise.
There can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly, the
reader is cautioned not to place undue reliance on forward-looking

SOURCE Gran Colombia Gold Corp.

Source: PR Newswire