Lake Shore Gold Corp.

Lake Shore Gold Corp.

March 16, 2005 15:34 ET

Lake Shore Gold Corp. Increases Bought Deal Financing to $8 Million


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: LAKE SHORE GOLD CORP.

TSX VENTURE SYMBOL: LSG

MARCH 16, 2005 - 15:34 ET

Lake Shore Gold Corp. Increases Bought Deal Financing
to $8 Million

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 16, 2005) - Lake Shore
Gold Corp. (TSX VENTURE:LSG)

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES

Lake Shore Gold Corp. is pleased to announce that it has increased the
amount of the bought deal financing announced this morning from $6
million to $8 million, representing an increase in the aggregate amount
of the offering to $8,006,500. All other terms of the offering remain
the same, except that the number of non-flow through shares that the
Underwriters have agreed to purchase from Lake Shore is now 3,750,000
and there are corresponding increases in the cash compensation and
compensation options issuable to the Underwriters.

Statements in this release that are forward-looking statements are
subject to various risks and uncertainties concerning the specific
factors disclosed under the heading "Risk Factors" and elsewhere in the
Company's periodic filings with Canadian securities regulators. Such
information contained herein represents management's best judgment as of
the date hereof based on information currently available. The Company
does not assume the obligation to update any forward-looking statement.


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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Lake Shore Gold Corp.
    Daniel G. Innes
    Chairman
    (604) 669-3533
    (604) 688-5175 (FAX)
    or
    Lake Shore Gold Corp.
    Brian R. Booth
    President
    (705) 525-0992
    (705) 525-7701 (FAX)
    or
    Lake Shore Gold Corp.
    Michael J. Byron
    VP, Exploration
    (705) 525-0992
    (705) 525-7701 (FAX)
    info@lsgold.com
    www.lsgold.com
    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.