Virginia to Complete a $2.9 M Flow-Through-Share Private Placement

Not for distribution to U.S. newswire services or for dissemination in the United States. Any failure to comply with this restriction may constitute a violation of U.S. Securities Law.

QUEBEC CITY, QUEBEC -- (Marketwire - May 8, 2012) - Virginia Mines Inc. ("Virginia") (TSX:VGQ) announces that it has negotiated a private placement that consists of 190,000 flow-through common shares ("Flow-Through Shares") at a price of $15.50 per share, which represents 68% premium to the 10 days volume weighted average trading price of the common shares of Virginia on the Toronto Stock Exchange for the period ending May 7, 2012, for gross proceeds of CA$2,945,000 (the "Offering"). National Bank Financial Inc. ("National Bank") has been appointed as the agent for the Offering.

On closing, Virginia has agreed to pay National Bank a cash fee equal to 6% of the gross proceeds of the Offering.

The Offering is scheduled to close on or before May 30, 2012, and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange. The Flow-Through Shares will be subject to a four-month hold period in Canada.

Proceeds from the offering will be used to fund exploration work on Virginia's numerous projects.

THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.


About Virginia

Virginia (TSX:VGQ) conducts its exploration activities over the vast, unexplored territories of Northern Quebec in order to create value for its shareholders while protecting the quality of life for both present and future generations. With a working capital position of $43.6 million as at November 30, 2011, Virginia is among the most active mining exploration companies in Québec.


This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described from time to time in Virginia's periodic reports filed with the security commissions of British Columbia, Alberta, Ontario and Quebec, and in the annual report on Form 40-F filed with the U.S. Securities and Exchange Commission. Virginia undertakes no obligation to publicly release the result of any revision of these forward-looking statements to reflect events or circumstances after the date they are made or to reflect the occurrence of unanticipated events.



Contact Information

Virginia Mines Inc.
Andre Gaumond, President
800-476-1853 or 418-694-9832
418-694-9120 (FAX)

Virginia Mines Inc.
Robin Villeneuve, CFO
800-476-1853 or 418-694-9832
418-694-9120 (FAX)
mines@virginia.qc.ca
www.virginia.qc.ca