Coeur Provides Positive Update on Its Three New Mines
Thursday, April 8th, 2010
Coeur d’Alene Mines Corporation (NYSE:CDE) (TSX:CDM) (ASX:CXC) report continuing operating improvements during the first quarter at its San Bartolomé and Palmarejo operations. In addition, the Company announced plans to commence mining operations in July at its Kensington gold mine in Alaska. Additional operational and financial details will be provided in the Company’s first quarter earnings release and conference call in early May.
* Record monthly production in March of 546,738 silver ounces and 9,225 gold ounces.
* First quarter silver production was up 25% from the previous quarter to 1.5 million ounces while first quarter gold production increased 23% to 25,511 ounces.
* First quarter cash operating costs dropped 57% compared to the fourth quarter to $2.62 per silver ounce.
* Silver recoveries improved to 73.3% in March and exceeded 80% late in the month, up from 66.3% for all of 2009.
* 2010 expected production remains on track to reach 7.9 million ounces of silver and 109,000 ounces of gold at cash operating costs of under $2.50 per silver ounce.
San Bartolomé (Bolivia)
* Coeur announced on March 11th that it had begun mining in the higher-grade Huacajchi deposit above the 4,400 meter level. This resulted in significantly improved production and cost performance in March, which is expected to continue during the remainder of 2010.
* March production was up 46% over February to 451,746 silver ounces, which is the highest monthly production since October 2009.
* March cash operating costs declined 16% compared to the previous month to $8.26 per silver ounce. First quarter cash operating costs were $9.05 per ounce, which were 13% lower than the fourth quarter of 2009.
* 2010 expected production of 7.0 million ounces of silver at cash operating costs of $8.50 per ounce.
* Initial production is expected to commence in July with partial first year production of approximately 50,000 gold ounces.
* Mild winter weather has allowed construction activities to remain on-schedule and on-budget.
* 85% of the tailings line from the mill to the tailings facility is now installed.
* Blasting activities will take place along the Kensington vein this month.
* 120 bed man camp complete and fully occupied.
“Coeur is off to a strong start the first quarter of 2010 in executing its key objectives of optimizing silver recoveries at Palmarejo, obtaining access to important mining areas at San Bartolomé, and starting production at Kensington in July of this year,” commented Dennis E. Wheeler, Coeur’s Chairman, President, and Chief Executive Officer. “We believe that, along with a continued positive silver and gold price environment, Coeur is expected to achieve a record year in terms of revenues and cash flows for its shareholders.”