Guyana Goldfields Inc. announces $12,050,000 non-brokered private placement


    TORONTO, May 15 /CNW/ - Guyana Goldfields Inc. (TSX:GUY) ("Guyana" or the
"Company") is pleased to announce a non-brokered private placement pursuant to
which Guyana proposes to issue up to 4,381,818 units ("Units") at a price of
$2.75 per Unit for aggregate gross proceeds of up to $12,050,000. Each Unit
will consist of one common share and one-half of one common share purchase
warrant. Each whole warrant shall be exercisable at any time for one common
share at a price of $4.00 per share for a period of three years following
closing. The Company shall have the right to call the outstanding warrants
should the closing price of its common shares exceed $6.00 for 30 consecutive
trading days after one year has elapsed from the closing date.
    The International Finance Corporation (IFC), the member of the World Bank
Group focused on private sector investments in developing countries, and a
current shareholder in the Company, has agreed to purchase $5,000,000
(1,818,181 Units) of the private placement, subject to approval by its Board
of Directors. Upon closing of the private placement the IFC will hold an
aggregate of 3,548,181 shares (5.6%) of Guyana. Claude F. Lemasson, P.Eng,
MBA, the recently appointed President and Chief Operating Officer of the
Company has agreed to purchase $1,000,000 (363,636 Units) of the private
placement. Current and existing shareholders have agreed to purchase the
remaining $6,050,000 (2,200,000 units).
    The net proceeds of the private placement will be used to complete the
previously announced Definitive Feasibility Study undertaken by AMEC, Canada,
to continue exploration of the Company's portfolio of gold exploration
properties in Guyana, South America and for general working capital purposes.
The private placement remains subject to the approval of the Toronto Stock

    The securities described herein have not been registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the
United States unless registered under the Act or unless an exemption from
registration is available.

    About IFC:

    IFC, a member of the World Bank Group, creates opportunity for people to
escape poverty and improve their lives. IFC fosters sustainable economic
growth in developing countries by supporting private sector development,
mobilizing private capital, and providing advisory and risk mitigation
services to businesses and governments. IFC's new investments totaled $16.2
billion in fiscal 2008, a 34 percent increase over the previous year. For more
information, visit

    About Guyana:

    Guyana Goldfields Inc. is a Canadian based mineral exploration company
primarily focused on the exploration and development of gold deposits in
Guyana, South America where the Company has operated since 1996. The Company
is currently undertaking technical studies to advance and develop the Aurora
Project in Guyana.
    As previously announced, (see press release dated December 8, 2008 at under the Guyana Goldfields Inc. profile, "Guyana Goldfields
Announces Increased Resource at Aurora 3.69 Million Ounces Measured and
Indicated and 1.72 Million Ounces Inferred"), the Aurora Gold Project contains
a Measured resource of 8.08 million tonnes @ 4.11 g/t Au., an Indicated
resource of 21.06 million tonnes @ 3.87 g/t Au. and an Inferred resource of
19.97 million tonnes @ 2.77 g/t Au. Mr. D. K. Mukhopadhyay, MAusIMM, Senior
Mineral Resource Geologist of Micon International Co. Limited, reviewed and
approved the technical data in his capacity of a Qualified Person under
National Instrument 43-101. For further details, please refer to the technical
report of Guyana dated November 23, 2007 entitled "Technical Report: A Mineral
Resource Estimate For the Rory's Knoll, East Walcott and Aleck Hill Zones,
Aurora Gold Property, Guyana" available on SEDAR at

    Forward Looking Statements - Certain information set forth in this news
release may contain forward-looking statements that involve substantial known
and unknown risks and uncertainties. These forward-looking statements are
subject to numerous risks and uncertainties, certain of which are beyond the
control of Guyana, including, but not limited to the impact of general
economic conditions, industry conditions, volatility of commodity prices,
risks associated with the uncertainty of resource and reserve estimates,
currency fluctuations, dependence upon regulatory approvals, the availability
of future financing and exploration risk. Readers are cautioned that the
assumptions used in the preparation of such information, although considered
reasonable at the time of preparation, may prove to be imprecise and, as such,
undue reliance should not be placed on forward-looking statements.

    %SEDAR: 00022477E

For further information:

For further information: Guyana Goldfields Inc.: Claude F. Lemasson
P.Eng, MBA, President and Chief Operating Officer, Tel: (416) 628-5936, Fax:
(416) 628-5935, E-mail:, Website:

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