Azteca Gold Corp.
TSX VENTURE : AZG

Azteca Gold Corp.

January 15, 2007 12:40 ET

Azteca Gold Corp. Signs Letter of Intent for 100% Interest in MSM Resources' Gold-Silver Prospect, Mineral County, Nevada

SPOKANE, WASHINGTON--(CCNMatthews - Jan. 15, 2007) - Matthew F. Russell, President and CEO of Azteca Gold Corp. (TSX VENTURE:AZG) ("Azteca" or the "Company") announces the signing of an arms-length binding Letter of Intent (the "LOI") with MSM Resources LLC of Seattle, Washington to purchase a 100% interest in their mineral holdings in the Marietta Mining District of Mineral County Nevada. The LOI was approved unanimously by the Azteca board of directors and signed January 12, 2007. Upon the completion of a National Instrument 43-101 compliant technical report, title review, and regulatory approval, the Company agrees to issue 5,500,000 common shares and to pay US $150,000 to MSM Resources LLC in exchange for a block of 13 patented lode claims and 89 adjacent unpatented lode claims. There is no outstanding commission or finder's fee to be paid by Azteca.

"MSM Resources LLC, a private exploration company, painstakingly put together the core group of patented and unpatented claims of the historic Marietta District over the last 15 years and did the first comprehensive geologic evaluation of the underground workings on the patented Giroux block in 2005," explains Russell. "This is elephant country," continues Russell. "We are in good company, being situated between the Comstock Lode and the Tonopah/Goldfield Districts."

For purposes of NI 43-101 compliance, John Mears, a registered geologist and an independent director of Azteca is the Company's qualified person. Mr. Mears has approved the technical content of this news release.

The Marietta District saw intermittent production of high grade silver-gold ore from the 1880's through the 1930's. Historic producers covered by the unpatented claims include the Endowment, Birdsong, Badger, Blackhawk, Gold Hill, Sultan, and Morning Star. The Endowment Mine was the main producer in the district. According to a Bureau of Mines report the Endowment Mine reportedly produced $1,500,000 in ore from the late 1800's to early 1900's. Grades reportedly averaged about 0.15 oz/ton (5.14 g/t) gold and 20 oz/ton (685 g/t) silver based on the exposed veins underground. The Endowment is open down dip and on strike and represents a drill ready target. The target is to test the extent of the high grade structures and the potential for disseminated ore.

The patented Marietta Mines (or Giroux) block of claims was purchased and worked by the Giroux family in the early 1900's at the same time the Giroux syndicate was developing the Bagdad Copper Mine in Arizona. There is good reason to believe that Giroux saw the geology of the Marietta District to be very similar to the Bagdad area and this would explain why much of the exploration shafts and adits explored for a 2005 MSM Resources report focused on copper exploration.

The 2005 MSM technical report covering the Marietta Mines workings on the 13 patented lode claims represents the basis for the NI 43-101 report to be completed prior to closing on this LOI. Although the 2005 MSM technical report does not comply with NI 43-101, the Company feels that the information contained therein is reliable and it is material to its decision to acquire the property. The focus of the NI 43-101 report will be the gold and silver mineralization observed in the various shafts and adits. 139 composite samples were taken from 7 mines and 2,900 feet of workings were mapped at 1:600. At least 3 types of mineralization occur: two are indicative of extensive gold systems and a third is a copper-rare earth porphyry system. High grade mesothermal quartz veins have been identified with up to 49.2 g/t (1.43 opt) gold (up to 66 g/t (1.92 opt) from surface samples) and are cross cut by a later, high angle shear hosted epithermal gold system with values to 17.3 g/t (.50 opt) gold. The strike length of the latter gold system exceeds 1000 meters (3280 FT); the extent of the high grade quartz vein system is unknown. Gold mineralization is almost entirely hosted within the metamorphosed sandstones and conglomerates.

WARNING: the Company relies upon litigation protection for "forward looking" statements. The information in this release may contain forward-looking information under applicable securities laws. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied by the forward-looking information. Factors that may cause actual results to vary material include, but are not limited to, inaccurate assumptions concerning the exploration for and development of mineral deposits, currency fluctuations, unanticipated operational or technical difficulties, changes in laws or regulations, the risks of obtaining necessary licenses and permits, changes in general economic conditions or conditions in the financial markets and the inability to raise additional financing. Readers are cautioned not to place undue reliance on this forward-looking information. The Company does not assume the obligation to revise or update this forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events, except as may be required under applicable securities laws.

Shares issued: 65,794,137

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

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