VANCOUVER, March 26 /CNW/ - Great Basin Gold Ltd. (the "Company") (TSX:
GBG; NYSE AMEX: GBG; JSE: GBG) announces that BMO Capital Markets and RBC
Capital Markets, on behalf of the underwriters, have exercised the
underwriters' over-allotment option to purchase an additional 15,000,000
common shares at a price of C$1.25 per common share and 7,500,000 warrants at
a price of C$0.10 per warrant, for gross proceeds to the Company of
C$19,500,000. Each full warrant will entitle the holder to purchase a common
share of the Company at a price of C$1.60 at any time before 5:00 p.m.
(Vancouver time) on October 15, 2010. The over-allotment option was granted to
the underwriters by the Company to cover over-allotments under the terms of
the Company's public financing completed on March 13, 2009 and the exercise of
the over-allotment option brings the total gross proceeds raised from the
offering to C$149,500,000. A syndicate led by BMO Capital Markets and RBC
Capital Markets acted as underwriters in connection with the offering. Closing
of the over-allotment occurred today.
The net proceeds from the offering will be used by the Company to fund
the development of the Company's Burnstone project in South Africa and for
general corporate purposes.Ferdi Dippenaar
President and CEO
No regulatory authority has approved or disapproved the information
contained in this news release.This release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other than
statements of historical facts, that address possible future commercial
production, reserve potential, exploration drilling results, development,
feasibility or exploitation activities and events or developments that Great
Basin Gold expects to occur are forward-looking statements. Although the
Company believes the expectations expressed in such forward-looking statements
are based on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ materially
from those in the forward-looking statements. Factors that could cause actual
results to differ materially from those in forward-looking statements include
market prices, exploitation and exploration successes, continuity of
mineralization, uncertainties related to the ability to obtain necessary
permits, licenses and title and delays due to third party opposition,
geopolitical uncertainty, changes in government policies regarding mining and
natural resource exploration and exploitation, and continued availability of
capital and financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees of future
performance and those actual results or developments may differ materially
from those projected in the forward-looking statements. For more information
on the Company, Investors should review the Company's annual Form 40-F filing
with the United States Securities and Exchange Commission and its home
jurisdiction filings that are available at www.sedar.com.
For further information: For additional details on Great Basin Gold Ltd.
and its gold properties, please visit the Company's website at
www.grtbasin.com or contact Investor Services: Tsholo Serunye in South Africa,
+27 (0)11 301 1800; Michael Curlook in North America, 1-888-633-9332; Barbara
Cano at Breakstone Group in the USA, (646) 452-2334
