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Please read the Hecla Website Privacy Policy or Terms of Use carefully before using this website, www.hecla-mining.com, or any of the services provided through this website.


purchase orders T&Cs

Please read the purchase order terms and conditions for Hecla and its subsidiaries and also for Rio Grande Silver.

notice of information privacy
Please read the Notice of Information Privacy with respect to Minera Hecla, S.A. de C.V.

proprietary rights
The Site, its organization and design, and all information, images, artwork, text, video, audio, pictures and other materials on the Site (collectively the “Content”) are protected by copyright and other proprietary rights, all of which are owned by Hecla Mining Company (the “Company”). You may download information from the Site for your personal, noncommercial viewing, but you may not, directly or indirectly, otherwise copy, reproduce, republish, post, transmit, display, frame in another web page, perform, distribute, modify or create derivative works from the Content without the Company’s prior written approval. You do not acquire ownership rights to any Content by accessing or using the Site, and the Company’s posting of Content on the site does not constitute a waiver of any right in or to such Content.

 

The Company owns the Company’s logo, and all other Company trademarks and trade names appearing on the Site. Unless otherwise indicated, all other trademarks appearing on the Site are owned by third parties and are used by the Company under license.

disclaimers
This Site and its Content are provided “as is” and “as available”. The Content is believed to be accurate when it was posted on this Site. However, the Content may not be accurate, complete or current. To the fullest extent permissible under applicable law, the Company disclaims all representation and warranties, whether express, implied or statutory (including without limitation any warranties of merchantability, fitness for a particular purpose, accuracy and non-infringement). The Company does not represent or warrant that functions contained in the Site will be uninterrupted or error-free, that defects will be corrected, or that the Site or the server that makes it available is free of viruses or other harmful components.

The information and Content contained on the Site is prepared by the Company and is believed to be accurate, but has not been independently audited or verified and is provided for informational purposes only. This information and Content is not to be construed as an offer or as a recommendation to buy or sell securities in any jurisdiction. The Company does not warrant or make any representations regarding the use or the results of the use of any Content in terms of completeness, correctness, accuracy, reliability, usefulness, timeliness, reliability or otherwise. The information and other Content on the Site is not meant to modify, qualify, supplement or amend information disclosed by or on behalf of the Company under corporate, securities or other legislation in any jurisdiction, and should not be used to make investment decisions involving the Company’s securities.

You acknowledge that your access to and use of the Site and the Content will not be free of interruptions, that the Site and the Content may contain bugs, errors, inaccuracies or other limitations, and that the Site may be unavailable from time to time. You assume total responsibility and risk for your access to and use of the Site and the Content.

limitation of liability
The Company and its affiliates, officers, directors, employees and representatives will not be liable to you or any other party for any damages of any kind including, without limitation, indirect, special, consequential or incidental damages, lost profits, business interruption or other damages arising directly or indirectly from your use of the Site or the Content, including without limitation your use or reliance on any information or other Content contained on the Site; any inaccuracy or omission in any information or other Content contained on the Site; your use of or reliance on any third-party websites linked to the Site.

indemnity
You agree to indemnify, defend and hold harmless the Company and its affiliates and their respective directors, officers, employees and representatives from and against all losses, expenses, damages and costs (including actual attorneys’ fees and expenses) arising directly or indirectly from your use of the Site.

reconciliation of cash costs per silver ounce

 

Reconciliation of Cash Cost, Before By-Product Credits, per Silver Ounce and Cash Cost, After By-Product Credits, per

Silver Ounce to Generally Accepted Accounting Principles (GAAP) (1)

Greens Creek and Lucky Friday
(dollars and ounces in thousands, except per ounce – unaudited)

      2012   2013   2014   Q1/2015   Q2/2015   Q3/2015
Cash costs, before by-product credits
    $     208,178   $     254,460   $     276,842   $    65,246   $ 67,034   $    65,823
By-product credits
    (190,916)   (193,496)   (223,654)   (51,090)   (53,183)   (46,401)
Cash cost, after by-product credits
    17,262   60,964   53,188   14,156   13,851   19,422
Divided by silver ounces produced
    6,394   8,907   11,065   2,873   2,469   2,584
Cast cost before by-product credits, per silver ounce
    $         32.56   $   28.56   $   25.02   $   22.71   $ 27.15   $  25.47
By-product credits per silver ounce
    $      (29.86)   $     (21.72)   $     (20.21)   $    (17.78)   (21.54)   $(17.96)
Cash cost, after by-product credits, per silver ounce
    $           2.70   $          6.84   $          4.81   $         4.93   $ 5.61   $ 7.52
Reconciliation to GAAP:
                         
Cash cost, after by-product credits
    $      17,262   $      60,964   $      53,188   $      14,156   $ 13,851   $ 19,422
Depreciation, depletion and amortization
    43,522   63,098   72,936   16,612   16,451   16,669
Treatment costs
       (73,355)    (76,824)    (82,639)    (19,921)   (19,305)   (18,518)
By-product credits
      190,916    193,496    223,654   51,090   53,183   46,401
Change in product inventory
         (1,381)        (246)        (1,649)        5,718)   (6,119)   5,445
Reclamation and other costs
    663   2,100   2,046   393   (96)   624
Costs of sales and other direct production costs and depreciation, depletion and amortization (GAAP)
   
$     177,627
 
$    242,588
 
$    267,536
 
$    68,048
 

 

$ 57,965

 

 

$ 70,043


(1) Includes all direct and indirect operating cash costs related directly to the physical activities of producing metals, including mining, processing and other plant costs, third-party refining and marketing expense, on-site general and administrative costs, royalties and mining production taxes, net of by-product revenues earned from all metals other than the primary metal produced at each unit.

(2) Production was temporarily suspended at the Lucky Friday Unit during 2012 as work was performed to rehabilitate the Silver Shaft, the primary access from surface to the underground workings at the Lucky Friday mine.

reconciliation of cash costs per gold ounce

 

Reconciliation of Cash Cost, Before By-Product Credits, per Gold Ounce and Cash Cost, After By-Product Credits, per Gold Ounce to International Financial Reporting Standards (2012) & Generally Accepted Accounting Principles (2013, 2014, Q1/2015, Q2/2015, and Q3/2015)
(dollars and ounces in thousands, except per ounce – unaudited)
          2012  
2013 (2)
 
2014
 
Q1/2015
  Q2/2015   Q3/2015
Cash cost, before by-product credits(1)   US$000       $      96,236   $    59,717   $   106,438   $   24,835   $ 25,876   $ 23,311
By-product credits         (990)   (262)   (464)   (97)   (123)   (107)
Cash cost, after by-product credits         95,246   59,455   105,974   24,738   25,753   23,204
Divided by gold ounces produced         136,848   62,532   128,244   25,411   30.94   29,259

Cash cost, before by-product credits, per gold ounces

        703   954.98   829.97   977.34   836.34   797
By-product credits per gold ounce         (7)   (4.19)   (3.62)   (3.82)   (3.96)   (4)
Cash cost, after by-product credits,
per gold ounce
       

 

$         696 

 

 

$     951

 

 

$     826

 

 

$     974

 

 

$ 832.38

 

 

$ 793

Reconciliation to IFRS/GAAP:                              
Cash cost, after by-product credits         $      95,246   $     59,455   $    105,974   $    24,738   $ 25,753   $ 23,204
Depreciation, depletion and amortization         37,539   18,030   38,198   8,643   10,714   11,561
Treatment costs         - -   (268)   (564)   (153)   (144)   (152)
By-product credits           990   262   464   97   123   107
Change in product inventory         (1,948)   (3,766)   3,151   (2,272)   206   2,628
Reclamation and other costs         - -   142   820   118   116   111
Costs of sales and other direct production costs and depreciation, depletion and amortization (IFRS/GAAP)  
US$000
   
$   131,827
 
$   73,855
 
$  148,043
 
$  31,171
 

 

$ 36,768

 

 

$ 37,459

Average US$/C$ exchange rate         1.000                    
Costs of sales and other direct production costs and depreciation, depletion and amortization (IFRS/GAAP)  
C$000
   
$   131,788
 
   
               

 

(1) Includes all direct and indirect operating cash costs related directly to the physical activities of producing metals, including mining, processing and other plant costs, third-party refining and marketing expense, on-site general and administrative costs, royalties and mining production taxes, net of by-product revenues earned from all metals other than the primary metal produced at each unit.

(2) June 1, 2013, Hecla completed the acquisition of Aurizon Mines Ltd., which gave the company 100% ownership of the Casa Berardi mine in Quebec, Canada. The information presented for 2013 reflects our ownership of Casa Berardi commencing as of that date. The presentation of cash cost, after by-product credits, per gold ounce for all of the periods presented has been conformed to reflect Hecla's presentation. The primary metal produced at Casa Berardi is gold, with a by-product credit for the value of silver production.


historical reserves (2004 - 2013)

historical reserveshistorical reserves































cautionary note regarding forward looking statements

This website contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbor created by such sections and other applicable laws, including Canadian securities laws. Such forward-looking statements may include, without limitation: (i) estimates of future production and sales; (ii) estimates of the costs and completion date of the #4 Shaft project;  (iii) guidance for 2015 for silver and gold production, cash cost, after by-product credits, capital expenditures and pre-development and exploration expenditures (which assumes metal prices of gold at $1,225/oz., silver at $17.25/oz., zinc at $0.90/lb. and lead at $0.95/lb. and USD/CAD at $0.91); (iv) expectations regarding the development, growth and exploration potential of the Company’s projects (including the San Sebastian property); (v) expectations of growth; (vi) expected availability of hydroelectric power at Greens Creek, and extensions of  mineralization of various zones; (vii) the possibility of increasing production at Casa Berardi due to accessing higher grade material, and strike and dip extensions of various zones; (viii) possible strike extensions of veins at the San Sebastian project and estimates of mining, grade, recovery, free cash flow generation, mine life, IRR, ability to reactivate existing mill permits, production of silver, gold and silver equivalent ounces, ability to begin mining by year end, and the ability to mine the high-grade ore; and (ix) expected completion of #4 Shaft by Q4 2016 with a budget of $225 million and to a depth of 8600 feet.  Estimates or expectations of future events or results are based upon certain assumptions, which may prove to be incorrect. Such assumptions, include, but are not limited to: (i) there being no significant change to current geotechnical, metallurgical, hydrological and other physical conditions; (ii) permitting, development, operations and expansion of the Company’s projects being consistent with current expectations and mine plans; (iii) political/regulatory developments in any jurisdiction in which the Company operates being consistent with its current expectations; (iv) the exchange rate for the Canadian dollar to the U.S. dollar, being approximately consistent with current levels; (v) certain price assumptions for gold, silver, lead and zinc; (vi) prices for key supplies being approximately consistent with current levels; (vii) the accuracy of our current mineral reserve and mineral resource estimates; and (viii) the Company’s plans for development and production will proceed as expected and will not require revision as a result of risks or uncertainties, whether known, unknown or unanticipated. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, such statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by the “forward-looking statements.” Such risks include, but are not limited to gold, silver and other metals price volatility, operating risks, currency fluctuations, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, community relations, conflict resolution and outcome of projects or oppositions, litigation, political, regulatory, labor and environmental risks, and exploration risks and results, including that mineral resources are not mineral reserves, they do not have demonstrated economic viability and there is no certainty that they can be upgraded to mineral reserves through continued exploration. For a more detailed discussion of such risks and other factors, see the Company’s 2014 Form 10-K, filed on February 18, 2015 with the Securities and Exchange Commission (SEC), as well as the Company’s other SEC filings. The Company does not undertake any obligation to release publicly revisions to any “forward-looking statement,” including, without limitation, outlook, to reflect events or circumstances after the date of this news release, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. Investors should not assume that any lack of update to a previously issued “forward-looking statement” constitutes a reaffirmation of that statement. Continued reliance on “forward-looking statements” is at investors’ own risk.

 

cautionary note to investors
The United States Securities and Exchange Commission permits 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 on this website, such as “measured,” “indicated,” and “inferred resources” that the SEC guidelines strictly prohibit us from including in our filing with the SEC.  U.S. investors are urged to consider closely the disclosure in our Form 10-K, included on this website.

cautionary note regarding estimates of measured, indicated and inferred resources
Reporting requirements in the United States for disclosure of mineral properties are governed by the SEC and included in the SEC's Securities Act Industry Guide 7, entitled “Description of Property by Issuers Engaged or to be Engaged in Significant Mining Operations” (“Guide 7”).  However, the Company is also a "reporting issuer" under Canadian securities laws, which require estimates of mineral resources and reserves to be prepared in accordance with Canadian National Instrument 43-101 (“NI 43-101”).  NI 43-101 requires all disclosure of estimates of potential mineral resources and reserves to be disclosed in accordance with its requirements.  Such Canadian information is being included here to satisfy the Company's “public disclosure” obligations under Regulation FD of the SEC and to provide U.S. holders with ready access to information publicly available in Canada.

 Reporting requirements in the United States for disclosure of mineral properties under Guide 7 and the requirements in Canada under NI 43-101 standards are substantially different. This document contains a summary of certain estimates of the Company, not only of proven and probable reserves within the meaning of Guide 7, which requires the preparation of a “final” or “bankable” feasibility study demonstrating the economic feasibility of mining and processing the mineralization using the three-year historical average price for any reserve or cash flow analysis to designate reserves and that the primary environmental analysis or report be filed with the appropriate governmental authority, but also of  mineral resource and mineral reserve estimates estimated in accordance with the definitional standards of the Canadian Institute of Mining, Metallurgy and Petroleum referred to in NI 43-101. The terms “measured resources”, "indicated resources," and "inferred resources" are Canadian mining terms as defined in accordance with NI 43-101. These terms are not defined under Guide 7 and are not normally permitted to be used in reports and registration statements filed with the SEC in the United States, except where required to be disclosed by foreign law.  Investors are cautioned not to assume that any part or all of the mineral deposits in such categories will ever be converted into proven or probable reserves. “Resources” have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of such a "resource” will ever be upgraded to a higher category or will ever be economically extracted.  Investors are cautioned not to assume that all or any part of a "resource” exists or is economically or legally mineable.  Investors are also especially cautioned that the mere fact that such resources may be referred to in ounces of silver and/or gold, rather than in tons of mineralization and grades of silver and/or gold estimated per ton, is not an indication that such material will ever result in mined ore which is processed into commercial silver or gold.

 

qualified person (QP) pursuant to Canadian National Instrument 43-101
Dean McDonald, PhD. P.Geo., Senior Vice President - Exploration of Hecla Mining Company, who serves as a Qualified Person under National Instrument 43-101, supervised the preparation of the scientific and technical information concerning Heclas mineral projects in this news release.  Information regarding data verification, surveys and investigations, quality assurance program and quality control measures and a summary of sample, analytical or testing procedures for the Greens Creek Mine are contained in a technical report prepared for Hecla and Aurizon Mines Ltd. titled Technical Report for the Greens Creek Mine, Juneau, Alaska, USA effective date March 28, 2013, for the Lucky Friday Mine are contained in a technical report prepared for Hecla titled Technical Report on the Lucky Friday Mine Shoshone County, Idaho, USA effective date April 2, 2014, and for the Casa Berardi Mine are contained in a technical report prepared for Hecla titled "Technical Report on the Mineral Resource and Mineral Reserve Estimate for the Casa Berardi Mine, Northwestern Quebec, Canada" effective date March 31, 2014 (the "Casa Berardi Technical Report"), and for the San Sebastian Mine are contained in a technical report prepared for Hecla titled “Technical Report for the San Sebastian Ag-Au Property, Durango, Mexico" effective date September 8, 2015. Also included in these four technical reports is a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources and 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. Copies of these technical reports are available under Hecla's profile on SEDAR at www.sedar.com.

stock quotes
All stock price quotes and historical stock price data on the site are provided by third parties, are for informational purposes only, and are not intended for trading purposes. If you are contemplating trading in the Company’s securities, the Company strongly advises that you obtain independent professional advice (including independent legal and financial advice from qualified advisors) before making any investment decision. The Company makes no representation or warranty regarding the timeliness, accuracy or completeness of any stock price quotes or historical stock price data and has not taken any steps to verify the adequacy, timeliness, accuracy or completeness of the information on the Site.

privacy
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linking
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