Gryphon Gold Corporation announced that it has expanded its senior secured gold stream credit facility with Waterton Global Value, L.P. Under the expanded Senior Facility, the Company will have access to $20 million, as opposed to $15 million. In addition to providing additional capital, Waterton has also agreed to extend the term of the Senior Facility by seven months to November 2014. Amounts drawn under the Senior Facility will now be repayable in monthly installments commencing in December 2012, with initial principal payments being $50,000 per month and where such principal payments shall increase to $900,000 per month in March 2013 through to the end of the term in November 2014.

The specific repayment mechanics applicable to any principal amounts outstanding under the Senior Facility remain unchanged. The Senior Facility is secured by a first priority lien on the assets of the Company and its wholly-owned subsidiary, Borealis Mining Company. As consideration for providing the additional principal amounts and amending the repayment schedule of the Senior Facility, the Company and Waterton agreed to amend the terms of their existing Gold and Silver Supply Agreement to permit Waterton to purchase all of the Company's production at a 3% discount to prevailing spot prices.