{"id":1167089,"date":"2020-02-21T11:14:30","date_gmt":"2020-02-21T17:14:30","guid":{"rendered":"https:\/\/www.mining.com\/?p=1014680"},"modified":"2020-02-21T11:14:30","modified_gmt":"2020-02-21T17:14:30","slug":"coeur-mining-halts-silvertip-mine-books-huge-charge","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1167089","title":{"rendered":"Coeur Mining halts Silvertip mine, books huge charge"},"content":{"rendered":"<p>Coeur Mining (NYSE:CDE), the largest US-based primary\u00a0silver producer,\u00a0is <a href=\"https:\/\/www.coeur.com\/_resources\/news\/nr_20200219.pdf\"  rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">temporarily halting operations<\/a> at its Silvertip silver-zinc-lead mine, located in Canada\u2019s northern British Columbia, due mainly to low prices for lead and zinc.<\/p>\n<div class='d-flex justify-content-center d-xs-block d-sm-block d-md-none'>\n<div id='div-gpt-ad-1561499308230-0'><script>googletag.cmd.push(function() {googletag.display('div-gpt-ad-1561499308230-0');});<\/script><\/div>\n<\/div>\n<p>The decision caused Coeur to book a $251 million impairment charge on the underperforming asset, acquired from private investor <a href=\"https:\/\/www.mining.com\/coeur-mining-acquires-silvertip-mine-canada-250-million\/\"  rel=\"noreferrer noopener\" aria-label=\" (opens in a new tab)\">Denham Capital in 2017 for up to $250 million<\/a>.<\/p>\n<p>Silvertip, located just below the Yukon border,&nbsp;accounted<br \/>\nfor about 6% of Coeur\u2019s 2019 revenue. According to the company\u2019s website, it<br \/>\nemploys 167&nbsp;people.<\/p>\n<p>Severance costs related to work<br \/>\nsuspension are estimated to reach between $5-10 million during the first half<br \/>\nof the year, while quarterly care and maintenance will cost $6 million.<\/p>\n<p>Chief executive Michael J. Krebs<br \/>\nsaid the move ultimately sought to increase Silvertip\u2019s long-term value.&nbsp;While<br \/>\nmining and processing activities are paused, he said Coeur planned to more than<br \/>\ndouble its investment in drilling to further expand the asset\u2019s high-grade<br \/>\ndeposit and extend its mine life.<\/p>\n<p>The Chicago, Illinois-based company<br \/>\nhas already begun working on a pre-feasibility study to evaluate a mill<br \/>\nexpansion, which could cost between $50-$75 million. The project, it says,<br \/>\nwould \u201csignificantly enhance Silvertip&#8217;s economics\u201d.<\/p>\n<p>Coeur does not anticipate<br \/>\nrestarting Silvertip until late in 2021, depending on the results from<br \/>\nexploration and new feasibility study, as well as prevailing market conditions.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The decision caused Coeur to book a $251 million impairment charge on the Canadian asset.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[949,369,4],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1167089"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1167089"}],"version-history":[{"count":6,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1167089\/revisions"}],"predecessor-version":[{"id":1167218,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1167089\/revisions\/1167218"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1167089"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1167089"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1167089"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}