This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Coeur Announces Settlement Of Outstanding Rochester Claims Dispute

Coeur Mining, Inc. (the “Company” or “Coeur”) (NYSE: CDE) (TSX: CDM) announced today it has settled the outstanding claims dispute at its Rochester silver and gold mine in Nevada with Rye Patch Gold US Inc. and Rye Patch Gold Corp. (“Rye Patch”) for $10 million in cash plus a 3.4% net smelter royalty (“NSR”) covering 39.4 million silver equivalent ounces of net metal sales. In exchange, Rye Patch will transfer its mining claims involved in the dispute to Coeur Rochester, Inc., a wholly-owned subsidiary of Coeur. The settlement transactions are expected to close by June 28, 2013, and are not subject to any significant external closing conditions.

This NSR is payable from Rochester production and sales beginning January 1, 2014 and is expected to be completed in approximately four years. There is no minimum payment obligation under the NSR.

As part of the settlement, Coeur also granted Rye Patch the option to acquire Coeur’s Blue Bird patented, federal mining claim, which is situated two miles west of Rochester and is adjacent to Rye Patch’s Lincoln Hill exploration property. This claim is about 19.5 acres in size and is not strategic to the Company’s Rochester operation. Rye Patch has until 10 days after closing to exercise the option to acquire Blue Bird.

“Although we remain confident in our legal position, we believe our stockholders are best served by achieving a commercial solution to this ongoing litigation,” stated Mitchell J. Krebs, Coeur’s President and Chief Executive Officer. “Rochester has the potential to once again become one of the world’s great silver and gold operations. It’s unfortunate that this claims dispute arose in late 2011, but we’re pleased to have it behind us so we can focus on realizing the full potential of this asset.”

The Company expects to announce its plans to further expand Rochester production rates and anticipates providing an updated silver and gold reserve estimate later in 2013.

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,276.29 +217.94 1.36%
S&P 500 1,913.85 -58.33 -2.96%
NASDAQ 4,636.1050 -140.4030 -2.94%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs