Gran Colombia files amended and restated preliminary prospectus for equity Offering

/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

TORONTO, Feb. 19, 2014 /CNW/ - Gran Colombia Gold Corp. (TSX: GCM) ("Gran Colombia" or the "Company") announced today the filing of an amended and restated preliminary short form prospectus in all of the provinces of Canada, except Quebec, which amends the prospectus filed on November 19, 2013.

The amended and restated preliminary short form prospectus reflects the Company's recent developments, as described in the press release dated February 3, 2014. The amendments include a change in management and the Company's intention to use a portion of the net proceeds of the Offering to repay the previously announced bridge loan. The balance of the net proceeds will be used to maintain the financial flexibility of the Company, including the funding of efforts to improve operating cash flow, grow production and expand its resources at the Segovia project.

As previously announced in the Company press release dated November 19, 2013, this amended and restated prospectus is filed in connection with a "best efforts" offering of a minimum of $7,000,000 up to a maximum of $15,000,000 of units (the "Units") of Gran Colombia (the "Offering") at a price per Unit to be determined in the context of the market. GMP Securities L.P. (the "Agent") will act as the lead agent in respect of the Offering.

Each Unit will consist of one common share in the capital of the Company (each, a "Common Share") and one-half of one common share purchase warrant (each whole common share purchase warrant, a "Warrant"). Each Warrant will entitle the holder thereof to purchase one Common Share at a price to be agreed upon between the Agent and the Company. Warrants will expire five years following the closing of the Offering (the "Closing Date"). The Warrants will be subject to an accelerated expiration date in certain circumstances, as more particularly described in the amended and restated preliminary short form prospectus.

The Agent will also have the option to purchase from the Company additional Units up to a number equal to 15 percent of the Units issued under the Offering during the 30 day period immediately following the Closing Date.

The closing of the Offering is subject to certain conditions including, but not limited to, the execution of a definitive agency agreement with the Agent, receipt of all necessary regulatory and stock exchange approvals including the receipt of listing approval by the Toronto Stock Exchange.

The Closing Date will take place within 30 days of the receipt for the final short form prospectus in respect of the Offering, or such other date agreed upon by the Company and the Agent. For more information, potential investors should read the amended and restated preliminary short form prospectus, together with the documents incorporated by reference therein, including the risk factors. A copy of the amended and restated preliminary short form prospectus will be available on the SEDAR website at www.sedar.com.

The securities offered have not and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any U.S. State securities laws and may not be offered or sold, directly or indirectly, within the United States or its territories or possessions or to or for the account of any U.S. person (as defined in Regulation S under the U.S. Securities Act) other than pursuant to an available exemption from the registration requirements of the U.S. Securities Act. This news release does not constitute an offer to sell or a solicitation of an offer to buy any such securities within the United States, or its territories or possessions, or to or for the account of any U.S. person.

About Gran Colombia Gold Corp.:

Gran Colombia is a Canadian-based gold and silver exploration, development and production Company with its primary focus in Colombia. Gran Colombia is currently the largest underground gold and silver producer in Colombia with several underground mines in operation at its Segovia and Marmato Operations. Gran Colombia is currently advancing a project to develop a modern, large-scale, gold and silver mine at its Segovia operations.

Additional information on Gran Colombia can be found on the Company's website at www.grancolombiagold.com and by reviewing the Company's profile on SEDAR at www.sedar.com.

Cautionary Statement on Forward-looking Information

This news release contains "forward-looking information", which may include, but is not limited to, statements with respect to the future financial or operating performance of the Company and its projects. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or believes" or variations (including negative 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 statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Gran Colombia to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release and Gran Colombia disclaim, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.

SOURCE Gran Colombia Gold Corp.