VANCOUVER, BRITISH COLUMBIA– August 9, 2018 - Golden Queen Mining Co. Ltd. (TSX:GQM; OTCQX:GQMNF) (the “Company” or “Golden Queen”) announces its financial results for the quarter ended June 30, 2018 at its 50%-owned Soledad Mountain gold-silver mine (the “Mine”) located south of Mojave, California. The financial results were filed today on Form 10-Q with the United States Securities and Exchange Commission. Unless otherwise stated, all amounts are illustrated in thousand US dollars and reflect 100% of the financial results of Golden Queen Mining Company, LLC (“GQM LLC”), the Company’s 50%-owned subsidiary that holds the Mine unless otherwise stated.

SECOND QUARTER OPERATIONAL HIGHLIGHTS

Gold production of 9,976 ounces

Silver productionof 99,846 ounces

Average gold and silver grade placed this quarter was 0.020 ounces per ton gold and 0.347 ounces per ton silver

KEY METRICS
Mining
Q2’18 Q1’18 Q4’17 Q3’17 Q2’17
Ore mined (‘000 tons) 1,473 1,135 973 928 1,010
Waste mined: ore mined ratio 1.7:1 2.3:1 3.7:1 4.3:1 3.7:1
Gold grade placed (oz/ton) 0.020 0.019 0.012 0.013 0.016
Silver grade placed (oz/ton) 0.347 0.313 0.225 0.180 0.201
Gold sold (oz) 9,892 6,529 9,971 12,255 12,653
Silver sold (oz) 96,127 53,612 73,501 47,977 53,514
Total cash costs ($/t placed) (1) 16.56 18.06 17.58 16.9913.48

Apparent gold cumulative recovery(1) (%) 69.1 71.5 75.5 73.0 68.0
Apparent silver cumulative recovery(1) (%) 27.7 27.1 27.4 25.8 25.3

Financial(1)
Q2’18 Q1’18 Q4’17 Q3’17 Q2’17
Revenue ($000) 14,485 9,585 13,939 16,496 16,822
Income (loss) from mine operations ($000) 2,991 (6,449) (5,512) (1,839) 773
General & administrative expenses ($000) (879) (1,254) (1,936) (1,171) (712)

Total other income (expenses) ($000) (1,508) (1,360) 1,396 (214) 1,131

Net & comprehensive income (loss) ($000) 602 (9,063) (1,327) (3,224) 1,192
Net & comprehensive income (loss) attributable to LTD ($000) (632) (5,417) 2,188 (1,889)
962
Average realized gold price(1) ($/oz sold) 1,302 1,330 1,275 1,280 1,262

Average realized silver price(1) ($/oz sold) 16.62 16.70 16.61 16.89 17.10

(1)Total cash costs, apparent cumulative recovery and All-in sustaining costs (see below) are financial performance measures with no standard meaning under General Accounting Accepted Principles in the US (“US GAAP”). See below in this news release for information on non-GAAP measures used in this news release.

SECOND QUARTER FINANCIAL HIGHLIGHTS

Attributable net loss for the second quarter totaled$0.6 million, or $(0.00) loss per share, on a basic and diluted basis

Revenue totaled $14.5 million in the second quarter

Gold sold in the second quarter totaled 9,892 ounces at an average realized gold price of $1,302 per ounce

Silver sold in the second quarter totaled 96,127 ounces at an average realized silver price of $16.62 per ounce

Cash balances as at June 30, 2018 totaled $10.5 million

Total cash costs net of by-product credits of $730 per ounce produced for the second quarter

All-in sustaining costs(2) of $1,045 net of by-product credits per ounce produced for the second quarter

During the second quarter ended June 30, 2018, the net loss attributable to the Company was $0.6 million (or $0.00 on a basic and diluted basis), compared to a net gain of $0.9 million (or $0.01 on a basic and diluted basis), for the corresponding period in 2017.

The Company had revenues from operations during the three months ended June 30, 2018 in the amount of $14.5 million from the sales of 9,892 ounces of gold and 96,127 ounces of silver. The Company’s operational revenue during the three months ended June 30, 2017 was $16.9 million.

The Company had, on a consolidated basis, $28.4 million in current assets, including $10.5 million in cash, and a working capital deficit of $9.8 million as at June 30, 2018, compared with $12.7 million in assets, including $2.9 million in cash, and working capital deficit of $13.1 million as at December 31, 2017.

The financial position and results for the quarter ended June 30, 2018 are summarized in the tables below and are presented on a 100% project ownership basis unless otherwise noted (the figures on the table are expressed in thousands of US dollars, except share amounts, unless otherwise noted):

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