Extorre Gold Mines Announces Closing of $40 Million Bought Deal Equity
Financing

/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

VANCOUVER, Sept. 28 /CNW/ - Extorre Gold Mines Limited ("Extorre" or the "Company) is pleased to announce that it has closed the bought deal private placement financing announced September 13, 2010 (the "Offering"). The Company has issued 9,100,000 common shares at a price of $4.45 per common share for gross proceeds of $40,495,000.

The Offering was led by Canaccord Genuity Corp. and included TD Securities Inc., BMO Nesbitt Burns Inc., GMP Securities Inc., Salman Partners Inc. and Dahlman Rose & Co. (the "Underwriters"). The Underwriters received a cash commission of 6% of the gross proceeds raised through the Offering and warrants ("Broker Warrants") equal to 5% of the shares issued through the Offering. Each Broker Warrant shall be exercisable to acquire one common share of the Company at an exercise price of $5.00 for a period of 12 months from closing. Securities issued under the Offering are subject to a hold period in Canada which will expire four months and one day from the date of closing.

The Company intends to use the net proceeds of the Offering to advance its Cerro Moro project located in the Santa Cruz Province, Argentina, including extending the discovery drilling program, advancing engineering programs, for general exploration and for general working capital purposes.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

    
    Extorre Gold Mines Limited
    Eric Roth                            Suite 1260, 999 West Hastings St.
    President and CEO                         Vancouver, BC Canada V6C 2W2
    [email protected]
    

Safe Harbour Statement - This news release contains "forward-looking information" and "forward-looking statements" (together, the "forward-looking statements") within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995, including statements with respect to the intended use of the net proceeds of the offering. These forward-looking statements are made as of the date of this news release. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the future circumstances, outcomes or results anticipated in or implied by such forward-looking statements will occur or that plans, intentions or expectations upon which the forward-looking statements are based will occur. While the Company has based these forward-looking statements on its expectations about future events as at the date that such statements were prepared, the statements are not a guarantee that such future events will occur and are subject to risks, uncertainties, assumptions and other factors which could cause events or outcomes to differ materially from those expressed or implied by such forward-looking statements. Such factors and assumptions include, among others, the effects of general economic conditions, the price of gold and silver, changing foreign exchange rates and actions by government authorities, results of exploration drilling, and uncertainties associated with legal proceedings and negotiations. In addition, there are known and unknown risk factors which could cause the Company's actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. Known risk factors include risks associated with project development; the need for additional financing; fluctuations in metal prices; title matters; uncertainties and risks related to carrying on business in foreign countries; environmental liability claims and insurance; reliance on key personnel; currency fluctuations; competition; and other risks and uncertainties, including those described in its management discussion and analysis for the period ended June 30, 2010 filed with the Canadian Securities Administrators and available at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company is under no obligation to update or alter any forward-looking statements except as required under applicable securities laws.

Cautionary Note to United States Investors - The information contained in our filings with the Canadian Securities Administrators on SEDAR has been prepared in accordance with the requirements of Canadian securities laws, which differ from the requirements of United States securities laws. In particular, the term "resource" does not equate to the term "reserve". The Securities Exchange Commission's (the "SEC") disclosure standards normally do not permit the inclusion of information concerning "measured mineral resources", "indicated mineral resources" or "inferred mineral resources" or other descriptions of the amount of mineralization in mineral deposits that do not constitute "reserves" by SEC standards, unless such information is required to be disclosed by the law of the Company's jurisdiction of incorporation or of a jurisdiction in which its securities are traded. U.S. investors should also understand that "inferred mineral resources" have a great amount of uncertainty as to their existence and great uncertainty as to their economic and legal feasibility. Disclosure of "contained ounces" is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute "reserves" by SEC standards as in place tonnage and grade without reference to unit measures.

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For further information: Rob Grey, VP Corporate Communications, Tel: [phone], Fax: [phone], Toll-free: 1.888.688.9512