Anaconda Gold Corp.

Anaconda Gold Corp.

April 11, 2007 07:54 ET

Anaconda Announces Pricing of Offering

TORONTO, ONTARIO--(CCNMatthews - April 11, 2007) -


Anaconda Gold Corp. (TSX VENTURE:ANX)(FRANKFURT:GJ2)("Anaconda" or the "Corporation") is pleased to announce that it and a syndicate of agents led by National Bank Financial Inc. and including Haywood Securities Inc. (the "Agents") have agreed to the terms and pricing of the Corporation's public offering (the "Offering") of units (the "Units"). A total of 14,375,000 Units at a price of $0.80 per Unit for gross proceeds of $11,500,000 will be offered for sale (all pricing and common share references reflect the Corporation's scheduled one-for-two share consolidation to occur immediately prior to the closing of the Offering). Each Unit shall consist of one common share ("Common Shares") and one-half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to acquire, subject to adjustment in certain circumstances, one Common Share of the Corporation at a price of $1.20 at any time on or prior to the close of business on the date that is 24 months from the closing of the Offering. The closing of the Offering is scheduled to occur on or about April 18, 2007.

The Agents will also be granted an over-allotment option to purchase up to an additional 15% of the aggregate number of Units sold at the closing of the Offering, exercisable at any time prior to 5:00 pm EST on the 30th day following closing of the Offering.

Anaconda intends to use the net proceeds from the Offering to continue its focus on its portfolio of copper-gold and gold properties located in Chile and Canada. Specifically, the net proceeds will be used to fund exploration activities at the Corporation's Vicuna Copper-Gold Project located in Chile, and exploration and operating expenditures on the Damoti Lake Gold Project located in the Northwest Territories. The remaining proceeds of the Offering will be used in connection with other acquisitions, exploration activity and working capital and general corporate expenses.

The Offering is conditional upon completion of Anaconda's previously announced acquisition (the "Acquisition") of all of the issued and outstanding common shares of Colorado Minerals Inc. ("Colorado Minerals"), a Canadian private corporation which indirectly holds an interest in certain gold and copper assets in Chile. The Acquisition has been approved by the directors and shareholders of Anaconda. Anaconda has agreed to complete the Acquisition immediately prior to completion of the Offering.

The Corporation intends to file its final prospectus to qualify the issuance of the Common Shares and Warrants comprising the Units shortly. The completion of the Acquisition and the Offering are conditional upon receipt of all regulatory approvals.

About Anaconda

Upon completion of the Acquisition, Anaconda will have changed its name to "Anaconda Mining Inc." Anaconda's strategic focus will be on advanced stage gold and base metal projects with demonstrated potential to be brought to commercial production. Anaconda will have interests in a diverse portfolio of advanced stage exploration and near-term production gold and copper assets in Chile and Canada.

This press release is not an offer of the securities described above (the "Securities") for sale in the United States or to "U.S. Persons", as defined in the rules and regulations under the U.S. Securities Act of 1933. The Securities offered have not been registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States or to "U.S. Persons" absent registration or applicable exemption from the registration requirements of that statute.

Forward-Looking Statements

Certain statements contained herein constitute "forward-looking statements". These forward-looking statements are based on current expectations. The nature, timing and extent of the exploration programs may materially change from current intentions for a number of reasons. Additionally, "forward looking statements" look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "plans," "intends," "anticipates," "should," "estimates," "expects," "believes," "indicates," "targeting," "suggests," "potential" "interpretation" and similar expressions. These forward-looking statements, including statements regarding the Company's beliefs in the potential mineralization, are based on current expectations and entail various risks and uncertainties. Actual results may materially differ from expectations as more information regarding the properties is gathered or if known and unknown risks or uncertainties affect our business, or if our estimates or assumptions prove inaccurate. The Company assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.

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

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