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Hecla Mining Co HL

Alternate Symbol(s):  HL.PR.B

Hecla Mining Company discovers, acquires and develops mines and other mineral interests and produces and market concentrates containing silver, gold and other metals, carbon material containing silver and gold, and unrefined dore containing silver and gold. Its segments include Greens Creek, Lucky Friday, Keno Hill, Casa Berardi and Nevada Operations. The Company produces zinc, silver and precious metals flotation concentrates at Greens Creek and silver and zinc flotation concentrates at Lucky Friday. At Greens Creek, it also produces gravity concentrate containing payable silver, gold and lead. It also produces unrefined gold and silver bullion bars (dore) and loaded carbon and precipitates at Casa Berardi, which are shipped to refiners before sale of the metals to precious metal traders. Keno Hill is located in the Keno Hill Silver District in Canada's Yukon Territory. Nevada Operations consists of four land packages in northern Nevada totaling approximately 110 square miles.


NYSE:HL - Post by User

Comment by HuskySWon Aug 04, 2023 10:57am
80 Views
Post# 35573244

RE:RE:RE:RE:RE:RE:Keno Hill begins ramp-up:330 tpd in June

RE:RE:RE:RE:RE:RE:Keno Hill begins ramp-up:330 tpd in June
Your right Roberto, lets see what happens.  GLTA.  Right now i see HL just happliy cruising along.

Whatever happens or not at Keno Hill will not have the same effect on Hecla (or shareholders) as the ill fated AXU.  AXU was a startup promo investment touting all the Keno Hill history and massive silver extraction since the Klondike.  LOL  But certainly not promoting the history with all the associated risks pure and simple and then when AXU declared  instaneous operating loss $105,662,000 of Q2 of 2022 it was a shock and a breathtaking moment.

Of course investment gambling on a startup is great, but the I remember guys like bigsillyman, j33, phukital, 69r and all the other lovlies that actually had the brass to call other experienced (Keno Hill) people down when they saw the inevitable AXU demise and were ringing the bell.

For all I know HL is working on running stockpiles through the mill while courting another buyer  It's only business and they claim eght years of production capability.  :)

Back in '87 HL was trading at 20.27 USD.  If one studies what was going one at the time it made sense, will it happen again?  Who knows, perhaps.


As to my question as to HL Keno Hill feedstock.

Keno Hill (HL Site)

The Keno Hill mine began ramping up to full production in the second quarter producing 184,264 ounces of silver. Throughput in June was 330 tpd using lower-grade stockpiled ore of 17 ounces per ton (“opt”). Ore mined in the quarter had silver grades averaging 29 opt. The mill is expected to ramp up to 440 tpd by the end of the year, with annual silver production forecasted at more than 2.5 million ounces.  It would be helpfull to get updates on current operational feedstock production.

In the article below there is a reference:

"Hecla plans to build a water treatment plant at the site, and eventually it hopes to produce up to five million ounces of gold per year at Keno Hill"
First I'm hearing of it.  ;)

https://www.cbc.ca/news/canada/north/keno-hill-silver-district-new-owners-hecla-mining-company-1.6582077

Our Conclusion (CIBC)
With production pre-reported at 4.04 million ounces of silver and 39.7koz
gold, Hecla Mining printed a slight earnings miss with adjusted Q1 earnings
of $0.01/sh, compared to our estimate of $0.03/sh and consensus of
$0.02/sh, as a result of higher depreciation and interest expenses. On costs,
silver all-in sustaining costs (AISC) came in at $8.96/oz, in line with our
estimates, while gold costs came in at $2,392/oz, slightly higher than our
estimate of $2,290/oz. We maintain our Neutral rating and US$7.50 price
target at this time.


Price Target (Base Case): US$7.50
Our price target is based on the CIBC price deck, which features
a $1,810/oz gold price in 2023, $1,700/oz in 2024, and $1,650/oz
longer-term. The CIBC price deck features a $23.50/oz silver
price in 2023, $22.00/oz in 2024 and $20.00/oz longer-term.

Upside Scenario: US$23.00
Our upside scenario is based on a $3,000/oz gold price and a
$40/oz silver price.

Downside Scenario: US$2.00
Our downside scenario is based on a $1,200/oz gold price, a
$12.50/oz silver price and reduced multiples.
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