A small, unorganized group of employees of a subsidiary of Coeur Mexicana last weekend blocked access to Coeur d’Alene Mines’ (NYSE:CDE, TSX:CDM) Palmarejo Mine located in the state of Chihuahua in northern Mexico. Palmarejo management supervised an orderly, temporary shut-down of the mine and mill in order to allow for dialogue with employees while ensuring the safety of workers at the mine site. Management considers the actions taken by the small group blocking access to the mine to be illegal.
The small group blocking access to the mine does not represent Palmarejo Mine employees as a whole; however their actions are preventing other employees from safely reporting to work. The group of employees did not raise their concerns with Palmarejo management in any way before blocking access to the mine. Management’s attempts to resolve the issue through discussions were unsuccessful. Mine management has requested assistance from Chihuahuan government authorities to help resolve the situation.
At this time, the Company does not anticipate the temporary shut-down to have a material impact on 2012 production at Palmarejo.
This news release contains forward-looking statements within the meaning of securities legislation in the United States and Canada. Words such as “expects,” “anticipates,” “goals,” “plans,” “believes,” “continues,” “may,” “will” and similar expressions are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements we make regarding anticipated operating results including production. These statements are based on information that Coeur believes is reasonable, but involve significant uncertainties affecting the business of Coeur that could cause actual results to differ materially from those in the forward-looking statement including, but not limited to, the duration of the current Palmarejo mine shut-down, future gold and silver prices, costs, ore grades, estimation of gold and silver reserves, mining and processing conditions, construction schedules, currency exchange rates, the expected cost of capital expenditures and the completion and/or updating of mining feasibility studies, changes that could result from future acquisitions of new mining properties or businesses, the risks and hazards inherent in the mining business (including environmental hazards, industrial accidents, weather or geologically related conditions), regulatory and permitting matters, risks inherent in the ownership and operation of, or investment in, mining properties or businesses in foreign countries, as well as other uncertainties and risk factors set out in filings made from time to time with the United States Securities and Exchange Commission, and the Canadian securities regulators, including, without limitation, Coeur’s reports on Form 10-K and Form 10-Q. Actual results could vary significantly from the estimates presented. Readers are cautioned not to put undue reliance on forward-looking statements. Coeur disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise. Additionally, Coeur undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of Coeur, its financial or operating results or its securities.
Coeur d'Alene Mines Corporation is the largest U.S.-based primary silver producer and a growing gold producer. The Company built and commenced production from three wholly-owned, long-lived mines between 2008 and 2010: the San Bartolomé silver mine in Bolivia, the Palmarejo silver-gold mine in Mexico and the Kensington gold mine in Alaska. Further production has commenced from a new heap leach pad at Coeur's long-time Rochester silver-gold mine in Nevada. The Company also owns and operates the Martha silver-gold mine in Argentina and owns a non-operating interest in a silver-base metal mine in Australia. Coeur conducts ongoing exploration activities near and within its operating properties in Argentina, Mexico, Alaska, Nevada and Bolivia. In addition, Coeur owns strategic minority shareholdings in five silver development companies in North and South America.