Vancouver, B.C. - September 25, 2008 - EcuaGold Resources Ltd. ("the Company" or "EcuaGold") (TSX Venture Exchange: EGR) is pleased to announce that its wholly owned Colombian subsidiary, ColombiaGold Resources S.A. ("CGR") has signed a Letter of Intent (the "LOI") to enter into a Joint Venture Operating Agreement (the "JV") with the Colombian owners (the "Concessionaires") of the Santa Cruz (87 Ha) and Palmichala (96 Ha) gold concessions (the "Concessions"), located near the historic mining towns of Remedios and Segovia in the Department of Antioquia, Colombia.

CGR signed a 90-day Exclusivity Agreement with the Concessionaires in June 2008, and based on work done to date, CGR has identified seven mesothermal quartz veins on the Santa Cruz concession and six mesothermal quartz veins on the Palmichala concession. CGR has also identified several other potential veins on the Concessions, which need to be further investigated. The veins and associated structures are distributed in a sub-parallel pattern, with 50 - 100 metre spacings. The strike potential of several of the vein systems is believed to be +/ - 1.0 kilometre.

As is characteristic of the region, the veins are generally narrow, ranging from approximately 0.20 to 2.00 metres in width with an overall average of approximately 0.55 metres. The Concessions contain numerous historical, as well as active, small-scale mines with historical gold mining activities dating back to the early 1900's. These small-scale mining activities have generally been limited to a depth of +/ - 100 metres. By comparison, the Frontino Gold Mine, the historic and largest gold mining operation in the region, has been mined both along strike and to depths approaching two kilometres, with the reported widths of the vein structures increasing at depth in some areas.

Selected assay results to date for certain key vein structures are, as follows: 
 

CGR has conducted various due diligence related geological programs to date, including geological and structural mapping, underground surveying, rock chip sampling of outcrops and float and channel sampling of surface and underground veins at two metre intervals, where possible. These programs are ongoing. All samples from the Concessions were sent to the Inspectorate sample preparation facility in Medellin, Colombia for processing and were assayed at the Inspectorate laboratory in Lima, Peru.

There has been only limited modern exploration work, including some drilling, done on the Concessions, mainly in the mid 1990's. The Concessions are located within the Segovia Batholith and on a mineralized trend which includes the Frontino Gold Belt. The Frontino Gold Mine, located approximately 3.5 kilometres north-northwest of the Concessions, has been in production for over 150 years, with reported total gold production of approximately five million ounces. Colombia historically has been the largest gold producer in South America, dating back to the pre-Colombian period. It is reported that over half of Colombia's historical production came from the Department of Antioquia, which abounds with historical mines, both alluvial and underground hard rock.

Pursuant to the terms of the LOI, CGR paid the Concessionaires US$75,000 upon signing the LOI and will be required to pay the Concessionaires an additional US$75,000 upon signing the JV Agreement within 90 days from the signing of the LOI, with an automatic 30 day extension, if required. The Parties have agreed to form a JV legal entity that will own the Concessions and all project assets that will be contributed to the JV by the Concessionaires to earn their initial 50 percent JV equity interest. CGR will be deemed to have earned its initial 50 percent JV equity interest by committing to fund all future exploration activities and exploitation expenditures, both for small-scale and large-scale mining operations. CGR will be the Operator of the JV reporting to a JV Operating Committee, consisting of two representatives each of the Concessionaires and CGR. Upon funding the preparation of a bankable feasibility study (the "Study") and the development of a large-scale mining operation, as recommended pursuant to the Study, CGR's JV equity interest will increase to 75 percent once commercial production is attained. The Parties will share in any operating profits from either small-scale or large-scale mining operations in proportion to their JV equity interests. Given the number of historical and active small-scale mines on the Concessions, the Parties intend to investigate the feasibility of initiating small-scale mining activities (up to 100 tonnes per day) on the Concessions in conjunction with implementing a detailed exploration program geared to proving up reserves for a future large-scale mining operation. Any small-scale mine production would be processed either at third party processing plants in the region or the JV may install a pilot plant operation, if economically justifiable.

Mr. Anthony F. Ciali, President and CEO, stated, "We are very pleased to have entered into our first agreement to acquire mineral property interests in Colombia and, in particular, in one of the country's most historic and prolific gold producing regions. With its Medellin-based geological team, CGR is actively investigating other potential mineral properties and regions for future acquisitions. EcuaGold is also aggressively pursuing mineral property interests in Peru. We are encouraged by the number and quality of available Peruvian prospects under investigation that meet with the Company's exploration growth strategy."

Dr. William F. Lindqvist, a director of the Company, is the Qualified Person in compliance with National Instrument 43-101 with respect to this release.

About EcuaGold Resources:
EcuaGold Resources Ltd. is engaged in the acquisition, exploration and potential development of primarily precious metals properties in Colombia, Peru and Ecuador. The focus of the Company's exploration activities is presently in Colombia and Peru.  EcuaGold controls, through wholly owned subsidiaries, a 100 percent interest in 13 granted concessions, comprising eight distinct projects, in Ecuador, covering more than 34,000 hectares. The majority of EcuaGold's concessions are located in southern Ecuador, a highly prospective region that is currently host to a number of projects. These include Aurelian Resources' Condor Project, IAMGOLD's Quimsacocha Project, International Minerals' Rio Blanco and Gaby Projects and Dynasty Metals & Mining's Copper-Gold Belt, Zaruma and Jerusalem Projects.