GOLDEN DAWN MINERALS INC. - Closing of Private Placement

TSX-V: GOM

FRANKFURT EXCHANGE: 3G8

VANCOUVER, Oct. 20 /CNW/ - GOLDEN DAWN MINERALS INC. (the "Company") is pleased to announce that further to its news release of September 28, 2010, the Company has now completed the second tranche of its private placement with a subscription of 3,650,000 non flow through units (the "Units") of the Company at a price of $0.05 per Unit. Each Unit will comprise one common share and one transferable common share purchase warrant. Each transferable common share purchase warrant is exercisable for one additional non flow through common share at $0.10 per share in the first year and $0.12 per share in the second year from the date of issuance.

Finders' Fees payable amount to $6,250 in cash and 125,000 Broker Warrants to Macquarie Private Wealth Inc., $5,000 in cash and 100,000 Broker Warrants to PI Financial Corp. and $3,500 in cash and 70,000 Broker Warrants to Canaccord Genuity Corp.

All of the shares, warrants and any shares issued upon exercise of the warrants comprising the units are subject to a hold period and may not be traded in British Columbia until February 20, 2011 except as permitted by the applicable Securities Acts and the Rules made there under and the TSX Venture Exchange.

The Company will use the proceeds towards a drilling program on its Greenwood properties in British Columbia and general corporate working capital. The company is expecting the exploration permit for the Wild Rose property to be granted shortly. A drill rig and a crew have been mobilized to commence a 2500-meter drill program on the Wild Rose property immediately upon receipt of the permit. The Greenwood properties can be drilled all year round.

    
    ON BEHALF OF THE BOARD OF DIRECTORS OF
    GOLDEN DAWN MINERALS INC.
    "Wolf Wiese"
    ----------------------------
    Wolf Wiese
    President/CEO
    

THIS PRESS RELEASE WAS PREPARED BY MANAGEMENT WHO TAKES FULL RESPONSIBILITY FOR ITS CONTENTS. NEITHER 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.

THIS DOCUMENT CONTAINS CERTAIN FORWARD LOOKING STATEMENTS WHICH INVOLVE KNOWN AND UNKNOWN RISKS, DELAYS, AND UNCERTAINTIES NOT UNDER THE COMPANY'S CONTROL WHICH MAY CAUSE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM THE RESULTS, PERFORMANCE, OR ACHIEVEMENTS IMPLIED BY THESE FORWARD LOOKING STATEMENTS. WE SEEK SAFE HARBOR.

For further information: GOLDEN DAWN MINERALS INC., 575 1111 WEST HASTINGS STREET, VANCOUVER, BC, V6E 2J3, Telephone: [phone], Facsimile: [phone]