Mr. Gary Freeman reports

INDICO PROVIDES UPDATE ON PRIVATE PLACEMENT

Indico Resources Ltd. has closed an initial $938,250 of its non-brokered private placement announced on Jan. 18, 2012, and increased on March 1, 2012. These funds were raised by Indico issuing a total of 3,753,000 common shares at a price of 25 cents per share.

Total commissions of $40,560 and 162,240 broker's warrants were paid by Indico to agents as consideration for arranging this portion of the private placement. Each broker's warrant entitles the holder to purchase one common share of Indico at a price of 25 cents until April 13, 2013.

The securities issued pursuant to this private placement, and any common shares to be issued upon the exercise of the broker's warrants, are subject to a hold period expiring Aug. 14, 2012.

The net proceeds from the private placement are intended to be used to further exploration of the company's Ocana porphyry copper-gold project in Peru and for general working capital purposes. Indico expects to close the balance of its $2-million private placement in the next few weeks.

We seek Safe Harbor.