Palmarejo (Mexico) – Coeur’s Newest World-Class Silver/Gold Mine
As one of the world's newest and highest quality silver-gold mines, Palmarejo has the capacity to produce an average of approximately 120,000 ounces of gold and 9.0 million ounces of silver annually.
• First quarter silver production of 1.3 million ounces increased 10% and gold production of 22,577 ounces increased 9% over the previous quarter while cash operating costs per ounce of silver declined 12% to $5.41 per ounce of silver
• Silver recoveries continue to increase. First quarter recoveries averaged 72.7%, up from 67.2% in the fourth quarter. Further recovery increases are expected during the second quarter as a result of the Company’s ongoing silver recovery optimization program
• Tons milled increased 24% from the prior quarter
• Palmarejo silver and gold sales accounted for 51% of the Company’s total metal sales during the first quarter
• Expect full year 2010 production of 7.9 million ounces of silver and 109,000 ounces of gold at average cash operating costs of under $2.50 per ounce of silver
Palmarejo began operations in April 2009 and currently has year-end 2009 silver reserves of 90.5 million ounces and gold reserves of 1.1 million ounces. These reserve levels represent 42% and 46% increases compared to year-end 2008 silver reserves and gold reserves, respectively.
• For the second year in a row, Coeur Mexicana and its staff received the Mexican Center for Philanthropy (CEMEFI) Award for corporate social responsibility. This award is a national recognition by over 170 Mexican charitable foundations of the exceptional work done by Coeur Mexicana to secure the best entrepreneurial practices in the areas of company ethics, quality of life, environmental protection and its ongoing contributions to the community.
The first quarter’s largest exploration program was devoted to drilling around the Palmarejo mine from both surface and underground platforms, which continued to intersect silver and gold mineralization. Over 11,400 meters (37,400 feet) of core drill was completed in the quarter. In addition, drilling recommenced on the Guadalupe Norte target at the north end of the long Guadalupe mineral system in the Palmarejo District.
| Stage | Production |
| Location | Northern Mexico |
| Type | Open Pit/Underground |
| Metals Produced | Silver and Gold |
| Product | Concentrate |
