Antofagasta Gold Signs Definitive Option Agreement to Acquire Approximately 293,500 Hectares (2,935 Square km) in Premier Cop...

Antofagasta Gold Inc. ("Antofagasta" or the "Company") (TSX VENTURE:AN) has
entered into a Definitive Option Agreement to earn an 80% interest in the
Atacama Copper Property ("Property"). The Property consists of approximately
293,500 hectares (2,935 square kilometers) in Chile's Antofagasta Region II,
home to some of the world's largest copper mining operations and covering a
large undrilled portion of the highly prospective Jurassic and Paleocene-Early
Miocene copper porphyry belt.


The Property is located approximately 40 km north east from the city of
Antofagasta, and is traversed by major highways, railways, desalination
pipelines and high-tension power lines, some of which service existing operating
copper mines in the region and are subject to easement agreements which will be
assumed by the Company. The claim block follows the Antofagasta Calama Lineament
covering roughly 120 km of the north south striking Chilean Copper Belt and is
surrounded by several major producing copper mines. Operating mines within a 15
km radius of the Property boundary include Spence (BHP Billiton), Lomas Bayas
(Glencore Xstrata), Mantos Blancos (Anglo American), Tesoro (Antofagasta
Minerals/Marubeni) and Esperanza (Antofagasta Minerals/Marubeni). These mines
currently account for over 600,000 tonnes of estimated annual copper production.
A map showing the outline of the claim blocks and the location of the larger
mines in the immediate area can be found here:
http://media3.marketwire.com/docs/atacama_project.pdf.


William Randall (M.Sc., P.Geo), President & CEO of Antofagasta Gold, commented:
"We are excited to commence exploration on a significant land package that is
virtually unexplored, situated in the heart of the world's premier copper mining
district. The location, size, scope and history of this exceptionally large
property package make it a rare and unique opportunity, and significant event,
for Antofagasta Gold and its shareholders." 


Most of the copper porphyry deposits in the region belong to the Paleocene-Early
Eocene world class Copper - Molybdenum porphyry belt which extends from southern
Peru to northern Chile for a distance of over 1300 km. The Spence copper -
molybdenum mine, one of the more recent major discoveries in the immediate
region, is located 4 km west of the Atacama Copper property boundary. The
property was discovered under 60 metres of gravel cover by Rio Algom in 1996 and
is related to three Paleocene dacite porphyry intrusive and tourmaline breccias
aligned north east - south west. Spence has a 20 m thick oxide zone followed by
a well developed enrichment blanket averaging approximately 60 m in thickness.
The deposit lies on the intersection of prominent north east and north west
trending structural lineaments. 


Vernon Arseneau (P.Geo), VP Exploration of Antofagasta Gold, commented: "It
isn't often that geologists get the opportunity to explore such a large area
that is both strategically located and has seen little to no previous metallic
exploration work. The area was previously held by industrial minerals focused
groups that did not explore for copper deposits. In some cases these claims have
gone unexplored for base and precious metals since the late 1800's. Our team is
already working in the area and we are ready to start exploration using our
current field base and personnel. Compilation work has commenced will continue
as the first phase of the work program in order to ensure a full data set for
target selection and initial ground work." 


Terms of the Agreement 

Antofagasta has entered into a four year definitive option agreement to earn an
80% interest in the Atacama Copper project (the "Option Agreement"). To earn
this interest, Antofagasta will be required to pay to the Vendor certain annual
payments and complete certain minimum work commitment expenditures over a four
year period on a per hectare basis as follows: (i) USD$1.00 per hectare on
signing; (ii) USD$3.00 per hectare on July 26, 2014; (iii) USD$6.00 per hectare
on July 26, 2015; (iv) USD$15.00 per hectare on July 26, 2016; and (v) USD$30.00
per hectare on July 26, 2017. The initial payment on signing has been made.


In addition, the Company has committed to incur exploration and development
expenditures on the claims over the option term as follows: (i) USD$5.00 per
hectare by July 26, 2014; (ii) USD$10.00 per hectare by July 26, 2015; (iii)
USD$30.00 per hectare by July 26, 2016; and (iv) USD$60.00 per hectare by July
26, 2017. 


The Company will be able to exercise the option on a maximum of 50,000 ha (500
square kilometers) at its discretion. The Company is not restricted in the
selection of the area it chooses to retain, allowing it to retain the high
priority targets it successfully identifies in the early stage exploration
program. The terms of the agreement consist of total obligations that are not to
exceed US$6.25 million over 48 months in work commitment in addition to a
maximum cash payments totalling US$3,593,500. At all times during the term of
the Option Agreement, the Company has the right to relinquish any parts of the
Atacama Copper Property back to the Vendor with no further liability or payment
obligations. 


The Vendor will retain a 3% Net Smelter Royalty on all metallic minerals. 

About Antofagasta Gold

Upon entering into a definitive option agreement regarding the Atacama Copper
Property, Antofagasta Gold will have three properties under option covering
approximately 326,000 hectares. All the properties are within the Antofagasta
region of Chile, at low altitudes and within producing mining camps. 


The Company currently has approximately $4,700,000 cash (as of March 31st,
2013). The remaining property payments for all properties held by Antofagasta
Gold total $550,000 for the remainder of 2013. Total payments currently
committed to for 2014 are expected to be $1,330,000 and remaining work
commitments for 2013 & 2014 combined are expected to be approximately
$1,545,000. The Pampas El Penon and Atacama Copper option agreements allow for
further reduction in land size, therefore reducing property payments and
exploration commitments further, if necessary. 


The technical and scientific aspects of this news release have been reviewed and
approved by Mr. Vernon Arseneau, P.Geo, who has been designated as a qualified
person pursuant to NI 43-101. As the Vice President of Exploration of the
Company, Mr. Arseneau is not considered independent.


On behalf of the Board of Directors of Antofagasta Gold Inc

William Randall, President, and CEO

Cautionary Note Regarding Forward-Looking Information and Mineral Resources: 

This press release contains "forward-looking information" within the meaning of
applicable Canadian securities legislation. Forward-looking information
includes, but is not limited to, statements (express or implied) relating to the
option agreement, the exploration and development of the Atacama Copper
Property, the anticipated results relating to the exploration and development of
the Atacama Copper Property, production results and/or the impact of such
production results with respect to the timing, cost and/or amount of future
exploration and development of any property, the timing, cost and/or amount of
future production, the future price of gold, copper or other minerals, the
successful implementation of development plans at any of the Company's
properties and/or the future financial or operating performance of Antofagasta,
its properties and/or its projects. Generally, forward-looking information can
be identified by the use of forward-looking terminology such as "plans",
"expects" or "does not expect", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that certain
actions, events or results "may", "could", "would", "might" or "will be taken",
"occur" or "be achieved". Forward looking information is subject to known and
unknown risks, uncertainties and other factors that may cause the actual
results, level of activity, performance or achievements of the Company, its
properties and/or its projects to be materially different from those expressed
or implied by such forward-looking information, including but not limited to
those risks described in the annual information form of the Company, which is
available under the profile of the Company on SEDAR. Although the Company has
attempted to identify important factors that could cause actual results to
differ materially from those contained in forward-looking information, there may
be other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such information will prove to be
accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue
reliance on forward-looking information. The Company does not undertake to
update any forward-looking information, except in accordance with applicable
securities laws. It should also be noted that mineral resources that are not
mineral reserves do not have demonstrated economic viability. 


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts responsibility
for the adequacy or accuracy of this release.


FOR FURTHER INFORMATION PLEASE CONTACT: 
William Randall
(416) 309-2697
wrandall@antofagastagold.com
Arena Minerals (TSXV:AN)
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