Mr. Maurice Montpetit reports

CABIA GOLDHILLS INC. ANNOUNCES THE SECOND CLOSING OF ITS PRIVATE PLACEMENT AND EXECUTION OF A MAJOR DRILLING CONTRACT FOR ITS ONGOING EXPLORATION PROJECT

Cabia Goldhills Inc. has completed the second closing of a non-brokered private placement, pursuant to which 2.44 million units were issued for gross proceeds of $610,000. Each unit comprises one common share of Cabia and one-half of a common share purchase warrant, with each full warrant entitling the holder to acquire one Cabia common share at a price of 45 cents for a period of two years.

The private placement comprises a maximum of eight million units, of which a total of 3.91 million units have now been issued as part of the first two closings. 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 hold period under applicable securities legislation and the policies of the TSX Venture Exchange ending April 4, 2013. A director of Cabia acquired 100,000 units as part of the private placement.

The proceeds of the private placement are being used to finance some of the costs related to the acquisition of the Mejia mines, as announced in Cabia's press release of Sept. 11, 2012, acquisition of other concessions and the continuing exploration program on the Mejia project, including a 3,000-metre drilling program set to start as soon as all of the permitting is completed. Cabia has just signed an agreement with Major Drilling, an international drilling company, for a minimum of 3,000 metres with the possibility of a 2,000-metre extension, pending results from the first phase. The work shall consist of diamond coring utilizing the HQ coring system (63.5-millimetre core diameter) to depths of 300 to 350 metres.

Cabia's Mejia project is a 6,946-hectare mineral concession located close to sea level and outside any environmentally restricted areas in the San Lucas gold district in the Sur de Bolivar region of the Department of Bolivar, Colombia. The San Lucas gold district is an underexplored area, where intense artisanal mining is present, including four artisanal mines adjacent to the Mejia project, namely the La Gloria mine, the El Fogaje mine, the Los Romanes mine and the 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-molybdenum porphyry system, which has become one of the main focus of the current exploration program.

We seek Safe Harbor.