Golden Minerals Company Produces 14,449 oz Gold During 2021, Exceeding Guidance

Rhea-AI Summary

Golden Minerals Company (AUMN) announced production results from its Rodeo gold-silver mine in Mexico for Q4 and FY 2021. The mine produced 4,831 ounces of gold and 15,250 ounces of silver in Q4, exceeding guidance. For FY 2021, total production reached 14,449 ounces of gold and 51,058 ounces of silver. The average gold recovery was 76.5% in Q4, with realized gold prices at $1,784/oz and silver at $23.08/oz. The company's president highlighted the successful transition to a producer and plans for continued growth in 2022, including potentially restarting the Velardeña operation.

Positive

• Exceeded annual gold production guidance of 12,000 - 14,000 oz Au, achieving 14,449 oz Au.
• Exceeded annual silver production guidance of 25,000 - 30,000 oz Ag, achieving 51,058 oz Ag.
• Achieved high average gold grades: 4.6 g/t Au in Q4 and 4.1 g/t Au in FY 2021, well above the life of mine average of 3.3 g/t.
• Strong Q4 throughput of 466 tpd, comparing favorably to 409 tpd for FY 2021.

Negative

• Gold recovery decreased from 76.5% in Q4 to 74.9% for FY 2021, potentially impacting future production efficiency.

GOLDEN, Colo.--(BUSINESS WIRE)-- Golden Minerals Company (“Golden Minerals”, “Golden” or the “Company”) (NYSE American: AUMN and TSX: AUMN) has today reported production data from its Rodeo gold-silver mine (Durango State, Mexico) for the fourth quarter and full year (“FY”) 2021.

Rodeo’s operation came online in mid-January 2021 and reached a steady state of throughput in April 2021. Summary production figures are as follows:

• Payable gold production: 4,831 oz Au in Q4 and 14,449 oz Au in FY 2021 Au, beating annual production guidance of 12,000 - 14,000 oz Au
• Payable silver production: 15,250 oz in Q4 and 51,058 oz in FY 2021, beating annual guidance of 25,000 - 30,000 oz Ag
• Payable gold equivalent production: 5,028 AuEq oz in Q4 and 15,156 AuEq oz in FY 2021
• High average gold grades: 4.6 g/t Au in Q4 and 4.1 g/t in FY 2021, vs. Preliminary Economic Assessment [link] life of mine average grade of 3.3.g/t
• Throughput (tonnes per day (“tpd”) processed): 466 tpd in Q4 and 409 tpd in FY 2021
• Gold recovery: 76.5% in Q4 and 74.9% for FY 2021
• Realized gold/silver prices (before selling and refining costs): $1,784/oz Au in Q4 and $1,793/oz for FY 2021; $23.08/oz Ag in Q4 and $24.83/oz Ag in FY 2021

Warren Rehn, Golden’s President and Chief Executive Officer, commented, “2021 was an exciting and successful year for Golden Minerals, as it marked our progression to junior gold-silver producer from exploration company based on our Rodeo Mine start-up and excellent production record. Exceeding our production guidance for the year is a testament to the success of our very capable mining team through the planning and execution stages of the mine start-up and into full production. We are well positioned to continue our growth strategy in 2022 based on our forecasted continued production from Rodeo and from the possible re-start of our Velardeña mining operation.”

Full production data for 2021 is shown in the table below.

		Three Months Ended Dec. 31, 2021			Twelve Months Ended Dec. 31, 2021
Total tonnes mined (1)		145,205			661,102
Total tonnes in stockpiles awaiting processing (2)		14,068			14,068
Total tonnes in low grade stockpiles (3)		69,567			69,567
Tonnes processed		42,827			149,411
Tonnes per day processed		466			409
Gold grade processed (grams per tonne)		4.6			4.1
Silver grade processed (grams per tonne)		13.8			12.2
Plant recovery - gold (%)		76.5			74.9
Plant recovery - silver (%)		82.6			89.9
Payable gold produced in dore (ounces)		4,831			14,449
Payable silver produced in dore (ounces)		15,250			51,058
Payable gold equivalent produced in dore (ounces) (4)		5,028			15,156
Gold sold in dore (ounces)		5,164			13,772
Silver sold in dore (ounces)		15,552			48,970
Gold equivalent sold in dore (ounces) (4)		5,366			14,454
Realized price, before refining and selling costs
Gold (dollars per ounce)		1,784			1,793
Silver (dollars per ounce)		23.08			24.83

(1)		Includes all mined material transported to the plant, stockpiled or designated as waste
(2)		Includes mined material stockpiled at the mine or transported to the plant awaiting processing in the plant
(3)		Material grading between 2 g/t (current cut off grade) and 1 g/t Au held for possible future processing
(4)		Gold equivalents based on realized $ Au and $ Ag price

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 acquiring and advancing selected mining properties in Mexico, Nevada and Argentina.

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 the Company’s growth strategy for 2022 and projections related to production at the Rodeo and the potential re-start of the Velardeña mining operation. These statements are subject to risks and uncertainties, including the overall impact of the COVID-19 pandemic and the possible future re-suspension of non-essential activities in Mexico, including mining; higher than anticipated costs at the Rodeo mine or at Velardeña; 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.

Follow us at www.linkedin.com/company/golden-minerals-company/ and https://twitter.com/Golden_Minerals

For additional information please visit http://www.goldenminerals.com/

View source version on businesswire.com: https://www.businesswire.com/news/home/20220112005233/en/

Golden Minerals Company

Karen Winkler, Director of Investor Relations

(303) 839-5060

Source: Golden Minerals Company

FAQ

What are the production results for Golden Minerals (AUMN) in Q4 2021?

In Q4 2021, Golden Minerals produced 4,831 ounces of gold and 15,250 ounces of silver.

Did Golden Minerals (AUMN) meet its production guidance for FY 2021?

Yes, Golden Minerals exceeded its production guidance for FY 2021, producing 14,449 ounces of gold and 51,058 ounces of silver.

What was the average gold recovery rate for Golden Minerals (AUMN) in FY 2021?

The average gold recovery for FY 2021 was 74.9%.

What realized prices did Golden Minerals (AUMN) achieve for gold and silver in Q4 2021?

In Q4 2021, Golden Minerals achieved a realized gold price of $1,784 per ounce and a silver price of $23.08 per ounce.

What are Golden Minerals' (AUMN) plans for growth in 2022?

Golden Minerals plans to continue production at the Rodeo mine and potentially restart operations at the Velardeña mine in 2022.