ANDINA Minerals Inc.

ANDINA Minerals Inc.

March 28, 2006 08:34 ET

ANDINA Prices Equity Financing

TORONTO, ONTARIO--(CCNMatthews - March 28, 2006) -


Financing Increased from Cdn$15.0 million to Cdn$17.6 million

ANDINA Minerals Inc. (TSX VENTURE:ADM) (the "Company") is pleased to announce that it has increased the amount of its previously announced Cdn$15.0 million private placement to Cdn$17.6 million and priced the offering of the Units at Cdn$1.10 per Unit. Each Unit consists of one (1) common share and one-half (1/2) of a common share purchase warrant. A total of 16.0 million Units are proposed to be issued. Each whole warrant will be exercisable at a price of Cdn$1.50 for a period of 24 months from the closing date. The securities comprising the Units will be subject to a four-month hold period under applicable Canadian securities law.

Subscribers for the Units have been identified by a syndicate of agents ("the Agents") lead by BMO Nesbitt Burns Inc. and included TD Securities Inc. and Haywood Securities Inc. The Agents will receive a commission of 6% of the gross proceeds raised in this private placement, as well as broker warrants which will entitle the Agents to purchase up to 0.96 million units, at an exercise price equal to Cdn$1.10, for a period of 24 months from the closing date.

The offering is scheduled to close on or about April 12, 2006, subject to receipt of all required regulatory and third party approvals and consents, including the approval of the TSX Venture Exchange, and the execution of a formal agency agreement with the Agents.

The net proceeds of the offering will be used to fund continued exploration and resource development requirements at the Company's Volcan Project, and to satisfy requirements related to the Company's option to purchase 100% of the property. In addition, funds will be directed towards progressing the Company's other Chilean properties to the next decision stage.

This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein in any jurisdiction.

The statements herein that are not historical facts are forward-looking statements. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in the company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected.

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

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