Mr. Maurice Montpetit reports

CABIA GOLDHILLS INC. ANNOUNCES A PRIVATE PLACEMENT

Cabia Goldhills Inc. has completed the first closing of a non-brokered private placement of 1.47 million units for gross proceeds of $367,500. Each unit comprises one common share of Cabia and one-half of a common share purchase warrant, each full warrant entitling the holder to acquire one Cabia common share at a price of 45 cents for a period of two years. Additional units may be issued at a later date as part of one or more additional closings.

The private placement was completed pursuant to prospectus exemptions under applicable securities legislation. The securities issued in the private placement are subject to a four-month hold period under applicable securities legislation and the policies of the TSX Venture Exchange.

The proceeds of the private placement will be used to finance Cabia's continuing exploration program on the Mejia project, some of the costs related to the acquisition of the Mejia mines as announced in Cabia's press release of Sept. 11, 2012, and normal corporate expenses.

The Mejia project is located within the underexplored San Lucas gold district in the Bolivar department, Colombia, where intense artisanal mining is present, including four artisanal mines adjacent to the Mejia project, namely La Gloria mine, El Fogaje mine, Los Romanes mine and El Turco mine, as described in Cabia's National Instrument 43-101 report on the Mejia project available on the company's SEDAR profile. Cabia's geological team has found evidence for the presence of porphyry-style mineralization located at depth on the Mejia project, with the potential to host a gold-copper-molyporphyry system, which has become one of the main focuses of the exploration program.

We seek Safe Harbor.