Pershimco Resources Inc.
TSX VENTURE : PRO
FRANKFURT : BIZ

Pershimco Resources Inc.

February 08, 2012 17:32 ET

Pershimco Resources Announces C$7,000,000 Increase in Offering to C$27,000,000

ROUYN-NORANDA, QUEBEC--(Marketwire - Feb. 8, 2012) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Pershimco Resources Inc. (TSX VENTURE:PRO)(FRANKFURT:BIZ) ("Pershimco" or the "Company") is pleased to announce that due to strong investor demand for its recently announced bought deal private placement offering of common shares (the "Offering"), the Company has increased the size of the Offering by C$7,000,000.

The Offering, which is being co-led by Clarus Securities Inc. and GMP Securities L.P., and includes PowerOne Capital Markets Limited and Jennings Capital Inc. (collectively, the "Underwriters"), will now include the issuance of an additional 7,000,000 common shares at a price of C$1.00 per common share, for a total of 27,000,000 common shares being issued for aggregate gross proceeds of C$27,000,000.

The Company has also granted to the Underwriters an over-allotment option to purchase an additional 3,000,000 common shares at the same price, exercisable by the Underwriters no later than two days prior to closing for additional gross proceeds of up to C$3,000,000. Pershimco plans to use the net proceeds of the offering to fund exploration and advancement of the Company's Cerro Quema Project in Panama and for general corporate purposes.

The offering is scheduled to close on or about February 29, 2012, and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The securities to be issued under this offering will be offered by way of private placement exemptions in all the provinces of Canada, offshore including in the United Kingdom pursuant to applicable exemptions and in the United States on a private placement basis pursuant to exemptions from the registration requirements of the United States Securities Act of 1933, as amended.

The securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of, nor a solicitation for offers to buy, any securities in the United States. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the issuer and its management, as well as financial statements.

About Pershimco Resources Inc.

Pershimco Resources Inc. is a Canadian-based resources and exploration corporation listed on the TSX Venture Exchange and the Frankfurt Exchange. The Corporation holds several mining properties in Canada and South America including the extraction permitted Cerro Quema advanced project in Panama and the Courville Gold Project, in the Val-d'Or Gold Mining Camp, coowned in partnership with Osisko Mining Corporation. The Corporation is managed by skilled and reputable people with extensive mining exploration and development experience. The Pershimco Team and our investors are the key to our success.

The Corporation's documents are available on www.sedar.com.

Please visit the Corporation's website at www.pershimco.ca.

Statements made in this news release that are not historical facts are "forward-looking statements" and readers are cautioned that any such statements are not guarantees of future performance, and that actual developments or results, may vary materially from those in these "forward-looking" statement.

Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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