TIDMHOC 
 
RNS Number : 4020U 
Hochschild Mining PLC 
14 October 2010 
 

14 October 2010 
 
               Hochschild reduces stake in Lake Shore Gold to 6% 
 
 
Hochschild Mining plc ("Hochschild") announces today that it has entered into an 
agreement to reduce its stake in Lake Shore Gold Corp ("Lake Shore Gold") from 
approximately 35% to 6% at a price of C$3.60 per common share, representing a 
33% gain on the average purchase price of C$2.70 per share. Total gross proceeds 
of C$392.41 million will mostly be used to support the Company's organic growth 
strategy through investment in its extensive and rapidly expanding exploration 
pipeline, including funding Azuca and Inmaculada to production. 
 
Under the terms of the agreement, RBC Dominion Securities Inc., BMO Nesbitt 
Burns Inc. and CIBC World Markets Inc. will purchase 109,000,000 of the common 
shares of Lake Shore Gold held by Hochschild, on a bought deal basis for onward 
sale. Immediately following the closing of the offering, Hochschild will 
continue to hold 21,540,992 common shares of Lake Shore Gold, representing 
approximately 6% of issued and outstanding common shares. The transaction is 
expected to close on 3 November 2010. 
 
Ignacio Bustamante, CEO of Hochschild Mining said: 
 
"Today's transaction demonstrates our focus on value creation through organic 
growth and will provide the funds to progress our strategy of securing and 
developing early stage,highly value accretive projects which have significant 
upside potential and a clear path to control. Since we identified the geological 
potential of Lake Shore Gold in 2007, we have supported the company in moving 
towards production and we are delighted with the progress achieved to date which 
provides us with a profitable return on our investment." 
 
 
Hochschild's stake in Lake Shore Gold is disclosed on its consolidated income 
statement under the equity method and as at 31 December 2009, the share of Lake 
Shore Gold's profit was US$47.0 million which included a one-off gain of 
US$101.5 million from the Group's share in Lake Shore Gold's acquisition of 100% 
of West Timmins' net assets. The asset value of the Lake Shore Gold holding is 
also disclosed on Hochschild's consolidated statement of financial position 
under "investments accounted under equity method". Following the transaction, 
Hochschild's remaining holding in Lake Shore Gold will be marked to market and 
will be disclosed under "available for sale financial assets". 
 
1 Prior to payment of expenses and underwriting fees 
 
Enquiries: 
Hochschild Mining plc 
Isabel Lütgendorf 
                    +44 (0)20 7907 2934 
Head of Investor Relations 
 
Finsbury 
Faeth Birch 
                     +44 (0)20 7251 3801 
Public Relations 
 
Lake Shore Gold Corp. 
Tony Makuch 
President & CEO 
                 +1 (416) 703-6298 
 
Mark Utting 
Vice-President, Investor Relations 
            +1 (416) 703-6298 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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