Golden Minerals Announces Exercise of Over-Allotment Option by Underwriters

GOLDEN, CO -- (Marketwire) -- 10/19/10 -- Golden Minerals Company (NYSE Amex: AUMN) (TSX: AUM) ('Golden Minerals' or 'the Company') is pleased to announce that the underwriters have fully exercised an over-allotment option to purchase an additional 608,250 shares of the Company's common stock in connection with its public offering that priced on October 7, 2010. In addition, the Company has entered into an agreement with its largest stockholder, The Sentient Group, pursuant to which Sentient has agreed to purchase a total of 1,190,031 shares at the public offering price of US$18.50 per share in a private placement pursuant to Regulation S under the U.S. Securities Act of 1933. Closing of the public offering, including the over-allotment option, and the private placement is expected to occur on or about October 22, 2010.

Including the over-allotment shares being purchased by the underwriters and the private placement shares being purchased by The Sentient Group, the public offering and private placement will total 5,853,281 shares at a price of US$18.50 per share, resulting in expected net proceeds to the Company of approximately $103.0 million after deducting underwriting discounts, placement agent fees and estimated offering expenses.

Canaccord Genuity Corp. is the sole book-running manager and Dundee Securities Corporation, Haywood Securities Inc., Rodman & Renshaw, LLC, Roth Capital Partners and Scarsdale Equities LLC are co-managers for the offering.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. A shelf registration statement relating to these securities has been filed with and declared effective by the U.S. Securities and Exchange Commission ('SEC'), and a final prospectus supplement relating to the offering has been filed with the SEC. A final short form prospectus relating to the offering has also been filed in Canada in the Provinces of British Columbia, Alberta and Ontario. A copy of the final prospectus supplement and the accompanying base shelf prospectus relating to the offering is available on EDGAR at www.sec.gov and a copy of the final short form prospectus relating to the offering is available on SEDAR at www.sedar.com. Copies of the final prospectus supplement may be obtained in the United States by contacting Canaccord Genuity Inc. at 525 Madison Av., 2nd Floor, New York, NY, USA 10022, 1-212-849-3973, and copies of the final short form prospectus may be obtained in Canada by contacting Canaccord Genuity Corp. at 161 Bay St., Suite 3000, Toronto ON, Canada M5J 2S1, 416-869-7368.

About Golden Minerals

Golden Minerals is a Delaware corporation based in Golden, Colorado, primarily engaged in the advancement of its pipeline of exploration projects in Mexico and South America. The Company has a portfolio of approximately 30 exploration projects, including the El Quevar project in the Salta Province of northwestern Argentina and advanced stage drilling projects in Mexico and Peru.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended, and applicable Canadian securities laws, including statements regarding the anticipated closing date of the offering, which express management's expectations or estimates of future developments, circumstances or results. These statements are subject to risks and uncertainties, including whether the proposed offering is completed, disruptions in the financial markets, and other factors that may cause actual results, performance or achievements to be materially different from those expressed or implied. Golden Minerals assumes no obligation to update this information. Additional risks relating to Golden Minerals may be found in the periodic and current reports filed with the SEC and Canadian securities regulatory authorities by Golden Minerals, including the Company's Annual Report on Form 10-K for the year ended December 31, 2009.

For additional information please contact:


Golden Minerals Company

Jerry W. Danni

(303) 764-9160

Executive Vice President