Golden Minerals Reports Higher Grade Resource For Velardena Properties
Ticker Symbol: U:AUMN C:AUM

Golden Minerals Reports Higher Grade Resource For Velardena Properties

PR Newswire

GOLDEN, Colo., Feb. 26, 2015

GOLDEN, Colo., Feb. 26, 2015 /PRNewswire/ -- Golden Minerals Company ("Golden Minerals" or the "Company") (NYSE MKT: AUMN) (TSX: AUM) announced today the results of a National Instrument (NI) 43-101-compliant Preliminary Economic Assessment (the "PEA") for its Velardena Properties which are located in Durango State, Mexico.

Key highlights from the PEA include:

• Significantly higher grades of silver and gold than reported in the Velardena Properties' 2012 NI 43-101 report
• Cash costs, after by-product credits, per payable ounce of silver (see 'Non-GAAP Financial Measures' below) averaging $9-$10 for the Company's current four year mine plan

The first table below shows the mineral resource estimate as at December 31, 2014 with a net smelter return (NSR) cutoff calculated using three year trailing average prices for silver, gold, zinc and lead. The second table shows the mineral resource estimate as at December 31, 2014 calculated using December 2014 prices.

• This resource estimate assumed a three year trailing average silver price of $25 per troy ounce and a gold price of $1,446 per troy ounce and a cutoff grade that generates a minimum $100 per tonne NSR
• Silver equivalents are calculated at 60:1

• This resource estimate assumed current prices as of December 2014 of $17 per troy ounce of silver and $1250 per troy ounce of gold and a cutoff grade that generates a minimum $100 per tonne NSR
• Silver equivalents are calculated at 70:1

Golden Minerals has issued the following guidance estimates for calendar year 2015:

• Payable production in '000 of silver equivalent ounces (AgEq oz), including silver and gold but excluding lead and zinc. Silver equivalents calculated at 70:1.
• Cash costs, after by-product credits, per payable ounce of silver (see 'Non-GAAP Financial Measures' below). By-product credits include forecasted revenues from gold, lead and zinc. These amounts assume a $1,250 per ounce gold price.

Tetra Tech is an independent engineering firm that served as principal author of the PEA and prepared the PEA on behalf of the Company. Nick Michael is the independent Qualified Person from Tetra Tech who reviewed and approved this press release.

An NI 43-101-compliant technical report which will include the PEA will be filed on SEDAR (www.sedar.com) and made available on the Golden Minerals website within 45 days.

About Golden Minerals

Golden Minerals is a Delaware corporation based in Golden, Colorado. The Company is primarily focused on operations at its Velardena Properties and the exploration of properties in Mexico and Argentina.