FRANKFURT: GIH) is pleased to announce that Hochschild Mining plc (Hochschild) has

invested $16 million in a private placement, purchasing 1,954,795 restricted shares of

GRC’s common stock with no warrants. Funding will be used at GRC’s Aguila Project in

the state of Oaxaca, Mexico. Commissioning of the El Aguila mill is underway and

concentrate production is anticipated soon. Hochschild is a leading mid-tier precious

metals producer and expert underground miner, based in Lima, Peru and listed on the

London Stock Exchange. Hochschild has mining operations and projects in five

countries in the Americas including Mexico. This placement has increased Hochschild’s

total holding in Gold Resource Corporation to approximately 27%.

Of the total $16 million funding, $8 million will be used at the El Aguila Project for

working capital during commissioning, training and start-up and continued construction

of the Phase 2 tailings facility. The remaining $8 million will be used exclusively for the

acceleration of the Arista underground mine development.

William W. Reid, President of Gold Resource Corporation said, “We are pleased

Hochschild is supportive of our need to accelerate the underground development. We

must have the Arista underground mine developed sufficiently over the next twelve

months to deliver sustainable polymetallic vein ore to the mill on a daily basis by the time

the open pit mine is finished. If we had to rely solely on the ramping up of sufficient cash

flow this important aspect of the project could have been delayed. The previous $4

million escrowed for exploration and underground development, of which $3.5 million

remains, will now be used solely for exploration.”