Moto Goldmines Limited

Moto Goldmines Limited

April 17, 2008 08:43 ET

Moto Goldmines Limited Closes Over-Allotment Option

PERTH, WESTERN AUSTRALIA--(Marketwire - April 17, 2008) -


Moto Goldmines Limited ("Moto" or the "Company")(TSX:MGL)(AIM:MOE) is pleased to announce the closing of the issue of an additional 1,650,000 common shares at a price of C$4.35 per share, for gross proceeds of C$7,177,500 pursuant to the exercise of the over-allotment option (the "Over Allotment Option") granted by Moto to a syndicate of underwriters, led by BMO Capital Markets and including GMP Securities L.P. and Haywood Securities Inc. (collectively, the "Underwriters"). The Over-Allotment Option was granted to the Underwriters in connection the Moto's short form prospectus offering (the "Offering") of 11,000,000 common shares at C$4.35 per share, for gross proceeds of C$47,850,000, which closed on April 9, 2008. The total gross proceeds raised pursuant to the Offering and the Over-Allotment Option was C$55,027,500.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any common shares within the United States. The common shares have not been offered and will not be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws. Accordingly, the common shares may not be offered or sold in the United States or to U.S. persons (as such terms are defined in Regulation S under the 1933 Act) unless registered under the 1933 Act and applicable state securities laws or an exemption from such registration is granted.

Moto also announced today that options to acquire an aggregate of 82,500 common shares of the Company have been granted to Samuel Esson Jonah, KBE, pursuant to the terms of his engagement as a director of Moto. The options were granted pursuant to the Company's Stock Option Plan at an exercise price of C$4.68 per share. The options will expire six years from the date of grant and will vest as set out below:

Number of Options Vesting Date Expiry Date

27,500 April 17, 2008 April 17, 2014

27,500 April 17, 2009 April 17, 2014

27,500 April 17, 2010 April 17, 2014

Mr. Jonah is the Chairman of the Board of Directors of the Company. Prior to the most recent grant of options, Mr. Jonah held options to acquire 4,109,600 common shares of the Company (1,750,000 at C$2.60, 400,000 at C$3.15, 275,000 at C$7.65, 668,639 at C$2.97, 465,961 at C$5.40 and 550,000 at C$4.70). He now has a total entitlement of options to acquire an aggregate of 4,192,100 common shares. Mr. Jonah also holds 2,717,874 common shares of the Company.

ARBN 113 274 874

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