Hecla Reports 12.5 Million Ounces of Silver and 232,685 Ounces of Gold Production in 2017

Hecla Mining Company (NYSE:HL) today announced preliminary silver and gold production results¹ for the fourth quarter and full year 2017.

2017 HIGHLIGHTS

• Silver production of 12.5 million ounces, the second highest behind the record achieved in 2016, and gold production of 232,685 ounces, the third highest in Company history.
• Silver equivalent production of 40.9 million ounces and gold equivalent production of 554,843 ounces.²
• Lead production of 22,734 tons; zinc production of 55,109 tons.
• Gold production at Casa Berardi highest since its acquisition.
• Cash, cash equivalents and short-term investments of approximately $219 million at December 31, 2017, an increase of about $20 million over December 31, 2016.

“Our mines finished the year strongly, with Greens Creek exceeding our estimates again this year and Casa Berardi and San Sebastian performing at the upper end of our estimates, generating the second highest annual silver production and third highest gold production in our 126-year history,” said Phillips S. Baker, Jr., Hecla’s President and CEO. “Their performance is a result of the focus on increasing throughput, with Greens Creek and Casa Berardi both achieving records. Although annual silver production has declined from 2016 as a result of the strike at the Lucky Friday, two things about 2017 stand out. First, silver production was better than any other year in our history except last year. Second, our cash position increased $20 million, reflecting what a good year it was for Hecla. We are well-positioned for 2018.”

(1)			See cautionary statement regarding preliminary statements at the end of this release.
(2)			Silver and gold equivalent calculation based on average actual prices for each metal in the year as follows: $17.05 for Ag, $1,257 for Au, $1.05 for Pb, and $1.31 for Zn. Guidance calculation based on the following prices: $17.25 for Ag, $1,225 for Au, $1.05 for Pb, and $1.30 for Zn.

Greens Creek

At the Greens Creek mine in 2017, 8.4 million ounces of silver and 50,855 ounces of gold were produced. For the fourth quarter, 2.1 million ounces of silver and 11,565 ounces of gold were produced. Lower silver and gold production, when compared to 2016, was due to the expected lower grades but the silver production still exceeded our estimates. The mill operated at an average of 2,300 tons per day (tpd) in 2017, a record which is about 15% greater than the throughput when we became the operator in 2008.