TAHOE RESOURCES INC. ANNOUNCES CLOSING OF INITIAL PUBLIC OFFERING AND ACQUISITION OF ESCOBAL PROJECT

Vancouver, British Columbia (June 8, 2010) – Tahoe Resources Inc. (“Tahoe” or the “Company”) (TSX: THO) is pleased to announce that it has closed its initial public offering (“IPO”) of 58,000,000 common shares at a price of CAD$6.00 per share for gross proceeds of CAD$348 million. The Company’s common shares commenced trading today on the Toronto Stock Exchange (TSX) under the symbol “THO.” GMP Securities L.P. acted as sole bookrunner for the IPO. Tahoe has granted to the underwriters an over-allotment option, exercisable for a period of 30 days from the date of closing of the IPO, to purchase up to an additional 5,800,000 common shares at a price of CAD$6.00 per common share to cover over-allotments, if any, and for market stabilization purposes. A copy of Tahoe’s prospectus is available on SEDAR at www.sedar.com.

Additionally, Tahoe has completed the purchase of the Escobal Project from two affiliates of Goldcorp Inc. (the “Vendors”). The purchase price was paid through the issuance to the Vendors of an aggregate 43,686,667 common shares of Tahoe, representing 40% of Tahoe’s issued and outstanding common shares on a fully-diluted basis at closing, and through the payment to the Vendors of US$253,329,708 in cash. In addition, Tahoe will pay approximately US$2,002,179 after closing as reimbursement of land acquisition costs incurred at the Escobal Project since February 12, 2010, the date of the Pre-Acquisition Agreement between the Vendors and Tahoe. If the over-allotment option under the IPO is exercised in whole or in part, the Vendors will be issued additional shares such that they will continue to hold an aggregate 40% interest (on a fully-diluted basis) in Tahoe’s issued and outstanding common shares and a portion of the cash consideration will be repaid to Tahoe from the Vendors, subject to the cash consideration not falling below US$230 million.

About the Escobal Project
The Escobal Project is a recent discovery of high-grade silver, gold, lead and zinc mineralization in southeast Guatemala. The project contains an Indicated Mineral Resource of approximately 100M oz silver, based on 4,570,000 tonnes of ore at a silver grade of 684 g/t and an Inferred Mineral Resource of approximately 176M oz silver, based on 12,800,000 tonnes of ore at a silver grade of 427 g/t. The Mineral Resources are calculated based on 46,333 m of drilling in 175 holes (Source: Mineral Resource NI 43-101 Technical Report – AMEC Americas Ltd. dated April 30, 2010, prepared under the guidance of Mr. Greg Kulla, P. Geo, a qualified person.) Tahoe plans to continue the ongoing exploration drilling program at the Escobal Project and will conduct metallurgical and engineering studies to evaluate potential development scenarios for the Escobal Project.

About Tahoe Resources Inc.
Tahoe’s strategy is to develop the Escobal Project into a profitable silver operation and to position itself as a leading silver producer with high quality, low cost assets in the Americas. Tahoe has attracted an experienced and talented senior executive team:

  • Kevin McArthur, President & CEO – former CEO of Goldcorp and Glamis Gold;
  • Ron Clayton, VP & COO – former Senior VP Operations of Hecla Mining;
  • Jaime Mondragón, VP & CFO – former Guatemala Controller of Glamis Gold; and
  • Brian Brodsky, VP Exploration – former Central American Exploration Manager for Goldcorp and Glamis Gold.

The Escobal Project team in Guatemala is approximately sixty-five employees including the Project Managing Director, Chief Geologist and exploration team, Community Relations Manager and group, and the Environmental Manager. The project drilling and development programs are expected to continue without need for interruption.

Tahoe’s financial advisor for the above transactions is GMP Securities L.P. Tahoe’s legal counsel in Canada is Lang Michener LLP (Vancouver) and its legal counsel in the United States is Neal, Gerber & Eisenberg LLP (Chicago).

Tahoe’s website is www.tahoeresourcesinc.com.

The securities offered have not been, and will not be, registered under the United States Securities Act of1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States or to United States persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This release shall not constitute an offer to sell, or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.


Forward Looking Statements
This news release contains “forward-looking information” within the meaning of applicable Canadian securities legislation, which are also referred to as “forward-looking statements.” Wherever possible, words such as “plans,” “expects,” or “does not expect,” “budget,” “scheduled,” “estimates,” “forecasts,” “anticipate” or “does not anticipate,” “believe,” “intend,” and similar expressions or statements that certain actions, events or results “may,” “could,” “would,” “might” or “will” be taken, occur or be achieved, have been used to identify forward-looking information. In particular, this news release contains statements related to the possible exercise of the over-allotment option and the effects thereof, as well as statements related to Tahoe’s plans for exploration and studies at the Escobal Project. Forward-looking statements address future events and conditions, which are subject to various risks and uncertainties and are described in Tahoe’s prospectus available for review at www.sedar.com.

Forward-looking information is based on the reasonable assumptions, estimates, analysis and opinions of management on the date of this news release made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, but which may prove to be incorrect. Tahoe believes that the assumptions and expectations reflected in such forward-looking information are reasonable. Assumptions have been made regarding, among other things, the extent of exercise of the over-allotment option by the underwriters, Tahoe’s ability to carry on exploration and development activities, the timely receipt of required approvals, the price of silver and other metals, Tahoe’s ability to operate in a safe, efficient and effective manner and Tahoe’s ability to obtain financing as and when required and on reasonable terms. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used.

Tahoe’s actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, many of which are beyond the Company’s control. These factors include any exercise of the over-allotment by the underwriters and the extent of such exercise, the availability of funds, the timing and content of work programs, results of exploration activities and development of mineral properties, the interpretation of drilling results and other geological data, the uncertainties of resource and reserve estimations, receipt and security of mineral property titles, receipt of licenses to conduct mining activities, country risks, project cost overruns or unanticipated costs and expenses, fluctuations in metal prices, currency fluctuations, and general market and industry conditions.

Although Tahoe has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There is no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. Tahoe does not undertake to update any forward-looking information, except as, and to the extent required by, applicable securities laws. For more information about the risks and challenges of Tahoe’s business, investors should review Tahoe’s prospectus available at www.sedar.com.

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For further information, please contact:
Tahoe Resources Inc.
Ira M. Gostin, Business Director
investors@tahoeresourcesinc.com

Tel: 775-825-8574 ext.225
Mobile: 775-771-1461
Fax: 775-562-8888