Guyana Goldfields Inc. Announces Completion of Acceleration Of Warrants

TORONTO, Oct. 1 /CNW/ - Guyana Goldfields Inc. (TSX:GUY) ("GUY" or the "Company") announces that it has successfully completed the acceleration of its Series 2009-I and Series 2009-II warrants, as previously announced in the press release dated July 29, 2010. An aggregate of 909,091 Series 2009-I and 1,995,909 Series 2009-II warrants were accelerated.

2,902,900 warrants were exercised, of which all warrants were exercised by payment of the $4.00 cash exercise price.

As a result, the following was completed:

    
    -   $11,611,600 of gross cash proceeds were raised from the exercise of
        2,902,900 warrants;

    -   2,902,900 new shares of common stock were issued.
    

As of October 1, 2010, Guyana Goldfields Inc. has outstanding 80,785,593 shares of common stock and 1,730,000 warrants. In addition, the remaining 1,730,000, 2006 Series-I warrants held by the International Finance Corporation (IFC) expire in the first quarter of 2011.

About Guyana Goldfields Inc.:

Guyana Goldfields Inc. is a Canadian based mineral exploration company primarily focused on the exploration and development of gold deposits in Guyana, South America where the Company has operated since 1996. The Company is currently undertaking technical studies to advance and develop the Aurora Gold Project in Guyana, which is targeted to begin production in the second half of 2012.

The Aranka Properties, currently in advanced staged exploration, are drilling highly prospective targets in an ongoing program and recently discovered a new gold zone. As at the date hereof, the Company has approximately $73 million in cash and short-term bank guaranteed investment certificates and no debt and 80,785,593 shares issued and outstanding.

%SEDAR: 00022477E

For further information: Guyana Goldfields Inc.: Claude Lemasson, President & COO, Director; Jacqueline Wagenaar, Director of Investor Relations, Tel: [phone] Ext. 2295, Fax: [phone], E-mail: [email protected], Website: www.guygold.com