Guyana Precious Metals Inc. Announces Closing of Private Placement Financing to Raise $7,000,000

TORONTO, Dec. 13 /CNW/ -- 
/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE U.S./


TORONTO, Dec. 13 /CNW/ - Guyana Precious Metals Inc. (TSX-V:GPM) (the
 "Company") is pleased to announce that it has closed its previously
 announced non-brokered private placement (the "Offering") pursuant to
 which it has issued an aggregate of 70,000,000 units ("Units") at a
 price of $0.10 per Unit, to raise aggregate gross proceeds of
 $7,000,000.  Each Unit consists of one common share of the Company (a
 "Common Share") and one share purchase warrant of the Company, each
 such share purchase warrant entitling the holder thereof to acquire one
 additional Common Share for a period of 24 months at an exercise price
 of $0.13 per share.  Insiders of the Company subscribed for an
 aggregate of 20,800,000 Units in the Offering. 


All of the securities issued and issuable in connection with the
 Offering are subject to a statutory hold period expiring on April 11,
 2011.  The Offering remains subject to the final approval of the TSXV.


In connection with the Offering, Mr. Patrick Sheridan announces that he
 has acquired ownership of an aggregate of 16,400,000 Units on December
 10, 2010, representing approximately 9.4% of the issued and outstanding
 Common Shares of the Company as at December 10, 2010 (or approximately
 17.2% on a partially diluted basis assuming exercise of the Warrants
 comprising, in party, such 16,400,000 Units only).


Upon completion of the transaction described above, Mr. Sheridan owns
 and controls an aggregate of 24,959,000 Common Shares of the Company
 and 21,030,000 convertible securities of the Company, inclusive of the
 Warrants comprising the Units acquired by Mr. Sheridan in the Offering
 (collectively, the "Convertible Securities"), representing
 approximately 14.3% of the issued and outstanding Common Shares of the
 Company immediately following the Offering (or approximately 23.5%
 calculated on a partially diluted basis, assuming the exercise of the
 21,030,000 Convertible Securities only).


The Units were acquired by Mr. Sheridan in a private placement
 transaction which did not take place through the facilities of any
 market for the Company's securities.  This transaction was effected for
 investment purposes and Mr. Sheridan could increase or decrease his
 investments in the Company at any time, or continue to maintain his
 current investment position, depending on market conditions or any
 other relevant factor.  The Units were acquired by Mr. Sheridan for a
 purchase price of Cdn$0.10 per Unit for aggregate consideration of
 $1,640,000.


NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER
 (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)
 ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.


Forward Looking Statements - Certain information set forth in this news
 release may contain forward-looking statements that involve substantial
 known and unknown risks and uncertainties. These forward-looking
 statements are subject to numerous risks and uncertainties, certain of
 which are beyond the control of the Company, including, but not limited
 to the impact of general economic conditions, industry conditions, and
 dependence upon regulatory approvals. Readers are cautioned that the
 assumptions used in the preparation of such information, although
 considered reasonable at the time of preparation, may prove to be
 imprecise and, as such, undue reliance should not be placed on
 forward-looking statements.


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pGuyana Precious Metals Inc.br/ Suite 1205br/ 141 Adelaide Street Westbr/ Toronto, Ontario M5H 3L5br/ Attn: John Patrick Sheridanbr/ Tel: [phone]br/ Fax: [phone]br/ E-mail: a href="mailto:[e-mail]" cr="true"[e-mail]/a/p

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