Golden Minerals Reports Third Quarter 2021 Results
Page 1 of 6
GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 650 – Golden, Colorado 80401 – Telephone (303) 839-5060
Golden Minerals Reports Third Quarter 2021 Results
GOLDEN, CO - /BUSINESS WIRE/ - November 4, 2021 – Golden Minerals Company (“Golden Minerals”, “Golden” or
the “Company”) (NYSE American: AUMN and TSX: AUMN) today provided financial results and a business summary
for the quarter ending September 30, 2021.
Third Quarter Summary Financial Results - Highlights
(All currency expressed in approximate USD)
• Revenue of $8.5 million yielding a net operating margin of $4.2 million in the third quarter 2021, from
mining operations at the Company’s Rodeo gold -silver mine in Mexico . In the third quarter 2020, the
Company recorded revenue of $2.1 million and a net operating margin of $1.6 million from the lease of the
Company’s oxide mill.
• $8.8 million cash and cash equivalents balance as of September 30, 2021, compared to $6.9 million at June
30, 2021.
• Net income of $0.4 million in the third quarter 2021, compared to a net loss of $ 1.3 million in the third
quarter 2020.
Third Quarter Business Summary
• Produced 4,777 payable gold ounces and 12,196 payable silver ounces (4,942 gold equivalent ( “AuEq”)
ounces) with total cash costs, net of silver by-product credits, per payable ounce of gold of $865.1
• Sold 4,804 AuEq oz. in doré, with 1,042 AuEq oz. in doré inventory at the end of the quarter.
• Reported grades processed of 4.0 grams per tonne (“g/t”) gold and 9 g/t silver during the quarter.
• Processed at an average rate of 532 tonnes per day (“tpd”) during the quarter.
• Reported several potentially resource-grade intercepts from exploration drilling at Rodeo. The program,
which has the potential to expand the life of the Rodeo mine beyond the currently estimated life of around
2 ¼ years, concluded in October. Full results are expected before year end.
• Continued limited scale test mining activities at Velardeña for further study of selective mining methods
and to produce crushed run of mine material and sulfide concentrates for additional flotation separation
studies and final optimization of a bio -oxidation plant design. Results of these studies are expected in Q1
2022, after which time the Company anticipates making a development decision.
1 Gold equivalents based on actual gold and silver prices realized during the third quarter 2021.
Warren Rehn, President and Chief Executive Officer of Golden Minerals, commented, “We are pleased to report our
first-ever profitable quarter from mining operations based on continuing strong results from gold-silver production
at Rodeo. We lowered our cash operating costs to $865 per payable gold ounce in the quarter. Looking forward, we
remain on course to achieve the higher end of our 2021 production guidance of 12,000 - 14,000 oz gold and have
already exceeded our guidance of 25,000 - 30,000 oz silver.”
Page 2 of 6
GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 650 – Golden, Colorado 80401 – Telephone (303) 839-5060
Quarterly Conference Call and Webcast
Management will be holding a conference call and webcast on Tuesday, November 9, 2021 at 11:00 a.m. Eastern
Time to discuss third quarter 2021 financial results and recent project updates. You are invited to join the webcast
at Golden Minerals Q3 2021 Earnings Call and Webcast. Please plan to join 10 minutes prior to the start time.
The webcast will also be available on the Golden Minerals website at http://www.goldenminerals.com after
November 9, 2021.
Third Quarter 2021 Financial Results
The Company reported revenue of $8.5 million from doré sales, $4.3 million costs of metals sold and $4.2 million in
net operating margin in the third quarter 2021, all related to gold-silver production at the Rodeo mine. Exploration
expenditures were $2.1 million during the quarter and included continued drilling at Rodeo targeting resource
expansion, commencement of an initial drill program at the Sarita Este gold -copper project in Salta Province,
Argentina, and other general exploration and holding costs related to the Company’s portfolio of exploration
projects. Velardeña care and maintenance expenses were $0.4 millio n in the quarter and include costs related to
test mining in advance of a production decision. El Quevar project expense was $0. 1 million and includes costs of
exploration and evaluation activities, care and maintenance , and property holding costs, net of reimbursements
from Barrick Gold under the terms of an Earn -In Agreement. Administrative expenses totaled $ 0.9 million and
include costs associated with being a public company that are incurred primarily by the Company’s corporate
activities in support of the Rodeo Property, the Velardeña Properties, the Yoquivo project and the balance of the
Company’s exploration portfolio. Net income was $0.4 million or $0.00 per share.
Twelve Month Financial Outlook
The Company ended the third quarter 2021 with a cash balance of $ 8.8 million and anticipates receiving
approximately $11.0 to $12.0 million in net operating margin (defined as revenue from the sale of metals less costs
of metals sold) from the Rodeo operation during the 12 months ending September 30, 2022, assuming average gold
and silver prices during that period of $1,800 and $25.00 oz, respectively. The Company also anticipates receiving
the second installment of $1.5 million due to Golden Minerals from Fabled Silver Gold Corp. in December 2021 under
the terms of an agreement for the sale of the Company’s Santa Maria project.
The Company’s currently forecasted expenditures during the 12 months ending September 30, 2022, apart from
Rodeo costs of metals sold which are included in the net operating margin forecast, total approximately $10.0 million
as follows:
• $4.9 million on exploration activities and property holding costs associated with the Company’s portfolio of
exploration properties located in Mexico , Argentina and Nevada, including project assessment and
evaluation costs relating to additional exploration at Rodeo, Yoquivo and other properties;
• $0.8 million at the Velardeña Properties for care and maintenance;
• $0.6 million at the El Quevar project to fund care and maintenance and property holding costs, net of
reimbursement from Barrick; and
Page 3 of 6
GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 650 – Golden, Colorado 80401 – Telephone (303) 839-5060
• $3.7 million in general and administrative costs.
Additional information regarding third quarter 2021 financial results can be found in the Company’s 10-Q Quarterly
Report which is available on the Golden Minerals website at www.goldenminerals.com.
About Golden Minerals
Golden Minerals is a growing gold and silver producer based in Golden, Colorado. The Company is primarily focused
on producing gold and silver from its Rodeo Mine and advancing its Velardeña Properties in Mexico and, through
partner funded exploration, its El Quevar silver property in Argentina, as well as a cquiring and advancing selected
mining properties in Mexico, Nevada and Argentina.
Financial Statements
Page 4 of 6
GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 650 – Golden, Colorado 80401 – Telephone (303) 839-5060
CONDENSED CONSOLIDATED BALANCE SHEETS
(US Dollars, unaudited)
Assets
Current assets
Cash and cash equivalents $ 8,800 $ 9,704
Short-term investments 102 79
Lease receivables — 72
Inventories, net 1,857 284
Value added tax receivable, net 1,103 45
Prepaid expenses and other assets 859 1,130
Total current assets 12,721 11,314
Property, plant and equipment, net 6,521 5,520
Other long term assets 820 1,472
Total assets $ 20,062 $ 18,306
Liabilities and Equity
Current liabilities
Accounts payable and other accrued liabilities $ 3,346 $ 1,318
Deferred revenue, current 116 535
Other current liabilities 325 667
Total current liabilities 3,787 2,520
Asset retirement and reclamation liabilities 3,274 3,166
Other long term liabilities 400 648
Total liabilities 7,461 6,334
Commitments and contingencies
Equity
Common stock, $.01 par value, 350,000,000 shares
authorized; 162,804,612 and 157,512,652 shares issued
and outstanding respectively
1,628 1,575
Additional paid in capital 540,416 536,263
Accumulated deficit (529,443) (525,866)
Shareholders' equity 12,601 11,972
Total liabilities and equity $ 20,062 $ 18,306
September 30, December 31,
2021 2020
(in thousands, except share data)
Page 5 of 6
GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 650 – Golden, Colorado 80401 – Telephone (303) 839-5060
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(US dollars, unaudited)
Revenue:
Sale of metals $ 8,479 $ — $ 16,118 $ —
Oxide plant lease — 2,146 — 4,566
Total revenue 8,479 2,146 16,118 4,566
Costs and expenses:
Cost of metals sold (exclusive of
depreciation shown below) (4,292) — (9,156) —
Oxide plant lease costs — (582) — (1,566)
Exploration expense (2,146) (1,226) (4,021) (3,681)
El Quevar project expense (90) (130) (249) (623)
Velardeña care and maintenance costs (414) (206) (754) (861)
Administrative expense (911) (852) (3,451) (2,782)
Stock based compensation (75) (105) (1,491) (771)
Reclamation expense (67) (63) (196) (184)
Other operating income (expense), net 138 24 472 (78)
Depreciation and amortization (143) (226) (466) (770)
Total costs and expenses (8,000) (3,366) (19,312) (11,316)
Income (loss) from operations 479 (1,220) (3,194) (6,750)
Other income (expense):
Interest and other expense, net (13) (12) (336) (85)
Gain (loss) on foreign currency
transactions 133 (36) 156 (92)
Total other income (loss) 120 (48) (180) (177)
Gain (loss) from operations before
income taxes 599 (1,268) (3,374) (6,927)
Income taxes (188) (18) (203) (18)
Net Income (loss) $ 411 $ (1,286) $ (3,577) $ (6,945)
Net income (loss) per common share —
basic
Income (loss) $ - $ (0.01) $ (0.02) $ (0.06)
Net income (loss) per common share —
diluted
Income (loss) $ - $ (0.01) $ (0.02) $ (0.06)
Weighted average Common Stock
outstanding - basic 162,477,039 143,285,564 161,751,452 124,956,140
Weighted average Common Stock
outstanding - diluted 174,549,498 143,285,564 161,751,452 124,956,140
(in thousands except per share data) (in thousands, except per share data)
Three Months Ended Nine Months Ended
September 30, September 30,
2021 2020 2021 2020
Page 6 of 6
GOLDEN MINERALS COMPANY
350 Indiana Street – Suite 650 – Golden, Colorado 80401 – Telephone (303) 839-5060
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 expectations pertaining to the Rodeo drilling program,
including the timing of results and the potential to expand the life of the Rodeo mine beyond the currently estimated
life; gold-silver production and operations at Rodeo; anticipated net operating margin from the Rodeo operation
during the 12 months ending September 30, 2022; timing of results from the Velardeña test mining studies and
subsequent development decisions; ;; the expected second installment due to Golden Minerals from Fabled Silver
Gold Corp.; and forecasted expenditures during the 12 months ending September 30, 2022. These statements are
subject to risks and uncertainties, including the overall impact of the COVID -19 pandemic, including the potential
future re-suspension of non-essential activities in Mexico, including mining; lower than anticipated revenue or higher
than anticipated costs at the Rodeo mine; declines in general economic conditions; changes in political conditions,
in tax, royalty, environmental and other laws in the United States, Mexico or Argentina and other market conditions;
and fluctuations in silver and gold prices. Golden Minerals assumes no obligation to update this information.
Additional risks relating to Golden Minerals may be 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, 2020.
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