December 11, 2012 at 08:30 AM EST
Coeur to Acquire Remaining Interest in the Joaquin Silver-Gold Project

Coeur d’Alene Mines Corporation (NYSE:CDE)(TSX:CDM) (“Coeur” or the “Company”) announced today that Mirasol Resources Ltd. (“Mirasol”) has agreed to sell to Coeur its wholly-owned Argentine subsidiary, Mirasol Argentina SRL, which holds the Joaquin silver-gold project in the Santa Cruz province of Argentina. Coeur currently has a 51% interest in the project. The Company will pay Mirasol total consideration of US$60 million, being approximately US$30 million in cash and 1,310,043 common shares.

Mitchell J. Krebs, Coeur's President and Chief Executive Officer, said, “We are pleased to consolidate our ownership in the Joaquin project. We believe Joaquin has substantial exploration upside and the potential to become a significant silver producer for the Company. We intend to continue the drilling program at Joaquin in 2013 and accelerate work on a feasibility study. The subsequent development decision will be based on the economics of the project and our assessment of the political and business environment in Argentina at that time.”

Upon completion of the acquisition, Coeur will own 100% of the Joaquin project, which has a recently updated Canadian National Instrument (NI) 43-101 mineral estimate of 38.4 million silver ounces in measured and indicated resources, and 31.3 million silver ounces in inferred resources. In addition, Joaquin contains 39,600 gold ounces in measured and indicated resources and 19,400 gold ounces in inferred resources.

Mineral Resources for the Joaquin Project at September 2012

Short Tons

Grade

Contained

(000)

(Oz/Ton)

Ounces

SilverGoldSilver (000)Gold

Measured Resources

Oxides 1,543 2.64 0.003 4,200 4,900
Sulfides 220 5.43 0.003 1,300 800

Total Measured

1,7633.010.0035,5005,700

Indicated Resources

Oxides 10,582 2.62 0.003 27,600 30,300
Sulfides 1,102 4.75 0.003 5,300 3,700

Total Indicated

11,6842.820.00333,00034,000

Measured and Indicated Resources

Oxides 12,125 2.62 0.003 31,800 35,100
Sulfides 1,323 4.87 0.003 6,600 4,500

Total Measured and Indicated

13,4482.850.00338,40039,600

Inferred Resources

Oxides 6,614 2.92 0.002 19,300 11,900
Sulfides 2,094 5.80 0.004 12,000 7,500

Total Inferred

8,7083.610.00231,30019,400
  1. From September 21, 2012 Technical Report.
  2. Metal prices used were $30 per silver ounce and $1,500 per gold ounce.
  3. Oxide mineral resources estimated using a cutoff grade of 30 grams per tonne (0.88 ounce per ton) silver and sulfide mineral resources with a cutoff grade of 34 grams per tonne (0.99 ounce per ton) silver within Whittle®-estimated surface mine parameters.
  4. Mineral resources estimated by the consulting firm of NCL Ingeniería y Construcción Ltda. in Santiago, Chile.
  5. Mineral resources that are not mineral reserves have not demonstrated economic viability.
  6. Tons and grades were converted from metric tonnes and grams per tonne. Rounding may result in apparent differences between tons and grades contained ounces.

The transaction is supported unanimously by the respective boards of directors of both Coeur and Mirasol. The transaction does not require the approval of the shareholders of either Coeur or Mirasol.

Coeur expects the transaction to close before the end of 2012, subject to customary closing conditions.

In November 2006, Coeur and Mirasol entered into an exploration and joint venture option agreement with respect to the Joaquin project. In 2010, Coeur vested at 51% interest and has since proceeded to advance the project towards feasibility stage.

BMO Capital Markets is acting as financial advisor to Coeur and Goodmans LLP is acting as legal counsel to Coeur in connection with the acquisition.

Cautionary Statement

This news release contains forward-looking statements within the meaning of securities legislation in the United States and Canada, including statements regarding anticipated closing of the proposed transaction, consolidation of ownership, exploration upside, silver production and rate of return for the Joaquin project. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause Coeur's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, any failure to satisfy necessary closing conditions under the definitive agreement, any failure or delay in obtaining required governmental or stock exchange approvals, the risks and hazards inherent in the mining business (including environmental hazards, industrial accidents, weather or geologically related conditions), changes in the market prices of gold and silver, the uncertainties inherent in Coeur's production, exploratory and developmental activities, including risks relating to permitting and regulatory delays, any future labor disputes or work stoppages, the uncertainties inherent in the estimation of gold and silver ore reserves, changes that could result from Coeur's future acquisition of new mining properties or businesses, the effects of environmental and other governmental regulations, the risks inherent in the ownership or operation of or investment in mining properties or businesses in foreign countries and particularly Argentina, Coeur's ability to raise additional financing necessary to develop the Joaquin project, 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 most recent reports on Form 10-K and Form 10-Q. Actual results, developments and timetables 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.

Donald J. Birak, Coeur's Senior Vice President of Exploration and a qualified person under Canadian NI 43-101, supervised the preparation of the scientific and technical information concerning Coeur's mineral projects in this news release. For a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources, as well as data verification procedures and a general discussion of the extent to which the estimates may be affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant factors, please see the Technical Reports for each of Coeur's properties as filed on SEDAR at www.sedar.com.

Cautionary Note to U.S. Investors - The United States Securities and Exchange Commission permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We may use certain terms in public disclosures, such as "measured," "indicated," "inferred” and "resources," that are recognized by Canadian regulations, but that SEC guidelines generally prohibit U.S. registered companies from including in their filings with the SEC. U.S. investors are urged to consider closely the disclosure in our Form 10-K which may be secured from us, or from the SEC's website at http://www.sec.gov.

Contacts:

Coeur d’Alene Mines Corporation
Wendy Yang, Vice President of Investor Relations
208-665-0345
or
Stefany Bales, Director of Corporate Communications
208-667-8263
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