Gran Colombia Gold Announces Additional Purchases of Shares by Members of Senior Management and the Board of Directors of the Company

TORONTO, Aug. 28, 2012 /PRNewswire/ - Gran Colombia Gold Corp. (TSX: GCM) announced that subsequent to its August 22, 2012 press release, Maria Consuelo Araujo, Chief Executive Officer, and Executive Co-Chairmen, Serafino Iacono and Miguel de la Campa have purchased an aggregate of 120,000, 130,000 and 130,000 common shares of the Company, respectively, at an average price per share of $0.321, $0.310 and $0.310, respectively. The shares were purchased between August 23 and August 27, 2012 on the open market.

Together with additional recent share purchases by other members of senior management and the Board of Directors, total insider ownership now represents 5.4% of the issued and outstanding shares of the Company.

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. In addition, Gran Colombia is advancing a project to develop a large-scale, gold and silver mine at its Marmato operations.

Additional information on Gran Colombia can be found on its website at www.grancolombiagold.com and by reviewing its 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.