We are a Colorado-based gold-silver producer, with one operating mine in Mexico and a pipeline of development and exploration projects in Mexico, Argentina and Nevada. We transitioned from exploration firm to gold-silver producer in January 2021 when we began production at the Rodeo open pit gold mine in Durango State, Mexico. Rodeo’s mining operations broke even in the first quarter of production and have been producing positive cash flow since. Separately, the company intends to restart production at the much larger silver-gold Velardeña Properties, potentially in 2023, where the use of bio-oxidation (“BIOX”) processing of sulfide concentrates is expected to result in a dramatic increase in overall gold recovery that is projected to give rise to 10+ years of profitable operations.
Golden Minerals Company offers investors leverage to gold and silver prices. We hold independently-prepared Technical Report Summaries (SEC S-K 1300-compliant) and Preliminary Economic Assessments (NI 43-101-compliant) on four of our precious metals projects that total over $195M in net present value (including Measured, Indicated and Inferred Resources). The Rodeo gold mine has shown itself to be a generator of cash that can be used in part to self-fund production start-up at the larger silver/gold Velardeña Properties. We started production at Rodeo in January 2021 and currently estimate the Rodeo mine will operate profitably until the third quarter 2023.
Meanwhile, repeated testing of sulfide concentrates using bio-oxidation processing technology demonstrates improved gold recovery from pyrite concentrates and potential for Velardeña to become a highly profitable operation for a number of years. Both Velardeña and our district-scale El Quevar silver project in Salta, Argentina present additional upside in the form of significant resource expansion and thus value appreciation.