Hecla Mining Company has agreed to divest its wholly owned Casa Berardi subsidiary in Quebec to Orezone Gold Corporation for total consideration of up to $593 million. The transaction comprises $352 million of upfront and deferred payments—$160 million in cash and $112 million in Orezone common shares at closing, plus $80 million in two cash installments at 18 and 30 months post-closing—and up to $241 million in contingent consideration tied to gold price triggers and future permitting and production milestones at the Principal and WMCP open pits. Completion is anticipated in the coming quarter and will enable Hecla to redeploy capital into its core silver portfolio, strengthen its balance sheet and reduce net debt levels.

Hecla reported record consolidated silver output of 17.0 million ounces in 2025, a 5% increase over the prior year that positioned production at the top end of guidance. Lucky Friday led with 5.3 million ounces, Greens Creek delivered 8.7 million ounces alongside 59,349 ounces of gold, and Keno Hill contributed 3.0 million ounces. Gold production at Casa Berardi reached 91,160 ounces. For 2026, Hecla forecasts silver output of 15.1–16.5 million ounces and gold production of 134,000–146,000 ounces. The company plans a record $55 million investment in exploration and pre-development, nearly doubling 2025 levels, while total capital spending is guided to $255–279 million. Silver cash costs are expected at negative $1.50 to negative $1.25 per ounce after by-product credits, with all-in sustaining costs of $15.00–16.25 per ounce.

Proceeds from the Casa Berardi sale will be used to accelerate debt reduction and support incremental growth and exploration across Hecla’s flagship silver assets in Alaska and Idaho. The transaction enhances liquidity, with approximately $160 million of cash at closing plus deferred cash inflows, and eliminates exposure to gold‐only operations, sharpening Hecla’s focus on silver production. Management expects the capital reallocation to lower overall cost of capital, improve free cash flow generation at current silver prices, and sustain shareholder distributions through a reinforced balance sheet.