Golden Minerals Closes Previously Announced Transactions With Sentient and Hochschild

GOLDEN, CO--(Marketwire - January 8, 2010) - Golden Minerals Company ("Golden Minerals" or the "Company") (TSX: AUM) (PINKSHEETS: GDMN) is pleased to announce that it has successfully completed the previously announced transaction with Hochschild Mining plc and the previously announced private placement with The Sentient Group.

Under the terms of the transaction with Hochschild Mining plc ("Hochschild"), the Company has acquired Hochschild's 35% interest in the Minera El Quevar S.A. joint venture, which controls approximately 10,000 hectares of the 64,000 hectare El Quevar project, including the Yaxtche target area. The Company issued 400,000 shares of Golden Minerals common stock and warrants to acquire an additional 300,000 shares of common stock exercisable for three years at an exercise price of US$15.00 per share. Hochschild is a leading precious metals company listed on the London Stock Exchange, with a primary focus on the exploration, mining, processing and sale of silver and gold.

Under the terms of the private placement with The Sentient Group ("Sentient"), the Company has issued a total of 844,694 shares of common stock to Sentient, which includes 745,318 shares issued in the initial private placement plus an additional 99,376 shares issued upon exercise of Sentient's contractual pre-emptive right in order to maintain Sentient's 19.9% equity interest following completion of the Hochschild transaction. All shares issued to Sentient were sold at a purchase price of C$7.06 per share, which was established on December 7, 2009 under price protection rules of the Toronto Stock Exchange and reflects a premium to the 5-day volume weighted average price on that day, resulting in gross proceeds to the Company of C$5.96 million. Sentient is an independent private equity firm that manages over $1.3 billion of investments in the global resources industry.

About Golden Minerals

Golden Minerals is a Delaware corporation based in Golden, Colorado, primarily engaged in the advancement of its exploration projects and in providing mine management services. The Company has a portfolio of 35 exploration projects, primarily located in Argentina, Peru and Mexico, including the advanced stage El Quevar project in the Salta Province of northwestern Argentina and the Zacatecas project in Mexico. The Company's experienced management team has proven in house ability to explore, develop and operate mining projects. Golden Minerals operates the San Cristobal mine in Bolivia for Sumitomo Corporation under a Management Services Agreement.

For additional information please visit http://www.goldenminerals.com or contact:

Contact Information: Golden Minerals Company Jerry W. Danni (303) 839-5060 Sr. Vice President Corporate Affairs