Osisko Mining Corporation Increases Bought Deal Offering to C$350,350,000

9:31 AM ET, February 4, 2009


MONTREAL, QUEBEC, Feb 4, 2009 (Marketwire via COMTEX) -- THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.


Osisko Mining Corporation ("Osisko" or the "Company") (OSK) - In connection with its previously announced public offering Osisko is pleased to announce that the Company and the syndicate led by Thomas Weisel Partners Canada Inc. and BMO Capital Markets (the "Underwriters") have agreed to increase the size of the offering. Under the revised terms, the Underwriters have agreed to buy 77,000,000 units (the "Units") from Osisko on a bought-deal basis and sell them to the public at a price of C$4.55 per Unit. Each unit will consist of one common share and one-half common share purchase warrant. Each whole warrant will entitle the holder to purchase one additional common share of the Company at a price of C$5.45 until November 17, 2009.

The Company has also granted to the Underwriters an over-allotment option to purchase an additional 11,550,000 Units at the same price, exercisable in whole or in part, for a period of 30 days on or following the closing date.

The gross proceeds raised from the offering will be C$350,350,000 (C$402,902,500 if the over-allotment option is exercised). The offering is subject to the approval of the TSX. The Units will be offered in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Quebec by short form prospectus, and in such other jurisdictions, including the United States and in those jurisdictions outside of Canada which are agreed to by the Company and the Underwriters, where the Units can be issued on a private placement basis, exempt from any prospectus, registration or other similar requirements. The offering is expected to close on or about February 25, 2009.

Osisko intends to use the net proceeds of the offering to fund the development of the Malartic project and for general corporate purposes. With the upsized offering, the Company expects this adequately fulfills the equity requirements for the Malartic project.

The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

SOURCE: Osisko Mining Corporation
Osisko Mining Corporation
John Burzynski
Vice-President Corporate Development
(514) 735-7131
Website: www.osisko.com