Great Basin Reports Progress in Quarter Ending December 31, 2008

VANCOUVER, March 24 /PRNewswire-FirstCall/ - Great Basin Gold Ltd, ("Great
Basin" or the "Company"), (TSX: GBG; NYSE Amex: GBG; JSE: GBG) announces
results for the quarter ending December 31, 2008 (4th quarter of fiscal 2008).
A further highlight was the conclusion, subsequent to the end of the quarter,
of a CDN$130 million financing to complete its Burnstone Project in South
Africa.
The Company incurred a loss of CDN 1 cent compared to the CDN 15 cents for the
4th quarter. This was mainly influenced by a Future Income Tax credit of CDN
10 cents per share. Revenue of CDN$16.9 million net of costs of CDN$3.2
million was realized from the sale of recovered ore from Hollister during the
quarter. For the financial year, CDN$29.1 million in revenue was generated
from Hollister, before toll milling costs of CDN$4.4 million.
Pre-development expenses for both projects decreased from CDN$17 million to
CDN$16 million quarter on quarter. In line with increased activity in the
construction and development of the two projects, total annual pre-development
costs of CDN$62.6 million were incurred, compared to CDN$30.1 million for
2007. As Southgold Exploration (Pty) Limited was granted a New Order Mining
Right on October 29, 2008, by the Department of Minerals and Energy for its
Burnstone Project area, pre-development costs of CDN7.0 million were
capitalized as from November 2008.
Good progress continues to be made with the development of surface and
underground infrastructure at the Burnstone Project. At March 22, 2009; 2,181
meters of decline development had been completed. The access decline continues
beyond the reef elevation, with approximately 967 metres remaining to the base
of the vertical shaft position. Two cross-cuts to the reef are currently being
developed to access Blocks B3 and C with 53 metres and 85 metres respectively
remaining before stope preparation for mining commences.
Sinking of the vertical shaft at Burnstone continues and as at March 22, 2009,
the shaft had reached a depth of 192 meters below surface. Construction of the
permanent headgear as well as the installation of the main sinking winder was
completed in January 2009, which is allowing for a faster rate of shaft
sinking. The final depth of the shaft is planned at 501 meters.
Good progress was also reported from the Hollister Property in Nevada, USA.
Trial stoping continues on the Gwenivere and Clementine veins with a total of
24,546 tons being extracted during the quarter compared to 9,873 tons for the
3rd quarter. For the financial year, a total of 33,830 tons at a head grade of
1.6 gold equivalent ounces per ton (Au eqv. oz/t) was milled resulting in a
net 38,465 gold equivalent ounces being recovered(1).
As at December 31, 2008, a total of 16,331 tons at an estimated head grade of
1.4 oz/t of gold and 10 oz/t of silver had been stockpiled.
Underground cash costs, excluding milling and transport costs, totalled
US$272/oz during the quarter, which is a 24% decrease from the 3rd quarter. No
milling and transport costs were incurred in the 4th quarter. On an annualised
basis, these costs were US$302 Au eqv./oz and US$215 Au eqv./oz for milling
and transport. Metallurgical processing costs incurred on the ore treated are
based on 20% of actual metal recovery and equate to approximately US$215 Au
eqv./oz. The operation will benefit from economies of scale as the tonnage
build-up continues.
On an annualised basis, underground waste development was ahead of schedule
with 17,111 feet being completed compared to 14,300 feet planned. Although
this has resulted in an acceleration of pre-development expenses, it also
allowed for flexibility in the application of the various trial mining
methods.
Positive surface exploration results continued with follow up drilling in the
newly discovered vein system in the Hatter Graben area of the Hollister
Property. Although assays are pending, confirmation drilling continues to
indicate the existence of an interesting and prospective deposit. Although the
Company has cut back on all exploration expenditures, it is anticipated that
exploration in this exciting area will continue.
President and CEO Ferdi Dippenaar commented; "The Company is in an interesting
phase in the development of its two quality gold projects. Hollister continues
to improve as management records successes in the application of the various
trial mining methods. We expect this to continue in 2009. Following the
financing in early March 2009, the Company now has adequate funding to deliver
its Burnstone Project in South Africa. With development underway to exploit
mineral reserves in two blocks in close proximity to the decline, early stage
production is expected in the 2nd quarter of 2009, with the project planned to
be in commercial production by end of June 2010. This would include the
completion of the access decline, commissioning of the vertical shaft as well
as the commissioning of the metallurgical plant."
Johan Oelofse, Pr.Eng., FSAIMM, Chief Operating Officer of Great Basin and a
qualified person has reviewed this release on behalf of the Company.

No regulatory authority has approved or disapproved the
information contained in this news release.

Cautionary and Forward Looking Statement Information

This release includes certain statements that may be deemed "forward-looking
statements". All statements in this release, other than statements of
historical facts, that address possible future commercial production, reserve
potential, exploration drilling results, development, feasibility or
exploitation activities and events or developments that Great Basin expects to
occur are forward-looking statements. Although the Company believes the
expectations expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from
those in the forward-looking statements. Factors that could cause actual
results to differ materially from those in forward-looking statements include
market prices, exploitation and exploration successes, and continued
availability of capital and financing, and general economic, market or
business conditions. Investors are cautioned that any such statements are not
guarantees of future performance and those actual results or developments may
differ materially from those projected in the forward-looking statements. For
more information on the Company, Investors should review the Company's annual
Form 40-F filing with the United States Securities and Exchange Commission and
its home jurisdiction filings that are available at www.sedar.com.

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(1) Gold equivalent is calculated at metal prices of US$828.96/oz for
gold and US$12.22/oz for silver.

SOURCE Great Basin Gold Ltd.

For additional details on Great Basin and its gold properties, please visit
the Company's website at www.grtbasin.com or contact Investor Services: Tsholo
Serunye in South Africa, +27 (0) 11 301 1800; Michael Curlook in North
America, 1-888-633-9113; Barbara Cano at Breakstone Group in the USA, (646)
452-2334