Coeur Mining
| Company type | Public |
|---|---|
| Industry | Precious metals mining |
| Founded | 1928 |
| Headquarters | Chicago, Illinois , United States |
Area served | North America |
| Products | Silver, gold, zinc, lead |
Number of employees | 2200 |
Coeur Mining, Inc. is a publicly traded precious metals mining firm listed on the New York Stock Exchange (NYSE: CDE), operating five mining sites throughout North America. With its headquarters located in Chicago, Illinois, Coeur employs approximately 2,200 individuals and ranked as the world’s ninth-largest silver producer in 2012. The company underwent a rebranding from Coeur d'Alene Mines to Coeur Mining, Inc. in 2013, coinciding with its corporate headquarters moving from Coeur d'Alene, Idaho.
History
Established in 1928 to extract silver in Idaho’s Coeur d'Alene region, Coeur Mining managed significant assets such as the Coeur d'Alene Silver Mine, Coeur Mine, and Galena Mine before divesting all Idaho properties by 2006.
Throughout more than thirty years, the company grew by acquiring and operating mines across the United States, Mexico, Bolivia, Chile, Argentina, New Zealand, and Australia, thereby broadening its portfolio of precious metals. For a brief period, it also entered the manufacturing sector producing flexible hose and metal tubing via its subsidiary Flexaust before divesting that business in 1995.
Significant events include:
- 1983: Secured Asarco’s lease on Nevada’s Rochester Mine; production commenced in 1986 and continues today.
- 1984: Obtained full ownership of the Wharf Gold Mine in South Dakota.
- 1987-1995: Gained complete interest in Alaska’s Kensington Mine; production started in 2010.
- 1990-2008: Managed Chile’s Fachinal (Cerro Bayo) gold-silver mine; assets sold in 2010.
- 1991: Acquired Callahan Mining Corporation, including the Galena Mine and Flexaust.
- 1993-1998: Held an 80% stake in New Zealand’s Golden Cross Mine.
- 1994-2002: Controlled Chile’s El Bronce Mine until its sale.
- 1995-2006: Consolidated northern Idaho mines into Silver Valley Resources; sold these interests to U.S. Silver Corporation.
- 1999-present: Developed Bolivia’s San Bartolome silver mine into production by 2008.
- 2002-2012: Operated Argentina’s Martha silver mine.
- 2005: Acquired substantial silver reserves at Australia’s Endeavor and Broken Hill mines.
- 2007-present: Initiated production at Mexico’s Palmarejo silver-gold mine.
- 2013: Established Coeur Capital, Inc. to oversee royalties and strategic investments.
- 2016: Reported producing 14.8 million ounces of silver and 358,170 ounces of gold.
- 2017: Purchased Silvertip mine claims and infrastructure located in British Columbia.
- 2022: Submitted an application for a significant expansion of the Wharf mine in South Dakota.
These targeted acquisitions and developments have been crucial drivers of Coeur Mining’s growth and influence within the precious metals sector.
Operations
Kensington Mine is an underground gold mining operation situated about 75 kilometers northwest of Juneau in Alaska’s panhandle. The site encompasses approximately 14,000 acres of mineral claims held by Coeur Alaska, a subsidiary of Coeur Mining. Mining activity in this area dates back to the late nineteenth century. Coeur initially acquired a half-interest in the mine in 1987 before obtaining full ownership in 1995. After extensive exploration efforts and overcoming legal hurdles, commercial production commenced on July 3, 2010. Kensington operates as a vein-style underground mine employing cut-and-fill mining techniques. In 2012, it yielded 82,125 ounces of gold at a cost of $18.65 per ounce, with reserves exceeding one million ounces.
Rochester Mine is a surface heap-leach operation extracting silver and gold near Lovelock, Nevada, covering roughly 9,724 acres. Historical underground mining occurred between 1909 and 1935. Coeur acquired Rochester in 1983 and restarted surface mining activities by 1986. Aside from a temporary closure between 2007 and 2010 due to low reserves and unfavorable metal prices, it has maintained continuous operations since reopening. Ore is mined via open pit methods and processed through cyanide heap-leaching on stockpiles. In 2012, Rochester produced approximately 2.8 million ounces of silver and 38,066 ounces of gold at a silver production cost of $14.05 per ounce; reserves stood at around 44.9 million ounces of silver and 308,000 ounces of gold.
Palmarejo Mine combines surface and underground mining for silver and gold roughly 420 kilometers southwest of Chihuahua city in Mexico. The property spans over 12,000 hectares featuring multiple vein systems with small-scale mining history dating back to the early nineteenth century. Acquired by Coeur in 2007, commercial mining began in 2008. The operation processes ore through flotation followed by cyanide leaching to produce silver-gold bars. During 2012, Palmarejo generated about 8.2 million ounces of silver and over 106,000 ounces of gold at a silver production cost of $19.26 per ounce; reserves were estimated at approximately 5.3 million ounces of silver and 665,000 ounces of gold.
San Bartolomé is a surface silver mine located near Potosi, Bolivia—a UNESCO World Heritage Site famed for Cerro Rico mountain's historic mining activities spanning more than four centuries. Acquired by Coeur in 1999 with operations commencing in 2008, the mine extracts mineralized gravels processed using cyanide leaching via the Merrill–Crowe process. In the year ending 2012, San Bartolomé produced nearly six million ounces of silver at an operating cost of $15.81 per ounce; reserves were reported at approximately 109 million ounces.
Wharf Mine is an open pit heap leach gold operation situated in South Dakota’s northern Black Hills near Lead city and adjacent to Terry Peak ski resort. The site contains multiple gold deposits with mining activities dating back to when claims were first staked in 1877. Coeur became sole proprietor in 1984 after merging Wharf Ltd. with Wharf USA, Inc., making Wharf the only active gold mine within South Dakota. Employing around 260 local workers, Wharf contributed roughly one-quarter (24%) of Coeur's gold output during 2022. In January that year, Lawrence County approved an expansion permit known as Boston Expansion that adds nearly fifty acres to the property and could extend mine life by one to three years; state-level permit approval is expected by late 2023.
Projects
As of January 2014, Coeur Mining's exploration assets primarily consist of two key initiatives: Joaquin in Argentina and La Preciosa in Mexico.
Joaquin represents a mature silver and gold exploration asset situated in Argentina's Santa Cruz province. Originally identified by Mirosal Resources in 2004, Coeur initiated exploration activities in 2007 and secured complete ownership by 2012. The site contains both oxide and sulphide mineralization hosted within epithermal veins and breccia formations located in the Deseado Massif region. By January 2013, measured and indicated mineral resources were estimated at 15.7 million tonnes with grades of 128.9 g/t silver and 0.12 g/t gold, while inferred resources included approximately 1 million tonnes at 100.7 g/t silver and 0.12 g/t gold.
La Preciosa, positioned in Durango State, Mexico, became part of Coeur’s portfolio following the acquisition of Orko Silver Corporation in April 2013. This advanced-stage silver-gold project features epithermal veins alongside breccia bodies. As of July 2013, measured and indicated resources were reported at 51.9 million tonnes averaging 87.54 g/t silver and 0.166 g/t gold, complemented by an additional indicated resource of 17.7 million tonnes grading 66.31 g/t silver and 0.106 g/t gold.
Silvertip is a high-grade deposit comprising silver, zinc, and lead located in northern British Columbia near the Yukon border within a promising land package. Operations were paused in early 2020 to assess options for potential expansion and resumption of mining activities. Acquired in 2017, Silvertip is developed on a relatively small operational footprint accessible via forestry roads and employs roughly 60 mining personnel. It is recognized as one of the world’s richest silver-zinc-lead deposits in terms of grade.
Coeur Capital, Inc.
Established in 2013, Coeur Capital, Inc. oversees Coeur’s royalty and streaming portfolios along with strategic equity holdings. In December of that year, it acquired Global Royalty Corp, thereby expanding its royalty interests across mines located in Mexico and Ecuador. Following the acquisition, Mark Kucher, formerly President and CEO of Global Royalty, joined Coeur Capital as Managing Director.
The company holds a non-operating stake in the Endeavor Mine situated in New South Wales, Australia, purchased in 2005 for $44 million; this interest grants entitlement to all silver production and reserves up to a maximum of 20 million payable ounces. Additionally, Coeur Capital possesses net smelter royalties on several properties including the Cerro Bayo Mine (Chile), El Gallo complex (Mexico), and Zaruma Mine (Ecuador). The firm also maintains equity investments in various junior exploration companies such as Hudra Silver, Pershing Gold, Commonwealth Silver, International Northair Mines, Silver Bull Resources, Soltoro, Caracara Silver, and Apogee Silver for portfolio diversification purposes.