Abzu Announces Closing of Non-Brokered Private Placement and Announces Shares for Debt Transaction

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES


Abzu Gold Ltd. ("Abzu" or the "Company") (TSX VENTURE:ABS)(OTCQX:ABZUF) is
pleased to announce that, further to its news releases of September 27, 2012,
August 3, 2012 and July 17, 2012, it has closed its non-brokered private
placement (the "Offering") of an aggregate of 5,287,726 units (the "Units") at a
price of $0.11 per Unit for gross proceeds of $581,649.86. Each Unit is
comprised of one common share (a "Share") of the Company and one common share
purchase warrant (a "Warrant") of the Company. Each Warrant is exercisable into
an additional Share for a period of 12 months from closing of the Offering at an
exercise price of $0.125 per Share.


In connection with the Offering, the Company issued to certain finders (the
"Finders") an aggregate of 104,127 non-transferable warrants (the "Finders'
Warrants") and paid an aggregate of $11,454 in finders' fees. Each Finders'
Warrant is exercisable into a Share for a period of 12 months from closing of
the Offering at an exercise price of $0.125 per Share.


All securities issued pursuant to the Offering are subject to a hold period
which expires on February 25, 2013. The net proceeds of the Offering will be
used by the Company for the advancement of the Company's Nangodi Project and the
Company's other gold projects in Ghana, and for general corporate purposes.


The Company also announces that it has entered into debt settlement agreements
with certain management and consultants (the "Transaction) of the Company
pursuant to which the Company has agreed to issue an aggregate of 1,781,814
Shares at a deemed price of $0.11 per Share. The amount of indebtedness settled
by the Transaction is $196,000. The Company determined to satisfy this
outstanding indebtedness with Shares in order to preserve its cash for
operations. 


The Transaction is subject to TSX Venture Exchange (the "Exchange") acceptance.
The Company will close the Transaction and issue the Shares once the Transaction
has been accepted by the Exchange. All Shares issued pursuant to the Transaction
are subject to four month hold period. 


On behalf of the board of directors of ABZU GOLD LTD.

Tim McCutcheon, Chief Executive Officer

Cautionary Statements

This news release contains forward-looking statements that are not historical
facts. Forward-looking statements involve risks, uncertainties and other factors
that could cause actual results, performance, prospects, and opportunities to
differ materially from those expressed or implied by such forward-looking
statements. Factors that could cause actual results to differ materially from
these forward-looking statements include those risks set out in Abzu's public
documents filed on SEDAR at www.sedar.com. Although Abzu believes that the
assumptions and factors used in preparing the forward-looking statements are
reasonable, undue reliance should not be placed on these statements, which only
apply as of the date of this news release, and no assurance can be given that
such events will occur in the disclosed time frames or at all. Except where
required by law, Abzu disclaims any intention or obligation to update or revise
any forward-looking statement, whether as a result of new information, future
events or otherwise.


This news release does not constitute an offer to sell, or the solicitation of
an offer to buy, any securities in any jurisdiction; nor shall there be any sale
of securities in any state in the United States in which such offer,
solicitation or sale would be unlawful. The securities referred to herein have
not been, and will not be, registered under the United States Securities Act of
1933, as amended, and may not be offered or sold within the United States or to
or for the account or benefit of U.S. persons absent registration or an
applicable exemption from registration requirements.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Abzu Gold Ltd.
Tim McCutcheon
Chief Executive Officer
604-638-3288