Minefinders Closes C$40 Million Bought Deal

Minefinders Corporation Ltd. ("Minefinders" or the "Company") (TSX:MFL)(NYSE-A:MFN) today reported that the Company has closed its previously announced C$40,020,000 bought deal offering (the "offering") in which a syndicate of underwriters purchased 9,200,000 units (the "units") from Minefinders for sale to the public at a price of C$4.35 per unit. Each unit consists of one common share of the Company (a "common share") and one-half of one common share purchase warrant (a "warrant"). Each whole warrant entitles the holder to purchase one common share of the Company, at a price of C$5.00 per common share, on or before December 31, 2011.

The lead underwriters for the offering were Scotia Capital Inc. and BMO Capital Markets with an underwriting syndicate that also included Salman Partners Inc.

The gross proceeds of the offering were $40,020,000. The Company intends to use the net proceeds of the offering to enhance working capital, reduce indebtedness and for general corporate purposes.

Supplements to the previously filed final base shelf prospectus setting out the details of the offering have been filed with the securities commissions and are available on www.sedar.com and www.sec.gov.

About Minefinders

Minefinders is a precious metals mining and exploration company and operates the multi-million ounce Dolores gold and silver mine in Mexico. The Company continues its exploration efforts on other prospective projects in Mexico to build a quality pipeline of precious metals projects for future growth.

Safe Harbor Statement under the United States Private Securities Litigation Act of 1995: Statements in this release that are forward-looking and other statements that are based on the estimates, projections and expectations of management and include expectations with respect to offerings of securities, use of proceeds, activities and development of the Dolores project, exploration efforts and other statements that are not based on historical fact are subject to various risks and uncertainties concerning the specific factors identified above and in the Company's final short form prospectus and periodic filings with the regulatory authorities in Canada and the United States. Such statements represent management's best judgment as of the date hereof based on information currently available. The Company does not intend to update this information and disclaims any legal liability to the contrary.

SOURCE: Minefinders Corporation Ltd.

Minefinders Corporation Ltd. Mike Wills Investor Contact (604) 687-6263 (604) 687-6267 (FAX) Email: This email address is being protected from spambots. You need JavaScript enabled to view it. Website: www.minefinders.com