NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR:  HIGH RIVER GOLD MINES LTD.

TSX SYMBOL:  HRG

OCTOBER 26, 2004 - 08:40 ET

High River Gold Closes Cdn $60 Million Bought Deal

TORONTO, ONTARIO--(CCNMatthews - Oct. 26, 2004) - (TSX:HRG) - High River 
Gold Mines Ltd. ("High River") is pleased to announce that today it 
closed its previously announced public offering for a total of 
32,432,433 units at Cdn $1.85 per unit, each unit comprised of one 
common share and one-half of one common share purchase warrant. Each 
whole warrant entitles the holder to purchase one additional common 
share of High River at a price of Cdn $2.35 at any time prior to October 
26, 2006. The underwriters fully exercised their option to purchase 
5,405,405 units under the terms of the offering.

Gross proceeds of the offering were Cdn $60 million and the net 
proceeds, after deducting the underwriters' fee, were approximately Cdn 
$56.7 million. The offering was made through a syndicate of underwriters 
co-led by Sprott Securities Inc. and Dundee Securities Corporation, 
which included CIBC World Markets Inc., Paradigm Capital Inc. and Orion 
Securities Inc.

High River is a junior gold producer with operations and development 
projects in Russia, West Africa, and Canada. Proceeds of the offering 
will be used by the Company for the development of the Berezitovy and 
Taparko/Bouroum Projects and for general corporate purposes.

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