Columbus Silver Corporation
TSX VENTURE : CSC

Columbus Silver Corporation

November 13, 2009 09:01 ET

Columbus Silver Corporation Closes Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 13, 2009) - Columbus Silver Corporation (TSX VENTURE:CSC) ("Columbus Silver" or the "Company") is pleased to announce that it has closed the private placement financing from Swiss and Dubai-based investors, previously announced on October 16th, 2009. The Company has raised gross proceeds of $500,000 bringing the total recently raised in aggregate with the private placement closed in October 2009 to approximately $2.1 million. The current private placement consisted of 5,000,000 units ("Units") at a price of $0.10 per Unit. Each Unit is comprised of one common share and one common share purchase warrant exercisable at a price of $0.20 per warrant share for a period of 2 years.

Finders' fees were payable in connection with the private placement, equal to an aggregate of $50,000 and 500,000 non-transferable finder's warrants exercisable at a price of $0.20 per finder's warrant share for a period of 2 years. All of the securities issued under the private placement are subject to a four-month hold period expiring on March 3rd, 2009. The proceeds of the private placement will be used for working capital requirements.

Under the private placement, the entities Global Petro Tech FZCO, PO Box 293628, Dubai, UAE, and Rhone Stream S.A., Quai du Seujet 30A, CH – 1201 Geneva, Switzerland each purchased 2,500,000 Units. Prior to the private placement, neither entity held any securities of the Company; upon completion of the private placement, each entity now holds approximately 7.78% of the issued and outstanding common shares of the Company on a non-diluted basis. Assuming only the exercise of the 2,500,000 warrants underlying the Units purchased by the applicable entity, the units purchased by such entity would represent approximately 14.44% of the issued and outstanding common shares of the Company post-conversion. The private placement was approved for filing by the TSX Venture Exchange on October 29, 2009. The Company understands that the Units were acquired by each entity for investment purposes only, and each entity may increase or decrease its investment in the Company depending on market conditions or any other relevant factor. The Company and the entities relied on BC Instrument 72-503 "Distribution of Securities outside British Columbia" for the sale of the Units, as each entity meets the geographical requirements set out in such instrument, the Company's securities are listed on a qualified market set out in the instrument, and the subscription agreement between the Company and each entity contains the required disclosure as set out by the instrument. The entities have filed early warning reports pursuant to National Instrument 62-103 and Multilateral Instrument 62-104; a copy of such reports may be obtained from the Company at the telephone number and address indicated below.

ABOUT COLUMBUS SILVER

Columbus Silver is a silver exploration and development company operating in the Western United States possessing an experienced management group with a strong background in all aspects of the acquisition, exploration, development and financing of mining projects.

Columbus Silver's project activities are managed on an exclusive basis by Cordex, owned and operated by John Livermore and Andy Wallace who have a long and successful history of discovery and mine development in the United States. Columbus Silver maintains active generative (prospecting) and evaluation programs and currently controls a 100% interest in 8 silver properties in Utah, Arizona, New Mexico and Nevada.

ON BEHALF OF THE BOARD,

Robert F. Giustra, President & CEO, Director

This release contains forward-looking information and statements, as defined by law including without limitation Canadian securities laws and the "safe harbor" provisions of the US Private Securities Litigation Reform Act of 1995 ("forward-looking statements"), respecting the Company's use of proceeds of the private placement. Forward-looking statements involve risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by the forward-looking statements, including without limitation the availability of qualified workers; risks associated with exploration projects; dependence on third parties for services; non-performance by contractual counterparties; title risks; and general business and economic conditions. Forward-looking statements are based on a number of assumptions that may prove to be incorrect, including without limitation assumptions about: general business and economic conditions; the timing and receipt of required approvals; ability to procure equipment and supplies; and ongoing relations with employees, partners and joint venturers. The foregoing list is not exhaustive and we undertake no obligation to update any of the foregoing except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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