Premier Gold Announces Completion of 10,000,000 Share Offering


THUNDER BAY – Mining Now – Premier Gold Mines Limited (TSX:PG) have announced that the company has completed a previously announced bought deal public offering of 10,000,000 common shares at a price of $5.75 per Common Share for net proceeds of approximately $54.5 million through a syndicate of underwriters led by RBC Capital Markets and including Canaccord Genuity Corp., Scotia Capital Inc., CIBC World Markets Inc., Goldman Sachs Canada Inc., Stonecap Securities Inc., Octagon Capital Corporation and Versant Partners Inc.

The Offering included the issue of 1,000,000 Common Shares at the offering price upon the exercise of the over-allotment option granted by the Company to the Underwriters under the Offering. Pursuant to the over-allotment option, the Underwriters have the right to purchase up to an additional 350,000 Common Shares at the Common Share offering price, exercisable in whole or in part, at any time prior to March 28, 2012.

The net proceeds from the Common Shares sold under the Offering will be used to fund Premier’s exploration and development activities, for repayment of a portion of Premier’s long-term debt and for general corporate purposes.

“With the completion of this financing, the Corporation now has approximately $90 million in working capital” stated Ewan Downie, President and Chief Executive officer of Premier. “These funds are expected to meet all near and mid-term exploration and development plans as well as facilitating plans for continued corporate growth.”