Antioquia Gold Uses Private Placement Funds to Explore Gold Bearings at Guayabito and La Manuela Structures

Antioquia Gold Inc. (TSX VENTURE:AGD) has announced that further to the January 21, 2011 news release it has closed a non-brokered private placement for 19,455,495 common shares of Antioquia at a price of Cdn$0.40 per common share for gross proceeds to Antioquia of Cdn$7,782,198. All of the securities are subject to a four month hold period from the date of closing.

The Private Placement was subscribed by Desafio Minero S.A.C. ("Desafio") which previously completed a non-brokered offering and entered into a Strategic Alliance Agreement with Antioquia on August 13, 2010.

The funds from the Private Placement will be used to continue the current surface exploration program to expand the drill targets and potential gold bearing structures. A 10,000 meter drill program will commence towards the end of February 2011. The engineering and permitting work on two underground tunnels has been initiated to facilitate further drilling from underground on the Guayabito and La Manuela structures and to provide data for grade control and resource estimation, and to obtain a bulk samples for future metallurgical test work.

Source: Antioquia Gold Inc.