This equipment delivery problem delays the company 3 months of progress and 13% of prod in 2012. As each month went by since Jan., co. expected delivery and had it arrived in April, original forecasts probably could have been achieved/maintained.

Mgmt. expects the $20 million capital to come from asset sales with no interest in tapping the public equity market.

Silverbull50

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Golden Minerals Co. (AUMN-AMEX, AUM-T)

• Golden Minerals announced an update to the Q1/12 preliminary production results it previously reported and full year 2012 production guidance
• Payable production in Q1/12 was revised to 1.7koz Au and 110koz Ag (195koz AgEq) versus 1.5koz Au and 95koz Ag (170koz AgEq) reported April 10
• Full year production in 2012 is now expected to total 1.09Moz AgEq versus previous guidance of 1.19Moz

Impact – Slightly Negative

Golden Minerals provided an update on first quarter production and full year guidance after-market this past Friday.

The company announced revised Q1/12 production results that improved on the figures reported by the company last month, which had already beaten guidance and our estimates. However, full year guidance was revised lower due to customs delays that slowed the movement of equipment from Argentina to Mexico.

The drop in forecasted production amounts to a 10% decrease over prior guidance.

The company continues to conduct engineering studies with a view to expanding production to 1300tpd. Costs for this potential expansion are expected to be approximately $20M.

Anticipated Timeline

• Updated Resource Estimate for Velardena – Q2/12
• PEA for Velardena – Q3/12
• Completion of flotation circuit at Velardena – Q3/12