Andean American Gold Corp.
TSX VENTURE : AAG
FRANKFURT : AQN

Andean American Gold Corp.

October 30, 2007 13:13 ET

Andean American Reports Drill Results Including 14.4 Metres Grading 7.76 g/t Gold, 75.91 g/t Silver and 1.74% Copper at the Invicta Project, Peru

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 30, 2007) - Andean American Mining ("the Company") (TSX VENTURE:AAG)(FRANKFURT:AQN) is pleased to provide an update on the Invicta Project. The 16,900 hectare Invicta Project hosts low-sulphidation epithermal style gold-silver-copper mineralization. The project is located in west Central Peru in the department of Lima, the province of Huaura, approximately 250 kilometers by road northeast of the city of Lima, Peru at an altitude of 3,400 meters.

The drill program at Invicta originally proposed two components:

1. Infill drill program of 3,458 metres to be completed by September 30, 2007.

2. Exploration program of 7,200 metres, plus mapping and trenching to be completed by December 21, 2007.

Actual progress:

1. Infill drill program at September 30, 2007, with a total of 4,878 metres of diamond drilling completed.

The objective of the infill drill program is to convert inferred resources to measured and indicated resources, if possible. The drilling has focused on the Atenea Vein where a measured and indicated resource of 3,132,568 tonnes grading 2.63 g/t Au, 21.95 g/t Ag and 0.48% Cu has been estimated. An inferred resource of 5,107,775 tonnes grading 1.43 g/t Au, 17.35 g/t Ag and 0.61% Cu has also been estimated.

"Inferred resources" have a great amount of uncertainty as to their existence, and economic and legal feasibility. It cannot be assumed that any part of an inferred mineral resource will ever be upgraded to a higher category. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable.

The Company has eight new cross sections which will compile the results from the previous operator with the new drill data. Results have been received for infill holes AE-DDH-07-27 and AE-DDH-07-28.

Significant results are:



Hole AE-DDH-07-27
-----------------

From To Interval Estimated Au Ag Cu Pb Zn
(m) (m) (m) True Width g/t g/t % % %
(m)

136.35 139.35 3.00 2.46 11.27 113.73 2.77 6.35 1.64

155.90 161.90 6.00 4.91 0.34 14.55 0.81 0.06 0.25

191.35 196.25 4.90 4.01 0.04 13.66 0.80 0.00 0.02

217.00 228.55 11.55 9.46 0.14 9.90 0.80 0.00 0.03

235.35 240.35 5.00 4.10 1.10 11.38 0.53 0.01 0.01

240.35 252.35 12.00 9.83 0.07 12.01 0.87 0.00 0.01

Hole AE-DDH-07-28
-----------------

112.40 126.80 14.40 11.79 7.76 75.91 1.74 0.48 0.34

inc.

118.60 121.60 3.00 2.45 32.69 256.33 3.98 1.78 1.44


The infill drilling has identified three distinct styles of mineralization at the Atenea vein. The previous operator focused on a gold-copper-silver style of mineralization, which also contained significant lead and zinc. Infill drilling has identified zones with gold-copper-silver mineralization and copper-silver mineralization, the distribution of which is not well understood.

2. The exploration program is well underway with four diamond drills currently on-site and a new 600 metres long, 3 x 3.5 metre diameter adit at the 3,400m elevation is being driven to allow underground drilling of the deeper portions of the Atenea Vein. An ongoing trenching and mapping program has resulted in new discoveries in Zone 3, Zone 7 and Zone 8. The exploration program drilling has been expanded from a planned 7,200 metres to 8,100 metres. The Company now anticipates completing the program in February, 2008.

The company anticipates a steady stream of drill results and they will be released as they become available.

Mr. Andrew Gourlay, P. Geol., President of Sinchao Metals Corp., is a Qualified Person as defined in the Canadian Securities Administrators National Instrument 43-101 with the ability and authority to verify the authenticity and validity of technical and scientific data. This news release has been prepared under Mr. Gourlay's supervision. All samples were prepared and analyzed by ACTLABS in Lima, Peru, an ISO-accredited laboratory. Standard reference materials, blanks and field duplicates were inserted prior to the shipment from site to monitor the quality control of analytical data.

On behalf of Andean American Mining Corp.,

John Huguet, President & CEO

Andean American Mining Corp. (TSX VENTURE:AAG)(FRANKFURT:AQN) is an international mining and exploration company focused on growth both organically and through acquisitions. The Company is actively pursuing new targets of potential early stage gold and silver prospects in Peru and currently has three key assets: the 16,900 hectare Invicta gold-silver-copper advanced exploration stage project; 67% of Sinchao Metals Corp., owner of the Sinchao zinc-copper-silver-gold-lead mineralization project; and the 9,000 hectare Santa Rosa property, which is a small producing open-pit mine.

This news release may contain forward-looking information within the meaning of the Securities Act (Ontario) ("forward-looking statements"). Such forward-looking statements may include the Company's plans for its mineral projects, the overall economic potential of its properties, the availability of adequate financing and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements expressed or implied by such forward-looking statements to be materially different. Such factors include, among others, risks and uncertainties relating to potential political risks involving the Company's operations in a foreign jurisdiction, uncertainty of production and costs estimates and the potential for unexpected costs and expenses, physical risks inherent in mining operations, currency fluctuations, fluctuations in the price of gold and other metals, completion of economic evaluations, changes in project parameters as plans continue to be refined, the inability or failure to obtain adequate financing on a timely basis, and other risks and uncertainties, including those described in the Company's Financial Statements, Management Discussion and Analysis and Material Change Reports filed with the Canadian Securities Administrators and available at www.sedar.com.

This news release may use terms such as "inferred resources", "indicated resources", "measured resources", and "mineral resources". These terms are recognized and required by Canadian securities regulations (under National Instrument 43-101 "Standards of Disclosures for Mineral Projects"). Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into reserves. In addition, "inferred resources" have a great amount of uncertainty as to their existence, and economic and legal feasibility. It cannot be assumed that any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Estimates of Inferred Mineral Resources may not form the basis of feasibility of pre-feasibility studies, or economic studies except for a Preliminary Assessment as defined under National Instrument 43-101. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable.

SEDAR Profile # 00003879

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Andean American Mining Corp.
    John Huguet
    President & CEO
    (604) 681-6186 or Toll Free: 1-888-356-4784
    Website: www.andeanamerican.com