An anonymous director reports

GOLDEN MINERALS ANNOUNCES COMPLETION OF SALE OF ITS EL QUEVAR SILVER PROJECT AND PROVIDES CORPORATE UPDATE

Golden Minerals Company has completed its previously announced sale of Silex Argentina S.A., its wholly owned subsidiary that owns the El Quevar project located in Salta province, Argentina, to Butte Energy Inc.

The total purchase price for the acquisition of Silex was $3.5-million (U.S.), of which $1-million was previously paid, and the balance of $2.5-million was paid on Oct. 24, 2024.

Concurrent with the closing of the transaction, Butte Energy changed its name to Argenta Silver Corp.

INFOR Financial Inc. acted as financial adviser to the company in relation to this transaction and Fasken Martineau DuMoulin LLP acted as Canadian counsel to the company.

Corporate update

The company continues to hold an interest in several remaining exploration properties, including Sarita Este/Desierto, a gold-silver-copper exploration project located in northwest Salta province Argentina, and Sand Canyon, an exploration-stage, gold-silver project in northwestern Nevada. The company will not be able to further explore or develop any of its properties without the receipt of additional capital.

As previously disclosed, the company ceased mining at the Velardena mines in Mexico in the first quarter 2024, and subsequently sold the mines and certain related assets. The company is still owed $1.8-million (U.S.) plus VAT (value-added tax) of the purchase price for the remaining Velardena assets. The company's only near-term opportunity to generate cash flow to meet its expected cash requirements is from the sale of assets, equity or other external financing. With the receipt of the proceeds from the sale of the El Quevar project, as of Oct. 24, 2024 the company has cash and cash equivalents of approximately $3.6-million and accounts payable of approximately $1.6-million.

The company is taking actions to address its liquidity and financial stability concerns. As a part of these efforts, the company is evaluating and pursuing alternatives, including the potential sale of the company, finalizing the sale of its assets at the Velardena properties, seeking buyers or partners for the company's other assets, or obtaining equity or other external financing. The proceeds from these sales would be directed toward addressing the company's continuing operating expenses and satisfying its liabilities, while seeking to maximize any remaining value for its shareholders. If the company is unable to obtain additional resources, it may be forced to cease operations and liquidate.

We seek Safe Harbor.