Musselwhite Mine

GOLDCORP INC. has evacuated a majority of its 380 employees and ceased mining operations at the Musselwhite mine due to forest fires in northwestern Ontario.

Gold production at Musselwhite mine for the second quarter of 2010 was 17%, or 12,500 ounces, less than in the second quarter of 2009 due to 22% lower grades, partially offset by 5% higher mill throughput and 1% improved recoveries. The lower grades resulted from increased mining dilution, in addition to higher grades in the second quarter of 2009 due to a higher proportion of mining in the higher grade areas of the T-Antiform and PG zone. The increased mining dilution resulted from stresses associated with the completion of mining in the T-Antiform which has been mitigated. The higher mill throughput was due to mining from more stope fronts.

Gold production at Musselwhite mine for the second quarter of 2010 was 17%, or 12,500 ounces, less than in the second quarter of 2009 due to 22% lower grades, partially offset by 5% higher mill throughput and 1% improved recoveries. The lower grades resulted from increased mining dilution, in addition to higher grades in the second quarter of 2009 due to a higher proportion of mining in the higher grade areas of the T-Antiform and PG zone. The increased mining dilution resulted from stresses associated with the completion of mining in the T-Antiform which has been mitigated. The higher mill throughput was due to mining from more stope fronts. Cash costs for the second quarter of 2010 were 23%, or $119 per ounce, higher than in the second quarter of 2009 due to lower gold production ($105 per ounce, or 88%) and a stronger Canadian dollar ($57 per ounce, or 48%), offset by lower operating costs ($43 per ounce, or 36%). The decrease in operating costs was primarily attributable to lower development costs incurred during production ($3.6 million).