Indico Announces Phase 3 Drill Programme is Underway at the Ocana Copper Porphyry Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan. 27, 2014) - Indico Resources Ltd. ("Indico" or the "Company") (TSX VENTURE:IDI) is currently drilling the Phase 3 programme at Ocaña, with seven holes completed to date, totalling 620 metres. Visual mineralization in the holes drilled to date supports the geological interpretation from previous drilling in late 2012. Samples for these holes are currently at ACME laboratories preparation facility in Lima, Peru. Geotec S.A., Peru mobilized the drill equipment to site in mid-December, 2013.

The Ocaña Property consists of 22 concessions covering 110.24 km² and is located on the northwest extension of the Southern Peru Porphyry Copper Belt, a trend defined in part by the Toquepala, Quellaveco, Cuajone, and Cerro Verde Mines to the southeast. Most recent exploration of the belt has resulted in discovery of the Zafranal copper-porphyry deposit, located approximately 75 km to the southeast of the Ocaña Property.

This programme targets supergene mineralization and is primarily an infill programme to tighten the current 200m drill spacing to 100m. A Hydracore 4000 man-portable drill rig is being used and should be able to complete the programme by the end of March, 2014. Currently 32 holes are planned, totalling 3050 metres, and comprising mostly short, vertical holes to infill and further delimit near-surface, flat-lying supergene mineralization. Soluble copper and acid consumption tests indicate the supergene mineralization should be amenable to low-cost, SX/EW heap-leach processing. Figure 1 shows the layout/density of the planned holes and Figure 2 illustrates highlights from the Phase 2 drilling in 2012. Additional maps and cross sections are available at our website (http://www.indicoresources.com/s/Ocana.asp).

To close the programme, four additional longer holes (400 metres each) are planned to test the eastern limits of the larger hypogene mineralization, bringing the total to 4650 metres.

Qualified Person

John Drobe, P.Geo., Indico's Chief Operations Officer and a qualified person as defined by National Instrument 43-101, has reviewed the scientific and technical information that forms the basis for this news release. Mr. Drobe is not independent of the Company as he is an officer and a shareholder.

On behalf of Indico Resources Ltd.

Robert Baxter, President and Chief Executive Officer

To view Figures 1 and 2 please visit the following link: http://media3.marketwire.com/docs/924020i.pdf

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Cautionary Statement Regarding Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward looking information" within the meaning of the British Columbia Securities Act and the Alberta Securities Act. Generally, the words "expect", "intend", "estimate", "will" and similar expressions identify forward-looking information. By their very nature, forward-looking statements are subject to known and unknown risks and uncertainties that may cause our actual results, performance or achievements, or that of our industry, to differ materially from those expressed or implied in any of our forward looking information. Statements in this press release regarding Indico's business or proposed business, which are not historical facts, are forward-looking information that involve risks and uncertainties, such as estimates and statements that describe Indico's future plans, objectives or goals, including words to the effect that Indico or management expects a stated condition or result to occur. Since forward-looking statements address events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements. Investors are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date they are made. All of the Company's Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties. The foregoing commentary is based on the beliefs, expectations and opinions of management on the date the statements are made. The Company disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.