Vancouver, British Columbia, Canada. May 5th, 2008. Columbus Gold Corporation (CGT: TSX-V) ("Columbus Gold" or the "Company") announces that it has transferred its Silver District, Silver Dome, Clanton Hills and Keg properties (the "Silver Properties") to a newly formed subsidiary, Columbus Silver Corporation ("Columbus Silver"), which company has now filed a preliminary prospectus in B.C., Alberta, Saskatchewan and Ontario (available on SEDAR at www.sedar.com) for the purposes of conducting an initial public offering of its stock (an "IPO") and seeking a listing on the TSX Venture Exchange.

Under the proposed terms of the IPO, Columbus Silver, through its agent Union Securities Ltd., intends to raise up to $5,250,000 at $0.50 per unit. A unit will consist of a share and an 18 month warrant whereby each warrant will be exercisable into one common share at a price of $0.70 per share. Columbus Gold would retain a significant shareholding interest in Columbus Silver.

This action has been initiated by the management of Columbus Gold as it was believed that the value of the Company's silver assets was not properly understood by investors. The IPO process was chosen as the most effective way of maximizing the Company's investment in the Silver Properties and the creation of a silver focused company should provide an effective mechanism to finance exploration activities while providing Columbus Gold and its shareholders with a valuable retained interest in any future growth in value of Columbus Silver and the Silver Properties.

ABOUT COLUMBUS GOLD

Columbus Gold Corporation is a gold exploration and development Company operating principally in Nevada. The Company has an experienced management group with a strong background in all aspects of the acquisition, exploration, development and financing of precious metal mining projects. Columbus controls a 100% interest, subject to royalties, in 24 gold projects strategically located along or near Nevada's most productive gold trends and 5 silver and copper projects located in Arizona and Utah. The Company's project activities are managed by Cordilleran Exploration Company ("Cordex"), owned and operated by John Livermore and Andy Wallace who have a long and successful history of gold discovery and mine development in Nevada.

The Company maintains active generative (prospecting) and evaluation programs and, as a key element of strategy, broadens exposure, minimizes risk and maintains focus on high priority prospects while seeking industry finance through joint ventures on selected projects. The Company currently has 14 of its projects joint ventured to major and junior mining companies.