Mr. Michael Curlook reports

MAG SILVER CLOSES $79 MILLION COMMON SHARE OFFERING

Mag Silver Corp. has completed its previously announced bought deal financing and has issued 7,712,000 common shares, including 392,000 common shares issued on partial exercise of the overallotment option, at $10.25 per share, for gross proceeds of $79-million. The offering was conducted by a syndicate of underwriters, led by BMO Capital Markets and Raymond James Ltd., and including Macquarie Capital Markets Canada Ltd., Scotia Capital Inc., H.C. Wainwright & Co. LLC, National Bank Financial Inc., TD Securities Inc. and PI Financial Corp. The underwriters reserve the right to exercise all or any portion of the balance of the overallotment option, 706,000 shares, at any time within 30 days following closing.

The net proceeds of the offering will be used to finance exploration and development of the company's Juanicipio project in Zacatecas state, Mexico, and for working capital and general corporate purposes. Prior to the close of the offering, the company had $18-million (U.S.) in cash as at June 30, 2014, and no debt.

The common shares were offered in each of the provinces of Canada, other than Quebec, by way of a short-form prospectus, and in the United States pursuant to a registration statement filed under the Canada/U.S. multijurisdictional disclosure system.

We seek Safe Harbor.