Colombia Goldfields Reports Update on Mineral Rights, Drilling, and Social Program at Marmato Mountain; Announces Second Quarter Financial Results and Closes C$11,876,200 Private Placement



    (All amounts are reported in U.S. dollars unless otherwise indicated)

    TORONTO, Aug. 14 /CNW/ - Colombia Goldfields Ltd. (the "Company") today
announced an update on the mineral rights acquisition and drilling programs,
as well as a status report on progress on social programs in the Marmato
district. It also announced the unaudited results for the three month period
ending June 30, 2007. During the second quarter of 2007, significant progress
was made towards the Company's objective of consolidating ownership and
defining a bulk-mineable ore body in the Marmato region of Colombia.
Specifically, the Company increased its mineral ownership rights total to
approximately 90% of the legally registered mines, from existing Colombian
titleholders.
    At the close of the second quarter, the Company had one drill operating
at Marmato Mountain. During the quarter, the Company purchased an additional
three drill rigs, including one underground capable of drilling 120 meters of
BTW core which has arrived and will begin drilling this week, and two larger
man portable machines capable of drilling 500 meters of NQ core and which are
due to ship during August. Subsequent to the end of the quarter the drilling
contractor has supplied an additional man portable drill which is currently
operating and can drill to depths of greater than 300 meters. The drilling
contractor has also agreed to supply an additional large diamond drill which
is due to arrive the middle of August, bringing the total number of drill rigs
to six. During the second quarter, a total of 1,049 meters were drilled.
Subsequent to the close of the quarter, an additional 466 meters were drilled.
In addition, underground surveying and cross cut sampling continued with an
additional 324 meters sampled. The total number of underground channel samples
taken to the end of the second quarter is 1,694 meters. Drill samples and
underground samples have been shipped with further assay results expected to
be reported before the close of the third quarter.
    "We are very pleased with our accomplishments during the second quarter.
The Company was able to achieve several important steps towards obtaining 100%
ownership at Marmato. In addition, we now have sufficient drilling capacity to
meet our requirements for the balance of the year," said J. Randy Martin,
President and Chief Executive Officer.
    The Company has signed a contract with Micon International to prepare a
NI43-101 compliant resource estimate and a scoping study, with the intention
to complete both reports by the end of the fourth quarter of 2007. This will
keep Colombia Goldfields on track to complete a feasibility study by the end
of 2008. In addition, the following activities are underway:

    
    -   SGS Lakefield Research is preparing scoping metallurgy and acid rock
        drainage studies
    -   Golder Associates is collecting the geotechnical data in order to
        prepare pit slope determinations and siting study for waste
        facilities
    -   LHC Consultores Ambientales (LHC) Colombia are supervising the
        environmental baseline study
    -   Knight Piesold is validating the environmental data collection and
        management and social impact study to prepare a NI43-101 compliant
        Environmental and Social Impact Study
    -   Compania Agricola de Servicios Especiales S.A. have facilitated the
        Social studies at the project site at Marmato and are currently
        beginning to implement the recommendations provided by the community
    

    Social Program Update

    During the second quarter, the company facilitated the completion of an
important social study of the municipality of Marmato in which the evaluations
and analyses were undertaken by the community itself. The study, supervised by
Compania Agricola de Servicios Especiales S.A., was completed in three stages:
    In Stage One, the mission, vision and objectives of the Company were
presented to all company employees, all Departmental and Municipal
governments, and all other participants in the area of influence of the
project.
    Stage Two involved workshops designed to determine; the origin of the
citizens of the district, the relationship of the community to their present
cultural surroundings, the strengths and weaknesses of the community in
relation to employment and levels of education and training, and the
relationship of the members of the community to their living conditions and
the vulnerability of the town of Marmato to environmental damage. Lastly, the
relationship of the people, families and the community to their housing and
their town including an evaluation of urban designs of the new town of Marmato
planned at El Llano.
    The Third and final Stage consisted of coordinating and tailoring the
projects to meet the requirements of the Territorial Planning Scheme.
    At these workshops, the conclusions were formulated by the community
itself, and included proposals and projects in the areas of Social,
Educational, Cultural and Health Programs and in the development of Productive
Projects which were chosen by the people and which would generate significant
employment.
    The Company now has a full time social coordinator, with the expectation
that an independent non-profit Foundation will be formed to undertake the
financing and management of these projects.

    Unaudited results for the three-month period ended June 30, 2007

    Operations during the three-month period ending June 30, 2007 resulted in
a loss of $3.2 million or $0.05 per share, compared to a loss of $1.6 million
or $0.04 per share for the second quarter of 2006. The operating loss for the
second quarter of fiscal 2007 was mainly driven by mineral property
exploration costs of $1.6 million. Operations used $2.9 million during the
three months ended June 30, 2007, while $2.1 million was used to fund the
purchase of mineral and exploration rights and equipment.
    Total assets at June 30, 2007 totaled $52.9 million, including mineral
and exploration properties and rights of $48.7 million and cash and cash
equivalents of $2.5 million, compared with total assets of $45.0 million at
December 31, 2006. As of June 30, 2007, stockholders equity was $34.1 million,
compared to $29.2 million at December 31, 2006.

    Subsequent Transactions

    Subsequent to the end of the quarter, the Company closed a Private
Placement on August 14, 2007. This financing was arranged by Evergreen Capital
Corporation Sarl of Geneva, Switzerland, which had the exclusive mandate to
arrange the financing and was the lead placing agent, assisted by several
other sub-agents in Europe, for distribution of the issue. The total financing
consisted of 8,483,000 units priced at C$1.40 per unit, for gross proceeds of
C$11,876,200. Each unit comprised of one share of common stock and one half
common share purchase warrant. Each Warrant entitles the holder thereof to
acquire one Common Share of the Company for a period of one year from closing
at a price of C$1.85 per Common Share. The Warrant also requires the holder,
upon notice from the Company, to exercise in the event that during any fifteen
consecutive trading days, the common stock of the Company closes at or above
C$2.25 on a recognized North American stock exchange. The proceeds from the
sale of the units will be used to continue the purchase of the remaining legal
mining claims and milling operations on Marmato Mountain that are not already
owned by Colombia Goldfields, fund the Company's drilling program and repay
the Company's outstanding bridge loans.
    The Form of Offering was under the U.S. Securities Exchange Commission's
(SEC) Regulation S. The Company has undertaken the filing of a SB-2
Registration Statement covering the shares to be issued with the SEC as soon
as practical following closing. If the Registration Statement is not approved
within seven months following closing of the Private Placement, the Company
will pay a cash penalty of 1.5% per month for each month of delay or portion
thereof.
    The syndicate's fees for arranging the financing were 6% of the gross
proceeds (C$712,572) and agents' warrants equivalent to 6.0% of the number of
shares issued (508,980 agents' warrants), exercisable for 36 months at C$1.40.
    Following the Private Placement the Company's corporate structure will
include 74.3 million outstanding common shares, 12.2 million warrants
(weighted average price $2.11) and 4.0 million options (weighted average price
$1.21); as a result, the Company will have 90.5 million shares outstanding in
the event all outstanding warrants and options are exercised.

    About Colombia Goldfields

    Colombia Goldfields Limited, through its Colombian subsidiaries Cia
Minera de Caldas S.A. and Gavilan Minerales S.A., is developing a
multi-million ounce gold resource in Colombia's historic Marmato Mountain gold
district through a program of mineral property acquisitions, community
resettlement and exploration.
    Colombia Goldfields is traded in the US under the symbol CGDF and in
Germany with the symbol C2B and has received conditional approval for listing
on the Toronto Stock Exchange. The Company's full June 30, 2007 unaudited
consolidated financial statements and management's discussion and analysis are
available at www.colombiagoldfields.com and on EDGAR at www.sec.gov under the
Company's profile.

    Disclaimer

    This release contains forward-looking statements that are based on the
beliefs of Colombia Goldfield's management and reflect Colombia Goldfield's
current expectations as contemplated under section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities and Exchange Act of
1934, as amended. When used in this release, the words "estimate, "project,"
"believe," "anticipate," "intend," "expect," "plan," "predict," "may,"
"should," "will," "can," the negative of these words, or such other variations
thereon, or comparable terminology, are all intended to identify
forward-looking statements. Such statements reflect the current views of
Colombia Goldfields with respect to future events based on currently available
information and are subject to numerous assumptions, risks and uncertainties,
including, but not limited to, risks and uncertainties pertaining to
development of mining properties, changes in economic conditions and other
risks, uncertainties and factors, which may cause the actual results,
performance, or achievement expressed or implied by such forward looking
statements to differ materially from the forward looking statements.


    
    -------------------------------------------------------------------------
                           COLOMBIA GOLDFIELDS LTD.
                       (An Exploration Stage Company)
                     INTERIM CONSOLIDATED BALANCE SHEETS
                                 (unaudited)
    -------------------------------------------------------------------------

                                                      June 30,   December 31,
    US Dollars                                           2007           2006
    -------------------------------------------------------------------------

    ASSETS

    Current

    Cash and cash equivalents                     $ 2,461,989    $   882,913
    Prepaid expenses and deposits                     724,984        176,347
    Prepaid consulting fees (Note 5)                  518,000              -
    -------------------------------------------------------------------------
                                                    3,704,973      1,059,260

    Mineral and exploration properties
     and rights (Note 3)                           48,720,279     43,528,386
    Property and equipment, net of
     accumulated amortization (Note 4)                402,855        419,733
    Prepaid consulting fees (Note 5)                  114,375              -
    -------------------------------------------------------------------------
                                                  $52,942,482    $45,007,379
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    LIABILITIES

    Current

    Accounts payable and accrued liabilities
     (Note 6)                                     $ 6,583,145    $ 6,037,671
    Promissory note payable to related parties
     (Note 8)                                       3,500,000              -
    -------------------------------------------------------------------------
                                                   10,083,145      6,037,671
    Non-Current
    Deferred income tax liability (Notes 3 and 7)   8,796,914      9,759,524
    -------------------------------------------------------------------------
                                                   18,880,059     15,797,195

    STOCKHOLDERS' EQUITY

    Common stock (Notes 5 & 12)
    Authorized:
      200,000,000 common shares, $0.00001 par value       658            565
    Issued and Outstanding:
      65,816,849 common shares (December 31, 2006,
        56,039,849 common shares)

    Additional paid-in capital (Note 5)            47,613,980     37,039,266
    -------------------------------------------------------------------------
                                                   47,614,638     37,039,831
    Deficit accumulated during the
     exploration stage                            (13,552,215)    (7,829,647)
    -------------------------------------------------------------------------
                                                   34,062,423     29,210,184

    -------------------------------------------------------------------------
                                                  $52,942,482    $45,007,379
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    See accompanying Notes to Interim Consolidated Financial Statements at
    www.sec.gov
    (*) Going Concern (Note 1)



    -------------------------------------------------------------------------
                           COLOMBIA GOLDFIELDS LTD.
                       (An Exploration Stage Company)
                 INTERIM CONSOLIDATED STATEMENTS OPERATIONS
                                 (unaudited)
    -------------------------------------------------------------------------

                                           Three         Three           Six
                                          Months        Months        Months
                                           Ended         Ended         Ended
                                         June 30,      June 30,      June 30,
    U.S. Dollars                            2007          2006          2007
    -------------------------------------------------------------------------

    REVENUES                        $          -  $          -  $          -

    OPERATING EXPENSES

    Mineral property exploration
     expenses (Notes 3 and 5)          1,560,588       540,434     3,032,604
    General and administrative
     (Note 5)                          1,290,079     1,059,766     2,691,311
    Foreign exchange loss                889,408        38,107       935,216
    Amortization                          20,765        12,191        39,579
    -------------------------------------------------------------------------
    Total operating expenses           3,760,840     1,650,498     6,698,710
    Other income                          (3,803)      (48,870)      (13,532)
    -------------------------------------------------------------------------
    Loss from continuing operations
     before deferred income taxes     (3,757,037)   (1,601,628)   (6,685,178)
    Deferred income tax recovery
     (Note 7)                           (537,900)            -      (962,610)
    -------------------------------------------------------------------------
    Net loss from continuing
     operations                       (3,219,137)   (1,601,628)   (5,722,568)
    Income from discontinued
     operations (Note 1)                       -             -             -
    -------------------------------------------------------------------------
    Net loss                        $ (3,219,137) $ (1,601,628) $ (5,722,568)
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    LOSS PER SHARE -
     BASIC AND DILUTED              $      (0.05) $      (0.04) $      (0.09)
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    WEIGHTED AVERAGE  NUMBER OF
     COMMON SHARES OUTSTANDING
    Basic and diluted                 65,755,750    39,258,915    61,507,236
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                                    Cumulative
                                                          From
                                                     Inception
                                             Six     (March 25,
                                          Months          2003)
                                           Ended       through
                                         June 30,      June 30,
    U.S. Dollars                            2006          2007
    -----------------------------------------------------------

    REVENUES                        $          -  $          -

    OPERATING EXPENSES

    Mineral property exploration
     expenses (Notes 3 and 5)          1,113,057     7,510,340
    General and administrative
     (Note 5)                          1,817,880     7,042,616
    Foreign exchange loss                 38,717       924,528
    Amortization                          17,635       107,684
    -----------------------------------------------------------
    Total operating expenses           2,987,289    15,585,168
    Other income                         (52,425)     (131,566)
    -----------------------------------------------------------
    Loss from continuing operations
     before deferred income taxes     (2,934,864)  (15,453,602)
    Deferred income tax recovery
     (Note 7)                                  -    (1,891,560)
    -----------------------------------------------------------
    Net loss from continuing
     operations                       (2,934,864)  (13,562,042)
    Income from discontinued
     operations (Note 1)                       -         9,827
    -----------------------------------------------------------
    Net loss                        $ (2,934,864) $(13,552,215)
    -----------------------------------------------------------
    -----------------------------------------------------------

    LOSS PER SHARE -
     BASIC AND DILUTED              $      (0.08)
    -----------------------------------------------------------
    -----------------------------------------------------------

    WEIGHTED AVERAGE  NUMBER OF
     COMMON SHARES OUTSTANDING
    Basic and diluted                 36,581,942
    -----------------------------------------------------------
    -----------------------------------------------------------

    See accompanying Notes to Interim Consolidated Financial Statements at
    www.sec.gov
    (*) Going Concern (Note 1)



    -------------------------------------------------------------------------
                          COLOMBIA GOLDFIELDS LTD.
                       (An Exploration Stage Company)
     INTERIM CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIENCY)
                                 (unaudited)
    -------------------------------------------------------------------------

                                                                  Additional
                                            Common        Stock      Paid-in
    US Dollars                              Shares       Amount      Capital
    -------------------------------------------------------------------------
    Period Ended December 31, 2003
    ------------------------------
    (see Note 1):
    -------------

    Issue of common stock for cash at
     $0.000125 per share on
     March 25, 2003                              8   $        -   $        1

    Issue of common stock for cash at
     $0.000125 per share on
     May 5, 2003                        16,000,000          160        1,840

    Repurchase of common stock for cash
     at $0.000125 per share on
     October 31, 2003                   (8,000,008)         (80)        (920)

    Donated Capital                              -            -       35,200

    Net loss for the twelve months
     ended December 31, 2003                     -            -            -
    -------------------------------------------------------------------------

    Balance, December 31, 2003           8,000,000           80       36,121

    Year Ended December 31, 2004:
    -----------------------------

    Issue of common stock for cash at
     $0.00625 per share on
     December 20, 2004                  16,000,000          160       99,840

    Donated Capital                              -            -       19,200

    Net loss for the twelve months
     ended December 31, 2004                     -            -            -
    -------------------------------------------------------------------------
    Balance December 31, 2004           24,000,000          240      155,161

    Year Ended December 31, 2005:
    -----------------------------
    Issue of common stock for mineral
     concession at $0.25 per share on
     September 22, 2005                  1,000,000           10      249,990


    Issue of 4,221,000 common stock
     for cash at $0.25 per share, and
     368,100 common stock for finder
     fee on October 14, 2005             4,589,100           46    1,055,204

    Forgiveness of advances from a
     related party                                                     4,999

    Share Subscriptions Received                 -            -            -
    Net loss for the twelve months
     ended December 31, 2005                     -            -            -
    -------------------------------------------------------------------------
    Balance, December 31, 2005          29,589,100   $      296   $1,465,354


                                                        Deficit
                                                    Accumulated        Total
                                             Share       During        Stock-
                                          Subscrip-         The      holders'
                                             tions  Exploration       Equity
    US Dollars                            Received        Stage  (Deficiency)
    -------------------------------------------------------------------------
    Period Ended December 31, 2003
    ------------------------------
    (see Note 1):
    -------------

    Issue of common stock for cash at
     $0.000125 per share on
     March 25, 2003                     $        -   $        -   $        1

    Issue of common stock for cash at
     $0.000125 per share on
     May 5, 2003                                 -            -        2,000

    Repurchase of common stock for cash
     at $0.000125 per share on
     October 31, 2003                            -            -       (1,000)

    Donated Capital                              -            -       35,200

    Net loss for the twelve months
     ended December 31, 2003                     -      (36,399)     (36,399)
    -------------------------------------------------------------------------
    Balance, December 31, 2003                   -      (36,399)        (198)

    Year Ended December 31, 2004:
    -----------------------------

    Issue of common stock for cash at
     $0.00625 per share on
     December 20, 2004                           -            -      100,000

    Donated Capital                              -            -       19,200

    Net loss for the twelve months
     ended December 31, 2004                     -      (23,094)     (23,094)
    -------------------------------------------------------------------------
    Balance December 31, 2004                    -      (59,493)      95,908

    Year Ended December 31, 2005:
    -----------------------------
    Issue of common stock for mineral
     concession at $0.25 per share on
     September 22, 2005                          -            -      250,000

    Issue of 4,221,000 common stock
     for cash at $0.25 per share, and
     368,100 common stock for finder
     fee on October 14, 2005                     -            -    1,055,250

    Forgiveness of advances from a
     related party                               -            -        4,999

    Share Subscriptions Received         1,767,650            -    1,767,650
    Net loss for the twelve months
     ended December 31, 2005                     -   (1,491,470)  (1,491,470)
    -------------------------------------------------------------------------
    Balance, December 31, 2005          $1,767,650  $(1,550,963)  $1,682,337

    See accompanying Notes to Interim Consolidated Financial Statements at
    www.sec.gov
    (*)Going Concern (Note 1)



    -------------------------------------------------------------------------
                          COLOMBIA GOLDFIELDS LTD.
                       (An Exploration Stage Company)
     INTERIM CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIENCY)
                                 (unaudited)
    -------------------------------------------------------------------------

                                                                  Additional
                                            Common        Stock      Paid-in
    US Dollars                              Shares       Amount      Capital
    -------------------------------------------------------------------------

    Balance, December 31, 2005          29,589,100         $296   $1,465,354

    Year Ended December 31, 2006:
    -----------------------------

    Issue of common stock for cash at
     $0.60 per share on January 24,
     2006, net of $187,565 finders fee   3,126,083           31    1,688,054

    Issue of common stock for
     Mineral concessions at $1.90 per
     share on February 14, 2006          1,000,000           10    1,899,990

    Issue of common stock
     For Mineral concession at
     $2.25 per share on April 10, 2006   1,000,000           10    2,249,990

    Issue of common stock
     for cash at $1.50 per unit (common
     shares & warrants) less finders
     fee of $585,060 on April 26, 2006   6,500,666           65    6,416,112

    Issue of share purchase warrants
     with April 26, 2006 common stock
     issuance                                    -            -    2,749,762

    Issue of common stock for
     Mineral concessions at $2.74
     per share on April 28, 2006         2,000,000           20    5,479,980

    Issue of common stock for Mineral
     concessions at $1.10 per share on
     August 22, 2006                     4,200,000           42    4,619,958

    Issue of common stock for Mineral
     concessions at $1.41 per share on
     September 25, 2006                  1,150,000           11    1,621,489

    Issue of common shares per exercise
     of 3,471,000 warrants on
     October 14, 2006                    3,471,000           35    1,735,465

    Issue of common stock for Mineral
     concessions at $1.28 per share on
     December 14, 2006                   4,000,000           40    5,119,960

    Stock based compensation                     -            -    1,993,157

    Net loss for the twelve months
     ended December 31, 2006                                               -
    -------------------------------------------------------------------------

    Balance December 31, 2006           56,036,849   $      560  $37,039,271


                                                        Deficit
                                                    Accumulated        Total
                                             Share       During        Stock-
                                          Subscrip-         The      holders'
                                             tions  Exploration       Equity
    US Dollars                            Received        Stage  (Deficiency)
    -------------------------------------------------------------------------

    Balance, December 31, 2005          $1,767,650  $(1,550,963)  $1,682,337

    Year Ended December 31, 2006:
    -----------------------------

    Issue of common stock for cash at
     $0.60 per share on January 24,
     2006, net of $187,565 finders fee  (1,767,650)           -      (79,565)

    Issue of common stock for
     Mineral concessions at $1.90 per
     share on February 14, 2006                  -            -    1,900,000

    Issue of common stock
     For Mineral concession at
     $2.25 per share on April 10, 2006           -            -    2,250,000

    Issue of common stock
     for cash at $1.50 per unit (common
     shares & warrants) less finders
     fee of $585,060 on April 26, 2006           -            -    6,416,177

    Issue of share purchase warrants
     with April 26, 2006 common stock
     issuance                                    -            -    2,749,762

    Issue of common stock for
     Mineral concessions at $2.74
     per share on April 28, 2006                 -            -    5,480,000

    Issue of common stock for Mineral
     concessions at $1.10 per share on
     August 22, 2006                             -            -    4,620,000

    Issue of common stock for Mineral
     concessions at $1.41 per share on
     September 25, 2006                          -            -    1,621,500

    Issue of common shares per exercise
     of 3,471,000 warrants on
     October 14, 2006                            -            -    1,735,500

    Issue of common stock for Mineral
     concessions at $1.28 per share on
     December 14, 2006                           -            -    5,120,000

    Stock based compensation                     -            -    1,993,157

    Net loss for the twelve months
     ended December 31, 2006                     -   (6,278,684)  (6,278,684)
    -------------------------------------------------------------------------

    Balance December 31, 2006           $        -  $(7,829,647) $29,210,184

    See accompanying Notes to Interim Consolidated Financial Statements at
    www.sec.gov
    (*) Going Concern (Note 1)



    -------------------------------------------------------------------------
                          COLOMBIA GOLDFIELDS LTD.
                       (An Exploration Stage Company)
     INTERIM CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIENCY)
                                 (unaudited)
    -------------------------------------------------------------------------

                                                                  Additional
                                            Common        Stock      Paid-in
    US Dollars                              Shares       Amount      Capital
    -------------------------------------------------------------------------

    Balance, December 31, 2006          56,036,849   $      560  $37,039,271

    Six Months Ended June 30, 2007:
    -------------------------------

    Issue of common stock for cash at
     $1.00 per share less agents fee
     of $541,200 on March 21, 2007       9,020,000           90    8,074,434

    Issue of agents' warrants in
     connection with March 21, 2007
     common stock issuance                       -            -      404,276

    Issue of common stock for
     consulting services                   650,000            7      967,118

    Issue of common stock to non-
     management directors                   60,000            1       72,599

    Exercise of common stock options        50,000            -       37,500

    Stock based compensation                     -            -    1,018,782

    Net loss for the six months ended
     June 30, 2007                                                         -
    -------------------------------------------------------------------------

    Balance June 30, 2007               65,816,849   $      658  $47,613,980
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                                        Deficit
                                                    Accumulated        Total
                                             Share       During        Stock-
                                          Subscrip-         The      holders'
                                             tions  Exploration       Equity
    US Dollars                            Received        Stage  (Deficiency)
    -------------------------------------------------------------------------

    Balance, December 31, 2006          $        -  $(7,829,647) $29,210,184

    Six Months Ended June 30, 2007:
    -------------------------------

    Issue of common stock for cash at
     $1.00 per share less agents fee
     of $541,200 on March 21, 2007               -            -    8,074,524

    Issue of agents' warrants in
     connection with March 21, 2007
     common stock issuance                       -            -      404,276

    Issue of common stock for
     consulting services                         -            -      967,125

    Issue of common stock to non-
     management directors                        -            -       72,600

    Exercise of common stock options             -            -       37,500

    Stock based compensation                     -            -    1,018,782

    Net loss for the six months ended
     June 30, 2007                               -   (5,722,568)  (5,722,568)
    -------------------------------------------------------------------------

    Balance June 30, 2007               $        - $(13,552,215) $34,062,423
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    See accompanying Notes to Interim Consolidated Financial Statements at
    www.sec.gov
    (*) Going Concern (Note 1)



    -------------------------------------------------------------------------
                           COLOMBIA GOLDFIELDS LTD.
                       (An Exploration Stage Company)
                 INTERIM CONSOLIDATED STATEMENTS OPERATIONS
                                 (unaudited)
    -------------------------------------------------------------------------

                                           Three         Three           Six
                                          Months        Months        Months
                                           Ended         Ended         Ended
                                         June 30,      June 30,      June 30,
    U.S. Dollars                            2007          2006          2007
    -------------------------------------------------------------------------

    OPERATING ACTIVITIES:
    Net loss                         $(3,219,137)  $(1,601,625)  $(5,722,568)
    Items not requiring cash outlay:
      - Consulting fees                        -             -             -
      - Amortization                      20,765        12,191        39,579
      - Mineral property exploration           -             -             -
      - Stock based compensation         860,580       695,666     1,426,132
      - Deferred income taxes           (537,900)            -      (962,610)
    Changes in non-cash working
     capital items
      - Accounts receivable                    -       (61,843)            -
      - Prepaid expenses and deposits   (356,355)      (30,371)     (548,636)
      - Exploration expenditure
         advances                              -       109,737             -
      - Accounts payable and accrued
         liabilities                     317,573      (345,097)    1,028,074
      - Due to/from related parties            -      (335,516)            -
    -------------------------------------------------------------------------
    Net cash used in operating
     activities                       (2,914,474)   (1,556,858)   (4,740,029)

    FINANCING ACTIVITIES:
    Issuance of securities, net of
     finder fees                               -     9,165,939     8,478,800
    Issuance of promissory notes       3,500,000             -     7,200,000
    Repayment of promissory notes              -             -    (3,700,000)
    Exercise of stock options             37,500             -        37,500
    -------------------------------------------------------------------------
    Net cash provided by (used in)
     financing activities              3,537,500     9,165,939    12,016,300

    INVESTING ACTIVITIES:
    Purchase of mineral exploration
     rights                           (2,094,684)   (1,408,293)   (5,674,494)
    Purchase of equipment                 (8,321)     (115,858)      (22,701)
    Website development costs                  -             -             -
    -------------------------------------------------------------------------
    Net cash used in investing
     activities                       (2,103,005)   (1,524,151)   (5,697,195)

    INCREASE (DECREASE) IN CASH      $(1,479,979)  $ 6,084,930   $ 1,579,076

    CASH AND CASH EQUIVALENTS AT
     BEGINNING OF PERIOD               3,941,968       643,423       882,913
    -------------------------------------------------------------------------
    CASH AND CASH EQUIVALENTS AT
     END OF PERIOD                   $ 2,461,989   $ 6,728,353   $ 2,461,989
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------

    SUPPLEMENTAL CASH FLOW
     INFORMATION
    Interest and financing fees -
     promissory notes                $   230,911   $         -   $   230,911
    Taxes                            $         -   $         -   $         -
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


                                                    Cumulative
                                                     Inception
                                             Six     (March 25,
                                          Months          2003)
                                           Ended       through
                                         June 30,      June 30,
    U.S. Dollars                            2006          2007
    -----------------------------------------------------------

    OPERATING ACTIVITIES:
    Net loss                         $(2,934,864) $(13,552,215)
    Items not requiring cash outlay:
      - Consulting fees                        -        52,400
      - Amortization                      17,635       109,684
      - Mineral property exploration           -       250,000
      - Stock based compensation       1,182,155     3,419,289
      - Deferred income taxes                  -    (1,891,560)
    Changes in non-cash working
     capital items
      - Accounts receivable              (61,843)            -
      - Prepaid expenses and deposits    (16,222)     (724,984)
      - Exploration expenditure
         advances                         56,078             -
      - Accounts payable and accrued
         liabilities                    (334,511)    1,456,207
      - Due to/from related parties            -         4,999
    -----------------------------------------------------------
    Net cash used in operating
     activities                       (2,091,572)  (10,876,180)

    FINANCING ACTIVITIES:
    Issuance of securities, net of
     finder fees                       9,086,374    22,224,575
    Issuance of promissory notes               -     7,200,000
    Repayment of promissory notes              -    (3,700,000)
    Exercise of stock options                  -        37,500
    -----------------------------------------------------------
    Net cash provided by (used in)
     financing activities              9,086,374    25,762,075

    INVESTING ACTIVITIES:
    Purchase of mineral exploration
     rights                           (1,662,693)  (11,913,367)
    Purchase of equipment               (154,396)     (489,539)
    Website development costs            (15,000)      (21,000)
    -----------------------------------------------------------
    Net cash used in investing
     activities                       (1,832,089)  (12,423,906)

    INCREASE (DECREASE) IN CASH      $ 5,162,713   $ 2,461,989

    CASH AND CASH EQUIVALENTS AT
     BEGINNING OF PERIOD               1,565,640             -
    -----------------------------------------------------------
    CASH AND CASH EQUIVALENTS AT
     END OF PERIOD                   $ 6,728,353   $ 2,461,989
    -----------------------------------------------------------
    -----------------------------------------------------------

    SUPPLEMENTAL CASH FLOW
     INFORMATION
    Interest and financing fees -
     promissory notes                $         -   $   230,911
    Taxes                            $         -   $         -
    -----------------------------------------------------------
    -----------------------------------------------------------

    See accompanying Notes to Interim Consolidated Financial Statements at
    www.sec.gov
    (*) Going Concern (Note 1)
    





For further information:

For further information: Company Contact: Randy Martin, President & CEO
Colombia Goldfields Ltd. (OTC BB: CGDF), 8 King Street East, Suite 208,
Toronto, Ontario, M5C 1B5, T: (416) 203-3856, F: (416) 361-0883,
info@colombiagoldfields.com, www.colombiagoldfields.com; U.S. Investor
Relations: Michelle Roth, Roth Investor Relations, Inc., Tel. (732) 792-2200,
Email: michelleroth@rothir.com; Canadian Investor Relations: Martti Kangas,
The Equicom Group, Toronto, ON, (416) 815-0700 x 243

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COLOMBIA GOLDFIELDS

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