Seafield Resources Ltd. has consolidated a strong foothold as the major incumbent in the highly prolific Quinchia gold district of Colombia.  Located in the Department of Risaralda, the Mid Cauca porphyry area is the site of a number of important, large open-pit, gold discoveries.  Included amongst these discoveries are the 16.3 mn ounce, La Colosa deposit of AngloGold Ashanti and the 12.4 mn ounce deposit of Marmato, owned by Gran Colombia Gold.

Shifts in Colombia Government policy and a focus on improving security since the 2002 election of Alvaro Uribe Velez have played a critical role in the resurgence in Colombia’s mining and energy sectors.  Colombia has had a huge increase in its FDI (Foreign Direct Investment) reaching an all time high of +$10.6bn in 2008, averaging $5.7bn/year in the 2000’s after averaging just $1.8bn in the 1990’s.  Mining and Energy have attracted the most FDI in recent years.  The Ministry of Mines has stated that it wishes Colombia to become one of the leading mining countries in South America by the year 2019.  The following changes have been critical to the FDI boom: 1) Modern mining legislation 2) legal stability contracts 3) investment in security 4) infrastructure investment 5) oil sector liberalization 6) Renewable energy incentives and 7) openness to Privatization.

The Quinchia Project is made up of 6,757 hectares of land and contains a number of potential prospects.

Miraflores Breccia Pipe

The Miraflores property is located within the Quinchia gold mining district and has been the site of artisanal mining since Pre-Columbian times. The Miraflores deposit occurs within a hydrothermal breccia pipe which is roughly circular in shape, measuring some 280 metres by 250 metres in outcrop.  It has been traced by drilling for over 600 metres in vertical extent and remains open at depth. Recently updated geological interpretations show that the breccia pipe is wider at depth than previously thought.

Miraflores holds a NI 43-101 compliant resource that includes a Measured and Indicated resource of 1,925,542 ounces of gold grading 0.8 g/t gold contained in 77,841,000 tonnes at a cut off grade of 0.3 g/t Au.  Additionally, the resource contains an Inferred resource of 103.043 ounces of gold grading 0.6 g/t gold in 5,526,000 tonnes at a cut off grade of 0.3 g/t Au (see the Company’s Press Release dated January 31, 2012).

Measured & Indicated Resource Estimates for Miraflores:

	Measured Category			Indicated Category			Total Measured & Indicated
Cut-off	Tonnes(1,000)	Grade (g/t)	Gold (Oz) (1,000)	Tonnes (1,000)	Grade (g/t)	Gold (Oz) (1,000)	Tonnes (1,000)	Grade (g/t)	Gold (Oz) (1,000)
0.2	36,635	0.5	636	68,451	0.7	1,496	105,086	0.6	2,132
0.3	28,511	0.6	577	49,330	0.9	1,348	77,841	0.8	1,926
0.4	20,234	0.8	488	35,167	1.1	1,210	55,401	1.0	1,698
0.5	14,667	0.9	415	25,892	1.3	1,086	40,559	1.2	1,501
0.6	10,701	1.0	347	19,930	1.5	987	30,631	1.4	1,334
0.7	7,980	1.2	295	15,868	1.8	908	23,848	1.6	1,203
0.8	6,279	1.3	254	13,113	2.0	843	19,392	1.8	1,098

Inferred Resource Estimate for Miraflores:

Tonnes (1,000)	16,214	5,526	3,206	2,480	2,159	1,150	894
Cut-off	0.2	0.3	0.4	0.5	0.6	0.7	0.8
Grade (g/t)	0.3	0.6	0.8	0.9	0.9	1.2	1.3
Inferred Resource Estimate (Oz)	172,022	103,043	79,366	70,164	64,553	43,997	38,227

Dosquebradas Gold-Copper Porphyry

At Dosquebradas, gold-copper porphyry style mineralization is hosted in diorites, basalts and mixed intrusive breccias. Pyrite, chalcopyrite, molybdenite and magnetite occur with or without quartz in veinlets, stockworks, disseminations and replacements in hydrothermally altered rock.  To date, the main zone of mineralization covers an area of 400 m by 300 m and to a depth of about 600 m.

Seafield has announced an initial mineral resource estimate for its Dosquebradas gold-copper prospect in the Quinchia district, Colombia.  To date the Dosquebradas prospect contains inferred resources of 57.79 million tonnes grading 0.5 g/t gold and 0.04% copper at a cutoff grade of 0.3 g/t gold for a total of 920,772 ounces of gold. By assigning a gold equivalence to the contained copper using the parameters indicated in the table notes below, the total resource estimate increases to 1,049,790 gold equivalent ounces at a grade of 0.56 g/t gold-equivalent (see Company’s Press Release dated December 13, 2011).

Table 1.  Total Inferred Resources^** for the Dosquebradas Prospect

Cutoff Grade Au (g/t)	Tonnes (‘000)	Au (g/t)	Cu (%)	AuEq (g/t)	Gold Ounces	Copper lbs. (‘000)	AuEq Ounces
0.3	57,794	0.50	0.04	0.56	920,772	56,768	1,049,790
0.4	34,593	0.60	0.05	0.68	664,609	38,428	751,947
0.5	20,206	0.71	0.06	0.79	459,097	24,867	515,614

** Mineral Resources do not have demonstrated economic viability. An Inferred Mineral Resource is that part of the mineral resource for which quantity and grade can be estimated on the basis of geological evidence and limited sampling and reasonable assumed, but not verified geological and grade continuity.  AuEq Oz = Gold-equivalent ounces.  AuEq (g/t) has been calculated using long-term prices for gold ($1,100/oz) and copper ($2.50/lb). Economic parameters have not been used for AuEq calculation.  AuEq Formula:  AuEq g/t = Au g/t + [(Cu% x 22.0462 x 2.50)/(1100/31.1)] g/t.  No adjustment has been made for metallurgical recoveries. All quantities are rounded to the appropriate number of significant figures, consequently numbers may not add up due to rounding