Operating Improvements At Red Lake And Penasquito Mines

VANCOUVER - "Operating improvements at Red Lake in Ontaria, and Peûasquito in Mexico, contributed to strong financial results in the third quarter," said Chuck Jeannes, Goldcorp President and Chief Executive Officer. "Our priority is on continuing work to maximize the strong potential at our two largest operations. At Red Lake, access to several stopes in the High Grade Zone following the completion of de-stressing work is leading to stronger gold production in the second half of the year while an important new discovery adjacent to the High Grade Zone supports the potential for greater future production flexibility at this prolific mine.  At Peûasquito, water availability remains sufficient to achieve 2012 guidance, and a study is underway to develop a long-term water strategy to meet the needs of both Peûasquito and emerging development opportunities in the Peûasquito district.

"Goldcorp's pipeline of high quality gold projects comprises the leading growth profile in the sector, and we are pleased that the first of those new growth projects, Pueblo Viejo in the Dominican Republic , achieved first gold production during the third quarter.  In Argentina , the Cerro Negro project is advancing steadily towards first gold production in late 2013. All major mechanical equipment to be imported is now at the site or in-country, and development of the first three veins is progressing well. At the âlÄonore project in Quebec a milestone was reached with the completion of the Gaumond exploration shaft excavation, and at Cochenour in Red Lake, a new study including an updated development plan will be completed during the fourth quarter. Both âlÄonore and Cochenour remain on track for first gold production in late 2014.

Gold sales in the third quarter were 617,800 ounces on production of 592,500 ounces. This compares to sales of 571,500 ounces on production of 592,100 ounces in the third quarter of 2011. Silver production totaled 8.5 million ounces compared to silver production of 6.5 million ounces in the prior year's third quarter.  Total cash costs were $220 per ounce of gold on a by-product basis and $660 per ounce on a co-product basis.

Net earnings in the quarter were $498 million compared to $336 million in the third quarter of 2011. Adjusted net earnings in the third quarter totaled $441 million , or $0.54 per share, compared to $450 million or $0.56 per share, in the third quarter of 2011.  Adjusted net earnings in the third quarter of 2012 primarily exclude the gains from the foreign exchange translation of deferred income tax liabilities, mark-to-market loss on the conversion feature of convertible senior notes, and the reversal of impairment charges related to certain of its investments in associates, but include the impact of non-cash stock-based compensation expenses which amounted to approximately $22 million or $0.03 per share for the quarter. Operating cash flow before changes in working capital was $687 million compared to $681 million in last year's third quarter. The average realized gold price for the quarter was $1,685 per ounce of gold sold.

The company's address is Suite 3400-666 Burrard Street, Vancouver, BC V6C 2X8, (604) 696-3000, fax: (604) 696-3001.