Paramount Gold Mining Corp. Completes US$21.7 Million Financing

    OTTAWA, CANADA, April 2 /CNW/ - Paramount Gold Mining Corp.
(OTCBB:PGDP)(Frankfurt:P6G)(WKN:A0HGKQ) (the "Company" or "Paramount Gold") is
pleased to announce that on March 30, 2007, it closed a US$21.7 Million
private placement. Approximately US$20.6 Million of the financing was secured
through brokered selling agents (the "Brokered Offering") and the remaining
balance was secured separately by the Company. In connection with the
financing, the Company issued a total of 10,398,496 units ("Units"), including
319,710 Units issued upon exercise of an over-allotment option, at a price of
US$2.10 per Unit for gross proceeds of approximately US$21.7 Million. Each
Unit is comprised of one share of restricted common stock ("Common Share") and
one-half of one Common Share purchase warrant ("Warrant"). Each Warrant is
exercisable to acquire one Common Share at an exercise price of US$2.90 on, or
prior to, March 29, 2009. The Units were sold to qualified and accredited
investors located primarily in Canada and the United States in reliance upon
exemptions from registration and prospectus requirements of applicable
securities legislation. The proceeds of the private placement were derived
primarily from institutional investors. Blackmont Capital Inc. acted as lead
agent in connection with the Brokered Offering and the syndicate included
Haywood Securities Inc., Canaccord Capital Corporation and Raymond James Ltd.
(collectively, the "Agents").

    Proceeds from the private placement will be used to fund the ongoing
drill and exploration programs of Paramount Gold's properties in Mexico and
South America. Paramount Gold plans to drill a total of 50,000 meters in 2007
on its San Miguel project in Mexico, using a combination of core and reverse
circulation methods. Layne Christensen has committed the drills required for
this drill program.

    About Paramount Gold

    Paramount Gold is a precious metals exploration company quoted on the
OTCBB under the symbol PGDP and listed on the Frankfurt Stock Exchange under
the symbol P6G (WKN: A0HGKQ). The Company's objectives are to explore and
develop the San Miguel project, located in Chihuahua, Mexico within the Sierra
Madre Occidental gold/silver belt, and fully develop the potential of the
strategic alliance with Teck Cominco Limited for gold exploration in South
America. For more information, please visit the Company's website at: (Available in English, German, French, Spanish, and

    Safe Harbor Statement under the Private Securities Litigation Reform Act
of 1995: The statements contained herein which are not historical are
forward-looking statements that are subject to risks and uncertainties that
could cause actual results to differ materially from those expressed in the
forward-looking statements, including, but not limited to, certain delays
beyond the company's control with respect to commencement of drilling
operations, concentration in mineral deposits, delays in testing and
evaluation of ore samples, and other risks detailed from time to time in the
Company's filings with the United States Securities and Exchange Commission.

For further information:

For further information: Paramount Gold Mining Corp. Christopher Crupi,
CEO Chris Halkai, Corporate Relations Toll-free: 1-866-481-2233 613-226-9881

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