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Silver, Gold & Copper

TSX: MAI OTC: MNEAF

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in Argentina

July 2011

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Cautionary StatementThis presentation contains certain "forward-looking statements", including, but not limited to, the statements regarding Minera Andes Inc.’s and its subsidiaries’ and affiliates’ (collectively the “Company’s”) strategic plans, forecasts, projections, future financial or operating information, evolution of mineral resources and reserves, work programs, development plans, operating performance and plans, exploration budgets and plans, or other expectations or beliefs as to future events or results. This includes descriptions and summaries of certain proposals received from significant shareholders, which the Company and its directors are currently evaluating. All statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. The Company cautions the reader that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of the Company to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. Risks and uncertainties that could cause results or future events to differ materially from current expectations expressed or implied by the forward-looking statements include, but are not limited to, the completion of a proposed business combination between Minera Andes and US Gold (including the numerous approvals required in connection with such a business combination), risks related to business integration as a result of a successful business combination, factors associated with fluctuations in the market price of metals, mining industry risks, risks associated with foreign operations, risks associated with operations not controlled by the Company, environmental risks and hazards, legislative, political or economic developments in the jurisdictions in which the Company carries on business; operating or technical difficulties in connection with mining or development activities; employee relations; availability and costs associated with mining inputs and labour; the speculative nature of exploration and development, including the risks of obtaining necessary licenses and permits, currency fluctuations, uncertainty as to calculation of mineral reserves and other risks.  Reference is made to the risk factors and uncertainties described in the Company's continuous disclosure record, a copy of which is available under the Company's profile at www.sedar.com. The Securities & Exchange Commission permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We may use certain terms in this presentation, such as "mineral resources" and “measured”, “indicated” and “inferred” mineral resources that are normally not permitted to be used in filings made with the SEC. Investors are cautioned not to assume that any part of the mineral deposits in such categories will ever be converted into reserves. Accordingly, information in this presentation containing descriptions of our mineral deposits may not be comparable to similar information made public by U.S. companies subject to the disclosure requirements of the U.S. federal securities laws. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.  

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MAI: TSX

MNEAF: US OTC

NILS ENGELSTAD

VICE PRESIDENT,CORPORATE AFFAIRS

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MAI: TSX

MNEAF: US OTC

Formal

Proceedings

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MAI: TSX

MNEAF: US OTC

PERRY ING

CFO

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Balance Sheet

Dec 31, 08 Dec 31, 09 Dec 31, 10 (as restated)

Mar 31, 11(unaudited)

Cash & ST Inv. 3 19 14 31

Working Capital (27) 16 11 25

Total Assets 137 167 193 217

Bank Debt 16 - - -

Total Liabilities 67 42 45 40

Shareholder’s Equity 70 124 148 177

USD Millions

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Statement of OperationsDec 31, 08 Dec 31, 09 Dec 31, 10

(as restated) Mar 31, 11(unaudited)

Income from MSC 4.7 9.3 24.5 11.3

Interest expense (2.8) (1.1) - -

Professional fees (2.2) (2.6) (1.9) (0.2)

General & admin (2.8) (3.5) (3.6) (0.9)

Other income & (expense) (0.9) 2.0 0.5 6.8

Income (loss) (4.0) 4.1 19.5 17.0

EPS ($0.02) $0.02 $0.07 $0.06

USD Millions

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Share Capital

Dec 31, 08 Dec 31, 09 Dec 31, 10 Mar 31, 11(unaudited)

Common Shares 190 263 267 282

Options 12 8 5 5

Warrants 21 17 16 -

Fully Diluted Shares 223 288 288 287

In millions

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Minera Santa Cruz

Q1 2010

Q2 2010

Q3 2010

Q4 2010

Q1 2011

Q2 2011

Remainder of 2011

Income (loss) from MSC

(0.2) 4.1 5.0 15.6 11.3 TBD TBD

Cash receivedfrom MSC

- - 4.6 4.6 0.7 0.7 ~ 25+

In millions of USD

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MAI: TSX

MNEAF: US OTC

JIM DUFF

COO

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Minera Andes’ AssetsSilver, Gold & Copper

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SAN JOSÉ MINESilver + GoldProduction

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2010 Production: Silver – 5.3 million oz (@$9.67/oz Ag*) Gold - 84,000 oz (@ $568/oz Au*)

Inferred resources nearly doubled – 12 year resource life

Exploration continuing in 2011

16 day strike in April-May 2011

San JoséA Large Silver Mine

* Cash operating costs on a co-product basis

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Dec 2010 Resource and Reserves*

MineralResource

Tonnes Ag g/t Au g/t Ag Eq oz(millions)

2009M&I

Inferred

2,645,000

2,002,000

480

310

7.39

4.98

78.5

39.2

2010M&I

Inferred

3,055,000

2,986,000

475

373

6.80

5.96

86.8

70.22009 - Cutoff grade of 149 eqAg g/t using $925/oz Au and $15/oz Ag prices, Ag:Au ratio 60:1

2010 - Cutoff grade of 198 eqAg g/t using $900/oz Au and $15/oz Ag prices, Ag:Au ratio 60:1

Resources (Significant Increase)

MineralReserve

Tonnes Ag g/t Au g/t Ag Eq oz(millions)

2009 2P 1,520,000 454 7.32 43.7

2010 2P 1,469,000 451 6.33 39.2

2009 – Breakeven cutoff value of $125.60/t using $810/oz Au and $13.50/oz Ag prices, Ag:Au ratio 60:1

2010 – Breakeven cutoff value of $191.30/t using $900/oz Au and $15.00/oz Ag Prices, Ag:Au ratio 60:1

*Reported March 28, 2011 in the company’s annual information form

Reserves

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San José Mine Production

Product Q1 2011 Q4 2010

Mill feed (tonnes) 113,696 135,710

Average head grade silver (g/t) 459 475

Average head grade gold (g/t) 6.08 6.34

Silver produced 1,522,000 1,871,440

Gold produced 21,410 26,141

Silver equivalent produced (60:1) 2,807,000 3,439,929

Cash cost per tonne of ore $181 $172

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Prospective Exploration Properties

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Santa Cruz Exploration Targets

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Los Azules3,500 m Above Sea Level

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Los AzulesAmongst Copper Giants

18% ofWorld’s Copper Resources

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Exploration and Infill Drilling

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Exploration and Infill Drilling

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Los Azules – Longitudinal Section

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2010-2011 Field Season Accomplishments

• 9 infill drill holes - 2 deep exploration holes

• Advanced Preliminary Feasibility Study • Preliminary hydrologic model• Geotechnical evaluations• Access road evaluation• Environmental assessments and base line

monitoring• Metallurgical test work

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2011-2012 Goals

• Continue exploration and infill drilling

• Advance Preliminary Feasibility Study

• Metallurgical test work

• environmental studies and baseline monitoring

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Los Azules 2010 Resource

g/t = grams per tonne

Resources not recalculated in 2011 because drilling during 2010-2011 season would not materially change resources

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100,000 TPD ore production

LOM average 375 million lbs Cu/year 

CAPEX $2.9 Billion

Cash Operating Cost $0.96/lb

Payback in 3 years @ $3/lb

25 year Mine Life

Updated Preliminary Economic Assessment Highlights

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MAI: TSX

MNEAF: US OTC

ROBERT R. MCEWEN

CHAIRMAN, PRESIDENT & CEO

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Dow vs Gold Ratio

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Silver / Gold Exchange Ratio# of ozs Silver = 1 oz Gold

1980 – Present

Range

14 - 100

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LIFE IS FULL OF DISTRACTIONS. NO MATTER HOW TEMPTING IT MAY BE TO VEER OFF YOUR PATH, KEEP YOUR GOALS IN FOCUS AND KEEP MOVING FORWARD.

- Gabriel Cid

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MarketRewards

• Size

• Quality

• Growth

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Creating a High Growth, Low Cost

Mid-tier Silver Producer

With Big Growth Pipeline

+

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Combination Benefits

• Asset Diversification

• Greater Trading Liquidity

• Increased Research

• Index Inclusion

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Diversified in the Americas

* San Jose: includes just MAI 49% interest

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Production &

DevelopmentPipeline

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Significant Growth Pipeline

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McEwen

Mining

First

Majestic

Silvercorp Hecla Coeur

D’Alene

Pan

American

Silver

Standard

$345 MM

$39 MM $31 MM$5 MM $3 MM $1 MM $0 MM

27x Avg.

Rob McEwen Big Ownership – No Salary!Compared to Other CEO’s and No Salary

* As of Jun 13, 2011

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2011E 2014E

7.5 MM oz

2.5 MM oz

Growing

Production

2011E 2014E

-$1.50-$0.40

Lowering Costs

Cash Cost / Silver oz*

(Gold by-product)

*Cash cost reported on a by-product basis

High Growth + Low CostPro-forma Estimates

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Creating a Low Cost, High Margin ProducerCash Cost (By-Product Basis): McEwen Mining vs Peers

Silvercorp-$7.60

McEwenMining

Hecla$1.05

PanAmerican

$7.85

SilverStandard$10.95

FirstMajestic

$8.25

*Cash cost reported on a by-product basis

** As of March 31, 2011

2011

-$0.40 2014

-$1.50

Coeur $6.50

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McEwen Mining Market Cap vs Peers

$1.8 B$1.6 B*

$2.2 B

$3.3 B

$2.1 B$2.1 B

*Pro-forma market cap** As of July 11, 2011

$2.2 B

McEwen

Mining

Silvercorp First

Majestic

Silver

Standard

Hecla Coeur Pan

American

Est.7.5 MM

oz

5.6 MMoz

7.0 MMoz

8.5 MMoz

10.6 MMoz

16.8 MMoz

24.3 MMoz

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Strong Treasury - No Bank DebtCash + Silver / Gold Bullion

$111 MM

$90 MM

$21 MM

Pro-forma US Gold Minera Andes

* As of June 30, 2011

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Pro-forma Resource Estimates

3.8 MM oz

0.9 MM oz

81.2 MM oz

51.1 MM oz

Silver

M&I Inferred

Gold

M&I Inferred

Copper

Indicated Inferred

2.2 B lbs

10.3 B lbs

* As of Dec 31, 2010

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Past SuccessGoldcorp + Wheaton Combination

Premium Paid: 7%

Goldcorp Performance

Day of Announcement

Goldcorp Performance

12 Months Upon Closing

$0.01

170%

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52 Week Trading $ Volume

US Gold

Cdn

$0.7 MM

5%

US

$13 MM

95%

Minera$3 MM

80%

$0.8 MM

20%

Pro-forma$3.7 MM

20%

$13.8 MM

80%*US Gold – NYSE & TSX Minera – OTC.BB & TSX In US $

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52 Week Hi/Lo Share Price

US Gold

Minera

Ratio

@ 0.40

Hi

$9.58

$3.47

0.36

$3.83

Lo

*USD

$4.35

$0.70

0.16

Hi & LowOccurredon thesame day

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Share Price Exchange RatioMNEAF/ UXG July 2009 - 2011

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Share Exchange RatioJune 1 - Present

AnnouncementJune 14

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Share Exchange RatioStarting 1 Day Before Announcement

Positive

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LIFE HAS TAUGHT ME THAT WE ARE CAPABLE OF FAR GREATER THINGS THAN ONE CAN POSSIBLY IMAGINE!