Coeur Announces Option Agreement to Purchase La Currita Silver and Gold Property Adjacent to Palmarejo Project

Coeur d’Alene Mines Corporation (NYSE:CDE) (TSX:CDM) (ASX:CXC) today announced that it has entered into an option agreement with Tara Gold Resources Corporation and its subsidiary Corporación Amermín that will allow Coeur to earn a 100% interest in the La Currita property adjacent to Coeur’s Palmarejo silver and gold project now in construction in the state of Chihuahua, Mexico.

The La Currita property borders the southeast end of Coeur’s Guadalupe deposit in the south end of the Palmarejo District, where exploration drilling has been expanding and defining additional mineral resource. No exploration work has been conducted at La Currita since October 2007. A mineralized structure is exposed on surface for about 1 kilometer, with surface samples returning up to 0.146 ounces per ton gold (5 g/t) and 17.5 ounces per ton silver (600 g/t).

Donald J. Birak, Senior Vice President of Exploration commented, "We are pleased to announce this agreement with Tara Gold Resources to acquire the La Currita property which adjoins our large Palmarejo property. We believe the silver and gold bearing structures at La Currita are a direct extension of our own Guadalupe deposit, where we continue to drill to define and expand the deposit. In addition to its mineral potential, La Currita is well positioned to provide an efficient secondary access to Guadalupe."

At mid-year Coeur completed a new model of the mineral resources for Guadalupe which now totals nearly 29 million ounces of silver in measured and indicated categories and 16.5 million inferred silver ounces. In addition to the large silver mineral resource, Guadalupe’s gold measured and indicated resources are over 380,000 ounces and inferred over 270,000 ounces. Guadalupe is now over 2 kilometers long, and 200 meters vertical. All zones are open on strike and at depth and currently drilling is underway to both tighten the drill spacing and expand the deposit. Engineering evaluation has commenced towards defining the first proven and probable reserves from Guadalupe.

Construction at the Palmarejo project – the world’s largest new silver project under construction – development continues on budget and on schedule with production anticipated to begin as planned in the first quarter of 2009. Coeur’s exploration program at Palmarejo is focused on geotechnical and infill drilling in the Palmarejo deposit as well as expanding and upgrading the mineral resources at the nearby Guadalupe deposit.

Under terms of the agreement with Tara Gold, Coeur will make an initial payment to Tara Gold, and subsequent optional payments over the next two years totaling $3.0 million to gain 100% interest in the La Currita property. Tara will retain a sliding scale net smelter return (NSR) royalty based on the market price of silver.

About Coeur

Coeur d’Alene Mines Corporation is one of the world’s leading silver companies and also a significant gold producer. The Company produced 11.5 million ounces of silver in 2007. 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. Coeur common shares are traded on the New York Stock Exchange under the symbol CDE, the Toronto Stock Exchange under the symbol CDM, and its CHESS Depositary Interests are traded on the Australian Securities Exchange under symbol CXC.

Cautionary Statement

This press release contains forward-looking statements within the meaning of securities legislation in the United States, Canada, and Australia, including statements regarding anticipated operating results. Such statements are subject to numerous assumptions and uncertainties, many of which are outside the control of Coeur. Operating, exploration and financial data, and other statements in this presentation are based on information that Coeur believes is reasonable, but involve significant uncertainties affecting the business of Coeur, including, but not limited to, future gold and silver prices, costs, ore grades, estimation of gold and silver reserves, mining and processing conditions, construction schedules, currency exchange rates, and the completion and/or updating of mining feasibility studies, changes that could result from future acquisitions 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 filings made from time to time with the SEC, the Canadian securities regulators, and the Australian Securities Exchange, including, without limitation, Coeur’s reports on Form 10-K and Form 10-Q. Actual results, developments and timetables could vary significantly from the estimates presented. Readers are cautioned not to put undue reliance on forward-looking statements. Coeur disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or otherwise. Additionally, Coeur undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of Coeur, its financial or operating results or its securities.

Donald J. Birak, Coeur's Senior Vice President of Exploration, is the qualified person responsible for the preparation of the scientific and technical information concerning Coeur's mineral projects in this press release. For a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources, as well as a general discussion of the extent to which the estimates may be affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant factors, please see the Technical Reports for each of Coeur's properties as filed on SEDAR at www.sedar.com.

Cautionary Note to U.S. Investors – The United States Securities and Exchange Commission permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms in this press release, such as "measured,” "indicated,” and "inferred” "resources,” that are recognized by Canadian and Australian regulations, but that SEC guidelines generally prohibit U.S. registered companies from including in their filings with the SEC. U.S. investors are urged to consider closely the disclosure in our Form 10-K which may be obtained from us, or from the SEC’s website at http://www.sec.gov/edgar.shtml.