Gryphon Gold Corporation (TSX:GGN)(OTCBB:GYPH) (the "Company") is pleased to
announce that it has closed its previously announced offering of 80,000,000
shares of common stock of the Company ("Common Shares") at a price of US$0.125
per Common Share (CDN$0.12 per Common Share) for aggregate gross proceeds to the
Company of approximately US$10,000,000 (CDN$9,600,000) (the "Offering"). Roth
Capital Partners ("Roth") acted as sole book-running manager for the Offering in
the United States and Acumen Capital Finance Partners Limited ("Acumen" and
together with Roth, the "Underwriters") acted as sole book-running manager for
the Offering in Canada.


As part of the Offering, the Company granted the Underwriters an over-allotment
option to purchase up to an additional 12,000,000 Common Shares of the Company
at the public offering price of the Offering to cover over-allotments, if any
(the "Over-Allotment Option"). In connection with the closing of the Offering,
Acumen exercised its portion of the Over-Allotment Option and purchased an
additional 6,000,000 Common Shares of the Company at price of US$0.125 per
Common Share (CDN$0.12 per Common Share) for additional gross proceeds to the
Company of approximately US$750,000 (CDN$720,000). Roth may exercise its portion
of the Over-Allotment Option to purchase up to an additional 6,000,000 Common
Shares of the Company at any time up to and including June 10, 2011 (30 DAYS
FROM THE DATE OF THE PROSPECTUS).


As compensation to the Underwriters in connection with the Offering, the Company
granted the Underwriters warrants to purchase up to that number of Common Shares
equal to an aggregate of 2.5% of the total number of Common Shares sold by each
of Roth and Acumen, respectively, pursuant to the Offering (including any Common
Shares sold pursuant to the Over-Allotment Option). The warrants are exercisable
commencing November 10, 2011 for a period of up to two years thereafter at an
exercise price of US$0.30 per Common Share. Additionally, in consideration for
services rendered by the Underwriters, the Company also paid the Underwriters a
cash fee equal to 6% of the aggregate gross proceeds of the Offering.


The Company intends to use the net proceeds of the Offering to start oxide heap
leach operations at its Borealis gold project, located in Mineral County,
Nevada, including to construct necessary facilities, purchase necessary
equipment, fund the bonding of the affected areas for reclamation and closure,
recruit and hire key operating positions, fund four months of mining operations
and for general administrative and working capital needs.


The Common Shares were sold in the United States by way of a registration
statement on Form S-1, initially filed with the Securities and Exchange
Commission ("SEC") on February 4, 2011 and declared effective on May 13, 2011,
and in Canada by way of a short form prospectus as filed with the securities
regulatory authorities in each of the Provinces of British Columbia, Alberta,
Saskatchewan and Ontario. A final prospectus relating to the Offering was filed
in the United States with the SEC and in Canada with the securities regulatory
authorities in each of the Provinces of British Columbia, Alberta, Saskatchewan
and Ontario.


ABOUT GRYPHON GOLD

Gryphon Gold is a Nevada-focused gold exploration company. Gryphon Gold's
principal property is its Borealis gold project located in the Walker Lane gold
belt of western Nevada.


This press release contains "forward-looking statements" and "forward-looking
information" within the meaning of United States and Canadian securities laws,
which may include, but is not limited to the anticipated use of proceeds from
the offering, planned operations at the Borealis gold project, and other
statements related to plans, estimates, timing and objectives. Such
forward-looking statements and forward-looking information reflect our current
views with respect to future events and are subject to certain risks,
uncertainties and assumptions, including, risks that: unexpected contingencies
may result in the net proceeds of the offering not being sufficient to start
heap leach operations at the Borealis gold project, and the risks and
uncertainties outlined under the section headings "Forward-Looking Statements"
and "Risk Factors and Uncertainties" in Gryphon's annual report on Form 10-K, as
filed with the SEC on June 28, 2010, under the section heading "Risk Factors"
and in Gryphon's registration statement on Form S-1, as filed with SEC on
February 4, 2011, as amended, and most recent financial statements and reports
filed with the SEC (available at www.sec.gov) and prospectuses filed with
Canadian securities administrators (available at www.sedar.com). Should one or
more of these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from those
anticipated, believed, estimated or expected. We do not undertake to update
forward-looking statements or forward-looking information, except as may be
required by law.