Indico Appoints Dean Linden as Manager, Corporate Develoment

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 16, 2012) - Indico Resources Ltd. ("Indico" or the "Company") (TSX VENTURE:IDI)(OTCQX:IDIFF) is pleased to announce the appointment of Dean Linden as Manager, Corporate Development for the Company.

In 1997 Dean joined ID Biomedical Corp., a start-up biotech company that became a global leader in flu-vaccine manufacturing, and which was acquired by GlaxoSmithKline in 2005 for $1.7 billion. Currently, Dean is on the foundation's advisory board of 100 Urban Entrepreneurs and is in charge of Corporate Development for Wealth Minerals.

In addition, Indico announces that it has entered into an agreement with Dorato Resources Ltd. ("Dorato") to purchase from Dorato the camp equipment, facilities and machinery (the "Camp Assets") that Indico has been using since June 2011 for use at Indico's camp on the Ocaña project located in Peru. The purchase price for the Camp Assets is $215,439, payable as follows:

1. the sum of $56,050 (paid as a deposit for the purchase of the Camp Assets);

2. forgiveness of the sum of $9,389 currently owed by the Dorato to Indico; and

3. the issuance to Dorato of 681,818 common shares in the capital stock of Indico at a deemed price of $0.22 per share (the "Payment Shares").

The purchase of the Camp Assets will enable Indico to continue the exploration of its Ocaña project in Peru without the delay of having to incur additional costs for the purchase of equipment and set-up of a new camp.

The issuance of the Payment Shares to Dorato is subject to the acceptance of the TSX Venture Exchange.

About Indico Resources Ltd.

Indico Resources Ltd. is a resource exploration company focused in the discovery and exploration of porphyry copper-gold deposits in South America. The Ocaña Porphyry Project is the Company's primary exploration project and is currently the main focus of exploration activities. In addition, the Company has reviewed multiple additional porphyry exploration projects and is in negotiation to acquire interests in additional porphyry exploration projects. For more information, please visit our website at www.indicoresources.com; follow us on Twitter: @indicoresources and Facebook: Indico Resources Ltd.

On behalf of Indico Resources Ltd.

Robert Baxter, President and Chief Executive Officer

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. Specifically, there can be no assurance that the acquisition of the Camp Assets will be completed as proposed. 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.