Increased Production at South Dakota’s Wharf Mine
Gold production saw a 17% increase and silver production spiked by 481% at South Dakota’s Wharf Mine, owned by Coeur Mining. The mine, located near Terry Peak in the northern Black Hills, has been a significant contributor to the state’s mineral production numbers.
Unintentional Silver Spike
Matt Zietlow, Coeur’s environmental manager at Wharf, mentioned that there was no intentional reason for the sudden spike in silver production. He attributed it to the metallurgy of the ore, indicating that silver is a byproduct of gold production. However, he noted that sometimes an excess of silver can outcompete gold in the production process.
Financial Impact and Operational Details
The increased gold production resulted in the mine generating $82 million in annual free cash flow, a record-breaking amount for the operation. With sales totaling $189.5 million in 2023, Wharf Mine continues to be a valuable asset for Coeur Mining.
Mining Operations and Environment
Wharf Mine, operating since 1982, follows an open-pit mining method using heap-leach extraction. The mine has disturbed about 1,300 acres of land, with ongoing efforts in reclamation to restore the environment. Coeur stripped 9.4 million tons of earth last year to yield 361,288 ounces of gold and silver.
Community Contributions
Aside from its economic impact, Wharf Mine has also contributed to the local community by paying $6.3 million in gold severance taxes to the state, providing employment to 245 individuals with a payroll of $32 million, and donating $212,000 to various local organizations and charities.
Future Outlook
Zietlow presented the mine’s annual report to the state’s Board of Minerals and Environment, reflecting on a successful and safe year overall. With operations in other locations as well, Coeur Mining continues to be a key player in the mining industry.
