PGR Paragon Minerals Corp.

AndeanGold Ltd. ("the Company" or "AndeanGold") (TSX VENTURE:AAU) is pleased to
announce that it has signed a Memorandum of Understanding (the "MOU") with
Gitennes Exploration Inc. ("Gitennes") (TSX VENTURE:GIT) to acquire a 60% Joint
Venture ("JV") interest in Gitennes' Urumalqui Au-Ag Project (the "Project").
The Project is located in the Department of Libertad, Peru, approximately 70 km
east of the city of Trujillo. The Project consists of four (4) contiguous
concessions totaling 2,700 hectares, and is located at elevations ranging from
3,400 - 3,700 metres.


Mineralization at the Urumalqui Project is hosted in volcanics and is comprised
of several gold-silver quartz veins. Vein mineralogy and textures and associated
alteration are characteristic of low- sulphidation, vein-style, epithermal,
mineralization.


Gitennes acquired an interest in the Project in 2002 by way of a joint venture
with Meridian Gold Inc. The joint venture was terminated in mid-2005, upon which
Gitennes assumed 100% ownership of the Project. Work on the property since
January 1, 2003 includes grid-controlled soil sampling, two episodes of IP and
magnetic geophysics surveying, three phases of core drilling (approximately
7,336 metres in 47 holes) and preliminary metallurgical testing.


A NI 43-101 Report (the "Report") was prepared on the Project, dated March 30,
2009 (See Gitennes technical report filing at www.sedar.com). Based on the
Report:




--  The principal target on the property, among several mineralized vein
    structures, is referred to as the Urumalqui Vein (the "Vein"), which is
    a near-vertical feature, up to 20 metres wide, containing a core of one
    or two banded quartz veins ranging from 0.5 to 11 metres aggregate
    thickness, and intervening oxidized vein breccias and altered volcanic
    rocks. The Vein is exposed at surface over a strike length of 1,500
    metres and consists of eight vein segments, ranging in length from 40
    metres to 400 metres. For the most part, vein outcrop is continuous
    along each segment. 
    
--  Much of the silver and gold mineralization is hosted within the vein
    quartz and is surrounded by a broad, lower grade envelope of
    disseminated Au-Ag material. Most of the silver occurs as argentite with
    the remainder being alloyed with gold as electrum. 
    
--  The majority of the drilling to date has been focused on the 1,000 metre
    long central and southeastern segment of the Urumalqui Vein and from the
    surface down to about 200 metres vertical depth. Some of the noteworthy
    reported drill intersections were: 
    

------------------------------------------------------------------
                                      TRUE                        
DRILL           FROM         TO      WIDTH     AU      AG  AUE (i)
HOLE #       (Metres)   (Metres)   (Metres)   G/T     G/T      G/T
------------------------------------------------------------------
------------------------------------------------------------------
                                                                  
URU03-01       32.75      40.30       7.09   1.55  112.00     3.42
------------------------------------------------------------------
URU03-03       94.35      98.30       3.11   2.91  179.20     5.90
------------------------------------------------------------------
URU03-05       65.85      69.05       2.45   2.29  189.80     5.45
------------------------------------------------------------------
URU03-07      156.05     162.65       4.06   2.29  196.10     5.56
------------------------------------------------------------------
URU03-09      133.80     147.00       8.48   2.01  211.60     5.54
------------------------------------------------------------------
URU04-32      128.50     132.40       2.30   2.84  194.70     6.09
------------------------------------------------------------------
URU04-33      197.95     204.80       3.42   1.31  293.30     6.20
------------------------------------------------------------------
URU08-36       60.15      62.15       1.53   3.05  493.00    11.27
------------------------------------------------------------------
URU08-42      156.05     162.50       4.40   2.48  157.18     5.10
------------------------------------------------------------------
URU08-45      211.90     222.80       8.59   1.91  191.72     5.11
------------------------------------------------------------------
                                                                  
    (i) AUE = Gold equivalent based on a 60:1 Ag - Au ratio and   
                    assuming 100% recoveries .                    
------------------------------------------------------------------



For the 35 holes (5,835m) drilled in the Urumalqui Vein to date, the average
vein intersection width and weighted average Au and Ag grades were 3.31 metres
of 1.33 g/t Au and 154 g/t Ag 




--  The drilling was done on relatively widely-spaced centres, from 45 to
    over 100 metres. In the few holes that were deeper than 200 metres, the
    Vein structure remained strong and mineralized. All holes appear to have
    been in the "boiling zone", based upon vein textures, and the potential
    for good mineralization at deeper levels than those tested thus far is
    considered to be good. 
    
--  Mineralization is open along strike and recent drill results suggest
    that further drilling on the 400 to 500 metre-long Northwestern Segment
    of the same Vein structure is warranted. 
    
--  Based on preliminary metallurgical test results to date on core and rock
    samples, which entailed a combination of gravity, flotation and cyanide
    test work, it may be possible to achieve favorable recoveries by a
    combination of crushing and milling, followed by gravimetric separation
    and cyanide leaching. However, additional metallurgical tests will be
    required to determine the ultimate method of recovering gold and silver
    at the Project. 
    



Pursuant to the MOU, AndeanGold's Peruvian subsidiary, PeruGold Resources S.A.C.
("PGR"), will sign an Option and Mining Assignment Agreement with Gitennes'
Peruvian Subsidiary, Minera Corimalqui S.A. ("MC"), the concessions titleholder.
In addition, Gitennes and AndeanGold will sign a Parent Company Agreement, and
the Peruvian subsidiaries will sign a Partners' Agreement, which will
principally cover the formation of a new Peruvian company ("Newco") that will be
responsible for the Project's JV activities once PGR has fulfilled its earn-in
requirements under the Option and Mining Assignment Agreement. PGR will be
entitled to exercise its option and earn a sixty (60) percent shareholder's
interest in Newco by:




a.)  Expending $3 million of qualifying expenditures on the Project over a  
     four (4) year term (the "Term"),                                       
b.)  Completing 3,000 metres of drilling by the end of the second year of   
     the Term and 7,000 metres of cumulative drilling by the end of the     
     third year of the Term, and                                            
c.)  AndeanGold issuing Gitennes 200,000 publicly traded shares of the      
     Company, each, within five (5) days of signing the agreements and on   
     the first, second and third year anniversaries of signing the          
     agreements.                                                            
                                                                            
     Except for the first payment, Gitennes may elect to receive cash in    
     lieu of shares, with the cash amount not to exceed $25,000, $50,000 and
     $100,000 with respect to the first, second and third year anniversary  
     date payments, respectively. If the market value of the shares on the  
     respective payment dates exceed the maximum cash payment amount on such
     date, the difference will be satisfied by the issuance of equivalent   
     shares.                                                                



Upon PGR exercising its option, MC will transfer the mining titles to the
Project's concessions to Newco.


The MOU shall remain in full force and effect provided that in the event the
JV-related agreements are not executed and delivered by April 30, 2010 other
than as a result of unreasonable delay by Gitennes, the MOU may be terminated by
either Party upon giving five (5) days notice to the other Party.


This transaction is subject to acceptance by the TSX Venture Exchange.

Mr. Anthony F. Ciali, President and CEO, stated, "We are extremely pleased at
the opportunity to add a high-quality, advanced-staged Au-Ag exploration
project, such as Urumalqui, to the Company's portfolio in Peru. The Urumalqui
Vein mineralization is open along strike and at depth, and the style of
mineralization can reach depths of 400 to 600 metres. Future drilling programs
will include both infill and deeper drilling to obtain accurate data for future
resources / reserves calculations and to determine the depth potential of the
Urumalqui Vein mineralization."


Dr. William F. Lindqvist, a director of AndeanGold, is the Qualified Person in
compliance with National Instrument 43-101 with respect to this release.


About AndeanGold Ltd:

AndeanGold Ltd. is engaged in the acquisition, exploration and potential
development of primarily precious metals properties, principally in Peru and
Ecuador. The focus of the Company's exploration activities is presently in
advancing its Rio Seco Project, as well as pursuing mineral property
acquisitions, in Peru. In Ecuador, the Company's activities have been limited to
administrative and legal matters due to the Mining Mandate issued by the Ecuador
Constituent Assembly on April 18, 2008. On November 4, 2009, President Correa
signed the Mining Regulations into law pursuant to the requirements of the new
Mines Law, which was passed in January 2009. This was the final legal precursor
to the re-initiation of exploration and mining development in Ecuador. The
Company has filed the requisite documents with the Ministry of Non-Renewable
Natural Resources in support of the Company's request to renew exploration
programs on its key projects in Ecuador. The Company looks forward to working
with government officials to this end.


Please refer to AndeanGold's website at www.andeangoldltd.com for further
information on the Company's projects and activities.


On Behalf of the Board of Directors of ANDEANGOLD LTD.

Anthony F. Ciali President, CEO and Director

Paragon Minerals Corp. (TSXV:PGR)
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