Lucky Friday restarts production
Hecla Mining Company (NYSE:HL) today announced its preliminary
silver and gold production for the fourth quarter and full year
2023.
HIGHLIGHTS
- Silver production of 14.3 million ounces exceeded 2022
production of 14.2 million ounces, despite the temporary shutdown
at the Lucky Friday mine since August 2023
- As expected, annual gold production decreased 14% as Casa
Berardi transitions to an open pit mine; Greens Creek gold
production increased 26%
- Commenced restart at the Lucky Friday; ramp-up to full
production and receipt of insurance payments expected to commence
in the first quarter of 2024
- Keno Hill produced 1.5 million ounces, with the Bermingham
deposit achieving the highest mined tonnage in December; initiated
a safety action plan to build a strong operational foundation at
the mine
"Hecla faced multiple challenges in 2023 with the fire at the
Lucky Friday mine and improving the safety culture at Keno Hill,
but despite these challenges, silver production exceeded last year
as Greens Creek delivered another strong year, Lucky Friday's
production through July with our patented UCB method produced more
silver than the mine typically produced in a full year with the old
mining method, and the roughly half year of production at Keno Hill
shows its potential to be a meaningful producer,” said Phillips S.
Baker, Jr., Hecla's President and CEO. "As planned, we began the
transition of Casa Berardi’s production to surface mining, which
lowered production but increased margins."
Baker continued, “We look forward to a strong year in 2024 as we
execute our growth strategy to deliver up to 20 million ounces of
silver production by 2025. With silver's critical role in energy
transition and its application in solar electricity generation,
Hecla will play an important role in producing silver as the
world’s fastest-growing established silver producer and the
dominant producer of silver in the U.S. and soon Canada."
OPERATIONS
Greens Creek
The Greens Creek mine produced 9.7 million ounces of silver and
60,896 ounces of gold for the year. Fourth quarter production was
2.3 million ounces of silver and 14,651 ounces of gold. Throughput
for the quarter was 2,393 tons per day (tpd), 4% lower compared to
the third quarter, and was impacted by two significant weather
events in November and one in December, causing road blockages and
unplanned mill downtime, resulting in approximately 12 days of lost
production. The mill achieved a throughput of 2,600 tpd when
operating. Annual throughput averaged 2,506 tpd, an increase of 9%
over the prior year. Annual silver production was unchanged from
2022 as higher throughput offset lower grades and recoveries.
Annual gold production increased by 26% due to higher throughput,
grades, and recoveries.
Lucky Friday
The Lucky Friday mine produced 3.1 million ounces of silver in
2023, 30% lower than in 2022, due to the suspension of production
since August due to a fire in the secondary escapeway (#2 shaft).
Fourth quarter production was nominal as the mill processed
residual material from ore pockets.
The mine restarted production on January 9th and is expected to
ramp up to full production in the first quarter. The plans to
resume production were completed on schedule and involved
developing a new secondary egress consisting of a ramp of 1,600
feet and a 290-foot vertical escapeway. The Company received a
favorable coverage determination letter and expects to start
receiving insurance proceeds during the first quarter.
Keno Hill
Keno Hill produced 1.5 million ounces of silver in 2023, with
608,301 ounces produced in the fourth quarter. Throughput for the
quarter averaged 214 tpd with silver grades of 32 ounces per ton.
As safety has improved, so has mining, with Bermingham achieving
the highest production in December, exceeding 9,500 tons mined. Ore
inventory at the end of the year was approximately 3,000 tons at a
silver grade of 27 ounces per ton.
Hecla's injury-free standard drives the pace of production and
development at Keno Hill. A safety action plan, which will be
executed over the year, has been initiated, focusing on training,
supervision, mining practices, and implementation of the safety
processes.
Casa Berardi
The Casa Berardi mine produced 90,363 and 22,517 ounces of gold
in 2023 and the fourth quarter, respectively. As expected, annual
gold production declined by 29% due to wildfire-related closures in
June and lower underground tonnage as the mine transitions to a
surface operation by mid-2024. Fourth quarter gold production was
7% lower than the third quarter due to lower milled grades
partially offset by higher throughput. The mine set another
quarterly record for surface tonnage handled as the in-house
equipment fleet was fully commissioned. The mill operated at an
average of 3,859 tpd in the fourth quarter, a 3% increase over the
third quarter attributable to improved performance of the gravity
circuit.
PRODUCTION SUMMARY
Three Months Ended
Twelve Months Ended
December 31,
September 30,
December 31,
December 31,
2023
2023
2023
2022
Production
Increase/ (Decrease)
Increase/ (Decrease)
Silver (oz)
2,935,632
3,533,704
(17)%
14,342,863
14,182,987
1 %
Gold (oz)
37,168
39,269
(5)%
151,259
175,807
(14)%
Lead (tons)
5,282
8,276
(36)%
40,347
48,250
(16)%
Zinc (tons)
12,669
14,980
(15)%
60,579
63,463
(5)%
Greens Creek - Silver (oz)
2,260,027
2,343,192
(4)%
9,731,752
9,741,935
(0)%
Greens Creek - Gold (oz)
14,651
15,010
(2)%
60,896
48,217
26 %
Lucky Friday - Silver (oz)
61,574
475,414
(87)%
3,086,119
4,412,763
(30)%
Keno Hill - Silver (oz)
608,301
710,012
(14)%
1,502,577
-
NA
Casa Berardi - Gold (oz)
22,517
24,259
(7)%
90,363
127,590
(29)%
(1) See the cautionary statement regarding
preliminary statements at the end of this release.
(2) Silver and gold equivalent calculation
based on the respective average annual metal prices as follows:
$23.39 for Ag, $1,942.74 for Au, $0.97 for Pb, and $1.20 for
Zn.
ABOUT HECLA
Founded in 1891, Hecla Mining Company (NYSE: HL) is the largest
silver producer in the United States. Hecla operates mines in
Alaska, Idaho, Quebec, Canada, and Yukon, Canada, and owns a number
of exploration and pre-development projects in world-class silver
and gold mining districts throughout North America.
Cautionary Statements Regarding Estimates and Forward-Looking
Statements
All measures of the Company's fourth quarter and full year 2023
operating results contained in this release are preliminary and
reflect the Company’s expected results as of the date of this
release. Actual reported fourth quarter and full year 2023 results
are subject to management's final review as well as review by the
Company's independent registered accounting firm and may vary
significantly from current expectations because of a number of
factors, including, without limitation, additional or revised
information and changes in accounting standards or policies or in
how those standards are applied.
Statements made or information provided in this news release
that are not historical facts are "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, and
"forward-looking information" within the meaning of Canadian
securities laws. When a forward-looking statement 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.
Forward-looking statements often address our expected future
business and financial performance and financial condition and
often contain words such as “anticipate,” “intend,” “plan,” “will,”
“could,” “would,” “estimate,” “should,” “expect,” “believe,”
“project,” “target,” “indicative,” “preliminary,” “potential” and
similar expressions. Forward-looking statements in this news
release may include, without limitation: (i) Casa Berardi will
transition to a complete surface operation by the end of this year;
(ii) the Company will produce up to 20 million ounces of silver by
2025; (iii) the Company will soon be the dominant producer of
silver in Canada; (iv) Lucky Friday is expected to ramp up to full
production in the first quarter of the year; (v) insurance proceeds
for Lucky Friday will commence in the first quarter of 2024 and
(vi) the Company expects safety at Keno Hill to improve through a
safety action plan. Estimates or expectations of future events or
results are based upon certain assumptions, which may prove to be
incorrect, which could cause actual results to differ from
forward-looking statements. 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) certain price
assumptions for gold, silver, lead and zinc; (v) prices for key
supplies being approximately consistent with current levels; (vi)
the accuracy of our current mineral reserve and mineral resource
estimates; (vii) 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;
(viii) sufficient workforce is available and trained to perform
assigned tasks; (ix) weather patterns and rain/snowfall within
normal seasonal ranges so as not to impact operations; (x)
relations with interested parties, including Native Americans,
remain productive; and (xi) factors do not arise that reduce
available cash balances.
In addition, material risks that could cause actual results to
differ from forward-looking statements include but are not limited
to: (i) gold, silver and other metals price volatility; (ii)
operating risks; (iii) currency fluctuations; (iv) increased
production costs and variances in ore grade or recovery rates from
those assumed in mining plans; (v) community relations; and (vi)
litigation, political, regulatory, labor and environmental risks.
For a more detailed discussion of such risks and other factors, see
the Company's 2022 Form 10-K filed on February 17, 2023 for a more
detailed discussion of factors that may impact expected future
results. The Company undertakes no obligation and has no intention
of updating forward-looking statements other than as may be
required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20240110415705/en/
Anvita M. Patil Vice President – Investor Relations and
Treasurer Cheryl Turner Communications Coordinator 800-HECLA91
(800-432-5291) Investor Relations Email: hmc-info@hecla.com
Website: www.hecla.com
Grafico Azioni Hecla Mining (NYSE:HL)
Storico
Da Dic 2024 a Gen 2025
Grafico Azioni Hecla Mining (NYSE:HL)
Storico
Da Gen 2024 a Gen 2025
