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Monday, Jun 01, 2009

Platinum Group Metals Ltd. (TSX:PTM)(NYSE Amex:PLG) ("Platinum Group" or the "Company") is pleased to announce that it has agreed to increase the size of its previously announced public offering (the "Offering") of units ("Units") from 21,500,000 to 22,802,300 Units (see the press release of the Company issued earlier on May 29, 2009). The aggregate proceeds of the Offering will be approximately $31.9 million, based on the price of $1.40 per Unit. All other terms of the Offering remain the same.

The Company intends to use a significant portion of the net proceeds to pay Anglo Platinum Limited ("Anglo Platinum") certain amounts due pursuant to the restructuring of the Western Bushveld Joint Venture ("WBJV") arrangements for the equalization of ounces contributed by Anglo Platinum to the WBJV, as set out in the Company's material change report dated December 18, 2008. The payment to Anglo Platinum is currently estimated to be approximately ZAR205 million (or approximately Cdn$28 million). The final payment amount is subject to: (i) final agreement between Anglo Platinum and the Company and is to be calculated on the basis of ounces contributed by the parties with reference back to the independent calculations in the Technical Report (Feasibility Study) WBJV Project, dated July 7, 2008; and (ii) certain adjustments with respect to United States dollar, South African Rand and Canadian dollar exchange rates. The remainder of the net proceeds will be used for general working capital.

The Units will be sold publicly in British Columbia, Alberta and Ontario and on a private placement basis in the United States pursuant to exemptions from the registration requirements of the U.S. Securities Act of 1933, as amended, and internationally pursuant to available exemptions.

Closing of the Offering is expected to occur on or about June 16, 2009 and is subject to receipt of all necessary regulatory approvals, including the approval of the Toronto Stock Exchange and the NYSE Amex. The securities have not been registered under the U.S. Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration or any applicable exemption from the registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

About Platinum Group Metals Ltd.

Platinum Group is based in Vancouver BC, Canada and Johannesburg, South Africa. Platinum Group has a management team in both Canada and South Africa, which have successful track records of more than 20 years in exploration, mine discovery, mine construction and mine operations. The Company was formed in 2000 and is focused on the development of platinum operations. It holds significant mineral rights in the Northern and Western Bushveld Igneous Complex of South Africa.

On behalf of the Board of Platinum Group Metals Ltd.

R. Michael Jones, Chief Executive Officer and Director