The Green's Creek mine
As precious metals miner Hecla is continuing to grow its silver production, silver revenue has exceeded gold revenue for the second consecutive quarter, president and CEO Philip Baker reported on Wednesday.
The miner produced four-million ounces of silver, a 10% increase over the fourth quarter of 2022 and more than any quarter since 2016.
Silver revenue accounted for 38% and gold revenue for 35% of the total sales of $199.5-million.
“Greens Creek had excellent operational performance achieving record throughput and very strong silver and record gold production, and Lucky Friday exceeded 1.2-million ounces of silver production for the third time out of the last four quarters,” reported Baker.
He said Greens Creek and Lucky Friday generated $69-million in free cash flow with both mines exceeding $31-million.
“Our first priority in capital allocation of this free cash flow is investing it in our mines – particularly Keno Hill, which remains on track to produce more than 2.5-million ounces of silver this year, Casa Berardi, where we are beginning the transition to a primarily openpit operation, and Lucky Friday, where we are completing the ore bunker and service hoist.”
Baker concluded, “Hecla produced 45% of United States silver in 2022, making us the nation’s largest silver producer. With almost 17-million ounces of silver production expected in 2023 and potentially increasing to 20-million ounces by 2025, Hecla is expected to become Canada’s largest silver producer as well.
“Our production growth provides shareholders more exposure to silver from long-lived, low-cost mines that will help provide silver needed for solar power, the fastest growing renewable energy source.”