A Message to GPXM Stakeholders

David A. Caldwell
Member, Interim Governing Board

All,

We are now several months into the restructuring of Golden Phoenix Minerals, Inc. The decisions and choices we made through this critical period were difficult at times, but are proving themselves well. As I write this note, we are now poised at the dawn of a new day for Golden Phoenix, one that your Board of Directors and its Advisory Board have been single-mindedly working towards for all shareholders’ benefit. I am now proud to say that we have, indeed, risen from the ashes as our namesake would suggest.

The resilience of your Company is a testament to the quality and dedication of its professional staff, the unimpeachable value of its mineral assets, and the loyalty of its shareholder base in fulfilling its role as the Company’s true owners. Without all three of these firmly in place, the job of re-focusing our efforts and re-tooling the business would have been improbable to complete at best. Golden Phoenix is now squarely on track to begin production at its Ashdown Mine in 2005 and to take advantage of record high prices for molybdenum. Under the current plan, these resources should begin to produce revenue for the Company and its joint venture Partner Win-Eldrich Mines in the near future.

As we move toward this historic moment in the Company’s development, I want to thank our stakeholders and publicly acknowledge all who have worked with us in this passage: Our vendors who stand by us through hard times; the many agencies that help guide us through the intricacies of the state and federal permitting systems; our Joint Venture partner in standing strong behind our efforts on their behalf; our technical team who have weathered a sea of change to pilot us to the success we are beginning to enjoy; and finally to our shareholders who maintain unflagging support for Golden Phoenix through these uncertain times.

As we look ahead to the coming months, expect to see your support and our efforts bear fruit as we kick off construction of our Ashdown mill and begin processing molybdenite ore from the Ashdown mine. Every aspect of your Company is being re-tooled and will continue to be honed further as the months pass. The many changes to be unveiled over time will be backed by our new commitment to corporate communication and timely updates of our progress.

Thank you again for your support in allowing us to guide you to this point. These are exciting times indeed, and we can all look forward to greater rewards as we move into the future together.

Sincerely,

David A. Caldwell
Independent Director (1997-2005)