| Fri 20 Apr 2007, 14:14 | | GBG / GBGO - Great Basin - Share Placement |
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GBG
GBG
GBG / GBGO - Great Basin - Share Placement
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
Share Code: GBGO & ISIN Number: CA3901241131
("Great Basin" or "the Company")
SHARE PLACEMENT
Shareholders are referred to the announcement released on SENS on 19 April
2007 wherein it was announced that the Company had completed its previously
announced public offering of 57.5 million units at a price of C$2.60 per
unit, raising gross proceeds of C$149,500,000. Each equity unit placed
comprises a common share and a half of one common share purchase warrant
("option"). Each full option will entitle the holder to purchase a common
share of Great Basin Gold at a price of C$3.50 until April 20, 2009. 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 underwriters
exercised their 15% over-allotment option in full.
The use of proceeds from the financing includes the cash purchase component
of Hecla Ventures Corp ("HVC") for US$45 million (plus 7.93 million Great
Basin shares). HVC held 50% earn-in rights to Great Basin`s Hollister
Development Block gold project ("HDB") on the Carlin Trend in Nevada. As a
consequence of the HVC purchase, Great Basin Gold now holds a 100% interest
in the entire 937 unpatented mining claims comprising the Hollister
Property (subject to certain royalty obligations) and, in particular, the
HDB that comprises approximately 5% of the property.
The common shares and options will be listed on the JSE Limited from the
commencement of business on Monday, 23 April 2007 under the JSE codes and
ISIN numbers as above.
Sponsor
Nedbank Capital
For additional details on Great Basin and its gold properties, 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.
Cautionary and Forward Looking Statement Information
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
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,
effect of and changes to government policies regarding mining and natural
resource exploration and exploitation, availability of capital and
financing, geopolitical uncertainty and political and economic instability,
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 20-F filing with
the United States Securities and Exchange Commission and its home
jurisdiction filings that are available at www.sedar.com.
Date: 20/04/2007 14:14:20 Produced by the JSE SENS Department.
