PMI Gold Corporation

PMI Gold Corporation

September 30, 2005 17:43 ET

PMI Ventures Completes Private Placement


The Company has now closed its recently announced private placement of 2,200,000 units for gross proceeds of $440,000. The shares, warrants and any shares issued upon exercise of the warrants are subject to a hold period and may not be traded in British Columbia until January 29, 2006 except as permitted by the Securities Act and the Rules made thereunder and the TSX Venture Exchange.

In consideration of arranging the private placement, two finders received finder's fees in the aggregate amount of $6,000 paid in cash.

News Release Required under Section 111 of the British Columbia Securities Act and Section 141 of the Alberta Securities Act

The Bowman Family Trust of 1294 North East Road, Tea Tree Gully, South Australia reports the purchase of 450,000 units of the Company at a price of $0.20 per unit. Each unit is comprised of one common share and one share purchase warrant exercisable until September 28, 2006 at an exercise price of $0.30. The Bowman Family Trust owned 1,500,000 common shares and 1,500,000 share purchase warrants of the Company prior to the purchase. Prior to the transaction, Pearce Bowman, the sole director of Ravensworth Management Pty. Ltd., the Trustee of The Bowman Family Trust owned 100,000 common shares, 50,000 share purchase warrants and incentive options for the purchase of up to 450,000 common shares at the exercise price of $0.30 per share exercisable up to June 28, 2009 and up to 80,000 common shares at the exercise price of $0.30 per share exercisable up to September 1, 2009. The 2,050,000 common shares, 1,550,000 warrants and 530,000 incentive options currently held by The Bowman Family Trust and Mr. Bowman represent approximately 12.05% of the issued capital of the Company assuming the warrants and options were exercised. The Bowman Family Trust and Pearce Bowman do not have any present intention to acquire ownership of or control over additional securities of the Company.

A copy of the report filed pursuant to the above-captioned provisions of the applicable Securities Acts may be obtained by contacting Pearce Bowman in Highbury, South Australia at 011 61 417 3 000 25.

On behalf of the Board,

Douglas R. MacQuarrie, President

This news release contains forward-looking statements which involve known and unknown risks, delays and uncertainties not under the Company's control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or expectations implied by these forward-looking statements.

Issued & Outstanding: 35,491,967

Fully Diluted: 52,056,434

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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