An investment in North Idaho
WALLACE - There is a silver lining in North Idaho's economy, and guess what? It's silver.
U.S. Silver Corp. President and CEO Tom Parker said the company plans to return the Coeur mine in Osburn to its former status as an active, silver-producing mine - soon.
"We're excited to get started," Parker said during the Historic Wallace Chamber of Commerce's monthly breakfast at the 1313 Club. "It should be a fun time."
Recently, $7 million in Canadian dollars was raised by U.S. Silver Corp., which will be invested to repair infrastructure and stock the mine with the manpower and equipment in preparation for long-term operations.
About $5 million will be spent over two to three years on the Coeur mine as the company mines known resource blocks.
"The intent is to, in the sixth month, produce silver," Parker explained.
The reopening of the Coeur mine is also expected to create 30 to 35 mining jobs. Parker said stope miners within the U.S. Silver Corp. generally make from $75,000 to $85,000 per year. They are looking for local hires, and will also be hiring Silver Valley miners who had moved away for work and have expressed a desire to return.
The bottom level of the mine sits at the 3,900 level. There will be some mechanized mining at the 2,800 and 3,900 levels, but Parker said that the mining will mostly involve jacklegs and slushers, similar to their Galena mine operations.
"It's safe to say this won't be easy," Parker said. "These are not virgin stopes."
Output at the Coeur mine is expected to reach close to 50,000 ounces of silver and 50,000 pounds of copper a year after the start of the project, which is scheduled to kick off the first of 2011.
Parker said that no expansion of their two mills will be necessary as the Coeur mine begins producing. They currently process 1,000 tons each day, and have a capacity for 1,400 tons per day between the mills. All the required permits to run the Coeur mine have also already been obtained.
Historically the Coeur mine has produced 14 ounces of silver per ton.
"We think the company has a good future, we have no doubt," Parker added.