Drilling On Columbus Gold's Dutch Flat Project Confirms Presence Of Gold Mineralization Encountered In Historic Drilling

Vancouver, British Columbia, Canada. January 18, 2007. Columbus Gold Corporation (CGT: TSXV) ("Columbus Gold" or the "Company") is pleased to announce the results of a reverse circulation drilling program at its Dutch Flat Property in Nevada, where Piedmont Mining Company, Inc., is earning an initial 51% interest by funding US$2 million in exploration expenditures.

Seventeen shallow angle holes, totaling approximately 685 metres (m) (2,550 feet), were drilled in an east-west fence extending approximately 388 m (1,275 feet) across part of a previously drilled zone on the property with the objective of confirming the drilling results obtained by AMAX Gold in the late 1980s. Gold grades of 0.34 grams per tonne (g/t) (0.01 ounces per ton (opt) gold or better were intersected in 11 of the 17 holes over intervals ranging from 1.5 m to 12.2 m (5 to 40 feet). A nugget effect was observed in 4 of the holes. The two best holes encountered 7.62 m (25 feet) of 0.45 g/t (0.013 opt) gold, including 1.5 m (5 feet) of 1.10 g/t (0.032 opt) gold, and 3 m (10 feet) of 1.86 g/t (0.055 opt), including 1.5 m (5 feet) of 3.50 g/t (0.102 opt) gold. These intercepts were all encountered within approximately 30 m (100 feet) of the surface.

The latest drilling results are consistent with previous results obtained by AMAX. Accordingly, a second drill program is currently being planned with the objective of extending the known mineralized zone to the west and also to test some of the zones with quartz veining and significant old workings to the south. Drilling to depths of 90 m -- 122 m (300 to 400 feet) is expected to test for vertical continuity.

The Dutch Flat Property consists of 114 mineral claims, covering approximately 953 hectares (2,355 acres), located in Humboldt County, approximately 32 kilometres (20 miles) northeast of the town of Winnemucca, Hot Springs Range, Nevada. The Dutch Flat claims cover all of the historic Dutch Flat mining district which had modest production of gold from both lode and alluvial sources during the early 1900's.

Andy Wallace is a Certified Professional Geologist (CPG) with the American Institute of Professional Geologists and is the Qualified Person under NI 43-101 who has reviewed and approved the technical contents of this news release. Mr. Wallace is a partner of Cordilleran Exploration Company ("Cordex"), which is conducting exploration and project generation activities for Columbus Gold on an exclusive basis.

Columbus Gold Corporation is a gold exploration and development Company operating principally in Nevada. The Company has an experienced management group with a strong background in all aspects

910 - 475 Howe Street
Vancouver, B.C. V6C 2B3
Tel: 604.689.2599 Fax: 604.689.3609
Toll Free: 1.866.689.2599

of the acquisition, exploration, development and financing of precious metal mining projects. Columbus controls a 100% interest, subject to royalties, in 20 gold projects strategically located along or near Nevada's most productive gold trends and 5 silver and copper projects located in Arizona and Utah. The Company's project activities are managed by Cordilleran Exploration Company ("Cordex"), owned and operated by John Livermore and Andy Wallace who have a long and successful history of gold discovery and mine development in Nevada.

The Company maintains active generative (prospecting) and evaluation programs and, as a key element of strategy, broadens exposure, minimizes risk and maintains focus on high priority prospects while seeking industry finance through joint ventures on selected projects. The Company currently has 11 of its projects joint ventured to major and junior mining companies.

Robert Giustra
President & CEO, Director

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

For more information contact:

Ray Lagace
Investor Relations

Allegiant Gold Ltd.

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