SOURCE: Hidalgo Mining International

Hidalgo Mining International

October 29, 2009 09:20 ET

Hidalgo Mining International (HMIT) Announces Status of Company Projects

NEW YORK, NY--(Marketwire - October 29, 2009) - Hidalgo Mining International (PINKSHEETS: HMIT) (www.hidalgominingint.com), an innovative mining company headquartered in Port Washington, N.Y., announces status of company projects.

The Company has suffered numerous setbacks from the very beginning in their attempts, through a local operator, to get the Guinea Projects into production. Those problems, combined with the inability to secure additional financing, and now coupled with a growing political instability within the country, has forced the Company to discontinue the Fifa and Tinkisso Projects in Guinea altogether.

Mark Daniel Klok, President of HMIT, stated, "The political environment in Guinea is incredibly unstable. Recently in the Nation's capital of Conakry, over 150 people were killed when troops fired live ammunition into a pro-democracy rally (http://www.bing.com/search?q=157%20people%20killed%20in%20guinea&form=HPNTLB). Thus, at this time, the Company views the country of Guinea as too volatile and has decided to cease all operations there immediately. As a result, the Company recently executed an unwind agreement and has spun-out the licensing rights to the aforementioned Properties to the local operator in return for the forbearance of shares due said operator.

The Company, once again due to a lack of funding, is also unable to continue with any of its planned efforts on the North Bay Joint Venture projects due to capital needs which cannot be met at this time.

Finally, these events have caused management to move forward and pursue brokering a deal with the Ghana Project. The Final Agreement is currently in the process of being finalized and it is anticipated that the new deal could result in a dividend being paid to Hidalgo and its shareholders once funding is completed. Currently the Company is unable to meet the additional capital contributions that are required to maintain the Ghana Joint Venture in good standing so the brokering of the asset into a company that can pay the capital requirements is the most viable way to bring value to the Hidalgo and its shareholders. Castle Peak Mining is currently completing the necessary steps to finalize a deal that should result in the financing of the Ghana Projects shortly.

As part of this necessary and discussed revamping of the Company, management has been aggressively pursuing new directions, opportunities, and potential Projects for the Company. Management is currently in discussions with an operational Company that could potentially bring a new direction, assets, management and significant changes to Hidalgo and its shareholders.

DISCLAIMER: CAUTIONARY DISCLOSURE ABOUT FORWARD-LOOKING STATEMENTS

The results described herein cannot be guaranteed. The development of any and all of the subject mining claims stated herein is contingent upon multiple high risk factors that must be successfully dealt with in order to achieve the intended results. This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements in this news release other than statements of historical fact are "forward-looking statements" that are based on current expectations and assumptions. These expectations and assumptions are subject to risks and uncertainty, which could affect Hidalgo Mining International's future. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the statements, including, but not limited to, the following: the ability of Hidalgo Mining International to provide for its obligations, to provide working capital needs from operating revenues, to obtain additional financing needed for any future acquisitions, to meet competitive challenges and technological changes, and other risks. Hidalgo Mining International undertakes no duty to update any forward-looking statement(s) and/or to conform the statement(s) to actual results or changes in Hidalgo Mining International's expectations.

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