Production guidance lowered
Coeur Mining (CDE) achieved silver equivalent ounces of 9.5 million for 3Q17. That is comprised of silver production of 4 million ounces and 93,293 ounces of gold. Coeur’s 3Q17 production reflects a 7% rise quarter-over-quarter and 10% year-over-year.
The company revised its production guidance for 2017 lower to reflect the persistent drought conditions at San Bartolomé.
The sequential increase in Coeur’s production was driven by the following:
- Palmarejo: Production increased 25% to 3.6 million ounces, driven by higher average mining rates. The average silver grade was also 11% higher sequentially due to mining of higher grade stopes in the Independencia deposit. The full-year production at Palmarejo remains unchanged at 6.5 million–7 million ounces of silver and 111,000–120,000 ounces of gold.
- Wharf: Gold production at Wharf increased 21% sequentially to 25,849 ounces. The increase was driven by the higher-grade Golden Reward deposit. The mining of this deposit is now complete. The tons placed at Wharf increased 16% during the quarter.
Production at Coeur’s Rochester mine in Nevada was almost flat quarter-over-quarter. The company maintained its guidance at 4.2 million–4.7 million silver ounces and 47,000–52,000 gold ounces.
At Kensington Alaska, gold production increased 4% sequentially. The company, however, kept its guidance for the site unchanged at 120,000–125,000 ounces of gold.