Gold Production in Mexico

Targeting 2013 annual production of 118,000 ounces of gold

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Message: Sam Crittenden, RBC Capital Markets (12/11/12)

Expert Analysis

Sam Crittenden, RBC Capital Markets (12/11/12) "We are initiating coverage of Timmins Gold Corp. with an Outperform, Above Average Risk rating and $4.50 price target. . .the company has been one of the best performing gold stocks in 2012 (up 59% year to date vs. the S&PTSX Index up 2%) and we believe there is further upside because its cash generating abilities and exploration upside are not fully priced in. . .we believe Timmins could create value through acquisition by using its relatively strong paper and balance sheet to acquire an asset trading at a discount in a challenging market. . .it could also become a takeover candidate if it can execute its strategy over the next year."

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