OceanaGold Corporation
TSX : OGC
ASX : OGC
NZSE : OGC

OceanaGold Corporation

October 20, 2010 09:04 ET

OceanaGold Closes Equity Raising

MELBOURNE, AUSTRALIA--(Marketwire - Oct. 20, 2010) -

NOT FOR DISSEMINATION OR DISTRIBUTION IN THE UNITED STATES AND NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES.

OceanaGold Corporation (TSX:OGC)(ASX:OGC)(NZSE:OGC) (the "Company") is pleased to announce today that, in connection with its previously announced equity raising, the offering of Special Warrants and CHESS Depository Interests ("CDIs") (the "Offering") has closed. The Company has issued 12,023,360 Special Warrants at a price of C$3.50 per Special Warrant for gross proceeds of C$42,081,760 and has also issued 20,976,640 CDIs at A$3.54 (the Australian dollar equivalent of C$3.50 at the time of announcement on 4 October, 2010) for gross proceeds of A$74,257,305. 

Each Special Warrant will entitle the holder thereof to receive, without payment of additional consideration, one common share of the Company. Special Warrants will be deemed exercised on behalf of holders, and without any required action or payment of additional consideration by the holders at the earlier of: (i) the third business day after the date of receipt for a final prospectus to qualify, in each of the provinces of Canada (other than Quebec), the distribution of common shares to be issued upon exercise of the Special Warrants; and (ii) 4:59 p.m. (Toronto time) on the date which is four months and one day following the closing date. 

The Company will use its best efforts to file and obtain a receipt for a final short form prospectus in the week beginning November 8, 2010 for the purpose of qualifying the distribution of underlying common shares issuable upon exercise of the Special Warrants. 

The Offering was led by Macquarie Capital Markets Canada Ltd. and Citigroup Global Markets Canada Inc, as part of a syndicate of underwriters, which also included GMP Securities LP, Cormark Securities Inc, BMO Nesbitt Burns Inc, Raymond James Ltd and NCP Northland Capital Partners Inc. 

This media release does not constitute an offer to sell or the solicitation of an offer to buy securities in the United States or to any person that is, or is acting for the account or benefit of, a "U.S. person" (as defined in Regulation S under the United States Securities Act of 1933, as amended (the "Securities Act")) ("U.S. Person") or any other jurisdictions outside of Canada, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been, and will not be, registered under the Securities Act, or any state securities laws and may not be offered or sold in the United States or to any person that is, or is acting for the account or benefit of, a U.S. Person absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.

About OceanaGold

OceanaGold Corporation is a significant Pacific Rim gold producer with projects located on the South Island of New Zealand and in the Philippines. The Company's assets encompass New Zealand's largest gold mining operation at the Macraes goldfield in Otago which is made up of the Macraes open pit and the Frasers Underground mines. Additionally on the west coast of the South Island, the Company operates the Reefton open-pit mine. OceanaGold is 100% unhedged and produces between 270,000 – 300,000 ounces of gold per annum from the New Zealand operations. The Company also owns the Didipio Gold-Copper Project in northern Luzon, Philippines.

OceanaGold is listed on the Toronto, Australian and New Zealand stock exchanges under the symbol OGC.

Cautionary Statement

Statements in this release may be forward-looking statements or forward-looking information within the meaning of applicable securities laws. Such statements include statements regarding the Offering. In addition, any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects" or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "estimates" or "intends", or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements including, among others, the ability of the Company to meet the conditions of the Offering and to file documents in connection with the Offering, the accuracy of mineral reserve and resource estimates and related assumptions, inherent operating risks and those risk factors identified in the Company's Annual Information Form prepared and filed with securities regulators in respect of its most recently completed financial year. There are no assurances the Company can fulfil such forward-looking statements and, subject to applicable securities laws, the Company undertakes no obligation to update such statements. Such forward-looking statements are only predictions based on current information available to management as of the date that such predictions are made; actual events or results may differ materially as a result of risks facing the Company, some of which are beyond the Company's control. Accordingly, readers should not place undue reliance on forward-looking statements. It is also noted that mineral resources that are not mineral reserves do not have demonstrated economic viability.

Contact Information

  • OceanaGold Corporation
    Mr Darren Klinck
    Vice President, Corporate and Investor Relations
    +61(3) 9656 5300