COEUR D'ALENE, Idaho--(BUSINESS WIRE)--Coeur d’Alene Mines Corporation (NYSE:CDE) (TSX:CDM) today announced that construction work has been completed on the main access tunnel at the Kensington Gold Mine in Alaska, with all remaining, non-tailings related surface facility construction scheduled for completion by mid-August.
The completion of the 12,000-foot horizontal tunnel now allows for clear access between the Kensington Mine and the Jualin property, where the mill and processing facilities are located. Contractors from the Redpath/Kake Native corporation joint venture, along with Coeur Alaska, completed the final 6,800 feet of tunneling over the past year.
The processing facility and mill, located outside the portal in the Jualin Valley, are expected for completion by August 15. In addition to connecting with the Kensington Mine for mining equipment and ventilation, the 18-foot wide by 15-foot high tunnel further opens up new territory in the historic Jualin and Comet mining areas to future exploration potential.
The Kensington Mine is expected to produce 150,000 ounces of gold per year in its initial years at an estimated cash cost of $310 per ounce of gold, with an expected 10-15 year mine life based on current mineral inventory. The mine has 1.35 million ounces of proven and probable gold mineral reserves.
The Company is continuing to review its options, including engaging the environmental organizations’ plaintiffs, and hopes to find a solution to the tailings facility at Kensington so it may proceed with production.
Coeur d'Alene Mines Corporation is one of the world’s leading primary silver producers and has a strong presence in gold. The company has mining interests in Alaska, Argentina, Australia, Bolivia, Chile, Nevada and Tanzania.
Cautionary Statement: Company press releases may contain numerous forward-looking statements within the meaning of securities legislation in the United States and Canada relating to the company's silver and gold mining business. Such statements are subject to numerous assumptions and uncertainties, many of which are outside the company’s control. Operating, exploration and financial data, and other statements in this document are based on information the company believes reasonable, but involve significant uncertainties as to future gold and silver prices, costs, ore grades, estimation of gold and silver reserves, mining and processing conditions, construction schedules, currency exchange rates, and the completion and/or updating of mining feasibility studies, changes that could result from the company’s future acquisition 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 the company’s filings from time to time with the SEC and the Ontario Securities Commission, including, without limitation, the company’s reports on Form 10-K and Form 10-Q. Actual results and timetables could vary significantly from the estimates presented. Readers are cautioned not to put undue reliance on forward-looking statements. The company disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise. Donald J. Birak, Coeur’s Senior Vice President of Exploration, is the qualified person responsible for the preparation of the scientific and technical information in this document. Mr. Birak has reviewed the available data and procedures and believes the collection of exploration data and calculation of mineral reserves reported in this document was conducted in a professional and competent manner. For a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources, as well as 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 project as filed on SEDAR at www.sedar.com.