Hecla to Sell Casa Berardi for $272M Upfront with $231M Contingent Payments
Hecla Mining agreed to sell its Casa Berardi subsidiary to Orezone for $272 million upfront—including $160 million cash and $112 million in equity—and up to $231 million in contingent payments, with closing targeted in Q1 2026. The divestment supports Hecla’s shift to a silver-first strategy, reducing non-core gold exposure and strengthening liquidity.
1. Hecla Schedules Fourth Quarter and Full-Year 2025 Results Release
Hecla Mining Company will report its Q4 and full-year 2025 operational and financial results on February 17, 2026, immediately after the New York Stock Exchange closes. Management has scheduled a conference call and webcast for February 18, 2026, at 10:00 a.m. Eastern Time. Investors can access the live webcast via Hecla’s website or through a toll-free dial-in (1-800-715-9871 in the U.S. and Canada; 1-646-307-1963 internationally) using Conference ID 4812168. The presentation will cover production metrics, cost of sales, capital expenditures, and guidance updates.
2. Casa Berardi Sale to Orezone Valued at $272 Million
Hecla has agreed to sell its wholly owned subsidiary Hecla Quebec Inc., owner of the Casa Berardi mine and related exploration properties, to Orezone Gold for $272 million in upfront consideration. The transaction comprises $160 million in cash (funded by Orezone’s treasury and a Franco-Nevada streaming financing) and $112 million in Aurizon shares representing a 9.9% equity stake. Deferred and contingent payments of $80 million are scheduled at 18 and 30 months post-closing, with potential earn-outs of up to $241 million tied to permitting outcomes, production from the WMCP and Principal pits, and gold price performance through 2026. The deal is expected to close in Q1 2026 pending standard regulatory approvals.
3. Investor Day Emphasizes ‘Silver-First’ Focus and Strengthened Balance Sheet
At its Investor Day, Hecla outlined a renewed strategic emphasis on silver, underpinned by the Casa Berardi divestiture. As of year-end 2025, the company held $242 million in cash and over $500 million in total liquidity, having reduced gross debt by 50% year-over-year and improved leverage from 1.6× to 0.4× EBITDA. Free cash flow rose to $310 million. For 2026, Hecla forecasts silver production of 15.1–16.5 million ounces at an all-in sustaining cost of $15–$16.25 per ounce, and gold production of 134–146 thousand ounces at AISC of $2,150–$2,350 per ounce. Capital spending is projected at $255–$279 million, with a $55 million exploration budget—a near doubling of 2025 levels—focused on higher-grade targets and brownfield expansion at existing operations.