AndeanGold Ltd.
TSX VENTURE : AAU
LMA : AAU

AndeanGold Ltd.

October 02, 2014 09:50 ET

AndeanGold: Urumalqui Ag-Au Project, Peru 40% Option Agreement Update

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 2, 2014) - AndeanGold Ltd. ("the Company" or "AndeanGold") (TSX VENTURE:AAU)(LMA:AAU) is pleased to announce that Gitennes Exploration Inc. ("Gitennes") has provided the Company with an extension until October 31, 2014 to cure the Company's default on the $350,000 option payment that was payable on July 31, 2014 pursuant to the Share Sale and Mining Agreement (the "Agreement") dated May 17, 2012, as amended. The Agreement provides the Company with the right to acquire Gitennes' 40% interest in the Urumalqui Ag-Au Project (the "Project") in Peru. During the extension period, the Company will have the option to either arrange financing to cure the $350,000 default or provide Gitennes with other acceptable options to enable the Company to acquire Gitennes' 40% interest in the Project.

AndeanGold Ltd. has the right to earn a 100% interest in the Urumalqui Project from Gitennes pursuant to an existing Option Agreement (the "60% Option") between the parties dated April 21, 2010 and the Share Sale and Mining Agreement (the "40% interest").

The Company also announces that it has been granted an extension by the TSX Venture Exchange to close its previously announced $300,000 non-brokered private placement (see news release dated July 31, 2014) to October 31, 2014.

About AndeanGold Ltd:

AndeanGold Ltd. is engaged in the acquisition, exploration and potential development of primarily precious metals properties, principally in Peru and Ecuador. The focus of the Company's exploration activities is presently in advancing its Urumalqui Project, as well as pursuing mineral property acquisitions, in Peru. In Ecuador, the Company's activities have been limited to administrative and legal matters due to the Mining Mandate issued by the Ecuador Constituent Assembly on April 18, 2008. In November 2009, President Correa signed the Mining Regulations into law pursuant to the requirements of the new Mines Law, which was passed in January 2009. This was the final legal precursor to the re-initiation of exploration and mining development in Ecuador. The Company has been issued new mining titles under the new Mines law to its three key Ecuadorian projects and has filed the requisite documents with the Ministry of Non-Renewable Natural Resources and Ministry of Environment ("MRNNR") in support of the Company's request to renew exploration programs on its key projects in Ecuador. In September 2012, the Company received authorization from the MRNNR to renew exploration programs on its Curiplaya Project.

Please refer to AndeanGold's website at www.andeangoldltd.com for further information on the Company's projects and activities.

On Behalf of the Board of Directors of ANDEANGOLD LTD.

Anthony F. Ciali, President, CEO and Director

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.

Contact Information