- Associated Press - Friday, July 17, 2015

LEAD, S.D. (AP) - The new owners of a gold mine in western South Dakota believe it holds much more gold than previously thought.

Chicago-based Coeur Mining Inc. says a closer look at historical data of the Wharf mine combined with new collection methods raise gold reserves estimates by nearly 40 percent, the Black Hills Pioneer reported (https://bit.ly/1LeBftr ). Reserves had been estimated at 560,000 ounces. They now are estimated at 781,000 ounces.

“The results have surpassed our expectations by adding three years of expected mine life, making Wharf a key producing asset for Coeur for at least the next decade,” President and CEO Mitchell Krebs said.

The mine is located in the historic Black Hills mining district of Lead, which once was the second-largest gold-producing district in the country. Coeur Mining in February bought the mine from Canada-based Goldcorp Inc. for $105 million.

“When we bought the mine, Goldcorp hadn’t put out a reserve estimate since the end of 2013,” said Terry Smith, Coeur Mining’s vice president of North America operations. “It doesn’t mean that we discovered anything hidden; it’s more like we took more of the right look at what what’s actually there.”

The mine has been in production for more than 30 years, producing more than 2 million ounces of gold.

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Information from: Black Hills Pioneer, https://www.bhpioneer.com

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