Exploration

Coeur, either directly or through its wholly-owned subsidiaries, has interests in certain mining properties located in Argentina, Chile, Mexico, United States, Chile, Argentina, Tanzania, Bolivia, and Mexico.

The Company’s exploration strategy is largely focused on drilling activities on its large land positions surrounding existing operations.  This strategy has generated very cost-effective, near-term additions to the Company’s substantial mineral reserve and resource base.

The Company has increased the amount it plans to invest in exploration activities during the remainder of the year by 67% to approximately $14.0 million.  The exploration budget for the full year is approximately $23 million, which is 31% higher than 2010.  The decision to increase exploration expenditures was driven by ongoing positive drill results – primarily at Palmarejo – and by a commitment to generate high returns on the Company’s free cash flow by cost-effectively adding new mineral resources and reserves near existing mines, and to demonstrate the long-life potential and long-term value of the Company’s existing operations.