Increased Cash Flow for Coeur Through Additional Silver Production, Deferral of Price-Sharing Provision, and Increase in Price-Sharing Threshold COEUR D'ALENE, Idaho, March 28 /PRNewswire-FirstCall/ -- Coeur d'Alene Mines Corporation (NYSE: CDE; TSX: CDM) said today that its wholly owned Australian subsidiary, CDE Australia Pty, Ltd. (CDE Australia), has reached an agreement with CBH Resources Ltd. to modify the terms of the original silver purchase agreement entered into in April of 2005 under which Coeur acquired the silver production and reserves of the CBH Endeavor mine in Australia. Under the modified terms, CDE Australia will own all silver production up to a total of 20.0 million ounces, up from 17.7 million ounces in the original agreement. Moreover, the silver price-sharing provision will be deferred until such time as Coeur has received approximately 2 million cumulative ounces of silver from Endeavor or June 2007, whichever is later. In addition, Coeur will retain additional cash flow by increasing the silver price-sharing threshold to US$7.00 per ounce, from the previous level of US$5.23 per ounce. In exchange for these improved economic terms, CDE Australia has agreed to provide CBH with an advance of up to A$15.0 million of the A$30 million that remains to be paid under the terms of the original transaction. The final payment from Coeur to CBH is subject to the Endeavor mine achieving certain operational benchmarks. The advance, in the form of a loan facility, will bear interest at 7.75% once drawn by CBH. Dennis E. Wheeler, Coeur's Chairman, President and Chief Executive Officer, said, "The modifications to our original transaction should provide Coeur with additional cash flow over the duration of the agreement. We believe this is an excellent way to utilize Coeur's strong balance sheet to improve the economics of the original transaction with CBH and to enable CBH to accelerate its plans to enhance development and operations at the Endeavor mine. This transaction is also a testament to the strength of the strategic partnership between Coeur and CBH." Coeur expects the Endeavor mine to produce approximately 1 million ounces of silver in 2006. Coeur d'Alene Mines Corporation is the world's largest publicly traded primary silver producer and has a strong presence in gold. The Company has mining interests in Alaska, Argentina, Australia, Bolivia, Chile, Nevada, and Idaho. Cautionary Statement Company press releases may contain numerous forward-looking statements within the meaning of securities legislation in the United States and Canada relating to the Company's silver and gold mining business. Such statements are subject to numerous assumptions and uncertainties, many of which are outside the Company's control. Operating, exploration and financial data, and other statements in this document are based on information the Company believes reasonable, but involve significant uncertainties as to future gold and silver prices, costs, ore grades, estimation of gold and silver reserves, mining and processing conditions, currency exchange rates, and the completion and/or updating of mining feasibility studies, changes that could result from the Company's future acquisition of new mining properties or businesses, the risks and hazards inherent in the mining business (including environmental hazards, industrial accidents, weather or geologically related conditions), regulatory and permitting matters, risks inherent in the ownership and operation of, or investment in, mining properties or businesses in foreign countries, as well as other uncertainties and risk factors set out in the Company's filings from time to time with the SEC and the Ontario Securities Commission, including, without limitation, the Company's reports on Form 10-K and Form 10-Q. Actual results and timetables could vary significantly from the estimates presented. Readers are cautioned not to put undue reliance on forward-looking statements. The Company disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise. Contact: Scott Lamb 208-665-0777 DATASOURCE: Coeur d'Alene Mines Corporation CONTACT: Scott Lamb of Coeur d'Alene Mines Corporation, +1-208-665-0777 Web site: http://www.coeur.com/

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