Columbus Gold Corporation
TSX VENTURE : CGT

Columbus Gold Corporation

October 23, 2006 09:00 ET

Columbus Gold Commences Phase II Drilling at 100%-Owned Golden Mile Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 23, 2006) - Columbus Gold Corporation (TSX VENTURE:CGT) ("Columbus Gold" or the "Company") is pleased to announce that it has commenced a Phase II drilling program at its Golden Mile project in Nevada. The program consists of approximately 2,200 metres (m) (7,250 feet) in 15 holes and is designed to further define and extend the gold mineralization partially outlined in past work, including the Company's initial drilling program carried out earlier in the year (news release dated August 14, 2006). The Phase I program consisted of 2,345 m in 15 holes with important intercepts of 7.6 m of 4.2 grams per tonne (g/t) gold in drill hole MI-6 and 9.1 m averaging 13.8 g/t gold in drill hole MI-12, including 3.1 m of 28.94 g/t gold.

The Golden Mile Project consists of 24 mineral claims, covering approximately 155 hectares (380 acres), located along the Walker Lane Gold Trend in Southwest Nevada. Subject to net smelter royalties, Columbus Gold owns a 100% interest in the property. The geologic setting at Golden Mile is similar to the well-known and productive Fortitude (Newmont) and McCoy (Kinross) mines on the Battle Mountain Gold Trend. Golden Mile produced approximately ten thousand tonnes of ore grading 12 grams per tonne (g/t) gold in the 1930's and has the potential to host a high temperature gold skarn deposit hosted by Mesozoic limestones intruded by Cretaceous to Tertiary granite.

The mineralization at Golden Mile occurs within a broad band of irregularly developed skarn alteration, traced for a length of 350 m and across widths of up to 100 m along the northeast trending contact of Cretaceous granite and intruded sediments. Drill intercepts by previous operators contain up to 16 g/t gold over 29 m. The zone remains open under volcanic cover to the northeast and below a depth of approximately 100 m (300 feet). The current program will test open strike and depth extension of this mineralization.

John Prochnau B.Sc. (Mining Engineering), M.Sc. (Geology), and Director of Columbus Gold is the Qualified Person who reviewed and approved the contents of this news release.

ABOUT COLUMBUS GOLD

Columbus Gold Corporation is a gold exploration and development Company operating principally in Nevada. The Company has an experienced management group with a strong background in all aspects of the acquisition, exploration, development and financing of precious metal mining projects. Columbus owns a 100% interest, subject to royalties, in 16 gold projects strategically located along or near Nevada's most productive gold trends and 4 non-core silver and copper projects located in Arizona. The Company's project activities are managed by Cordilleran Exploration Company ("Cordex"), owned and operated by John Livermore and Andy Wallace who have a long and distinguished history of gold discovery and mine development in Nevada.

The Company maintains active generative (prospecting) and evaluation programs and, as a key element of strategy, broadens exposure, minimizes risk and maintains focus on high priority prospects while seeking industry finance through joint ventures on selected projects. The Company currently has seven of its projects joint ventured to major and junior mining companies.

ON BEHALF OF THE BOARD,

Robert Giustra, President & CEO, Director


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

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