Gowest Amends Terms of Previously Announced Private Placement

TORONTO, ONTARIO--(Marketwire - Dec. 16, 2011) - Gowest Gold Ltd. ("Gowest" or the "Company") (TSX VENTURE:GWA)(OTCBB:GWSAF) announces that it has revised the terms of its previously announced private placement, as set out in the Company's press release of December 8, 2011. The Company now intends to offer for sale on a private placement basis up to 10,526,316 flow-through units of the Company (each, a "Flow-Through Unit"), at a price of $0.19 per Flow-Through Unit for gross proceeds of up to $2,000,000 (the "Offering"). Each Flow-Through Unit will consist of one "flow-through" common share (a "Flow-Through Share") and one-half of one common share purchase warrant (each whole common share purchase warrant, a "Warrant"). Each Warrant is exercisable to acquire one common share of the Company (a "Common Share"), at a price of $0.30 per Common Share, for a period of 24 months from the closing date of the Offering. M Partners Inc. (the "Agent") is acting as agent in connection with the Offering.

In connection with the Offering, the Agent has been granted an option exercisable prior to the closing to arrange for the purchase of up to 2,631,579 additional Flow-Through Units on the same terms and conditions as under the Offering, for additional gross proceeds to the Company of up to $500,000.

Upon closing of the Offering, the Agent will receive a cash commission equal to 6% of the gross proceeds of the Offering (3% in the case of 'President's List' purchasers) and compensation warrants exercisable to acquire that number of Common Shares equal to 6% of the aggregate number of Flow-Through Units sold under the Offering (3% in the case of 'President's List' purchasers), at a price of $0.19 per Common Share, for period of 24 months following the closing date of the Offering.

Closing of the Offering is expected to occur on or about December 21, 2011 and is subject to regulatory approvals. The securities issued in connection with the Offering will have a hold period expiring 4 months and 1 day from the closing date of the Offering. The net proceeds will be used to advance the Company's Frankfield gold project and for general corporate purposes.

About Gowest

Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Frankfield East gold deposit. Gowest is exploring additional gold targets on the Frankfield land package and continuing to evaluate acquisition targets in the vicinity of the Frankfield project area, part of the prolific Timmins, Ontario gold camp.

Forward-looking statements

This news release contains certain "forward looking statements". Such forward-looking statements involve risks and uncertainties. The results or events depicted in these forward-looking statements may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.