Eldorado Gold Corporation
AMEX : EGO
TSX : ELD

Eldorado Gold Corporation

January 19, 2006 15:59 ET

Eldorado Gold Corporation Announces CDN$162 Million Bought Deal of Common Shares

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 19, 2006) -

This news release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or dissemination in the United States.

Eldorado Gold Corporation (TSX:ELD)(AMEX:EGO) ("Eldorado" or the "Company") announced today that it has entered into a bought deal agreement with a syndicate of underwriters led by Orion Securities Inc. Under the agreement, the syndicate will purchase 30,000,000 common shares ("Common Shares") of the Company at a price of CDN$5.40 per Common Share ("the Offering Price") for gross proceeds of CDN$162 million. The Company will grant the Underwriters an option, to purchase up to an additional 4,500,000 Common Shares (CDN$24,300,000), exercisable at the Offering Price for a period of 30 days from the Closing Date. The Company expects to file a Preliminary Short Form Prospectus with the securities regulatory authorities to qualify the Common Shares for distribution on January 23, 2006. The offering is expected to close on or about February 7, 2006.

Net proceeds are to be used for acquisitions of late stage development gold properties in China, continued development and exploration of the Company's properties in Turkey and Brazil, other property acquisitions and for general corporate purposes.

The transaction is subject to the receipt of all necessary regulatory and stock exchange approvals.

The securities being offered have not, nor will be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United Sates or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

NOT FOR DISTRIBUTION TO THE US. NEWS WIRE SERVICES

Eldorado Gold Corporation is a gold producing and exploration company actively growing businesses in Brazil, Turkey and China. With our international expertise in mining, finance and project development, together with highly skilled and dedicated staff, we believe that Eldorado is well positioned to grow in value as we create and pursue new opportunities.

ON BEHALF OF

ELDORADO GOLD CORPORATION

Paul N. Wright

Paul N. Wright
President and Chief Executive Officer

Eldorado Gold Corporation's shares trade on the Toronto Stock Exchange (TSX: ELD) and the American Stock Exchange (AMEX: EGO).

The TSX has neither approved nor disapproved the form or content of this release.

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