Coeur d'Alene Mines Corp. | Company Profile

About the Company

Coeur d'Alene Mines Corporation is one of the world's leading silver companies and also a significant gold producer. In 2008, the Company expects to produce 12.5 million ounces of silver, and over 20 million ounces in 2009. This past year, silver production began at what is expected to be the world’s largest pure silver mine - San Bartolomé in Bolivia – and the Company is also currently constructing another world-leading silver/gold mine – Palmarejo in Mexico. Coeur also owns and operates underground mines in southern Chile and Argentina and one surface mine in Nevada; and owns non-operating interests in two low-cost mines in Australia. We own a major gold project - Kensington in Alaska - and conduct exploration activities in Argentina, Chile and Mexico.

San Bartolom (Bolivia) - The Worlds largest Silver Mine

Coeur’s new San Bartolomé mine in Potosi, Bolivia, which began production in June 2008 and is expected to produce approximately 3.2 million ounces of silver this year, is the world’s newest and largest pure silver mine. In 2009 – its first full year of production – the mine is expected to produce approximately 9 million ounces of silver at the beginning of its expected 14 year mine life.

The mine lies at the base of the famous Cerro Rico Mountain near Potosi, a town of 200,000 people at an elevation of 14,000 feet in the Andes Mountains of Bolivia. The 153 million ounces of silver reserves are hosted in gravel deposits at the base of the mountain which lend themselves to simple, free-digging surface mining techniques that can be extracted without drilling and blasting.

Coeur Manquiri has forged strong relationships with the Bolivian State Mining Company (COMIBOL) and with the local mining cooperatives, which lease the mining concessions for San Bartolomé and provide much of the workforce. Coeur has become and integral part of the community of Potosi by helping re-establish cultural institutions, supporting concerts and art contests for local artisans, funding civic beautification projects

Palmarejo (Mexico)

As one of the world’s highest quality silver-gold projects, Palmarejo is expected to begin production in March of 2009 with an estimated 5.3 million ounces of silver and 72,000 ounces of gold that first, partial year of production, contributing to an expected 63% increase in Company-wide silver production and 100% increase in gold production over 2008 levels. Coeur believes Palmarejo is developing into a world-class mining district.

Construction activities are proceeding an schedule and budget toward the projected March 2009 production startup.   with Crushing activities have begun and breakthrough of the tunnel connecting the north and south portals is near completion. 

The mine plan contained in the feasibility study focuses on the mining of current proven and probable mineral reserves, resulting in an initial mine life of nine years. The 2010 projected production – solely from the Palmarejo deposit – is estimated to be 7.4 million ounces of silver and 92,000 ounces of gold.

An aggressive exploration program is underway at Palmarejo is expected to significantly increase reserves beyond the initial 62.4 million proven and probable silver ounces and 750,000 ounces of gold reported in the initial feasibility study. This exploration program is focused on geotechnical and infill drilling in the Palmarejo deposit as well as expanding and upgrading the mineral resources at the nearby Guadalupe deposit. Guadalupe mineral resource increased at mid-year, with a 64% of the resource now at indicated mineral resource.

The Company anticipates further increases in reserves and resources when it reports year-end results.

Total capital expenditures for 2008 are expected to be approximately $180 million with approximately $106 million ($89 million of capital expenditures and $17.2 million of pre-development costs) having been spent through the end of September. Highlights of recent progress at site include:

For more detailed information about the projects, please visit the website of Barrick Gold!

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