Hecla Mining Charts a New Course with Asset Sale and Production Outlook

Hecla Mining Company is embarking on a defined strategic path for the new year, marked by a significant asset divestiture and robust forward-looking production guidance. The company's latest moves underscore a clear intent to fortify its core business and financial standing.

Operational results for the previous year set a strong foundation. In 2025, Hecla's silver output reached 17.0 million ounces, exceeding the prior year's total by more than five percent and hitting the top end of the company's forecast. Gold production also surpassed expectations, coming in at 150,509 ounces. The Lucky Friday Mine was a standout contributor, delivering a record 5.3 million ounces of silver.

Looking ahead to 2026, the company anticipates silver production to be between 15.1 and 16.5 million ounces. Concurrently, Hecla has set a record budget for exploration and development work. Planned investments in this area are approximately $55 million, nearly double the previous year's amount. Total capital expenditures for the year are projected to fall between $255 million and $279 million. These strategic priorities were detailed during an Investor Day presentation in New York this Monday.

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Divesting a Gold Mine to Strengthen the Balance Sheet

A central pillar of Hecla's refreshed strategy is the announced sale of its Casa Berardi gold mine in Canada. The company has entered into an agreement with Orezone Gold Corporation for the transaction, which has the potential to generate total proceeds of up to $593 million. A portion of the final consideration is contingent upon production milestones and gold prices.

Upon closure of the deal, expected in the first quarter of 2026, Hecla is set to receive approximately $160 million in immediate cash. Management has indicated these funds will be prioritized for debt reduction and bolstering the corporate balance sheet. This divestiture highlights a strategic shift to concentrate resources on the company's primary silver assets.

Investors can expect the next significant update on February 12, 2026, when Hecla Mining is scheduled to release its complete fourth-quarter and full-year financial results.