Day: February 15, 2017

Warren Rehn, President and Chief Executive Officer of Golden Minerals, commented, “We are pleased with the results of this independently?prepared PEA, as it presents a low cost and profitable operation at current metals prices. If we go ahead with the project, production at Santa Maria would mark Golden’s re?emergence as a producer of close to one million silver equivalent ounces annually, with the potential to move the company to positive net cash flow. We believe there is also excellent potential for expansion of the project which could lead to continued production beyond the initial three?year period considered in the PEA.”

Thomas Atkins, President and CEO of Mammoth commented on this agreement and investment stating: “The Company has built a strong relationship with this drill contractor and the senior executive of this contracting firm, himself having studied and worked as a geologist, upon seeing the potential of the Tenoriba property was keen to consider a structure whereby his firm could assist us in the challenge of raising capital for drilling while at the same time gain some exposure to the success of the drill program and the advancement of exploration at Tenoriba. We think this can be a win-win situation and are very pleased to arrive at such an agreement. Following the field program which is expected to start shortly at Tenoriba and will include trenching and road access and pad construction to facilitate drilling, Mammoth hopes to begin an approximate 2,500 diamond drill program to test various targets on the property. As a result of this agreement with the contractor the Company will be required to raise far less capital in the equity market for this program. We’re equally pleased that the contractor has shown confidence in the Company and the Tenoriba project by investing in the recently announced Private Placement.”