GBG - Great Basin - Announces closing of C$86.26 million bought deal public

GBG - Great Basin - Announces closing of C$86.26 million bought deal public     
offering of common shares                                                       
GREAT BASIN GOLD LIMITED                                                        
(Incorporated in Canada and registered as an External Company in South Africa)  
(Registration No. 2006/021304/10)                                               
Share Code: GBG      ISIN Number: CA3901241057                                  
("Great Basin" or "the Company")                                                
GREAT BASIN GOLD ANNOUNCES CLOSING OF C$86.26 MILLION BOUGHT DEAL               
PUBLIC OFFERING OF COMMON SHARES                                                
Not for distribution to U.S. news wire services or dissemination in the United  
States                                                                          
February 23, 2011, Vancouver, BC - Great Basin Gold Ltd. ("Great Basin Gold"    
or the "Company"), (TSX: GBG; NYSE Amex: GBG; JSE: GBG) announces that it has   
closed its previously announced bought deal offering of common shares with a    
syndicate of underwriters led by RBC Capital Markets and including, BMO         
Capital Markets and Raymond James Ltd. (the "Offering"). The underwriters have  
exercised their over-allotment option resulting in aggregate gross proceeds of  
C$86.26 million.                                                                
Net proceeds from the Offering will be used predominantly for working capital   
to support the ramp up at Burnstone and to advance exploration activities at    
identified exploration targets at Hollister. Working capital for Burnstone      
includes additional on-reef development required by the preferred Long Hole     
Stoping mining method that is expected to accelerate and enhance delivery of    
planned production in the medium term.                                          
The securities offered have not been and will not be registered under the U.S.  
Securities Act of 1933, as amended, and may not be offered or sold in the       
United States absent registration or an applicable exemption from the           
registrations requirements of such Act. This press release shall not            
constitute an offer to sell or the solicitation of an offer to buy the          
securities in any jurisdiction in which such offer, sale or solicitation would  
be unlawful.                                                                    
Copies of the final short form prospectus may be obtained from RBC Capital      
Markets, Attention: Distribution Centre, 277 Front St. W., 5th Floor, Toronto,  
Ontario M5H 2X4 (tel: 416-842-5349).                                            
For additional details on Great Basin Gold and its gold properties, please      
visit the Company`s website at www.grtbasin.com or contact Investor Services:   
Tsholo Serunye in South Africa               +27 (0)11 301-1800                 
Michael Curlook in North America             +1 888 633-9332                    
Barbara Cano at Breakstone Group in the USA  +1 (646) 452-2334                  
No regulatory authority has approved or disapproved the information contained   
in this news release.                                                           
Cautionary and Forward Looking Statement Information                            
This release includes certain statements that may be deemed "forward-looking    
statements". All statements in this release, other than statements of           
historical facts, that address financing events or technical developments that  
Great Basin Gold expects to occur are forward-looking statements. Although the  
Company believes the expectations expressed in such forward-looking statements  
are based on reasonable assumptions, such statements are not guarantees of      
future performance and actual results or developments may differ materially     
from those in the forward-looking statements. Factors that could cause actual   
results to differ materially from those in forward-looking statements include   
financial market conditions, metals prices, exploitation and exploration        
successes, continuity of mineralization, uncertainties related to the ability   
to obtain necessary permits, licenses and title and delays due to third party   
opposition, geopolitical uncertainty, changes in government policies regarding  
mining and natural resource exploration and exploitation, continued             
availability of capital and financing, and general economic, market or          
business conditions. Investors are cautioned that any such statements are not   
guarantees of future performance and actual results or developments may differ  
materially from those projected in the forward-looking statements. For more     
information on the Company, Investors should review the Company`s annual Form   
40-F filing with the United States Securities and Exchange Commission and its   
home jurisdiction filings that are available at www.sedar.com.                  
Sponsor                                                                         
Nedbank Capital                                                                 
Date: 24/02/2011 09:25:01 Supplied by www.sharenet.co.za                     
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