Coeur Reports Fourth Quarter and Full-Year 2017 Results and Provides 2018 Cost Guidance

CHICAGO--()--Coeur Mining, Inc. (“Coeur” or the "Company") (NYSE: CDE) today reported full-year 2017 net income of $10.9 million, or $0.06 per share, and cash flow from operating activities of $197.2 million, an increase of over 100% compared to 2016. Adjusted EBITDA1 rose 4% year-over-year to $203.3 million, and free cash flow1 increased $85.5 million to $60.4 million.

In the fourth quarter, the Company generated net income of $14.3 million, or $0.08 per share, and cash flow from operating activities more than doubled quarter-over-quarter, increasing $54.5 million to $91.8 million. Adjusted EBITDA1 and free cash flow1 of $77.0 million and $44.8 million, respectively, increased approximately fivefold compared to the prior quarter.

Strong fourth quarter and full-year financial results were driven by record silver equivalent1 production of 10.8 million ounces (11.7 million ounces including discontinued operations) and 35.1 million ounces (39.4 million ounces including discontinued operations), respectively, lower costs from the Company's continuing operations, and decreases in working capital. Lower average debt levels and interest rates led to a 56% reduction in full-year interest expense, which also contributed to improved full-year financial results.

On December 22, 2017, the Company entered into an agreement to sell its wholly-owned Bolivian subsidiary, which owns and operates the San Bartolomé mine. The transaction is expected to close in the first quarter. As a result, the mine is presented as a discontinued operation and excluded from consolidated operating statistics and financial results for all periods presented unless otherwise noted. In 2017, San Bartolomé produced 4.3 million ounces of silver at adjusted costs applicable to sales ("CAS") per silver ounce1 of $17.17.

"Coeur's robust operating performance during the fourth quarter led to strong financial results for the quarter and full year. Our multi-year strategic initiatives are generating higher-quality ounces and strong cash flow from our well-balanced portfolio of North American-based assets," said Mitchell J. Krebs, Coeur's President and Chief Executive Officer.

"During 2017, we successfully repositioned and strengthened the Company on multiple fronts. We upgraded our portfolio and pipeline of assets to reflect a North American focus with the acquisition of the high-grade Silvertip mine in Canada, our announced divestiture of our highest cost mine in Bolivia and the sales of nine non-core assets. We repositioned our balance sheet to provide greater financial flexibility and materially reduce annual interest expense. By allocating additional capital to near-mine exploration, we expanded our reserve and resource base by double digit percentage increases, which we anticipate will lead to high-return, long-term value for our stockholders."

Highlights

  • Record fourth quarter and full-year silver equivalent1 production - Fourth quarter and full-year production from continuing operations increased 26% quarter-over-quarter and 14% year-over-year, respectively, to 10.8 million and 35.1 million silver equivalent ounces ("AgEqOz")1. Higher fourth quarter production was driven by 45% and 26% increases in silver equivalent1 production at the Rochester and Palmarejo mines, respectively, and a 27% increase in gold production at the Kensington mine. Record full-year production was driven primarily by the Palmarejo mine, where 2017 silver equivalent1 production rose 64% compared to 2016
  • Improved cost performance from continuing operations - Companywide adjusted all-in sustaining costs ("AISC") per average spot AgEqOz1 for the fourth quarter decreased 17% quarter-over-quarter to $12.26 and were relatively flat for the full year at $13.82, despite higher diesel and consumables costs during both periods. Palmarejo's fourth quarter and full-year adjusted CAS per average spot AgEqOz1 were $6.64 and $8.38, respectively, with fourth quarter unit costs decreasing 24% quarter-over-quarter and 34% year-over-year and full-year unit costs declining 12% compared to 2016
  • Solid execution of key capital projects - In 2017, Coeur completed or achieved major milestones on key capital projects at Palmarejo, Rochester and Kensington. At Palmarejo, the Company reached its target mining rate of 4,500 tons per day one quarter ahead of schedule following a multi-year development and ramp-up period. Rochester's Stage IV leach pad expansion was commissioned on schedule in the third quarter after three years of permitting and ten months of construction. During the third quarter, the Company began mining the high-grade Jualin deposit at Kensington following two years of underground development
  • Continued portfolio enhancements - During the fourth quarter, Coeur completed its acquisition of the Silvertip mine, which is expected to provide Coeur with high-margin, low-cost production, near-term cash flow, and long-term exploration potential in a low-risk, mining-friendly jurisdiction. In December 2017, the Company announced it had entered into an agreement to divest the San Bartolomé mine in Bolivia. The Company's prior acquisition of Wharf in early 2015 has already generated a return on investment of approximately 20%3. Coeur also completed the sale of nine non-core assets during the year for total consideration of approximately $40 million
  • Expanded exploration program generating strong returns - Coeur's total exploration investment increased 66% in 2017 to $41.9 million, including $30.3 million of expensed exploration and $11.6 million of capitalized exploration, and contributed to a 10% increase to silver equivalent1 reserves, net of depletion, from continuing operations compared to year-end 2016. The largest net increases of 36%, 17% and 5% were achieved at Wharf, Palmarejo and Kensington, respectively, with reserves in the United States now accounting for 73% of total reserves. Measured and indicated silver equivalent1 resources increased 42% compared to the prior year, while inferred silver equivalent1 resources increased 45%
  • Meaningful balance sheet improvements achieved - The Company accomplished key balance sheet initiatives during 2017 beginning with the successful refinancing of its 7.875% senior notes due 2021 with 5.875% senior notes due 2024. During the third quarter, Coeur also established a four-year $200 million revolving credit facility, under which the Company drew $100 million to partially fund the Silvertip mine acquisition. Full-year interest expense decreased 56% to $16.4 million from $36.9 million in 2016

"As we enter our 90th year of business, we have strong momentum in positioning Coeur as a leading U.S.-based, North America-focused precious metals mining company," continued Mitchell J. Krebs, Coeur's President and Chief Executive Officer. "2018 should be another pivotal year as we look to commence production at Silvertip by the end of the first quarter, achieve commercial production at Jualin later in the year and sustain our focus on near-mine exploration. We also expect to publish updated technical reports for Rochester and Kensington in the coming weeks and for Silvertip in the second half of the year. Our team continues to do an outstanding job advancing Coeur's strategic priorities, and we look forward to delivering strong results in the coming quarters."

Financial and Operating Highlights (Unaudited)

On December 22, 2017, Coeur announced it had entered into an agreement to divest the San Bartolomé mine through the sale of its 100%-owned Bolivian subsidiary. As a result, San Bartolomé is presented as a discontinued operation and excluded from consolidated operating statistics and financial results for all periods presented unless otherwise noted.

             
(Amounts in millions, except per share amounts, gold ounces produced & sold, and per-ounce metrics) 2017   4Q 2017   3Q 2017   2Q 2017   1Q 2017   2016   4Q 2016
Revenue $ 709.6 $ 214.6 $ 159.9 $ 149.5 $ 185.6 $ 571.9 $ 139.2
Costs Applicable to Sales $ 440.3 $ 122.0 $ 101.6 $ 102.2 $ 114.5 $ 335.4 $ 84.9
General and Administrative Expenses $ 33.6 $ 9.2 $ 7.3 $ 7.0 $ 10.1 $ 29.3 $ 6.6
Net Income (Loss) $ 10.9 $ 14.3 $ (11.7 ) $ (10.0 ) $ 18.3 $ 22.4 $ (10.3 )
Net Income (Loss) Per Share $ 0.06 $ 0.08 $ (0.06 ) $ (0.05 ) $ 0.10 $ 0.14 $ (0.06 )
Adjusted Net Income (Loss)1 $ 4.2 $ 14.1 $ (15.3 ) $ (1.3 ) $ 6.8 $ 15.6 $ 0.9
Adjusted Net Income (Loss)1 Per Share $ 0.02 $ 0.08 $ (0.09 ) $ (0.01 ) $ 0.04 $ 0.10 $ 0.01
Weighted Average Shares Outstanding 184.1 187.0 179.3 179.2 183.1 163.5 174.0
EBITDA1 $ 202.9 $ 69.6 $ 38.6 $ 23.4 $ 71.4 $ 142.6 $ 24.7
Adjusted EBITDA1 $ 203.3 $ 77.0 $ 40.2 $ 31.9 $ 54.5 $ 194.9 $ 41.0
Cash Flow from Operating Activities $ 197.2 $

91.8

$ 37.3 $ 24.1 $ 43.9 $ 96.5 $ 21.4
Capital Expenditures $ 136.7 $

47.1

$ 29.0 $ 37.1 $ 23.6 $ 94.4 $ 28.1
Free Cash Flow1 $ 60.4 $ 44.8 $ 8.3 $ (13.0 ) $ 20.3 $ (25.1 ) $ (6.7 )
Cash, Equivalents & Short-Term Investments $ 192.0 $ 192.0 $ 195.7 $ 201.0 $ 160.6 $ 118.3 $ 118.3
Total Debt2 $ 411.3 $ 411.3 $ 288.7 $ 284.6 $ 218.8 $ 210.6 $ 210.6
Average Realized Price Per Ounce – Silver $ 16.96 $ 16.57 $ 16.86 $ 16.95 $ 17.49 $ 17.08 $ 16.72
Average Realized Price Per Ounce – Gold $ 1,204 $ 1,224 $ 1,240 $ 1,206 $ 1,149 $ 1,230 $ 1,170
Silver Ounces Produced 12.1 3.7 3.0 2.7 2.7 9.4 2.6
Gold Ounces Produced 383,086 118,756 93,293 82,819 88,218 358,170 102,500
Silver Equivalent Ounces Produced1 35.1 10.8 8.6 7.7 8.0 30.8 8.7
Silver Ounces Sold 12.7 3.8 2.9 2.7 3.3 8.9 2.2
Gold Ounces Sold 410,604 123,564 89,972 86,194 110,874 338,131 87,108
Silver Equivalent Ounces Sold1 37.3 11.1 8.3 7.9 10.0 29.2 7.4
Silver Equivalent Ounces Sold (Average Spot)1 43.0 13.2 9.7 9.0 11.1 33.6 8.4
Adjusted CAS per AgEqOz1 $ 10.62 $ 9.43 $ 11.05 $ 12.02 $ 10.60 $ 11.12 $ 11.45
Adjusted CAS per Average Spot AgEqOz1 $ 9.59 $ 8.35 $ 9.90 $ 10.96 $ 9.79 $ 10.19 $ 10.59
Adjusted CAS per AuEqOz1 $ 822 $ 800 $ 843 $ 860 $ 791 $ 688 $ 676
Adjusted AISC per AgEqOz1 $ 15.90 $ 14.45 $ 17.35 $ 17.81 $ 14.78 $ 15.97 $ 16.13
Adjusted AISC per Average Spot AgEqOz1 $ 13.82   $ 12.26 $ 14.79 $ 15.58 $ 13.30 $ 13.88 $ 14.29
 

Financial Results

Fourth quarter revenue of $214.6 million increased 34% compared to the prior quarter. Silver sales contributed 30% of revenue during the period and gold sales contributed 70% based on average realized prices of $16.57 and $1,224 per ounce, respectively. For the full year, the Company generated revenue of $709.6 million, 24% higher than in 2016 with silver sales contributing 30% and gold 70%. Averaged realized silver and gold prices for the full year were $16.96 and $1,204 per ounce, respectively, marginally declining compared to 2016. The Company's U.S. operations accounted for approximately 60% of both fourth quarter and full-year revenue.

Average realized gold prices during the fourth quarter and full year reflect the sale of 13,740 and 52,124 gold ounces, respectively, pursuant to Palmarejo's gold stream agreement at a price of $800 per ounce.

Costs applicable to sales were $122.0 million and $440.3 million for the fourth quarter and full year, respectively, representing period-over-period increases of 20% and 31%. These increases were primarily the result of increased ounces sold as well as higher diesel and consumables costs. General and administrative expenses of $9.2 million in the fourth quarter and $33.6 million for the full year were 26% higher quarter-over-quarter and 15% higher year-over-year, respectively, due to higher employee-related expenses and professional service costs.

Fourth quarter interest expense, net of capitalized interest, increased 53% from the third quarter to $5.5 million as a result of incremental interest related to the Company's $200 million revolving credit facility (the "Facility"), under which $100 million was drawn to partially fund the Silvertip acquisition in October 2017. For the full year, interest expense, net of capitalized interest, decreased 56% to $16.4 million, due primarily to lower average debt levels compared to 2016 and a lower interest rate on the Company's senior notes, which were refinanced in the second quarter of 2017.

Expensed exploration was $7.5 million for the fourth quarter, bringing full-year expensed exploration to $30.3 million, an increase of $17.4 million, or 135%, year-over-year.

Fourth quarter and full-year capital expenditures increased 62% quarter-over-quarter and 45% year-over-year, respectively, to $47.1 million and $136.7 million, primarily due to $17.7 million of investments made at Silvertip on underground development drilling, mill and infrastructure upgrades and the purchase of new equipment. Full-year capital expenditures were also higher than 2016 levels due to final construction and commissioning of the Stage IV leach pad expansion at Rochester.

The acquisition of Silvertip also drove higher fourth quarter and full-year pre-development, reclamation, and other expenses of $6.0 million and $18.9 million, respectively.

Fourth quarter free cash flow1 was $44.8 million, bringing full-year 2017 free cash flow1 to $60.4 million. This increase of $85.5 million compared to 2016 was driven by record production and sales, improved companywide unit costs, a significant decrease in working capital, and lower interest expense.

Operations

Fourth quarter and full-year 2017 results for each of the Company's operations are provided below.

Palmarejo, Mexico

             
(Dollars in millions, except per ounce amounts) 2017   4Q 2017   3Q 2017   2Q 2017   1Q 2017   2016   4Q 2016
Tons milled 1,498,421 389,524 413,086 335,428 360,383 1,078,888 287,569
Average silver grade (oz/t) 5.62 6.92 5.53 4.98 4.91 4.66 4.95
Average gold grade (oz/t) 0.09 0.10 0.08 0.08 0.09 0.08 0.09
Average recovery rate – Ag 86.0% 87.0% 83.6% 87.3% 86.5% 88.4% 89.1%
Average recovery rate – Au 90.0% 92.0% 83.1% 91.1% 93.7% 86.5% 90.4%
Silver ounces produced (000's) 7,242 2,346 1,908 1,457 1,531 4,442 1,269
Gold ounces produced 121,569 37,537 28,948 24,292 30,792 73,913 23,906
Silver equivalent ounces produced1 (000's) 14,536 4,600 3,644 2,914 3,378 8,877 2,703
Silver ounces sold (000's) 7,586 2,343 1,794 1,484 1,965 3,993 937
Gold ounces sold 131,743 38,953 26,554 25,191 41,045 59,081 15,558
Silver equivalent ounces sold1 (000's) 15,491 4,681 3,387 2,996 4,427 7,538 1,872
Silver equivalent ounces sold1 (average spot) (000's) 17,301 5,331 3,809 3,324 4,837 8,305 2,042
Metal sales $274.8 $83.2 $60.7 $53.2 $77.7 $141.3 $32.5
Costs applicable to sales $146.2 $36.0 $33.3 $33.9 $43.0 $80.8 $20.9
Adjusted CAS per AgEqOz1 $9.36 $7.54 $9.76 $11.21 $9.68 $10.55 $11.01
Adjusted CAS per average spot AgEqOz1 $8.38 $6.64 $8.68 $10.11 $8.87 $9.57 $10.11
Exploration expense $11.9 $2.7 $4.5 $3.1 $1.6 $5.1 $2.4
Cash flow from operating activities $139.9 $52.1 $18.5 $18.8 $50.5 $26.7 $(1.7)
Sustaining capital expenditures (excludes capital lease payments) $22.5 $4.9 $6.5 $6.1 $5.0 $22.7 $3.9
Development capital expenditures $7.4   $2.1   $(1.0)   $5.1   $1.2   $13.1   $4.2
Total capital expenditures $29.9 $7.0 $5.5 $11.2 $6.2 $35.8 $8.1
Free cash flow (before royalties) $110.0 $45.1 $13.0 $7.6 $44.3 $(9.1) $(9.8)
Gold production royalty payments $—   $—   $—   $—   $—   $27.2   $—
Free cash flow1 $110.0 $45.1 $13.0 $7.6 $44.3 $(36.3) $(9.8)
 
  • Fourth quarter silver equivalent1 production increased 26% quarter-over-quarter and 70% year-over-year to 4.6 million ounces. Full-year 2017 silver equivalent1 production of 14.5 million ounces was above the high-end of the Company's guidance range and represented an increase of 64% over 2016
  • Increased silver and gold grades during the fourth quarter and full-year resulted from the mining of higher-grade zones at Independencia. Grades are expected to decrease gradually during 2018
  • Fourth quarter sales of 4.7 million silver equivalent1 ounces were in-line with production and up 38% quarter-over-quarter, while full-year sales of 15.5 million silver equivalent1 ounces more than doubled year-over-year due to a reduction in inventory carried over from the fourth quarter of 2016
  • Fourth quarter adjusted CAS per average spot AgEqOz1 of $6.64 were 24% and 34% lower quarter-over-quarter and year-over-year, respectively, bringing full-year adjusted CAS per average spot AgEqOz1 to $8.38, below the Company's guidance range of $9.00-$9.50 per average spot AgEqOz1
  • Full year free cash flow1 of $110.0 million represented a year-over-year increase of $146.3 million and was driven by higher production, lower unit costs, a reduction in inventory carried over from 2016 and lower development capital expenditures
  • Throughout the year, Palmarejo's exploration program was expanded following positive drill results and the discovery of several new veins. As a consequence, exploration expense of $11.9 million in 2017 more than doubled compared to 2016
  • Full-year 2018 production is expected to be 6.5 - 7.1 million ounces of silver and 110,000 - 115,000 ounces of gold, or 13.1 - 14.0 million silver equivalent1 ounces. CAS per AgEqOz1 is expected to be $10.50 - $11.00 on a 60:1 silver equivalent basis and $9.25 - $9.75 on an average spot equivalent basis
  • With mining rates now at steady-state levels of approximately 4,500 tons per day, 2018 capital expenditures, including capitalized exploration, are expected to be approximately $30 - $35 million

Rochester, Nevada

             
(Dollars in millions, except per ounce amounts) 2017   4Q 2017   3Q 2017   2Q 2017   1Q 2017   2016   4Q 2016
Ore tons placed 16,440,270 4,171,451 4,262,011 4,493,100 3,513,708 19,555,998 3,878,487
Average silver grade (oz/t) 0.53 0.50 0.53 0.53 0.58 0.57 0.57
Average gold grade (oz/t) 0.003 0.003 0.004 0.003 0.002 0.003 0.002
Silver ounces produced (000's) 4,714 1,361 1,070 1,156 1,127 4,564 1,277
Gold ounces produced 51,051 18,995 10,955 10,745 10,356 50,751 14,231
Silver equivalent ounces produced1 (000's) 7,777 2,500 1,727 1,801 1,749 7,609 2,131
Silver ounces sold (000's) 4,931 1,457 1,050 1,135 1,289 4,584 1,205
Gold ounces sold 54,642 20,002 10,390 10,658 13,592 49,320 12,988
Silver equivalent ounces sold1 (000's) 8,210 2,658 1,674 1,774 2,104 7,543 1,984
Silver equivalent ounces sold1 (average spot) (000's) 8,961 2,969 1,839 1,913 2,240 8,183 2,128
Metal sales $152.7 $49.7 $31.2 $32.8 $39.0 $139.9 $36.2
Costs applicable to sales $107.9 $34.0 $23.3 $24.2 $26.4 $89.7 $23.7
Adjusted CAS per AgEqOz1 $13.08 $12.77 $13.69 $13.54 $12.57 $11.86 $11.99
Adjusted CAS per average spot AgEqOz1 $11.97 $11.37 $12.46 $12.56 $11.81 $10.93 $11.16
Exploration expense

$1.4

$0.5 $0.5 $0.3 $0.1 $0.8 $0.4
Cash flow from operating activities $32.3 $26.1 $1.6 $(1.1) $5.7 $28.4 $7.6
Sustaining capital expenditures (excludes capital lease payments) $2.7 $0.9 $0.5 $1.1 $0.2 $7.8 $1.5
Development capital expenditures $38.2   $5.9   $9.2   $12.7   $10.4   $8.6   $4.3
Total capital expenditures $40.9 $6.8 $9.7 $13.8 $10.6 $16.4 $5.8
Free cash flow1 $(8.6) $19.3 $(8.1) $(14.9) $(4.9) $12.0 $1.8
 
  • Fourth quarter silver equivalent1 production increased 45% quarter-over-quarter to 2.5 million ounces, driven by concurrent leaching of the Stage III and Stage IV pads, timing of recoveries from the newly-expanded Stage IV leach pad, and placement of higher gold grade ore during the third and early fourth quarters. Full-year silver equivalent1 production of 7.8 million ounces was relatively unchanged year-over-year and was near the high-end of the Company's guidance range
  • Adjusted CAS per average spot AgEqOz1 for the fourth quarter was $11.37, 9% lower quarter-over-quarter, while adjusted CAS per average spot AgEqOz1 for the full-year increased 10% to $11.97. Unit costs were higher compared to 2016 primarily due to pre-stripping activity conducted to access higher-grade ore during the second and third quarters and higher diesel prices compared to 2016
  • Fourth quarter free cash flow1 of $19.3 million reflected higher production and lower development capital expenditures. For the full year, the mine generated negative free cash flow1 of $8.6 million, which reflected higher capital expenditures in 2017 of $40.9 million related to the Stage IV leach pad expansion project
  • Full-year 2018 production is expected to be 4.2 - 4.7 million ounces of silver and 45,000 - 50,000 ounces of gold, or 6.9 - 7.7 million silver equivalent1 ounces, at CAS per AgEqOz1 of $13.25 - $13.75 on a 60:1 silver equivalent basis and $12.00 - $12.50 on an average spot equivalent basis
  • Development capital expenditures in 2017 totaled $38.2 million and were predominantly related to the Stage IV leach pad expansion, which was completed and commissioned during the third quarter. As a result, Rochester is expected to generate strong free cash flow1 in 2018, with capital expenditures of approximately $7 - $15 million

Wharf, South Dakota

             
(Dollars in millions, except per ounce amounts) 2017   4Q 2017   3Q 2017   2Q 2017   1Q 2017   2016   4Q 2016
Ore tons placed 4,560,441 1,124,785 1,150,308 993,167 1,292,181 4,268,105 1,178,803
Average gold grade (oz/t) 0.027 0.029 0.029 0.024 0.027 0.032 0.027
Gold ounces produced 95,372 27,292 25,849 21,358 20,873 109,175 30,675
Silver ounces produced (000's) 64 16 15 13 20 105 32
Gold equivalent ounces produced1 96,431 27,560 26,096 21,568 21,207 110,927 31,202
Silver ounces sold (000's) 74 16 14 11 33 95 30
Gold ounces sold 98,237 28,975 23,855 21,314 24,093 108,042 29,698
Gold equivalent ounces sold1 99,472 29,256 24,085 21,495 24,636 109,620 30,204
Metal sales $125.9 $37.3 $31.3 $27.0 $30.3 $136.7 $35.5
Costs applicable to sales $69.3 $19.9 $17.3 $15.8 $16.3 $66.4 $16.9
Adjusted CAS per AuEqOz1 $700 $682 $719 $737 $670 $575 $556
Exploration expense $0.3 $0.1 $0.2 $— $— $— $—
Cash flow from operating activities $49.6 $17.2 $15.0 $8.8 $8.6 $62.4 $15.4
Sustaining capital expenditures (excludes capital lease payments) $5.8 $1.6 $1.8 $1.5 $0.9 $4.8 $1.3
Development capital expenditures $3.0   $1.7   $1.3   $—   $—   $—   $—
Total capital expenditures $8.8 $3.3 $3.1 $1.5 $0.9 $4.8 $1.3
Free cash flow1 $40.8 $13.9 $11.9 $7.3 $7.7 $57.6 $14.1
 
  • Gold production in the fourth quarter increased 6% quarter-over-quarter to 27,292 ounces, attributable primarily to higher sustained crushing rates and gold grades
  • Full-year gold production of 95,372 ounces was slightly higher than the Company's guidance range. The 13% year-over-year decline resulted from lower grades following completion of mining at the higher-grade Golden Reward deposit during the third quarter, which was mined for an abbreviated season relative to prior years
  • Tons placed in 2017 reached 4.6 million, up from 4.3 million in 2016 and 3.6 million in 2015
  • Adjusted CAS per AuEqOz1 declined 5% quarter-over-quarter while full-year adjusted CAS per AuEqOz1 were $700, at the low end of the Company's guidance range
  • Wharf generated $13.9 million of free cash flow1 during the quarter, bringing full-year free cash flow1 to $40.8 million. Since acquiring the operation in February 2015 for $99 million, Wharf has generated $127.2 million of free cash flow1
  • In 2018, Coeur expects gold production to be 85,000 - 90,000 ounces at CAS per AuEqOz1 of $850 - $900
  • Capital expenditures for 2018 are expected to be approximately $4 - $7 million

Kensington, Alaska

             
(Dollars in millions, except per ounce amounts) 2017   4Q 2017   3Q 2017   2Q 2017   1Q 2017   2016   4Q 2016
Tons milled 668,727 167,631 172,038 163,163 165,895 620,209 163,410
Average gold grade (oz/t) 0.18 0.22 0.17 0.17 0.17 0.21 0.22
Average recovery rate 93.5% 92.8% 94.1% 93.2% 94.0% 94.7% 94.4%
Gold ounces produced 115,094 34,932 27,541 26,424 26,197 124,331 33,688
Gold ounces sold 125,982 35,634 29,173 29,031 32,144 121,688 28,864
Metal sales $154.5 $44.3 $36.6 $35.6 $38.0 $146.6 $34.2
Costs applicable to sales $116.1 $32.0 $27.7 $28.0 $28.4 $96.7 $23.0
Adjusted CAS per AuOz1 $920 $896 $946 $952 $884 $790 $801
Exploration expense $8.6 $2.8 $3.0 $2.0 $0.8 $3.5 $1.3
Cash flow from operating activities $37.6 $16.8 $9.3 $7.0 $4.5 $50.8 $11.4
Sustaining capital expenditures (excludes capital lease payments) $20.7 $8.0 $6.5 $3.7 $2.5 $22.8 $8.9
Development capital expenditures $15.5   $4.0   $3.6   $4.9   $3.0   $14.0   $3.7
Total capital expenditures $36.2 $12.0 $10.1 $8.6 $5.5 $36.8 $12.6
Free cash flow1 $1.4 $4.8 $(0.8) $(1.6) $(1.0) $14.0 $(1.2)
 
  • Fourth quarter gold production increased 27% quarter-over-quarter to 34,932 ounces, Kensington's highest quarterly production since the fourth quarter of 2013. This resulted primarily from mining the higher-grade Raven zone, which drove average grades 29% higher to 0.22 oz/ton
  • Full-year production of 115,094 ounces was below the Company guidance range due to lower-than-expected grades throughout the first nine months of the year. Full-year gold sales exceeded production due to reductions in inventory throughout the year, particularly during the first quarter
  • Adjusted CAS per AuOz1 declined 5% quarter-over-quarter to $896 per ounce. Adjusted CAS per AuOz1 for the full year increased 16% compared to the prior year to $920 due to lower grades and production levels. Higher diesel and consumables costs also contributed to the year-over-year increase
  • Exploration expense was $8.6 million for the full year, a $5.1 million increase compared to 2016. During the year, Kensington's exploration program focused on resource conversion and expansion of the Jualin deposit as well as the expansion of higher-grade areas, such as Raven, which is expected to remain a supplemental source of higher-grade material throughout 2018
  • Mining of development ore continued at Jualin during the fourth quarter, where production is expected to accelerate throughout 2018 as the Company dewaters the mine area to facilitate more efficient drilling, development, and mining activities
  • Free cash flow1 during the quarter was $4.8 million due to higher production. For the full year, free cash flow1 was $1.4 million, down $12.6 million compared to 2016
  • Production for the full-year 2018 is expected to total 115,000 - 120,000 ounces of gold at CAS per AuOz1 of $900 - $950
  • Kensington's capital expenditures in 2018 are expected to total $35 - $40 million

Exploration

During the fourth quarter, Coeur focused on refining its geologic models and establishing early priorities for its 2018 exploration program. Exploration at Wharf and Rochester ceased during the quarter due to weather conditions, while drilling at Kensington, Palmarejo, and Silvertip continued at reduced pace with three drill rigs active at Palmarejo, three at Kensington, and one at Silvertip. As of early February 2018, there were three rigs active at Silvertip, with a fourth expected later during the month.

Companywide exploration expense and capitalized exploration for the quarter were $7.5 million and $1.9 million, respectively, declining 23% and 62% quarter-over-quarter. Exploration expense for the full year totaled $30.3 million, $17.4 million higher compared to 2016, while capitalized exploration totaled $11.6 million, compared to $12.4 million the prior year.

On December 13, 2017, the Company provided an update of its Palmarejo and Kensington exploration programs, which were expanded throughout the year following encouraging drill results. At Palmarejo, expansion of the Nación-Dana, La Bavisa, and Zapata veins remain a priority with two drill rigs active at Nación-Dana as of year-end. Underground drifting was also underway in anticipation of drilling the newly-discovered Portales and Jacobo veins, east of Guadalupe, as well as the Zapata and Madero veins, west of Guadalupe. The Company's year-end 2017 reserves and resources include initial reserve estimates at Nación and new inferred resources at Zapata and La Bavisa.

Exploration at Kensington continued to target expansion of the Raven vein, lower Kensington Main Block L, and lower Jualin Vein #4 during the quarter. An initial reserve estimate at Jualin is expected to be included in Kensington's updated technical report anticipated late in the first quarter of 2018.

At Silvertip, underground development drilling began early during the fourth quarter and targeted resource conversion, while underground access was undergoing preparation for multiple drill rigs in 2018. Results of the planned infill and expansion drill programs are expected to be included in an updated technical report anticipated in the second half of 2018.

2018 Production Outlook

As published on January 8, 2018, the Company's full-year 2018 production guidance reflects the anticipated commencement of production at Silvertip by the end of the first quarter.

         
Silver Gold Zinc Lead Silver Equivalent1
    (K oz)   (oz)   (K lbs)   (K lbs)   (K oz)
Palmarejo 6,500 - 7,100 110,000 - 115,000 13,100 - 14,000
Rochester 4,200 - 4,700 45,000 - 50,000 6,900 - 7,700
Kensington 115,000 - 120,000 6,900 - 7,200
Wharf 85,000 - 90,000 5,100 - 5,400
Silvertip   1,500 - 2,000     23,000 - 28,000   23,000 - 28,000   4,030 - 5,080
Total   12,200 - 13,800   355,000 - 375,000   23,000 - 28,000   23,000 - 28,000   36,030 - 39,380
Total (including discontinued operations)   12,800 - 14,400   355,000 - 375,000   23,000 - 28,000   23,000 - 28,000   36,630 - 39,980
 

2017 Cost Performance and 2018 Outlook

The Company's spot guidance is based on recent observed equivalences and assumes silver-to-gold, -zinc and -lead ratios of 75:1, 0.09:1 and 0.07:1, respectively.

   
2018 Guidance 2017 Results
(dollars in millions, except per ounce amounts)   60:1   Spot   60:1   Average Spot
CAS per AgEqOz1 – Palmarejo $10.50 - $11.00   $9.25 -$9.75 $9.36   $8.38
CAS per AgEqOz1 – Rochester $13.25 - $13.75 $12.00 - $12.50 $13.08 $11.97
CAS per AuOz1 – Kensington $900 - $950 $920
CAS per AuEqOz1 – Wharf $850 - $900 $700
CAS per AgEqOz1 – Silvertip $15.00 - $15.50 $12.00 - $12.50
Capital Expenditures $120 - $140 $136.7
General and Administrative Expenses $32 - $34 $33.6
Exploration Expense $20 - $25 $30.3
AISC per AgEqOz1 from continuing operations $17.50 - $18.00 $15.00 - $15.50 $15.90 $13.82
 

Financial Results and Conference Call

Coeur will host a conference call to discuss its fourth quarter and full-year 2017 financial results on February 8, 2018 at 11:00 a.m. Eastern Time.

 
Dial-In Numbers: (855) 560-2581 (U.S.)
 
(855) 669-9657 (Canada)
 
(412) 542-4166 (International)
 
Conference ID: Coeur Mining
 

Hosting the call will be Mitchell J. Krebs, President and Chief Executive Officer of Coeur, who will be joined by Peter C. Mitchell, Senior Vice President and Chief Financial Officer, Frank L. Hanagarne, Jr., Senior Vice President and Chief Operating Officer, Hans Rasmussen, Senior Vice President of Exploration, and other members of management. A replay of the call will be available through February 22, 2018.

 
Replay numbers: (877) 344-7529 (U.S.)
 
(855) 669-9658 (Canada)
 

(412) 317-0088 (International)

 
Conference ID: 101 15 644
 

About Coeur

Coeur Mining, Inc. is a well-diversified, growing precious metals producer with six mines in the Americas employing approximately 2,300 people. Coeur’s wholly-owned continuing operations include the Palmarejo silver-gold complex in Mexico, the Silvertip silver-zinc-lead mine in British Columbia, the Rochester silver-gold mine in Nevada, the Kensington gold mine in Alaska, and the Wharf gold mine in South Dakota. In addition, the Company owns the La Preciosa project in Mexico, a silver-gold exploration stage project. Coeur conducts exploration activities in North America.

Cautionary Statements

This news release contains forward-looking statements within the meaning of securities legislation in the United States and Canada, including statements regarding anticipated production, costs, expenses, expectations regarding Silvertip including but not limited to expected commencement of production at Silvertip, grades, exploration and development efforts, expectations regarding the planned sale of San Bartolomé and the timing thereof, expectations regarding production from the Jualin deposit at Kensington, expected free cash flow at Rochester, expectations regarding reserve and resource estimates and the timing of filing of technical reports, spot prices, returns, value and results. 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, the risk that expectations regarding Silvertip including the timing of commencement of production and obtaining necessary permits are not realized, the risk that the expected sale of San Bartolomé does not occur when expected or at all, the risk that commercial production is delayed at the Jualin deposit, the risk that anticipated production, cost, expense, and free cash flow levels are not attained, the risks and hazards inherent in the mining business (including risks inherent in developing large-scale mining projects, environmental hazards, industrial accidents, weather or geologically related conditions), changes in the market prices of gold and silver and a sustained lower price environment, the uncertainties inherent in Coeur's production, exploratory and developmental activities, including risks relating to permitting and regulatory delays, ground conditions, grade variability, any future labor disputes or work stoppages, the uncertainties inherent in the estimation of gold and silver reserves, changes that could result from Coeur's future acquisition of new mining properties or businesses, the loss of any third-party smelter to which Coeur markets silver and gold, 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, the political risks and uncertainties associated with operations in Bolivia, Coeur's ability to raise additional financing necessary to conduct its business, make payments or refinance its debt, 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 report on Form 10-K. 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.

Christopher Pascoe, Coeur's Director, Technical Services and a qualified person under Canadian National Instrument 43-101, approved 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, Canadian investors should refer to the Technical Reports for each of Coeur's properties as filed on SEDAR at www.sedar.com.

Non-U.S. GAAP Measures

We supplement the reporting of our financial information determined under United States generally accepted accounting principles (U.S. GAAP) with certain non-U.S. GAAP financial measures, including EBITDA, adjusted EBITDA, adjusted net income (loss), costs applicable to sales per silver equivalent ounce (or per gold equivalent ounce or per average spot silver equivalent ounce), adjusted costs applicable to sales per silver equivalent ounce (or per gold equivalent ounce or per average spot silver equivalent ounce), adjusted costs applicable to sales per silver ounce (or per gold ounce), all-in sustaining costs, and adjusted all-in sustaining costs. We believe that these adjusted measures provide meaningful information to assist management, investors and analysts in understanding our financial results and assessing our prospects for future performance. We believe these adjusted financial measures are important indicators of our recurring operations because they exclude items that may not be indicative of, or are unrelated to our core operating results, and provide a better baseline for analyzing trends in our underlying businesses. We believe EBITDA, adjusted EBITDA, adjusted net income (loss), costs applicable to sales per silver equivalent ounce (or per gold equivalent ounce or per average spot silver equivalent ounce), adjusted costs applicable to sales per silver equivalent ounce (or per gold equivalent ounce or per average spot silver equivalent ounce), adjusted costs applicable to sales per silver ounce (or per gold ounce), all-in sustaining costs, and adjusted all-in sustaining costs are important measures in assessing the Company's overall financial performance. For additional explanation regarding our use of non-U.S. GAAP financial measures, please refer to our Form 10-K for the year ended December 31, 2017.

Notes

1. EBITDA, adjusted EBITDA, adjusted net income (loss), costs applicable to sales per silver equivalent ounce (or per gold equivalent ounce or per average spot silver equivalent ounce), adjusted costs applicable to sales per silver equivalent ounce (or per gold equivalent ounce or per average spot silver equivalent ounce), adjusted costs applicable to sales per silver ounce (or per gold ounce), all-in sustaining costs, and adjusted all-in sustaining costs are non-GAAP measures. Please see tables in the Appendix for the reconciliation to U.S. GAAP. Free cash flow is defined as cash flow from operating activities less capital expenditures and gold production royalty payments. Please see table in Appendix for the calculation of consolidated free cash flow. Silver and gold equivalence assumes a 60:1 silver-to-gold ratio, except where noted as average spot prices. Please see the table below for average applicable spot prices and corresponding ratios. Silver and zinc equivalence assumes a 0.06:1 silver-to-zinc ratio. Silver and lead equivalence assumes a 0.05:1 silver-to-lead ratio.

2. Includes capital leases. Net of debt issuance costs and premium received.

3. Return on investment determined based on final acquisition cost of $99.5 million in February 2015 and free cash flows of $28.8 million, $57.6 million and $40.8 million in 2015, 2016 and 2017, respectively.  Mid-period convention was used in calculating the return on investment.

Average Spot Prices

             
    2017   4Q 2017   3Q 2017   2Q 2017   1Q 2017   2016   4Q 2016
Average Silver Spot Price Per Ounce $ 17.05 $ 16.73 $ 16.84 $ 17.21 $ 17.42 $ 17.14 $ 17.19
Average Gold Spot Price Per Ounce $ 1,257 $ 1,275 $ 1,278 $ 1,257 $ 1,219 $ 1,251 $ 1,222
Average Silver to Gold Spot Equivalence 74:1 76:1 76:1 73:1 70:1 73:1 71:1
 

COEUR MINING, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

 

 
Year ended December 31,
2017   2016   2015
In thousands, except share data
Revenue $ 709,598 $ 571,897   $ 561,407
COSTS AND EXPENSES
Costs applicable to sales(1) 440,260 335,375 403,827
Amortization 146,549 116,528 125,953
General and administrative 33,616 29,275 32,636
Exploration 30,311 12,930 11,521
Write-downs 4,446 246,625
Pre-development, reclamation, and other 18,936   14,411     16,204  
Total costs and expenses 669,672 512,965 836,766
OTHER INCOME (EXPENSE), NET
Gain (loss) on debt extinguishment (9,342 ) (21,365 ) 15,916
Fair value adjustments, net (864 ) (11,581 ) 5,202
Interest expense, net of capitalized interest (16,440 ) (36,896 ) (44,978 )
Other, net 26,643   98     (17,667 )
Total other income (expense), net (3 ) (69,744 )   (41,527 )
Income (loss) before income and mining taxes 39,923 (10,812 ) (316,886 )
Income and mining tax (expense) benefit (28,998 ) 33,247     29,075  
Income (loss) from continuing operations $ 10,925 $ 22,435 $ (287,811 )
Income (loss) from discontinued operations (12,244 ) 32,917     (79,372 )
NET INCOME (LOSS) $ (1,319 ) $ 55,352 $ (367,183 )
OTHER COMPREHENSIVE INCOME (LOSS), net of tax:

Unrealized gain (loss) on equity securities, net of tax of ($767) for the year ended December 31, 2016

3,227 3,222 (4,154 )
Reclassification adjustments for impairment of equity securities 426 703 2,346
Reclassification adjustments for realized (gain) loss on sale of equity securities 1,354   (2,691 )   894  
Other comprehensive income (loss) 5,007   1,234     (914 )
COMPREHENSIVE INCOME (LOSS) $ 3,688   $ 56,586     $ (368,097 )
 
NET INCOME (LOSS) PER SHARE
Basic income (loss) per share:
Net income (loss) from continuing operations $ 0.06 $ 0.14 $ (2.22 )
Net income (loss) from discontinued operations (0.07 ) 0.21   (0.61 )
Basic $ (0.01 ) $ 0.35     $ (2.83 )
Diluted income (loss) per share:
Net income (loss) from continuing operations $ 0.06 $ 0.14 $ (2.22 )
Net income (loss) from discontinued operations (0.07 ) 0.20   (0.61 )
Diluted $ (0.01 ) $ 0.34     $ (2.83 )
 

COEUR MINING, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS

 

 
Years ended December 31,
2017   2016   2015
In thousands
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net (income) loss $ (1,319 ) $ 55,352 $ (367,183 )
(Income) loss from discontinued operations 12,244 (32,917 ) 79,372
Adjustments:
Amortization 146,549 116,528 125,953
Accretion 9,980 9,142 13,332
Deferred taxes

(13,888

) (54,184 ) (38,496 )
Loss (gain) on debt extinguishment 9,342 21,365 (15,916 )
Fair value adjustments, net 864 11,581 (5,202 )
Stock-based compensation 10,541 9,715 9,272
Gain on sale of the Joaquin project (21,138 )
Write-downs 4,446 246,625
Other

(7,974

) 356 18,983
Changes in operating assets and liabilities:
Receivables 18,895 (2,783 ) (5,022 )
Prepaid expenses and other current assets (2,015 ) (4,420 ) 5,702
Inventory and ore on leach pads 23,517 (34,610 ) 15,578
Accounts payable and accrued liabilities 11,562   (3,110 ) 4,414  
CASH PROVIDED BY OPERATING ACTIVITIES OF CONTINUING OPERATIONS 197,160 96,461 87,412
CASH PROVIDED BY OPERATING ACTIVITIES OF DISCONTINUED OPERATIONS 11,296   29,356   26,130  
CASH PROVIDED BY OPERATING ACTIVITIES 208,456 125,817 113,542
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures (136,734 ) (94,382 ) (88,973 )
Acquisitions, net (156,248 ) (1,417 ) (110,846 )
Proceeds from the sale of assets 16,705 16,296 607
Purchase of investments (15,058 ) (178 ) (1,880 )
Sale of investments 11,321 7,077 605
Other (217 ) (4,208 ) (4,586 )
CASH USED IN INVESTING ACTIVITIES OF CONTINUING OPERATIONS (280,231 ) (76,812 ) (205,073 )
CASH USED IN INVESTING ACTIVITIES OF DISCONTINUED OPERATIONS (1,392 ) (6,631 ) (6,220 )
CASH USED IN INVESTING ACTIVITIES (281,623 ) (83,443 ) (211,293 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Issuance of common stock 269,556
Issuance of notes and bank borrowings, net of issuance costs 342,620 150,000
Payments on debt, capital leases, and associated costs (203,045 ) (318,153 ) (70,603 )
Gold production royalty payments (27,155 ) (39,235 )
Other (3,746 ) 172   (542 )
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES OF CONTINUING OPERATIONS 135,829 (75,580 ) 39,620
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES OF DISCONTINUED OPERATIONS (84 ) (4,648 ) (10,612 )
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES 135,745   (80,228 ) 29,008  
Effect of exchange rate changes on cash and cash equivalents 203   (678 ) (1,404 )
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 62,781 (38,532 ) (70,147 )
Less net cash provided by (used in) discontinued operations (10,939 ) 1,576   11,552  
73,720   (40,108 ) (81,699 )
Cash and cash equivalents at beginning of period 118,312   158,420   240,119  
Cash and cash equivalents at end of period $ 192,032   $ 118,312   $ 158,420  
 

COEUR MINING, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS

   
December 31, 2017 December 31, 2016
ASSETS In thousands, except share data
CURRENT ASSETS
Cash and cash equivalents $ 192,032 $ 118,312
Receivables 19,069 53,415
Inventory 58,230 93,436
Ore on leach pads 73,752 64,167
Prepaid expenses and other 15,053 10,015
Assets held for sale 91,421   71,442  
449,557 410,787
NON-CURRENT ASSETS
Property, plant and equipment, net 254,737 193,423
Mining properties, net 829,569 550,290
Ore on leach pads 65,393 67,231
Restricted assets 20,847 17,597
Equity and debt securities 34,837 4,488
Receivables 28,750 13,745
Other 17,485 12,585
Assets held for sale $   $ 48,763  
TOTAL ASSETS $ 1,701,175   $ 1,318,909  
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable $ 48,592 $ 44,660
Accrued liabilities and other 94,930 36,445
Debt 30,753 11,955
Royalty obligations 4,995
Reclamation 3,777 3,109
Liabilities held for sale 50,677   15,470  
228,729 116,634
NON-CURRENT LIABILITIES
Debt 380,569 198,682
Royalty obligations 4,292
Reclamation 117,055 85,592
Deferred tax liabilities 105,148 69,811
Other long-term liabilities 54,697 41,654
Liabilities held for sale   33,757  
657,469 433,788
STOCKHOLDERS’ EQUITY
Common stock, par value $0.01 per share; authorized 300,000,000 shares, issued and outstanding 185,637,724 at December 31, 2017 and 180,933,287 at December 31, 2016 1,856 1,809
Additional paid-in capital 3,357,345 3,314,590
Accumulated other comprehensive income (loss) 2,519 (2,488 )
Accumulated deficit (2,546,743 ) (2,545,424 )
814,977   768,487  
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 1,701,175   $ 1,318,909  
 

Adjusted EBITDA Reconciliation

             
(Dollars in thousands except per share amounts) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016
Net income (loss) $ (1,319 ) $ 7,625 $ (16,652 ) $ (10,955 ) $ 18,663 $ 55,352 $ (8,306 )
(Income) loss from discontinued operations, net of tax 12,244 6,724 4,924 960 (364 ) (32,917 ) (2,020 )
Interest expense, net of capitalized interest 16,440 5,522 3,595 3,744 3,579 36,896 6,851
Income tax provision (benefit) 28,998 4,957 14,289 (1,126 ) 10,878 (33,247 ) (495 )
Amortization 146,549   44,722   32,401   30,733   38,693   116,528   28,625  
EBITDA 202,912 69,550 38,557 23,356 71,449 142,612 24,655
Fair value adjustments, net 864 (336 ) 1,200 11,581 (1,654 )
Impairment of equity and debt securities 426 305 121 703 683
Foreign exchange (gain) loss (1,281 ) 672 39 (786 ) (1,206 ) 11,455 3,595
Gain on sale of Joaquin project (21,138 ) (21,138 )
(Gain) loss on sale of assets and securities 1 499 (2,051 ) (513 ) 2,066 (11,334 ) 339
Gain on repurchase of Rochester royalty (2,332 ) (2,332 )
Loss on debt extinguishment 9,342 9,342 21,365 11,325
Corporate reorganization costs
Transaction costs 3,757 2,938 819 1,199 1
Asset retirement obligation accretion 8,983 2,475 2,223 2,169 2,116 7,263 1,860
Inventory adjustments and write-downs 1,806 885 659 715 (94 ) 5,590 189
Write-downs           4,446    
Adjusted EBITDA $ 203,340     $ 77,019     $ 40,246     $ 31,920   $ 54,514   $ 194,880   $ 40,993  
 

Adjusted Net Income (Loss) Reconciliation

             
(Dollars in thousands except per share amounts) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016
Net income (loss) $ (1,319 ) $ 7,625 $ (16,652 ) $ (10,955 ) $ 18,663 $ 55,352 $ (8,306 )
(Income) loss from discontinued operations, net of tax 12,244 6,724 4,924 960 (364 ) (32,917 ) (2,020 )
Fair value adjustments, net 864 (336 ) 1,200 11,581 (1,654 )
Impairment of equity and debt securities 426 305 121 703 683
Write-downs 4,446
Inventory write-downs 3,689
Gain on sale of Joaquin project (21,138 ) (21,138 )
(Gain) loss on sale of assets and securities 1 499 (2,051 ) (513 ) 2,066 (11,334 ) 339
Gain on repurchase of Rochester royalty (2,332 ) (2,332 )
(Gain) loss on debt extinguishment 9,342 9,342 21,365 11,325
Corporate reorganization costs
Transaction costs 3,757 2,938 819 1,199 1
Deferred tax on reorganization (40,767 )
Foreign exchange loss (gain) 1,562 (3,643 ) (1,392 ) 2,186 4,411 (299 ) 511
Tax effect of adjustments(1) 816     (991 )   1,807   2,583    
Adjusted net income (loss) $ 4,223   $ 14,143   $ (15,343 ) $ (1,343 ) $ 6,766   $ 15,601   $ 879  
 
Adjusted net income (loss) per share - Basic $ 0.02 $ 0.08 $ (0.09 ) $ (0.01 ) $ 0.04 $ 0.10 $ 0.01
Adjusted net income (loss) per share - Diluted $ 0.02 $ 0.08 $ (0.09 ) $ (0.01 ) $ 0.04 $ 0.10 $ 0.01
 

Consolidated Free Cash Flow Reconciliation

             
(Dollars in thousands) 2017 4Q 2017 3Q 2017 2Q 2017 1Q 2017 2016 4Q 2016
Cash flow from continuing operations $ 197,160 $ 91,811 $ 37,308 $ 24,103 $ 43,938 $ 96,461 $ 21,423
Capital expenditures from continuing operations 136,734 47,054 28,982 37,107 23,591 94,382 28,134
Gold production royalty payments           27,155    
Free cash flow 60,426   44,757   8,326   (13,004 ) 20,347   (25,076 ) (6,711 )
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Year Ended December 31, 2017

     
Silver Gold

 

In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

  Total

Total

Costs applicable to sales, including amortization (U.S. GAAP) $ 219,920   $ 130,227 $ 1,046   $ 351,193 $ 152,118   $ 82,334   $ 234,452 $ 585,645
Amortization

 

73,744

 

 

22,306

 

 

301

 

 

96,351

 

 

36,022

 

 

13,012

  49,034  

 

145,385

 
Costs applicable to sales $ 146,176 $ 107,921 $ 745 $ 254,842 $ 116,096 $ 69,322 $ 185,418 $ 440,260
Silver equivalent ounces sold

 

15,490,734

 

8,209,888

 

107,027

 

23,807,649

 

37,334,889

Gold equivalent ounces sold                

 

125,982

 

 

99,472

  225,454      
Costs applicable to sales per ounce $ 9.44 $ 13.15 $ 6.96 $ 10.70 $ 922 $ 697 $ 822 $ 11.79
Inventory adjustments

 

(0.08

)

 

(0.07

)

 

 

 

(0.08

)

 

(2

)

 

3

   

 

(0.05

)
Adjusted costs applicable to sales per ounce $ 9.36 $ 13.08 $ 6.96 $ 10.62   $ 920 $ 700 $ 822 $ 11.74  
 
Costs applicable to sales per average spot ounce $ 8.45 $ 12.04 $ 9.66 $ 10.24
Inventory adjustments

 

(0.07

)

 

(0.07

)

 

(0.07

)

 

(0.04

)
Adjusted costs applicable to sales per average spot ounce $ 8.38 $ 11.97 $ 9.59   $ 10.20  
 
Costs applicable to sales $ 440,260
Treatment and refining costs

 

5,912

Sustaining capital(1)

 

65,010

General and administrative

 

33,616

Exploration

 

30,311

Reclamation

 

14,910

Project/pre-development costs

 

5,543

 
All-in sustaining costs $

595,562

Silver equivalent ounces sold

 

23,807,649

Kensington and Wharf silver equivalent ounces sold

 

13,527,240

 
Consolidated silver equivalent ounces sold

 

37,334,889

 
All-in sustaining costs per silver equivalent ounce $ 15.95  
Inventory adjustments $ (0.05 )
Adjusted all-in sustaining costs per silver equivalent ounce $ 15.90  
 
Consolidated silver equivalent ounces sold (average spot)

 

42,969,841

 
All-in sustaining costs per average spot silver equivalent ounce $ 13.86  
Inventory adjustments $ (0.04 )
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 13.82  
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Three Months Ended December 31, 2017

     
Silver   Gold

 

In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

 

 

Total

Total

Costs applicable to sales, including amortization (U.S. GAAP) $ 58,775   $ 41,006 $   $ 99,781 $ 42,640   $ 24,033   $ 66,673 $ 166,454
Amortization

 

22,749

 

 

6,960

 

 

 

 

29,709

 

 

10,633

 

 

4,129

 

 

14,762

 

 

44,471

 
Costs applicable to sales $ 36,026 $ 34,046 $ $ 70,072 $ 32,007 $ 19,904 $ 51,911 $ 121,983
Silver equivalent ounces sold

 

4,680,802

 

2,657,975

 

 

7,338,777

 

11,232,057

Gold equivalent ounces sold                

 

35,633

 

 

29,255

 

 

64,888

     
Costs applicable to sales per ounce $ 7.70 $ 12.81 $ $ 9.55 $ 898 $ 680 $ 800 $ 10.86
Inventory adjustments

 

(0.16

)

 

(0.04

)

 

 

 

(0.12

)

 

(2

)

 

2

     

 

(0.08

)
Adjusted costs applicable to sales per ounce $ 7.54 $ 12.77 $ $ 9.43   $ 896 $ 682 $ 800 $ 10.78  
 
Costs applicable to sales per average spot ounce $ 6.78 $ 11.41 $ 8.45

 

$ 9.21
Inventory adjustments

 

(0.14

)

 

(0.04

)

 

(0.10

)

 

(0.07

)
Adjusted costs applicable to sales per average spot ounce $ 6.64 $ 11.37 $ 8.35   $ 9.14  
 
Costs applicable to sales $ 121,983
Treatment and refining costs

 

1,600

Sustaining capital

 

18,520

General and administrative

 

9,120

Exploration

 

7,455

Reclamation

 

4,075

Project/pre-development costs

 

578

 
All-in sustaining costs $

163,331

Silver equivalent ounces sold

 

7,338,777

Kensington and Wharf silver equivalent ounces sold

 

3,893,280

 
Consolidated silver equivalent ounces sold

 

11,232,057

 
All-in sustaining costs per silver equivalent ounce $ 14.53  
Inventory adjustments $ (0.08 )
Adjusted all-in sustaining costs per silver equivalent ounce $ 14.45  
 
Consolidated silver equivalent ounces sold (average spot)

 

13,246,634

 
All-in sustaining costs per average spot silver equivalent ounce $ 12.33  
Inventory adjustments $ (0.07 )
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 12.26  
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Three Months Ended September 30, 2017

     
Silver Gold

 

In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

 

 

Total

Total

Costs applicable to sales, including amortization (U.S. GAAP) $ 49,669   $ 27,866 $ 59   $ 77,594 $ 35,522   $ 20,553   $ 56,075 $ 133,669
Amortization

 

16,414

 

 

4,591

 

 

20

 

 

21,025

 

 

7,864

 

 

3,223

 

 

11,087

 

 

32,112

 
Costs applicable to sales $ 33,255 $ 23,275 $ 39 $ 56,569 $ 27,658 $ 17,330 $ 44,988 $ 101,557
Silver equivalent ounces sold

 

3,386,963

 

1,673,704

 

8,027

 

5,068,694

 

8,264,174

Gold equivalent ounces sold                

 

29,173

 

 

24,085

 

 

53,258

     
Costs applicable to sales per ounce $ 9.82 $ 13.91 $ 4.86 $ 11.16 $ 948 $ 720 $ 845 $ 12.29
Inventory adjustments

 

(0.06

)

 

(0.22

)

 

 

 

(0.11

)

 

(2

)

 

(1

)

 

(2

)

 

(0.08

)
Adjusted costs applicable to sales per ounce $ 9.76 $ 13.69 $ 4.86 $ 11.05   $ 946 $ 719 $ 843 $ 12.21  
 
Costs applicable to sales per average spot ounce $ 8.73 $ 12.66 $ 10.00 $ 10.47
Inventory adjustments

 

(0.05

)

 

(0.20

)

 

(0.10

)

 

(0.07

)
Adjusted costs applicable to sales per average spot ounce $ 8.68 $ 12.46 $ 9.90   $ 10.40  
 
Costs applicable to sales $ 101,557
Treatment and refining costs

 

1,408

Sustaining capital

 

18,126

General and administrative

 

7,345

Exploration

 

9,792

Reclamation

 

3,915

Project/pre-development costs

 

1,979

 
All-in sustaining costs $ 144,122
Silver equivalent ounces sold

 

5,068,694

Kensington and Wharf silver equivalent ounces sold

 

3,195,480

 
Consolidated silver equivalent ounces sold

 

8,264,174

 
All-in sustaining costs per silver equivalent ounce $ 17.43  
Inventory adjustments $ (0.08 )
Adjusted all-in sustaining costs per silver equivalent ounce $ 17.35  
 
Consolidated silver equivalent ounces sold (average spot)

 

9,698,654

 
All-in sustaining costs per average spot silver equivalent ounce $ 14.86  
Inventory adjustments $ (0.07 )
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 14.79  
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Three Months Ended June 30, 2017

     
Silver Gold

 

In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

 

 

Total

Total

Costs applicable to sales, including amortization (U.S. GAAP) $ 48,325   $ 29,099 $ 586   $ 78,010 $ 36,335   $ 18,317   $ 54,652 $ 132,662
Amortization

 

14,431

 

 

4,938

 

 

168

 

 

19,537

 

 

8,347

 

 

2,549

 

 

10,896

 

 

30,433

 
Costs applicable to sales $ 33,894 $ 24,161 $ 418 $ 58,473 $ 27,988 $ 15,768 $ 43,756 $ 102,229
Silver equivalent ounces sold

 

2,995,623

 

1,774,000

 

59,234

 

4,828,857

 

7,860,417

Gold equivalent ounces sold                

 

29,031

 

 

21,495

 

 

50,526

     
Costs applicable to sales per ounce $ 11.31 $ 13.62 $ 7.06 $ 12.11 $ 964 $ 734 $ 866 $ 13.01
Inventory adjustments

 

(0.10

)

 

(0.08

)    

 

(0.09

)

 

(12

)

 

3

 

 

(6

)

 

(0.09

)
Adjusted costs applicable to sales per ounce $ 11.21 $ 13.54 $ 7.06 $ 12.02   $ 952 $ 737 $ 860 $ 12.92  
 
Costs applicable to sales per average spot ounce $ 10.20 $ 12.63 $ 11.04 $ 11.38
Inventory adjustments

 

(0.09

)

 

(0.07

)

 

(0.08

)

 

(0.08

)
Adjusted costs applicable to sales per average spot ounce $ 10.11 $ 12.56 $ 10.96   $ 11.30  
 
Costs applicable to sales $ 102,229
Treatment and refining costs

 

1,288

Sustaining capital

 

17,173

General and administrative

 

7,025

Exploration

 

7,813

Reclamation

 

3,581

Project/pre-development costs

 

1,677

 
All-in sustaining costs $ 140,786
Silver equivalent ounces sold

 

4,828,857

Kensington and Wharf silver equivalent ounces sold

 

3,031,560

 
Consolidated silver equivalent ounces sold

 

7,860,417

 
All-in sustaining costs per silver equivalent ounce $ 17.90  
Inventory adjustments $ (0.09 )
Adjusted all-in sustaining costs per silver equivalent ounce $ 17.81  
 
Consolidated silver equivalent ounces sold (average spot)

 

8,990,166

 
All-in sustaining costs per average spot silver equivalent ounce $ 15.66  
Inventory adjustments $ (0.08 )
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 15.58  
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Three Months Ended March 31, 2017

     
Silver Gold

 

In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

 

 

Total

Total

Costs applicable to sales, including amortization (U.S. GAAP) $ 63,151   $ 32,255 $ 400   $ 95,806 $ 37,621   $ 19,431   $ 57,052 $ 152,858
Amortization

 

20,150

 

 

5,816

 

 

113

 

 

26,079

 

 

9,178

 

 

3,111

 

 

12,289

 

 

38,368

 
Costs applicable to sales $ 43,001 $ 26,439 $ 287 $ 69,727 $ 28,443 $ 16,320 $ 44,763 $ 114,490
Silver equivalent ounces sold

 

4,427,346

 

2,104,209

 

39,765

 

6,571,320

 

9,978,120

Gold equivalent ounces sold                

 

32,144

 

 

24,636

 

 

56,780

     
Costs applicable to sales per ounce $ 9.71 $ 12.56 $ 7.22 $ 10.61 $ 885 $ 662 $ 788 $ 11.47
Inventory adjustments

 

(0.03

)

 

0.01

 

 

 

 

(0.01

)

 

(1

)

 

8

 

 

3

 

 

(0.01

)
Adjusted costs applicable to sales per ounce $ 9.68 $ 12.57 $ 7.22 $ 10.60   $ 884 $ 670 $ 791 $ 11.46  
 
Costs applicable to sales per average spot ounce $ 8.89 $ 11.80 $ 9.80 $ 10.33
Inventory adjustments

 

(0.02

)

 

0.01

 

 

(0.01

)

 

0.01

 
Adjusted costs applicable to sales per average spot ounce $ 8.87 $ 11.81 $ 9.79   $ 10.34  
 
Costs applicable to sales $ 114,490
Treatment and refining costs

 

1,616

Sustaining capital

 

11,191

General and administrative

 

10,125

Exploration

 

5,252

Reclamation

 

3,338

Project/pre-development costs

 

1,419

 
All-in sustaining costs $ 147,431
Silver equivalent ounces sold

 

6,571,320

Kensington and Wharf silver equivalent ounces sold

 

3,406,800

 
Consolidated silver equivalent ounces sold

 

9,978,120

 
All-in sustaining costs per silver equivalent ounce $ 14.77  
Inventory adjustments $ 0.01  
Adjusted all-in sustaining costs per silver equivalent ounce $ 14.78  
 
Consolidated silver equivalent ounces sold (average spot)

 

11,093,378

 
All-in sustaining costs per average spot silver equivalent ounce $ 13.29  
Inventory adjustments $ 0.01  
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 13.30  
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Year Ended December 31, 2016

     
Silver Gold
In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

 

 

Total

 

Total

 
Costs applicable to sales, including amortization (U.S. GAAP) $ 117,419   $ 111,564 $ 2,363   $ 231,346 $ 131,518 $ 87,000 $ 218,518 $ 449,864
Amortization

 

36,599

 

 

21,838

 

 

644

 

 

59,081

 

 

34,787

 

 

20,621

 

 

55,408

 

 

114,489

 
Costs applicable to sales $ 80,820 $ 89,726 $ 1,719 $ 172,265 $ 96,731 $ 66,379 $ 163,110 $ 335,375
Silver equivalent ounces sold

 

7,538,311

 

7,542,740

 

262,078

 

15,343,129

 

29,221,609

Gold equivalent ounces sold                

 

121,688

 

 

109,620

 

 

231,308

     
Costs applicable to sales per ounce $ 10.72 $ 11.90 $ 6.56 $ 11.23 $ 795 $ 606 $ 705 $ 11.48
Inventory adjustments

 

(0.17

)

 

(0.04

)

 

 

 

(0.11

)

 

(5

)

 

(31

)

 

(17

)

 

(0.19

)
Adjusted costs applicable to sales per ounce $ 10.55 $ 11.86 $ 6.56 $ 11.12   $ 790 $ 575 $ 688 $ 11.29  
 
Costs applicable to sales per average spot ounce $ 9.73 $ 10.97 $ 10.29 $ 9.98
Inventory adjustments

 

(0.16

)

 

(0.04

)

 

(0.10

)

 

(0.17

)
Adjusted costs applicable to sales per average spot ounce $ 9.57 $ 10.93 $ 10.19   $ 9.81  
 
Costs applicable to sales $ 335,375
Treatment and refining costs

 

4,307

Sustaining capital(1)

 

71,134

General and administrative

 

29,275

Exploration

 

12,930

Reclamation

 

13,291

Project/pre-development costs

 

5,779

 
All-in sustaining costs $ 472,091
Silver equivalent ounces sold

 

15,343,129

Kensington and Wharf silver equivalent ounces sold

 

13,878,480

 
Consolidated silver equivalent ounces sold

 

29,221,609

 
All-in sustaining costs per silver equivalent ounce $ 16.16  
Inventory adjustments $ (0.19 )
Adjusted all-in sustaining costs per silver equivalent ounce $ 15.97  
 
Consolidated silver equivalent ounces sold (average spot)

 

33,600,783

 
All-in sustaining costs per average spot silver equivalent ounce $ 14.05  
Inventory adjustments $ (0.17 )
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 13.88  
 

Reconciliation of All-in Sustaining Costs per Silver Equivalent Ounce
for Three Months Ended December 31, 2016

     
Silver Gold

 

In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Endeavor

 

 

Total

 

Kensington

 

 

Wharf

 

 

Total

Total

Costs applicable to sales, including amortization (U.S. GAAP) $ 29,667   $ 29,581 $ 557   $ 59,805 $ 31,577 $ 21,861 $ 53,438 $ 113,243
Amortization

 

8,784

 

 

5,844

 

 

148

 

 

14,776

 

 

8,584

 

 

4,982

 

 

13,566

 

 

28,342

 
Costs applicable to sales $ 20,883 $ 23,737 $ 409 $ 45,029 $ 22,993 $ 16,879 $ 39,872 $ 84,901
Silver equivalent ounces sold

 

1,871,178

 

1,983,393

 

57,903

 

3,912,474

 

7,456,614

Gold equivalent ounces sold                

 

28,864

 

 

30,205

 

 

59,069

     
Costs applicable to sales per ounce $ 11.16 $ 11.97 $ 7.06 $ 11.51 $ 797 $ 559 $ 675 $ 11.39
Inventory adjustments

 

(0.15

)

 

0.02

 

 

 

 

(0.06

)

 

4

 

 

(3

)

 

1

 

 

(0.03

)
Adjusted costs applicable to sales per ounce $ 11.01 $ 11.99 $ 7.06 $ 11.45   $ 801 $ 556 $ 676 $ 11.36  
 
Costs applicable to sales per average spot ounce $ 10.24 $ 11.14 $ 10.65 $ 10.08
Inventory adjustments

 

(0.13

)

 

0.02

 

 

(0.06

)

 

(0.02

)
Adjusted costs applicable to sales per average spot ounce $ 10.11 $ 11.16 $ 10.59   $ 10.06  
 
Costs applicable to sales $ 84,901
Treatment and refining costs

 

1,261

Sustaining capital

 

18,039

General and administrative

 

6,577

Exploration

 

5,261

Reclamation

 

3,022

Project/pre-development costs

 

1,507

 
All-in sustaining costs $ 120,568
Silver equivalent ounces sold

 

3,912,474

Kensington and Wharf silver equivalent ounces sold

 

3,544,140

 
Consolidated silver equivalent ounces sold

 

7,456,614

 
All-in sustaining costs per silver equivalent ounce $ 16.16  
Inventory adjustments $ (0.03 )
Adjusted all-in sustaining costs per silver equivalent ounce $ 16.13  
 
Consolidated silver equivalent ounces sold (average spot)

 

8,425,437

 
All-in sustaining costs per average spot silver equivalent ounce $ 14.31  
Inventory adjustments $ (0.02 )
Adjusted all-in sustaining costs per average spot silver equivalent ounce $ 14.29  
 

Reconciliation of All-in Sustaining Costs per 60:1 Silver Equivalent Ounce
for 2018 Guidance

 
Silver Gold
In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Silvertip

 

Total Silver

 

Kensington

 

 

Wharf

 

Total Gold

 

Total
Combined

Costs applicable to sales, including amortization (U.S. GAAP) $ 208,000   $ 116,300   $ 88,000 $ 412,300 $ 146,100   $ 89,700 $ 235,800 $ 648,100
Amortization

 

63,300

   

 

18,900

   

 

20,000

 

 

102,200

 

 

40,400

   

 

12,100

 

 

52,500

 

 

154,700

Costs applicable to sales $ 144,700 $ 97,400 $ 68,000 $ 310,100 $ 105,700 $ 77,600 $ 183,300 $ 493,400
Silver equivalent ounces sold

 

13,700,000

 

7,300,000

 

4,500,000

 

25,500,000

 

37,800,000

Gold equivalent ounces sold                    

 

117,500

   

 

87,500

 

 

205,000

     
Costs applicable to sales per ounce

$

10.50 - $11.00

$

13.25 - $13.75

$

15.00 - $15.50

$

900 - $950

$

850 - $900

 
Costs applicable to sales

 

$ 493,400
Treatment and refining costs

 

12,000

Sustaining capital, including capital lease payments

 

100,000

General and administrative

 

33,000

Exploration

 

22,000

Reclamation

 

15,700

Project/pre-development costs

 

2,900

All-in sustaining costs $ 679,000
Silver equivalent ounces sold

 

25,500,000

Kensington and Wharf silver equivalent ounces sold

 

12,300,000

Consolidated silver equivalent ounces sold

 

37,800,000

All-in sustaining costs per silver equivalent ounce

$

17.50 - $18.00

 

Reconciliation of All-in Sustaining Costs per Spot Silver Equivalent Ounce
for 2018 Guidance

 
Silver Gold
In thousands except per ounce amounts

 

Palmarejo

 

 

Rochester

 

 

Silvertip

 

Total Silver

 

Kensington

 

 

Wharf

 

Total Gold

 

Total
Combined

Costs applicable to sales, including amortization (U.S. GAAP) $ 208,000   $ 116,300   $ 88,000 $ 412,300 $ 146,100   $ 89,700 $ 235,800 $ 648,100
Amortization

 

63,300

   

 

18,900

   

 

20,000

 

 

102,200

 

 

40,400

   

 

12,100

 

 

52,500

 

 

154,700

Costs applicable to sales $ 144,700 $ 97,400 $ 68,000 $ 310,100 $ 105,700 $ 77,600 $ 183,300 $ 493,400
Silver equivalent ounces sold

 

15,387,500

 

8,012,500

 

5,750,000

 

29,150,000

 

44,525,000

Gold equivalent ounces sold                    

 

117,500

   

 

87,500

 

 

205,000

     
Costs applicable to sales per ounce

$

9.25 - $9.75

$

12.00 - $12.50

$

12.00 - $12.50

$

900 - $950

$

850 - $900

 
Costs applicable to sales $ 493,400
Treatment and refining costs

 

12,000

Sustaining capital, including capital lease payments

 

100,000

General and administrative

 

33,000

Exploration

 

22,000

Reclamation

 

15,700

Project/pre-development costs

 

2,900

All-in sustaining costs $ 679,000
Silver equivalent ounces sold

 

29,150,000

Kensington and Wharf silver equivalent ounces sold

 

15,375,000

Consolidated silver equivalent ounces sold

 

44,525,000

All-in sustaining costs per silver equivalent ounce

$

15.00 - $15.50

Contacts

Coeur Mining, Inc.
Courtney Lynn, 312-489-5910
Vice President, Investor Relations and Treasurer
www.coeur.com

Contacts

Coeur Mining, Inc.
Courtney Lynn, 312-489-5910
Vice President, Investor Relations and Treasurer
www.coeur.com