Virginia Mines Inc VGMNF

closing of the private placement

[20/20/12]

Virginia Mines Inc. (“Virginia”) confirms the closing of the private placement announced on May 8, 2012, which consisted of the issue of 190,000 flow-through common shares ("Flow-Through Shares") at a price of $15.50 per share, which represents 79% premium to the 10-day volume weighted average trading price of the common shares of Virginia on the Toronto Stock Exchange for the period ending May 31, 2012, resulting in gross proceeds of CA$2,945,000. National Bank Financial Inc. (“National Bank”) acted as agent for the offering and was paid a cash fee equal to 6% of the gross proceeds.

 

The Flow-Through Shares are subject to a four-month hold period in Canada.

 

Proceeds from the offering will be used to fund exploration work on Virginia’s numerous projects.

 

THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.

 

About Virginia

 

(VGQ: TSX) Virginia conducts its exploration activities over the vast, unexplored territories of Northern Quebec in order to create value for its shareholders while protecting the quality of life for both present and future generations. With a working capital position of $44.8 million as at February 29, 2012, Virginia is among the most active mining exploration companies in Québec.