Hecla Mining Company Acquires Alexco Resource
• A fully permitted property with infrastructure that includes a 400 tonne per day mill, on-site camp facility, all-season highway access, and connection to the hydropower grid • Increases Hecla’s silver exposure by increasing proven and probable silver reserves 19% to 237 million ounces, measured and indicated resources 24% to 257 million ounces and inferred resources 7% to 523.7 million ounces • Potential to be Canada’s largest silver producer Benefits to Alexco Shareholders • Delivers an immediate up-front premium to Alexco shareholders • Allows advancement of Keno Hill’s development with an immediate and non-dilutive interim financing • Partners with the United States’ largest silver producer • Transitions from a single asset and its development risk to a diversified production base of long-lived mines and a portfolio of high-quality exploration projects • A strong balance sheet to invest in Keno Hill and continue its history of resource expansion • Enhanced capital markets profile with increased analyst coverage and trading liquidity
COEUR D’ALENE, IDAHO — Hecla Mining Company and Alexco Resource Corp. are pleased to announce a definitive agreement for Hecla to acquire all of the outstanding common shares of Alexco that Hecla does not already own. Each outstanding common share of Alexco will be exchanged for 0.116 of a share of Hecla common stock implying consideration of US$0.47 per Alexco common share and a premium of 23% based on the companies’ 5-day volume weighted average price on the NYSE and NYSE American on July 1. In addition, Hecla will provide interim financing to provide working capital and ensure the development and exploration at Keno Hill continues to be advanced and subscribe for additional common shares bringing its ownership stake to 9.9%. Hecla has also entered into an agreement with Wheaton Precious Metals Corporation (WPM) to terminate its silver streaming interest at Alexco’s Keno Hill property in exchange for US$135 million of Hecla common stock conditional upon the completion of Hecla’s acquisition of Alexco. Benefits to Hecla Shareholders • A large, high-grade silver property in the Yukon, a top 10 rated jurisdiction by the Fraser Institute
Developing Alaska's Next Gold Mine(s)
In Partnership with
The Tetlin Alaska Native Tribe & Kinross as Operator
Contact us info@contangoore.com www.contangoore.com
NYSE-A: CTGO FAIRBANKS, AK
www.alaskaminers.org I The Alaska Miner I August 2022
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