Coeur Mining, Inc. · NYSE:CDE

Coeur Mining — Silver Summit 2014

53 slides from Coeur Mining's conference presentation, Oct 23, 2014

  1. Slide 1: The Search for High Grade

    The Search for High Grade Hans Rasmussen, Vice President, Exploration Silver Summit 2014, Spokane, Washington October 23, 2014 at 9:00 a.m. local time

  2. 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 regarding anticipated production, costs, expenses, capital and exploration expenditures, amortization, and exploration and de

  3. Slide 3: Who We Are

    Who We Are Palmarejo, Mexico Rochester, Nevada, USA San Bartolomé, Bolivia Kensington, Alaska, USA  One of world’s largest silver mining companies with diversified portfolio of four mines in three countries  Approximately half of sales derived from gold production  Provides superior leverage to b

  4. Slide 4: Leading Producer of Silver and Gold

    Leading Producer of Silver and Gold 2013 Silver Equivalent Production by Mine (millions of ounces) Revenue by Metal 0.7 22% 36% 34% 40% 48% 6.9 Palmarejo Rochester 78% 14.6 64% 66% Gold San Bartolomé 60% 52% Silver 5.9 Kensington Endeavor 4.7 2009 2010 2011 2012 2013 Silver Production Gold Productio

  5. Slide 5: Portfolio Includes 2 of the Top 15 Largest Primary Silver Mines

    Portfolio Includes 2 of the Top 15 Largest Primary Silver Mines Kensington Mine, Alaska Silver Ounces Gold Ounces 2013: 114,821 oz Au Total1 (000s) (000s) 2014E: 107,000 ‐ 112,000 oz Au Proven & Probable Reserves 381,839 2,361 Measured & Indicated Resources 309,176 2,326 Inferred Resources 69,318 1,

  6. Slide 6: 2013 Exploration Expenditures of $34 Million

    2013 Exploration Expenditures of $34 Million 2014 Exploration Guidance: $23 ‐ 28 million Operation Operation Feasibility Development stage project Project Kensington Mine, Alaska: $7.1M Drilled: 149,651 feet (45,614 meters) Highlights: Main, Jualin Vein #4 San Bartolomé Mine, Bolivia: $0.17M Rochest

  7. Slide 7: Strategic Plan – Current Pipeline

    Strategic Plan – Current Pipeline Production Feasibility/ Late‐Stage Development Early‐Stage Exploration  Palmarejo Exploration  Guadalupe  Rochester  Kensington  Jualin  Kensington  Storm (NV)  Guadalupe  La Preciosa  San Bartolomé  Wonder (NV)  Rochester  Rochester  Orex (MX)  Klond

  8. Slide 8: Participation in Ownership of Junior Companies

    Participation in Ownership of Junior Companies Commonwealth Silver and Gold Arizona, USA Huldra Silver British Columbia, Canada Silver Bull Resources Idaho North Resources Mexico Nevada, USA International Northair Mines Soltoro Mexico Mexico Orex Minerals Mexico Apogee Silver Bolivia Caracara Silver

  9. Slide 9: Palmarejo Exploration Program

    Palmarejo Exploration Program Palmarejo Further Delineation and Infill Drill Mine Program Zone 220  Priorities: 1. Guadalupe underground Espinazo 2. Independencia underground Del Diablo Cerro de los Hilos Resource Discovery Drill Program Portal  Priorities: Zone 1. Veta Independencia 2. Guadalupe

  10. Slide 10: Rochester Target Areas 2014 - 2015

    Rochester Target Areas 2014 ‐ 2015 Limerick NW Rochester East Pit Sunflower NYSE: CDE 10

  11. Slide 11: La Preciosa: Exploration Represents Further Optimization Potential

    La Preciosa: Exploration Represents Further Optimization Potential Initiatives Underway  Sample remaining drilled ore to determine if a heap leach resource is present ‐ Metallurgical testwork needed to determine if recoverable ‐ Could improve strip ratio  Deeper drilling to look for higher‐grade m

  12. Slide 12: Kensington Exploration

    Kensington Exploration Lion’s Head Mountain Kensington Mine/Mill/Camp Kensington Mine Lower Slate Lake Jualin Mine Slate Creek Cove Marine Facility NYSE: CDE 12

  13. Slide 13: Kensington: Structure and Geology are Key!

    Kensington: Structure and Geology are Key! NYSE: CDE Source: PANTERRA GEOSERVICES INC. 13

  14. Slide 14: Kensington Looking Northeast – Zones 10/20

    Kensington Looking Northeast – Zones 10/20 Interval Gold Hole (Feet) (opt) KX13‐069 2.5 4.030 Zone 30 KX13‐071 16.8 0.969 Including 2.5 3.066 KX13‐084 13.3 1.012 2050 L Including 3.7 1.807 KX13‐085 10.6 1.393 Including 3.0 2.739 Zone 41 Zone 20 K14‐X02 1.7 2.850 K14‐X04 4.9 0.809 K14‐X04 4.6 1.385 K

  15. Slide 15: Kensington Long Section - Looking Northwest

    Kensington Long Section ‐ Looking Northwest NYSE: CDE 15

  16. Slide 16: Jualin Vein 4: Targeting Resource Estimate by Year-End 2014

    Jualin Vein 4: Targeting Resource Estimate by Year‐End 2014 Plan View Portal Kensington Mine Phase 2c Vein 4 (potential) Phase 2b Jualin Mine Open Phase 2a Open Vein 4 (model) Open  Drilling is from easily accessible patented ground  Potential to add quickly to mine reserves  Coeur believes the a

  17. Slide 17: Jualin Vein 4 and 5: Sub-Surface Section View Looking North

    Jualin Vein 4 and 5: Sub‐Surface Section View Looking North Portal Phase 2a Phase 2b Phase 2c Vein 4 Vein 5 (potential) NYSE: CDE 17

  18. Slide 18: Jualin Vein 4, Section Through Pad 2

    Jualin Vein 4, Section Through Pad 2 Interval Gold Hole (Feet) (opt) DDH‐58 No significant results JU13‐002 5.3 0.33 JU13‐011 12.2 0.616 JU13‐020 8.2 1.611 DDH‐59 34.5 0.823 JU14‐X015 14.6 5.540 Including 3.0 16.650 Including 3.6 7.550 JU14‐X016 18.5 0.396 Including 2.0 0.727 Au (opt)/Interval (feet

  19. Slide 19: Video: Category 2 Drilling Planned for 2015

    Video: Category 2 Drilling Planned for 2015 NYSE: CDE 19

  20. Slide 20: Grade is King: Kensington Example

    Grade is King: Kensington Example Compared to recent quarters, costs in 4Q 2013 were ~33% lower, attributable to ~50% higher gold grades 3Q 2014 2Q 2014 1Q 2014 4Q 2013 Tons milled 145,097 163,749 159,697 149,246 Average gold grade (oz/t) 0.23 0.18 0.17 0.26 Gold ounces produced 30,773 28,089 25,428

  21. Slide 21: Near-Term Items to Watch

    Near‐Term Items to Watch…… Resource estimate for Jualin and new mine plan at Kensington early 2015 Continued ramp up of production at Rochester and progress of POA 10 expansion plans Production start and ramp up at Guadalupe and the transition to an underground‐only operation Further cost reductions

  22. Slide 22: Appendix

    Appendix

  23. Slide 23: 2014 Guidance

    2014 Guidance Silver Production Gold Production 7,603 6,850 Ounces in thousands 5,941 5,850 114,821 109,500 116,536 4,250 87,000 Ounces 2,799 40,000 30,860 669 550 Palmarejo San Bartolomé Rochester Endeavor Kensington Palmarejo Rochester 2013 Actual 2014 Guidance Midpoint 2013 Actual 2014 Guidance M

  24. Slide 24: Well-Capitalized with Financial Flexibility and Low Net Debt

    Well‐Capitalized with Financial Flexibility and Low Net Debt Liquidity $269.1 $47.6 Balance Sheet Strategy Net Debt = $163.3  Flexibility and simplicity  3x maximum total debt leverage Debt $468.6 $11.6  Avoid maintenance covenants/secured financings to the extent possible $0 $100 $200 $300 $400

  25. Slide 25: G&A Expenses Trending Down

    G&A Expenses Trending Down G&A as % of Sales: Last 6 Quarters General & Administrative Expenses $60 13.6% $50 11.1% 9.3% $40 $ in millions 7.4% 7.3% $30 5.4% $20 2.3% $10 $0 SSRI HOC FR HL CDE SLW PAA 2011 2012 2013 2014E ▪ Investments in administrative infrastructure have increased G&A compared to

  26. Slide 26: Capital Expenditures Significantly Reduced

    Capital Expenditures Significantly Reduced Past and Projected Capital Expenditures 2014E Capital Expenditures Plans $400 10% $320 4% $240 54% $ in millions $160 31% $80 Guadalupe development $0 Capitalized drilling Equipment Other (sustaining/infrastructure related) ▪ No major capital projects in pr

  27. Slide 27: Cash Flow Protection Strategy

    Cash Flow Protection Strategy  Coeur maintains a targeted cash flow protection program with the following objectives:  Maintain simplicity  Protect downside metal price exposure while retaining the upside potential  Purchase put options to protect some of expected production against a sharp drop

  28. Slide 28: Palmarejo: Transitioning to Lower Tonnage, Higher-Grade, Higher-Margin Operation

    Palmarejo: Transitioning to Lower Tonnage, Higher‐Grade, Higher‐Margin Operation $15.55 $14.97 $13.73 $13.39 $13.66 $13.36 $12.88 $12.89 $14.04 $11.51 $10.90 $10.36 2.7 2.5 2.4 2.3 2.0 1.9 2.0 1.8 1.8 1.8 1.6 1.6 35,486 1.5 ounces 34,108 29,815 31,081 31,258 29,893 23,702 28,191 22,965 25,216 23,706

  29. Slide 29: Rochester: Increased Silver and Gold Production Drives Highest Cash Flow

    Rochester: Increased Silver and Gold Production Drives Highest Cash Flow in More than a Year $16.55 $15.74 $16.63 $15.74 $14.95 $15.79 $22.97 $12.73 $16.38 $15.15 $15.83 $12.67 $11.53 1858 12,055 11,702 10,120 10,599 9,404 9,230 ounces 8,742 8,192 1,112 7,890 819 828 844 750 713 712 5,292 648 595 4,

  30. Slide 30: Kensington: Improved Consistency of Production, Cash Flow, and Costs

    Kensington: Improved Consistency of Production, Cash Flow, and Costs $2,622 $1,005 $1,008 $1,482 $1,227 $677 $1,147 $1,013 $877 $1,120 $900 $894 36,469 30,773 28,717 28,323 28,089 25,687 24,391 25,206 25,428 21,572 22,583 13,299 7,444 3Q'11 4Q'11 1Q'12 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14

  31. Slide 31: San Bartolomé: Expect Continued Stable Production and Costs in 2014

    San Bartolomé: Expect Continued Stable Production and Costs in 2014 $14.14 $15.26 $13.06 $13.41 $13.25 $13.91 $13.93 $13.85 $11.34 $12.43 $10.65 $10.66 2.1 2.0 1.6 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.3 1.4 1.4 ounces 3Q'11 4Q'11 1Q'12 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 Silver prod

  32. Slide 32: Non-GAAP to U.S. GAAP Reconciliation

    Non‐GAAP to U.S. GAAP Reconciliation (unaudited) Adjusted EBITDA LTM LTM LTM LTM Adjusted EBITDA Reconciliation ($ in thousands) 6/30/14 3/31/14 12/31/13 9/30/13 Net income (loss) ($708,105) ($700,024) ($650,563) ($31,485) Interest expense, net of capitalized interest 46,006 44,625 41,303 34,915 Int

  33. Slide 33: Non-GAAP to U.S. GAAP Reconciliation

    Non‐GAAP to U.S. GAAP Reconciliation (unaudited) Costs Applicable to Sales Silver Gold (dollars in thousands except per ounce costs) San Total three months ended June 30, 2014 Palmarejo Rochester Endeavor Total Kensington Bartolomé Costs applicable to sales, including amortization (U.S. GAAP) $67,59

  34. Slide 34: Non-GAAP to U.S. GAAP Reconciliation

    Non‐GAAP to U.S. GAAP Reconciliation (unaudited) Costs Applicable to Sales Silver Gold (dollars in thousands except per ounce costs) San Total Three months ended December 31, 2013 Palmarejo Rochester Endeavor Total Kensington Bartolomé Costs applicable to sales, including amortization (U.S. GAAP) $7

  35. Slide 35: Non-GAAP to U.S. GAAP Reconciliation

    Non‐GAAP to U.S. GAAP Reconciliation (unaudited) Costs Applicable to Sales Silver Gold (dollars in thousands except per ounce costs) San Total Three months ended June 30, 2013 Palmarejo Rochester Endeavor Total Kensington Bartolomé Costs applicable to sales, including amortization $90,602 $37,639 $2

  36. Slide 36: Non-GAAP to U.S. GAAP Reconciliation

    Non‐GAAP to U.S. GAAP Reconciliation (unaudited) Costs Applicable to Sales Silver Gold (dollars in thousands except per ounce costs) San Total Three months ended December 31, 2012 Palmarejo Rochester Endeavor Total Kensington Bartolomé Costs applicable to sales, including amortization $72,307 $19,24

  37. Slide 37: Non-GAAP to U.S. GAAP Reconciliation

    Non‐GAAP to U.S. GAAP Reconciliation (unaudited) All‐In Sustaining Costs in thousands except per ounce costs 2Q 2014 1Q 2014 FY 2013 4Q 2013 3Q 2013 2Q 2013 1Q 2013 FY 2012 Costs applicable to sales, including $159,036 $146,125 $691,680 $163,701 $191,568 $198,966 $137,445 $669,949 amortization (U.S.

  38. Slide 38: Kensington – Significant 2014 Assays (Cat 2)

    Kensington – Significant 2014 Assays (Cat 2) KENSINGTON, ALASKA, USA Category 2 Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Jualin JU13‐009 956.0 961.8 5.8 3.6 0.105 0.6 JU13‐011 159.0 162.0 3.0 2.3 0.198 0.594 272.0 277.0 5.0 3.8 0

  39. Slide 39: Kensington – Significant 2014 Assays (Cat 2) continued

    Kensington – Significant 2014 Assays (Cat 2) continued Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Jualin JU14‐X001 1454.0 1457.0 3.0 2.5 1.180 3.54 JU14‐X002 1323.0 1331.0 8.0 7.3 0.259 2.07 JU14‐X003 1051.1 1055.0 3.9 3.4 0.257 1.

  40. Slide 40: Kensington – Significant 2014 Assays (Cat 2) continued

    Kensington – Significant 2014 Assays (Cat 2) continued NYSE: CDE 40

  41. Slide 41: Kensington – Significant 2014 Assays (Cat 2) continued

    Kensington – Significant 2014 Assays (Cat 2) continued Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Zone 10 / Zone 20 KX13‐072 186.0 190.0 4.0 3.3 0.222 0.89 578.0 590.0 12.0 9.9 0.474 5.68 including 578.0 582.0 4.0 3.3 1.022 4.09 60

  42. Slide 42: Kensington – Significant 2014 Assays (Cat 2) continued

    Kensington – Significant 2014 Assays (Cat 2) continued Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Zone 10 / Zone 20 K14‐1170‐095‐X03 81.0 85.0 4.0 3.6 0.457 1.83 292.0 296.5 4.5 4.0 0.587 2.64 697.0 701.0 4.0 3.6 0.181 0.72 732.7 7

  43. Slide 43: Kensington – Significant 2014 Assays (Cat 2) continued

    Kensington – Significant 2014 Assays (Cat 2) continued Notes: 1. Drill intercepts from 5,064 assays from full and half HQ and NQ core for infill holes, samples prepared at Kensington Mine, Juneau, AK, and at ALS‐Chemex Labs, Reno, NV with final sample preparation to pulp and analyses at ALS‐ Chemex

  44. Slide 44: Kensington – Significant 2014 Assays (Cat 3)

    Kensington – Significant 2014 Assays (Cat 3) KENSINGTON, ALASKA, USA Category 3 Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Zone 10 / Zone 20 KX13‐050 220.6 225.0 4.4 3.3 0.105 0.46 296.0 300.0 4.0 3.0 1.048 4.19 KX13‐051 321.5 329.

  45. Slide 45: Kensington – Significant 2014 Assays (Cat 3) continued

    Kensington – Significant 2014 Assays (Cat 3) continued Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Zone 10 / Zone 20 KX13‐064 374.6 377.5 2.9 2.5 0.204 0.6 397.5 399.5 2.0 1.7 0.549 1.1 530.0 532.5 2.5 2.1 0.153 0.4 556.5 559.5 3.0

  46. Slide 46: Kensington – Significant 2014 Assays (Cat 3) continued

    Kensington – Significant 2014 Assays (Cat 3) continued Mineralized Interval (Feet) Assays (ounces/short ton) Hole I.D. From To Thickness Estimated True Au Foot‐Ounces Notes: Zone 10 / Zone 50 1. Drill intercepts from 1,057 assays from full and half HQ and NQ core for infill K14‐0520‐095‐X04 105.5 10

  47. Slide 47: Coeur's Mineral Reserves

    Coeur’s Mineral Reserves Grade (oz/ton) Ounces (contained) Location Short tons Silver Gold Silver Gold Proven Reserves Rochester Nevada, USA 132,188,000 0.53 0.004 69,915,000 551,000 Martha Argentina ‐ ‐ ‐ ‐ ‐ San Bartolomé Bolivia 1,206,000 2.87 ‐ 3,456,000 ‐ Kensington Alaska, USA 309,000 ‐ 0.269

  48. Slide 48: Coeur's Measured and Indicated Mineral Resources

    Coeur’s Measured and Indicated Mineral Resources (Excluding Reserves) Grade (oz/ton) Ounces (contained) Location Short tons Silver Gold Silver Gold Measured Resources Rochester Nevada, USA 66,190,000 0.45 0.003 29,860,000 186,000 Martha Argentina — — — — — San Bartolomé Bolivia — — — — — Kensington

  49. Slide 49: Coeur's Inferred Mineral Resources

    Coeur’s Inferred Mineral Resources Grade (oz/ton) Ounces (contained) Location Short tons Silver Gold Silver Gold Inferred Resources Rochester Nevada, USA 37,365,000 0.62 0.003 23,295,000 101,000 Martha Argentina 204,000 4.75 0.005 969,000 1,000 San Bartolomé Bolivia 3,683,000 1.26 — 4,638,000 — Kens

  50. Slide 50: Strategic Investments

    Strategic Investments  Apogee Silver (Pulacayo‐Paca project, Bolivia and Cachinal project, Chile; 6.4% ownership interest):  Environmental Impact Assessment approved by Bolivia’s Ministry of Environment and Water  Caracara Silver (Princesa project, Peru; 3.2% ownership interest):  3,049 meter dr

  51. Slide 51: Executive Leadership

    Executive Leadership Mitchell J. Krebs – President and Chief Executive Officer. Mr. Krebs joined Coeur in 1995 after spending several years in the investment banking industry in New York. Mr. Krebs has held various positions in the corporate development department, including Senior Vice President of

  52. Slide 52: 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 boa

  53. Slide 53: Contact Information

    Contact Information Corporate Office: Coeur Mining, Inc. 104 S. Michigan Ave, Suite 900 Chicago, Illinois 60603 Main Tel: (312) 489‐5800 Stock Tickers: CDE: NYSE Warrant Tickers: CDE.WS: NYSE; CDM.WT: TSX Website: coeur.com NYSE: CDE 53

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