Atacama Pacific Gold Corporation

Atacama Pacific Gold Corporation

July 12, 2011 09:18 ET

Atacama Pacific Announces Completion of C$32,025,000 Bought Deal Public Offering and Secondary Offering of Common Shares

TORONTO, ONTARIO--(Marketwire - July 12, 2011) -


Atacama Pacific Gold Corporation ("Atacama" or the "Company"") (TSX VENTURE:ATM) is pleased to announce that it has completed its previously announced bought deal offering of 6,100,000 common shares (the "Offering"), comprised of 5,800,000 common shares issued by the Company from treasury ("Treasury Offering") and 300,000 common shares sold by an existing shareholder (the "Secondary Offering"), at a price of C$5.25 per common share (the "Offering Price"). The Company realized gross proceeds of C$30,450,000 from the Treasury Offering, and the selling shareholder realized gross proceeds C$1,575,000 in connection with the Secondary Offering. The Company did not receive any proceeds pursuant to the Secondary Offering.

Net proceeds of the Treasury Offering will be used to advance development of the Company's Cerro Maricunga Gold Property and for general corporate purposes.

The Offering was conducted by a syndicate of underwriters led by RBC Capital Markets and including Jennings Capital Inc., Macquarie Capital Markets Canada Ltd. and GMP Securities L.P. (collectively the "Underwriters"). As consideration for the services provided in connection with the Offering, the Company and the selling shareholder paid a cash commission of equal to 6% of the gross proceeds of the Offering to the Underwriters.

The Company and the Selling Shareholder have granted the Underwriters an over-allotment option to purchase up to an additional 15% of the Offering at the Offering Price, exercisable in whole or in part, at any time prior to August 11, 2011.

About Atacama Pacific Gold Corporation

Atacama's principal business is the acquisition, exploration and development of precious metals resource properties in Chile. Atacama's principal mineral property is the Cerro Maricunga oxide-associated, breccia-hosted gold project, located in Region III, 140 kilometres by road northeast of the city of Copiapo. Atacama's goal is to become a producer of gold through the exploration and development of the Cerro Maricunga Project. Atacama also owns four other mineral properties within close proximity to the Cerro Maricunga Project and a fifth property in Chile's Region I.

The securities referred to in this press release have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of these securities within the United States.


This release contains forward-looking statements, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to, statements with respect to the use of proceeds from the Offering and other terms of the Offering. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "planning", "expects" or "does not expect", "continues", "scheduled", "estimates", "forecasts", "intends", "potential", "anticipates", "does not anticipate", or "belief", or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.

Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the results of due diligence activities, that regulatory approvals in connection with the Offering may not be received, and that other conditions of closing of the Offering may not be met, as well as those factors disclosed in Atacama Pacific's publicly filed documents. Although Atacama Pacific has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), accepts responsibility for the adequacy or accuracy of this release.

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