Premier Gold Announces completion of $64 Million Bought Deal Public Offering of Common Shares and Flow-Through Common Shares

Premier Gold Mines Limited (TSX:PG) ("Premier" or the "Company") is pleased to announce that it has completed a previously announced bought deal public offering of 7,030,000 common shares (the "Common Shares") at a price of $6.08 per Common Share and 3,004,950 flow-through common shares (the "Flow-Through Shares") at a price of $7.08 per Flow-Through Share for aggregate gross proceeds of approximately $64 million (net proceeds of approximately $60.8 million) (the "Offering") through a syndicate of underwriters led by RBC Capital Markets and including Canaccord Genuity Corp., CIBC World Markets Inc., Scotia Capital Inc., Cantor Fitzgerald Canada Corporation, Stonecap Securities Inc., Laurentian Bank Securities Inc. and Octagon Capital Corporation. The Offering included the issue of 450,000 Common Shares at the Common Share offering price and 391,950 Flow-Through Shares at the Flow-Through Share offering price upon the exercise of the over-allotment option granted by the Company to the Underwriters under the Offering. Pursuant to the over-allotment option, the Underwriters have the right to purchase up to an additional 537,000 Common Shares at the Common Share offering price, exercisable in whole or in part, at any time prior to November 21, 2012.

The net proceeds from the Common Shares sold under the Offering will be used to fund Premier's exploration and development activities, repay indebtedness and for general corporate purposes, including working capital. The proceeds from the Flow-Through Shares sold under the Offering will be used by the Company to incur Canadian exploration expenses ("CEE") prior to December 31, 2013 on Premier's Canadian properties. The Company will renounce the CE444456E to subscribers of the Flow-Through Shares for the year ended December 31, 2012.

Premier Gold Mines Limited is one of North America's leading exploration companies with a high-quality pipeline of projects focused in proven, safe and accessible mining jurisdictions in Canada and the United States. The Company's portfolio includes significant assets in world class gold mining districts such as Red Lake, Musselwhite and Geraldton in Ontario and the Battle Mountain and Carlin Trends in Nevada.