June 25 Precious metals producer Coeur d'Alene
Mines Corp said it would evaluate strategic options for
a silver and gold mine in Argentina due to high operating costs,
and will recognize a charge in the second quarter.
The charge "may result in future cash expenditures and may
be significant to the company's quarterly and annual results,"
Coeur d'Alene said in a regulatory filing.
The Martha mine in Argentina's Santa Cruz province, which
began operations in June 2002, produced 1.6 million ounces of
silver or about 10 percent of the company's total silver output,
and 1 percent of its total gold production in 2010.
The mine has a short remaining expected life, Coeur d'Alene
Coeur d'Alene said it will cut operating costs and process
more above-ground stockpile material during the remainder of the
year to maximize cash flows from the mine.
The mine's cash operating costs for gold soared to $13.16
per ounce in 2010 from $6.19 per ounce a year earlier. Total
cash costs for silver were $14.14 in 2010, compared with $6.68
The company, whose shares also trade on the Toronto Stock
Exchange, operates mines in Nevada and Alaska in the United
States, Mexico and Bolivia.
Shares of the company closed at $17.51 on Friday on the New
York Stock Exchange.