AndeanGold's Rio Seco Project, Peru is Fully Permitted to Commence Phase I Drilling Program

AndeanGold Ltd. ("the Company" or "AndeanGold") (TSX VENTURE:AAU) is pleased to report that the Company's wholly owned Peruvian subsidiary, PeruGold Resources S.A.C. ("PGR"), has signed an agreement with the surface owner of the Rio Seco Project area, a government unit of the Department of Libertad, which was the final prerequisite in order to commence the Phase I drilling program. PGR has authorized A.K. Drilling International S.A. ("AKD"), based in Lima, Peru, to mobilize the drill rig pursuant to the drilling agreement recently signed by the parties. AKD Drilling has advised that the drill rig will be mobilized on September 25, 2009.

The Rio Seco Project is a gold property (approximately 3,325 hectares) with associated silver and copper, located in the Department of Libertad, Peru. To date, four mineralized zones and ten main vein systems have been identified. The West Zone has been identified as the principal mineralized trend. It lies within a shear system created by two major N-S faults and exhibits both potential open pit stockwork targets and potential underground multiple vein targets. While there are several exploration targets of interest on the Rio Seco Project, the Company's principal interest is the timely testing and advancement of the open pit potential of the stockwork target area, with the objective of establishing a bulk mineable, heap leach mineral resource, if economic grades are present. The drilling program will consist of 1,400 metres of reverse circulation drilling, designed to test the depth, strike extent and grade of the 600x100m Stockwork Target to a depth of 100m, as a follow up to the encouraging assay results from the 2008 and 2009 trenching programs. (See news releases of April 20, 2009 and May 12, 2009)

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. Ecuador recently passed a new Mines Law, which replaces the Mining Mandate, and is working on developing regulations and finalizing terms and conditions of future mining operations. The Company looks forward to working with government officials to this end, and is actively pursuing authorization to reinitiate work programs on its key Ecuadorian projects.

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

SOURCE: AndeanGold Ltd.

AndeanGold Ltd. - Corporate Office
Tony Ciali
609.844.7746
tciali@andeangoldltd.com
www.andeangoldltd.com
Ascenta Capital Partners Inc.
Jim Glass
Investor Relations
604.684.4743 ext. 225 or Toll free: 1.866.684.4743 ext. 225
jim@ascentacapital.com

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