core sector communique

Colossus Minerals Inc. Announces Closing of Bought Deal Financing and Over-Allotment Option Exercise for Total Gross Proceeds of $86,250,000 November 8, 2011 Toronto, Ontario, November 8, 2011 – Colossus Minerals Inc. ("Colossus") (TSX:CSI)(TSX:CSI.NT) (TSX:CSI.WT.A) is pleased to announce the successful closing of its previously announced bought deal public offering of 75,000 units (“Units”) and the underwriters' exercise in full of an over-allotment option to purchase an additional 11,250 Units at a price of $1,000 per Unit for total gross proceeds to Colossus of $86,250,000. Each Unit consists of a $1,000 principal amount unsecured gold-linked note (collectively, “Notes”) and sixty common share purchase warrants (collectively, “Warrants”). The Units separated into Notes and Warrants on closing. The Notes will mature on December 31, 2016 and will bear interest, accruing and calculated and payable semi-annually in arrears on June 30 and December 31 of each year, at a rate of between 6% and 13%, dependent on the simple average of the Bloomberg Composite New York Gold Price closing price. Each Warrant entitles the holder thereof to acquire one common share of Colossus at a price of $8.50 until expiry at 5:00 p.m. on November 8, 2016. The syndicate of underwriters was led by Dundee Securities Ltd., and included Clarus Securities Inc., Canaccord Genuity Corp., and GMP Securities L.P., with PowerOne Capital Markets Limited acting as a selling group member. The Notes and Warrants are scheduled to commence trading today under the symbols CSI.NT and CSI.WT.A respectively. This news release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the Unites States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements. About Colossus Colossus is a Canadian-based exploration and development company focused in the mineral prolific Carajas region of Para State, Brazil. Our primary focus is to advance the Serra Pelada project into production. Serra Pelada is host to one of the highest grade gold and platinum group metals deposits in the world. Between 1980 and 1986 Serra Pelada was host to the largest precious metals rush in Latin American history. Colossus’ common shares trade on the Toronto Stock Exchange under the symbol CSI. The Company is headquartered in Toronto, Canada.