TSX.V: IXI

March 8, 2011 – Vancouver, British Columbia. Indigo Exploration Inc. (TSX-V: IXI) has received assay results from the first 27 holes of the 44 hole preliminary reverse circulation drilling program at its Moule Permit, Burkina Faso, West Africa. Highlights from the first 27 holes include:  4.53 gpt Au over 5 metres (including 10.9 gpt Au over 2 metres) on Drill Transect Line 1 at the Zelingpe 1 target; and on Zelingpe 2 Target 1.82 gpt Au over 5 metres on Drill Transect Line 4, 4.60 gpt Au over 3 metres on Drill Transect Line 5, 3.57 gpt Au over 3 metres on Drill Transect Line 7 and 2.06 gpt Au over 3 metres on Drill Transect Line 8.

Key points are:

 Plus one gram intersections over at least one metre were reported in 15 of the 27 holes.

  • This is the first ever drill program at Moule.
  • Program is a scout drill program testing several targets with broad spaced drill transects; 3 lines at Zelingpe 1, 6 lines at Zelingpe 2 and 3 lines at Vein 3.
  • Program has been successful in discovering several new gold zones 

The drilling program consisted of a series of drill transect lines across the full width of the three targets. Drill plans and hole by hole details can be found on the Moule current exploration page on the Company’s website at www.indigoexploration.com

Indigo’s President, Tim Henneberry, said: "We are very pleased that a large percentage of the holes intersected gold mineralization. The scout drilling program has clearly identified areas for follow-up drilling with several holes remaining to be reported. As a result, the Company has arranged to conduct a 15,000 metre drill program commencing in May. 

Quality Control and Assurance

All samples were initially analyzed by 50 gram fire assay. The widths and grades reported are drill intercept widths and may not represent the true width of mineralization. Samples are reverse circulation cuttings collected using a cyclone in 1 metre intervals that are riffle split at the drill site. The primary laboratory is ALS Chemex in Ouagadougou, an ISO 17025 certified laboratory. Standard, blank and duplicate samples were inserted throughout the sample sequence as quality control checks. Paul Cowley, P.Geo., director of Indigo, is the qualified person for the drilling campaign. 

Moule Permit

The Moule Gold Permit covers 249 square kilometres of prospective Birimian greenstone geology. Much of West Africa is underlain by the Birimian Greenstone Belt, one of the most prolific gold producing areas in the world. 

Indigo geologists have identified multiple prospective targets for bulk tonnage gold systems, based on the artisanal workings combined with previous sampling programs. To date, there has been property-wide mapping and sampling of quartz veining and quartz float.  Efforts have been focused on the 7 kilometre by 6 kilometre Zelingpe area where a soil grid, detailed mapping and local induced polarization (IP) survey have identified multiple linear targets untested by drilling. Rock sampling on this grid returned 46 of 480 grab samples with gold values between 1 g/t Au and 16.5 g/t Au. The December 2010 – January 2011 drilling program tested three of the multiple targets: 

  • Zelingpe 1, a plus 1 kilometre long chargeability anomaly covered by laterite capping with associated fringe artisanal workings;
  • Zelingpe 2, a 500 metre wide northwest trending corridor, traceable for at least 1.6 kilometres, where multiple shear zones and parallel multiple quartz float trends have coincident chargeability, elevated gold soil anomalies and local artisanal workings.
  • Vein 3, a 400 metre long artisanal working currently hosting 500 miners that has been traced in excess of 1.5 kilometres by widely spaced soil geochemistry lines. 

The Zelingpe grid has several other targets untested by drilling to date.  In addition, other kilometre long quartz trends on the property with elevated gold values in soils and rocks and local artisanal workings are worthy of future attention. 

Indigo is earning a 100% interest, subject to a 1.5% Net Smelter Return (NSR) royalty in the Moule Gold Permit by making cash payments totaling US$410,000 over 3 years. Indigo retains the right to purchase the entire 1.5% NSR for US$1,800,000. 

About Burkina Faso

The Moule property lies in the West African nation of Burkina Faso. Much of West Africa is underlain by the Birimian Greenstone Belt, one of the most prolific gold producing areas in the world. Many of the world’s major gold companies are active in West Africa, several with producing mines, including: IAMGOLD Corporation, AngloGold Ashanti Limited, Randgold Resources Limited, Gold Fields Limited and Newmont Mining Corporation. Burkina Faso is politically and economically stable and relies on farming and mining as it primary sources of revenue. Burkina Faso saw gold production double from 2008 to 2010 and is currently the 5th largest gold producing country in Africa. 

On Behalf of the Board of Directors,

“R. Tim Henneberry”

R.Tim Henneberry, P.Geo.

President and CEO 

For further information, please contact:

Tim Henneberry: (604) 681-3422 

Paul Cowley, P.Geo.,  Director of Indigo Exploration Inc., is the Qualified Person as defined in National Instrument 43-101, who has reviewed and approved the technical content of this news release. 

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

Forward-Looking Statements

 This press release contains forward-looking statements.  All statements, other than statements of historical fact, constitute “forward-looking statements” and include any information that addresses activities, events or developments that the Company believes, expects or anticipates will or may occur in the future including the Company’s strategy, exploration results or plans or future financial or operating performance and other statements that express management’s expectations or estimates of future performance. 

Forward-looking statements are generally identifiable by the use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology.  All such forward-looking information and statements are based on certain assumptions and analyses made by the Company’s management in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances.  These statements, however, are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed, implied by or projected in the forward-looking information or statements.  Important factors that could cause actual results to differ from these forward-looking statements include but are not limited to: risks related to the exploration and potential development of the Company’s projects, risks related to international operations, the actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices of gold, as well as those factors discussed in the sections relating to risk factors of the Company set out in the Company’s MD&A filed on SEDAR. 

There can be no assurance that any forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader should not place any undue reliance on forward-looking information or statements.  Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date of this document or to revise them to reflect the occurrence of future unanticipated events.