Gold Wave

In recent days news coverage all over the globe states that pressures metals are highly demanded, as investors continue to escape from the dollar to look for a safe haven in gold, silver and copper.

The latest headlines state that gold prices soared to their highest levels in more than a year to above USD 1.150 an ounce, as stronger-than-expected U.S. consumer prices stirred inflation worries.

The Dollar fell against other major currencies such as the Euro on Wednesday as investors took profits on the currency’s biggest rise in three weeks.

This shows the fear and insecurity of investors in respect to the length of the current recession, which is one of the toughest recessions to estimate. Therefore, investors look out for commodities such as gold until they can be very sure to spot a light at the end of the tunnel.

No doubt many new mining markets and businesses are gaining from this development, as it impacts positively their ability to raise capital and increase their share price. Since June 2009 the share price of Chalice Gold Mines increased by 2.4 times, Nevsun Resources 1.95 times and Sunridge Gold 1.65 times.

As long as the dollar remains weak, the gold price will continue to surprise the markets with record breaking levels. Only a better outlook for the global economy and an end of the recession in sight will make the dollar rise again. For gold mining companies, which are due to start operations in near future, this comes like a ride on a wave until they are ready to produce and sell the gold.

Nevsun

Nevsun Resources Ltd. (“Nevsun”) (NSU: TSX and AMEX) wishes to announce that it has entered into a non-brokered private placement financing of 11,500,000 common shares at $2.85 per share. The net proceeds from the offering will be used for general working capital purposes, including exploration and development of the Bisha Project.

The offering is scheduled to close on or before October 30, 2009 and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals including stock exchange approvals.

The securities being offered have not been, nor will they be registered under the United States Securities Act of 1933, as amended, (the “U.S. Securities Act”), and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration under the U.S. Securities Act or an exemption therefrom. This release does not constitute an offer to sell or a solicitation of an offer to buy the securities in the United States.

Forward Looking Statements: The above contains forward looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include statements regarding future dates and plans for proceeds. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

NEVSUN RESOURCES LTD.

“Cliff T. Davis”

Cliff T. Davis

President & Chief Executive Officer

Nsu09-10.doc For further information, Contact:

Kin Communications

Tel: 604 684 6730

Toll free 1 866 684 6730

Email: ir@kincommunications.com

Website: www.nevsun.com