Dec 22..from $1.25 financing..what a haircut..

STATES.

GoldQuest Mining Corp. (the "Company") (TSX VENTURE:GQC)(FRANKFURT:M1W)(BERLIN:M1W) today announced the closing of the bought deal private placement previously announced on July 31, 2012. Dundee Securities Ltd. (the "Lead Underwriter"), on behalf of a syndicate of Underwriters including Stifel Nicolaus Canada Inc., Clarus Securities Inc., GMP Securities L.P., and Raymond James Ltd. (the "Underwriters"), sold 12,000,000 common shares (the "Shares") at a price per Share of $1.25 for total gross proceeds of $15,000,000 (the "Offering"). As part of the Offering, the Underwriters exercised their option (the "Option") to purchase an additional 4,000,000 Shares of the Offering.

In connection with the Offering, the Underwriters received a cash commission equal to 6.0% of the gross proceeds raised under the Offering (inclusive of the Option) and that number of non-transferable broker warrants ("Broker Warrants") as is equal to 6.0% of the number of Offered Securities sold (inclusive of the Option). Each Broker Warrant will be exercisable into one Share of the Company, for a period of 24 months from the Closing Date at a price of $1.25 per Share.

The securities issued pursuant to the Offering are subject to a hold period expiring on December 22, 2012.