The location of the vein is shown in Exhibit 1. Highlights from the holes recently drilled on the Pilar vein include:

Portions of the Pilar vein were previously identified as the Nadia and Sofia veins. Recent underground and surface infill drilling has enabled the exploration team at San José to re-interpret these isolated segments as the continuous Pilar vein. A total of 310 meters of drifting has been completed on the different segments of the Pilar vein on the 350 level, which connects the Frea and Kospi veins. The drilling and drifting indicate that the Pilar vein may have a strike length of about one kilometer with some exceptional thicknesses and grade. There is good potential to grow the resource base as the structure is open at depth and along strike.

Rob McEwen, Chairman and CEO of McEwen Mining, said:

"We are excited by the discovery of the Pilar vein. This discovery demonstrates the outstanding potential of the San José mine and the excellent work that the exploration team and the mine are doing. What I find most encouraging is that we are intersecting higher gold grades and increased thicknesses. We anticipate that the Pilar vein together with the continuing discovery of other new veins will further extend the mine life."

In 2012, a total of 110,500 meters of diamond core drilling is scheduled at the San José mine, of which 68,000 meters will be exploration for new resources and 42,500 will be for infill. This represents more than double of the exploration budget that was completed last year.

In addition to the drilling planned at the San José mine, McEwen Mining is planning to drill 20,000 meters of diamond core drilling on its 100% properties adjoining the San José mine and Goldcorp's Cerro Negro project.

During the Fourth Quarter, a total of 72 diamond core holes totaling 19,169 meters was drilled. The majority of the drilling (38 of the 72 holes) was exploration for new resources on existing veins and potential new veins. This exploration drilling totaled 10,916 meters and was directed mainly towards the Pluma area, which is the northwest extension of the San José vein zone, and the southeastern extension of the Huevos Verdes Sur vein. The exploration drilling results received to date are reported in Exhibit 2.

The remainder of the drilling (34 of the 72 holes) during the Fourth Quarter was infill for the purpose of upgrading existing inferred resources to the measured and indicated categories so that they can be incorporated into the production plan. This infill drilling amounted to 8,252 meters and was concentrated on the Sofia, Luli, Susana and Orion veins. The Pilar vein was discovered as a result of the infill drilling on these veins. With the exception of the Pilar vein, results of the infill drilling were in line with expectations.

Resources defined by the exploration and infill drilling will be reported as part of the year end resource update that is currently being prepared.

The induced polarization geophysical program covering 16,000 hectares is being finalized. The geophysical program is being followed up by detailed geological mapping of the areas covering the geophysical surveys. The geophysical and geological information will be used for drill hole targeting during 2012.

ABOUT MCEWEN MINING ( www.mcewenmining.com )

The objective of McEwen Mining is to qualify for inclusion in the S&P 500 by 2015 by creating a high growth, low-cost, mid-tier silver producer focused in the Americas. McEwen Mining's principal assets consist of the following:

• Production: a 49% interest in Minera Santa Cruz SA, owner of the San José Silver-Gold Mine that is located near Goldcorp's Cerro Negro project in Argentina.

• Development: The El Gallo Complex in Sinaloa, Mexico (first phase of production expected mid-2012) and the Gold Bar Project in Nevada; as well as the Los Azules Copper Deposit in San Juan, Argentina.

• Exploration: The Company has a large portfolio of exploration properties in Santa Cruz province Argentina, surrounding the San José Mine and Goldcorp's Cerro Negro project in addition to significant land packages in Nevada adjoining Barrick's Cortez mine and surrounding our El Gallo Complex in Mexico.

Rob McEwen, Chairman and CEO, owns 25% of the outstanding shares of McEwen Mining. As at December 31, 2011 the Company had US$80 million in cash (including silver/gold bullion) and no bank debt.

About Minera Santa Cruz: Minera Santa Cruz SA is a joint venture owned 51% by Hochschild Mining Argentina, a wholly owned subsidiary of Hochschild Mining plc, and 49% by Minera Andes S.A., a wholly owned subsidiary of McEwen Mining. The joint venture owns and operates the San José mine.

About Hochschild Mining plc: Hochschild Mining plc is a leading precious metals company listed on the London Stock Exchange (HOCM.L / HOC LN) with a primary focus on the exploration, mining, processing and sale of silver and gold. Hochschild has over forty years of experience in the mining of precious metal vein deposits and currently operates four underground vein mines, three located in southern Peru, one in southern Argentina and one open pit mine in northern Mexico. Hochschild also has numerous long-term prospects throughout the Americas.