Coeur Mining, Inc. · NYSE:CDE
Coeur Mining — Investor Presentation (November 2019)
90 slides from Coeur Mining's investor presentation, November 2019
Slide 1: Corporate Presentation
Corporate Presentation November 2019 NYSE: CDE NYSE: C DE 1 JC 2016
Slide 2: Cautionary Statements
Cautionary Statements This presentation contains forward‐looking statements within the meaning of securities legislation in the United States and Canada, including statements involving strategic priorities and company strategies, expectations regarding environmental, social and governance (“ESG”) in
Slide 3: Who We Are
Who We Are Based in the U.S., Coeur Mining (NYSE: CDE) is a significant producer of gold and silver, and has repositioned its portfolio with a focus on sustainable, high- quality growth and cash flow from a North American asset base Key Highlights 5 operating mines 3 top jurisdictions K ENSINGTON S
Slide 4: Corporate Strategy
Corporate Strategy Coeur’s strategy is to safely and responsibly discover, develop and operate a balanced portfolio of quality precious metals assets to maximize cash flow, returns and net asset value By Asset • Maintain a primary precious metals By Jurisdiction revenue mix and North American Balanc
Slide 5: Balanced, Safe & Unique Portfolio of Precious Metals Assets
Balanced, Safe & Unique Portfolio of Precious Metals Assets 2010 2018 2% 12% 15% Palmarejo Rochester 39% Kensington 45% Metal Sales by Asset 28% $516M 21% $626M Wharf (% of revenue) Silvertip San Bartolomé 5% Other1 10% 23% 15% U.S. Mexico 45% 2% Canada … by Geography Bolivia (% of revenue) 28% 59%
Slide 6: Repositioned Financial Profile Focused on Cash Flow
Repositioned Financial Profile Focused on Cash Flow Over the past several years, the Company has financially repositioned itself to focus on more sustainable debt balances and quality cash flow growth Total Debt Interest Expense G&A Expense ($ M) ($ M) ($ M) $478.4 ( 3 8 %) $46.2 ( 4 7 %) $40.8 ( 2
Slide 7: Strong Track Record of Achieving Production Guidance
Strong Track Record of Achieving Production Guidance Coeur has a strong track record of consistently meeting or beating its production guidance for both gold and silver Gold Production1 (k oz) 387 ✓ 392 ✓ ✓ 382 383 375 ✓ 355 368 347 358 367 338 362 363 355 313 328 333 320 309 238 ✓249 244 284 220 22
Slide 8: Coeur's Capital Allocation Framework
Coeur’s Capital Allocation Framework Mining is capital intensive and requires a disciplined approach to capital allocation with a view toward long-term reserve replacement and growth Reflects the Company’s values Safety / Environment / − Mitigates risk for stakeholders Sustainability Establish
Slide 9: Track Record of Asset Optimization
Track Record of Asset Optimization • Acquisition of Paramount in 2015 and renegotiation of FNV stream in 2014, which took effect in 2016 • Transition to 100% underground mining in 2016 Palmarejo • 100% and 63% increases in gold and silver grades since 20141 • 37% and 43% lower adj. CAS per AuOz and
Slide 10: Palmarejo: Long-Term Value Through High-Return Investment
Palmarejo: Long–Term Value Through High-Return Investment Coeur has made numerous strategic investments to reposition Palmarejo as a sustainable, higher-margin, longer-life operation Strategic Investments / Improvements Free Cash Flow1 ($M) $110.0 2015 Acquired adjacent, royalty-free land package In
Slide 11: Rochester: Upgraded Crushing Circuit Utilizing HPGR
Rochester: Upgraded Crushing Circuit Utilizing HPGR Initial recovery results from bottle roll and column tests on HPGR-crushed ore are encouraging and in-line with original expectations. Operational and financial results expected to improve in 4Q 2019, reflecting a full quarter integrating the new c
Slide 12: Rochester: HPGR Microfracturing & Operating Data
Rochester: HPGR Microfracturing & Operating Data Traditional Cone Crushing Rochester Expected Silver Recoveries 1 • Silver particles encapsulated by silica leads to 66% 68% 63% “traditional” Rochester recovery 61% 54% 47% Silver particles 38% 43% 36% encapsulated by quartz 31% 20% 18% 16% 10% 13% 30
Slide 13: Track Record of Opportunistic M&A and Divestitures
Track Record of Opportunistic M&A and Divestitures Company / Asset Type Rationale • Synergistic bolt-on of royalty-free land package adjacent to the Company’s Paramount Palmarejo mine 2015 Acquisition • Primarily stock deal timed to leverage historically-low market value of target Silver & Gold and
Slide 14: Wharf: A Case Study for Successful M&A
Wharf: A Case Study for Successful M&A Acquired in early 2015, Wharf has already generated a return on investment of approximately 27%1, driven by operational improvements, targeted investments in exploration, and several technical and modeling enhancements Free Cash Flow2 ($M) $0.3 $16.8 $2.5 $3.8
Slide 15: Silvertip: Commissioning Priorities to Achieve Stability
Silvertip: Commissioning Priorities to Achieve Stability 1 Coeur continues to focus on improving mill availability. The Company has also mobilized third-party resources and revamped its human resources strategy to achieve operational stability Key Areas of Focus Key Initiatives ✓ Prioritizing mainte
Slide 16: Northern Empire & Lincoln Hill: Expanding in Nevada
Northern Empire & Lincoln Hill: Expanding in Nevada In late 2018, Coeur completed two strategic acquisitions of Nevada-based gold and silver assets, further expanding its footprint in one of the world’s top mining jurisdictions Northern Empire Lincoln Hill & Other Acquired October 2018 November 2018
Slide 17: Commitment to Success-Based Exploration Program
Commitment to Success-Based Exploration Program Coeur has continued to prioritize investments into its success-based exploration program, largely focused on near-mine drilling with the goal of replacing production, extending mine lives and generating attractive returns Historical Exploration Investm
Slide 18: Continued Expansion of Reserve and Resource Base
Continued Expansion of Reserve and Resource Base Coeur has been successfully replacing production and adding a significant amount of reserves and resources, demonstrating the potential for further mine life extensions and organic growth opportunities Gold Reserves & Resources Silver Reserves & Resou
Slide 19: Palmarejo: Validates Near-Mine Exploration Philosophy
Palmarejo: Validates Near-Mine Exploration Philosophy Exploration at Palmarejo continues to target new, high-grade discoveries near existing infrastructure with encouraging results • Resource conversion and expansion at Guadalupe and Independencia Mine Complexes; up to seven drill rigs were active d
Slide 20: Kensington: High-Grade Transformation Underway
Kensington: High-Grade Transformation Underway Kensington’s technical report demonstrates the strong potential impact of a relatively small amount of high-grade mill feed on overall mine economics Highlights of Kensington Technical Report Continued Exploration Potential • 13% increase in expected av
Slide 21: Silvertip: Targeting Near-Mine Resource Growth
Silvertip: Targeting Near-Mine Resource Growth Coeur began resource expansion drilling at Silvertip in 2Q 2019, focusing on high-grade, near-mine targets. Initial results of the program have been positive and are highlighted below Selected Commentary • 2018 drilling at Silvertip focused mainly on in
Slide 22: Expanding Pipeline of Potential High-Return Organic Growth
Expanding Pipeline of Potential High-Return Organic Growth Over the past several years, the Company has further bolstered its pipeline of high-return growth opportunities in attractive jurisdictions Near-term focus on stabilizing & optimizing Silvertip All known deposits remain open Significant dist
Slide 23: Balance Sheet Summary
Balance Sheet Summary Liquidity Profile $M Jun. 30, 2019 Sep. 30, 2019 ($M) 5.875% senior notes due 2024 $246.2 $226.7 +34% $315.3 Revolving credit facility 53.0 0.0 Capital lease obligations 70.7 72.0 $234.9 TOTAL DEBT $370.0 $298.7 $250.0 Cash and cash equivalents $37.9 $65.3 Available revolver ba
Slide 24: Hedging Strategy: Implementing Downside Protection
Hedging Strategy: Implementing Downside Protection During 3Q 2019, Coeur implemented a series of zero-cost collar hedges on a portion of its gold production in 2019 and 2020, allowing for downside protection and participation in potential upside. The strategy was designed to support free cash flow1
Slide 25: Looking Ahead
Looking Ahead Top Near-Term Priorities ✓ Generate higher silver recoveries and lower unit costs at Rochester • ✓ Further optimize availability and begin rationalizing costs at Silvertip • ✓ Continue generating Companywide positive free cash flow 1 • Other Key Value Drivers ✓ La Nación and new thicke
Slide 26: 2019 Guidance
2019 Guidance 1 Production Outlook Gold (oz) Silver (K oz) Zinc (K lbs) Lead (K lbs) Palmarejo 95,000 – 105,000 6,500 – 7,200 - - Rochester 40,000 – 50,000 4,200 – 5,000 - - Kensington 117,000 – 130,000 - - - Wharf 82,000 – 87,000 - - - Silvertip - 1,500 – 2,500 25,000 – 40,000 20,000 – 35,000 C ons
Slide 27: CapEx Summary
CapEx Summary Capital Expenditures by Mine Capital Expenditures Composition (% companywide total) (% companywide total) 21% 20% 32% 38% 39% 40% 2018 7% 4% 2019E1 2018 2019E1 $141M $100M-$120M $141M $100M-$120M 60% 20% 68% 32% 17% 2% Palmarejo Rochester Kensington Wharf Silvertip Developing Sustainin
Slide 28: ESG Highlights
ESG Highlights NYSE: C DE 28 JC 2016
Slide 29: What Matters to Coeur
What Matters to Coeur Environmental • Training and Development • Climate Change • Health, Safety & Security • Green House Gas Emissions Society • Water Stewardship • Investment in Local Communities • Waste Minimization • Indigenous Rights • Biodiversity • Human Rights • Tailings Management Governanc
Slide 30: Proactive Approach to Tailings Dam Management
Proactive Approach to Tailings Dam Management Highlighted below are the proactive elements of Coeur’s tailings dam facilities that set the Company’s leading environment, health and safety standards apart from other industry participants The most stable construction methods Downstream construction in
Slide 31: Overview of Coeur's Tailings Dam Facilities
Overview of Coeur’s Tailings Dam Facilities Palmarejo Kensington Year Constructed 2010 2010 Status Operational Operational Downstream zoned rockfill dam, Downstream constructed Geosynthetic-Faced Construction Type/Design upstream face lined with HDPE 1, Rockfill Dam, constructed into bedrock constru
Slide 32: Operational Risk Reduction of Coeur's Tailings Dams
Operational Risk Reduction of Coeur’s Tailings Dams Coeur’s health and safety practices are focused on maintaining low risk tailings dam facilities across its operations • Downstream construction method – most stable and progressively builds away from tailings, towards downstream Construction • Kens
Slide 33: Bolstering Human Rights Efforts
Bolstering Human Rights Efforts Coeur places immense value on the dignity, well-being and human rights of our employees, the communities in which we operate as well as any other stakeholders impacted by our operations 4Q 2018 1Q 2019 3Q 2019 4Q 2019 •Developed, •Signed CEO •Developed •Aim to impleme
Slide 34: Demonstrating Community Commitment – Palmarejo
Demonstrating Community Commitment – Palmarejo Biodiversity & Investment in Local Communities 11 Years receiving the 19,000 Palmarejo operates three large CEMEFI1 Corporate Social Local plants donated to communities in 2018 greenhouses, growing local plants. In Responsibility Award August, Palmarejo
Slide 35: Demonstrating Community Commitment – Rochester
Demonstrating Community Commitment – Rochester Contributing to Nevada History Rochester provided 1,500 ounces of Nevada silver for the 150th anniversary of the Nevada Mint. 3,000 replicas of the original 1870 coin will be minted1 Rochester representatives attended the kick-off celebration and pushed
Slide 36: Demonstrating Community Commitment – Kensington
Demonstrating Community Commitment – Kensington 32+ Years in the Community 860+ Jobs supported in the state of Alaska Helping with Housing ~2/3 Kensington recently donated five sleeper Of employees are Alaskan; 41% from Juneau, 24% from other 2nd Largest private employer and trailers to Tlingit & Ha
Slide 37: Demonstrating Community Commitment – Wharf
Demonstrating Community Commitment – Wharf Fourth Annual Community Open House & Picnic On August 24, Wharf hosted over 200 community and family members on site to learn more about the operation. Open house activities included photo opportunities with equipment and to dress as a miner as well as a vi
Slide 38: Demonstrating Community Commitment – Silvertip
Demonstrating Community Commitment – Silvertip Building Silvertip’s Brand & Recruitment of First Nations 19 First Nations-partnered 4+ Silvertip is actively partnering with local job businesses worked with Meetings with Kaska Advisory Committees boards, job service agencies and businesses Coeur in 2
Slide 39: Industry-Leading Safety Performance
Industry-Leading Safety Performance In 2017, Coeur achieved the National Mining Association CORESafety certification Coeur’s injury frequency rate remains significantly below industry averages Lost-Time Injury Frequency Rate Total Reportable Injury Frequency Rate Industry average1 Industry average1
Slide 40: 2019 International EHS Innovation Award Winner
2019 International EHS Innovation Award Winner Coeur is committed to being an industry leader in environmental, health and safety innovation, exemplified through the Company’s utilization of technology to protect its people, places and planet Technology Implementation at Coeur Global EHS • Real time
Slide 41: Demonstrating Our Commitment
Demonstrating Our Commitment Best-in-Class Governance Practices Board Refreshment and • Three new independent directors added to the Board since early 2018 and six Succession Planning directors – more than 50% of the Board – added in last six years • Active Board succession planning and refreshment
Slide 42: Significantly Improved Corporate Governance Profile
Significantly Improved Corporate Governance Profile Corporate Governance Enhancements Since 2010 2010 2019 Independent Board Chairman Entire Board of Directors is independent other than CEO Gender diversity on the Board Majority voting standard for uncontested Director elections Prox
Slide 43: 2018 CEO Compensation Tied to Stockholder Returns
2018 CEO Compensation Tied to Stockholder Returns Base Salary 19% Performance Shares 34% 57% of compensation linked to stock AIP performance 24% Restricted (Based 100% on Stock Company Performance) 23% NYSE: C DE 43 JC 2016
Slide 44: 2019 Incentive Plan
2019 Incentive Plan Aligned with Strategic Objectives & Purpose Statement PROTECT TRIFR % reduction AIP1 15% % reduction in significant spills DEVELOP Three-Year Growth in Reserves and PSUs2,3 50% Resources from Continuing Operations Costs Applicable to Sales AIP 60% Adjusted EBITDA DELIVER Three-Ye
Slide 45: Diverse Board Led by Independent Chair
Diverse Board Led by Independent Chair • Ten out of the eleven Directors are independent (all except CEO); all four main committees comprised of independent directors only • One new director elected in March 2019 and two new directors elected in February 2018 having skills and experiences that compl
Slide 46: Appendix
Appendix NYSE: C DE 46 JC 2016
Slide 47: Palmarejo
Palmarejo Ownership 100% Claims 112,520 net acres Type Underground Crushing, grinding, flotation, CIL, Processing Merrill-Crowe precipitation, refining Metals Silver and gold doré Mine life ~8 years Palmarejo C hihuahua, N orthern M exico Share of Companywide 2019E1 Production 2014 & 2018 Reserves &
Slide 48: Palmarejo (cont.)
Palmarejo (cont.) Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) $741 Operating cash flow $36.3 $713 Capital expenditures $660 $615 $624 $9.66 $9.17 $8.95 $8.39 $7.92 1,893 31 32 28 1,735 28 1,720 $15.6 1,544 23 $13.3 1,278 $8.6 $8.7 $7.6 $7.8 $5.9 $5.9 $4.7 3Q 201
Slide 49: Rochester
Rochester Ownership 100% Claims 16,494 net acres Type Open pit and heap leach Crushing, dump heap leaching, Processing Merrill-Crowe precipitation, refining Metals Silver and gold doré Rochester Mine life ~19 years N evada, U.S. Share of Companywide 2019E1 Production 2014 & 2018 Reserves & Resources
Slide 50: Rochester (cont.)
Rochester (cont.) Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) $1,230 $1,153 Operating cash flow $1,092 Capital expenditures $929 $917 $14.24 $17.9 $12.83 $13.19 $11.35 $10.79 1,466 $10.2 1,290 $8.3 16 960 971 982 15 $5.7 $4.6 $3.6 9 $3.0 $2.8 8 8 $1.6 ($1.0) 3Q
Slide 51: What is HPGR?
What is HPGR? High-pressure grinding rolls (“HPGR”) are relatively new to precious metals operations, although the technology has been proven in processing other materials • HPGRs have been used in the aggregates sector for decades, though early challenges associated with surface wear of the rollers
Slide 52: Summary of Rochester PEA
Summary of Rochester PEA 1 PEA Highlights 2017 TR 2018 PEA • ✓ Re-scoped mine plan and PEA incorporate the Proven and probable reserves Mineralized material tons K tons 244,804 anticipated economic benefit from: Mineralized material gold grade oz/t 0.003 Mineralized material silver grade oz/t 0.46 –
Slide 53: Notes to Rochester's Re-Scoped Mine Plan and PEA
Notes to Rochester’s Re-Scoped Mine Plan and PEA (a) 2018 PEA is effective December 31, 2017 and filed March 5, 2018, and the 2017 Technical Report is effective December 31, 2016. (b) Assumed metals prices for estimated Mineral Resources included in the 2018 Technical Report were $20.00 per ounce of
Slide 54: Kensington
Kensington Ownership 100% Claims 12,336 net acres Type Underground Processing Crushing, grinding, flotation Kensington processing Alask a, U.S. Metals Gold concentrate Mine life ~4 years Share of Companywide 2019E1 Production 2014 & 2018 Reserves & Resources 2 P&P Reserves M&I Resources Inferred Res
Slide 55: Kensington (cont.)
Kensington (cont.) Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) $1,091 Operating cash flow $19.2 $990 Capital expenditures $16.4 $843 $842 $822 $12.0 35 34 34 $10.6 $9.4 30 27 $7.9 $6.2 $4.9 $4.9 ($0.4) 3 3 3Q 2018 4Q 2018 1Q 2019 2Q 2019 3Q 2019 3Q 2018 4Q 2018
Slide 56: Wharf
Wharf Ownership 100% Claims 7,852 net acres Type Open pit and heap leach Crushing, “on-off” heap leaching, Processing spent ore neutralization, carbon absorption/desorption Wharf South Dak ota, U.S. Metals Electrolytic cathodic sludge Mine life ~8 years Share of Companywide 2019E1 Production 2015 &
Slide 57: Wharf (cont.)
Wharf (cont.) Production and Cost Performance Operating Cash Flow and Capital Expenditures ($M) $1,002 Operating cash flow $17.6 $939 $949 Capital expenditures $895 $887 26 19 17 17 16 $4.2 $3.7 $1.2 $0.8 $0.7 $0.4 $0.5 $0.2 ($1.9) 3Q 2018 4Q 2018 1Q 2019 2Q 2019 3Q 2019 3Q 2018 4Q 2018 1Q 2019 2Q 2
Slide 58: Silvertip
Silvertip Ownership 100% Claims 90,156 net acres Type Underground Silvertip British C olum bia, C anada Crushing, grinding, flotation Processing processing, concentrate thickening Metals Lead concentrate, zinc concentrate Mine life ~5 years Share of Companywide 2019E1 Production 2018 Reserves & Reso
Slide 59: Silvertip: Expansion Drilling Intercepts (2019)
Silvertip: Expansion Drilling Intercepts (2019) Silvertip Expansion Drilling Intercepts Mineralized Intercept (feet) Assay Results Hole ID From To Length Est. Thick Silver (oz/ton) Zinc (%) Lead (%) DSC19-Pad1-003 722.8 743.7 20.9 14.8 15.52 16.5 10.6 DSC19-Pad1-003 848.4 852.6 4.1 3.6 2.88 21.4 3.0
Slide 60: Non-GAAP Reconciliations
Non-GAAP Reconciliations NYSE: C DE 60 JC 2016
Slide 61: Non-GAAP to U.S. GAAP Reconciliation for Guidance
Non-GAAP to U.S. GAAP Reconciliation for Guidance Unaudited Costs Applicable to Sales Guidance for 2019 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $196,310 $131,918 $154,285 $90,299 $156,4
Slide 62: Non-GAAP to U.S. GAAP Reconciliation
Non-GAAP to U.S. GAAP Reconciliation Costs Applicable to Sales Unaudited 3 months ended September 30, 2019 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $53,237 $31,999 $43,085 $25,385 $32,45
Slide 63: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended June 30, 2019 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $50,708 $28,656 $41,670 $17,691 $36
Slide 64: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended March 31, 2019 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $47,772 $26,491 $43,902 $20,073 $3
Slide 65: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2018 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $180,832 $126,586 $141,872 $78,273
Slide 66: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended December 31, 2018 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $42,119 $35,364 $30,703 $16,839
Slide 67: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited 3 months ended September 30, 2018 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Silvertip Total Costs applicable to sales, including amortization (U.S. GAAP) $46,349 $32,842 $35,153 $20,85
Slide 68: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2017 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Endeavor Total Costs applicable to sales, including amortization (U.S. GAAP) $219,920 $130,226 $152,118 $82,334 $
Slide 69: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2016 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Endeavor Total Costs applicable to sales, including amortization (U.S. GAAP) $117,418 $111,564 $131,517 $87,001 $
Slide 70: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2015 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Wharf Endeavor Total Costs applicable to sales, including amortization (U.S. GAAP) $170,899 $127,900 $147,880 $68,575 $
Slide 71: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2014 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Endeavor Total Costs applicable to sales, including amortization (U.S. GAAP) $256,706 $112,252 $148,961 $8,513 $526,433
Slide 72: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Costs Applicable to Sales Unaudited Year ended December 31, 2012 ($ thousands, except per ounce amounts) Palmarejo Rochester Kensington Endeavor Martha Total Costs applicable to sales, including amortization (U.S. GAAP) $344,073 $82,322 $128,734 $13,415 $
Slide 73: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Unaudited Adjusted EBITDA ($ thousands) 3Q 2019 2Q 2019 1Q 2019 2018 4Q 2018 3Q 2018 2017 2016 2015 Net income (loss) ($14,277) ($36,764) ($19,201) ($48,405) $468 ($53,044) ($1,319) $55,352 ($367,183) Income (loss) from discont. ops., net of tax - - (5,69
Slide 74: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Unaudited Free Cash Flow ($ thousands) 3Q 2019 2Q 2019 1Q 2019 2018 4Q 2018 3Q 2018 2017 2016 2015 Cash flow from operating activities $41,996 $26,435 $(15,846) $20,108 $72 $5,789 $197,160 $96,461 $87,412 Capital expenditures (30,678) (20,749) (27,438) (1
Slide 75: Non-GAAP to U.S. GAAP Reconciliation (cont.)
Non-GAAP to U.S. GAAP Reconciliation (cont.) Unaudited Leverage Ratios LTM Adjusted EBITDA Consolidated Debt ($ thousands) 2Q 2019 3Q 2019 ($ thousands) 2Q 2019 3Q 2019 Net income (loss) ($108,541) ($69,774) Cash and cash equivalents $37,907 $65,319 (Income) loss from discontinued operations, net of
Slide 76: Reserves and Resources
Reserves and Resources 2018 Proven and Probable Mineral Reserves Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) P ROVEN RESERVES Palmarejo Mexico 1,283,000 0.084 4.97 108,000 6,376,000 Rochester Nevada, USA 228,413,000 0.00
Slide 77: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2018 Measured and Indicated Mineral Resources (excluding Reserves) Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) M E ASURED RESOURCES Palmarejo Mexico 604,000 0.086 4.77 52,000 2,880,000 Roch
Slide 78: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2018 Inferred Mineral Resources Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) INFERRED RESOURCES Palmarejo Mexico 5,875,000 0.065 4.36 384,000 25,609,000 Rochester Nevada, USA 235,062,000 0.0
Slide 79: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2017 Proven and Probable Mineral Reserves Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) P ROVEN RESERVES Palmarejo Mexico 1,571,000 0.073 3.81 115,000 5,978,000 Rochester Nevada, USA 195,724,
Slide 80: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2017 Measured and Indicated Mineral Resources (excluding Reserves) Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) M E ASURED RESOURCES Palmarejo Mexico 629,000 0.051 3.07 32,000 1,928,000 Roch
Slide 81: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2017 Inferred Mineral Resources Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) INFERRED RESOURCES Palmarejo Mexico 7,336,000 0.050 4.23 369,000 31,061,000 Rochester Nevada, USA 131,570,000 0.0
Slide 82: Reserves and Resources (cont.)
Reserves and Resources (cont.) Wharf’s 2015 Mineral Reserves and Resources Grade Contained Short tons Gold (oz/t) Silver (oz/t) Gold (oz) Silver (oz) P ROVEN AND PROBABLE RESERVES Proven Reserves 11,791,000 0.032 - 374,000 - Probable Reserves 14,984,000 0.023 - 338,000 - Tot al Proven and Probable R
Slide 83: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2014 Proven and Probable Mineral Reserves Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) P ROVEN RESERVES Palmarejo Mexico 1,089,000 0.043 3.37 46,000 3,670,000 Rochester Nevada, USA 89,077,00
Slide 84: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2014 Measured and Indicated Mineral Resources (excluding Reserves) Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) M E ASURED RESOURCES Palmarejo Mexico 417,000 0.062 4.48 - - 26,000 1,870,000
Slide 85: Reserves and Resources (cont.)
Reserves and Resources (cont.) 2014 Inferred Mineral Resources Grade Contained Location Short tons Gold (oz/t) Silver (oz/t) Zinc (%) Lead (%) Gold (oz) Silver (oz) Zinc (lbs) Lead (lbs) INFERRED RESOURCES Palmarejo Mexico 2,065,000 0.116 4.98 - - 240,000 10,286,000 - - Rochester Nevada, USA 96,039,
Slide 86: Reserves and Resources (cont.)
Reserves and Resources (cont.) Wharf’s 2013 Mineral Reserves and Resources Grade (oz/ton) Ounces (contained) Short tons Gold Silver Gold Silver P ROVEN AND PROBABLE RESERVES Proven Reserves 15,179,000 0.022 0.078 340,000 1,190,000 Probable Reserves 8,245,000 0.026 0.108 220,000 890,000 Tot al Proven
Slide 87: Executive Leadership
Executive Leadership Mitchell J. Krebs – President and Chief Executive Officer. During his twenty-year tenure with Coeur, Mr. Krebs has led nearly $2 billion in capital raising and debt restructuring activities and has facilitated over $2 billion of acquisitions and divestitures. Mr. Krebs was previ
Slide 88: Board of Directors
Board of Directors Robert E. Mellor – Former Chairman, Chief Executive Officer, and President of Building Materials Holding Corporation (distribution, manufacturing, and sales of building materials and component products) from 1997 to January 2010, director from 1991 to January 2010; member of the b
Slide 89: Board of Directors (cont.)
Board of Directors (cont.) Jessica L. McDonald – Chair (former Interim CEO) of Canada Post Corporation, Chair of Trevali Mining Corporation and member of Board of Directors of Hydro One Limited. Ms. McDonald is also a Mentor at the Trudeau Foundation, was a visiting fellow at the Steyer-Taylor Cente
Slide 90: Contact Information
Contact Information Corporate Office Coeur Mining, Inc. 104 S. Michigan Ave., Suite 900 Chicago, IL 60603 Main Telephone +1 (312) 489-5800 Stock Ticker CDE: NYSE Website www.coeur.com Contact P aul D eP artout Director, Investor Relations investors@coeur.c om NYSE: C DE 90 JC 2016