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Coeur | EXPLORATON | Cerro Bayo - Chile

CERRO BAYO - CHILE

 

Cerro Bayo Mine
The Cerro Bayo District is located south of Coyhaique, the capital of Region XI in southern Chile, and due west of the town of Chile Chico.  The underground silver and gold mine and ore processing facilities lie on the east side of the Andes mountain range at an elevation ranging from 600 to 4,500 feet and are serviced by an all-weather gravel road from Chile Chico.

During 2009, the Company continued its exploration and development program in the district with its efforts concentrated in the Cerro Bayo and Laguna Verde zones in the east and west sections of the Company’s land holdings. In 2009, $2.7 million was spent on exploration in Chile and $1.0 million on reserve development at Cerro Bayo with 108,700 feet (33,130 meters) of core drilling completed during the year. Most of this drilling was focused on expansion and definition of the new Delia silver and gold-bearing vein discovered approximately one half mile south of the ore processing facilities at Laguna Verde and other targets at Cerro Bayo.  Other targets drilled were Granja Temer, Polvorin, Cerro Coigues, Trinidad, Caiquenes, Juncos, Gaby and Taitao, also all near the ore processing facilities.  District reconnaissance identified new targets at Zona 2, Ema, Brillantes and Cerro Bayo Este for future drilling.

Chile - Other Properties
In 2009, Coeur completed a phase one drilling program on the Huantajaya silver property in northern Chile, near Iquique.  During 2009, a first phase of reverse circulation drilling totaling 4,783 feet (1,458 meters) was completed at Huantajaya at a total cost of $0.6 million.  This work was not successful defining significant new mineralization. 


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