Coeur ramps down Palmarejo, withdraws guidance
Coeur Mining (NYSE: CDE) announced on Tuesday that the company will halt activities at its Palmarejo gold-silver complex in Chihuahua, Mexico, in accordance with a government-mandated decree in response to the covid-19 pandemic.
The company also said it is withdrawing its full-year 2020 guidance as a result of this temporary suspension and the ongoing uncertainty surrounding covid-19.
“The company is currently in the process of safely and securely ramping down its mining operations at Palmarejo,” the Chicago-based miner stated in a media release.
A reduced workforce will remain on site during the suspension to maintain key infrastructure, manage environmental compliance and provide requisite security.
All of Coeur’s US mines continue to operate at full capacity, and there have been no confirmed cases of covid-19 across its portfolio. The company said it has not had any disruptions to its supply chain at the mines that are still open.
The miner produced 359,418 ounces of gold and 11.7 million ounces of silver in 2019, as well as zinc and lead. Palmarejo accounted for 111,932 gold ounces and 6.8 million silver ounces.
At midday Tuesday, shares of Coeur Mining were down 9% on the NYSE. The company has a $769 million market capitalization.