HIF Hidefield Gld

    23 February 2007

                              HIDEFIELD GOLD PLC                               

                       PLACING TO RAISE GBP2.13 MILLION                        

The Directors of Hidefield Gold plc ("Hidefield" or the "Company") (HIF:AIM)
are pleased to announce the placing ("Placing") of 30,428,571 Hidefield Units
at a price of 7p each to raise GBP2.13 million (before expenses). Each
Hidefield Unit will consist of one new ordinary share of 1p each and one-half
ordinary share purchase warrant. Each whole ordinary share purchase warrant
will entitle the holder to acquire one additional ordinary share for a period
of eighteen months from the date of admission of placing shares at an exercise
price of 8.5p. The warrants will not be admitted to trading on AIM and half
warrants will be rounded down to the nearest whole number.

The Hidefield Units have been offered at a discount of approximately 3.5 per
cent. to the closing middle market price of 7.25p per share on 22 February
2007, the last business day prior to the date of this announcement. The new
ordinary shares to be issued under the Placing will represent 11.1 per cent. of
the Company's undiluted enlarged issued share capital immediately following the
Placing.

Of the 30,428,571 Hidefield Units subscribed under the Placing, 28,628,571
Units have been placed by the Company and Teather & Greenwood Limited with UK
investors and 1,800,000 Units have been placed by the Company with Swiss and
certain other high net worth investors.

The funds raised from the Placing will be applied towards the advancement of
the Company's exploration and pre-feasibility study activities at the East
Santa Cruz gold project, Patagonia, Argentina and for general working capital
requirements in connection with the Company's other activities including its
projects in Alaska, Brazil and Canada.

The Company has also been notified that Hamilton Capital Partners Limited
("Hamilton"), a company in which Kenneth Judge, the chairman of Hidefield, is
beneficially interested, has subscribed for 2,142,857 Units as part of the
Placing. Following this transaction Hamilton will own 14,961,675 ordinary
shares, representing 5.4 per cent. of the Company's issued share capital as
enlarged by the Placing, and will hold 1,071,428 warrants (in addition to
Hamilton's existing call option over 11.125 million Hidefield shares held by
Brazilian Diamonds Limited, as has previously been disclosed).

Following the Placing there will be 275,140,651 ordinary shares in issue. The
new ordinary shares issued pursuant to the Placing will rank equally with the
existing ordinary shares and the new ordinary shares are expected to be
admitted to trading on AIM on 28 February 2007.

Editor's Note:

ABOUT HIDEFIELD

Hidefield is a gold company with a focus on the acquisition and development of
highly prospective projects in North and South America. The Company has a
diverse portfolio of projects, those of which in South America are directly
held as are the projects in Alaska, while those in Canada, Nevada and Arizona
are held in independent, self-funded associate companies.

Hidefield's substantial direct gold project interests are principally in
Argentina where the Company is actively exploring the advanced stage East Santa
Cruz gold project in Santa Cruz Province and operates in joint venture with
Minera Sud Argentina S.A. with which it is currently exploring a number of gold
exploration licenses in the Patagonian provinces of Santa Cruz, Chubut, and Rio
Negro. In Brazil the Company is focused on the evaluation of the advanced stage
Cata Preta gold project near the historic city of Ouro Preto in the productive
Quadrilatero Ferrifero region of Minas Gerais state.

In Alaska Hidefield has a 60% interest in the Golden Zone and South Estelle
mineral projects and an option to earn up to 100% interest, subject to a 2.5%
NSR, by making a series of staged cash, share and property expenditures. The
Golden Zone property is located 240 km north of Anchorage and contains a
measured and indicated resource of approximately 253,000 ounces of gold,
1,180,000 ounces of silver and 6,114,000 pounds of copper. The South Estelle
property is located approximately 175 km northwest of Anchorage and 230 km
southwest of the Golden Zone project and adjoins Kennecott's Whistler
copper-gold property.

For more information on Hidefield go to www.hidefieldgold.com

For further information on this release, please contact:

Hidefield Gold Plc                                
Ken Judge, Chairman                                   + 44 773 300 1002     
                                                                              
Investor Relations                                                            
Paul Ensor                                            + 44 20 7590 5503                        
                                                                              
Hanson Westhouse Limited (Nomad)                  
Tim Feather                                           + 44 113 246 2610                          
                                                                              
Teather & Greenwood: Landsbanki (Broker)                                                        
James Maxwell / James Glancy                          + 44 20 7426 9000                        



END

Hidefield Gold (LSE:HIF)
Historical Stock Chart
From Jun 2024 to Jul 2024

Hidefield Gold (LSE:HIF)
Historical Stock Chart
From Jul 2023 to Jul 2024