Coeur Mining, Inc. provided an update on the exploration programs at its Silvertip, Kensington and Palmarejo mines. The company plans to invest approximately $40 million in exploration this year, split evenly between capitalized infill and resource expansion drilling.

Coeur’s $240 million investment in exploration over the last five years has led to strong reserve and resource growth with multiple new discoveries and meaningful extensions to mine lives. Infill-focused drilling programs successfully replaced 1.8 million ounces (oz) and 56.4 million oz of cumulative gold and silver production, respectively, and added an additional 500,000 million oz of gold and 85.4 million oz of silver reserves. 

Expansion-focused drilling programs successfully added 1.8 million oz and 123.6 million oz of measured and indicated gold and silver resources, respectively, and an additional 1.8 million oz and 29.3 million oz of new inferred gold and silver resources, respectively.

“Recent assays from the newly discovered Camp Creek West zone of Silvertip are among the best results ever returned at the property and underscore the potential of what we believe is a truly world-class deposit,” Ceour President and CEO Mitch Krebs said. “In addition to the impressive grade and thickness of the Camp Creek West discovery, its location across a fault zone not previously known to contain ore-grade material has the potential to significantly expand the extent of this deposit.”

In addition, Kensington recently returned strong grade thicknesses in Kensington Zone 30 the company prioritizes prioritize further mine life extensions, and new assay results at Palmarejo are among the best grade-thicknesses in several years. These results highlight the compelling opportunities for growth within Coeur’s portfolio and the success of our multi-year exploration investment.

Coeur began 2022 with two underground core rigs focused on resource infill drilling within the Discovery and Southern Silver zones, while also logging and shipping core samples from the 2021 season.

Assay results from late 2021 surface drilling to the west of the Camp Creek zone returned one of the highest grade-thickness intervals ever at Silvertip, leading to the discovery of the new Camp Creek West zone. This high-grade silver-lead-zinc zone has been interpreted as a chimney system which occurs within the McDame Formation limestone, in the footwall of the Camp Creek Fault, and is shallower than the Camp Creek zone.

No previous drilling exists on the west side of the Camp Creek Fault, as the typical Silvertip ore host rock was previously assumed to be eroded away. The new chimney system coincides directly with a moderately conductive zone detected in airborne geophysics SkyTEM models performed in 2021. Based on modeling and interpretation of adjacent lines, the zone could potentially extend another 1.5 miles from the new Camp Creek West discovery hole. New drill sites are being permitted that plan to test extensions north and south of these initial intercepts.

For the remainder of 2022, Coeur expects to continue infill drilling in the Southern Silver and Central zones from underground. An additional surface core rig is expected to be added following the snow melt to perform expansion drilling at Camp Creek West.

The 2021 Kensington exploration program focused on infill and expansion drilling along the upper Kensington, Elmira, Johnson and Raven vein structures as well as testing new district targets. During the first quarter of 2022, the Company focused on infill drilling at Elmira and Kensington Zone 30 from underground and recently added a surface core rig at Jualin.

New infill holes into upper Kensington Zone 30 have encountered excellent grade thickness, as demonstrated by hole K21-2050-216-X01A highlighted in the graphic to the right. These grades are similar
to Jualin but are tellurium-type ore typically encountered in the Kensington deposit, which provides the bulk of Kensington’s gold production.

Elmira and the development drift established in late 2020 represent potential areas of future mining at Kensington. The company plans to continue drilling these areas while focusing on refining the vein shapes through 2022. Coeur declared a maiden reserve for Elmira at year-end 2021 with the goal of mining the deposit beginning in early 2023.

During the remainder of 2022, Coeur plans to (i) prioritize infill drilling at Elmira and Eureka, (ii) continue expansion drilling around the edges of Elmira, Johnson, and Jennifer, (iii) conduct surface expansion drilling at Jualin and the Valentine prospect and (iv) drill at new areas of Kensington Zone 30 and the southern portion of Kensington.

In addition, Coeur expects to continue testing new targets in the Guazapares district including the La Carmela zone, which is located immediately to the east and outside of claims subject to the Franco Nevada Stream.