Ms. Maria Consuelo Araujo reports

GRAN COLOMBIA GOLD INTERSECTS 0.56 METRES GRADING 68.96 GRAMS PER TONNE GOLD AND 128 GRAMS PER TONNE SILVER AT ITS EL ZANCUDO PROJECT IN COLOMBIA

Gran Colombia Gold Corp. has released drill results from an initial 12 drill holes from its exploration and infill drilling program at the company's El Zancudo project in Colombia. Drilling to date has returned high-grade gold and silver mineralization over a strike of approximately 450 metres and dip length of 170 metres on the newly discovered Santa Catalina vein, which is open in all directions. These drill holes are part of a 12,000-metre drilling program, which is focused on defining new potential resources by following the strike and shallow dip extensions of the Santa Catalina vein that occurs to the west of the historical Independencia mine.

Maria Consuelo Araujo, chief executive officer of Gran Colombia Gold, commented: "We are very pleased with the consistently good results from this drilling program. These results demonstrate high-grade gold and silver mineralization over a significant strike length of the newly discovered Santa Catalina vein and confirm this new discovery as a potential mineral resource for the El Zancudo project."

This drilling program commenced in April, 2011, and finished in early June, 2012. The drilling program includes both surface and underground drilling, and the results will form the basis of an updated technical report for the El Zancudo project that is expected to be completed by the end of 2012. The existing National Instrument 43-101 technical report for the El Zancudo project, prepared by Dr. Stewart D. Redwood, consulting geologist, was dated April 6, 2010.

Highlighted intersections include the holes shown in the attached table.

Hole                      From           To       Length   Gold grade         Silver grade 
                            (m)          (m)          (m)        (g/t)                (g/t)

DDH-ZG-11-012*           322.5        323.3          0.8         7.14                 15.7
DDH-ZG-11-012            425.0        425.5          0.5         9.53                118.0
DDH-ZG-11-015*           180.0        182.0          2.0        40.76                241.0
DDH-ZG-11-015            252.5        253.6          1.2         5.52                 56.0
DDH-ZG-11-015            262.8        263.6          0.7        12.97                 62.2
DDH-ZG-11-017*           132.1        134.2          2.1        11.10                 26.4
DDH-ZG-11-021             87.2         88.1          0.9         6.24                  8.4
DDH-ZG-11-021*           171.4        172.3          0.9        41.86                138.0
DDH-ZG-11-021            180.3        180.9          0.6        13.12                 47.2
DDH-ZG-11-021            191.8        192.2          0.5        11.42                245.0
DDH-ZG-11-021            195.7        196.4          0.8        10.12                238.0
DDH-ZG-11-021            215.5        216.1          0.6        49.40                804.0
DDH-ZG-11-021            250.4        251.9          1.5        29.98                  7.0
DDH-ZG-11-021            252.7        253.7          1.0         8.31                  0.3
DDH-ZG-11-021            261.9        263.1          1.2        10.00                 30.6
DDH-ZG-11-022*           143.1        143.6          0.5        20.26               1796.0
DDH-ZG-11-022            223.5        224.0          0.5        53.80               1298.0
DDH-ZG-11-023*           206.4        207.7          1.3        13.08                 99.0
DDH-ZG-11-023            202.4        204.4          2.0         5.46                125.0
DDH-ZG-11-024*           115.3        115.9          0.6        68.96                128.0
DDH-ZG-11-025*           233.1        234.9          1.8        12.78                373.0
DDH-ZG-11-025            299.4        300.6          1.3         7.12                 59.4
DDH-ZG-11-026            154.3        156.1          1.8        24.05                 28.4
DDH-ZG-11-026*           238.3        238.7          0.4        24.33                431.0
DDH-ZG-11-026            240.0        240.6          0.6         8.88                 89.2
DZ-0037*                  16.2         16.9          0.7        60.36                908.0
DZ-0037                   16.9         17.4          0.5         8.51                229.0
DZ-0037                   26.1         27.0          0.9         8.23                 17.5

Notes: 
* Denotes intersections from the Santa Catalina vein.  
- Sample grades over five grams per tonne gold are reported.  
- Grades are for sulphide vein intersections and are single samples. 
- The length is the sample length and is not necessarily the true width of the vein.  
- All gold and silver grades are uncut and are not diluted to a minimum mining width.  
- Holes DDH-ZG-11-19 and 28 did not return significant intersections.

The majority of the holes listed in the attached table shows multiple high-grade intersections that have been interpreted as flat-lying or subvertical structures, the continuity along strike and dip of which will be proved by the modelling and interpretation that are being carried out.

All of the holes listed in the attached table were drilled from surface except for drill hole DZ-0037, which was drilled underground from the Independencia mine.

The El Zancudo project is located approximately 70 kilometres southwest of the city of Medellin, Colombia, on the western side of the Central Cordillera of the Colombia Andes and lies within the Romeral terrane, an oceanic terrane comprising metamorphosed mafic to ultramafic complexes. The Arquia complex schists, which comprise the Romeral terrane, are partially covered by continental sediments of the Amaga formation, and both are intruded by the Titiribi porphyry complex. The schists and sediments are cut by minor andesite intrusions seen as dikes. The sediments have been folded into several synclines cut by high-angle reverse fault trending from north to south and dipping to the east. The Santa Catalina vein is currently interpreted as a cross-structure extending between two of these main faults, Castano and El Zancudo. Mineralization is mainly concentrated in a narrow fault breccia with a coarse-grained to fine sulphide-silica-rich matrix, and also disseminated in conglomerates, sandstones or schists at or near the base of the Amaga formation at the unconformity with the underlying Arquia complex schists. Mineralization also occurs in flat-lying or steeply dipping structures. The known mineralization is indicative of the transition from porphyry to epithermal-style conditions.

The gold in the sulphide ore at El Zancudo is refractory mainly due to the high content in arsenopyrite. The company has a 120-tonne-per-day plant which has crushing, milling and flotation capability to produce a sulphide concentrate, and is currently investigating various process options for optimizing gold recovery.

The 12 drill holes referred to in this press release representing a total of 3,380 metres of drilling. All of the results over one gram per tonne of gold to date, together with a map showing the locations of the drill holes, are available on the company's website.

The total number of metres drilled to date is 11,922 metres in 46 holes, 14 holes for which the company is awaiting assay results and one drill hole which is currently in progress. The remaining 16 holes have not been logged yet. Holes ZG-11-030, 32 and 33 have not been accounted for in this press release, as designed for another drilling target.

The drill holes were inclined at 50 to 90 degrees from horizontal, except drill hole DZ-0037 that is horizontal. Sample lengths are no longer than two metres and may be varied for geological and recovery factors. Gold and silver grades are uncut. Voids from old mine workings were identified and assigned a zero grade.

Qualified person

Stewart D. Redwood, senior consulting geologist to the company, is a qualified person as defined by NI 43-101, Standards of Disclosure for Mineral Projects, and prepared or reviewed the preparation of the scientific and technical information in this press release in respect of the drilling results from the Segovia project. Dr. Redwood verified the data disclosed in this news release, including the sampling, analytical and test data underlying the information contained in this news release. Verification included a review of the quality assurance and quality control samples, and review of the applicable assay databases and assay certificates.

Quality assurance and quality control

In the case of the drilling results referred to herein, the samples were prepared by SGS Colombia SA at its sample preparation facility in Medellin, Colombia, and were assayed by SGS del Peru SAC at its laboratory in El Callao, Peru. Both of these companies are part of the SGS group (ISO 9001:2008 certified). Gold was assayed by fire assay with atomic absorption spectrophotometer (AAS) finish. Samples over five grams per tonne gold were reassayed by fire assay with gravimetric finish. Silver was analyzed by aqua regia digestion and inductively coupled plasma emission spectrophotometer (ICP-ES) finish while samples over 100 grams per tonne silver were reassayed by multiacid digestion and AAS finish. Blank, standard and duplicate samples were routinely inserted for quality assurance and quality control.

We seek Safe Harbor.