| Fri 13 Apr 2007, 8:49 | | GBG - Great Basin - Great Basin Gold Announces Pri |
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GBG
GBG
GBG - Great Basin - Great Basin Gold Announces Pricing Of C$130 Million
Equity Offering
GREAT BASIN GOLD LIMITED
(Incorporated in Canada and registered as an External Company in South
Africa)
(Registration No. 2006/021304/10)
Share Code: GBG & ISIN Number: CA3901241057
("Great Basin" or "the Company")
GREAT BASIN GOLD ANNOUNCES PRICING OF C$130 MILLION EQUITY OFFERING
April 12, 2007 - Vancouver, British Columbia - Great Basin Gold Ltd.
("Great Basin Gold" or the "Company") (TSX:GBG; AMEX:GBN; JSE:GBGOLD)
announces that it has priced an offering of 50,000,000 equity units at a
price of C$2.60 per unit resulting in gross proceeds of C$130,000,000.
Each unit is comprised of one common share and one-half of one common share
purchase warrant. Each full warrant will entitle the holder to purchase a
share of Great Basin at a price of C$3.50 until 24 months following
closing. The Underwriters have an option, exercisable for a period of 30
days following the closing of this offering, to purchase an additional
7,500,000 units at the issue price, for additional gross proceeds of
$19,500,000. A syndicate led by BMO Capital Markets and including
Desjardins Securities Inc., Pacific International Securities Inc. and RBC
Capital Markets acted as underwriters in connection with the offering.
The net proceeds from this offering will be used by the Company to pay the
cash purchase price of Hecla Ventures, for exploration and development at
the Hollister Property, and for working capital. The offering is expected
to close April 19, 2007 and is subject to receipt of all final regulatory
and stock exchange approvals.
A registration statement relating to the offer of the units has been filed
with the U.S. Securities and Exchange Commission under the U.S.-Canada
multi-jurisdictional disclosure system, but has not yet become effective.
These securities may not be sold nor may offers to buy be accepted prior to
the issuance of a receipt for the final short form prospectus from all
applicable Canadian securities regulators and in the United States prior
the time the registration statement becomes effective. This press release
shall not constitute an offer to sell or the solicitation of an offer to
buy nor shall there be any sale of these securities in any state or
province in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any such
state or province. Copies of the final prospectus, when receipted, may be
obtained from BMO Capital Markets at 1 First Canadian Place, 4th Floor,
Toronto, ON M5X 1H3 and copies of the registration statement may be
obtained from BMO Capital Markets at 3 Times Square, 27th Floor, New York,
NY 10036.
For additional details, please visit the Company`s website at
www.greatbasingold.com or contact Investor Services at (604) 684-6365 or
within North America at 1-800-667-2114.
Ferdi Dippenaar
President and CEO
No regulatory authority has approved or disapproved the information
contained in this news release.
Forward-Looking Statements or Information:
Statements or information in this news release announcing the proposed
offering and the anticipated use of proceeds are forward-looking statements
within the meaning of the United States Private Securities Litigation
Reform Act of 1995 and forward-looking information under Canadian
securities laws. Forward-looking statements or information are statements
or information that are not historical facts and that are subject to a
variety of risks and uncertainties which could cause actual events or
results to differ materially from those reflected in the forward-looking
statements or information, including the need to negotiate an underwriting
agreement with the managing underwriters and to satisfy the conditions set
forth therein; the need to satisfy regulatory and legal requirements with
respect to the proposed offering; risks related to the exploration and
development of the Company`s projects; market fluctuations in prices for
securities of exploration stage companies; uncertainties about the
availability of additional financing; uncertainties related to fluctuations
in gold prices; the possibility that the Company may change its plans with
respect to one or more properties; and other risks and uncertainties
described in the Company`s annual report on Form 40-F and Reports on Form 6-
K and F10 filed with or furnished to the U.S. Securities and Exchange
Commission. Although we believe the expectations reflected in our forward-
looking statements or information are reasonable, results may vary, and we
cannot guarantee future results, levels of activity, performance or
achievements. For further information about the Company see its public
filings available for review and download at www.sec.gov and www.sedar.com.
Date: 13/04/2007 08:49:34 Produced by the JSE SENS Department.
