Agreement For The Sale Of Velardena And Other Properties

GOLDEN, CO - Golden Minerals Company has entered into an agreement to sell certain of its Mexican properties to Compania Minera Autlan S.A.B. de C.V..  Under the terms of the agreement, Autlan will have the option to purchase the Canadian holding company ECU Silver Mining, Inc. which owns three of the Company’s Mexican subsidiaries, which together hold the Velardena properties, including the Velardena and Chicago mines (currently on care and maintenance), the two processing plants, mining equipment and other adjacent exploration properties.  The transfer would include the lease agreement pursuant to which the Company has leased the oxide plant to Minera Hecla, S.A. de C.V. through 2020.  The proposed transaction also would include the sale of the Rodeo and the Santa Maria project concessions.

The agreement provides for a period of up to 75 days for Autlan to conduct due diligence.  Closing of the transaction is subject to the satisfactory completion by Autlan of its due diligence review.  Following completion of its due diligence review, Autlan may elect to terminate the agreement with no further obligation on its part.  Closing of the transaction is also subject to approval by the Mexican antitrust authority without imposition of material restrictions, and other customary closing conditions. The parties anticipate that the closing, if it occurs, would take place during the third quarter 2019.

Golden Minerals’ President and Chief Executive Officer, Warren Rehn, said, “We are very pleased to announce this transaction, as its consummation will enable Golden Minerals to focus on moving our other existing projects forward, including the newly-acquired Sand Canyon gold-silver project in Nevada, the Yoquivo silver-gold project in Chihuahua State, Mexico, and the El Quevar silver project in Argentina. Our efforts and exploration activities are best directed toward these existing projects, all of which have ample untested potential for expansion, and for other attractive opportunities.”

The company’s address is 350 Indiana Street, Suite 650, Golden, CO 80401, (303) 839-5060, www.goldenminerals.com.