cnw


THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT
INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
DISSEMINATION IN THE UNITED STATES.




VANCOUVER, March 4 /CNW/ - Goldgroup Mining Inc. (TSX: GGA) ("Goldgroup"
or the "Company") is pleased to announce that in connection with its
previously announced offering of 25 million common shares at a price of
Cdn$1.40 per share (the "Offering"), the underwriters have determined
to exercise the over-allotment option in full to acquire an additional
3.75 million common shares at Cdn$1.40 per share to raise additional
aggregate gross proceeds of Cdn$5.25 million. The Company expects to
close the Offering concurrently with the over-allotment option on or
about March 10, 2011.




Dahlman Rose & Company, LLC and Canaccord Genuity Corp. acted as joint
book-running managers for the Offering along with Jennings Capital Inc.
acting as co-manager. Dahlman Rose & Company, LLC will only be
conducting sales into the United States.




The securities have not been and will not be registered under the U.S.
Securities Act of 1933, as amended, or under any state securities laws
and may not be offered or sold in the United States, absent
registration or an applicable exemption from the registration
requirements. This news release does not constitute an offer to sell or
the solicitation of an offer to buy nor will there be any sale of the
securities in any state in which such offer, solicitation or sale would
be unlawful.




About Goldgroup




Goldgroup is a Canadian-based gold producer and is focused on the
acquisition, exploration and development of advanced stage gold-bearing
mineral properties in the Americas. The Company's current gold
production and exploration and development related activities are
conducted exclusively in Mexico, one of the world's most advantageous
mining jurisdictions. Goldgroup owns and operates the Cerro Colorado
Mine in Sonora along with a property portfolio that includes its
interests in the Caballo Blanco Project in Veracruz and the San Jose de
Gracia Project in Sinaloa.