Argonaut Gold and Prodigy Gold Receive Support From
Leading Independent Proxy Advisor ISS For Plan of Arrangement

November 20, 2012

Vancouver – November 20, 2012 – Institutional Investor Services (ISS), a leading proxy advisory firm, has recommended that shareholders of Prodigy Gold (TSX.V: PDG) and Argonaut Gold (TSX: AR) vote in favour of Argonaut’s proposed acquisition of all of Prodigy’s issued and outstanding common shares.

The ISS report notes: “In light of the favorable market reaction, the favorable termination fee agreement, and no significant noted governance concerns, a vote FOR this resolution is warranted.”

It adds that the potential dilution associated with the transaction will be 28% on a fully diluted basis for Argonaut common shares “which does not appear to be unreasonably excessive.”

Furthermore, ISS says that Prodigy shareholders “are expected to be provided with exposure to current production and cash flow in a strong gold price environment and continuing exposure to the advancement of the Magino Property as well as Argonaut's existing organic growth profile. In light of the significant implied premium, the favorable market reaction, the strategic rationale and no significant governance concerns, a vote FOR this resolution is warranted.”

Really? Maybe so, maybe not. It did seem like a very quick shotgun wedding to me.

Have a great and golden day.

Doc