Shareholder Update

SHAREHOLDER UPDATE

February 2, 2015

Dear Shareholders:

Cerro Dorado, Inc. (“CDCH”) is pleased to announce that over the past several weeks management has been able to successfully settle virtually all remaining outstanding debt on the CDCH’s balance sheet. Some of these amounts were paid off in cash. However, the largest remaining debt, owed to Medinah Minerals, Inc. (“MDMN”), was settled with stock. The amount previously listed on the financials was approximately $600,000 owed to MDMN. During a recent trip to negotiate the settlement with a representative of MDMN, management successfully negotiated to settle all outstanding debts with MDMN in exchange for 7.5MM restricted shares of Cerro Dorado, Inc. This settlement valued the CDCH shares at $.079/sh. 

Furthermore, we are aware of information posted on Auryn Mining Chile SPA’s website regarding their signing of an option/joint venture agreement with Cerro Dorado Chile, of which CDCH is a substantial shareholder. During the coming weeks we intend to continue our due diligence concerning CDCH’s ownership and interest in Cerro Dorado Chile and all of our mining claims in Chile, and will further update shareholders accordingly.

Kindest Regards

Cerro Dorado Inc.