Continental Gold to Voluntarily Relinquish Certain Mineral Rights in the Paramo Park in the Department of Santander, Colombia

Continental Gold to Voluntarily Relinquish Certain Mineral Rights in the Paramo 
Park in the Department of Santander, Colombia 
TORONTO, ONTARIO -- (Marketwire) -- 02/06/13 -- Continental Gold
Limited (TSX:CNL)(OTCQX:CGOOF) ("Continental" or the "Company")
announces today that it has voluntarily initiated the process of
relinquishing to the National Mining Agency 1,001 hectares of its
mineral exploration rights located in the Santander region within the
newly-declared 11,700 hectare-area Parque Natural Regional Paramo de
Santurban (the "Paramo Park"). The Company intends to retain its
remaining 3,471 hectares of mineral exploration rights in the
Santander region not impacted by the Paramo Park boundaries as it
considers the ground prospective for precious metals.  
The Paramo Park is located in the Department of Santander, Colombia,
approximately 579 kilometres north-east of the Company's flagship
Buritica project located in the Department of Antioquia, Colombia.
The Buritica project remains unaffected by this declaration.  
The declaration was approved last month by the Corporacion Autonoma
Regional para la Defensa de la Meseta de Bucaramanga ("CDMB")
(Regional Autonomous Corporation for the Bucaramanga Plateau) to
protect the environmentally-sensitive region essential for water,
climate regulation and carbon sequestration.  
"Our mineral rights in the Santander region are not a core focus of
Continental Gold," commented Mark Moseley-Williams, President and
COO. "Now that the Paramo Park boundaries have been established, our
decision to relinquish these mineral rights is the right thing to do.
We understand what the Colombian government is attempting to
accomplish and we respect their decision." 
About Continental Gold 
Continental Gold Limited is an advanced-stage exploration and
development company with an extensive portfolio of 100%-owned gold
projects in Colombia. Spearheaded by a team with over 40 years of
exploration and mining experience in Colombia, the Company is focused
on advancing its high-grade Buritica gold project to production. On
October 1, 2012, the Company announced an updated mineral resource
estimate for the Buritica project, prepared in accordance with
Canadian National Instrument 43-101, which covers two major vein
systems, with combined Measured and Indicated mineral resource of
3,740,000 tonnes of mineralized material containing 1,640,000 ounces
of gold grading 13.6 g/t gold, 4,600,000 ounces of silver grading 38
g/t silver, and 55,800,000 pounds of zinc grading 0.7% zinc. The
combined Inferred mineral resource is 13,330,000 tonnes of
mineralized material containing 3,760,000 ounces of gold grading 8.8
g/t gold, 14,200,000 ounces of silver grading 33 g/t silver and
156,500,000 pounds of zinc grading 0.5% zinc. For additional
technical information on the Buritica project, please refer to the
Company's technical report entitled "2012 Mineral Resource Estimate
of the Buritica Gold Project, Colombia" dated November 15, 2012 with
an effective date of October 22, 2012, prepared by Andrew J Vigar,
BAppSc Geo, FAusIMM, MSEG, and Martin Recklies, BAppSC Geo, MAIG,
each of Mining Associates Pty Limited, available on SEDAR at
www.sedar.com, on the OTCQX at www.otcmarkets.com and on the Company
website at www.continentalgold.com.  
In August 2012, Continental achieved an important milestone,
receiving formal approval for the modification of its existing
Environmental Impact Assessment. The amendment allows the Company to
build a six-kilometre switchback road and begin underground
development by constructing a one-kilometre access tunnel. With a
goal of being the newest hard-rock gold producer in Colombia,
Continental has commenced the construction of the access tunnel,
which will initially provide access for underground drilling and
eventually used for commercial production. The objective of the drill
program underway at the Buritica project is to further delineate the
mineral resource and drill new target zones identified within its
concessions.  
The scientific and technical information contained in this press
release has been reviewed and approved by Mark Moseley-Williams,
President and Chief Operating Officer of the Company, who is a
qualified person within the meaning of NI 43-101. 
Forward-Looking Statements 
This press release contains or refers to forward-looking information
under Canadian securities legislation, including statements regarding
the estimation of mineral resources, exploration results, potential
mineralization, exploration and mine development plans, and timing of
the commencement of operations, and is based on current expectations
that involve a number of business risks and uncertainties.
Forward-looking statements are subject to significant risks and
uncertainties, and other factors that could cause actual results to
differ materially from expected results. Readers should not place
undue reliance on forward-looking statements. Factors that could
cause actual results to differ materially from any forward-looking
statement include, but are not limited to, failure to convert
estimated mineral resources to reserves, capital and operating costs
varying significantly from estimates, the preliminary nature of
metallurgical test results, delays in obtaining or failures to obtain
required governmental, environmental or other project approvals,
political risks, uncertainties relating to the availability and costs
of financing needed in the future, changes in equity markets,
inflation, changes in exchange rates, fluctuations in commodity
prices, delays in the development of projects and the other risks
involved in the mineral exploration and development industry.
Forward-looking statements are subject to significant risks and
uncertainties, and other factors that could cause actual results to
differ materially from expected results. Readers should not place
undue reliance on forward-looking statements. These forward-looking
statements are made as of the date hereof and the Company assumes no
responsibility to update them or revise them to reflect new events or
circumstances other than as required by law. 
Differences in Reporting of Resource Estimates 
This press release was prepared in accordance with Canadian
standards, which differ in some respects from United States
standards. In particular, and without limiting the generality of the
foregoing, the terms "inferred mineral resources," "indicated mineral
resources," "measured mineral resources" and "mineral resources" used
or referenced in this press release are Canadian mining terms as
defined in accordance with National Instrument 43-101 - Standards of
Disclosure for Mineral Projects under the guidelines set out in the
Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM")
Standards on Mineral Resources and Mineral Reserves (the "CIM
Standards"). The CIM Standards differ significantly from standards in
the United States. While the terms "mineral resource," "measured
mineral resources," "indicated mineral resources," and "inferred
mineral resources" are recognized and required by Canadian
regulations, they are not defined terms under standards in the United
States. "Inferred mineral resources" have a great amount of
uncertainty as to their existence, and great uncertainty as to their
economic and legal feasibility. It cannot be assumed that all or any
part of an inferred mineral resource will ever be upgraded to a
higher category. Under Canadian securities laws, estimates of
inferred mineral resources may not form the basis of feasibility or
other economic studies. Readers are cautioned not to assume that all
or any part of measured or indicated mineral resources will ever be
converted into reserves. Readers are also cautioned not to assume
that all or any part of an inferred mineral resource exists, or is
economically or legally mineable. Disclosure of "contained ounces" in
a resource is permitted disclosure under Canadian regulations;
however, United States companies are only permitted to report
mineralization that does not constitute "reserves" by standards in
the United States as in place tonnage and grade without reference to
unit measures. Accordingly, information regarding resources contained
or referenced in this press release containing descriptions of our
mineral deposits may not be comparable to similar information made
public by United States companies.
Contacts:
Continental Gold Limited
Nisha Hasan
Director, Investor Relations
+1.416.583.5611
info@continentalgold.com
www.continentalgold.com