Golden Minerals Company · TSX:AUMN
Golden Minerals — Investor Presentation (November 2021)
28 slides from Golden Minerals's investor presentation, Nov 4, 2021
Slide 1: Corporate Presentation
Corporate Presentation November 4, 2021 NYSE American & TSX: AUMN
Slide 2: Cautionary Statements
CAUTIONARY STATEMENTS Cautionary Note Regarding Forward Looking Statements: Statements made regarding matters which are not historical facts, are “forward looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Canadian securities legislation. These in
Slide 3: Business Strategy
BUSINESS STRATEGY WE ARE A GOLD AND SILVER COMPANY BASED IN GOLDEN, COLORADO AND WE WILL INCREASE SHAREHOLDER VALUE THROUGH OUR PLANS FOR: ► PROFITABLE PRODUCTION IN 2021 ► GROWTH: TWO MINES PRODUCING 2022 ► CONTINUED EXPLORATION SUCCESS NYSE American & TSX: AUMN 2
Slide 4: At a Glance
AT A GLANCE ► Solid portfolio of production and exploration assets ► Gold and silver focused ► Premier mining jurisdictions ► Colorado (USA) headquarters ► Common stock trades on NYSE American and TSX NYSE American & TSX: AUMN 3
Slide 5: Why Invest in AUMN?
WHY INVEST IN AUMN? Cash $8.8M (9/30/2021), zero debt 2021 Free Estimated $8.0‐9.0M after‐tax cash flow from Rodeo gold‐silver operation Cash Flow • Rodeo: ramped up Au‐Ag production to over 500 tpd in May‐June 2021. Potential to expand the resource. • Velardeña: bio‐oxidation may hold the key to 10
Slide 6: Principal Production Assets in Mexico
PRINCIPAL PRODUCTION ASSETS IN MEXICO RODEO MINE VELARDEÑA MINE VELARDEÑA SULFIDE PLANT VELARDEÑA OXIDE PLANT 5 NYSE American & TSX: AUMN
Slide 7: Rodeo Gold Mine – In Production
RODEO GOLD MINE – IN PRODUCTION Rodeo is a highly profitable open‐pit mine. Production activities began in late December 2020, with full production achieved in April 2021. This volcanic‐hosted epithermal gold‐silver deposit is located around 115km via road west of Velardeña, where material is trucke
Slide 8: Rodeo: 2021 Key Activities & Forecasts
RODEO: 2021 KEY ACTIVITIES & FORECASTS We installed a regrind mill circuit Current 2021 forecasts are in April and have increased predicated on the 2020 PEA, processing to a rate of over 500 adjusted to reflect assumed pricing tonnes per day. of $1,800/oz Au and $25.00/oz Ag. 2021 Tonnes First gold
Slide 9: Rodeo: Key Production Data
RODEO: KEY PRODUCTION DATA Q1 2021 Q2 2021 Q3 2021 YTD Tonnes per day processed 209 427 532 390 Gold grade processed (g/t) 3.0 3.6 4.0 3.7 Payable gold produced in dore (oz) 1,390 3,452 4,777 9,618 Realized gold price (USD/ounce)* $1,721 $1,843 $1,783 $1,797 8 * before refining and selling costs NYS
Slide 10: $865 cash costs per payable gold oz in Q3 2021
$865 cash costs, net of by-product credits, per payable gold oz in Q3 2021 Q1 2021 Q2 2021 Q3 2021 YTD Total cash costs, net of by‐product credits (000) $ 2,606 $ 3,157 $ 4,133 $ 9,896 Payable gold ounces produced in doré 1,390 3,452 4,777 9,618 Total cash cost per unit Total cash operating costs 2,
Slide 11: Rodeo Mine – 2020 PEA
RODEO MINE – 2020 PEA Rodeo’s LOM* gold production is estimated at 41,000 ounces, with upside potential. Production plans were developed based upon an April 2020 PEA1 & 2020 infill drill program. PEA estimates assume below‐ market prices of $1,622/oz Au and $14.38/oz Ag and include: ► Low start up c
Slide 12: Velardeña Properties - Overview
VELARDEÑA PROPERTIES - OVERVIEW • Past‐producing, 316‐ha property with 2 Ag‐ Au mines (Pb/Zn byproducts) and two processing plants • Ramp access Ag/Au epithermal‐ mesothermal underground vein mine • All mining equipment & infrastructure is in place • Evaluating plans to restart production in 2022; f
Slide 13: Velardeña – 2020 PEA
VELARDEÑA – 2020 PEA The May 2020 PEA1 incorporates bio‐oxidation processing designed specifically to address past challenges with Au recovery. • PEA Highlights* ► $106M after‐tax free cash flow ► $85.9M pre‐tax NPV8 ► Low cash cost ‐ $0.92 per payable Ag ounce, net of credits2 ► Production of 1M oz
Slide 14: Velardeña – Project Sensitivities
VELARDEÑA – PROJECT SENSITIVITIES This project offers considerable upside at current metals prices. From the PEA base case which assumed $1,324/oz Au and $16.23/oz Ag and estimated a project showing $85.9M pre‐tax NPV8: • A 50% rise in Au price to $1,986/oz +$51M pre‐tax NPV • A 50% rise in Ag pri
Slide 15: PEA Projected Production – Rodeo & Velardeña
PEA PROJECTED PRODUCTION – RODEO & VELARDEÑA • Au equivalent calculated at 80:1 Ag:Au and includes only Au and Ag. Does not include Pb and Zn production from Velardeña. • Based on PEA projections from published reports. 14 NYSE American & TSX: AUMN
Slide 16: Yoquivo - Overview
YOQUIVO - OVERVIEW Au‐Ag exploration‐stage property near the Ocampo mining district in Chihuahua State, Mexico; a large, low‐sulfidation epithermal vein system with limited historic production. • 1,975 hectares in 7 claims; Golden holds option to purchase • Past producing, bonanza grade epithermal v
Slide 17: Yoquivo – Exploration Activity
YOQUIVO – EXPLORATION ACTIVITY 007: 0.4m grading 8.76 g/t Au and 60 g/t Ag 012: 1.2m grading 34 g/t Au and 1,895 g/t Ag 006: 1m grading 011: 12.3m grading 5.0 g/t Au and 118 1.3 g/t Au and 225 g/t Ag g/t Ag 001: 4.2m grading 2.34 g/t Au and 190 g/t Ag 2020 drill program, mapped veins and drill hole
Slide 18: El Quevar – Significant Expansion Potential
EL QUEVAR – SIGNIFICANT EXPANSION POTENTIAL • High‐grade silver project in Salta Province, 57,000 ha • NPV5 $44.9M from 2018 PEA showing 4.8M oz per year Ag production at Yaxtché deposit • Most of the area outside Yaxtché remains unexplored. Deposit open to the east & west. • Additional high‐grade s
Slide 19: El Quevar Earn-In with Barrick Gold
EL QUEVAR EARN-IN WITH BARRICK GOLD Partnering with a premier gold company that has demonstrated success in finding & developing major gold projects. Barrick carries costs while we maintain upside discovery potential. • Barrick carries Golden through pre‐feasibility, covering all costs. They are tar
Slide 20: Sarita Este
SARITA ESTE • Gold/copper exploration project: Golden holds option to acquire 51% from Cascadero Minerals Corp. Agreement signed December 2019. • Located in northwest Salta Province, Argentina near First Quantum’s Taca Taca project. • Agreement calls for Golden to spend $2.5M by 12/31/2023, includin
Slide 21: Company Catalysts - 2021
COMPANY CATALYSTS - 2021 Rodeo ► Q3‐Q4 steady state production at increased full throughput (500 tpd) ► Complete results of Rodeo resource expansion drill program ‐ Q4 Velardeña ► Results of further bio‐oxidation studies – Q1 2022 ► Formal decision on the resumption of operations – 2022 Sarita Este
Slide 22: Total Company Resources
TOTAL COMPANY RESOURCES Grade Tonnes Silver Gold AgEq. Silver Gold (M) (Moz) (koz) (Moz) g/t g/t VELARDEÑA Measured 0.40 4.1 71.0 9.8 317 5.4 Indicated 0.95 9.2 143.0 20.7 303 4.7 Inferred 1.77 20.1 268.0 41.5 354 4.7 EL QUEVAR Indicated 2.93 45.3 ‐ 45.3 482 n/a Inferred 0.31 4.1 ‐ 4.1 417 n/a SANTA
Slide 23: Key Facts
KEY FACTS Stock Symbol NYSE American & TSX: AUMN Share Price, 52‐Wk Hi/Lo (US) $0.47($1.30/$0.41) 3‐Month Avg. Daily Volume2 0.6 M Shares Outstanding 163 M Warrant Shares 13 M Options & Restricted Stock Units 4M KELTIP1 Units 5M Shares Outstanding ‐ Fully Diluted 185 M Cash (9/30/21) $8.8 M Debt (9/
Slide 24: AUMN Share Price Performance
AUMN SHARE PRICE PERFORMANCE Golden Minerals’ share price has outperformed underlying gold and silver metals prices in the period beginning Jan. 1, 2019. AUMN vs. Gold & Silver ‐ % chg. 2019 ‐ present 350% AUMN +91% 300% 250% Silver +55% 200% Gold +40% 150% 100% 50% 0% ‐50% Gold Silver AUMN As of No
Slide 25: Strong Shareholder Base
STRONG SHAREHOLDER BASE Global X Management GR Asset Mgmt GmbH ETF Managers Group 1.8% 0.5% 2.2% Sector Investment Managers Vanguard Group 0.7% 3.7% Management & Geode Capital Mgmt Directors 0.5% 0.9% Hecla Mining Company 1.1% Sentient 23.1% Remaining Float 65.6% • Figures per most recent public fil
Slide 26: Appendix
Appendix 25 NYSE American & TSX: AUMN
Slide 27: Resource Footnotes
RESOURCE FOOTNOTES VELARDEÑA: • PEA and Resource: Tetra Tech, PEA NI 43‐101 Technical Report, issue date May 8, 2020. PEA assumes metal prices of $1,324/oz Au and $16.23/oz Ag. • Metal prices for NSR cutoff & AgEq calcs are 3‐year trailing average as of December 2019: (US) $16.30/troy oz Ag, $1,305/
Slide 28: Contact Information
CONTACT INFORMATION INVESTOR RELATIONS ONLINE Karen Winkler www.goldenminerals.com Director of Investor Relations Tele: 303.764.9170 www.linkedin.com/company/golden-minerals- [email protected] company/ https://twitter.com/Golden_Minerals CORPORATE HEADQUARTERS TRANSFER AGENT 350
Golden Minerals Company — Investor Presentation (November 2021) on 6ix