Silvertip And Crown Exploration Update

CHICAGO, IL - Coeur Mining, Inc. reported on the exploration programs at its Silvertip mine in British Columbia and Crown exploration property in Nevada. The Company highlighted new drilling results at the recently discovered Southern Silver Zone at Silvertip and at the four mineralized zones within the Crown Block – Daisy, Secret Pass, SNA and C-Horst. Through the first four months of 2021, Coeur drilled approximately 340,300 feet (103,750 meters) at six different locations – a 66% increase compared to the same period in 2020. Coeur anticipates investing $68 million1 in exploration this year, which would make this the largest exploration campaign in Coeur’s history and over 30% higher than last year’s exploration investment.

“We are carrying out our most active exploration campaign in Coeur’s history with up to 22 drill rigs deployed across six sites, with positive results rolling in on a regular basis,” said, Hans J. Rasmussen, Senior Vice President of Exploration. “This update emphasizes the opportunity for growth at Silvertip and Crown, two of our most recent asset additions in top jurisdictions in-line with our strategy, both of which continue to demonstrate significant upside potential. Drilling at Silvertip continues to show promising results as demonstrated by the most recent assays from Hole 65Z21-485-360-026 at the Southern Silver Zone, which cut roughly 51 feet of massive sulfide mineralization hosted in vertically oriented breccia material. Successful results like these continue to reinforce Silvertip’s status as one of the world’s highest-grade silver-zinc-lead deposits and provide valuable data points as we work towards our goal of ending the year with a compelling business case to justify moving forward with an expansion and restart.

At Crown, we are just now beginning to test the true potential of most of the immense district, following the receipt of a 300-acre disturbance permit in late 2020. Importantly, we expect to receive an amended permit during the third quarter to allow us to begin step out drilling to test the growth potential of C-Horst, which was a new discovery in April of last year. We plan to complete an optimized resource and financial model for the entire district by the end of the year, which will lay the foundation for an initial economic assessment that we expect to release around mid-2022, highlighting the potential to combine and optimize a series of open pit, heap leach operations that incorporate all four of the mineralized zones within the Crown Block. Our dominant land position of approximately 35,500 net acres in southern Nevada represents a substantial organic growth opportunity for Coeur, and we are excited to continue working on a plan to develop the district.”

Building on its exploration success in late 2020, Coeur began the year drilling Silvertip with five surface rigs and one underground core rig focusing on resource expansion, while also conducting infill drilling on select areas of the deposit focused on converting existing resources to reserves. Through the first four months of 2021, Coeur drilled approximately 104,400 feet (31,825 meters) compared to roughly 16,700 feet (5,100 meters) during the same period in 2020.

The Company completed an underground development drift in late 2020 to access the 65 Zone, which is located south-southeast of the original Silver Creek mine area. Shortly after drilling from the drift began, Coeur discovered the new Southern Silver Zone which has a different geometry and completely envelops the historic 65 Zone. The Southern Silver Zone represents a new style of mineralization at Silvertip – breccia-type, karst controlled, which are vertically oriented and high grade, in contrast to the horizontal manto-style mineralization in the historic 65 Zone. Intercepts from the deepest holes in the Southern Silver Zone suggest it continues to depths beyond the current drilling, which has identified roughly 1,000 vertical feet (300 meters) of mineralization. As the Company is approaching the source of mineralization, it believes that the Southern Silver Zone may be a feeder structure and other, similar structures may exist as Coeur continues to drill horizontal holes from underground.

Based on encouraging initial results, Coeur mobilized a second underground rig as well as a surface core rig to focus on expanding the Southern Silver Zone. The exploration team on site also began re-evaluating historical core logs and photos with the goal of identifying similar karst-controlled structures and testing for vertically oriented mineralization in other parts of the mine. Three-dimensional modeling of all the geological and geophysical data suggests that the Southern Silver Zone connects the Silver Creek Zone with the Discovery South Zone, representing potential for significant resource growth.

To assist in new drill targeting and gain a better understanding of the regional exploration potential around Silvertip, an airborne Sky Time-Domain Electromagnetic (“SkyTEM”) geophysical survey was completed in late March. The new SkyTEM data has the ability to map resistivity features to about 1,000 feet (300 meters) below surface. Based on preliminary review of the SkyTEM data, there appear to be several features that have potential to extend the Discovery, Camp Creek, Tour Ridge and Southern Silver zones as well as the Tiger Terrace target area.