Silver/Gold

[NYBob]

RMK Jv. PG Hardrock project - More cash for Hardrock PG again

THUNDERBAY, ON, Sept. 28 /CNW/ - PREMIER GOLD MINES LIMITED
("Premier") (TSX:PG) is pleased to announce that it has
entered into an agreement -
with Jones, Gable & Company Limited
(the "Agent") in connection with a best-efforts private
placement of "flow-through" common shares("Flow-Through
Shares") of Premier at a price of $3.65 per Flow-Through Share
for aggregate gross proceeds of up to $5.5 million.

The Flow-Through Shares will be offered by way of
private placement to accredited investors in each of
the provinces of Canada.

Premier plans to use the gross proceeds from the sale of
the Flow-Through Shares for exploration programs
to be conducted on the Hardrockproject,
Red Lake projects and PQ North project in Ontario.

"Premier will remain one of the industry's most active explorers with an exploration budget of
approximately $20 Million over the next 15 months,"
stated Ewan Downie, President of Premier.
"We expect our exploration program will include
more than 100,000 meter of drilling on four projects
prior to the end of 2010."

The private placement is expected to close on or about
October 15, 2009 and is subject to certain conditions typical
for a transaction of this nature and the receipt of all
necessary regulatory approvals including the approval of the
Toronto Stock Exchange.

Premier Gold Mines Limited is a well financed Canadian-based mineral exploration and development company with several projects and deposits in Northwestern Ontario. In the Red Lake gold mining camp, two of these projects are operated in joint venture with Red Lake Gold Mines.

Premier has active drill programs at its Hardrock Project
and its PQ North Project which is strategically located
on the main Musselwhite Gold Mine trend.

Thispress release contains "forward-looking information", within themeaning of Canadian securities legislation, which are based on theopinions and estimates of management and are subject to a variety ofrisks and uncertainties and other factors that could cause actualevents or results to differ materially from those projected in theforward-looking information. Such risks and uncertainties include, butare not limited to, risks associated with the mining industry, the riskof commodity price and foreign exchange rate fluctuations, the abilityof Premier to complete the offering and fund the capital and operatingexpenses necessary to achieve the business objectives of Premier, aswell as those risks described in public disclosure documents filed byPremier. Due to the risks, uncertainties and assumptions inherent inforward-looking information, prospective investors in securities ofPremier should not place undue reliance on the forward-lookinginformation.

The Toronto Stock Exchange has not reviewed and does not accept

responsibility for the adequacy or accuracy of this release.

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.

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