Cabia Goldhills Inc. Announces Progress in Negotiation to Acquire Artisanal High Grade Mines Adjacent to Its Mejia Gold Project in Colombia

MONTRÉAL, May 14, 2012 - Cabia Goldhills Inc. ("Cabia") (TSX VENTURE: CGH) is pleased to announce significant progress in its negotiation with the association of artisanal miners which operates four artisanal mines adjacent to Cabia's 100% owned Mejia Gold Project in the Province of Bolivar, Colombia.

Cabia is in an advanced negotiation for an agreement with the Association de Mineros de Pueblito Mejía (ASOAGROMIPUME) that has the rights of exploration and exploitation of the La Gloria Mine, El Fogaje Mine, Los Romanes Mine and El Turco Mine (the "Mejía Mines"). During the recent meeting of the general assembly of ASOAGROMIPUME, its members empowered their Board of Directors to conclude the final agreement with Cabia.


About the Mejia Mines:

The Mejia Mines are four active artisanal mines exploiting high grade veins. A number of other historical mines and vein systems are also present on the concession.

El Fogaje, Los Romanes and El Turco are underground mines exploiting one of the main veins in the area. Reconnaissance work done by Cabia suggest the presence of a base metal-carbonate type auriferous system with gold mineralization characterized by the presence of massive sulphide mineralization containing sphalerite, galena, pyrite, minor chalcopyrite and quartz. This high-grade vein was sampled by Cabia and returned grades as high as 171.5 g/t Au. The La Gloria Mine is exploiting a second high grade vein with similar geology. Samples taken by Pierre O'Dowd, returned grades as high as 155.5g/t Au, as reported in Cabia's NI-43-101 report on the Mejia Project available on the company's SEDAR profile at http://www.sedar.com.


About the Mejia Gold Project:

The Mejia Gold Project is a 6,946 ha mineral concession located close to sea level and outside any environmentally restricted areas in the Sur de Bolivar region of the Department of Bolivar, Colombia, where intense artisanal mining is present in an under-explored gold district with high potential.


Shareholders meeting:

The annual general meeting of the shareholders of Cabia will be held at 4:30 pm on May 29, 2012 at 1002 Sherbrooke St. West, Suite 2800, Montréal H3A 3L6. All shareholders are welcomed.

Cabia is a TSX-V listed junior exploration company focused upon the exploration and development of gold projects in Colombia. Cabia currently has less than 35 million shares outstanding.


Quality Control and Assurance:

Pierre O'Dowd P. Geo., is the "Qualified Person", as defined by National Instrument 43-101, who has read and approved the technical and scientific information in this news release.


Statements in this press release contain forward-looking information within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Readers are cautioned that assumptions used in the preparation of forward-looking information may prove to be incorrect. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, level of activity, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information. There is no guarantee that the acquisition of the Mejia Mines will be completed.

Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors (many of which are beyond the control of Cabia) that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors could cause results to differ materially from those expressed in the forward-looking information include, but are not limited to: general economic conditions, the risks associated with the mining exploration, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to: operational risks in exploration, development and production; delays or changes in plans; competition for and/or inability to retain other services; competition for, among other things, capital, acquisitions of reserves, undeveloped lands, skilled personnel and supplies; risks associated to the uncertainty of reserve estimates; governmental regulation, including environmental regulation; geological, technical, drilling and processing problems and other difficulties in producing reserves; the uncertainty of estimates and projections of production, costs and expenses; unanticipated operating events or performance which can reduce production or cause production to be shut in or delayed; incorrect assessments of the value of acquisitions; the need to obtain required approvals from regulatory authorities; stock market volatility; access to capital; and other factors. Readers are cautioned that this list of risk factors should not be construed as exhaustive. The forward-looking information contained in this news release is expressly qualified by this cautionary statement. Cabia does not undertake any obligation to update or revise any forward-looking statements to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.



Contact

Cabia Goldhills Inc.
Mr. Maurice Montpetit, Vice President, Business Development
(514) 237-0645

Paradox Public Relations
Mr. Carl Desjardins, Investors Relations
(514) 341-0408