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

Andean American Gold Corp.

July 13, 2005 14:30 ET

Andean American Mining Corp.: Operations Results to June 30, 2005; Record Gold Sales

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 13, 2005) - Andean American Mining Corp. (TSXV:AAG) is pleased to provide results from operations at June 30, 2005 for the 100% owned Santa Rosa Gold Mine located 550 kilometers South East of Lima Peru.

Gold sales in the quarter reached 6,374 ounces (5,852 in gold and 522 from gold equivalents in silver) up 27% over the previous quarter and up 96% over the same quarter in 2004. Gold recoveries were hampered in the period by the presence of high coppers beginning in April.

The company adjusted mining operations in mid May to work around the problem. This will be solved in late July early August with the commissioning of the silver precipitate circuit.

Note: Correction to April 14, 2005 news release. Audit cut off for gold sales at March 31, 2005 were adjusted to reflect the physical receipt by the buyer after March 31, 2005. This reclassified 725.6 equivalent ounces of gold from the March 31, 2005 quarterly and annual totals and placed these sales in the current quarter. This adjustment is reflected in the chart below.



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9 QTRS. CONTINUOUS IMPROVEMENT
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GOLD SALES EQ. Oz's TOTAL Oz's ANNUAL
QUARTER ENDING OUNCES SILVER GOLD IMPROVEMENT
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June 30, 2005 5,852 522 6,374 96%
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Mar 31, 2005 4,604 406 5,010 81%
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Dec 31, 2004 4,730 270 5,000 112%
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Sept 30, 2004 3,665 173 3,838 156%
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June 30, 2004 3,052 199 3,251 124%
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FISCAL YEAR
MAR 31/05 16,051 1,048 17,099 111%
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Mar 31, 2004 2,627 136 2,763 Base
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Dec 31, 2003 2,275 83 2,358 Base
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Sept 30, 2003 1,440 58 1,497 Base
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June 30, 2003 1,385 65 1,450 Base
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FISCAL YEAR
MAR 31/04 7,727 341 8,068 Base
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ADDITIONAL OPERATIONS RESULTS

Gold stacked on the leach pads was 10,862 ozs, up 54 % over the previous quarter and up 99% over the previous year.

Silver stacked on the leach pads was 221,580 ozs up 62%, expressed in gold equivalents is 3,693 ozs.

Total tonnage placed on leach pads in the quarter was 179,613 tonnes, up 79% over the previous quarter and up 73 % over the same quarter one year earlier.

In summary, another good quarter improving on previous results continues to get harder but the organization continues to demonstrate resilience in problem solving and determination in producing profitable operating results. This is a good beginning to the new fiscal year.

Corporate update

The company's Annual General Meeting will be held on August 15, 2005 at 10 am at its office.

Andean American, producing, profitable, expanding and exploring.

John Huguet, President & CEO

This news release may contain forward-looking statements regarding upcoming work programs and events. Actual results may differ materially from those anticipated in such statements.

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
    (604) 681-6186 or Toll Free: 1-888-356-4784
    or
    Andean American Mining Corp.
    Hai Van Le
    Director of Corporate Development
    (604) 681-6186 or Toll Free: 1-888-356-4784
    www.andeanamerican.com