Azteca News 2008

Azteca Gold Corp. Updates Two Mile Project Drilling and Announces $1.25m Financing

Spokane, Washington – Matthew Russell, President of Azteca Gold Corp. (the "Company") announces that the Company is undertaking a non-brokered private placement of CAD $1,250,000, subject to regulatory approval.  25,000,000 units will be issued at CAD $0.05 per unit.  Each unit consists of one common share and one half of a warrant.  Each whole warrant entitles the holder to subscribe for an additional common share for CAD $0.25 for a period of 2 years from closing. Management expects to participate in this placement in an amount of up to CAD $500,000.

The funds will be used for drilling and assaying expenses at the Company's 50% owned Two Mile Project, as well as for general corporate purposes.

Two Mile Project Drilling Update
Diamond drill core hole DDH-006 was started on December 10th.  The core hole will be HQ-size down to at least 4,000 FT to facilitate a potential future wedge-off drilling point that could be used to develop a mineral resource.  Below the wedge-off point, the core hole will be narrowed down to NQ-oversize to reduce the drilling friction and increase the depth capability of the high-strength NRQ drill rods. Target Total Depth (“TD”)  has not been decided at this time. 

Diamond drill core hole DDH-005B is in the process of being wedged-off of hole DDH-005A at a depth of approximately 4,000 FT.  High strength NRQ drill rods and an oversize NQ drill bit are also being used for hole DDH-005B to reduce drilling friction and increase the likelihood of being able to achieve the target TD of 9,500 FT.

The information contained in this news release has been reviewed and approved by Matthew Russell, President and CEO and the Company's Qualified Person as defined in National Instrument 43-101.

For further information, please contact:

Jon Slizza, VP of Finance

Cell: 1-509-981-2020
Email: info@azteca-au.com  

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

WARNING: the Company relies upon litigation protection for “forward looking” statements. The information in this release may contain forward-looking information under applicable securities laws.  This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied by the forward-looking information.  Factors that may cause actual results to vary material include, but are not limited to, inaccurate assumptions concerning the exploration for and development of mineral deposits, currency fluctuations, unanticipated operational or technical difficulties, changes in laws or regulations, the risks of obtaining necessary licenses and permits, changes in general economic conditions or conditions in the financial markets and the inability to raise additional financing.  Readers are cautioned not to place undue reliance on this forward-looking information.  The Company does not assume the obligation to revise or update this forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events, except as may be required under applicable securities laws.

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