Hecla Mining Soars 11.62% on Strategic Debt Reduction

Hecla Mining Company's stock surged 11.62% in pre-market trading on August 7, 2025, driven by a series of strategic financial moves and positive operational updates.

Hecla Mining Company recently announced a partial redemption of $212 million of its outstanding $475 million 7.25% Senior Notes due 2028. This move is part of a broader strategy to optimize its capital structure and reduce debt. The company utilized its At-The-Market (ATM) financing facility to sell approximately 36 million common shares at an average price of $6.10 per share, raising the necessary funds for the redemption. This approach minimizes shareholder dilution compared to traditional equity financing methods.

The redemption is expected to occur on or about August 19, 2025, and will be effected on a pro rata basis. In addition to the partial redemption of the Notes, Hecla Mining also repaid in full its CAD$50 million Senior Notes issued in 2020 to Investissement Quebec, further strengthening its balance sheet. The company's strategic capital management is aimed at enhancing financial flexibility and creating opportunities for reinvestment in high-return growth opportunities.

Hecla Mining's strong operational free cash flow generation provides a solid financial foundation for both servicing debt and investing in growth. The company plans to direct capital toward optimizing production at current operations, expanding high-potential exploration programs, and advancing priority development projects. These targeted investments are designed to accelerate value creation from the existing asset base for sustained long-term growth.