Coeur Mining(US:CDE)2024-02-20 16:00Mineral Reserves and Resources - The company anticipates significant mineral reserve and resource estimates, with ongoing exploration efforts and capital expenditures planned for Rochester, Kensington, and Silvertip[59]. - The accuracy of mineral reserve and resource estimates is subject to uncertainties, and declines in market prices may render certain reserves uneconomic to exploit[66]. - Mineral reserve and resource estimates are subject to uncertainties and may require adjustments based on geological findings and market conditions, affecting operational plans[66]. - Key assumptions and parameters used to estimate mineral reserves and resources are detailed in the Technical Report Summaries included in the Form 10-K[84]. - Data verification procedures are in place to assess the accuracy of mineral estimates, considering various relevant factors[84]. Commodity Price Volatility - The high and low prices for gold and silver during the 12 months ended December 31, 2023, reflect the volatility of these commodities, influenced by factors such as U.S. dollar strength and geopolitical conditions[63]. - Operating costs are affected by input commodity prices, which are volatile and can fluctuate due to global competition and inflation, potentially impacting the company's operations and cash flows[64]. - The price of silver increased by 5% between April 5, 2023, and April 14, 2023, followed by a decrease of 5% on April 19, 2023, illustrating short-term price volatility not reflective of the company's operational performance[65]. - Significant declines in metal prices or failure to control production costs may lead to the suspension of mining operations, adversely affecting financial results[79]. Operational Challenges - The ramp-up of the Silvertip exploration property has been slower and less profitable than anticipated due to mill availability and maintenance challenges, as well as deteriorating market conditions for zinc and lead[73]. - The company faces risks related to supply chain disruptions from geopolitical unrest and natural disasters, which could impact commodity prices and operational stability[78]. - The company relies on refiners and smelters for processing and selling its products, and disruptions in these services could impact revenue generation[68]. Environmental and Compliance Expenditures - The company expects environmental compliance expenditures in 2024 to range from $10.4 million to $11.4 million[41]. - The company maintains insurance policies against property loss and business interruption, but coverage for environmental risks is limited, which could lead to significant liabilities[69]. Employee and Community Engagement - Employee participation in the 2023 culture assessment survey was 84%, exceeding industry benchmarks[22]. - The average employee earns over 40% more than the average employee in their local markets according to industry benchmarking[50]. - Over 60% of new hires since 2018 have come from local communities, with over 40 apprenticeships and internships provided in 2023[54]. - The company has maintained an average employee age of 40 years since 2018, with 33% of the workforce under 40[23]. - 12% of employees are female, up from 10% in 2020, with over 60% of female employees in supervisory or higher-level positions[24]. - The company has invested over 22,500 cumulative hours in leadership training and personal development for nearly 200 employees through the IMPACT training program[25]. Project Developments - The construction of the Rochester mine's significant expansion project (POA 11) was completed in Q4 2023, supporting an extended mine life[37]. - The Kensington mine received a favorable final Record of Decision for its Plan of Operations Amendment 1 on February 24, 2022, allowing for increased tailings and waste rock storage capacity[37]. - The company is evaluating the acquisition of mining concessions from a subsidiary of Fresnillo plc adjacent to the existing Palmarejo site, which may enhance growth opportunities[71].