Coeur d’Alene Mines Corporation (NYSE:CDE) (TSX:CDM) (ASX:CXC) today announced that, due to further substantial delay in the Environmental Assessment process triggered by a federal agency’s recent actions, the Company has requested the Forest Service to terminate the permitting process for a potential alternative Kensington paste tailings plan. The Company continues to pursue its original tailings plan for Kensington, which is pending in the U.S. Supreme Court. A decision on the appeal is expected in the first or second quarter of 2009.

The alternative paste tailings plan had been originally submitted to federal agencies for permitting in January 2008, and permits were expected in the third or fourth quarter, 2008. However, as part of the federal agencies’ comments to the ongoing Environmental Assessment work, the Environmental Protection Agency has now stated it wants Coeur to evaluate yet another new and different alternative for review and raised other issues regarding the modified plan proposal. The Agency comments triggered potentially months of delay and substantial issues in completing a timely modified plan review.

Separately, the U.S. Supreme Court has granted the State of Alaska and Coeur Alaska’s Petitions for a writ of certiorari to review a Ninth Circuit Court of Appeals decision relating to the original Kensington 404 tailings permit, which had been determined by the federal agencies as the environmentally preferred option.

A final Supreme Court decision, expected early next year, may allow for construction to take place next year, leading to potential production in late 2009.

About Coeur

Coeur d’Alene Mines Corporation is one of the world’s leading silver companies and also a significant gold producer, with anticipated 2008 silver production of approximately 13 million ounces of silver. Coeur, which has no silver or gold production hedged, is now producing silver at what is expected to be the world’s largest pure silver mine - San Bartolomé in Bolivia – and is currently constructing another world-leading silver mine – Palmarejo in Mexico. The Company also operates underground mines in southern Chile and Argentina and one surface mine in Nevada; and owns non-operating interests in two low-cost mines in Australia. The Company also owns a major gold project - Kensington in Alaska - and conducts exploration activities in Argentina, Bolivia, Chile, Mexico and Tanzania.