Golden Minerals Announces Resource Estimate FOR Rodeo Project
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GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 800 – Golden, Colorado 80401 – Telephone (303) 839-5060 – Fax (303) 839-5907
4256777.1
GOLDEN MINERALS ANNOUNCES RESOURCE ESTIMATE FOR RODEO PROJECT
Golden, Colorado ‐ /PRNewswire/– January 26, 2017 – Golden Minerals Company (NYSE MKT: AUMN;
TSX: AUM) (“Golden Minerals”, “Golden” or “the Company”) is pleased to announce the results of a
Canadian National Instrument 43‐101 (“NI 43‐101”) compliant mineral resource estimate for the
gold deposit at its Rodeo property.
Rodeo is a 1,900 ‐hectare gold project located in Durango State, Mexico approximately 80
kilometers west of the Company’s Velardeña properties and processing mills. Golden acquired
the Rodeo property subject to a royalty interest due to La Cuesta International in the second
quarter 2015, prior to which exploration by other companies identified a gold ‐bearing system
exposed at surface. Golden conducted a 2,080 ‐meter core drilling program in 2016.
Shown below are two resource estimates based on two processing scenarios and their respective
cutoff grades and open ‐pit optimization models. Table 1 presents a mill grade resource that may
be processed in the Company’s existing oxide mill at Velardeña. This case provides a potentially
shorter time to production and lower capital costs, since the Company owns the production mill
located within trucking distance of the Rodeo property. Table 2 presents a heap leach case that
could be a standalone operation, depending on leachability and costs of the standalone heap
leach operation.
Indicated and inferred mineral resource estimates as of January 25, 2017 for Rodeo are shown in the
following tables:
Notes:
(1) Cutoff grade and Au equivalent calculated using metal prices of $1,220 and $17 per troy ounce of Au and Ag, recoveries
of 77% and 90% Au and Ag;
(2) Mineral resources have been pit shell constrained using the Lerch Grossman algorithm with cost inputs per tonne of
$7.50 mining, $10 trucking, and $20 processing. A breakeven cutoff including trucking and processing costs per block was
applied to a block model within the optimized shell;
(3) Metal prices do not exceed three‐year trailing average as of the end of December 2016, per SEC guidance;
(4) Reported indicated mineral resources are equivalent to mineralized material under SEC Industry Guide 7, and
(5) Au equivalent calculated at the ratio 72 Ag : 1 Au.
Table 1: Mineral Resource Estimate Base Case (Mill Processing Pit Constrained)
Classification Cutoff Tonnes Au g/t Ag g/t Au toz Ag toz Waste:
AuEq g/t (M) ('000) (M) Resource
Indi ca ted 0.83 0.4 3.3 11 46 0.2 0.91
I nfe rre d -------
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GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 800 – Golden, Colorado 80401 – Telephone (303) 839-5060 – Fax (303) 839-5907
Notes:
(1) Cutoff grade and Au equivalent calculated using metal prices of $1,220 and $17 per troy ounce of Au and Ag, recoveries of
60% and 70% Au and Ag;
(2) Mineral resources have been pit shell constrained using the Lerch Grossman algorithm with input costs per tonne of $3.40
mining and $3.10 processing. A cutoff including mining and processing costs per block was applied to a block model within the
optimized shell;
(3) Metal prices do not exceed three‐year trailing average as of the end of December 2016, per SEC guidance;
(4) Reported indicated mineral resources are equivalent to mineralized material under SEC Industry Guide 7, and
(5) Au equivalent calculated at the ratio 72 Ag : 1 Au.
Warren Rehn, President and Chief Executive Officer of Golden Minerals, commented, “The mill grade
resource of about 50,000 gold equivalent ounces has the potential to provide us with more than two years
of feed for our Velardeña oxide plant. This could be an important replacement to the Company’s current
cash flow from the mill starting in 2019 after the Hecla lease expires, assuming positive economic results
from our ongoing studies of the Rodeo deposit.”
Tetra Tech is an independent engineering firm that served as principal author of the mineral resource
estimate prepared on behalf of the Company. Geoff Elson is the independent Qualified Person from Tetra
Tech who reviewed and approved this press release.
An NI 43‐101‐compliant technical report will be filed on SEDAR (www.sedar.com) and made available on
the Golden Minerals website within 45 days.
Toronto Stock Exchange Ticker Symbol Change
Separately, Golden Minerals announces it intends to change its Toronto Stock Exchange (“TSX”) ticker
symbol from AUM to AUMN within the next five to 15 business days. The TSX has recently introduced the
option of utilizing four‐letter ticker symbols, and the Company has elected to change its TSX symbol to
match that of its NYSE MKT counterpart.
About Golden Minerals
Golden Minerals is a Delaware corporation based in Golden, Colorado. The Company is primarily focused
on acquiring and advancing mining properties in Mexico with emphasis on areas near its Velardeña
processing plants.
Table 2: Mineral Resource Estimate Alternative Case (Heap Leach Processing Pit Constrained)
Classification Cutoff Tonnes Au g/t Ag g/t Au toz Ag toz Waste:
AuEq g/t (M) ('000) (M) Resource
Indi ca ted 0.17 3.6 0.8 12 94 1.4
Infe rred 0.17 3.6 0.4 11 47 1.3
0.53
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GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 800 – Golden, Colorado 80401 – Telephone (303) 839-5060 – Fax (303) 839-5907
Cautionary Note to U.S. Investors concerning Estimates of Mineral Resources
This press release uses the terms “mineral resources”, “indicated mineral resources” and “inferred
mineral 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 SEC. The estimation of measured resources and
indicated resources involves greater uncertainty as to their existence and economic feasibility than the
estimation of proven and probable reserves. Mineral resources are not mineral reserves, and U.S.
investors are cautioned not to assume that measured mineral resources or 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
mineable, or will be upgraded into measured or indicated mineral resources.
Cautionary Statement regarding Mineralized Material
“Mineralized material” as used in this press release, although permissible under the SEC’s Industry Guide
7, does not indicate “reserves” by SEC standards. We cannot be certain that any deposits at the Rodeo
project will ever be confirmed or converted into SEC Industry Guide 7 compliant “reserves”. Investors are
cautioned not to assume that all or any part of the disclosed mineralized material estimates will ever be
confirmed or converted into reserves or that mineralized material can be economically or legally
extracted.
Forward‐Looking Statements
This press release contains forward‐looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended,
and applicable Canadian securities legislation, including statements regarding estimates of mineral
resources and mineralized material based on two potential processing scenarios, and the Company’s
general expectations regarding the Rodeo deposit. These statements are subject to risks and
uncertainties, including: changes in interpretations of geological, geostatistical, metallurgical, mining or
processing information and interpretations of the information resulting from future exploration, analysis
or mining and processing experience; new information from drilling programs or other exploration or
analysis; reliability of metallurgical testing results and changes in interpretation based on processing
results; unexpected variations in mineral grades, types and metallurgy; fluctuations and continuing
declines in silver and gold metal prices; failure of mined material or veins mined to meet expectations;
increases in costs and declines in general economic conditions; and changes in political conditions, in tax,
royalty, environmental and other laws in Mexico, and financial market conditions. Golden Minerals
assumes no obligation to update this information. Additional risks relating to Golden Minerals may be
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GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 800 – Golden, Colorado 80401 – Telephone (303) 839-5060 – Fax (303) 839-5907
found in the periodic and current reports filed with the SEC by Golden Minerals, including the Company’s
Annual Report on Form 10‐K for the year ended December 31, 2015.
For additional information please visit http://www.goldenminerals.com/ or contact:
Golden Minerals Company
Karen Winkler
Director of Investor Relations
(303) 839‐5060
SOURCE: Golden Minerals Company