Hecla Reports Record Gold And Silver Production

 

 

COEUR D'ALENE, ID - Hecla Mining Company reported preliminary silver and gold production results¹ for the first quarter of 2016.

Highlights: Record silver production of 4,642,703 ounces, a 61% increase; Gold production of 55,688 ounces, a 37% increase; Record silver equivalent production of 12,033,955 ounces, a 37% increase; Lead production increased 12% and zinc production increased 7.9% and 2016 production and cost expectations will be reviewed in conjunction with the first quarter financial results on May 5, 2016.

“For the first quarter of 2016, our 125th year of operations, we produced a record 4.6 million ounces of silver and 12 million silver equivalent ounces,” said Phillips S. Baker, Jr., Hecla’s President and CEO. “We believe the first quarter silver equivalent production will be the highest for the year, due to grades that were higher than those expected for the remainder of the year. Our strategy of growing production through the downturn in prices is now allowing us to reap a larger benefit from the recent higher prices.”

At the Greens Creek mine, 2,458,275 ounces of silver were produced in the first quarter of 2016, 21% higher than the 2,035,966 ounces produced in the prior year period, and 15,981 ounces of gold were produced, 4.9% higher than the 15,239 ounces in the prior year period. Higher throughput and recoveries contributed to increased silver and gold production, with silver additionally benefiting from grades that were about 2 ounces/ton higher than anticipated and which are expected to moderate as the year progresses. The mill operated at an average of 2,252 tons per day (tpd) in the first quarter.

At the Lucky Friday mine, 977,084 ounces of silver were produced in the first quarter, 17% higher than the 836,719 ounces produced in the prior year period. The increase in silver production was principally due to higher grades. The mill operated at an average of 813 tpd in the first quarter.

The #4 Shaft Project is expected to reach its final depth of 8,600 feet below surface in the next few weeks. The focus then turns to equipping the shaft with steel sets, guides, skip loading facilities and electrical infrastructure, with the goal of the shaft being fully operational in the fourth quarter of this year, and to beginning the lateral development necessary to provide access to higher-grade material.