ANDINA Minerals Inc.

ANDINA Minerals Inc.

January 07, 2008 09:00 ET

Andina Repurchases Pampa Buenos Aires and Encrucijada Royalties from Newmont Mining Corporation

TORONTO, ONTARIO--(Marketwire - Jan. 7, 2008) - ANDINA Minerals Inc. (TSX VENTURE:ADM) ("Andina" or "the Company") is pleased to announce that it has exercised its right of first refusal to purchase various obligations, including royalties and back-in rights, owed to Newmont Mining Corporation ("Newmont") on the Company's Pampa Buenos Aires and Encrucijada properties located in Chile. Andina's right of first refusal on the properties was triggered by Newmont's recent sale of its royalty assets to Franco-Nevada Corporation. The price paid was CDN$715,137.

"Pampa Buenos Aires and Encrucijada are large, strategically located properties which are situated in proven mining districts in Chile", commented Carl B. Hansen, President and CEO of Andina, "By repurchasing the royalties and back-in rights, this transaction allows us more flexibility to progress these properties while we focus the majority of our attention on our flagship Volcan Gold Project."

The 28,800 hectare Pampa Buenos Aires Property, under option to Rusoro Mining Limited ("Rusoro"), is located in Region II, Chile immediately south southwest of Yamana's El Penon gold-silver mine. Rusoro has been actively exploring the Pampa Buenos Aires Property and, as previously disclosed, may earn a 50% interest in the property by spending $250,000 on exploration prior to June 30, 2008 and issuing 176,479 Rusoro common shares to Andina.

The Encrucijada silver-gold property is located in Region III, Chile approximately 210 kilometres north of Copiapo. The 13,700 hectare property has had limited exploration focused on a small cluster of silver-gold epithermal veins. The veins are exposed in an erosional window through a shallow layer of gravels which covers the majority of the property. Surface chip sampling of the veins, completed by Newmont, returned gold values up to 8.4 grams per tonne and numerous samples greater than 100 grams per tonne silver. Newmont drilled a series of shallow reverse circulation drill holes in 2003, totalling 2,072 metres, which did not return significant results. Andina is expanding its activities over the entire property, most recently completing ground magnetometer surveys and geological mapping.

About Andina Minerals Inc.

Andina is an Americas-focused exploration company, with a portfolio of precious metals exploration projects in Chile including the Company's flagship Volcan Gold Project located in Chile's Maricunga Gold Belt where Andina is in the midst of a 50,000 metre drilling program.

The technical information on the Pampa Buenos Aires and Encrucijada properties presented in this press release is based on Andina's NI 43-101 compliant technical report titled "Review of Gold and Copper Exploration Potential of Mineral Properties in Chile" dated November 12, 2004 and filed at on November 24, 2004.


This release may contain forward-looking statements, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to, statements with respect to exploration results, exercise of options, the success of exploration activities generally, permitting time lines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage and the timing and possible outcome of any pending litigation. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "planning", "expects" or "does not expect", "continues", "scheduled", "estimates", "forecasts", "intends", "potential", "anticipates", "does not anticipate", or "belief", or describes a "goal", or variation 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, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the interpretation and actual results of current exploration activities; exploration success and expenditures, changes in project parameters as plans continue to be refined; future prices of gold; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in the company's publicly filed documents. Although Andina has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. 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, readers should not place undue reliance on forward-looking statements.

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

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