NI 43-101 Compliant Reports February 2009 (SRK Consulting) August 2009 (CAM) October 2009 (CAM) ======================== ======================== ======================== 1.4 million tonnes of 0.3 million tonnes of indicated resource at indicated resource at an an average grade of 195 average grade of of 430 grams per tonne and 1.1 million tonnes of grams per tonne and 1.6 0.1 million tonnes of inferred resources with million tonnes of inferred resource at an an average grade of inferred resource at an average grade 258 grams 415.5 grams per tonne average grade of 415 per tonne silver silver grams per tonne silver ------------------------ ------------------------ ------------------------ 8.8 million silver ounces in the indicated 4.3 million silver resource and 0.9 ounces in the indicated million silver ounces Total 14.4 million resource and 21.9 in the inferred contained silver ounces million silver ounces in resource in the inferred resource the inferred resource ------------------------ ------------------------ ------------------------ Based on 141 total drill Based on 78 drill holes Based on 81 drill holes holes ------------------------ ------------------------ ------------------------ Assumed selective Assumed selective underground mining underground mining supported by geologic supported by geologic interpretation of all interpretation of all Assumed open pit mining holes logged to date holes logged to date ------------------------ ------------------------ ------------------------ Cut-off grade: 120 grams silver for indicated and inferred mixed and sulphide sources and 85 grams silver for Cut-off grade: 100 Cut-off grade: 100 grams indicated and inferred grams silver for silver for indicated and oxides inferred resources inferred resources ======================== ======================== ========================The new CAM resource estimate assumes selective underground mining with continuity along strike and down dip supported by geologic interpretation of all holes logged to date in the mineralized zone, as compared to the February 2009 SRK estimate which assumed open pit mining of surface oxide materials. A 141 diamond drill hole data base was used in the new CAM resource estimate, which includes 50 additional drill holes that were not included in the data used by CAM in its August 2009 report, with 10 additional drill holes from the west extension of the Yaxtché central zone. A further 23 drill holes have now been completed at the El Quevar Yaxtché central and west zones that are not included in the new CAM resource estimate but will be included in future resource updates. To date, the Company has completed a total of 164 diamond drill holes, totaling about 30,000 meters at the El Quevar project, where the Company controls mineral and surface rights to approximately 64,000 hectares. The current focus of the drill program is in the central part of the Yaxtché zone to confirm structure and continuity, and on infill drilling on the west extension of the Yaxtché zone to better define the resource. The Yaxtché zone remains open along strike and at depth. The Yaxtché zone is one of 13 targets in the El Quevar project area. Drilling is also planned to test additional selected targets in the project area, including the Viejo Campo target area. There are currently three drills operating at the El Quevar project. The Company is proceeding with feasibility work including permitting, metallurgical work, preliminary mine and plant design and planning for underground access to the mineralized zone. Silver mineralization at El Quevar is hosted within a broad, generally east-west-trending structural zone and occurs as a series of north-dipping parallel-sheeted vein zones, breccias and mineralized faults situated within an envelope of pervasively silicified brecciated volcanic rocks and intrusive breccias. The silver mineralization at the Yaxtché zone is of epithermal origin. The cross-cutting nature of the mineralization, the assemblage of sulfide and alteration minerals, and the presence of open spaces with euhedral minerals, all point to an origin at shallow to moderate depths (a few hundred meters below surface) from hydrothermal solutions. A drill hole location map and listing of all drill intercepts for the holes at El Quevar for which the Company has received and verified results are available at http://www.goldenminerals.com/. Review by Qualified Person, Quality Control and Reports The resource estimation was performed by Robert Sandefur, P. E. of Chlumsky, Armbrust and Meyer, LLC, a Qualified Person as defined by NI 43-101, who is independent of Golden Minerals. The mineral resources in this estimate were calculated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Standards on Mineral Resources and Reserves, Definitions and Guidelines, prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council on December 11, 2005. Results of the Company's drilling program have been reviewed, verified, and compiled under the direction of the Company's Senior Vice President of Exploration, Robert Blakestad, M.Sc., P.Geo, L.P.G.; a Qualified Person for the purpose of Canada National Instrument 43-101. Mr. Blakestad has over 35 years of mineral exploration experience, is a Professional Geoscientist registered in Nova Scotia and a Licensed Professional Geologist in the state of Washington. To ensure reliable sample results, Golden Minerals uses a quality assurance/quality control program that monitors the chain-of-custody of samples and includes the insertion of blanks, duplicates, and certified reference standards in each batch of samples. Core is photographed and sawn in half with one half retained in a secured facility for verification purposes. Sample preparation (crushing and pulverizing) is performed at an independent ISO 9001:2001 certified laboratory in Mendoza, Argentina. Prepared samples are direct-shipped to ISO 9001:2001 certified laboratories in Santiago, Chile or Vancouver, B.C. Pulp splits of mineralized intervals are re-assayed at certified independent referee laboratories in Chile and Canada. The independent NI 43-101 technical reports are available on the Company's website. About Golden Minerals Golden Minerals is a Delaware corporation based in Golden, Colorado, primarily engaged in the advancement of its exploration projects and in providing mine management services. The Company has a portfolio of 35 exploration projects, primarily located in Argentina, Peru and Mexico, including the advanced stage El Quevar project in the Salta Province of northern Argentina. The Company's experienced management team has proven in house ability to explore, develop and operate mining projects. Golden Minerals operates the San Cristobal mine in Bolivia for Sumitomo Corporation under a Management Services Agreement. Cautionary Note to U.S. Investors concerning Estimates of Indicated and Inferred Resources: This press release uses the terms "indicated resources" and "inferred resources" which are defined in, and required to be disclosed by, NI 43-101. We advise U.S. investors that these terms are not recognized by the United States Securities and Exchange Commission (the "SEC"). The estimation of indicated resources involves greater uncertainty as to their existence and economic feasibility than the estimation of proven and probable reserves. U.S. investors are cautioned not to assume that indicated mineral resources will be converted into reserves. The estimation of inferred resources involves far greater uncertainty as to their existence and economic viability than the estimation of other categories of resources. U.S. investors are cautioned not to assume that estimates of inferred mineral resources exist, are economically minable, or will be upgraded into measured or indicated mineral resources. Disclosure of "contained ounces" in a resource is permitted disclosure under Canadian regulations, however the SEC normally only permits issuers to report mineralization that does not constitute "reserves" by SEC standards as in place tonnage and grade without reference to unit measures. Accordingly, the information contained in this press release may not be comparable to similar information made public by U.S. companies that are not subject NI 43-101. Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act, including statements regarding the exploration results and programs at the El Quevar Project, results of exploration activities, anticipated further updates of the El Quevar resource estimate, planned exploration activities, and planned feasibility work. These statements are subject to risks and uncertainties, including results of exploration and whether the results support engineering and other feasibility work on El Quevar, changes in geological interpretations, whether surface sampling results are indicative of further exploration results, availability of drills, unexpected variations in ore grade, types and metallurgy, whether the resources reported will be converted to reserves and whether the resources reported, including information regarding contained ounces, will be reduced as additional exploration and feasibility work is completed, including feasibility work on processing alternatives and projected recovery rates, results of feasibility work and uncertainties regarding whether project feasibility will be supported, financial market conditions, unexpected increases in costs of materials and supplies used in exploration activities, fluctuations in silver and other metal prices, technical and permitting issues, and the ability and success of the Company in raising adequate capital and implementing its plans. Golden Minerals Company assumes no obligation to update this information. Additional risks relating to Golden Minerals Company may be found in the periodic and current reports filed with the Securities Exchange Commission by Golden Minerals Company, including the Annual Report on Form 10-K of its predecessor for reporting purposes, Apex Silver Mines Limited, for the year ended December 31, 2008.
Contact Information: For additional information please visit http://www.goldenminerals.com/ or contact: Golden Minerals Company Jerry W. Danni (303) 839-5060 Sr. Vice President Corporate Affairs