<SEC-DOCUMENT>0001279569-12-001312.txt : 20121108
<SEC-HEADER>0001279569-12-001312.hdr.sgml : 20121108
<ACCEPTANCE-DATETIME>20121107195553
ACCESSION NUMBER:		0001279569-12-001312
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20121107
FILED AS OF DATE:		20121108
DATE AS OF CHANGE:		20121107

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PAN AMERICAN SILVER CORP
		CENTRAL INDEX KEY:			0000771992
		STANDARD INDUSTRIAL CLASSIFICATION:	GOLD & SILVER ORES [1040]
		IRS NUMBER:				000000000
		FISCAL YEAR END:			0331

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-13727
		FILM NUMBER:		121188193

	BUSINESS ADDRESS:	
		STREET 1:		1500-625 HOWE STREET
		CITY:			VANCOUVER BC CANADA
		STATE:			A1
		ZIP:			V6C 2T6

	MAIL ADDRESS:	
		STREET 1:		1500 625 HOWE ST
		CITY:			VANCOUVER BC V6C 2T6
		STATE:			A1
		ZIP:			999999999

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	PAN AMERICAN MINERALS CORP
		DATE OF NAME CHANGE:	19950608
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>panamericansilver6k.htm
<DESCRIPTION>FORM 6-K
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font: 14pt Times New Roman, Times, Serif"><B>UNITED
STATES</B></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font: 14pt Times New Roman, Times, Serif"><B>SECURITIES
AND EXCHANGE COMMISSION</B></FONT></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font: 12pt Times New Roman, Times, Serif"><B>Washington,
D.C. 20549</B></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>__________________</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font: 18pt Times New Roman, Times, Serif"><B>FORM
6-K&nbsp;</B></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">_____________________</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>REPORT OF FOREIGN PRIVATE ISSUER</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>PURSUANT TO RULE 13a-16 OR 15d-16</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>UNDER THE SECURITIES EXCHANGE ACT of 1934</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>November 7, 2012</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">_____________________</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 18pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font: 24pt Times New Roman, Times, Serif"><B>Pan
American Silver Corp.</B></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">(Exact name of registrant as specified in its
charter)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-size: 18pt"><B>&nbsp;</B></FONT><B><FONT STYLE="font-size: 10pt">1500-625
HOWE STREET</FONT></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>VANCOUVER BC CANADA V6C 2T6</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">(Address of principal executive offices)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-size: 18pt"><B>&nbsp;</B></FONT><B><FONT STYLE="font-size: 10pt">000-13727</FONT></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">(Commission File Number)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">_____________________</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40-F.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<TABLE ALIGN="CENTER" CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; background-color: white">
<TR>
    <TD STYLE="width: 29%; text-align: right">&nbsp;Form 20-F</TD>
    <TD STYLE="width: 21%; text-align: center">&nbsp;<FONT STYLE="font-family: Wingdings 2">&#163;</FONT></TD>
    <TD STYLE="width: 25%; text-align: center">&nbsp;Form 40-F</TD>
    <TD STYLE="width: 25%"><FONT STYLE="font-family: Wingdings 2">&#83;</FONT></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Indicate by check mark if the registrant is submitting the Form
6-K in paper as permitted by Regulation S-T Rule 101(b)(1). _____</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<TABLE ALIGN="CENTER" CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; background-color: white">
<TR>
    <TD STYLE="width: 3%"></TD>
    <TD STYLE="width: 97%;"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">Note: Regulation S-T Rule
    101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security
    holders.</FONT></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Indicate by check mark if the registrant is submitting the Form
6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<TABLE ALIGN="CENTER" CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; background-color: white">
<TR>
    <TD STYLE="width: 3%"></TD>
    <TD STYLE="width: 97%">Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a
    Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make
    public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant&rsquo;s
    &ldquo;home country&rdquo;), or under the rules of the home country exchange on which the registrant&rsquo;s securities are
    traded, as long as the report or other document is not a press release, is not required to be and has not been distributed
    to the registrant&rsquo;s security holders, and, if discussing a material event, has already been the subject of a Form 6-K
    submission or other Commission filing on EDGAR.</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Indicate by check mark whether by furnishing the information contained
in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<TABLE ALIGN="CENTER" CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; background-color: white">
<TR>
    <TD STYLE="width: 29%; text-align: right">&nbsp;Yes</TD>
    <TD STYLE="width: 21%; text-align: center"><FONT STYLE="font-family: Wingdings 2">&#163;</FONT></TD>
    <TD STYLE="width: 25%; text-align: center">&nbsp;No</TD>
    <TD STYLE="width: 25%"><FONT STYLE="font-family: Wingdings 2">&#83;</FONT></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">If &quot;Yes&quot; is marked, indicate below the file number assigned
to the registrant in connection with Rule 12g3-2(b):&nbsp;<B>______</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Signatures&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

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    <TD STYLE="width: 50%"></TD>
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    <TD STYLE="width: 49%"></TD></TR>
<TR STYLE="vertical-align: top">
    <TD></TD>
    <TD COLSPAN="2" STYLE="font-weight: bold"><B>Pan American Silver Corp.</B></TD></TR>
<TR STYLE="vertical-align: top">
    <TD></TD>
    <TD COLSPAN="2">(Registrant)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD>Date:&nbsp;November 7, 2012</TD>
    <TD>By:&nbsp;&nbsp;</TD>
    <TD STYLE="border-bottom: Black 1pt solid">/s/&nbsp;<B><I>ROBERT PIROOZ</I></B></TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2"></TD>
    <TD>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Robert Pirooz</P></TD></TR>
<TR STYLE="vertical-align: top">
    <TD COLSPAN="2"></TD>
    <TD STYLE="font-style: italic">General Counsel</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EXHIBIT LIST</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

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    <TD STYLE="width: 8%; border-bottom: black 1pt solid">Exhibit</TD>
    <TD STYLE="width: 4%; padding-bottom: 0.75pt"></TD>
    <TD STYLE="border-bottom: black 1pt solid">Description</TD></TR>
<TR>
    <TD></TD>
    <TD></TD>
    <TD></TD></TR>
<TR>
    <TD STYLE="vertical-align: top; text-align: center">&nbsp;&nbsp;99.1</TD>
    <TD></TD>
    <TD>News Release dated November  7, 2012 - Pan American Silver increases quarterly silver production</TD></TR></TABLE>

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<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>ex991.htm
<DESCRIPTION>NEWS RELEASE DATED NOVEMBER 7, 2012
<TEXT>
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<P STYLE="margin: 0; text-align: right"><FONT STYLE="font: 8pt Arial, Helvetica, Sans-Serif"><B>Exhibit 99.1</B></FONT></P>

<P STYLE="margin: 0; text-align: right">&nbsp;</P>

<P STYLE="margin: 0; text-align: left"></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 0"></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 0"></P>



<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 0"></P>

<P STYLE="font: 12pt Arial, Helvetica, Sans-Serif; margin: 0"><B>Pan American Silver increases quarterly silver production</B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">(All amounts in US dollars unless otherwise stated and all
production figures are approximate)</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">VANCOUVER, Nov. 7, 2012 /CNW/ - <B>Pan American Silver Corp.</B>
(NASDAQ: PAAS; TSX: PAA) (the &quot;Company&quot;, or &quot;Pan American&quot;), produced 6.3 million ounces of silver and 28,162
ounces of gold during the third quarter of 2012, an increase of 13% and 36%, respectively, as compared to the same quarter of 2011.&nbsp;
Lower realized precious metal prices and rising costs, however, saw adjusted earnings dip to $37.6 million, or $0.25 per share.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><I>This earnings release should be read in conjunction with
the Company's MD&amp;A, Financial Statements and Notes to Financial Statements for the corresponding period, which have been posted
on SEDAR at www.sedar.com and are also available on the Company's website at </I>www.panamericansilver.com<I>.</I></P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%">
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    <TD STYLE="border: black 1pt solid; font: 10pt Arial, Helvetica, Sans-Serif; padding: 1.5pt"><FONT STYLE="color: black"><I>&nbsp; </I><B>Third Quarter 2012 Financial and Operating Highlights (unaudited) <SUP>(1)</SUP></B> </FONT></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border: black 1pt solid; padding: 1.5pt">
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Produced 6.3 million ounces of silver </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Produced 28,162 ounces of gold </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Consolidated cash costs<SUP>(2) </SUP>of $13.87 per ounce of silver,
        net of by-product credits </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Mine operating earnings<SUP>(3) </SUP>of $68.2 million </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Net earnings of $22.6 million or $0.15 per share </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Adjusted earnings<SUP>(4) </SUP>of $37.6 million or $0.25 per share
        </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Operating cash flow (before working capital changes) of $66.4 million
        or $0.44 per share </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Record revenue of $251.8 million </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Returned a total of $15.1 million to shareholders; $7.6 million was
        paid in cash dividends and $7.5 million used to complete the Company's first share repurchase program. </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Received approval for a second share repurchase program for up to
        approximately 7.6 million shares&nbsp; </FONT></P></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border: black 1pt solid; font: bold 10pt Arial, Helvetica, Sans-Serif; padding: 1.5pt">Liquidity (at September 30, 2012)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border: black 1pt solid; padding: 1.5pt">
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Increased cash and short-term investments to $548 million </FONT></P>
        <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0 0 0 22.5pt; text-indent: -0.25in"><FONT STYLE="font: 10pt Symbol">&#183;</FONT><FONT STYLE="font: 7pt Times New Roman, Times, Serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        </FONT><FONT STYLE="font: 10pt Arial, Helvetica, Sans-Serif">Increased working capital<SUP>(5) </SUP>to $784.6 million </FONT></P></TD></TR>
</TABLE>
<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><SUP>(1)</SUP> Financial information in this news release
is based on International Financial Reporting Standards (&quot;IFRS&quot;); results are unaudited.<BR>
<SUP>(2) </SUP>Cash costs per payable ounce of silver is a non-GAAP measure. The Company believes that in addition to production
costs, depreciation and amortization, and royalties, cash cost per ounce is a useful and complementary benchmark that investors
use to evaluate the Company's performance and ability to generate cash flow and is well understood and widely reported in the silver
mining industry.&nbsp; However, cash costs per ounce does not have a standardized meaning prescribed by IFRS as an indicator of
performance.&nbsp; Investors are cautioned that cash costs per ounce should not be construed as an alternative to production costs,
depreciation and amortization, and royalties determined in accordance with IFRS as an indicator of performance. The Company's method
of calculating cash costs per ounce may differ from the methods used by other entities and, accordingly, the Company's cash costs
per ounce may not be comparable to similarly titled measures used by other entities.&nbsp; See &quot;Financial and Operating Highlights&quot;
below for a reconciliation of this measure to the Company's production costs, depreciation and amortization, and royalties.<BR>
<SUP>(3)</SUP> Mine operating earnings is a non-GAAP measure used by the Company to assess the performance of its silver mining
operations.&nbsp; Mine operating earnings is calculated as revenue, less production costs, depreciation and amortization and royalties.&nbsp;
The Company and certain investors use this information to evaluate the Company's performance.<BR>
<SUP>(4)</SUP> Adjusted earnings is a non-GAAP measure calculated as net earnings for the period adjusting for the gain or loss
recorded on fair market value adjustments on the Company's outstanding derivative instruments, unrealized foreign exchange gains
or losses, unrealized gain or loss on commodity contracts, the transaction costs arising from the Minefinders transaction, and
gains on the disposition of mineral interests.&nbsp; The Company considers this measure to better reflect normalized earnings as
it does not include items which may be volatile from period to period.<BR>
<SUP>(5)</SUP> Working capital is a non-GAAP measure calculated as current assets less current liabilities. The Company and certain
investors use this information to evaluate whether the Company is able to meet its current obligations using its current assets.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Geoff Burns, President &amp; CEO, commented on the Company's
third quarter results; &quot;We had yet another very solid production quarter, increasing both our silver and gold production.&nbsp;
We accomplished this in spite of the difficulties that we and the mining industry are currently experiencing operating in Argentina.&nbsp;
As expected, our adjusted earnings declined on lower realized silver and gold prices, but we produced good operating cash flow,
invested as planned in our operating assets and exploration programs, repurchased shares, paid dividends and by the end of the
quarter had banked almost $30 million.&nbsp; Now, well into the last&nbsp; quarter of the year, we remain on track to meet our
2012 forecast for both silver production and cash costs.&quot;&nbsp; Burns continued; &quot;Our focus will remain on generating
sustainable profits from our operations and returning cash to our shareholders.&nbsp; We will also use our financial strength to
look both internally and externally for opportunities to grow our silver production, but will exercise discipline given the current
environment of increasing political risk and capital cost escalation.&quot;</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><B>Financial Results </B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Revenue generated during the third quarter of 2012 rose to
a record $251.8 million, an increase of $31.3 million compared to the same quarter of last year.&nbsp; The increase was due to
higher quantities of metals sold, which was partially offset by the sharp decline in average realized metals prices. The average
realized silver and gold prices during the quarter were $29.27 and $1,639 per ounce, which was 24% and 2% lower than a year ago,
respectively.&nbsp; The average realized zinc, lead and copper prices during the quarter were $1,871, $1,924 and $7,181 per tonne,
respectively, which were 16%, 21% and 20% lower year-on-year.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">The Company generated quarterly adjusted earnings of $37.6
million, or $0.25 per share, as compared to adjusted earnings of $51.5 million or $0.48 per share in the 3rd quarter of 2011.&nbsp;
Increased operating costs, lower average realized metal prices and increased depreciation charges negatively impacted adjusted
earnings in the current period.&nbsp; Net earnings were $22.6 million, or $0.15 per share.&nbsp; The current quarter's adjusted
earnings were calculated by excluding a $14.0 million non-cash loss on the revaluation of derivative instruments, a $0.5 million
unrealized loss on commodity and foreign currency contracts, an unrealized foreign exchange gain of $2.9 million and a $3.4 million
decrease to the previously recognized gain from the sale of the Quiruvilca mine.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Mine operating earnings for the third quarter of 2012 were
$68.2 million, or 36% lower year-on-year.&nbsp; The decline was due to the combined effect of lower metal prices, a rise in operating
costs at all the Company's mines and higher depreciation charges due to the inclusion of Dolores' mine production; these factors
were partially offset by increased revenue on more quantities of metal sold compared to a year ago.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Operating cash flow before non-cash working capital changes
was $66.4 million or $0.44 per share, a 34% decline compared to the third quarter of 2011, on lower mine operating earnings and
income tax payments of $23.7 million during the third quarter of this year.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Accrued income taxes for the quarter declined 53% from the
third quarter of 2011 to $18.8 million on lower operating earnings.&nbsp; The effective tax rate for the quarter was 45%, slightly
higher than the 43% tax rate from a year ago.&nbsp; The main factors causing variations in the Company's effective tax rate are
the non-taxable portion of unrealized non-cash gains/losses on the Company's derivatives, foreign income tax rate differentials,
foreign exchange gains/losses and valuation allowances against certain deferred tax assets.&nbsp; Pan American expects that these
and other factors will continue to cause volatility in effective tax rates in the future.&nbsp; The Company expects the effective
tax rate for 2012, excluding the non-cash market adjustments for the volatility in warrants and convertible debt, to be 30% to
35%.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">During the quarter, the Company's cash and short term investments
rose by $28.2 million from the previous quarter to $548 million and its working capital rose by $15.8 million to $784.6 million.&nbsp;
In the third quarter of 2012, Pan American distributed to its shareholders $7.6 million in cash dividends and invested $7.5 million
to complete the share repurchase program that was launched in August 2011.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Year-to-date, Pan American has paid $133.2 million in income
taxes (predominantly related to previous years' income), invested $94.6 million in capital at its operations and development projects,
increased precious metals inventory by $18.4 million, spent $31.0 million repurchasing its common shares, paid $17.3 million in
dividends and still increased its cash and short term investments by $56.8 million.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><B>Production and Operations</B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">In this year's third quarter, Pan American produced a total
of 6.3 million ounces of silver, 13% more year-on-year, due to the addition of 0.8 million ounces from the Dolores mine.&nbsp;
Dolores' silver production was slightly below management's expectations due to a brief stoppage to repair a broken crusher.&nbsp;
The Company's two other Mexican mines, Alamo Dorado and La Colorada produced 1.3 million ounces and 1.1 million ounces of silver,
respectively.&nbsp; At Alamo Dorado the phase II pit expansion, which will extend the life of the mine by approximately one year,
is progressing as planned. Mill throughput at the operation was lower year-on-year due to processing harder ore; this was partially
offset by higher grades and recoveries.&nbsp; La Colorada continues to perform well and silver production was practically flat
year-on-year.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">In Peru, the Morococha mine produced 0.5 million ounces of
silver and the Huaron mine 0.7 million ounces of silver, respectively.&nbsp; Morococha increased its silver production by 42% on
improved recoveries, throughput and grades.&nbsp; Mine development is advancing as planned and management is confident that the
operation's productivity will continue to improve.&nbsp; At 0.7 million ounces, Huaron's silver production was 10% higher than
a year ago on better recoveries and higher throughput rates, in spite of lower grade ores being processed.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">At the San Vicente mine in Bolivia, better silver grades,
increased throughput, and recoveries boosted silver production to 1.0 million ounces or 29% more than a year ago.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">At the Manantial Espejo mine, silver production declined 23%
year-on-year to 0.9 million ounces as a consequence of lower grades, which could only be partially overcome by increased throughput.&nbsp;
The negative effect of import restrictions on mining equipment availability caused the open pit operation to fall 1.8 million tonnes
or 18% behind our plan for waste movement over the last 12 months.&nbsp; For this reason, a conscious decision was made to shift
the focus in the open pits from ore mining to catching up on the shortfall in waste mining. This decision significantly reduced
ore grades during the third quarter as we processed ore from our medium grade stockpiles; however, ore grades should substantially
improve with the expected return to normal operating conditions in early 2013.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Quarterly gold production at Manantial Espejo declined 38%
compared to a year ago for the reasons described above; however, the Company's consolidated gold production rose 36% to 28,162
ounces on the addition of 13,509 ounces from Dolores and slight increases at Morococha and Alamo Dorado.&nbsp; Zinc and lead production
were lower than in the third quarter of last year at 8,502 and 2,671 tonnes, respectively, while copper production was practically
unchanged year-on-year at 1,009 tonnes.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Consolidated cash costs for the third quarter of 2012 rose
45% from a year ago to $13.87 per ounce of silver, net of by-product credits.&nbsp; Consolidated cash costs rose primarily due
to decreased by-product credits from lower metal prices and lower gold production at Manantial Espejo, increased COMIBOL participation
in operating cash flow at San Vicente, increased development costs at the Peruvian operations and the effects of industry-wide
cost escalations, particularly in Argentina.&nbsp; These factors were partly offset by the addition of Dolores' lower-cost production.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><B>Project Development</B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">As announced on July 2<SUP>nd</SUP> 2012, given the fiscal
implications of the proposed new legislation to regulate all oil and gas and mining activities in the province of Chubut, Argentina,
Pan American has curtailed its project development activities at the Navidad silver project until changes, if any, to the law relating
to mining activities in the province are enacted and the true implications of that law can be properly assessed.&nbsp; During the
third quarter, the Company spent $3.9 million continuing community relations efforts and advancing limited technical work aimed
at completing an environmental impact assessment by year-end.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">In view of the delay at Navidad, the Company has successfully
redeployed its project development team to focus on the Leach Pad 3 construction at the Dolores mine, as well as the evaluation
of potential expansion opportunities at the La Colorada and Dolores mines in Mexico.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">In Peru, phase I of the Morococha ancillary facility relocation
project was finalized during the quarter with a total expenditure of $0.5 million and the Company is now in the process of relocating
mine support personnel to these new facilities.&nbsp;</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">At the Waterloo silver project in California, the Company
continues to carry out technical work to complete a National Instrument 43-101-compliant Mineral Resource estimate and an environmental
base line study.&nbsp; Management expects that both documents will be ready by late 2013.&nbsp; Year-to-date, the Company has spent
$0.7 million at the project, predominantly on resource confirmation drilling.&nbsp; Moving forward, Pan American intends to accelerate
its project definition and development activities at Waterloo and has allocated a further $1.1 million for drilling, metallurgical
testing and environmental assessment for the rest of the year.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Commenting on the results, Steve Busby, Chief Operating Officer,
said; &quot;I am particularly pleased with the turnaround we are seeing at our Peruvian operations and with the consistent performances
delivered by our Mexican mines.&nbsp; In addition, our San Vicente mine continues to impress with steadily increasing silver production.&nbsp;
However, the stringent importation restrictions enacted in Argentina severely restricted our ability to mine productively at Manantial
Espejo.&nbsp; Because of that, we made a decision to process lower grade stockpile ores while focusing on waste mining.&nbsp; This
should allow for more efficient high-grade ore mining to begin again in early 2013.&nbsp; Despite the shortfall in Argentina, I
remain confident that we will achieve our full year silver production guidance of 24.25 to 25.5 million ounces and our annual cost
guidance of $11.50 to $12.50 per ounce, net of by-product credits.&quot;<B> </B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0; text-align: center">***</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><B>About Pan American Silver</B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Pan American Silver's mission is to be the world's largest
and lowest cost primary silver mining company by increasing its low cost silver production and silver reserves and resources.&nbsp;
The Company has seven operating mines in Mexico, Peru, Argentina and Bolivia, including the recently acquired Dolores gold/silver
mine in Chihuahua, Mexico. Pan American also owns the Navidad silver development project in Chubut, Argentina, the Calcatreu gold
project in Rio Negro, also in Argentina, the La Virginia development project in Sonora, Mexico and the Waterloo silver project
in California, USA.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><I>Technical information contained in this news release with
respect to Pan American has been reviewed by Michael Steinmann, P.Geo., Executive VP Geology &amp; Exploration, and Martin Wafforn,
P.Eng., VP Technical Services, who are the Company's Qualified Persons</I> <I>for the purposes of NI 43-101. </I></P>

<TABLE CELLPADDING="0" STYLE="width: 100%">
<TR>
    <TD STYLE="border: black 1pt solid; font: 10pt Arial, Helvetica, Sans-Serif; padding: 1.5pt"><FONT STYLE="color: black">Pan American will host a conference call to discuss the unaudited quarterly results on Thursday, November 8, 2012 at 10:00 am ET (07:00 am PT).&nbsp; To access the conference, North American participants dial 1-647-427-7450, followed by conference ID 44039370.&nbsp; A live audio webcast can be accessed at http://www.newswire.ca/en/webcast/detail/1051411/1142649.&nbsp; Listeners may also gain access by logging on at http://www.panamericansilver.com/pan-american-silver-third-quarter-results-conference-call/ The call will be available for replay for one week after the call by dialing 1-416-849-0833 and entering replay password # 44039370. </FONT></TD></TR>
</TABLE>
<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><B><I>CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS</I></B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><I>CERTAIN OF THE STATEMENTS AND INFORMATION IN THIS NEWS
RELEASE CONSTITUTE &quot;FORWARD-LOOKING STATEMENTS&quot; WITHIN THE MEANING OF THE UNITED STATES PRIVATE SECURITIES LITIGATION
REFORM ACT OF 1995 AND &quot;FORWARD-LOOKING INFORMATION&quot; WITHIN THE MEANING OF APPLICABLE CANADIAN PROVINCIAL SECURITIES
LAWS.&nbsp; ALL STATEMENTS, OTHER THAN STATEMENTS OF HISTORICAL FACT, ARE FORWARD-LOOKING STATEMENTS.&nbsp; WHEN USED IN THIS NEWS
RELEASE THE WORDS, &quot;BELIEVES&quot;, &quot;EXPECTS&quot;, &quot;INTENDS&quot;, &quot;PLANS&quot;, &quot;FORECAST&quot;, &quot;OBJECTIVE&quot;,
&quot;OUTLOOK&quot;, &quot;POSITIONING&quot;, &quot;POTENTIAL&quot;, &quot;ANTICIPATED&quot;, &quot;BUDGET&quot;, AND OTHER SIMILAR
WORDS AND EXPRESSIONS, IDENTIFY FORWARD-LOOKING STATEMENTS OR INFORMATION.&nbsp; THESE FORWARD-LOOKING STATEMENTS OR INFORMATION
RELATE TO, AMONG OTHER THINGS: FUTURE PRODUCTION OF SILVER, GOLD AND OTHER METALS AND THE TIMING OF SUCH PRODUCTION; FUTURE CASH
COSTS PER OUNCE OF SILVER; THE PRICE OF SILVER AND OTHER METALS; THE EFFECTS OF LAWS, REGULATIONS AND GOVERNMENT POLICIES AFFECTING
PAN AMERICAN'S OPERATIONS OR POTENTIAL FUTURE OPERATIONS INCLUDING, BUT NOT LIMITED TO IMPORT RESTRICTIONS IN ARGENTINA AND THE
LAWS IN THE PROVINCE OF CHUBUT, ARGENTINA, WHICH, CURRENTLY HAVE SIGNIFICANT RESTRICTIONS ON MINING; THE DEVELOPMENT OF THE NAVIDAD
PROJECTAND OTHER&nbsp; DEVELOPMENT PROJECTS OF THE COMPANIES; THE TIMING OF PRODUCTION AND THE CASH AND TOTAL COSTS OF PRODUCTION
AT EACH OF THE COMPANY'S PROPERTIES; THE SUFFICIENCY OF THE COMPANY'S CURRENT WORKING CAPITAL, ANTICIPATED OPERATING CASH FLOW
OR ITS ABILITY TO RAISE NECESSARY FUNDS; TIMING OF RELEASE OF TECHNICAL OR OTHER REPORTS, INCLUDING THE FINALIZATION OF THE ENVIRONMENTAL
IMPACT ASSESSMENTS AND FEASIBILITY STUDY RELATING TO THE NAVIDAD PROJECT; THE ABILITY OF THE COMPANY TO ACHIEVE&nbsp; ANY PLANNED
EXPANSIONS AND DEVELOPMENT AND TIMING FOR THE SAME; THE ESTIMATES OF EXPECTED OR ANTICIPATED ECONOMIC RETURNS FROM THE COMPANY'S
MINING PROJECTS; FORECAST CAPITAL AND NON-OPERATING SPENDING; FUTURE SALES OF THE METALS, CONCENTRATES OR OTHER PRODUCTS PRODUCED
BY THE COMPANY; AND THE COMPANY'S PLANS AND EXPECTATIONS FOR ITS PROPERTIES AND OPERATIONS.</I></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><I>THESE STATEMENTS REFLECT THE COMPANY'S CURRENT VIEWS WITH
RESPECT TO FUTURE EVENTS AND ARE NECESSARILY BASED UPON A NUMBER OF ASSUMPTIONS AND ESTIMATES THAT, WHILE CONSIDERED REASONABLE
BY THE COMPANY, ARE INHERENTLY SUBJECT TO SIGNIFICANT BUSINESS, ECONOMIC, COMPETITIVE, POLITICAL AND SOCIAL UNCERTAINTIES AND CONTINGENCIES.&nbsp;
MANY FACTORS, BOTH KNOWN AND UNKNOWN, COULD CAUSE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS TO BE MATERIALLY DIFFERENT FROM THE
RESULTS, PERFORMANCE OR ACHIEVEMENTS THAT ARE OR MAY BE EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS CONTAINED IN THIS
NEWS RELEASE AND THE COMPANY HAS MADE ASSUMPTIONS AND ESTIMATES BASED ON OR RELATED TO MANY OF THESE FACTORS.&nbsp; SUCH FACTORS
INCLUDE, WITHOUT LIMITATION: FLUCTUATIONS IN SPOT AND FORWARD MARKETS FOR SILVER, GOLD, BASE METALS AND CERTAIN OTHER COMMODITIES
(SUCH AS NATURAL GAS, FUEL OIL AND ELECTRICITY); FLUCTUATIONS IN CURRENCY MARKETS (SUCH AS THE CANADIAN DOLLAR, PERUVIAN SOL, MEXICAN
PESO, ARGENTINE PESO AND BOLIVIAN BOLIVIANO VERSUS THE U.S. DOLLAR); RISKS RELATED TO THE TECHNOLOGICAL AND OPERATIONAL NATURE
OF THE COMPANY'S BUSINESS; CHANGES IN NATIONAL AND LOCAL GOVERNMENT, LEGISLATION, TAXATION, CONTROLS OR REGULATIONS INCLUDING AMONG
OTHERS, CHANGES TO IMPORT AND EXPORT REGULATIONS AND LAWS RELATING TO THE REPATRIATION OF CAPITAL AND FOREIGN CURRENCY CONTROLS;
POLITICAL OR ECONOMIC DEVELOPMENTS IN CANADA, THE UNITED STATES, MEXICO, PERU, ARGENTINA, BOLIVIA OR OTHER COUNTRIES WHERE THE
COMPANY MAY CARRY ON BUSINESS IN THE FUTURE; RISKS AND HAZARDS ASSOCIATED WITH THE BUSINESS OF MINERAL EXPLORATION, DEVELOPMENT
AND MINING (INCLUDING ENVIRONMENTAL HAZARDS, INDUSTRIAL ACCIDENTS, UNUSUAL OR UNEXPECTED GEOLOGICAL OR STRUCTURAL FORMATIONS, PRESSURES,
CAVE-INS AND FLOODING); RISKS RELATING TO THE CREDIT WORTHINESS OR FINANCIAL CONDITION OF SUPPLIERS, REFINERS AND OTHER PARTIES
WITH WHOM THE COMPANY DOES BUSINESS; INADEQUATE INSURANCE, OR INABILITY TO OBTAIN INSURANCE, TO COVER THESE RISKS AND HAZARDS;
EMPLOYEE RELATIONS; RELATIONSHIPS WITH AND CLAIMS BY LOCAL COMMUNITIES AND INDIGENOUS POPULATIONS; AVAILABILITY AND INCREASING
COSTS ASSOCIATED WITH MINING INPUTS AND LABOUR; THE SPECULATIVE NATURE OF MINERAL EXPLORATION AND DEVELOPMENT, INCLUDING THE RISKS
OF OBTAINING NECESSARY LICENSES AND PERMITS AND THE PRESENCE OF LAWS AND REGULATIONS THAT MAY IMPOSE RESTRICTIONS ON MINING, INCLUDING
THOSE CURRENTLY IN THE PROVINCE OF CHUBUT, ARGENTINA; DIMINISHING QUANTITIES OR GRADES OF MINERAL RESERVES AS PROPERTIES ARE MINED;
GLOBAL FINANCIAL CONDITIONS; THE COMPANY'S ABILITY TO COMPLETE AND SUCCESSFULLY INTEGRATE ACQUISITIONS AND TO MITIGATE OTHER BUSINESS
COMBINATION RISKS; CHALLENGES TO, OR DIFFICULTY IN MAINTAINING, THE COMPANY'S TITLE TO PROPERTIES AND CONTINUED OWNERSHIP THEREOF;
THE ACTUAL RESULTS OF CURRENT EXPLORATION ACTIVITIES, CONCLUSIONS OF ECONOMIC EVALUATIONS, AND CHANGES IN PROJECT PARAMETERS TO
DEAL WITH UNANTICIPATED ECONOMIC OR OTHER FACTORS; INCREASED COMPETITION IN THE MINING INDUSTRY FOR PROPERTIES, EQUIPMENT, QUALIFIED
PERSONNEL, AND THEIR COSTS; AND THOSE FACTORS IDENTIFIED UNDER THE CAPTION &quot;RISKS RELATED TO PAN AMERICAN'S BUSINESS&quot;
IN THE COMPANY'S MOST RECENT FORM 40-F AND ANNUAL INFORMATION FORM FILED WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION
AND CANADIAN PROVINCIAL SECURITIES REGULATORY AUTHORITIES.&nbsp; INVESTORS ARE CAUTIONED AGAINST ATTRIBUTING UNDUE CERTAINTY OR
RELIANCE ON FORWARD-LOOKING STATEMENTS.&nbsp; ALTHOUGH THE COMPANY HAS ATTEMPTED TO IDENTIFY IMPORTANT FACTORS THAT COULD CAUSE
ACTUAL RESULTS TO DIFFER MATERIALLY, THERE MAY BE OTHER FACTORS THAT CAUSE RESULTS NOT TO BE AS ANTICIPATED, ESTIMATED, DESCRIBED
OR INTENDED.&nbsp; THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY OBLIGATION, TO UPDATE THESE FORWARD-LOOKING STATEMENTS
OR INFORMATION TO REFLECT CHANGES IN ASSUMPTIONS OR CHANGES IN CIRCUMSTANCES OR ANY OTHER EVENTS AFFECTING SUCH STATEMENTS OR INFORMATION,
OTHER THAN AS REQUIRED BY APPLICABLE LAW.</I></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><B>Pan American Silver Corp.</B><BR>
Financial &amp; Operating Highlights</P>

<TABLE CELLPADDING="0" STYLE="width: 100%; font: 10pt Arial, Helvetica, Sans-Serif">
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD COLSPAN="4" STYLE="padding: 1.5pt; font-weight: bold; text-align: center">Three months ended <BR> September 30,</TD>
    <TD COLSPAN="4" STYLE="padding: 1.5pt; font-weight: bold; text-align: center">Nine months ended <BR> September 30,</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="border-bottom: black 1pt solid; padding: 1.5pt">&nbsp;</TD>
    <TD COLSPAN="2" STYLE="border-bottom: black 1pt solid; padding: 1.5pt; text-align: right"><FONT STYLE="color: black">&nbsp; <B>2012</B> </FONT></TD>
    <TD COLSPAN="2" STYLE="border-bottom: black 1pt solid; padding: 1.5pt; text-align: right">2011</TD>
    <TD COLSPAN="2" STYLE="border-bottom: black 1pt solid; padding: 1.5pt; text-align: right"><FONT STYLE="color: black">&nbsp; <B>2012</B> </FONT></TD>
    <TD COLSPAN="2" STYLE="border-bottom: black 1pt solid; padding: 1.5pt; text-align: right">2011</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt; font-weight: bold">Consolidated Financial Highlights (in thousands of U.S. Dollars)<BR> (Unaudited)</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Net earnings for the period</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">22,638&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">52,522&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">116,924&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">258,679&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Earnings per share attributable to common shareholders</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">0.15&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">0.49&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">0.85&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">2.40&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt"><FONT STYLE="color: black">Adjusted earnings for the period <SUP>(1)</SUP> </FONT></TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">37,604&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">51,546&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">122,082&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">195,472&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Adjusted earnings per share</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">0.25&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">0.48&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">0.89&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">1.83&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Mine operating earnings</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">68,160&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">106,208&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">226,352&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">320,855&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Cash flow from operations</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">79,507&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">90,896&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">111,702&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">254,488&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Operating cash flow before working capital changes</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">66,441&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">100,335&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">129,453&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">302,405&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Capital spending</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">(41,821)</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">(24,331)</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">(94,646)</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">(80,145)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Cash and short-term investments</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">547,958&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">485,110&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">547,958&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">485,110&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt"><FONT STYLE="color: black">Working capital <SUP>(2)</SUP> </FONT></TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">784,588&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">625,726&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">784,588&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">625,726&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt; font-weight: bold">Consolidated Ore Milled &amp; Metals Produced</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Tonnes milled</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">2,529,520&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">1,145,394&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">6,197,260&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">3,478,275&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Silver metal - ounces</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">6,278,728&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">5,554,267&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">18,181,133&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">16,519,044&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Gold metal - ounces</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">28,162&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">20,647&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">79,902&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">61,187&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Zinc metal - tonnes</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">8,502&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">9,077&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">27,963&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">25,503&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Lead metal - tonnes</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">2,671&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">2,920&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">9,461&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">9,301&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Copper metal - tonnes</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">1,009&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">1,072&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">3,026&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">3,372&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt; font-weight: bold">Consolidated Cost per Ounce of Silver (net of by-product credits)</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Total cash cost per ounce</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">13.87&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">9.58&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">12.14&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">8.88&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Total production cost per ounce</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">19.73&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">13.38&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">17.17&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">$</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">12.48&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 1.5pt">Payable ounces of silver (used in cost per ounce calculations)</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">5,942,625&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">5,268,787&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; font-weight: bold; text-align: right">17,187,839&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">&nbsp;</TD>
    <TD STYLE="padding: 1.5pt; text-align: right">15,732,263&nbsp;</TD></TR>
</TABLE>
<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0"><SUP>(1)</SUP> Adjusted earnings is a non-GAAP measure calculated
as net earnings for the period adjusting for the gain or loss recorded on fair market value adjustments on the Company's outstanding
derivative instruments, unrealized foreign exchange gains or losses, unrealized gain or loss on commodity contracts, the transaction
costs arising from the Minefinders transaction, and gains on the disposition of mineral interests.&nbsp; The Company considers
this measure to better reflect normalized earnings as it does not include items which may be volatile from period to period.<BR>
<SUP>(2)</SUP> Working capital is a non-GAAP measure calculated as current assets less current liabilities. The Company and certain
investors use this information to evaluate whether the Company is able to meet its current obligations using its current assets.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">&nbsp;</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">&nbsp;</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">SOURCE: Pan American Silver Corp.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">%CIK: 0000771992</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 0"><B>For further information:</B></P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">Kettina Cordero<BR>
Manager, Investor Relations<BR>
(604) 684-1175<BR>
info@panamericansilver.com<BR>
www.panamericansilver.com</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">CO: Pan American Silver Corp.</P>

<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 9.75pt 0">CNW 19:11e 07-NOV-12</P>



<P STYLE="font: 10pt Arial, Helvetica, Sans-Serif; margin: 0"></P>

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