Cobalt Supply Economics and the Lucky Friday Mine in American West Production

--- PAGE 1 ---

COBALT
(Data in metric tons, cobalt content, unless otherwise specified)
Domestic Production and Use: In 2024, the Eagle Mine, a nickel-copper mine in Michigan, produced cobalt-bearing
nickel concentrate, which was exported to Canada or overseas for processing. Mining activity at a cobalt-copper-gold
mine in Idaho remained suspended in 2024 owing to low cobalt prices. Most U.S. cobalt supply consisted of imports
and secondary (scrap) materials. About five companies in the United States produced cobalt chemicals. An estimated
51% of cobalt consumed in the United States was used in superalloys, mainly aircraft gas turbine engines; 25% in a
variety of chemical applications; 15% in various other metallic applications; and 9% in cemented carbides for cutting
and wear-resistant applications. The total estimated value of cobalt consumed in 2024 was $260 million.
Salient Statistics—United States:

2024e
Production:e
Mine

Secondary1
2,010
1,800
1,920
2,030
2,000
Imports for consumption
9,740
9,790
10,500
9,500
11,000
Exports
3,430
4,930
5,360
5,110
4,500
Consumption (includes secondary):
Estimated2
7,260
7,270
7,570
7,840
8,000
Price, average, dollars per pound:
Apparente, 3
8,480
6,650
7,150
6,440
8,500
U.S. spot, cathode4
15.70
24.21
30.78
17.20

London Metal Exchange (LME), cash
14.21
23.17
28.83
15.48

Stocks, yearend:
Industrye, 2, 5

1,010

LME, U.S. warehouse

Net import reliance6 as a percentage of apparent
consumption

Recycling: In 2024, cobalt content of purchased scrap represented 25% of estimated cobalt consumption.
Import Sources (2020–23): Metal, oxide, and salts: Norway, 27%; Finland, 17%; Japan, 14%; Canada, 13%; and
other, 29%.
Tariff:      Item
Number
Normal Trade Relations
Cobalt ores and concentrates
2605.00.0000
Free.
12–31–24
Chemical compounds:
Cobalt oxides and hydroxides
2822.00.0000
0.1% ad valorem.
Cobalt chlorides
2827.39.6000
4.2% ad valorem.
Cobalt sulfates
2833.29.1000
1.4% ad valorem.
Cobalt carbonates
2836.99.1000
4.2% ad valorem.
Cobalt acetates
2915.29.3000
4.2% ad valorem.
Unwrought cobalt, alloys
8105.20.3000
4.4% ad valorem.
Unwrought cobalt, other
8105.20.6000
Free.
Cobalt mattes and other intermediate products;
8105.20.9000
Free.
Cobalt waste and scrap
8105.30.0000
Free.
cobalt powders
Wrought cobalt and cobalt articles
8105.90.0000
3.7% ad valorem.
Depletion Allowance: 22% (domestic), 14% (foreign).
Government Stockpile:7
FY 2024
FY 2025
Material
acquisitions
Potential
Potential
disposals
acquisitions
Potential
Potential
disposals
Cobalt alloys, gross weight8

Prepared by Samantha M. Ewing [(703) 648–6183, sewing@usgs.gov]

--- PAGE 2 ---
COBALT
U.S. Geological Survey, Mineral Commodity Summaries, January 2025
Events, Trends, and Issues: Global cobalt mine and refinery production were estimated to have increased to
another record high in 2024. The increase in mine production was mainly in Congo (Kinshasa), the world’s leading
source of mined cobalt, which accounted for an estimated 76% of world cobalt mine production, followed by
Indonesia, which accounted for 10%. China was the world’s leading producer of refined cobalt and increased metal
refining capacity throughout the year. The majority of China’s refinery production was from partially refined cobalt
imported from Congo (Kinshasa) and Indonesia. China was the world’s leading consumer of cobalt, with the majority
used by the lithium-ion battery industry. New production of mined and refined cobalt has led to excess global supply
and lower cobalt prices. In 2024, the United States enacted tariff rate increases on cobalt ores and concentrates
originating from China, as well as cobalt-containing products including electric vehicles and lithium-ion batteries.
World Mine Production and Reserves: Reserves for the United States, Canada, Indonesia, Papua New Guinea,
and “Other countries” were revised based on company and Government reports.

   Mine productione
Reserves9

United States

70,000
Australia
5,220
3,600
101,700,000
Canada
4,220
4,500
220,000
Congo (Kinshasa)
175,000
220,000
6,000,000
Cuba
3,300
3,500
500,000
Indonesia
19,000
28,000
640,000
Madagascar
4,000
2,600
100,000
New Caledonia11
2,570
1,500
NA
Papua New Guinea
3,070
2,800
62,000
Philippines
3,800
3,800
260,000
Russia
8,700
8,700
250,000
Turkey
2,500
2,700
91,000
Other countries
    6,080
    6,200
     800,000
World total (rounded)
238,000
290,000
11,000,000
World Resources:9 Identified cobalt resources of the United States are estimated to be about 1 million tons. Most of
these resources are in Minnesota. Other notable occurrences are in Alaska, California, Idaho, Michigan, Missouri,
Montana, Oregon, and Pennsylvania. Identified world terrestrial cobalt resources are about 25 million tons. The vast
majority of global resources are in sediment-hosted stratiform copper deposits in Congo (Kinshasa) and Zambia;
nickel-bearing laterite deposits in Australia and nearby island countries and Cuba; and magmatic nickel-copper sulfide
deposits of mafic and ultramafic rocks in Australia, Canada, Russia, and the United States.
Substitutes: Depending on the application, substitution for cobalt could result in a loss in product performance or
increase cost. The cobalt contents of lithium-ion batteries, the leading global use for cobalt, are being reduced; cobaltfree substitutes that use iron and phosphorus held significant market share in China. Potential substitutes in other
applications include barium or strontium ferrites, neodymium-iron-boron alloys, or nickel-iron alloys in magnets;
cerium, iron, lead, manganese, or vanadium in paints; cobalt-iron-copper or iron-copper in diamond tools; copperiron-manganese for curing unsaturated polyester resins; iron, iron-cobalt-nickel, nickel, ceramic-metallic composites
(cermets), or ceramics in cutting and wear-resistant materials; nickel-base alloys or ceramics in jet engines; nickel in
petroleum catalysts; rhodium in hydroformylation catalysts; and titanium-base alloys in prosthetics.
eEstimated, — Zero. NA Not available.
1Estimated from consumption of purchased scrap.
2Includes reported data and U.S. Geological Survey estimates.
3Defined for 2020–22 as secondary production + imports – exports ± adjustments for Government and industry stock changes for refined cobalt.
Beginning in 2023, Government stock changes no longer included.
4Source: S&P Global Platts Metals Week. Cobalt cathode is refined cobalt metal produced by an electrolytic process.
5Stocks held by consumers and processors; excludes stocks held by trading companies and held for investment purposes.
6Defined for 2020–22 as imports – exports ± adjustments for Government and industry stock changes for refined cobalt. Beginning in 2023,
Government stock changes no longer included.
7See Appendix B for definitions.
8Samarium-cobalt alloy; excludes potential disposals of aerospace alloys.
9See Appendix C for resource and reserve definitions and information concerning data sources.
10For Australia, Joint Ore Reserves Committee-compliant or equivalent reserves were 610,000 tons.
11Overseas territory of France.

--- PAGE 1 ---
Technical Report Summary on the
Lucky Friday Mine, Idaho, USA
S-K 1300 Report
Hecla Mining Company
SLR Project No:  101.00632.00022
February 21, 2022

--- PAGE 2 ---
Technical Report Summary on the Lucky Friday Mine, Idaho, USA
SLR Project No:  101.00632.00022

Prepared by
SLR International Corporation
22118 20th Ave SE, Suite G202
Bothell, WA 98021 USA
for

Hecla Mining Company
6500 N. Mineral Drive, Suite 200
Coeur d’Alene
Idaho, USA  83815

Effective Date – December 31, 2021
Signature Date - February 21, 2022

FINAL

Distribution:
1 copy – Hecla Mining Company

1 copy – SLR International Corporation

--- PAGE 3 ---
CONTENTS
1.0 EXECUTIVE SUMMARY
1.1 Summary
1.2 Economic Analysis
1.3 Technical Summary
2.0 INTRODUCTION
2.1 Site Visits
2.2 Sources of Information
2.3 List of Abbreviations
3.0 PROPERTY DESCRIPTION
3.1 Location
3.2 Land Tenure
3.3 Encumbrances
3.4 Royalties
3.5 Required Permits and Status
3.6 Other Significant Factors and Risks
4.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES
4.1 Accessibility
4.2 Climate
4.3 Local Resources and Infrastructure
4.4 Physiography
5.0 HISTORY
5.1 Introduction and Previous Ownership
5.2 Exploration and Development of the Lucky Fr
5.3 Exploration and Development of the Lucky Fr
5.4 Historical Resource Estimates
5.5 Past Production
6.0 GEOLOGICAL SETTING, MINERALIZATION, A
6.1 Regional Geology
6.2 Local and Property Geology
6.3 Mineralization
6.4 Deposit Types
7.0 EXPLORATION
7.1 Exploration
7.2 Drilling
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 i
  1-1
  1-1
  1-7
  1-9
  2-1
  2-1
  2-2
  2-3
  3-1
  3-1
  3-3
  3-5
  3-5
  3-5
  3-6
S, INFRASTRUCTURE AND PHYSIOGRAPHY   4-1
  4-1
  4-1
  4-1
  4-1
  5-1
  5-1
riday Vein System   5-1
riday Expansion Area (Gold Hunter)   5-3
  5-6
  5-7
AND DEPOSIT   6-1
  6-1
  6-4
  6-12
  6-13
  7-1
  7-1
  7-1
.00022
i

--- PAGE 4 ---
7.3
Hydrogeology Data   7-4
7.4
Geotechnical Data   7-5
8.0
SAMPLE PREPARATION, ANALYSES, AND SECURITY   8-1
8.1
Sample Preparation and Analysis   8-1
8.2
Bulk Density   8-2
8.3
Quality Assurance and Quality Control   8-3
8.4
SLR Review of QA/QC Results   8-4
8.5
Sample Security  8-7
8.6
QP Comments   8-8
9.0
DATA VERIFICATION   9-1
9.1
Database Procedures   9-1
9.2
SLR Validation Procedures   9-1
9.3
Validation Limitations and SLR QP Comments   9-3
10.0
MINERAL PROCESSING AND METALLURGICAL TESTING   10-1
10.1
Metallurgical Testing of Gold Hunter Ore by Dawson Metallurgical Laboratories-2008   10-1
10.2
Lucky Friday Mill Audit Report by Blue Coast Metallurgy Ltd. – 2011   10-6
11.0
MINERAL RESOURCE ESTIMATES   11-1
11.1
Summary   11-1
11.2
Gold Hunter   11-2
11.3
Lucky Friday Mine   11-33
12.0
MINERAL RESERVE ESTIMATES   12-1
12.1
Summary   12-1
12.2
Conversion to Mineral Reserves   12-2
12.3
Cut-Off Grade   12-3
12.4
Dilution   12-4
12.5
Extraction   12-5
12.6
Comparison to Previous Estimates   12-5
12.7
Mineral Reserve Reconciliation   12-7
13.0
MINING METHODS   13-1
13.1
Mine Operations   13-1
13.2
Ground Conditions   13-9
13.3
Mine Equipment and Personnel   13-12
13.4
Mine Infrastructure   13-13
13.5
Mine Plan   13-16
13.6
Mine Workforce   13-22
14.0
PROCESSING AND RECOVERY METHODS   14-1

Technical Report Summary -  February 21, 2022
ii

--- PAGE 5 ---
14.1
Crushing   14-1
14.2
Grinding   14-3
14.3
Flotation   14-5
14.4
Concentrate Dewatering   14-9
14.5
Tailings Dewatering and Disposal   14-11
14.6
Water Systems   14-14
14.7
Water Treatment Plants   14-14
14.8
Mill Production   14-14
14.9
Process Workforce   14-15
15.0
INFRASTRUCTURE   15-1
15.1
Access Roads   15-1
15.2
Power   15-1
15.3
Water   15-1
15.4
Accommodation Camp   15-1
15.5
Site Infrastructure   15-1
16.0
MARKET STUDIES   16-1
16.1
Markets   16-1
16.2
Contracts   16-2
17.0
ENVIRONMENTAL STUDIES, PERMITTING, AND PLANS, NEGOTIATIONS, OR
AGREEMENTS WITH LOCAL INDIVIDUALS OR GROUPS  17-1
17.1
Environmental Studies and Monitoring   17-1
17.2
Permitting   17-1
17.3
Reclamation and Closure   17-3
17.4
Social Governance   17-4
18.0
CAPITAL AND OPERATING COSTS   18-1
18.1
Capital Costs   18-1
18.2
Operating Costs   18-2
19.0
ECONOMIC ANALYSIS   19-1
19.1
Economic Criteria   19-1
19.2
Cash Flow Analysis   19-2
19.3
Sensitivity Analysis   19-5
20.0
ADJACENT PROPERTIES   20-1
21.0
OTHER RELEVANT DATA AND INFORMATION   21-1
22.0
INTERPRETATION AND CONCLUSIONS   22-1
22.1
Geology and Mineral Resources   22-1
22.2
Mining and Mineral Reserves   22-2

Technical Report Summary -  February 21, 2022
iii

--- PAGE 6 ---
22.3
Mineral Processing   22-3
22.4
Infrastructure   22-4
22.5
Environment   22-4
23.0
RECOMMENDATIONS   23-1
23.1
Geology and Mineral Resources   23-1
23.2
Mining and Mineral Reserves   23-1
23.3
Mineral Processing   23-1
23.4
Infrastructure   23-1
23.5
Environment   23-2
24.0
REFERENCES   24-1
25.0
RELIANCE ON INFORMATION PROVIDED BY THE REGISTRANT   25-1
26.0
DATE AND SIGNATURE PAGE   26-1
27.0
APPENDIX 1   27-1
27.1
Sample Statistics   27-2
27.2
Composite Statistics   27-4
27.3
Semi-Variograms   27-7
27.4
List of Claims   27-9

Technical Report Summary -  February 21, 2022
iv

--- PAGE 7 ---
Technical Report Summary -  February 21, 2022
v
TABLES
Table 1-1:
Production Summary   1-7
Table 1-2:
Life of Mine Indicative Economic Results  1-8
Table 1-3:
Summary of Mineral Resources – December 31, 2021   1-11
Table 1-4:
Summary of Mineral Reserves – December 31, 2021   1-12
Table 1-5:
Capital Cost Summary   1-16
Table 1-6:
Operating Cost Summary   1-16
Table 3-1:
Environmental Authorizations, Operating Permits, and Registrations   3-5
Table 5-1:
Summary of Lucky Friday Vein Exploration by Elevation and Year   5-2
Table 5-2:
Summary of Gold Hunter Vein Exploration by Elevation and Year   5-3
Table 5-3:
Previous Mineral Resource Estimate – December 31, 2020   5-6
Table 5-4:
Previous Mineral Reserve Estimate – December 31, 2020   5-7
Table 8-1:
Standards Grades   8-3
Table 10-1: DML Head Analysis Summary  10-1
Table 10-2: DML Grinding Test Results Summary   10-2
Table 10-3: Dawson Locked Cycle Test Summary, Cycles 5 to 7   10-3
Table 10-4: Locked Cycle Test Flotation Concentrate ICP Scan Results   10-5
Table 11-1: Summary of Mineral Resources – December 31, 2021   11-1
Table 11-2: Summary of Holes – Gold Hunter   11-3
Table 11-3: Summary of Samples – Gold Hunter   11-3
Table 11-4: Top Cuts   11-9
Table 11-5: Variogram Models   11-12
Table 11-6: Block Model Geometry   11-13
Table 11-7: Block Model Variables   11-13
Table 11-8: Search Parameters   11-15
Table 11-9: Comparison of Global Block and Composite Grades   11-22
Table 11-10: Comparison of Block Models at the US$200/t Cut-Off   11-26
Table 11-11: Gold Hunter Mineral Resources to December 31, 2021   11-31
Table 11-12: Depth Reduction Factors  11-37
Table 11-13: Lucky Friday Mineral Resources – December 31, 2021   11-38
Table 12-1: Summary of Mineral Reserves – December 31, 2021   12-1
Table 12-2: Mineral Reserves by Vein – December 31, 2021   12-2

--- PAGE 8 ---
Technical Report Summary -  February 21, 2022
vi
Table 12-3: NSR Cut-off Values (US$/ton)   12-3
Table 12-4: Mineral Reserve Comparison 2020 to 2021  12-6
Table 12-5: Mineral Reserve Change 2020 to 2021 After Production   12-7
Table 12-6: Q1 to Q3 2021 Reconciliation Data   12-9
Table 12-7: Q1 to Q3 2021 Reconciliation Results   12-10
Table 12-8: 2021 Reconciliation Data   12-11
Table 12-9: 2021 Reconciliation Results   12-11
Table 13-1: Lucky Friday Mine Production Summary   13-1
Table 13-2: Lucky Friday Mobile Equipment Fleet   13-12
Table 13-3: Annual LOM Production   13-18
Table 13-4: Annual Development Plan   13-21
Table 14-1: Hecla Lucky Friday Mill Production from 2016 through 2021   14-14
Table 16-1: Hecla Historical Average Realized Metal Prices   16-2
Table 16-2: Lead and Zinc Forward Sales Summary   16-3
Table 17-1: Permits and Authorizations  17-2
Table 18-1: Capital Cost Summary   18-1
Table 18-2: 2016 to 2021 Operating Cost Data  18-2
Table 18-3: Operating Cost Summary   18-3
Table 18-4: Current Manpower   18-4
Table 18-5: LOM Manpower Levels   18-4
Table 19-1: Production Summary   19-1
Table 19-2: After-Tax Cash Flow Summary   19-3
Table 19-3: Sensitivity Analysis Summary   19-6

--- PAGE 9 ---
Technical Report Summary -  February 21, 2022
vii
FIGURES
Figure 3-1: Lucky Friday Mine Location Map   3-2
Figure 3-2: Lucky Friday Complex Claim Map   3-4
Figure 6-1: Regional Geology   6-2
Figure 6-2: Lewis and Clark Line   6-3
Figure 6-3: Local Geology   6-5
Figure 6-4: Stratigraphic Column   6-6
Figure 6-5: Property Geology   6-9
Figure 6-6: Geological Plan 5900 Level  6-10
Figure 6-7: Cross Section   6-11
Figure 7-1: Gold Hunter Diamond Drill Plan   7-2
Figure 8-1: Prep Duplicates – Silver   8-4
Figure 8-2: Pulp Split Duplicates – Silver   8-5
Figure 8-3: Example Control Chart for Silver – Standard C (ALS)   8-6
Figure 8-4: Example Control Chart for Zinc – Standard C (ALS)   8-6
Figure 8-5: Example Control Chart For Lead – Standard D (Gem)   8-7
Figure 11-1: 30 Vein 3D View Looking Northwest   11-5
Figure 11-2: Log Histogram and Probability Plot For Silver – 30 Vein   11-6
Figure 11-3: Probability Plot of Sample Lengths   11-11
Figure 11-4: 90 Vein Classification   11-18
Figure 11-5: 90 Vein Classification   11-20
Figure 11-6: Drift Analyses – 30 Vein   11-24
Figure 11-7: Drift Analyses – 60 Vein   11-25
Figure 11-8: Tonnage and Grade Curves   11-27
Figure 11-9: Longitudinal Projection – 50 Vein   11-29
Figure 11-10:
Longitudinal Projection – 30 Vein   11-30
Figure 11-11:
Example Longitudinal Projection of Lucky Friday Vein   11-35
Figure 12-1: Dilution Schematic   12-4
Figure 13-1: Isometric View of As-built Lucky Friday Workings   13-2
Figure 13-2: Mechanized Overhand and Underhand Stoping   13-4
Figure 13-3: Underhand Closed Bench Mining Method Schematic   13-5
Figure 13-4: Conceptual Fault-Slip in UCB Cross Section   13-6

--- PAGE 10 ---
Technical Report Summary -  February 21, 2022
viii
Figure 13-5: Backfill Schematic  13-8
Figure 13-6: Lucky Friday ESG Seismic Monitoring System Schematic   13-11
Figure 13-7: Mine Cooling System Schematic   13-15
Figure 13-9: Longitudinal Section – 2D View  13-19
Figure 13-10:
Longitudinal Section – Oblique View   13-20
Figure 14-1: Crushing Process Flow Diagram   14-2
Figure 14-2: Grinding Process Flow Diagram   14-4
Figure 14-3: Lead Flotation Process Flow Diagram   14-6
Figure 14-4: Zinc Flotation Process Flow Diagram   14-8
Figure 14-5: Concentrate Dewatering Process Flow Diagram   14-10
Figure 14-6: Tailings Sand Plant Process Flow Diagram   14-12
Figure 14-7: Tailings Water Treatment Process Flow Diagram   14-13
Figure 15-1: Infrastructure Layout   15-0
Figure 19-1: After-tax NPV at 5% Sensitivity Analysis   19-7

APPENDIX TABLES AND FIGURES
Table A1:
Sample Statistics - Silver (oz/ton)   27-2
Table A2:
Sample Statistics - Iron (%)   27-2
Table A3:
Sample Statistics - Lead (%)  27-3
Table A4:
Sample Statistics - Zinc (%)   27-3
Table A5:
 Composite Statistics - Silver (oz/ton)   27-4
Table A6:
 Composite Statistics - Iron (%)   27-5
Table A7:
 Composite Statistics - Lead (%)   27-5
Table A8:
 Composite Statistics - Zinc (%)   27-6
Table A9:
Unpatented Mineral Claims – Lucky Friday Mine   27-9
Table A10: Patented Mineral Claims – Lucky Friday Mine   27-12

Figure A1:
Variogram Model For Silver – 30 Vein   27-7
Figure A2:
Variogram Model For Iron – 30 Vein  27-7
Figure A3:
Variogram Model For Lead – 30 Vein   27-8
Figure A4:
Variogram Model For Zinc – 30 Vein   27-8

--- PAGE 11 ---
Technical Report Summary -  February 21, 2022
1-1
1.0 EXECUTIVE SUMMARY
1.1
Summary
SLR International Corporation (SLR) was retained by Hecla Mining Company (Hecla) to prepare an
independent Technical Report Summary (TRS) on the Lucky Friday Mine (Lucky Friday or the Property),
located in Shoshone County, Idaho, USA.  Hecla owns and operates 100% of the Property via ownership
through two of its 100% owned subsidiaries.
The purpose of this TRS is to disclose the results of the Mineral Resource and Mineral Reserve estimates
for the Property with an effective date of December 31, 2021.
Hecla is listed on the New York Stock Exchange (NYSE) and currently reports Mineral Reserves of lead,
zinc, silver, and gold in United States Securities and Exchange Commission (SEC) filings.  This TRS conforms
to SEC’s Modernized Property Disclosure Requirements for Mining Registrants as described in Subpart
229.1300 of Regulation S-K, Disclosure by Registrants Engaged in Mining Operations (S-K 1300) and Item
601 (b)(96) Technical Report Summary.  SLR visited the Property on October 5 and 6, 2021.
The Property includes the Lucky Friday mine and processing plant (or mill) in the city of Mullan, Idaho.
The mine is a deep underground silver, lead, and zinc mine that produces silver and zinc concentrates
from ore-bearing fissure veins.  The plant is a concentrator facility producing silver and zinc concentrates
that has a current operating rate of 1,000 short tons per day (stpd).
The Property commenced operations in 1942 and observed its 75th anniversary in 2017.  In 2021, the
underground operation mined 315,000 tons of ore and produced 32,000 tons of silver concentrates and
14,000 tons of zinc concentrates.  The concentrates were transported 209 miles (mi) to the Teck Metals
Ltd. (Teck) lead/zinc smelter in Trail, British Columbia, Canada in highway trucks operated by a contract
shipper.  This 2021 production profile amounted to 3.6 million ounces (Moz) of silver, 23,100 tons of lead,
and 10,000 tons of zinc produced.
1.1.1 Conclusions
SLR offers the following conclusions by area.
1.1.1.1
Geology and Mineral Resources

As prepared by Hecla and reviewed and accepted by SLR, the Lucky Friday Measured and Indicated
Mineral Resources are estimated to total approximately 10.50 million tons (Mst) at an average
grade of approximately 7.6 oz/ton Ag, 4.9% Pb, and 2.5% Zn.  Inferred Mineral Resources are
estimated at approximately 5.38 Mst at an average grade of approximately 7.8 oz/ton Ag, 5.8%
Pb, and 2.4% Zn.  All Mineral Resources are effective as of December 31, 2021 and are stated
exclusive of Mineral Reserves.

The drilling, core handling, logging, and sampling at Lucky Friday is being conducted according to
common industry practice, in a manner appropriate for the deposit type and mineralization style.

The chip sampling practices at the site are reasonable, appropriate for the mineralization style,
and consistent with common industry practice.

Bulk density estimates are conducted in a reasonable fashion, using an appropriate method.

--- PAGE 12 ---
Technical Report Summary -  February 21, 2022
1-2

Samples are handled and transported securely and only in the custody of Hecla employees or
bonded carriers.

The assay quality assurance and quality control (QA/QC) protocols in place at Lucky Friday are
rigorous, and the results to date are satisfactory.

The sampling is done such that the samples are representative of the mineralized bodies. There
are no concerns apparent with the assay results and they are suitable for use in a Mineral
Resource estimate.

The databases are managed in a secure environment, using conventional off-the-shelf software
packages that are up-to-date and appropriate for the tasks to which they are applied.  The staff
are competent, well-trained, and experienced and they have been provided with clear and
reasonable protocols to follow.

The database on which resource estimation is based is properly configured and maintained and is
appropriate for use in estimation of Mineral Resources and Mineral Reserves.

The wireframe models for the veins are reasonable and representative of the host structures.
Minor inconsistencies exist but are not considered to be a serious concern, and will be resolved
with additional work.

The sample grade distributions for silver, lead, and zinc are observed to be positively skewed
which could result in biases in the block interpolations unless corrective measures are taken.
Capping is currently being employed at Lucky Friday and this is viewed as appropriate.

There is evidence of sub-populations within the grade distributions for several veins. Additional
work may be warranted to identify and isolate these sub-populations if possible.

Compositing of the samples is carried out in a reasonable fashion.

The block model is configured appropriately and constructed with off-the-shelf software that is
commonly used in the industry.

The grade interpolations were conducted in a reasonable manner consistent with common
practice using an appropriate estimation algorithm commonly used within the industry.

The Mineral Resources are classified according to the Committee for Mineral Reserves
International Reporting Standards (CRIRSCO) definitions and, as such, are consistent with the
requirements of S-K 1300.

The method used to apply the classification is broadly consistent with common industry practice,
although the resulting categorizations appear somewhat aggressive for Measured.

The net smelter return (NSR) cut-off value is a reasonable approach which has been applied in an
appropriate manner.

The validation methods used at Lucky Friday are appropriate, although they represent a fairly
minimum standard of review.

The stope optimization and reporting procedures are generally reasonable.

The Mineral Resource estimate for Lucky Friday has been carried out in a reasonable fashion,
consistent with conventional, although somewhat dated, industry practice.
1.1.1.2
Mining and Mineral Reserves

Mineral Reserve estimates, as prepared by Hecla and reviewed and accepted by SLR, have been
classified in accordance with the definitions for Mineral Reserves in S-K 1300.  Mineral Reserves

--- PAGE 13 ---
Technical Report Summary -  February 21, 2022
1-3
as of December 31, 2021 total 5.46 Mst grading 13.7 oz/ton Ag, 8.3% Pb, and 3.3% Zn and
containing 74.7 Moz of silver, 452,000 tons of lead and 181,000 tons of zinc at an NSR cut-off
value of US$208/ton.

Measured and Indicated Mineral Resources were converted to Proven and Probable Mineral
Reserves, respectively, through the application of modifying factors.  Inferred Mineral Resources
were not converted to Mineral Reserves.

The Mineral Reserves are all located within the Gold Hunter deposit in seven separate veins.  The
30 Vein is the most significant with 68% of the Mineral Reserve tonnage and 70% of the contained
silver.

Mineral Reserves are estimated by qualified professionals using modern mine planning software
in a manner consistent with industry practice.

Lucky Friday is an old, well established mine with many years of operating experience, providing
the necessary expertise to safely and economically extract the Mineral Reserves.

Mining at Lucky Friday utilizes mechanized underhand cut and fill, and underhand closed benching
(UCB) with cemented paste backfill.  In this method, the mining progresses downwards in a stope,
occurring beneath the cemented paste backfill of the preceding lift.  The mining methods used
are appropriate to the deposit style, depth and geotechnical conditions and employ a range of
modern mining equipment;

The mine developed the UCB method for bulk mining of the 30 Vein.  This method is designed to
improve safety through the management of seismic events and to increase productivity. The UCB
method is a bulk mining method which utilizes 27 ft deep blastholes with ore mucked in 11.5 ft
benches.

The current Mineral Reserve estimate is based on the use of UCB mining for the majority of the
deposit and represents a change from previous mining methods and Mineral Reserve estimates.

Over the past nine years, the mine production silver grade has been less than the Mineral Reserve
grade estimate, indicating a poor correlation with production data.

Stopes in the mine are relatively narrow with an eleven foot minimum mining width in the 30 Vein
above the 7500 level, nine foot minimum width below the 7500 level, and eight foot minimum
width in the Intermediate Veins.

Stopes are diluted to the greater of the ore width or the minimum mining width.  This dilution is
assigned background metal grades based upon the block model estimates.  Subsequently, the
stopes are diluted by a further 15% for UCB stopes and 5% for cut and fill stopes with zero grade
unplanned dilution.

SLR is of the opinion that the 15% dilution estimate in the UCB mining is a potentially optimistic
estimate considering the short time that the method has been in use, the impact of vein deviation
over the 27 ft cut depth, the use of infill drill information as opposed to face by face mapping,
changes in the vein along strike and dip, and potential overbreak from blasting.

The 30 Vein Mineral Reserve includes internal low grade and waste blocks that do not meet the
cut-off grade criteria but are included as the material must be mined considering the stope
geometry and seismicity.

The planned use of UCB mining at a nine foot minimum width (30 Vein at depth) is not based upon
detailed layouts and represents potential risks related to production capacity and dilution
estimates at depth.

--- PAGE 14 ---
Technical Report Summary -  February 21, 2022
1-4

Extraction for all mining methods is assumed to be 100%.

SLR verified that Hecla’s selected metal prices for estimating Mineral Reserves are consistent with
independent forecasts from banks and other lenders.

The mine uses proven, modern trackless mobile equipment with load haul dump (LHD) units up
to 3.5 yd3 capacity.

The life of mine (LOM) plan has been appropriately developed to maximize mining efficiencies,
based on the current knowledge of geotechnical, hydrological, mining, and processing
information on the Lucky Friday Mine.

The equipment and infrastructure requirements for LOM operations are well understood.

The LOM extends 17 years to 2038, with mine production projected to increase to an annual rate
of approximately 425,000 tons.  The increased production is based upon projected productivity
improvements in mining, increased daily development advance, and higher utilization of the
existing mine infrastructure, however, improvements may be difficult to achieve considering the
extent of the mine, stope widths, and mining depths.

Meeting growth requirements of the LOM plan (production and development) is typically a
challenge for wide spread narrow vein mines.  SLR is of the opinion that meeting the LOM plan
will require ongoing effort to optimize the UCB mining method and attain planned increases in
productivity.
1.1.1.3
Mineral Processing

The Lucky Friday mill is a conventional silver and zinc flotation concentrator that has been in
operation since 1942 and owned and operated by Hecla since 1958.  Concentrates are shipped by
highway trucks to the Teck smelter at Trail, British Columbia, Canada.  The mill has a compact and
efficient design that has been upgraded over the years including the addition of flash flotation in
the grinding circuit, column flotation for concentrate cleaning, and on-stream analyzers for
process control.

The concentrator performed very consistently from 2016 through 2021 with steady lead, zinc, and
silver head grades, silver and zinc concentrate grades, and recoveries.  The mill operated in the
38 tons per hour (stph) to 44 stph range with a reported mill availability of 93%.  Low production
from 2017 through 2019 was due to labor issues.

The mine plan includes a 20% increase in mill production from the current 340,000 tons per year
(stpa), or 930 stpd, to 425,000 stpa, or 1,164 stpd, each at 92% availability. Work is being done to
debottleneck the Plant including slurry pumping capacity to achieve the new targets.

The target concentrate grade for lead is 60% for the best recovery, though the grade can be
increased to 63% to 64% without significant loss of recovery.

The focus of metallurgical testing is on plant performance including quality improvements and
the potential to increase production.  A significant metallurgical test program was performed to
characterize the Gold Hunter deposit in 2008, including mineralogy, comminution testing, and
flotation testing.  The ore is very consistent, which benefits plant performance.

In July 2011, an audit of the Lucky Friday process including detailed circuit sampling was
performed to support studies to increase plant production.  During the survey, the lead flash cell
recovered 60% to 70% of the lead and silver in the plant feed, reducing the load on the lead
cleaning circuit.  The total silver, lead, and zinc recoveries to silver concentrate were 91.7%, 90%,

--- PAGE 15 ---
Technical Report Summary -  February 21, 2022
1-5
and 12%, respectively, to a concentrate containing 60% Pb, 130 oz/ton Ag, and 3.5% Zn. Zinc
recovery to the zinc concentrate was 81.3% to a concentrate grading 48.6% Zn.  Lead recovery to
the zinc concentrate was 2.3% and the silver recovery to the zinc concentrate was 3.9%.
1.1.1.4
Infrastructure

Lucky Friday has all of the infrastructure necessary for the ongoing operations and has plans for
refurbishment or repair as necessary within the mine plan.
1.1.1.5
Environment

Lucky Friday maintains a comprehensive environmental management and compliance program.
All permits needed for current Lucky Friday operations are in place, and staff at the Property
continually monitors permit/regulated conditions and files required reports with the applicable
regulatory agencies at the federal, state, and local level.

Hecla’s Environmental Management System (EMS) follows a 13-element plan-do-check-act
approach that ensures continuous improvement around issues including obligation registers,
management of change, air quality, water and waste management, energy management, training,
and reporting. This system promotes a culture of environmental awareness and innovation
throughout the company.  The EMS program is benchmarked against ISO-14001 and complements
Canada’s Towards Sustainable Mining (TSM) program.  On a related matter, there appears to be
good cross-discipline support for the overall environmental program.

In previous resource/reserve reporting documents, Lucky Friday reported experiencing a number
of alleged permit exceedances for water discharges (National Pollutant Discharge Elimination
System (NPDES) and Multi-Sector General Permit (MSGP)) at the Property.  Lucky Friday received
an Environmental Protection Agency (EPA) Notice of Violation for non-compliance with the NPDES
Permit and various discharges exceeding the maximum daily standard for lead (50 μg/L).  In all
instances, Lucky Friday has worked cooperatively with EPA to resolve these issues.

Lucky Friday has developed reclamation/closure plan and the most recent cost estimate (2021) to
perform this work is US$39.9 million.  Reclamation and closure plans have been submitted to the
appropriate agencies.  Asset Retirement Obligation (ARO) legal obligations are updated regularly
and based upon existing site conditions, current laws, regulations and costs to perform the
permitted activities. The ARO is to be conducted in accordance with Financial Accounting
Standards Board (FASB) Accounting Standards Codification (ASC) 410.

Lucky Friday reports that community relationships are excellent, and the company maintains an
office in the city of Wallace to maintain a community presence.
1.1.2 Recommendations
SLR offers the following recommendations by area.
1.1.2.1
Geology and Mineral Resources
1. Conduct additional review of the sample grade distributions within the veins to see if coherent
groupings of sub-populations can be isolated for interpolation purposes.

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Technical Report Summary -  February 21, 2022
1-6
2. Modify the resource classification procedures to provide an opportunity for manual adjustments,
as opposed to a strictly computer-driven approach.  This will allow changes to be made to remove
unrealistic artifacts in the classification.
3. Consider an additional level of block model validation, such as comparisons to alternative
estimation methods.
1.1.2.2
Mining and Mineral Reserves
4. Continue the use of UCB mining in the 30 Vein and continue to attempt to improve the UCB
method.
5. Conduct close monitoring of the stoping performance including regular surveys as the void is
exposed and reconciliation of the stope designs to the Mineral Reserve estimates to confirm and,
if necessary, refine the Mineral Reserve estimate
6. Calculate NSR values on a fully diluted basis and use these values to determine cut-off values and
Mineral Reserve boundaries.
7. Evaluate the internal portions of Mineral Reserve material that fall below cut-off value within the
30 Vein to confirm that they are economically justifiable to mine and develop further cut-off
criteria for must take material.
8. Undertake a more detailed dilution and extraction study, including consideration of the existing
reconciliation studies, to better quantify the extraction, dilution, and other modifying factors that
Hecla is currently applying to all production designs.
9. Use the results of the above noted studies to determine the actions necessary to align mine
production grades with the Mineral Reserve estimates.
10. Review mining plans to define definitive actions to attain the planned improvements in mining
productivity and daily development advance.
11. Further develop the plans for UCB mining at the planned nine foot minimum mining width.
1.1.2.3
Mineral Processing
1. Continue metallurgical testing to support the plan for increased production.
2. The ability to perform on-site metallurgical testing is limited due to the capabilities of the current
laboratory.  An upgrade to the laboratory is recommended and has been budgeted for 2024.
1.1.2.4
Infrastructure
1. Continue the upgrades, repairs, and rehabilitation to existing infrastructure to support the LOM
plan.
1.1.2.5
Environment
1. Track and participate in the development of new environmental and mine permitting regulations
that could impact operations.
2. Continue to perform internal and external audits of environmental compliance.
3. Even though opportunity is limited, investigate opportunities for concurrent reclamation to
minimize financial obligation(s) at closure.
4. Continue to update reclamation and closure cost estimates on a regular basis.

--- PAGE 17 ---
Technical Report Summary -  February 21, 2022
1-7
1.2
Economic Analysis
1.2.1 Economic Criteria
An after-tax Cash Flow Projection has been generated from the LOM production schedule and capital and
operating cost estimates, and is summarized in Table 1-2.  A summary of the key criteria is provided below.
1.2.1.1
Physicals

Total mill feed processed: 5.5 Mst

Average processing rate: 892 stpd with the following production profile (Table 1-1):
Table 1-1:
Production Summary

Commodity
Head Grade
% Recovery
Recovered
Metal
Annual
Production
Payable
Metal
Silver
13.7 oz/ton
96.4
72.0 Moz
4.2 Moz
67.4 Moz
Lead
8.3%
95.7
866 Mlb
51 Mlb
811 Mlb
Zinc
3.3%
93.7
340 Mlb
20 Mlb
251 Mlb
1.2.1.2
Revenue

Metal prices used in the economic analysis are constant US$21/oz Ag, US$0.95/lb Pb, and
US$1.25/lb Zn.

Revenue is calculated assuming the above metal price forecast and incorporates a $1.8 million
hedge gain for lead and zinc over the first three years of cash flow.

Average LOM concentrate freight cost: $47/wet ton Cost, Insurance, and Freight (CIF) basis to
customer’s discharge points.

Average LOM treatment charge: $139/dry metric tonne (dmt) silver concentrate plus $3.90/dmt
for antimony penalty, $162/dmt zinc concentrate, and $8.70/dmt for iron and mercury penalties.

Average LOM refining costs for concentrates: $0.10/dmt.
1.2.1.3
Capital and Operating Costs

Mine life of 17 years

LOM sustaining capital costs of $372 million

LOM site operating cost of $187.81/ton milled (excludes financing and corporate overhead costs)

LOM closure/reclamation $38.7 million in year after final production
1.2.1.4
Taxation and Royalties
Mining companies doing business in Idaho are primarily subject to U.S. corporate income tax, Idaho State
income tax, and Idaho Mining License tax.  The State of Idaho levies a mining license tax on mining net
income received in connection with mining properties and activities in Idaho, at a rate of 7%. The U.S.
corporate income tax rate is 21% and the Idaho state income tax rate is 6.5%.

--- PAGE 18 ---
Technical Report Summary -  February 21, 2022
1-8
No income tax is anticipated to be payable through the LOM.  Hecla will use a combination of existing and
forecasted depreciation expenses, allocation of expenses from other entities within the consolidated tax
group, percentage depletion allowances, and existing net operating losses to generate zero annual taxable
income through the LOM.  However, the Lucky Friday Mine will still incur $4 million for Idaho State mining
taxes during the LOM.
The current production zones in the LOM are not subject to any royalty to a third party/previous
landowner.
1.2.2 Cash Flow Analysis
SLR has reviewed Hecla’s Lucky Friday Mineral Reserves only model and has prepared its own unlevered
after-tax LOM cash flow model based on the information contained in this TRS to confirm the physical and
economic parameters of the mine.
The Lucky Friday economics have been evaluated using the discounted cash flow method by considering
annual processed tonnages and grade of ore.  The associated process recovery, metal prices, operating
costs, refining and transportation charges, and sustaining capital expenditures were also considered.
The indicative economic analysis results, presented in Table 1-2 with no allowance for inflation, show a
pre-tax and after-tax net present value (NPV), using a 5% discount rate, of $557 million and $554 million,
respectively.  The SLR Qualified Person (QP) is of the opinion that a 5% discount/hurdle rate for after-tax
cash flow discounting of long lived precious/base metal operations in a politically stable region is
reasonable and appropriate and commonly used.  For this cash flow analysis, the internal rate of return
(IRR) and payback are not applicable as there is no negative initial cash flow (no initial investment to be
recovered) since Lucky Friday has been in operation for a number of years.
Table 1-2:
Life of Mine Indicative Economic Results

Description
US$ M
Realized Market Prices

Ag (US$/oz)
$21.00
Pb (US$/lb)
$0.95
Zn (US$/lb)
$1.25
Payable Metal

Ag (Moz)
67.4
Pb (Mlb)

Zn (Mlb)

Total Gross Revenue
2,502
Mine Cost
(415)
Mill Cost
(118)
Maintenance Cost
(270)
G & A Cost
(183)

--- PAGE 19 ---
Technical Report Summary -  February 21, 2022
1-9
Description
US$ M
Profit Sharing
(39)
Concentrate Freight Cost
(50)
Offsite Costs
(234)
Total Operating Costs
(1,308)
Operating Margin (EBITDA)
1,194
Total Tax Payable
(4)
Operating Cash Flow
1,190
Sustaining Capital
(372)
Closure/Reclamation Capital
(39)
Total Capital
(411)

Pre-tax Free Cash Flow

Pre-tax NPV @ 5%

After-tax Free Cash Flow

After-tax NPV @ 5%

1.2.3 Sensitivity Analysis
The Property’s after-tax cumulative cash flow discounted at 5% from the model presented above were
analyzed for sensitivity to variations in revenue, operating, and capital cost assumptions.  The results of
the sensitivity analysis demonstrate that the Mineral Reserve estimates are most sensitive to variations
in metal prices, less sensitive to changes in metal grades and recoveries, and least sensitive to fluctuations
in operating and capital costs.
1.3
Technical Summary
1.3.1 Property Description
The Lucky Friday silver-lead-zinc mine and mill complex is located approximately one-half mile east of
Mullan in Shoshone County, Idaho, and 55 mi east of Coeur d’Alene, Idaho along Interstate Highway 90.
The Property is located in the Coeur d’Alene District, which is one of, if not the most prolific silver mining
camps in the world. Current production is from underground using both underhand and overhand
mechanized cut and fill methods.  Ore is processed using conventional crushing, grinding, and lead-zinc
flotation with a current operating rate of 1,000 tpd.  The operation currently employs approximately 400
full-time employees.
1.3.2 Land Tenure
The Lucky Friday Expansion Area (formerly known as the Gold Hunter vein system) is owned 81.5% by
Hecla Limited and 18.5% by Silver Hunter Mining Company (Silver Hunter).   Both companies are
subsidiaries of Hecla.  There are no encumbrances on the Property, nor are there any royalties payable.

--- PAGE 20 ---
Technical Report Summary -  February 21, 2022
1-10
The Lucky Friday vein system is 100% owned by Hecla Limited.  The Property comprises approximately
710 acres of patented mining and millsite claims and fee lands, and 535 acres of unpatented mining claims.
1.3.3 History
The Lucky Friday deposit was discovered in 1880, and the Lucky Friday Silver-Lead Mines Company
initiated commercial production from Lucky Friday in 1942.  Hecla acquired ownership of Lucky Friday in
1964 via a merger with Lucky Friday Silver-Lead Mines Company.
In 1968, Hecla entered a series of agreements with Day Mines Inc., Abot Mining Company, and
Independence Lead Mines Company, the owners of the Gold Hunter deposit and surrounding properties.
Day Mines was merged in 1981 with a wholly owned subsidiary of Hecla, Hecla-Day Mining Corporation,
which was merged into Hecla the following year. In 2001, Abot quit-claimed its interests to Hecla, and in
2007, Hecla acquired the assets of Independence Lead Mines Company through its wholly owned
subsidiary, Silver Hunter Mining Company.
The total mine production from the Lucky Friday deposit now exceeds 108 Moz of silver making it the
Coeur d’Alene District’s fourth largest silver producer.  The Gold Hunter deposit is the sixth largest silver
producer in the district with 12 Moz mine in the historic workings and just over 45 Moz from more recent
operations.
1.3.4 Geological Setting, Mineralization, and Deposit
The deposits of the Coeur d’Alene District, including Lucky Friday, are clastic metasediment hosted vein
silver-lead-zinc deposits. They occur as veins in branching and anastomosing steeply dipping shears in
metamorphosed sedimentary rocks of the Proterozoic-age Belt Supergroup.  Host rocks are primarily
quartzites and argillites of the Wallace (Gold Hunter) and Revett (Lucky Friday) Formations. Vein
mineralization at Lucky Friday occurs as fracture-fillings, disseminations, and tabular masses of galena and
tetrahedrite along with accessory pyrite in a gangue of iron carbonate (siderite), calcite, and quartz. The
Lucky Friday zone is a single tabular body that curves from east-northeast to northeast in strike and dips
almost vertically.  The Gold Hunter system comprises a package of parallel veins striking at approximately
110° and dipping vertically to steeply southwards. There are Mineral Resources estimated on 16 of the
Gold Hunter Veins.  The most important of these in terms of resources and production is the 30 Vein.
1.3.5 Exploration
Currently, no exploration work is being conducted at Lucky Friday.  Underground diamond drilling for
Mineral Reserve definition is ongoing.
1.3.6 Mineral Resource Estimates
Mineral Resource estimates have been prepared for the Gold Hunter Veins as well as the Lucky Friday and
Ancillary Veins.  At Gold Hunter, estimates have been carried out for the 5, 20, 30, 40, 41, 50, 60, 70, 80,
90, 100, 110, 120, 130, 140, and 150 Veins.
The Mineral Resources at Gold Hunter are estimated using a block model method, with grades for silver,
lead, zinc, and iron interpolated into the blocks by inverse distance squared (ID2) weighting.  The
interpolations are constrained by wireframe models of the host veins. Grades are interpolated for silver,
lead, zinc, and iron.

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Technical Report Summary -  February 21, 2022
1-11
Sample data consists of diamond drill core and chip samples. High grades for silver, lead, and zinc are
capped at the 95th percentile of the sample distributions for each vein.  Capped samples are composited
to a nominal three-foot length. Block grade interpolations are conducted in a series of three passes of
progressively larger search radii and more liberal composite selection criteria.
Mineral Resources for Lucky Friday are estimated using a polygonal method based on longitudinal
projections of the veins.
Tonnage factors are estimated using stoichiometric equations based on the assay values for iron, lead,
and zinc. Different equations are used for the Gold Hunter and Lucky Friday deposits owing to differences
in vein mineralogy.
The minimum width for the Gold Hunter and Lucky Friday Veins can be between eight feet and 11 ft,
depending on the expected mining method. Veins are diluted with zero grade material to achieve the
minimum width constraint.
Mineral Resources are classified according to the definitions in S-K 1300, and are reported exclusive of
Mineral Reserves. The Mineral Resources, estimated by Hecla and reviewed and accepted by SLR, are
reported using an NSR cut-off value of US$173/ton at Gold Hunter and US$207/ton at Lucky Friday.  The
Lucky Friday Mineral Resource estimate as of December 31, 2021, is presented in Table 1-3.
Table 1-3:
Summary of Mineral Resources – December 31, 2021

Tonnage
(000 tons)
Grade
NSR
(US$/t)
Contained Metal
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz)
Pb
(000 tons)
Zn
(000 tons)
Measured
8,650
7.6
4.9
2.5

65,800

Indicated
1,840
7.6
5.1
2.4

14,000

Measured +
Indicated
10,500
7.6
4.9
2.5

79,800

Inferred
5,380
7.8
5.8
2.4

41,900

Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves at Gold Hunter, whereas there are no Mineral Reserves currently
at Lucky Friday.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated by block, based on mineralogical content.
7.
Mineral Resources are estimated at NSR cut-off grades of US$173/ton for Gold Hunter and US$207/ton for Lucky
Friday.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.
The SLR QP is of the opinion that with consideration of the recommendations summarized in in this
section, any issues relating to all relevant technical and economic factors likely to influence the prospect
of economic extraction can be resolved with further work.

--- PAGE 22 ---
Technical Report Summary -  February 21, 2022
1-12
1.3.7 Mineral Reserve Estimates
Mineral Reserve estimates, prepared by Hecla and reviewed and accepted by SLR, have been classified in
accordance with the definitions for Mineral Reserves in S-K 1300 and are estimated to total 5.46 Mst
grading 13.7 oz/ton Ag, 8.3% Pb, and 3.3% Zn and summarized in Table 1-4.  While resources exist at the
Lucky Friday deposit, Mineral Reserves are reported only for the Gold Hunter deposit, as this is the only
area in the current LOM plan.
Table 1-4:
Summary of Mineral Reserves – December 31, 2021

Category
Tonnage
(000 tons)
Grade
Contained Metal
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz Ag)
Pb
(000 tons)
Zn
(000 tons)
Proven
4,691
13.92
8.43
3.40
65,313
395.3
159.4
Probable

12.26
7.47
2.83
9,386
57.2
21.7
Total Proven + Probable
5,456
13.69
8.29
3.32
74,699
452.4
181.0
Notes:
1.
Classification of Mineral Reserves is in accordance with the S-K 1300 classification system.
2.
Mineral Reserves were estimated by Hecla and reviewed and accepted by SLR.
3.
Mineral Reserves are 100% attributable to Hecla.
4.
Mineral Reserves are estimated at an NSR cut-off of $208/ton.
5.
The NSR values reflect the discrete metallurgical responses for the Mineral Reserve blocks.
6.
Mineral Reserves are estimated using an average long-term silver price of US$17.00/oz, lead price of US$0.90/lb and
zinc price of US$1.15/lb.
7.
A minimum mining width of 11 ft was used for 30 Vein above 7500 level, 9 ft for 30 Vein below 7500 level, and 8 ft for
all other veins.
8.
A bulk density of 0.086 tons/ft3 was used for waste material. Mineral Reserve bulk density was calculated by block,
based on mineralogical content.
9.
Numbers may not add due to rounding.
Measured Mineral Resources were converted to Proven Mineral Reserves, and Indicated Mineral
Resources were converted to Probable Mineral Reserves.  Inferred Mineral Resources were not converted
to Mineral Reserves and are not included in the LOM plan.
Mineral Reserves are estimated in seven veins all in the Gold Hunter deposit.  The 30 Vein is the largest
vein and contains 68% of the Mineral Reserve tonnage.  The Mineral Reserves extend down to the 8100
level.  Mineral Resources are converted to Mineral Reserves through the application of minimum mining
widths of eight feet to eleven feet, NSR value cut-off grade, and stope optimizer designs followed by the
application of external dilution.
1.3.8 Mining Methods
The mine is a shaft access deep mine developed to the 8300 level (feet below surface).  Mining is mainly
by rubber tired mechanized equipment with the primary mining by underhand stoping with paste backfill.
In 2021, Lucky Friday tested and proved the UCB mining method.  The UCB method is a new, productive
mining method developed by Hecla for proactive control of fault-slip seismicity in deep, high-stress,
narrow-vein mining.  The method uses bench drilling and blasting methods to fragment significant vertical
and lateral extents of the vein beneath a top cut taken along the strike of the vein and under engineered,

--- PAGE 23 ---
Technical Report Summary -  February 21, 2022
1-13
cemented backfill.  The method is accomplished without the use of drop raises or lower mucking drives
which may result in local stress concentrations and increased exposure to seismic events. Large blasts
using up to 35,000 lb of pumped emulsion and electronic, programmable detonators fragment up to 350
ft of strike length to a depth of approximately 30 ft.  These large blasts proactively induce fault-slip
seismicity at the time of the blast and shortly after it.  This blasted corridor is then mined underhand for
two cuts.  As these cuts are mined, little to no blasting is done to advance them.  Dilution is controlled by
supporting the hanging wall and footwall as the mining progresses through the blasted ore.  The entire
cycle repeats and stoping advances downdip, under fill, and in a destressed region.  The method allows
for greater control of fault-slip seismic events significantly improving safety.  In conjunction, a notable
productivity increase has been achieved by reducing seismic delays and utilizing bulk mining activities.  In
2021, 86% of the tons mined were produced through the UCB method.
The mine is serviced by two shafts to surface and an internal shaft.  Broken ore is hauled by truck to the
shaft and then hoisted to surface.  The mine ventilation system includes facilities for mine air cooling.
1.3.9 Processing and Recovery Methods
The Lucky Friday mill is a conventional silver and zinc flotation concentrator.  The mill operates at a
nominal 42 stph) and can be operated at rates of up to 54 stph for limited periods.  Silver concentrate and
zinc concentrate are produced.  Concentrates are shipped by highway trucks to the Teck smelter at Trail,
British Columbia, Canada.
The primary unit operations in the Lucky Friday concentrator include:

Primary jaw crushing

Secondary cone crushing

Tertiary cone crushing

Triple deck screen closing both secondary and tertiary crushing circuits

Ball milling

Lead flash flotation with concentrate reporting to silver concentrate thickener

Hydrocyclone classification

Lead rougher and scavenger flotation in conventional cells

Lead rougher scavenger concentrate to lead rougher feed

Lead rougher scavenger tailings to zinc conditioners

Lead rougher concentrate cleaning and recleaning using column flotation cells

Lead cleaner scavenger flotation of cleaner tailings in conventional cells followed by column cells

Lead cleaner scavenger and cleaner scavenger column tailings to regrind milling

Regrind milling closed with hydrocyclones

Flash flotation, second cleaner column flotation and cleaner scavenger column flotation
concentrates to silver concentrate thickener

Zinc conditioning in mixed reactors

Zinc flash flotation

Zinc rougher and scavenger flotation in conventional cells

Zinc rougher scavenger tailings to final tailings sump feeding sand plant

--- PAGE 24 ---
Technical Report Summary -  February 21, 2022
1-14

Zinc rougher scavenger concentrate to zinc conditioning

Zinc rougher concentrate cleaning and recleaning using column flotation cells

Zinc cleaner scavenger flotation of cleaner tailings in conventional cells followed by column cells

Zinc cleaner scavenger and cleaner scavenger column tailings to zinc rougher flotation

Flash flotation, second cleaner column flotation and cleaner scavenger column flotation
concentrates to silver concentrate thickener

Lead and zinc concentrate thickening and filtration and concentrate storage

Flotation tailings hydrocyclone classification, thickening and filtration of coarse sand

Coarse sand stockpiled and delivered to mine backfill cement plant

Sand thickener overflow to final tailings thickener

Tailings thickener overflow to water treatment and process water tank

Tailings thickener underflow to the tailings storage facility (TSF)
Mine ore discharges from the Silver Shaft skips into two coarse ore bins with a total live capacity of
approximately 1,000 tons.  Ore is crushed in three stages to 100% passing (P100) 3/8 in. using a primary
jaw, secondary cone, and tertiary cone crushers closed by a triple deck vibrating screen.
The ore is ground in a single ball mill and discharges to the flash flotation feed pump box where reagents
are added. The slurry is pumped to a flash flotation cell to recover coarse lead and silver from the mill
circulating load.  Flash cell concentrate is final silver concentrate grade and flash cell underflow is pumped
to a cyclone cluster for classification.  The cyclone underflow returns to the mill and the cyclone overflow
advances to lead rougher flotation.
The lead flotation circuit consists of conventional agitated flotation cells for rougher and rougher
scavenger flotation, column flotation cells for lead cleaning, and a combination of conventional and
column cells for lead cleaner scavenger flotation. Lead flash flotation, lead second cleaner, and lead
cleaner scavenger concentrates report to the silver concentrate thickener. Lead cleaner scavenger tailings
are reground and pumped to the lead cleaner scavenger column cell.
Lead rougher scavenger tailings report to the zinc conditioners and then to zinc rougher scavenger
flotation. The zinc flotation circuit configuration is similar to the lead circuit, with conventional agitated
flotation cells for rougher and rougher scavenger flotation, column flotation cells for zinc cleaning and a
combination of conventional and column cells for zinc cleaner scavenger flotation. Zinc second cleaner
and zinc cleaner scavenger concentrates report to the zinc concentrate thickener.  Zinc rougher scavenger
tailings are pumped to the final tailings sump and zinc rougher scavenger concentrate is recycled to the
zinc conditioners.
Silver and zinc concentrates are thickened, filtered, and stockpiled in storage bunkers, then loaded into
trucks and shipped to a smelter.
The flotation tailings are classified with hydrocyclones.  The cyclone underflow slurry reports to the sand
thickener and the thickener underflow sands are filtered and transported to the backfill cement plant for
underground backfill. Sand thickener overflow is pumped to the tailings thickener.  Thickener overflow is
pumped to the water treatment plant for recycle as process water or for discharge and the underflow is
pumped to a TSF where the solids settle out of the tailings slurry and clear water is treated and discharged.

--- PAGE 25 ---
Technical Report Summary -  February 21, 2022
1-15
1.3.10 Infrastructure
The mine infrastructure consists of:

The Silver Shaft, an 18 ft diameter shaft sunk to 6,205 ft deep, and currently operating to the 5970
level, complete with man and skip hoisting facilities.

The 5,489 ft deep, three compartment No. 2 Shaft used for man hoisting, supplies, and ventilation.
This shaft services the mine to the 4900 level.

The No. 4 winze is an 18 ft diameter circular concrete lined shaft extending from the 4,860 level
and a maximum depth of 8,620 to provide services and rock handling to depth. Ore is hoisted to
the 4900 level.

Mine ventilation fans and ventilation system.

Paste backfill distribution system.

Electricity provided by the region’s public utility company (Avista Energy) and fed through two
separate substations to the mine.

Offices and mine dry at the Silver Shaft.

The lead-zinc-silver flotation concentrator with a nominal operating rate of 1,000 stpd.

Adequate diesel generating equipment to power emergency facilities.

Tailings storage facility.

Two water filtration plants, one at the mill and one at the TSF.
1.3.11 Market Studies
The Lucky Friday Mine is an active producer and has been for over 75 years.  Lucky Friday produces a
silver-silver concentrate and a zinc concentrate which are sold to the Teck lead zinc smelter in Trail, British
Columbia, Canada.
1.3.12 Environmental Studies, Permitting and Plans, Negotiations, or Agreements with Local
Individuals or Groups
Lucky Friday has obtained the requisite construction and operating permits needed to operate the existing
operations.  Other than routine (annual renewal) permits, there are now outstanding permitting needs
for the current LOM reserves.  Environmental monitoring during operations includes surface water,
groundwater, air quality, meteorology, aquatics and biological resources for regulatory compliance.
These activities will continue after closure to assess reclamation success and release of financial assurance
(bonding).  Reclamation and closure plans have been submitted to the appropriate agencies.  ARO legal
obligations are updated regularly and based upon existing site conditions, current laws, regulations and
costs to perform the permitted activities. The ARO is to be conducted in accordance with Financial
Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 410.
1.3.13 Capital and Operating Cost Estimates
The Lucky Friday Mine is in operation and there is no pre-production capital.  Capital costs over the LOM
total $372 million and are summarized in Table 1-5.

--- PAGE 26 ---
Table 1-5:
Capital Cost Summary
Year
Total

27 to 38
($ millions)
Year 1
Year 2
Year 3
Year 4
Year 5
(Years 6 to 13)
Drilling
27.0
3.0
3.0
3.0
3.0
2.0
13.0
Major Projects
75.0
24.0
5.0
12.0
7.0
3.0
24.0
Mobile Equipment
41.0
5.0
8.0
7.0
2.0
2.0
17.0
Ore processing
13.0
2.0
7.0
3.0
0.0
1.0
0.0
Mine Development
200.0
14.0
11.0
21.0
23.0
16.0
115.0
Mine Infrastructure
16.0
3.0
6.0
3.0
1.0
2.0
1.0
Total
372.0
51.0
40.0
49.0
36.0
26.0
170.0
The forecasted LOM operating costs totaling $187.81/t milled are summarized in Table 1-6.
Table 1-6:
Operating Cost Summary

Item
Units
Total

2026 to

Production Costs
Mining (Underground)
$ millions
415.3
29.3
32.0
29.9
29.2
294.8
Processing
$ millions
117.5
8.7
8.9
8.2
7.8
83.9
Maintenance
$ millions
269.9
20.3
20.6
19.9
18.2
190.9
G&A
$ millions
182.7
13.4
13.1
11.9
11.2
133.2
Profit share
$ millions
39.4
2.9
3.0
2.8
2.7
28.1
Total
$ millions
1,024.7
74.5
77.6
72.7
69.0
731.0
Cost per ton milled
Mining (Underground)
$/ton
76.11
 86.11
 78.32
 74.27
 73.57
 75.45
Processing
$/ton
21.54
 25.44
 21.88
 20.42
 19.63
 21.47
Maintenance
$/ton
49.46
 59.67
 50.39
 49.35
 45.76
 48.86
G&A
$/ton
33.48
 39.22
 31.94
 29.56
 28.06
 34.10
Profit share
$/ton
7.22
 8.42
 7.30
 6.94
 6.68
 7.20
Total
$/ton
187.81
 218.86
 189.84
 180.54
 173.69
 187.08
Hecla-forecasted capital and operating costs estimates are derived from annual budgets and historical
actuals over the long life of the current operation.  According to the American Association of Cost
Engineers (AACE) International, these estimates would be classified as Class 1 with an accuracy range

Technical Report Summary -  February 21, 2022
1-16

--- PAGE 27 ---
Technical Report Summary -  February 21, 2022
1-17
of -3% to -10% to +3% to +15%, although with some variances to be expected in near term with the
operation coming back to full production after the recent labor strike.

--- PAGE 28 ---
Technical Report Summary -  February 21, 2022
2-1
2.0 INTRODUCTION
SLR International Corporation (SLR) was retained by Hecla Mining Company (Hecla) to prepare an
independent Technical Report Summary (TRS) on the Lucky Friday Mine (Lucky Friday or the Property),
located in Shoshone County, Idaho, USA.  Hecla owns and operates 100% of the Property via ownership
through two of its 100% owned subsidiaries.
The purpose of this TRS is to disclose the results of the Mineral Resource and Mineral Reserve estimates
for the Property with an effective date of December 31, 2021.
Hecla is listed on the New York Stock Exchange (NYSE) and currently reports Mineral Reserves of lead,
zinc, silver, and gold in United States Securities and Exchange Commission (SEC) filings.  This TRS conforms
to SEC’s Modernized Property Disclosure Requirements for Mining Registrants as described in Subpart
229.1300 of Regulation S-K, Disclosure by Registrants Engaged in Mining Operations (S-K 1300) and Item
601 (b)(96) Technical Report Summary.  SLR visited the Property on October 5 and 6, 2021.
The Property includes the Lucky Friday mine and processing plant (or mill) in the city of Mullan, Idaho.
The mine is a deep underground silver, lead, and zinc mine that produces silver and zinc concentrates
from ore-bearing fissure veins.  The plant is a concentrator facility producing silver and zinc concentrates
that has a current operating rate of 1,000 short tons per day (stpd).
The Property commenced operations in 1942 and observed its 75th anniversary in 2017.  In 2021, the
underground operation mined 315,000 tons of ore and produced 32,000 tons of lead-silver and 14,000
tons of zinc concentrates.  The concentrates were transported 209 miles (mi) to the Teck Metals Ltd. (Teck)
lead/zinc smelter in Trail, British Columbia, Canada in highway trucks operated by a contract shipper. This
2021 production profile amounted to 3.6 million ounces (Moz) of silver, 23,100 tons of lead, and 10,000
tons of zinc produced.
2.1
Site Visits
SLR most recently visited the site on October 5 and 6, 2021.  During the most recent site visit, the SLR
Qualified Persons (QP) received a project overview by site management with specific activities as follows:
The SLR geology QP toured several stopes underground, inspected the core handling facility, and
interviewed key personnel involved in the collection, interpretation, and processing of geological data and
preparation of the Mineral Resource estimates.
The SLR mining QP visited production, development, and critical infrastructure areas in the underground
mine. Both underhand cut and full and underhand closed bench production areas were visited where
discussions were carried out on the mining cycle, productivities, dilution, and recovery. The QP discussed
mining methods, mine economics, planning and scheduling activities, ventilation and refrigeration, and
geotechnical procedures with relevant subject matter experts.
The SLR processing QP visited the surface infrastructure, including the hoist, emergency generators,
warehousing, reagent storage, mechanical and electrical shops, electrical substation, compressor house.
The mineral processing facilities were then toured included crushing, grinding, flotation, concentrate
filtration and loading, sand filtration, cement addition and pumping, final tailings thickening filtration and
pumping, and water treatment. The QP then toured the tailings impoundments, tailings water treatment
plant and outfalls. Meetings were then held with the metallurgists to discuss the flowsheet, laboratory
and plant metallurgical testing, and operating and maintenance information required for the reports.

--- PAGE 29 ---
Technical Report Summary -  February 21, 2022
2-2
The SLR ESG QP visited the surface facilities/operations and interviewed environmental and applicable
staff manager(s) for environmental/social management/system(s); permitting/compliance program;
reclamation/closure plan; and associated budget(s).
2.2
Sources of Information
During the preparation of this TRS, discussions were held with personnel from Hecla:

Mr. Keith Blair, Chief Geologist, Hecla

Mr. Carlos Aguiar, Lucky Friday General Manager, Hecla

Mr. Ben Chambers, Lucky Friday Resource Geologist, Hecla

Mr. Nick Furlin, Lucky Friday Chief Geologist, Hecla

Mr. Andre Goedhals, Lucky Friday Project Manager, Hecla

Mr. Bob Golden, Lucky Friday Chief Geotechnical Engineer, Hecla

Mr. Karl Hartman, Lucky Friday Chief Engineer, Hecla

Mr. Ben Henderson, Lucky Friday Drilling Manager, Hecla

Mr. Wes Johnson, Lucky Friday Technical Services Manager, Hecla

Mr. Jake Schuff, Lucky Friday Mill Metallurgist, Hecla

Mr. Craig Shiner, Lucky Friday Mill Superintendent, Hecla

Mr. Lance Boylan, Lucky Friday Health Safety and Environmental Manager, Hecla

Mr. Russell Lawlar, Chief Financial Officer, Hecla
No previous Technical Report Summaries have been filed in respect of the Lucky Friday Mine.
This TRS was prepared by SLR QPs.  The documentation reviewed, and other sources of information, are
listed in Section 24.0 References.

--- PAGE 30 ---
2.3
List of Abbreviations
Units of measurement used in this TRS conform to the imperial system.  All currency in this TRS is US
dollars (US$) unless otherwise noted.
µ
micron
kPa
kilopascal
µg
microgram
kVA
kilovolt-amperes
A
ampere
kWh
kilowatt-hour
a
annum
kW
kilowatt
bbl
barrels
L
litre
Btu
British thermal units
lb
pound
°C
degree Celsius
L/s
litres per second
cal
calorie
M
mega (million); molar
C$
Canadian dollars
m
metre
cfm
cubic feet per minute
m2
square metre
cm2
square centimetre
MASL
metres above sea level
cm
centimetre
m3
cubic metre
dia
diameter
mi
mile
d
day
m3/h
cubic metres per hour
dmt
dry metric tonne
min
minute
dwt
dead-weight ton
µm
micrometre
°F
degree Fahrenheit
mm
millimetre
fasl
feet above sea level
mph
miles per hour
ft2
square foot
MVA
megavolt-amperes
ft
foot
Mst
million short ton
ft/s
foot per second
MWh
megawatt-hour
ft3
cubic foot
MW
megawatt
g
gram
oz
Troy ounce (31.1035g)
Gal
Imperial gallon
ppb
part per billion
G
giga (billion)
oz/ton
ounce per short ton
Gpm
Imperial gallons per minute
psia
pound per square inch absolute
g/L
gram per litre
ppm
part per million
g/t
gram per tonne
psig
pound per square inch gauge
gr/m3
grain per cubic metre
s
second
gr/ft3
grain per cubic foot
RL
relative elevation
hp
horsepower
stpa
short ton per year
ha
hectare
ton
short ton
hr
hour
stpd
short ton per day
Hz
hertz
stph
short tons per hour
in.
inch
US$
United States dollar
in2
square inch
Usg
United States gallon
k
kilo (thousand)
V
volt
J
joule
USgpm
US gallon per minute
kcal
kilocalorie
W
watt
kg
kilogram
wt%
weight percent
km
kilometre
yd3
cubic yard
km/h
kilometre per hour
km2
square kilometre
yr
year

Technical Report Summary -  February 21, 2022
2-3

--- PAGE 31 ---
Technical Report Summary -  February 21, 2022
3-1
3.0 PROPERTY DESCRIPTION
3.1
Location
The Property is located approximately one-half mile east of Mullan in Shoshone County, Idaho, and 55 mi
east of Coeur d’Alene, Idaho along Interstate Highway 90 (Figure 3-1).  The facility lies just north of the
Interstate Highway near exit ramp 69.  The Silver Shaft headframe is visible from the highway with the
shaft collar approximately 70 ft above the valley floor. The Lucky Friday vein system lies adjacent to the
Silver Shaft and the Lucky Friday Expansion Area (Gold Hunter vein system) lies approximately 5,000 ft
northwest of the Silver Shaft.

--- PAGE 32 ---
Technical Report Summary -  February 21, 2022
3-2

Figure 3-1: Lucky Friday Mine Location Map

--- PAGE 33 ---
Technical Report Summary -  February 21, 2022
3-3
3.2
Land Tenure
The Lucky Friday vein system is 100% owned by Hecla Limited.  The Lucky Friday Expansion Area (formerly
known as the Gold Hunter vein system) is owned 81.5% by Hecla Limited and 18.5% by Silver Hunter
Mining Company (Silver Hunter).  Both companies are subsidiaries of Hecla.  Hecla controls 100% of the
Lucky Friday Expansion Area.
The Property, located in Sections 22, 23, 25, 26, 27, 34, 35, and 36, Township 48 North, Range 5 East, Boise
Meridian, Shoshone County, Idaho, comprises approximately 710 acres of patented mining and millsite
claims and fee lands, and 535 acres of unpatented mining claims.  The Property lies within approximately
28 mi2 of mineral interests controlled by Hecla and its affiliates, which includes patented mining and
millsite claims, fee lands, and unpatented mining claims (Figure 3-2).  The maintenance fees required to
hold the unpatented mining claims have been paid annually to the U.S. Bureau of Land Management
(BLM), and the claims are in good standing.  Payment of property taxes on patented claims and fee parcels
are current as of the date of this TRS.  Lists of the patented and unpatented claims within the Lucky Friday
area are provided in Appendix 27.4.
There are no royalties or back-in rights, however, there are intercompany transfers of royalties done
between Silver Hunter and Hecla Limited.  The surface rights to the patented mining claims are owned by
a timber company, but Hecla has reserved rights to utilize the surface for mining-related purposes.
Certain unpatented mining claims are subject to a 1971 operating agreement between Hecla Limited
(successor to Day Mines, Inc.) and Lucky Friday Extension Mining Company (LFX).  The agreement grants
Hecla a perpetual easement to crosscut the Hecla-LFX properties to conduct work in other properties such
as the Gold Hunter. The 4050, 4900 and 5900 levels cross through this area.  Hecla pays US$165 per claim
annual maintenance fees to the BLM and the Shoshone County annual filing fees as required to maintain
the unpatented claims in good standing on behalf of the parties.  There are no royalties or back-in rights
associated with the LFX group.
The Hunter Creek group, comprising nine unpatented mining claims, is subject to a 1971 agreement
between Hecla and Hunter Creek Mining Company.  Hecla owns a 50% interest in the unpatented claims
and pays the US$165 per claim annual maintenance fees to the BLM and the Shoshone County annual
filing fees as required to maintain the unpatented claims in good standing on behalf of the parties.  There
are no royalties or back-in rights associated with the Hunter Creek group.
Other than required annual maintenance fee payments for unpatented claims and tax payments for
patented mining and millsite claims and fee lands, there are no additional obligations required to retain
the properties. All of the unpatented mining claims are subject to the paramount title of the United States.
The surface rights to the patented mining claims are owned by a timber company, but Hecla has reserved
the right to use as much of the surface as in the reasonable judgment of Hecla is necessary for access and
mining operations. There are no royalties or back-in rights encumbering the Property, and other than as
described above, there are no payments or other agreements encumbering the properties.

--- PAGE 34 ---
Technical Report Summary - February 21, 2022
3-4

Source: Hecla, 2021
Figure 3-2: Lucky Friday Complex Claim Map

--- PAGE 35 ---
3.3
Encumbrances
As stated above, there are no encumbrances on the Property.
3.4
Royalties
As stated above, there are no royalties payable.
3.5
Required Permits and Status
Operations at the Property are within the purview of numerous agencies (regulatory and non-regulatory)
that require oversight, registration, and/or notification prior to initiating or significantly modifying
facilities and operations at the Property.  The Property has been in operation prior to inception of many
regulatory programs, creation of certain regulatory agencies, and/or delegation of authority from the
Federal government to the state agency.
The Property has obtained and maintains all the necessary registrations, authorizations, and permits
necessary for operations to date and to continue operation of this facility well into the future (Table 3-1).
Although some permits have expired or are set to expire, renewal applications were filed with the
appropriate agency in each case or other measures were taken, as necessary, to administratively extend
the prior conditions until such time as a renewed permit or additional authorization to utilize is issued.
Table 3-1:
Environmental Authorizations, Operating Permits, and Registrations

Type of
Approval/Certificate
File Number
Agency
Purpose
Date of
Approval
Certificate of
Authorization
IDR05C290
USEPA
Authorization to utilize Nationwide MSGP
9/29/2008
Authorization to
Discharge
ID-000017-5
USEPA
NPDES Wastewater Discharge permit for
Outfalls 001, 002, & 003
9/14/2003
Permit to
Construct/Operate
P-2010.0111
IDEQ
Permit to construct and operate portable
air contaminant source (Concrete batch
plant)
10/20/2010
DOT HazMat
Registration
052912002005U
USDOT
Registration with DOT as Category E
material shipper
5/30/2012
General Registration
GLTS-A-705715
NRC
Annual registration of on-site generally
Iicensed devices.
2/13/2013
2014 Ackn.
Pending
ID used to identify MTIS#3 in National
Dam inventory
Total Surety value $239,542 approved by
IDWR 94- xx20.
General Registration
ID00390
IDWR/US
ACOE
N/A
General Registration
ID00728
IDWR/US
ACOE
ID used to identify MTIS#4 in National
Dam inventory. Total Surety value
$214,900 approved by IDWR for 94- xx25.
N/A

Technical Report Summary -  February 21, 2022
3-5

--- PAGE 36 ---
Type of
Approval/Certificate
File Number
Agency
Purpose
Date of
Approval
Certificate of
Approval
94-xx25
IDWR
IDWR issued Cert. of Approval to impound
water and taiIs at MTIS #4.
11/6/2013
PWS ID No.
1400028
IDEQ
IDEQ designation of PWS system
operation.
2/6/1995
Operating Permit
731-10-000113
Idaho Fish
& Game
Permit issued by Idaho Fish and Game to
Operate Private Fish Pond.
6/21/2010
Waste Generator’s
Status
IDD009424862
USEPA
Majority of time Lucky Friday is a CESQG,
however, periodic projects trigger status
as SQG.
N/A
3.6
Other Significant Factors and Risks
SLR is not aware of any environmental liabilities on the Property.  Hecla has all required permits to conduct
the proposed work on the Property.  SLR is not aware of any other significant factors and risks that may
affect access, title, or the right or ability to perform the proposed work program on the Property.

Technical Report Summary -  February 21, 2022
3-6

--- PAGE 37 ---
Technical Report Summary -  February 21, 2022
4-1
4.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES,
INFRASTRUCTURE AND PHYSIOGRAPHY
4.1
Accessibility
The Property is accessed from Coeur d’Alene on Interstate 90 eastwards to exit 69, which leads to Atlas
Road.  Travel north on Atlas Road for approximately 500 ft then right onto Friday Avenue.  The mine
security office is located approximately 1,200 ft east of the intersection of Atlas Road and Friday Avenue.
The nearest town is Mullan (pop. 692), which borders the western boundary of the mine and mill facilities.
Spokane International is the nearest airport, located 94 mi west of the Property on Interstate 90.  Spokane
International is serviced by several major carriers with daily flights to a wide range of major cities.
4.2
Climate
The climate of the Coeur d’Alene district is strongly seasonal with warm summers and harsh winters.  The
mean temperature for Mullan is 44.7°F with average monthly minimums of 27.1°F in December and
average monthly maximums of 63.0°F in July and August.  Mean precipitation is 35.24 in. (expressed in
inches of water), with November having the highest average precipitation and July the least. This is well
above the mean precipitation for Idaho which records an average of 18.9 in. annually. Precipitation is
observed an average of 158 days a year.  An average annual snowfall for Mullan is 111.9 in., with
December experiencing the most at an average of 27.3 in.  No snow is recorded between June and
September.  These data are based on records from 1975 to 1997 (Western Regional Climate Centre, 2009).
The mine is typically able to operate throughout the full year without any hindrance due  to inclement or
seasonal weather.
4.3
Local Resources and Infrastructure
The Property is located in the Silver Valley District of Idaho.  This is an area with a long mining history and
there is ready access to mining suppliers and skilled trades.  The Property is immediately north of
Interstate 90 at exit no. 69 and is easily accessible by automobile throughout the year on Idaho state
maintained surfaced roadways.  The project infrastructure and the infrastructure layout at the mine site
are discussed in Section 15.0 of this TRS.  There is sufficient suitable land available within the mineral
tenure held by Hecla for tailings disposal, mine waste disposal, and installations such as the process plant
and related mine infrastructure.  All necessary infrastructure has been built and is sufficient for the
projected life of mine (LOM) plan.
4.4
Physiography
The Coeur d’Alene District lies within the Bitterroot Mountains, a part of the Northern Rocky Mountain
Region. The area is characterized by rugged terrain and high relief with abundant vegetation. Originally
consisting of conifer forests, forest fires have diminished those trees in favor of second growth stands and
brush.  Principal conifers that remain are located in deep ravines and consist of pine, fir, hemlock, larch,
cedar and spruce. Deciduous trees, mainly willow, alder and black cottonwood are found on the valley
flats and along streams. Some aspen inhabit the high, open slopes, and willow and alder can be found on
ridge slopes.

--- PAGE 38 ---
Technical Report Summary -  February 21, 2022
4-2
The Property is situated in an area of narrow valleys and wooded mountains.  There is limited flat space
in the mine area due to valley flats being restricted to the main stream and the lower reaches of some
major tributaries. In only a few places do the flats exceed half a mile in width.  Ridge crests range in
altitude from 6,000 fasl to 7,000 fasl.  The maximum relief between valley floors and adjacent ridge crests
and peaks ranges from 3,000 ft to 4,000 ft.

--- PAGE 39 ---
Technical Report Summary -  February 21, 2022
5-1
5.0 HISTORY
5.1
Introduction and Previous Ownership
The Lucky Friday deposit was discovered in 1880 by J. F. Ingalis.  Staking was initiated in 1889 by the Lucky
Friday Group, and by 1906 the Property consisted of six claims.  Gold Hunter mining production began in
1885, from a large surface gossan containing significant silver enrichment.  In 1893, Gold Hunter Mining
and Smelting Company (later changed to Gold Hunter Mines, Inc.) was incorporated to conduct mining
activities on the Property.
The Lucky Friday Mining Company was incorporated in 1906 in the State of Washington and in Idaho in
1913. Some limited tunneling and trenching work was conducted.  In 1938, John Sekulic acquired a lease
and option to purchase the six claims and the following year formed the Lucky Friday Silver-Lead Mines
Company to work the Property.  A shaft was sunk to the 600 ft level and in 1942 the first commercial
shipment of ore was made.  Hecla began acquiring stock in Lucky Friday Silver-Lead Mines Company in
1958, with the purchase of a 38% interest and eventually, in 1964, the two companies merged.
Claims around the Gold Hunter had multiple ownerships until 1968.  Day Mines, Inc. (Day Mines) acquired
a majority interest in Gold Hunter Mines, Inc. in the 1950s.  In 1955, the assets of Gold Hunter Mines, Inc.
were conveyed by deed to a newly incorporated Gold Hunter Mining Company, and Gold Hunter Mines,
Inc. was dissolved.  The assets of Gold Hunter Mining Company were acquired by Day Mines in 1962, and
the Gold Hunter Mining Company was dissolved.
The claims adjacent to the Gold Hunter deposit were owned by Abot Mining Company (Abot) and
Independence Lead Mines Company.  In 1968, Day Mines, Abot, and Independence Lead Mines Company
(collectively referred to as DIA) entered into a series of agreements which allowed Hecla, as operator, to
explore and develop the consolidated properties, including the Gold Hunter deposit. Day Mines was
merged in 1981 with a wholly owned subsidiary of Hecla, Hecla-Day Mining Corporation, which was
merged into Hecla the following year.  In 2001, Abot quit-claimed its DIA property interests to Hecla.  Hecla
acquired the assets of Independence Lead Mines Company, including the DIA properties, in 2007 through
its wholly owned subsidiary, Silver Hunter Mining Company.
Historical production for the Lucky Friday Mine to the end of 2020 was 165.7 Moz silver, 1.04 MT lead,
and 210 KT zinc (Hecla, 2020) making it the Coeur d’Alene District’s fourth largest silver producer.
5.2
Exploration and Development of the Lucky Friday Vein System
Exploration work spans a very broad time period and primarily consists of step-outs and progressively
deeper investigations along known structures.  There is a link between exploration and definition work,
and often times the two general categories overlap.
A summary of early exploration on the Lucky Friday deposit is provided in Table 5-1. This area of the
Property is currently inactive.

--- PAGE 40 ---
Technical Report Summary -  February 21, 2022
5-2
Table 5-1:
Summary of Lucky Friday Vein Exploration by Elevation and Year

Levels/Sublevels
Year
Description of Exploration Work Done
1400 level

South drift on South Control Fault (SCF) outlined weak mineralization 500
ft west of the main Lucky Friday vein system.

Development driven 500 ft to the Hunter Creek vein system north of the
North Control Fault (NCF) with minor drifting on the South Star Fault (SSF)
projection.

The east split drift advanced from the Hunter Creek drift to test the
eastern projection of the SSF.  Found minor mineralization between the
SSF and Whiteledge Fault (WLF).
2000 level
Late 1940s
to 1951
Exploration hole from No. 1 shaft station to projection of SSF.  No core
was recovered from the fault zone.

A northeast trending drift exposed veining between the NCF and SSF.
Three drill holes on SSF and Hunter Creek targets were unsuccessful in
discovering economic mineralization.
2800 level
1965 to

The 1,250 ft Hunter Ranch drift driven west of intersection of the SCF and
Lucky Friday Vein.

Six holes drilled from the Hunter Ranch drift; three north and three south.
One hole to the south intersected a 0.1 ft wide pyrite-chalcopyrite-quartz
stringer; one of the holes to the north returned a sludge sample grading
0.7 oz/t Ag, 3.1% Pb, 0.1% Zn.
3050 level
1963 to
1966, 1988
Jutila Drift developed 3,500 ft east of Lucky Friday/NCF intersection.
Fourteen diamond drill holes tested north and south of drift.  No
significant mineralization found except for where SSF crossed drift.

Jutila Drift drilled again to test downward projection of a mineralized zone
exposed during surface construction.
4050 level
1973 to
1978, 1991
to 1993
The DMI drift west of Lucky Friday No. 2 shaft driven 1,300 ft.  Two drill
holes tested SCF projection with no success.

Development confirmed the mineralization in the Silver Vein.
4250 level
late 1970s
Drifting and drilling on 40 Vein and on a link vein between NCF and SSF.

Drifting to the southeast encountered mineralization 100 ft along the SCF.
4450 level
1989-1990
950 ft of SCF development encountered weak tetrahedrite and minor gold
mineralization in a sub-economic “split vein”.  Defined continuation of SCF
mineralized zone to over 1,200 ft.
5100 level
1985-1994
Allied Silver tested 2,500 ft west of Lucky Friday system between the NCF
and SCF.  Eight diamond drill holes were drilled to the north and south.

East and west projections of Silver Vein tested; low-grade disseminations
500 ft east and west of known mineralization.

--- PAGE 41 ---
Technical Report Summary -  February 21, 2022
5-3
Levels/Sublevels
Year
Description of Exploration Work Done

The Tuesday Vein discovered in 1988 by extending the 5100 level 104
crosscut (hanging wall vein access).

Development of the 40 Vein to the southeast near the 5100 level 112development drift encountered mineralization that remains in resource.

Weak mineralization and disseminated tetrahedrite encountered by hole
51-18 to test the SCF.
5300 level
1985 to

Drilling to test the east, west and south projections of the Silver Vein zone
intersected the 85 Vein southeast of the Silver Vein.  Drilling also
confirmed disseminated tetrahedrite mineralization in wall rock previously
seen in 5100 level drilling.

Testing of the far east projection of the SCF resulting in a tetrahedrite
intersection.  This was followed by the 4450 level South Control Fault
Project.

Drilling the east projection of the 40 Vein encountered weak
mineralization confirming the downward projection of the Tuesday Vein.
This drilling also suggested a “Link Vein” between the NCF and SSF.
5570 Sublevel
1994 to
present
Drilling to test the Silver Vein yielded mixed results.

Mineralization in the “Link Vein” between the NCF and SSF was confirmed
but is currently subeconomic.  More exploration is recommended.
Below 5570
1995 to
present
Deep vein projections tested.  Still open-ended to depth. Definition and
exploration diamond drilling continuing on both the 30 and Intermediate
Veins.
5.3
Exploration and Development of the Lucky Friday Expansion Area (Gold
Hunter)
A summary of historical exploration on the Gold Hunter deposit is provided in Table 5-2.
Table 5-2:
Summary of Gold Hunter Vein Exploration by Elevation and Year

Levels/Sublevels
Year
Description of Exploration
4050 level
1974-1978
DIA drift advanced 3,700 ft north from LF No. 2 shaft to the down dip
projection of the Gold Hunter Vein. Started in 1974, completed in 1977.
An additional 390 ft of drifting to the west and seven drill holes were
completed.  Mineralization persisted for 800 ft of strike length but was
subeconomic.  The Gold Hunter zone was discovered in the Wallace
Formation, 2,500 ft below Gold Hunter’s surface expression.

1991-1993
The west exploration program tested the down rake projection of the
Gold Hunter in 1991.  Two holes were drilled and a 4 ft, 50 oz/ton Ag
vein was intersected.  This led to two years of exploration drilling that
defined the 4050 level but was insufficient for a production decision.
This prompted a re-evaluation of the deposit model.

--- PAGE 42 ---
Technical Report Summary -  February 21, 2022
5-4
Levels/Sublevels
Year
Description of Exploration

A geological study was completed that defined Gold Hunter as a vein
deposit and recommended deeper exploration and development.

2007-2008
Hole GH29-01, drilled in 2007 from 4050 level to test the Gold Hunter
zone 900 ft above 4050, yielded encouraging results.

In 2008, surface drilling comprising seven holes tested the Gold Hunter
Gap between the historic production and the mineralization on the
4050 level and confirmed the continuity of mineralization.

Also in 2008, drift rehab, 700 ft of development, and 850 ft of drifting
for drill stations were completed.  Seven holes were drilled to target the
zones above the 4050 level.  The program was successful, but the
project was suspended to focus on deeper resources.

Diamond drilling resumed in the fourth quarter of 2010 from station No.
4 to test above the 4050 level development and stoping conducted
during 1991-1993.  Four 3900 level holes were completed and one 3700
level hole was abandoned due to core recovery problems. Vein
locations and grades were confirmed but only one intercept of
economic tenor was returned.  The target from this station switched
late in the quarter to definition drill testing below the level, with four
holes completed by year end.

Nine holes were drilled from station No. 4 on the east side of 4050 level,
and four holes from station No. 1 on the west.  Drilling resulted in small
increment to the Intermediate Vein resources and upgrades to the 30
Vein resource.  Recoveries were poor due to constraints regarding the
drilling additives, and drilling was suspended.
4900 level
1995 to 2001
In 1995, the Gold Hunter tunnel drive began and yielded economic
mineralization that resulted in a positive production decision in 1997.
Full production was reached in 1998 and the area was mined, at full
capacity, until 2001.

Gold Hunter production was reduced from 2001 to Q1 2005 when the
5900 level drive reached mineralization.

Far east projection drilling began in 2005 confirming the mineralized
zone projected at least 1,400 ft east of the 15 stope economic limit at
the 5800 level.

Minor mineralization to the far east was confirmed by drilling in 2006
approximately 2,000 ft beyond the 4900 level economic limit.
5900 level
2004 to
present
Access drive started in 2004, completed by mid-2006.  Mineralization
was encountered in vein characterization drilling.

The 6400 level deep drill program confirmed deep mineralization in
2005.

During 2006, Gold Hunter deep potential was successfully tested to the
7500 level confirming 1,000 ft of strike length.  One hole returned an
economic intersection below the 8000 level.

--- PAGE 43 ---
Technical Report Summary -  February 21, 2022
5-5
Levels/Sublevels
Year
Description of Exploration

During 2006, the west Gold Hunter projection was tested but yielded
equivocal results.  In 2007, the deep west 6900 level was tested and
resources were confirmed below the 7000 level.  Faulting is thought to
offset or terminate the deep west projection of Gold Hunter.

Full production from the 5900 level reached in Q4 2006.

Deep targets along the projected west 6900 level were tested during
2007 resulting in resource confirmation to depths below 7000 level.
Far-west diamond drill holes indicate existence of a fault (Silver Fault?)
that either offsets or terminates the west projection of the deep Gold
Hunter resource.  East exploration drifting in 2006 defined potential for
Intermediate and 30 Vein mineralization below the 5900 level.

East exploration work was completed on the Intermediate Veins during
2008, which resulted in expansion of the resource at the 5700 and 6100
levels.

Two long exploration holes were drilled in 2008, one testing 1,800 ft
north of the 5900 level Gold Hunter system on the east, and the second
testing 2,975 ft north of the system on the west side.  No significant
mineralization was encountered in either hole.  The west side hole,
abandoned due to intersection with a water-charged fault, was
cemented.

Exploration to the east below the 5900 level continued during 2008
with testing reaching to the 6300 elevation.  One hole reached the 7400
level and encountered good grade mineralization over a one foot
horizontal width, approximately 600 ft east of the known economic
boundary.

Exploration to the west testing the Silver Fault offset was completed in
late 2008 and confirmed the existence of another large fault that
terminates or offsets mineralization.

Late in 2008, Deep Gold Hunter exploration began and confirmed
improved 30 and 40 Vein grades below 6300 level.

Deep Gold Hunter exploration completed in late 2009, drilled the
central and eastern areas with the deepest hole reaching the 7850
elevation.  Drilling yielded generally positive results.  A conditional
simulation study was conducted late in 2009, which indicated that drill
spacing was sufficient for characterization of the resource down to 7900
level.

East exploration between the 6100 and 6400 levels confirmed narrow
mineralization beyond the 2008 resource boundary.  Evidence was
found for increasing widths and grades with depth, to the east between
the 6500 and 7900 levels.

West exploration testing for a north offset on the Silver Fault was
completed late in 2009, encountering local alteration and minor mineral
occurrences along a fault.  A large target area was defined between the
Silver Fault and the Elk Fault east of the Star Mine.

--- PAGE 44 ---
Technical Report Summary -  February 21, 2022
5-6
Levels/Sublevels
Year
Description of Exploration

During 2010, east deep exploration drilling confirmed Gold Hunter
resource expansion and added approximately 400 ft to the strike of the
east resource below the 6900 level.  Intermediate Vein intercepts north
of the deep projections of the 30-Vein returned economic widths and
grades.  East deep drill testing from the 5900 wash bay was completed
late in the fourth quarter.  Continued success with the deep drilling
during 2010 program improved the confidence of deep resource
projections to the 8300 level.

Nine holes were collared from the 5900 No. 4 shaft station, and four
additional holes were wedged from these.  Drilling extended into the
Silver Fault ; only six of the thirteen attempted holes penetrated
the entire mineralized package.  Dips of the deep west mineralization
appeared to reverse from steeply south to steeply north; the economic
vein assemblage that was encountered appeared to consist of two to
four economic veins.
Mine-Based
Exploration of GH
Surface Veins

A total of seven diamond drill holes were completed during 2007,
testing targets beyond the western limits of the historic near-surface
mining operations along the Gold Hunter System.

The Gold Hunter, Yolande, and the American Commander areas were
tested.  The deepest hole extended from surface down to the 600
tunnel level at 2,770 ft MSL.  No significant intercepts were
encountered.
5.4
Historical Resource Estimates
The most recent Mineral Resource and Mineral Reserve estimates were disclosed on the Hecla web site
(Hecla, 2020).  The estimates were prepared by Hecla and are summarized in Table 5-3 and Table 5-4,
respectively. The effective date, as stated on the web site, was December 31, 2020.
Table 5-3:
Previous Mineral Resource Estimate – December 31, 2020

Category
Tons
(ton)
Grades
Contained Metal
(oz/ton Ag)
(% Pb)
(% Zn)
(oz Ag)
(ton Pb)
(ton Zn)
Measured
9,007,000
7.6
4.8
2.4
68,543,000
430,950
218,740
Indicated
2,275,000
7.8
5.3
2.2
17,844,000
120,390
50,970
Total M+I
11,282,000
7.7
4.9
2.4
86,386,000
551,340
269,710

Inferred
3,069,000
8.3
6.3
2.7
25,359,000
192,200
83,350
Notes:
1.
In situ Measured, Indicated, and Inferred Resources from Gold Hunter and Lucky Friday vein systems are diluted for
expected mining recovery.
2.
The net smelter return (NSR) cut-off grades are US$170.18/ton for the 30 Vein, US$184.97/ton for the Intermediate
Veins, and US$207.15/ton for the Lucky Friday Vein.

--- PAGE 45 ---
3.
 Metal prices used were US$21/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
4.
Totals may not agree due to rounding.
Table 5-4:
Previous Mineral Reserve Estimate – December 31, 2020

Category
Tons
(ton)
Grades
Contained Metal
(oz/ton Ag)
(% Pb)
(% Zn)
(oz Ag)
(ton Pb)
(ton Zn)
Proven
4,393,000
14.2
8.8
4.1
62,290,000
386,210
180,060
Probable
1,372,000
10.7
7.2
3.9
14,702,000
99,170
53,190
Total P + P
5,764,000
13.4
8.4
4.0
76,992,000
485,380
233,250
Notes:
1.
The NSR cut-off grades are US$216.19/ton for the 30 Vein and US$230.98/ton for the Intermediate Veins.
2.
Metal prices used were US$16/oz Ag, US$0.90/lb Pb, and US$1.15/lb Zn.
3.
Totals may not agree due to rounding.
The December 31, 2020 Mineral Resource and Mineral Reserve estimates are superseded by the estimates
reported in Section 11.0 of this TRS.
5.5
Past Production
As stated above, historical production for the Lucky Friday Mine to the end of 2020 was 165.7 Moz silver,
1.04 MT lead, and 210 KT zinc (Hecla, 2020).

Technical Report Summary -  February 21, 2022
5-7

--- PAGE 46 ---
Technical Report Summary -  February 21, 2022
6-1
6.0 GEOLOGICAL SETTING, MINERALIZATION, AND DEPOSIT
6.1
Regional Geology
The Coeur d’Alene Mining District is predominantly underlain by Middle Proterozoic (ca. 1.45 Ga to 1.40
Ga) meta-sedimentary and mafic intrusive rocks of the Belt Supergroup (Figure 6-1). The Belt consists of
a thick sequence of variably metamorphosed marine, lacustrine, and sub-aerially derived quartzites and
argillites with scattered carbonaceous horizons (Hobbs et al., 1965).  The sequence is only rarely
interrupted by magmatic events.  The Belt Supergroup lies unconformably on top of Archean and
Proterozoic crystalline basement.
These rocks correlate with the Purcell Supergroup in southern British Columbia and Alberta, and together,
the Belt-Purcell comprises an enormous sedimentary basin which extends southwards to central Idaho
and laterally from the Washington border to almost midway into Montana.  It is thought to be a faultbounded rift basin, which for most of its existence was remarkably stable as no unconformities have been
found throughout its entire vertical extent (Lonn et al., 2020).  The Belt Supergroup is estimated to be at
least 15 km thick (Hobbs et al., 1965), possibly over 18 km thick (Jones et al., 2015), and subtends an area
of greater than 200,000 km2 (Lonn et al., 2020).
The Belt Purcell Supergroup was deposited near the margin of the North American craton within the
Columbia supercontinent between 1.54 Ga and 1.30 Ga (Jones et al., 2015; Perelló et al., 2021).
Deformation of the Belt is thought to have commenced at about 1.45 Ga with rifting and the detachment
of the Australian and Antarctic cratons from the North American Craton.  The region has undergone
several episodes of deformation and metamorphism including the East Kootenay (1.38 to 1.325 Ga),
Grenville (1.20 to 1.00 Ga), and Goat River (900 to 800 Ma) orogenies (Perelló et al., 2021). Most recently,
deformation and faulting has occurred during Cordilleran tectonism (Jones et al., 2015) taking place from
the Jurassic (ca 160 Ma) and extending into the Eocene (ca 50 Ma).
This prolonged tectonism has resulted in a complex series of synclines and anticlines that are often
overturned.  In the mine area, the primary structural feature is the Lewis and Clark Line (Figure 6-2), a
crustal-scale shear corridor measuring 400 km long and up to 80 km wide trending west-northwest from
Montana across the Idaho Panhandle (Wallace et al., 1990).  The most recent displacement event likely
took place in the Late Cretaceous and is estimated to have resulted in between 11 km and 28 km of rightlateral strike slip movement.

--- PAGE 47 ---
Technical Report Summary -  February 21, 2022
6-2

Source: Lonn et al., 2020
Figure 6-1: Regional Geology

--- PAGE 48 ---
Technical Report Summary - February 21, 2022
6-3

Source: Wallace et al., 1990
Figure 6-2: Lewis and Clark Line

--- PAGE 49 ---
Technical Report Summary -  February 21, 2022
6-4
6.2
Local and Property Geology
The Belt Supergroup has been subdivided into four groups: the Lower Belt, Ravalli, Middle Belt, and the
Missoula Groups (Harrison, 1972).  In the Coeur d’Alene Mining District, Belt Supergroup rocks are further
subdivided into six formations listed below (oldest to youngest):

Prichard Formation (Lower Belt Group); Dark grey to black argillite with two  quartzite horizons;

Burke Formation (Ravalli Group); Grey argillaceous quartzite, including some  characteristic beds
of purple quartzite;

Revett Formation (Ravalli Group); Competent, thick-bedded, white and grey  quartzite, with some
green-grey argillaceous quartzite beds;

St. Regis Formation (Ravalli Group); Purplish-grey quartzite and argillite;

Wallace Formation (Middle Belt Group); Light grey quartzite, limestone, and  argillite;

Striped Peak Formation (Missoula Group); Purplish-grey and greenish grey      quartzite, and thinly
laminated purplish-grey argillite.
These rock units are depicted in a stratigraphic column in Figure 6-4.
In the immediate mine area Belt Supergroup stratigraphy comprises the Revett, St. Regis, and Wallace
Formations (Figure 6-3).  The lowermost is the Revett Formation which is predominantly shallow marine
quartzite, with local argillaceous lenses.  It is immediately overlain by St. Regis Formation shallow marine
shales and sandstones which are, in turn, overlain by the Wallace Formation.  The Wallace Formation is
primarily composed of fine-grained, thin-bedded calcareous or dolomitic sericitic slate, banded argillite,
ferruginous and dolomitic limestone, and calcareous quartzite that grade into one another.
Cretaceous monzonitic intrusions, referred to as the Gem stocks, cut the stratigraphy approximately two
miles northwest of the Star-Morning deposit. The Gem stocks are distributed along a northeast trend that
is bounded to the southwest by the Dobson Pass Fault.  Metamorphism associated with these intrusions,
as well as an alteration facies locally described as “bleaching”, obscures contact relationships.  Younger
dikes of dioritic composition also transect the area.
As stated above, these rocks are intensely folded into a complex series of synclines and anticlines that are
often overturned.  Faulting is also complex, with an older north-northwest-trending set of axial plane
faults offset by later west-northwest right-lateral strike-slip faults.  Structures related to this later strikeslip movement host most of the orebodies discovered in the district.  Later, extensional faulting overprints
these ore hosting structures.  These structures are the principal control to ore formation in the district.
The Osburn Fault (OBF), which represents the largest fault in the district, passes just south of the mine
(Figure 6-3). This is a major regional structure which divides the entire district into north and south
sections.  The fault strikes N80W and has undergone right lateral displacement in the order of 12 mi to 16
mi, depending on dip-slip movement.  Subsidiary subparallel faults splay off of the main structure on both
the north and south.  To the north, the structural trend swings more to a north to north-northwest
orientation.  Other major producers of the district including the Bunker Hill and Sunshine mines are
located on the south side of the OBF, but displaced westward. South of the OBF folds and faults trend
east-west, whilst north of the OBF the larger folds trend northwest and the larger faults have a west to
northwest strike.

--- PAGE 50 ---
Technical Report Summary -  February 21, 2022
6-5

Figure 6-3: Local Geology

--- PAGE 51 ---
Technical Report Summary -  February 21, 2022
6-6

Source: Mitchell et al., 2021
Figure 6-4: Stratigraphic Column

--- PAGE 52 ---
Technical Report Summary -  February 21, 2022
6-7
The Dobson Pass Fault represents a major discontinuity that juxtaposes the Wallace and Prichard
formations. All rocks, including the major silver-bearing veins and the Gem stocks, are cut by northnorthwest striking lamprophyre dikes that are interpreted to be Tertiary in age (Hobbs et al., 1965).
The Lucky Friday deposits are fissure-hosted silver-lead-zinc veins typical of the Coeur d’Alene District.
Principal vein systems are the Lucky Friday and Gold Hunter Veins (Figure 6-5). Economic mineralization
consists of silver-bearing galena and tetrahedrite, with relatively minor amounts of sphalerite and
chalcopyrite.  These minerals occur in veins, fracture-fillings, and disseminations along with accessory
pyrite and a gangue of iron carbonate (siderite), calcite, and quartz.  Mineralization is strongly structurally
controlled with a significant influence from the competency of the wall rocks.  Ore bodies are best
developed where faults and fractures intersect more siliceous and competent lithologies, and are less
likely to occur in the comparatively incompetent argillites.
The Lucky Friday ore zone is a single tabular body that curves from east-northeast to northeast in strike
and dips almost vertically.  The host structure is a shear couple tensional feature, bounded by two major
west-northwest-trending faults associated with the Osburn Fault (located 1,000 ft to the south).  These
bounding faults are termed the North and South Control Faults (NCF and SCF, respectively).  Between
these two structures, the vein and host stratigraphy are folded into a southwest-trending steeply plunging
antiform called the Hook Anticline.  The fracture hosting the Lucky Friday vein has undergone up to 200 ft
of reverse movement.
Horizontal vein widths are in the order of five feet to six feet.  The strongest mineralization occurs in the
quartzitic rocks of the Revett Formation.  Near surface, where the Lucky Friday vein traverses St. Regis
Formation argillites, the mineralization is weak and discontinuous. Below the 1200 level, where the vein
walls transition to Revett, vein widths and mineralization are much more robust.
Vein mineralization consists of very fine- to coarse-grained argentiferous galena, sphalerite, and local
tetrahedrite.  Gangue minerals are quartz and siderite with accessory pyrite and arsenopyrite.  Gangue
minerals often display cataclastic textures such as rounding and quartz or siderite “eyes” owing to postore movement of the faults.  The wall rocks are generally weakly altered, with siderite proximal to the
vein, grading to siderite with calcite distally, up a distance of 300 ft from the veins.
The Gold Hunter Vein system is located approximately 4,000 ft northwest of the Lucky Friday deposit
(Figure 6-5 and Figure 6-6).  The system comprises several closely spaced individual veins in a broad zone
measuring approximately 200 ft wide and striking in a west-northwest direction.  The present resource
estimate includes material from 16 individual veins.  Vein orientations are generally parallel, although
they do intersect in places, and dips are near-vertical (Figure 6-7).  The 30 Vein is the most important
economically, both from a reserve and production point of view. The 30 Vein has been mined along a
strike length of just over 2,200 ft on the 5900 level and slightly more at depth.  The known vertical extent
of mineralization on this structure is nearly 4,700 ft and is open-ended.  Horizontal mining widths are
typically in the order of five to seven feet but have been known to extend as far as 15 ft.  Ore bodies on
the other veins (termed “Intermediate Veins”) have tended to be smaller, so far measuring in the
hundreds of feet in strike and dip extent, and are somewhat narrower, generally in the 2.5 ft to 4.0 ft
range.
The Gold Hunter veins are hosted in sheared argillites of the Wallace Formation and, at depth, the St.
Regis Formation, which were at one time considered to be less prospective owing to their lower
competence.  The host unit is a 200 ft thick siliceous and relatively more brittle lens in the argillites.  The
Wallace Formation lithology consists of thinly bedded argillites, argillites alternating with silt caps, and
local siltites.  The more typical Wallace Formation dolomitic argillites and siltites are found distal to

--- PAGE 53 ---
Technical Report Summary -  February 21, 2022
6-8
mineralization.  Argillites proximal to mineralization are green to grey, becoming purple-coloured and
hematitic further away from the mineralization.  Fissility in the Wallace Formation is reduced in the vicinity
of the Gold Hunter deposit, owing to an envelope of silica and siderite associated with the mineralization.
It is believed this alteration hardened the host rock and made it more amenable to fracturing and
development of sulphide orebodies.
The wall rocks at Gold Hunter have a metamorphic shear lineation that trends N83W and plunges to the
west at 74° to 82°, roughly parallel to the ore bodies.  This fabric has been observed at the surface
discovery and is also noted at depth as sericite mineralization along bedding and cleavage surfaces.  The
Wallace Formation is folded to a nearly vertical orientation with a strike in the order of N80-85W and
dipping 80-90S.  Gold Hunter appears to be within the south limb of a faulted N80-85W-trending antiform.
There is little carbonate locally in the Wallace Formation around the deposit.  Proximal to the Gold Hunter
deposit, carbonate takes the form of siderite that grades outward to low-iron siderite, to ankerite, and to
calcite/dolomite distally.  The carbonate alteration is closely related to the mineralization and is
considered a key diagnostic indicator.
The Gold Hunter vein system lies between two west-northwest trending district fault structures. The faults
lie approximately 1,500 ft apart and define the Star-Gold Hunter trend.  To the north is the N80-85W
striking and 80S dipping Independence Fault and to the south is the N80W-striking and 80S-dipping
Paymaster Fault (Figure 6-5,Figure 6-6, and Figure 6-7).

--- PAGE 54 ---
Technical Report Summary - February 21, 2022
6-9

Source: RPA, 2017 (Digitized from Hobbs et al., 1965)
Figure 6-5: Property Geology

--- PAGE 55 ---
Technical Report Summary -  February 21, 2022
6-10

Source: RPA, 2017
Figure 6-6: Geological Plan 5900 Level

--- PAGE 56 ---
Technical Report Summary - February 21, 2022
6-11

Source: RPA, 2017 (Digitized from Hobbs et al., 1965)
Figure 6-7: Cross Section

--- PAGE 57 ---
6.3 Mineralization
6.3.1 Lucky Friday Vein
Wall rock alteration consists of a weak carbonate
mineralization that gives way to ankerite as the vein
to the vein system. The geometry of this alteration
Iron and magnesium in fluids flowing out from the v
rocks contain dolomite, which compromises the a
distances of more than 300 ft from vein systems depe
Additionally, disseminations of sulfide extend some
usually consists of galena, sphalerite, and tetrahedrit
The Lucky Friday Vein has an economic strike lengt
southeast dipping vein that varies from inches to as m
to six ft over the full economic length.
The source for this mineralization is current unclear.
SCF, which are mineralized locally. These may ha
mineralizing fluids to flow into the host fissure, which
The vein consists of both gangue and sulfide miner
amounts of pyrite and arsenopyrite. Ore minerals
tetrahedrite.
Mineral textures vary. Gangue minerals are often cata
by rounded mineral grains. Quartz and siderite “eyes
vary from very fine-grained to coarse-crystalline.
A simplified paragenesis begins with early quartz carb
sphalerite, and then by tetrahedrite and argentiferou
6.3.2 Gold Hunter Vein System
Gold Hunter historic mining extending from the surf
1,510 ft MSL elevation demonstrates grade trends an
to sub-parallel with often ill-defined mineralized len
grades of 4.1 oz/ton Ag and 3.9% Pb in three main le
there were five lenses at a bulk grade of 9.1 oz/ton A
there are ten lenses at a bulk grade of 9.6 oz/ton Ag,
Mine geologists report that silver, lead, and zinc bulk
content increases slightly relative to silver.
There are currently 101 definable, parallel veins ident
and grade with the most productive being the 30economic length when compared to the other Gold H
in width as a composite of closely spaced veins and
The economic vein length is approximately 2,300 ft. T
Lucky Friday Unit production since 1997 and has be
level. The other “Intermediate” veins have shorter
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 6-1
zonation. Calcite dominates in areas distal to the
n is approached and then is altered to siderite closer
depends upon wall rock porosity and permeability.
vein systems altered the original calcite. Some host
alteration pattern. This alteration can be seen for
ending upon bedding orientations to the vein source.
distance into host stratigraphy. This sulfide material
te.
th of up to 1,500 ft. The vein is a high angle southmuch as 20 ft in width. The average varies from four
The Lucky Friday Vein is connected with the NCF and
have been the major structural controls, enabling
h eventually became the vein.
ralization. It contains quartz and siderite with lesser
include argentiferous galena, sphalerite, and local
aclastic for quartz and siderite with milling evidenced
s” are common in Lucky Friday ores. Sulfide textures
bonate, plus or minus sericite and pyrite, followed by
us galena.
face at +4,700 ft MSL elevation to the 4900 level at -
nd variability. The vein zones are stacked and parallel
nses. The historic surface mining had bulk resource
enses. On the 4050 level at the -675 ft MSL elevation
Ag, 4.1% Pb, and 1.3% Zn. At 4900 level (-1,510 MSL)
, 5.4% Pb, and 2.3% Zn.
k grades generally increase with depth. Lead and zinc
tified in the Gold Hunter system. These vary in width
-Vein. This vein has the greatest value, width, and
Hunter veins. The 30-Vein averages more than four ft
veinlets. It strikes N83W and dips 80°S to vertically.
This vein has yielded a significant percentage of total
een largely mined out down to approximately 6000
r strike lengths and generally narrower widths. The
.00022

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Technical Report Summary -  February 21, 2022
6-13
distribution of silver, lead, and zinc varies randomly for each vein. Production from Intermediate veins is
in the LOM plan and is anticipated to contribute proportionally more to the overall mill feed as time
progresses.
The 5900 level development was completed and full production was reached at the end of 2006. It had
been expected that overall grade trends would yield lower values at the 5900. Subsequent drilling and
development indicated that the expected grade fall-off trends were not as dramatic as had been
anticipated. The overall grade for 5900 level was lower, however, the mineable strike length increased by
600 ft relative to the 4900 level. Much of the composite grade decrease was due to the inclusion of more
mineable strike length. The eastern side of the deposit is actually higher grade than expected and the
western side a little narrower and lower than expected with the increase in length. Deep drilling results
from 2008 to 2010 suggest improving grades below the 6500 level. Lucky Friday mine staff are of the
opinion that reserve and resource estimates to the 7000 level have a very high level of confidence with
appropriate drill grid spacing. There are also a number of drill intercepts from deep-seated drilling that
extend resource estimates to the 8300 level.
As with Lucky Friday, the source of the Gold Hunter mineralization is not fully understood. The Gold Hunter
zone’s downward projection eventually reaches an intersection with the Independence Fault, which
hosted the Star Mine mineralization. Lucky Friday geologists consider that this fault may be the source
structure for the Gold Hunter mineralization, forming a conduit whereby fluids moved along reactivated
axial plane cleavage to form the deposit.
Individual vein constituents vary but a typical vein contains quartz and siderite with lesser amounts of
pyrite and barite. Ore minerals include argentiferous galena, sphalerite, and local tetrahedrite. There are
also minor amounts of other sulfosalts, including pyrargyrite (ruby silver), bournonite, and boulangerite.
Mineral textures vary. Gangue mineral textures are often cataclastic for siderite and local quartz. Sulfide
textures vary from locally coarse crystalline galena to fine grained steel galena.  Very fine grained sheared
galena is observed to be more silver-rich that coarser grained variants.  Sphalerite textures range from
medium crystalline to fine-grained and is generally lower in iron content relative to the Lucky Friday Mine
sphalerite.
A simplified paragenesis for the Gold Hunter begins with early quartz/carbonate/ sericite/pyrite, followed
by sphalerite, then tetrahedrite/argentiferous galena, and lastly late stage cooling and development of
additional sulfosalts minerals. It is currently believed that some of these sulfosalts may have formed as
silver was released from argentiferous galena during deposit cooling.
6.4
Deposit Types
The deposits of the Coeur d’Alene District, including Lucky Friday, are classified by Beaudoin and Sangster
(1996) as clastic metasediment-hosted vein silver-lead-zinc deposits.  In addition to Coeur d’Alene, the
world’s most prolific silver district, this deposit type embraces a number of historical mining localities
including the Harz Mountains and Freiberg in Germany, Keno Hill and Kokanee Range in Canada, and
Příbram in the Czech Republic.  They are typified by the following general characteristics:

Hosted in thick, monotonous sequences of fine- to medium-grained clastic sedimentary rocks
transected by deep-seated regional-scale faulting

Sedimentary basins occur in a wide range of tectonic environments, but all have been subject to
deformation, intrusion, and regional metamorphism, typically greenschist facies

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Technical Report Summary -  February 21, 2022
6-14

Economic minerals are predominantly galena and sphalerite with minor accessory pyrite and a
wide range of sulphosalt minerals including tetrahedrite, pyrargyrite, stephanite, bournonite,
acanthite, and native silver.

Gangue minerals typically comprise siderite and quartz with lesser amounts of dolomite or calcite

Comparatively low gold content

Temperature of sulphide mineral deposition in the range of 250°C to 300°C

Hydrothermal alteration constrained to a few metres of the veins and characterized by sericite,
silicification, and pyrite.
The signature for all economic deposits discovered within the Coeur d’Alene District is vein-like
morphology hosted within the meta-sediments of the Belt Super Group. In the Lucky Friday Complex, as
well as other sub-districts in the Coeur d’Alene District, veins occur as branching fissures that cross-cut or
invade the sedimentary bedding or host rocks.  Previous studies have indicated the veins are mesothermal
origin (Leach, 1982). The vein structures are known to branch, split or bifurcate, forming duplexing and
anastomosing geometries. The majority of veins strike west-northwest, are steeply- dipping, elongated
down-dip and can have strike lengths over 4,000 ft and dip lengths over 8,000 ft (Hobbs et al., 1965).
It is generally accepted that the veins of the Coeur d’Alene District were formed during the Cretaceous to
early Tertiary. Genesis of the ore bodies may have been a result of regional-scale metamorphism and the
development of hydrothermal systems associated with the emplacement of the Idaho Batholith pluton
and concurrent deformation. Metamorphic hydrothermal fluids most likely scavenged syngenetic metals
(silver, lead, zinc, and copper) from Proterozoic Belt Supergroup strata and emplaced these metals within
pre-existing or concurrent structural features (Fleck et al., 2002).

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7-1
7.0 EXPLORATION
7.1
Exploration
Exploration work on the Property ceased in 2017 and has not resumed.
7.2
Drilling
7.2.1 Drilling Procedures
Historically, drilling at the mine was divided into two general categories: exploration and definition
drilling.  Holes that are drilled more distant from the active workings, typically to test specific geological
targets, were termed exploration. As stated above, exploration drilling is not currently done, and hasn’t
for several years. Definition drilling, however, is currently being carried out in the immediate vicinity of
the mine workings with the purpose of upgrading the confidence level of the Mineral Resources.
Diamond drilling for the Gold Hunter veins is primarily conducted from underground.  The holes are
fanned from purpose-built openings and targeted to intersect the 30 Vein on a 50 ft x 50 ft pattern.
Although the target in the 30 Vein, several of the Intermediate Veins are captured as well. The holes are
usually in the order of 350 ft long, with one hole in five extended to capture more veins, and for rock
geochemical studies.
Drilling is carried out under contract by Dynamic Drilling of Osburn, Idaho, using a Sandvik DE130 (formerly
Hagby 1000) machine.  The drilling crew schedule is dependent on drill station availability and averages
five day/week crew staffing to meet the planning horizons.  Core size is NQ2 (1.99 in. diameter).
Figure 7-1 is a plan view showing the general distribution of diamond drill holes at Gold Hunter.
All holes are cemented for their entire length following completion.
The drillers place the core in waxed cardboard boxes which are then enclosed and taped shut prior to
transport to the shaft station on the 5900 level.  They are then placed in steel containers to be collected
by mine staff and conveyed to the logging facility which is located near the mine offices.
The core logging facility has recently been completely reconfigured.  Benches have been replaced with a
series of roller-equipped racks that allow the boxes to be easily pushed with no lifting from station to
station during the logging and sampling process.  New lighting has been installed along with a water supply
system with spray hoses, as well as cushioned flooring.
Upon receipt of the core at the logging facility, the boxes are laid out in order on the rollers. They are then
examined to ensure correct block footages and core orientation. s of core loss are noted, and
geotechnical logging is conducted.  This includes measurement of recovery, rock quality designation
(RQD), and recording the presence of “disking” (ie the separation of the core along closely spaced parting
planes).  Disking typically occurs in fault zones and is therefore important to note for ground control
purposes.
Logging is conducted by a contract geologist supplied by Tamarack Geological Services of Osburn, Idaho.
Data is digitally captured on notebook computers using GeoSequel, a commercially available software
package.

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Technical Report Summary -  February 21, 2022
7-2

Source: SLR, 2021
Figure 7-1: Gold Hunter Diamond Drill Plan

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7-3
The core is then logged for lithology and mineralogy, as well as sedimentary structures, veins, faults, and
other structural features.  Following this, a third logging pass is made noting type, style, and intensity of
alteration.  During the logging process, features of note are marked with crayon so as to be visible in the
core photos.
The core is then wetted and photographed using a purpose-built camera and lighting enclosure which
provides uniform digital images.  In addition to the notations on the core for geological information, the
sample boundaries and numbers are also marked to allow for easier validation of the assay results using
the imagery.
Specimens from each vein are measured for specific gravity (SG) using a water immersion method on
unsealed core.  This SG data is currently not being used for tonnage estimates.
7.2.2 Surveys
Hole locations and orientations are marked for the drillers by the supervising geologist.  Once the hole
has advanced for 50 ft, it is stopped, and the orientation checked with a Reflex EZ-Shot downhole survey
instrument.  If the orientation is within 3° of planned, the drillers are allowed to proceed.  On reaching
the target depth the drillers stop the hole and survey the entire length with the EZ-Shot.  Surveys are
made at the end of the hole progressing back upwards at 100 ft intervals to the 50 ft mark.
The EZ-Shot azimuth measurements are based on magnetics, and susceptible to interference from steel
objects. Taking a reading 50 ft down the hole reduces the chance that the instrument will be influenced
by any iron objects in the drift.  The EZ-Shot instrument also records the magnetic field strength which is
used to derive an average field strength for help in assessing individual orientation readings.  If an
obviously spurious measurement is recorded, it is discarded and replaced with an average of adjacent
readings.
The hole collar locations are picked up by the mine surveyors, as are any breakthroughs noted in the drifts.
This is to provide a means for gauging the accuracy of the downhole surveys, and to note any general
trends in hole deviation.
The survey data is recorded on paper and forwarded to the supervising geologist for capture using the
GeoSequel software. The surveyed holes are checked on screen in 3D to confirm that they were oriented
as planned and in the correct location.
7.2.3 Drill Sampling
On completion of the logging, the core is marked for sampling. Samples range in length from a minimum
of 0.5 ft to a maximum of four ft with breaks made based on lithological contacts or changes in estimated
grade or mineralization style.  Tags are placed in the boxes for each sample.  Only the veins are sampled.
The core is not split, but rather sampled in its entirety.  This is done primarily for efficiency and also
because the mine has operated for so long there is no longer any need to retain the core for reference.  It
should be noted also that whole core provides a better sample owing to the additional volume of sample
material.  The core photographs are also of such high quality that it is possible to check the core in detail
after it has been discarded.
Sample tag books are filled out with hole ID, location, from and to information, and a tag is placed in the
sample bag.  The sampled intervals are captured in GeoSequel and then checked using a validation routine
to confirm that there are no overlaps or accidental gaps.

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7-4
Assay Quality Assurance/Quality Control (QA/QC) samples consisting of either a blank, standard, reject
duplicate, or pulp duplicate are entered into the sample stream at a rate of one in 20 samples.  These are
also recorded in the database.
Samples are placed in cloth bags which are then collected into reusable plastic shipping boxes (“tote”).
The shipping list is generated in GeoSequel and place in the tote.  A separate tote is used for each hole.
The totes are shipped via commercial carrier to the ALS Global (ALS) laboratory in Reno, Nevada.
In the QP’s opinion, the drilling, core handling, logging, and sampling at Lucky Friday is being conducted
according to common industry practice, in a manner appropriate for the deposit type and mineralization
style.
7.2.4 Chip Sampling
Cut and fill stopes and development headings are visited on a regular basis by mine technical staff, and
every second face is sampled and mapped.  Stope and drift faces at Gold Hunter are mapped and
photographed, then chip sampled from rib to rib.  Samples are chipped into cloth bags using a rock
hammer.  Samples are oriented horizontally across the face from north to south, with breaks at structures,
vein boundaries, and changes in mineralization style or other noticeable features.  Sample lengths are
constrained to a minimum of 0.5 ft and a maximum of 4.0 ft.  Sample boundaries are painted on the face
before a photograph is taken for verification purposes.
Mapping and sampling is done five feet above the drift floor.  The sampling geologists create their own
control for the mapping, which is then tied in by the survey department.  The samplers make note of the
vein orientations as well as the horizontal width of the veins, and the actual horizontal width of the
opening.  The recording of these parameters provides the ability to more accurately estimate the dilution
occurring in the stopes, and assists in reconciliation.
Data collected includes stope name, cut height, date of sample, planned mining width, actual mining
width, and distance from reference point.  Material is also coded as waste dilution, required material,
vein, or internal dilution.
The chip samples are located by means of measurement from the nearest survey station or control point
and the surveyed drift wall.  Sample tickets and face maps are stored in paper files, one for each stope
cut. The face maps are scanned and stored on the server along with the face photographs. On receipt of
the assay data, the assays are copied to both the paper file and the digital database. Site geologists are
responsible for location of the samples and with keypunching the sample information into the GeoSequel
database.
The samples are stored as drill hole records, with the “collar” always located on the north side of the
working face, five feet above the average stope floor.  The sample strings are oriented at an azimuth of
186°.  After the stope has been completed and the sampling reconciled with the final survey, the chip
sample data are exported to CSV files for import to Leapfrog and Surpac.
In the SLR QP’s opinion, the chip sampling practices at the site are reasonable, appropriate for the
mineralization style, and consistent with common industry practice.
7.3
Hydrogeology Data
Hydrogeology data is not currently collected from the Lucky Friday drill holes.

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Technical Report Summary -  February 21, 2022
7-5
7.4
Geotechnical Data
As stated above in the section of Drilling Procedures, geotechnical data in the form of core recovery, RQD,
and presence of disking are recorded in the logging process.

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8-1
8.0 SAMPLE PREPARATION, ANALYSES, AND SECURITY
8.1
Sample Preparation and Analysis
8.1.1 Core Samples
The core samples are shipped to ALS in Reno, Nevada for analysis.  ALS is an independent commercial
analytical company that is well known in the industry.  The Reno laboratory has ISO/IEC 17025:2017
accreditation.  There are two broad categories of analyses that are performed on these samples: one for
the geochemistry holes and another for the rest of the definition holes.  All samples are prepared with
the following ALS protocol:

Oven dried

Crush to 70% minus 2 mm

Split by rotary splitter to a 250 g sub-sample

Pulverize to 85% passing 75 μ
All samples are run using aqua regia digestion of a 0.4 g sub-sample and Inductively Coupled Plasma Mass
Spectrometry (ICP-MS) finish for silver, lead, zinc, and iron.  Overlimits for these assays (ie greater than
1,500 ppm Ag, 20% Pb, or 30% Zn) are rerun using the following protocols:

Silver – fire assay (FA) of a 30 g aliquot with gravimetric finish

Lead and zinc – digestion of a one g sub-sample and analysis by titration
The overlimit re-assays also include copper. The copper assays are used for characterization of tailings for
monitoring purposes and are not relevant to the resource estimation.
Geochemistry samples are also analyzed for a suite of 48 elements via four-acid digestion of a 0.25 g subsample with an ICP-MS finish.  Overlimits for the geochemistry holes are rerun with ICP-MS but with a
larger, 0.40 g, sub-sample.  The upper detection limits for the ICP-MS are 100 ppm Ag, and 10,000 ppm
for lean, zinc, and copper.
Assay results are returned via email or can be downloaded from the ALS Webtrieve web portal.  The data
comes in csv format which can be uploaded to directly to Maxgeo for validation and processing.
8.1.2
 Chip Samples
Hecla has its own assay laboratory, located in the town of Gem, Idaho, ten miles from the mine (Gem).
The laboratory comprises a sample preparation area, with atomic absorption (AA), wet assay, and FA
capabilities.
Samples are picked up from the mine site five days per week, with most sample results returned within
one day.  Assay reports are posted up to the network as spreadsheet files, which can be retrieved by the
geology department as they become available.  The spreadsheets are created by the geology staff at the
time the samples are collected, and the laboratory staff manually fill in the assay results.
Analytical protocols are the same for drill and chip samples, and are outlined below:

Dry in sample ovens for 12-18 hr

Coarse-crush in a jaw crusher to -1/2 in.

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8-2

Pass coarse material through a Jones riffle splitter to obtain a 250 g subsample

Reduce the subsample to minus 100 mesh with a ring pulverizer

Collect a 0.2 g aliquot for AA and collect the remainder of subsample pulp for storage; pulps are
stored for at least six months

Digestion by boiling for 15 minutes in 10 mil nitric acid plus 20 mil hydrochloric acid

Add water to reach 200 mL volume

Determine silver, lead, and zinc assay with AA

Transfer results to the sample spreadsheet on the server

Rerun over-limit assays as requested by the geology department
Samples grading higher than 50 g/t Ag are rerun using FA, and are also assayed for copper.  Those grading
greater than 12% Zn or 20% Pb are rerun using wet titration methods.
8.2
Bulk Density
Specific gravities (SG) are estimated from metal contents by means of a stoichiometric equation taking
into account the most common minerals in the ore.  The principal constituent minerals of the ore are
assumed to be galena (PbS) and sphalerite (ZnS) in a gangue containing siderite (FeCO3) and pyrite (FeS2)
along with silicates.  The relative abundance of iron species is assumed to be 75% siderite and 25% pyrite.
The SG equation is as follows:
Density = 100 / ((Gangue%/2.76) + (Galena%/7.50) + (Sphalerite%/4.00) + (Siderite%/3.94) +
(Pyrite%/5.02)
Where:

Galena% = Pb% / 0.866

Sphalerite% = Zn% / 0.670

Siderite% = (Fe% x 0.75) / 0.482

Pyrite% = (Fe% x 0.25) / 0.466

Gangue% = 100 – (Galena% + Sphalerite% + Siderite% + Pyrite%)
The SG calculation results have been checked in past years by means of comparison with analytical
measurements taken by mine staff and by an outside laboratory.  In 2011, a suite of 40 hand specimens
were selected and sent to McClelland Laboratories, Inc., in Sparks, Nevada, where they were measured
for bulk density and assayed by ICP.  The measured bulk densities were compared to values calculated
from the grades determined at the GEM Lab.  The calculated density values were found to be generally
higher than the measured values, particularly at lower grades.
In 2014, 94 bulk density determinations were made on core specimens using the water immersion
method.  The results of these measurements were compared with the calculated SG’s and found to be
positively biased (ie. Comparatively higher) at lower densities and negatively biased at the upper end.
Overall, the measured SG’s were 4.1% lower than the calculated values, however, reconciliations at that
time indicated that the resource models were reporting less tons than recorded at the mill.  This
contradicts any assumption that the calculated densities might be positively biased in some way.
As stated in the previous section of this report, SG measurements are currently being made on core
specimens from each vein intercept.  This is a relatively recent addition to the core handling protocols and

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8-3
data has not been applied in estimation of tonnages but it is hoped that they can be used to check the SG
equation shown above.
In the SLR QP’s opinion, there is no indication of a large or systemic problem with the bulk density
determinations, and this procedure is considered to be acceptable for use in resource estimation.  The
collection of SG measurements is viewed as a useful endeavour that may provide opportunities for finetuning the bulk density estimates in future.
8.3
Quality Assurance and Quality Control
Assay QA/QC samples are placed into the stream at a rate of one standard, pulp duplicate, and reject
duplicate for every 20 samples for core and one in 25 for chips.  These QA/QC samples comprise the
following four types:

Blank material

Standard

Reject duplicate

Pulp duplicate
The blanks and standards consist of pulverized materials that are submitted to the laboratory in packets.
Lucky Friday staff report that there is a plan in place to switch to coarse blank material once the current
inventory has been used up.  Five standards and the blank were prepared in 2010 by CDN Laboratories of
Langley, British Columbia from materials provided by the mine.  They were independently certified by
Smee & Associates Consulting Ltd., of Vancouver, British Columbia.  Table 8-1 shows the certified grades
and two-standard deviation (2 SD) confidence limits of these standards.  Standard F is the blank.
Duplicates can be either a second split of the crushed material (sometimes referred to as a Prep Duplicate)
or a split of the pulp.
Table 8-1:
Standards Grades

Standard
Ag (g/t)
Pb (%)
Zn (%)
Fe (%)

Grade
± 2 SD
Grade
± 2 SD
Grade
± 2 SD
Grade
± 2 SD
A
17.1
1.7
0.69
0.05
0.44
0.03
12.54
0.43
B
97.1
4.2
2.69
0.12
0.77
0.04
13.54
0.51
C

6.07
0.27
3.18
0.23
22.58
1.25
D

10.98
0.89
4.96
0.37
23.62
0.63
E

19.08
1.86
7.26
0.38
20.24
1.46
F
1.1
N/A
0.01
n/a
0.01
n/a
6.02
0.60
The results of the QA/QC sampling are captured in Maxgeo along with the rest of the sample data. Utilities
within the software are used to collate and plot the QA/QC results on control diagrams for reporting
purposes.  The day-to-day validation process consists of a review by the supervising geologist of individual
standards results as the assay reports are downloaded. Results that are out-of-spec (OOS) trigger a review
and re-assay of all samples from the last acceptable control sample in stream to the next acceptable value

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8-4
(ie all samples surrounding the failure).  The assay report will not be posted to the database until QA/QC
issues are resolved.
8.4
SLR Review of QA/QC Results
SLR reviewed the sample QA/QC results as tabulated by Lucky Friday personnel for the period since restart
of the mine in 2019 until July 25, 2020.  The data provided consisted of standards control charts for both
the ALS and Gem laboratories.
8.4.1
 Blanks
Results for blanks (ie Standard F) are reviewed as they are received and stored as spreadsheets.  The SLR
QP compiled 458 blanks results from the assay certificates and found several instances of blanks assays
that were more than ten times the DL.  Results for lead were worst with 73 OOS assays.  Zinc returned 29
OOS, while for iron and silver it was just one.  These results were all from the ALS laboratory and were ICP
analyses. In the SLR QP’s opinion, these blanks results are not a cause for serious concern, however, the
comparatively high number of OOS results for lead suggests that there may be a problem with the blank
material itself.  It is recommended that this be reviewed and corrected if necessary.
8.4.2 Duplicates
Duplicates results were plotted on scatter diagrams to look for evidence of bias or unusual dispersion.
Example plots of these values are provided in Figure 8-1 and Figure 8-2.  The SLR QP reviewed the pulp
and reject duplicates results for silver, lead, zinc, and iron and did not find any concerns.

Figure 8-1: Prep Duplicates – Silver

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8-5

Figure 8-2: Pulp Split Duplicates – Silver
8.4.3 Standards
8.4.3.1
ALS Laboratory
The QA/QC assays for iron in all standards were routinely below the certified value (CV), generally below
the 2 SD limit, often less than 3 SD.  Slightly better performance was seen for Standards A and C, with the
worst results for Standard D.
Silver results were observed to be satisfactory for Standards A and B.  Standards C, D, and E, however,
yielded assays that initially suggested there was a possible issue with the certified reference materials.
Figure 8-3 and Figure 8-4 show the control chart for silver and zinc, respectively, in Standard C.  The
majority of the assays are within the acceptable range of ±2 SD from the CV.  There are several, however,
that plot within a relatively narrow range between 170 g/t Ag and 180 g/t Ag (Figure 8-3) and at
approximately 4.25% Zn (Figure 8-4). Similar patterns occur for silver in Standards C, D, and E, lead in
Standards B, C, D, and E, and for zinc in Standards C, D, and E. This pattern of failures does not appear in
the results for iron, only silver, lead, and zinc.
On further review, it was found that the control plots were capturing preliminary assays that had been
run using methods not appropriate for the grade of the standards.  The “failed” standards had actually all
been rerun using the proper protocols which were found to have returned acceptable results.

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Figure 8-3: Example Control Chart for Silver – Standard C (ALS)

Figure 8-4: Example Control Chart for Zinc – Standard C (ALS)

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8-7
8.4.3.2
Gem Laboratory
Control charts for Standards A, B, C, and D were made available for review.  Standard E was not used for
the channel sampling.
The results for iron were very similar to those for the ALS laboratory in that the assays were uniformly
lower than the CV and often below the 2 SD failure limit.  Performance for Standards B and C was best of
the four, with the majority of samples assaying just within the tolerance limits.  Results for Standards A
and D were routinely below the 2 SD limit with most below 3 SD.
Silver and zinc performance was very good for Standards A and B, while for C and D, showed similar
patterns of repetitive failure as those seen for the ALS results.  Each showed several failures spaced over
time with grades that clustered in the same ranges as those seen from ALS.
There were no results for lead for Standard A.  Results for Standards B and C were somewhat low, but
generally acceptable, with a protracted period of fairly recent failures occurring for Standard C.  Standard
D yielded a similar pattern to that seen for ALS, with generally good results and sporadic failures, all within
a narrow grade range. An example of the control plot for lead in Standard D is provided in Figure 8-5
below.
Again, the reason for the “failed” standards was found to be due to an improper selection of preliminary
assays by the control plotting utility.

Figure 8-5: Example Control Chart For Lead – Standard D (Gem)
8.5
Sample Security
As stated in the previous section of this report, the core and chip samples are collected and transported
by either Lucky Friday company staff or contractors and bonded commercial freight carriers.  The site is
secure and access is restricted to these authorized personnel.

--- PAGE 72 ---
Technical Report Summary -  February 21, 2022
8-8
8.6
QP Comments
In the SLR QP’s opinion, the sample preparation and analysis are carried out using conventional methods
commonly used in the industry.  The security procedures at Lucky Friday are reasonable and consistent
with standard practice.
In the SLR QP’s opinion, the QA/QC program as designed and implemented is quite rigorous, with a fairly
high rate of control sampling for an operation as mature as Lucky Friday.  There is a persistent low bias
for iron shown in results for both the ALS and Gem laboratories.  This does not affect the economic grades
of the resource but could have an impact on tonnage estimates insofar as iron grades are used in the
stoichiometric calculation for estimating SG.  The fact that both laboratories yield similar results leads to
the conclusion that there may be some issue with the standard materials or the certification.
The pattern of observed failures for silver, lead, and zinc has been found to be due to a plotting error.
Preliminary assays have been captured and plotted on the control diagrams instead of the final assay
results.  There is no real concern with any of the standards assays for silver, lead, or zinc.  SLR’s QP does
recommend, however, that the reporting protocol be amended to ensure that the proper assays are
selected from the database for plotting.
In the SLR QP’s opinion, the QA/QC protocols in place at Lucky Friday are rigorous, and the results are
satisfactory. There are no concerns apparent with the assay results and they are suitable for use in a
Mineral Resource estimate.

--- PAGE 73 ---
Technical Report Summary -  February 21, 2022
9-1
9.0 DATA VERIFICATION
9.1
Database Procedures
Drilling and chip sampling data are captured and stored in a database managed with Maxgeo software.
As stated above, the core logging information is captured using GeoSequel.  Photographic information is
stored digitally and is manipulated using Imago.  Geological interpretation and wireframe construction is
done using Leapfrog.  Surpac is used for surveyed openings, block modeling, and estimation of Mineral
Resources and Mineral Reserves.
On completion of a downhole survey, the data are input to GeoSequel and the hole is reviewed in 3D on
screen to check for obvious inconsistencies.  The downhole data includes magnetic susceptibility
measurement which can flag areas of high magnetite and potential for compromised results.  In extreme
cases, a re-survey is carried out but more typically a suspect reading is simply discarded and replaced with
an average of the adjacent measurements.
Core assay results are sent from the lab as comma-delimited (CSV) text files which can be imported directly
into the Maxgeo database.  Results can also be downloaded via the ALS Webtrieve web portal.  Once
imported, the assay QA/QC results are checked and any concerns resolved with the laboratory.
The results are also checked against the core photographs and logs to check for unusual or perhaps
spurious data.  The Imago core photo utility is linked to Leapfrog so that individual sections of core can be
retrieved by selecting them on screen, which greatly expedites this process.
The mine workings are surveyed, and then wireframe models are created of the stopes and development
headings.  These wireframes are exported to other downstream software packages for use by both the
geology and engineering staff.  Chip samples are corrected to agree with the surveyed drift outlines.
On receipt of the assay results, the data are input and checked against the face photographs for any
inconsistencies.  Validation utilities included with GeoSequel and Maxgeo are run to flag errors in data
capture such as missing or overlapping intervals.  The GeoSequel interface also includes templates that
limit the allowable data entries to acceptable values.
When the drilling and chip sampling data has been validated and all concerns resolved, it is cleared for
use in geological interpretation and resource modelling.
The data is stored on the mine site server, and backed up to the corporate office in Coeur d’Alene on a
quarterly basis.  Access to the site network is limited to authorized users only.
9.2
SLR Validation Procedures
9.2.1 Previous Audits
SLR, previously Roscoe Postle Associates Inc. (RPA), which is now part of SLR, and its predecessor Scott
Wilson RPA, have conducted audits of the Mineral Resource and Mineral Reserve estimates at Lucky Friday
on three previous occasions, in 2006, 2009-2010, and 2013.  For each of these audits, spot checks were
made of portions of the database. In 2017, RPA conducted a review of the Mineral Resource and Mineral
Reserve estimates but not a full audit.
For the 2006 audit, checks were made of approximately 47% of the assays from holes drilled from 2004
and 2005, along with 5% of the chip samples taken in the same period.  No errors were found.

--- PAGE 74 ---
Technical Report Summary -  February 21, 2022
9-2
During the 2009 site visit, checks were conducted of the complete dataset for 26 of the 228 holes drilled
since 2006.  The digital logs and sample data were exported from the database and compared to the paper
logs filed in the geology office.  The assays, lithology, collar coordinates, and downhole surveys were
compared with the original hard-copy data.  Several minor inconsistencies were noted, most due to survey
errors that had been corrected in the digital database but not in the logs.  No other errors were found.
The chip samples were loaded into Gemcom (now called GEMS) software and inspected in plan and 3D
views to check for gross location errors.  None were found.  SLR also ran the Gemcom validation utilities
to check for overlapping sample intervals, etc., and again, no errors were found.
The sample composites for the 50 and 90 veins were regenerated in Gemcom and compared to the ones
created by the proprietary composite compiler then in use at Lucky Friday.  No inconsistencies were found.
In 2013, SLR inspected approximately 200 chip sample file records and compared them to the database.
Fifteen sampled intervals were found for which the assay data had not been entered.
The drill and channel information was compiled into GEMS and tested using the database validation utility.
No errors were found.  Inspections were made of the data on-screen in section and plan views and it was
noted that some vein intercepts were not sampled.  On further review, it was found that there were 117
cases of intercepts without samples, most of which were known to Lucky Friday staff.  Some were found
to have poor recovery, and in others the vein was so narrow that it was hard to recognize.  There were
some that should have been sampled and were not, and these were addressed.  In the SLR QP’s opinion,
these missing intercepts would not have affected the Mineral Resource estimates.
SLR compared chip sample results to the laboratory report spreadsheet for 17,943 samples in the
database.  The comparison focused on data collected since 2009, and comprised 22% of the entire chip
sample database of 81,541 records.  There were 104 samples for which the stored results differed in some
way from the laboratory report.  SLR’s QP concluded that although they could possibly be errors, they
were more likely deliberate changes made to accommodate re-assays, and that in any case, an error rate
of 104 in 17,943 was considered acceptable.
9.2.2 Current Audit Validation
For the current audit, the SLR QP was provided with all of the ALS assay reports from the mine restart in
2020 to September 23, 2021.  These reports included assay results for a total of 12,779 drill samples
consisting of 1,329 from the geochemistry holes (ICP results) and the balance of 11,450 from the
conventional definition drilling.  The data was captured in an Access database and compared to the
samples currently in the Surpac database.  Approximately 15% or 2,027 of the samples were for assay
QA/QC and were not included in the Surpac database for use in resource modeling.  These samples were
excluded in the validation exercise although they were reviewed in the course of an overall inspection of
QA/QC results (see Section 8.0 of this TRS).  A total of 10,752 samples in the database were checked
against the assay certificates.
For the definition holes there were 9,617 samples matched to the assay table in Surpac, and of these,
there were a total of seven discrepancies found.  All were noted to be of low severity and comprised
assays apparently posted to the wrong sample interval, in all cases to adjacent samples in the assay table.
They have since been corrected. In the SLR QP’s opinion, had these discrepancies not been caught, they
could have contributed to minor local errors in the interpolated grades in the block model.  The overall
consequence to the resource estimate would likely have been trivial. The overall error rate of seven in
9,610 samples, or 0.07%, is considered to be well within an acceptable error rate.

--- PAGE 75 ---
Technical Report Summary -  February 21, 2022
9-3
The check of the samples from the geochemistry holes yielded 21 discrepancies between the certificates
and the values stored in the database.  All of these discrepancies were in the lead and zinc fields and
comprised slight differences between the reported values and the stored ones.  Further investigation
found that there were a number of re-assays conducted that yielded slightly different results from those
in the original analyses.  As such, there were no errors in the data for the geochemistry holes.
In addition to the checks described above, the SLR QP confirmed that the conversion from ppm Ag to
oz/ton Ag was correct for all of the samples captured in the validation exercise.  SLR also confirmed that
the SG calculations for the samples were conducted correctly.
The entire database, comprising records for 30,014 drill holes and channels, was imported into GEMS and
scanned for FROM-TO errors.  Out of 177,502 sampled intervals, there were seven instances of
overlapping samples in the assay table for an implied error rate of 0.0039%.  These were reviewed and it
was found that all but one were channel samples located in areas of the mine that have been mined out.
The remaining instance was in a drill hole, at a location not within any known vein occurrence.  In the SLR
QP’s opinion, these errors are very small in number and will not have any effect on the Mineral Resource
estimates.
The SLR QP conducted a visual inspection of the wireframes for the 20, 30, and 40 Veins, comparing them
to the drill intercepts and the chip samples.  In general, the wireframe models appeared to honor the drill
holes and chip sample vein coding but there were a number of places where they did not agree. Some of
these apparent discrepancies appeared to be due to a lag in updates to the vein assignments in the
database following addition of addition drilling. This should be resolved for the next block model
interpolation.
There were no cases of unusual hole orientations, obviously incorrect collar locations, or implausible hole
traces observed.
9.3
Validation Limitations and SLR QP Comments
In the SLR QP’s opinion, while it is not possible to completely validate every element of a database as large
and complex as that for Lucky Friday, there is nothing to date to suggest that there are serious or systemic
concerns.  The databases are managed in a secure environment, using conventional off-the-shelf software
packages that are up-to-date and appropriate for the tasks to which they are applied.  The staff are
competent, well-trained, and experienced and they have been provided with clear and reasonable
protocols to follow.  Over time, these protocols have been updated to incorporate modernized work
practices and tools as well as the evolving demands of the operation.  Independent spot checks conducted
by SLR over a broad span of years indicate that the data capture and validation protocols have been
rigorously observed.  As such, the database is properly configured and maintained and is appropriate for
use in estimation of Mineral Resources and Mineral Reserves.

--- PAGE 76 ---
Technical Report Summary -  February 21, 2022
10-1
10.0 MINERAL PROCESSING AND METALLURGICAL TESTING
The Lucky Friday mill has been operating for more than 70 years. Testing and evaluations are routinely
performed to improve recoveries and efficiencies in the concentration processes. Historical metallurgical
studies are summarized in the following sections. Some of these studies  were investigative in nature and
did not result, or have not yet resulted, in direct modifications to the process or facilities. Action was
taken as required or applicable.
10.1 Metallurgical Testing of Gold Hunter Ore by Dawson Metallurgical
Laboratories-2008
In 2008 a significant test program was conducted at Dawson Metallurgical Laboratories (DML). The DML
reports issued for the test program are noted below.

Comminution and Flotation Test Work on Gold Hunter Ore and Intermediate Vein Samples. By
DML, Salt Lake City, Utah. April 2008.

Additional Test Work Conducted on Lucky Friday Ore Samples. By DML, Salt Lake City, Utah.  June
2008.
10.1.1 Sample Composites Tested
Samples tested were from the 30 Vein of the Gold Hunter zone and the 20, 50, 60, 70, 80, 90, and 110
veins from the Intermediate Vein zone. A sample of hard ore, a composite that was 60% Gold Hunter and
40% Intermediate Vein material, and a wall rock dilution sample were available for testing. The wall rock
sample was prepared from NQ-drill core from the eastern portion of the Intermediate Vein between the
4900 and 5900 level of Gold Hunter.  The hard ore sample was from the 30-Vein stope hoisted from the
5900 pocket. The sample was a hand-picked grab sample from the crusher belt. The third sample consisted
of a 60% Gold Hunter ore with 40% Intermediate Vein material. The Gold Hunter and Intermediate Vein
samples, representing nine veins, were taken from 13 active stopes from the 4900 and 5900 levels.
Head analysis of the Gold Hunter composite and each of the Intermediate Veins were run. Results shown
in Table 10-1 indicate most samples to be similar and suitable for processing through the exiting
operation. Vein 110 is anomalous in silver, copper, arsenic, and antimony and would probably require
additional work to determine a viable process.
Table 10-1:
DML Head Analysis Summary

Sample Description
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Fe(t)
(%)
Fe(CO3)
(%)
Cu
(%)
S(t)
(%)
S=
(%)
As
(%)
Sb
(%)
Gold Hunter (GH)
Composite
18.75
12.6
4.42
21.1
19.8
0.082
5.06
5.03
0.017
0.146
Intermediate Vein (IV) Samples
Vein

10.27
9.41
1.99
13.10
12.90
0.032
2.97
2.97
0.010
0.067
Vein

7.09
3.99
4.82
22.00
18.10
0.039
9.58
2.58
0.077
0.157
Vein

8.66
5.50
4.74
23.20
19.40
0.032
8.67
8.67
0.048
0.134

--- PAGE 77 ---
Sample Description
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Fe(t)
(%)
Fe(CO3)
(%)
Cu
(%)
S(t)
(%)
S=
(%)
As
(%)
Sb
(%)
Vein

36.17
11.30
5.78
12.90
10.90
0.198
7.95
7.89
0.038
0.271
Vein

18.73
11.40
2.52
14.90
14.10
0.090
3.80
3.73
0.015
0.122
Vein

14.85
11.10
1.44
11.80
11.50
0.058
3.11
3.11
0.006
0.087
Vein

62.71
6.38
7.92
13.80
10.10
6.110
9.87
9.79
0.500
2.590
IV Compo
Wt. Ave.
23.39
8.38
4.31
16.13
13.92
0.992
6.78
6.75
0.105
0.515
IV Compo
Assay
22.37
8.27
4.25
15.70
13.70
0.986
6.59
6.54
0.114
0.501
Wall Rock (dilution)
0.058
0.048
0.051
7.13
5.51
0.006
0.51
N/A
N/A
N/A
10.1.2 Comminution Summary
Comminution test results are summarized in Table 10-2. Results indicate the Gold Hunter-Intermediate
Vein composite is relatively soft and non-abrasive. The wall rock is  slightly harder than the Gold HunterIntermediate Vein composite.
Table 10-2:
DML Grinding Test Results Summary

Sample
Abrasion Index,
(g)
Crusher Work
Index
(kWh/ton)
Rod Mill Work
Index
(kWh/ton)
Ball Mill Work
Index
(kWh/ton)
SAG Product
Work Index
(kWh/ton)
Hard Ore, 100%
0.061
4.1
7.5
9.8
10.8
Composite Blend
60% GH; 40% IV
0.13
4.9
10.7
11.4
11.9
Wall Rock, 100%
0.093
4.7

12.2
12.9
10.1.3 Semi-Autogenous Grinding Modelling Study
Semi-autogenous grinding mill (SAG) design test results from the DML were submitted to Starkey and
Associates for analysis. Starkey evaluated various scenarios to increase the throughput capacity from 38
to 44 short tons per hour (stph) for the existing three stage crushing and 9.5 ft diameter x 12 ft long single
stage ball mill grinding circuit to 66 stph, 90 stph, and 225 stph. The expansion to 66 stph and 90 stph
made use of the existing ball mill.
Grinding capacity was increased by eliminating the existing crushing circuit and adding  an 1,800 hp or
2,500 hp autogenous grinding (AG) or SAG mill depending on the desired tonnage. For the expansion to
225 stph a 4,800 hp single stage SAG mill was recommended by Starkey. In this scenario, the existing ball
mill was not needed.
10.1.4 Flotation Test Summary
Scoping flotation kinetic tests to evaluate the response of the Gold Hunter and each Intermediate vein
were run at standard conditions. Results indicated that silver and lead recovery to the lead rougher

Technical Report Summary -  February 21, 2022
10-2

--- PAGE 78 ---
Technical Report Summary -  February 21, 2022
10-3
concentrate averaged over 95% and 93%, respectively, for all samples.  Zinc rougher recovery averaged
72.8%.
Rougher kinetic tests evaluating Gold Hunter to Intermediate vein blends ranging from 100% Gold Hunter
to 100% Intermediate Vein in 25% increments were run to evaluate the effect of the blend.  Results for
silver and lead were very similar for all blends. Zinc recovery declined by approximately 4% as the
percentage of IV was increased from zero to 100%.
Rougher kinetic tests to evaluate the effect of plant water on flotation kinetics and metal recovery were
run on water blends from 100% fresh water to 100% plant water in 20% increments. Results indicate that
water had no effect on ultimate metal recovery, but may reduce lead and silver flotation kinetics.
Rougher kinetic tests were also run to evaluate the effects of wall rock dilution on the IV composite.
Results indicated lead and silver recovery was not affected by dilution of one part ore to three parts wall
rock.  Zinc recovery was affected by dilution falling from 77% to 47% at this dilution level.
Batch cleaning tests indicated that lab results for the zinc final concentrate was lower grade than achieved
in the Plant.  The effect of mechanical cells used in the lab compared to column cells used in the Plant was
suspected as the problem. Several stages of mechanical cleaners were added to the lab procedure in an
attempt to more closely simulate plant results concerning zinc final concentrate grade.
A seven cycle locked cycle test was then conducted on the 60% GH 40% IV composite. Results summarized
in Table 10-3 indicate that the lead circuit performed as expected.
Lead and silver recovery to the combined silver concentrate and final concentrate grade were good.
Results for zinc indicated good recovery to the final concentrate, but at a much lower than expected
concentrate grade. At the time it was believed this was due to the difference between lab mechanical and
plant column cells.
Table 10-3:
Dawson Locked Cycle Test Summary, Cycles 5 to 7

Product
Cycle
Wt%
Assay
Distribution, %
Ag oz/ton
Pb%
Zn%
Fe%
Ag
Pb
Zn
Fe
Comb. Pb Final Conc.
5,6,7
13.74
122.9
61.4
3.7
6.4
88.2
91.7
13.7
4.6
Zn No. 4 Cleaner Conc.
5,6,7
8.57
7.5
2.1
34.6
17.1
3.3

7.7
Zn Scavenger Tail
5,6,7
77.69
2.1
0.75
0.25
21.5
8.5
6.3
5.3
87.7
Head (calc.)

19.2
9.2
3.66
19.0

Head (assay)

20.2
10.87
4.35
18.9

Notes:
1.
TEST No. 33 Cycle 5-7
2.
Primary Grind =144 Microns with 60% Hecla Tailings Recycle Water and 40% Hecla Site Fresh Water
10.1.5 QEMSCAN Analysis and Additional Studies
Follow-up work on the locked cycle test products was also conducted by DML and reported in June of
2008.

--- PAGE 79 ---
Technical Report Summary -  February 21, 2022
10-4
In the follow-up work, the zinc scavenger tailing from the locked cycle test noted above was screened.
Results indicated that the 80% passing (P80) size was approximately 173 microns compared to the target
P80 of approximately 150 microns.  It was concluded that the coarser grind contributed to the relatively
low zinc concentrate grade.
Additional follow-up work at DML indicated that exposing a sample to the atmosphere for one month did
not affect the silver flotation response, but the lead rougher recovery was  reduced by approximately 4%.
The lead that did not report to the silver concentrate was activated and did report to the zinc concentrate.
Zinc recovery to the rougher was lower after the exposure to the air by approximately 3%.
Samples of plant lead rougher circuit feed and tailing were collected, screened, and the screen fractions
were assayed.  Results indicated the silver and lead lost to the tailing are concentrated in the minus 325
mesh fraction.  This fraction contains approximately 50% of the weight, 60% of the silver, and 70% of the
lead.
Estimates of the silver and lead recovery by size fraction were made. Results of this analysis indicate that
the silver recovery was relatively constant for all size fractions, but the lead recovery in the coarse fractions
was approximately 10% lower than the lead recovery in the fine fraction.
The locked cycle test final lead and zinc concentrates were submitted to SGS Lakefield (SGS) for chemical,
mineralogical, and quantitative evaluation of minerals by scanning electron microscope (QEMSCAN)
analysis. Good agreement between the SGS and DML chemical analysis was noted.
QEMSCAN analysis of the concentrate indicated the silver concentrate was primarily galena (66%) with
some pyrite (7%), sphalerite (5.5%), tetrahedrite (5%), and lower concentrations of copper sulfides,
siderite, and quartz.  The galena and pyrite in the silver concentrate were primarily free or liberated but
the sphalerite, tetrahedrite, and gangue reporting to the silver final concentrate had higher percentage of
middling material. Similar analysis indicated the zinc concentrate was primarily sphalerite (60%) with
pyrite (26.5%) and siderite (6.3%) and lower concentrations of galena and quartz. The sphalerite and pyrite
in the zinc concentrate were primarily free or liberated but the galena, siderite, and quartz reporting to
the zinc final concentrate had higher percentage of middling or locked material.
SGS QEMSCAN liberation analysis of the locked cycle test silver concentrate indicated that finer grinding
to 106 microns would improve lead liberation and improve recovery and  grade.  It is noted that the locked
cycle grind was coarser than desired and coarser than achieved in the Plant operation, so this
recommendation should be confirmed on plant samples.
SGS QEMSCAN liberation analysis of the locked cycle test zinc concentrate indicated that finer grinding to
106 microns would improve zinc liberation and that pyrite was activated during the zinc activation process.
It is noted that the locked cycle grind was coarser than desired and coarser than achieved in the Plant
operation, so this recommendation should be confirmed on plant samples.
The locked cycle test lead and zinc concentrates were submitted for ICP analysis.  Results are summarized
in Table 10-4.
Tailing from the DML work were not characterized for acid forming potential.

--- PAGE 80 ---
Table 10-4:
Locked Cycle Test Flotation Concentrate ICP Scan Results

Element
Units
Pb Concentrate
Zn Concentrate
Ag
oz/ton
> 29.2
5.64
Al

0.1
0.15
As
ppm
1,710
2,920
Be
ppm
<0.5
<0.5
Ba
ppm

Bi
ppm
5.5
0.6
Ca

0.18
0.11
Cd
ppm

3,590
Ce
ppm
3.5
6.5
Co
ppm

Cs
ppm
0.5
0.8
Cr
ppm

Cu

3.00
0.14
Fe

6.7
15.95
Ga
ppm
1.0
4.2
Ge
ppm
<0.5
0.5
Hf
ppm
<1
<1
In
ppm
0.47
3.97
K

0.04
0.06
La
ppm
<5
<5
Li
ppm
2.0
3.0
Mg

0.05
0.06
Mn

0.26
0.36
Mo
ppm
9.2
7.3
Na

<0.02
<0.02
Nb
ppm
<1
<1
Ni
ppm
50.0
108.0
P

>10
2.53
Rb
ppm
2.0
4.0
Re
ppm
0.03
0.02
S

19.2
34.6
Sb

1.00
0.027
Sc
ppm
<1

Technical Report Summary -  February 21, 2022
10-5

--- PAGE 81 ---
Element
Units
Pb Concentrate
Zn Concentrate
Se
ppm
<10

Sn
ppm

Ta
ppm
<0.5
<0.5
Sr
ppm

Te
ppm
<0.5
<0.5
Th
ppm
<2
<2
Ti

0.01
0.01
Tl
ppm

19.40
U
ppm
<1
1.00
W
ppm
<1

V
ppm
<5
<5
Y
ppm

Zn

4.29
>10
Zr
ppm
<5

10.2 Lucky Friday Mill Audit Report by Blue Coast Metallurgy Ltd. – 2011
In July of 2011, Blue Coast Metallurgy (Blue Coast) was retained to perform an audit of the Lucky Friday
process operation to support studies to increase plant production.
Forty three process streams were sampled every 10 to 15 minutes during a two hour period on two
consecutive days. The results during the two surveys were in line with plant trends during the period so
the audit results were considered valid. During the survey, the lead flash cell recovered 60% to 70% of the
lead and silver in the plant feed.  This reduced the load on the Pb cleaning circuit.  The total silver, lead,
and zinc recovery to  the silver concentrate were 91.7%, 90%, and 12%, respectively, to a concentrate
containing 60% Pb, 130 oz/ton Ag, and 3.5% Zn.  Zinc recovery to the zinc concentrate was 81.3% to a
concentrate grading 48.6% Zn.  Lead recovery to the zinc concentrate was 2.3% and the silver recovery to
the zinc concentrate was 3.9%.

Technical Report Summary -  February 21, 2022
10-6

--- PAGE 82 ---
11.0 MINERAL RESOURCE ESTIMATES
11.1 Summary
Table 11-1 lists the Mineral Resource estimate for the Lucky Friday Mine, prepared by Hecla and audited
by SLR.  Mineral Resources have been classified in accordance with the definitions for Mineral Resources
in S-K 1300.
Table 11-1:
Summary of Mineral Resources – December 31, 2021

Grade
Contained Metal

Tonnage
(ton)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
NSR
(US$/t)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Measured
Gold Hunter
8,230,000
7.4
4.6
2.5

60,600,000
379,000
207,000
Lucky Friday
393,000
12.2
11.4
1.5

4,790,000
44,700
5,910
Ancillary Veins
19,800
14.0
6.7
1.9

277,000
1,320

Silver Vein
8,030
15.9
1.0
0.2

128,000

Total
8,650,000
7.6
4.9
2.5

65,800,000
425,000
213,000
Indicated
Gold Hunter
1,660,000
7.4
4.6
2.3

12,300,000
76,000
38,600
Lucky Friday
139,000
9.5
11.0
3.7

1,320,000
15,300
5,080
Silver Vein
10,000
13.3
1.0
0.2

133,000

Ancillary Veins
28,600
9.0
6.0
1.4

258,000
1,710

Total
1,840,000
7.6
5.1
2.4

14,000,000
93,100
44,100
Total Measured and Indicated
Total
10,500,000
7.6
4.9
2.5

79,800,000
518,000
258,000
Inferred
Gold Hunter
4,900,000
7.6
5.3
2.3

37,400,000
261,000
111,000
Lucky Friday
449,000
9.2
10.9
4.1

4,110,000
48,900
18,500
Silver Vein
10,000
13.3
1.0
0.2

133,000

Ancillary Veins
21,800
10.2
9.0
2.5

222,000
1,980

Total
5,380,000
7.8
5.8
2.4

41,900,000
312,000
130,000
Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.

Technical Report Summary -  February 21, 2022
11-1

--- PAGE 83 ---
Technical Report Summary -  February 21, 2022
11-2
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves at Gold Hunter, whereas there are no Mineral Reserves currently
at Lucky Friday.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated by block, based on mineralogical content.
7.
Mineral Resources are estimated at NSR cut-off grades of US$173/ton for Gold Hunter and US$207/ton for Lucky
Friday.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.
The SLR QP is of the opinion that with consideration of the recommendations summarized in Sections 1.0
and 23.0 of this TRS, any issues relating to all relevant technical and economic factors likely to influence
the prospect of economic extraction can be resolved with further work.
11.2 Gold Hunter
11.2.1 General Approach
The Mineral Resources are estimated using a block model method, with grades for silver, lead, zinc, and
iron interpolated into the blocks by inverse distance squared (ID2) weighting.  The interpolations are
constrained by wireframe models of the host veins to prevent smearing of grades out into the wall rocks.
The wireframe models are created using implicit modeling in Leapfrog based on vein codes assigned by
the mine geologists to the sample intervals.  These wireframes are then exported to Surpac, where the
block models and grade interpolations are generated.  Both Leapfrog and Surpac are off-the-shelf mining
software packages that are in common use in the industry.
The block models are diluted with zero grade material out to the minimum widths for the expected mining
method.  Polylines are drawn in longitudinal views of the veins to encompass coherent volumes of above
cut-off grade material such that small clusters of resource-grade blocks that are too isolated to pursue are
eliminated from the Mineral Resources. The resource blocks are then evaluated for inclusion of Mineral
Reserves, and parsed out into stope blocks.  The remaining material that meets the resource cut-off grade
criterion is reported as Mineral Resources.
The Mineral Resources reported in Table 11-1 are derived from block model estimates made in December
2021.  This block model was an updated version of one completed at mid-year 2021, and has not changed
very much from that time.  Much of the audit work was conducted on the mid-year model.
Mineral Resources are reported exclusive of Mineral Reserves.
11.2.2 Resource Database
The database has been compiled in Access and includes a total of 1,101 drill holes and 28,974 channels,
encompassing 184,098 sampled intervals. Sample types are predominately chips and core, although nine
samples, coded as Vein 5, were identified in the database as “cuttings”.  A summary of this database is
provided in Table 11-2 and Table 11-3.
The channel samples are stored as pseudo-drill holes, with a common orientation defined by the sampling
protocols.  The start point of a channel (or “collar”) is always on the north side of a drift face and channels
are oriented as horizontal lines with azimuth 186.28°.
The Longhole and Geo Tech hole types do not have sampling.

--- PAGE 84 ---
The assay table contains fields for, among others, from, to, hole ID, sample ID, certificate number, sample
type, and hole type.  Assay values for silver, lead, zinc, iron, and copper are stored along with calculated
values for SG and NSR.  Samples within identified veins are coded with an integer value pertaining to the
structure name (e.g., 30 for 30 Vein).
The cut-off date for the database used in the Mineral Resource estimate was November 30, 2021.
Table 11-2:
Summary of Holes – Gold Hunter

Type
Number
Length
(ft)
Channel
28,974
272,332
Diamond Drill
Definition

192,131
Exploration

174,829
Mine

Unspecified

228,224
PFS

27,046
Pre-Production

53,680
Non-Resource
GeoTech

10,335
Total
30,075
905,507
Table 11-3:
Summary of Samples – Gold Hunter

Hole Type
Number of Samples
Length
(ft)
Channel
113,058
262,513
Definition
23,667
33,853
Exploration
15,236
21,110
Mine

Not Specified
21,987
44,153
PFS
4,440
12,411
Total
178,435
374,216

Technical Report Summary -  February 21, 2022
11-3

--- PAGE 85 ---
Technical Report Summary -  February 21, 2022
11-4
11.2.3 Geological Modelling
The Gold Hunter veins are narrow near-vertical structures that are generally tabular in aspect and parallel
to one another, with occasional bifurcations.  There are codes within the database for 101 individual veins,
although some may not be fully interpreted, and may actually be parts of other known structures.  Mineral
Reserves are reported for eight of the Gold Hunter veins: 20, 30, 50, 60, 70, 80, 90, and 110.  Mineral
Resources have been estimated for those eight veins plus an additional eight: the 5, 40, 41, 100, 120, 130,
140, and 150 veins.
Wireframe models of these 16 structures were constructed using Leapfrog and exported to Surpac for use
in block modeling.  Drill hole and chip samples were assigned codes according to vein number and
composited from hanging wall (north) to footwall (south).  The start and end points for each composite
were used to create surfaces representing the vein contacts.  Leapfrog’s implicit modeling utility was then
applied to generate the wireframe models of the veins. Where appropriate, the wireframe models were
truncated against known faults.  An example of this would be the western end of the 30 Vein.  Typically,
in the absence of a known geological limit, the wireframes are constrained to a nominal distance of 300
ft from exterior drill holes.
The effective minimum width for the wireframe models was the composite lengths, which can be as short
as 0.1 ft.  For resource reporting purposes, dilution is added at zero grade to bring the vein to the expected
minimum mining width.  This mining width will vary from eight to eleven feet depending on the planned
mining method.
A 3D view of the 30 Vein is shown in Figure 11-1.
The SLR QP inspected the wireframe models for the veins and compared them to the chip samples and
diamond drill holes.  While, in general, they were found to be reasonably representative of the vein
contacts, there were instances of improperly selected intervals.  This resulted in exclusion of some
samples that were coded as in a vein, and inclusion of others that were either not coded or coded as
another vein.  It was also apparent in some cases where the veins intersected one another there appeared
to be ambiguities in the sample vein code assignments.  These occurrences are not considered to
materially affect the resource estimates, but in the SLR QP’s opinion, it would be best to correct them as
required.

--- PAGE 86 ---
Technical Report Summary -  February 21, 2022
11-5

NOT TO SCALE
Source: SLR, 2021
Figure 11-1:
30 Vein 3D View Looking Northwest

--- PAGE 87 ---
Technical Report Summary -  February 21, 2022
11-6
11.2.4 Exploratory Data Analysis
Only the chip and core samples are used in resource estimation.
Of the 177,502 samples in the database, 98,849 were tagged with codes for the 16 veins on which
resources were estimated. Length-weighted, non-declustered statistics for silver, iron, lead, and zinc in
these samples are provided in Appendix 1. The analyses were carried out on non-declustered data in order
to provide a preliminary overview of the data set and confirm some of the assumptions used in preparing
the resource estimates. In addition to the statistics, histograms and probability plots were generated for
each domain. Examples of these plots for silver in the 30 Vein are provided in Figure 11-2.

Figure 11-2:
Log Histogram and Probability Plot For Silver – 30 Vein

--- PAGE 88 ---
Technical Report Summary -  February 21, 2022
11-7
The SLR QP notes that the statistical analyses show a complex mix of different distributions and properties.
There is one consistent characteristic in that the grade distributions for silver, lead, and zinc are positively
skewed.  This is observed to be particularly severe in 5 Vein, for silver in the 100 to 150 Veins, inclusive,
and zinc in the 80 to 150 Veins, inclusive.  Coefficients of variation (CV) for these veins are observed to be
higher than 1.5, and occasionally greater than 2.0 or even 3.0.  The positive skewness and high CV’s
indicate that the samples are not normally distributed, and may be prone to bias from the upper tail of
the distributions.
Many populations, such as silver and lead in the 80 Vein; lead in the 50 Vein; and lead, zinc, and silver in
the 30 Vein (see Figure 11-2) appear to be combinations of two or more log normal distributions. The
sample distributions are also observed to have comparatively low CVs, more in line with normal
populations.
It is further noted that in most of the 5 and 100 to 150 domains listed above there are significant numbers
of very low grade and zero grade samples, which could contribute to higher CV’s and skewness.  Typically,
5% to 10% of the silver, lead, and zinc samples in these domains have zero grades.  Zinc and lead in 120
and 130 Veins have 20% zero grades. By contrast, for silver in 30 Vein, only 0.2% of samples are zeros (see
Figure 11-3). This may be due in part to the fact that 30 Vein has, by far, the greatest degree of mining
and the highest number of chip samples.  It is reasonable to expect that these chip samples would have a
higher probability of being mineralized relative to the core samples.
The iron samples are distinct from the other elements in that they do not display the same distributions
and degree of skewness.  They often appear to normally distributed, with some displaying bi- or multimodal distributions.  The CV’s for iron are uniformly low in all domains.
In the SLR QP’s opinion, positively skewed sample distributions of the type displayed by silver, lead, and
zinc indicate that there is a risk of over-estimation of block grades due to the disproportionately large
influence of the highest grade sample in the distribution.  A common industry practice to address this risk
is to cap or cut the highest grade samples to a predetermined level prior to grade interpolation.  It is noted
that this practice is employed at Lucky Friday, and is described in the next section of this report.
It is best practice to constrain grade interpolations within domains of like geostatistical and statistical
characteristics.  If the mean, the local variance, and the variance of differences between pairs of samples
throughout the domain are constant, then the data set is said to be stationary.  Stationarity is considered
essential to allow meaningful geostatistical inference and modeling.
The complexity and multi-modal characteristics observed in the domains for Gold Hunter suggest that
there may be sub-domains within some veins (ie high and/or low grade zones). If clusters of high or low
grade samples exist within a vein, it would be appropriate to separate these into separate zones.  If it
hasn’t already been tried, the SLR QP recommends that a study be undertaken to find and isolate subdomains within the veins. This not viewed as a serious concern but merely an opportunity to fine-tune the
estimates.
11.2.5 Treatment of High Grade Assays
As stated in the section entitled Exploratory Data Analysis, the sample grade distributions for most
domains are positively skewed, with a tail of high grade samples.  In order to limit the disproportionate
effect that these high grade samples can impose on the average grade for the domains, top cuts have
been applied to silver, lead, and zinc.  Iron is not capped. The top cuts are nominally set at the 95th
percentile of the distributions, and applied to the samples prior to compositing.

--- PAGE 89 ---
Technical Report Summary -  February 21, 2022
11-8
Table 11-4 lists the cap values as recorded in the Surpac macro (Surpac) used to apply the caps in the
database prior to compositing. These were checked against 95th percentiles as determined by an analysis
conducted by Lucky Friday personnel in December 2020 (2020 analysis) as well as an analysis conducted
by the SLR on the mid-year resource estimate database (SLR analysis). The analysis was conducted on
samples greater than 0.05 oz/ton for silver or 0.05% for lead and zinc, as this was the constraint used in
the 2020 analysis.
It was found that the cap values used in the Surpac macro were very similar but not exactly identical to
those derived in the 2020 analysis in all but two cases. For lead in 150 Vein, a top cut of 25.5% Pb was
derived in 2020, while in the macro it appears as though a value of 19.5% Pb was used.  In the 30 Vein,
according to the macro, zinc was capped at 32.9% Zn, compared the 11.9% Zn derived in 2020.  For all
other domains and elements, the differences between the macro values and the 2020 analysis were very
small and resulted in little or no change to the capped average grades of the samples.
The SLR analysis found that the top cuts used in the macro tended to be higher than the 95th percentile,
and instead were generally in the range of the 95th to the 97th percentile. The reason for this may be due
to additional samples added to the database since the 2020 analysis. During the analysis, the SLR QP
evaluated each top cut and found that they appeared to be somewhat conservative.  Metal loss for some
domains was often observed to be in excess of 10%, and at times more than 20%. The highest metal loss
typically occurred for silver and zinc in domains 5, 90, 100, 110, 120, 130, 140, and 150, which were
identified in the statistical analyses as most vulnerable to bias.
In the SLR QP’s opinion, in spite of this apparent discrepancy between reported and actual top cuts used,
the top cut values were uniformly within an acceptable range, with the possible exception of zinc in the
30 Vein.  The top cut of 32.9% Zn seems somewhat high, and is observed to have affected only 15 out of
62,212 samples.  For all intents, zinc in 30 Vein is uncapped, however, 30 Vein appears to be a domain
that is not particularly vulnerable to bias, and may not require much capping.

--- PAGE 90 ---
Table 11-4:
Top Cuts
Silver
Lead
Zinc
Vein
Uncapped
(oz/ton)
Top Cut
(oz/ton)
Capped
(oz/ton)
Percent
Change
Uncapped
(%)
Top Cut
(%)
Capped
(%)
Percent
Change
Uncapped
(%)
Top Cut
(%)
Capped
(%)
Percent
Change

12.37
72.0
10.45
-15.6%
3.00
21.0
2.75
-8.5%
0.87
9.2
0.75
-13.6%

12.03
54.8
10.49
-12.8%
5.96
23.8
5.71
-4.1%
4.01
15.0
3.84
-4.1%

19.28
81.5
18.58
-3.6%
11.67
41.8
11.48
-1.7%
3.22
32.9
3.22
0.0%

7.44
30.9
6.87
-7.6%
5.68
22.9
5.40
-5.0%
5.68
16.8
5.51
-2.9%

7.52
31.4
6.84
-9.0%
6.04
25.5
5.71
-5.5%
5.33
15.9
5.14
-3.5%

6.69
32.7
6.12
-8.6%
4.82
21.4
4.54
-5.9%
3.72
15.5
3.47
-6.6%

15.06
62.4
14.07
-6.6%
7.16
25.3
6.89
-3.8%
5.70
20.2
5.53
-2.9%

14.50
83.2
13.53
-6.7%
6.64
27.5
6.38
-3.8%
3.77
19.4
3.62
-4.0%

13.53
58.5
12.78
-5.5%
10.49
42.0
10.16
-3.1%
2.25
13.7
2.01
-10.6%

12.50
55.3
11.43
-8.6%
9.57
40.4
9.17
-4.1%
1.86
12.1
1.58
-15.1%

21.35
125.1
18.40
-13.8%
2.85
14.1
2.60
-8.9%
2.38
14.7
2.22
-6.5%

12.34
69.9
10.06
-18.4%
3.43
19.8
3.21
-6.5%
1.63
11.9
1.43
-12.1%

7.25
44.1
5.40
-25.4%
3.10
19.0
2.88
-7.1%
1.56
12.1
1.42
-8.9%

10.44
51.0
8.72
-16.5%
5.63
26.9
5.20
-7.6%
2.25
14.2
1.85
-17.6%

5.32
39.7
4.36
-18.2%
2.81
18.8
2.67
-5.1%
2.30
13.3
1.96
-14.9%

5.13
28.3
4.47
-12.8%
4.03
21.4
3.75
-7.0%
1.44
7.0
0.73
-49.7%

Technical Report Summary - February 21, 2022
11-9

--- PAGE 91 ---
11.2.6 Compositing
Due to the variation in lengths of the samples, it is ne
the sample support for grade interpolation. Sample le
ft to a maximum of 17.6 ft. Although the protocol is f
a number of samples collected before the current lim
core loss resulted in samples exceeding the proscribe
proportion of the database, and will most likely occ
out. Figure 11-3 is a probability plot of sample le
between 0.5 ft and 4.0 ft.
The veins at Gold Hunter are comparatively narrow
Composites are generated in Surpac using the “be
composites as possible within a given vein intercept.
of three in length, there is often a smaller composite
where only one 3.0 ft composite can be fit, smaller
appended to that 3.0 ft composite. In wider section
full-length composite in the grade interpolations. Th
4.5 ft, with approximately 75% falling between 2.5 ft
The SLR QP notes that the base composite length is
4.0 ft, which will likely result in breaking of sampl
artificially lower the sample variance and co-variance
However, it is further noted that approximately 83%
the impact of this practice will be relatively minor. I
used at Gold Hunter is a reasonable compromise betw
lengths.
Non-declustered statistics for the composite grades w
The SLR QP notes that capping and compositing th
resulted in significant moderation in the CV’s for all f
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 11ecessary to composite them to ensure consistency in
engths are observed to range from a minimum of 0.1
for samples to be between 0.5 ft and 4.0 ft, there are
mits were in place. In addition, there are cases where
ed limits. These instances comprise a relatively small
cur in portions of the deposit that have been mined
engths, demonstrating that 90% of the samples fall
w, and so a base composite length of 3.0 ft is used.
est fit” utility, which attempts to fit as many 3.0 ft
Since the vein intercepts are rarely an even multiple
e left on the margin of the interval. For narrow veins
r composites between 0.1 ft and 1.5 ft in length are
ns, smaller composites are retained and treated as a
he resulting composites range in length from 0.1 ft to
t and 3.5 ft.
s less than the maximum allowable sample length of
les during the compositing. Breaking samples can
e which can lead to incorrect geostatistical inference.
of samples are 3.0 ft or less in length which suggests
In the SLR QP’s opinion, the compositing procedure
ween honoring the vein widths and preserving sample
weighted by length x SG are provided in Appendix 2.
he samples (or just compositing in the case of iron)
four elements in virtually all domains.
.00022
-10

--- PAGE 92 ---
Technical Report Summary -  February 21, 2022
11-11

Figure 11-3:
Probability Plot of Sample Lengths
11.2.7 Geostatistics
For many years, the search parameters at Gold Hunter have been based on geostatistical analyses
conducted for the 30 Vein.  Only the 30 Vein was included in the geostatistical analyses because by far
most of the data comes from that vein.  The same search parameters derived from the 30 Vein were
applied to the Intermediate Veins, except that the ranges were reduced by a factor of 75%.
The interpreted variogram models were “forced” into an orientation which matched a vertical best-fit
plane through the 30 Vein.  The ellipsoids projected onto this plane were generally consistently oriented
with the major axis plunging at -75° towards the west, which is parallel to the observed plunge of the
mineralization.  The SLR QP notes also that this is consistent with variogram results dating back through
several years.
For the current model the geostatistical analysis was not redone, primarily because there is very little
change in the results year on year.  As a check, however, the SLR QP carried out an analysis on the 30 Vein
using GEMS software. The analyses were run in true 3D and not constrained to a plane as had been done
previously.  Only non-zero composites were included in the analyses. The covariance values were
normalized to the population variance, which means the ideal sill for all elements was 1.0.  It is noted,
however, that many of the experimental variograms failed to reach this sill.  For interpretive purposes,
the variogram models were forced to fit the 1.0 sill, however, it is recognized this may not be an optimal
approach.

--- PAGE 93 ---
Table 11-5 lists the parameters of the interpreted variogram models.  All models are exponential and
comprise two structures.  The models along with the experimental variogram results are shown in
Appendix 3.
Table 11-5:
Variogram Models

Orientations (Az/Plunge)
Ranges (ft)
Element
Structure
Gamma
Major
Semi-Major
Minor
Major
SemiMajor
Minor
Ag
C0
0.308
C1
0.420
254.9/-77.9
108.8/-10.1
197.7/6.6
12.0
9.7
1.1
C2
0.272
208.9
169.6
19.2
Fe
C0
0.261
C1
0.285
16.7
14.8
1.8
C2
0.454
337.6
299.0
36.7
237.2/-82.9
106.1/-4.7
195.7/5.4
Pb
C0
0.372
C1
0.445
252.7/-78.3
107.3/-9.6
196.2/6.5
18.9
14.9
2.9
C2
0.183
233.5
183.9
36.3
Zn
C0
0.274
C1
0.298
C2
0.428
995.9
653.5
72.4
259.0/-76.7
99.2/-12.5
188.2/4.4
30.1
19.8
2.2
The analysis tended to yield consistent results for all metals in terms of orientations.  The major and semimajor axes were all broadly oriented within a plane striking 100° dipping 85° to the south-southwest.  This
is the general strike and dip of the Gold Hunter Veins and is an expected result.  The major axes all plunge
at approximately 78° toward the west, which is consistent with previous geostatistical models. There is
only a comparatively subtle anisotropy within the plane of the vein (ie between the major and semi-major
axes).  Nugget effects range between 26% and 37% of the total sill.
All experimental variograms for the major and semi-major axes were coherent and easily interpreted.
Downhole variograms did not yield interpretable curves, and so the nugget effects were estimated from
the experimental variograms.  The reason for the incoherence of the downhole variograms is not known.
Total ranges along the major and semi-major axes for most elements tended to be in the order of 170 ft
to 300 ft. An exception to this was zinc, which had a major axis range of just under 1,000 ft (see Table
11-5). The experimental variograms all showed a relatively steep rise in covariance to approximately 50%
to 60% of the total sill for the first structure (C1), and noticeably flattening for the second structure (C2).

Technical Report Summary -  February 21, 2022
11-12

--- PAGE 94 ---
11.2.8 Block Model Geometry
The block model was created in Geovia Surpac, which is an off-the-shelf mining software package,
commonly used in the industry.  The model comprises an array of blocks rotated about the Z-axis by 12°
such that they are aligned with the average strike of the veins.  Parent block size is 16 ft (X) x 16 ft (Y) x 20
ft (Z), with sub-blocks down to 8 ft (X) x 0.5 ft (Y) x 10 ft (Z).
Block model geometry is summarized in Table 11-6. The variables stored in the model are listed in Table
11-7.
Table 11-6:
Block Model Geometry

Parameter

Value
Origin:
X:
15,600
Y:
24,100
Z:
-5,600
Rotation:

12°
Extents:
(ft)
X:
4,720.0
Y:
1,300.0
Z:
6,700.0
Table 11-7:
Block Model Variables

Variable
Number
Minimum
Maximum
Description
X
5,131,166
16,390.40
20,086.26
Block centroid easting
Y
5,131,166
24,121.51
24,935.60
Block centroid northing
Z
5,131,166
-5,305.00
1,055.00
Block centroid elevation
classification
5,131,166

Internal use
size_X
5,131,166

Block size easting
size_Z
5,131,166

Block size elevation
size_Y
5,131,166
0.5

Block size northing
aniso_dist
5,131,166
12.236
2736.805
Anisotropic distance to nearest composite
class
5,131,166

Classification (1 = Measured, 2 = Indicated, 3 =
Inferred)
comp_num
5,131,166

Number of composites used
dh_num
5,131,166

Number of drill holes used

Technical Report Summary -  February 21, 2022
11-13

--- PAGE 95 ---
Technical Report Summary -  February 21, 2022
11-14
Variable
Number
Minimum
Maximum
Description
id2_ag_opt
5,131,166
0.00
110.69
ID2 silver grade
id2_fe_pct
5,131,166
0.53
42.28
ID2 iron grade
id2_pb_pct
5,131,166
0.00
41.12
ID2 lead grade
id2_zn_pct
5,131,166
0.0000
22.3000
ID2 zinc grade
id2_sg
5,131,166
2.78
5.32
Specific gravity (calculated from ID2 grades)
id2_tf
5,131,166
0.09
0.17
Tonnage factor (calculated from ID2 grades)
mined_heading
5,131,166
n/a
n/a
String variable to described mined status
mined_status
5,131,166
n/a
n/a
String variable to describe stoped status
nsr_lrp
5,131,166

1956.49
Estimated NSR for Long Range Plan
nsr_reserve
5,131,166

1738.06
Estimated NSR for Reserves
nsr_resource
5,131,166

2223.74
Estimated NSR for Resources
true_dist
5,131,166
5.782
2197.704
True distance to nearest composite
vein_code
5,131,166

Vein descriptor
In the SLR QP’s opinion, the block model is configured appropriately in a manner consistent with industry
practice.  The sub-blocking is somewhat unconventional in that it has produced some very narrow blocks,
however, this is deemed necessary in order to honor the vein wireframes.
11.2.9 Search and Interpolation Parameters
Grades for silver, lead, zinc, and iron are estimated into the blocks using ID2 weighting. The grade
interpolations are conducted in three passes of progressively increasing search ranges. Search ellipsoids
are oriented in vertical planes parallel to overall vein strike with the major axis plunging at 75° to the west.
Search parameters are listed in Table 11-8.
Search ranges for Measured and Indicated in the Intermediate Veins were 75% of those for 30 Vein, which
is consistent with historical practice at Lucky Friday. The reduced ranges have traditionally been applied
in the Intermediate Veins owing to the fact that there is less data informing the estimates for these zones
and so a more conservative approach was deemed warranted.
In the SLR QP’s opinion, the search ranges and orientations are broadly supported by the variography, and
are appropriate.  The very long ranges for Pass 3 are used to ensure all blocks within the vein wireframe
models are filled. The constraints applied in constructing these wireframes ensure that the interpolations
are not allowed to extend too far.  Currently these Pass 3 blocks are only classified as Inferred Mineral
Resources.

--- PAGE 96 ---
Table 11-8:
Search Parameters
Number of
Composites
Major Axis Orientation
Anisotropy
Ratios
Vein
Metal
Pass
Min
Max
Dist (ft)
Azim
Dip
Plunge
SemiMajor
Minor
30 Vein
Ag

-75
1.56
3.2

-75
1.56
3.2

-75
1.56
3.2
Pb

-75
1.57
5.49

-75
1.57
5.49
Zn

-75
2.21
27.8

-75
1.57
5.49

-75
2.21
27.8

-75
2.21
27.8
Fe

-75
2.11
21.3

-75
2.11
21.3

-75
2.11
21.3
Interm.
Ag

-75
1.56
3.2

-75
1.56
3.2

-75
1.56
3.2
Pb

-75
1.57
5.49

-75
1.57
5.49

-75
1.57
5.49
Zn

-75
2.21
27.8

-75
2.21
27.8

-75
2.21
27.8
Fe

-75
2.11
21.3

-75
2.11
21.3

-75
2.11
21.3
Blocks were assigned integer codes for the veins according to their centroid locations (ie. The centroid
must be inside of a wireframe to receive a code).  The wireframe models were configured as “hard”
boundaries with respect to the grade interpolations.  This meant that only composites coded for a
particular vein could be used to estimate blocks within that vein.
In the SLR QP’s opinion, the grade interpolations were conducted in a reasonable manner consistent with
common practice using an appropriate estimation algorithm commonly used within the industry.

Technical Report Summary -  February 21, 2022
11-15

--- PAGE 97 ---
Technical Report Summary -  February 21, 2022
11-16
11.2.10 Bulk Density and Tonnage Factors
As discussed in the section of this report entitled Sample Preparation, Analyses, and Security, SG is
estimated from metal contents by means of a stoichiometric equation taking into account the most
common minerals in the ore.  The equations and description of the process is repeated here.
The principal constituent minerals of the ore are assumed to be galena (PbS) and sphalerite (ZnS) in a
gangue containing siderite (FeCO3) and pyrite (FeS2) along with silicates.  The relative abundance of iron
species is assumed to be 75% siderite and 25% pyrite.
The SG equation is as follows:
Density = 100 / ((Gangue%/2.76) + (Galena%/7.50) + (Sphalerite%/4.00) + (Siderite%/3.94) +
(Pyrite%/5.02)
Where:

Galena% = Pb% / 0.866

Sphalerite% = Zn% / 0.670

Siderite% = (Fe% x 0.75) / 0.482

Pyrite% = (Fe% x 0.25) / 0.466

Gangue% = 100 – (Galena% + Sphalerite% + Siderite% + Pyrite%)
These SG values are then used to derive tonnage factors (TF) for each block, and which are then used in
estimation of block tonnages. The TF equation is as follows:
TF = 1 / (2,000 / (62.4 x SG))
The SLR QP conducted checks of both the SG and TF calculations to confirm that they had been correctly
done.  In the SLR QP’s opinion, the estimations of SG and TF have been done in a reasonable fashion.
11.2.11 Classification
Under S-K 1300, Mineral Resources and Mineral Reserves must be classified according to the definitions
of the Committee For Mineral Reserves International Reporting Standards (CRIRSCO). Relevant aspects
are summarized below:
Mineral Resource: A concentration or occurrence of material of economic interest in or on the Earth’s
crust in such form, grade/quality and quantity that there are reasonable prospects for eventual economic
extraction. The location, quantity, grade/quality, continuity and other geological characteristics of a
Mineral Resource are known, estimated, or interpreted from specific geological evidence and knowledge,
including sampling.
Inferred Mineral Resource: That part of a Mineral Resource for which quantity and grade or quality are
estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to
imply but not verify geological and grade/quality continuity.
An Inferred Resource has a lower level of confidence than that applying to an Indicated Mineral Resource
and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of Inferred
Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
Indicated Mineral Resource: That part of a Mineral Resource for which quantity, grade or quality,
densities, shape and physical characteristics are estimated with sufficient confidence to allow the

--- PAGE 98 ---
Technical Report Summary -  February 21, 2022
11-17
application of Modifying Factors in sufficient detail to support mine planning and evaluation of the
economic viability of the deposit.
Geological evidence is derived from adequately detailed and reliable exploration, sampling and testing
and is sufficient to assume geological and grade/quality continuity between points of observation. An
Indicated Mineral Resource has a lower level of confidence than that applying to a Measured Mineral
Resource and may only be converted to a Probable Mineral Reserve.
Measured Mineral Resource: That part of a Mineral Resource for which quantity, grade or quality,
densities, shape, and physical characteristics are estimated with confidence sufficient to allow the
application of Modifying Factors to support detailed mine planning and final evaluation of the economic
viability of the deposit.
Geological evidence is derived from detailed and reliable exploration, sampling and testing and is
sufficient to confirm geological and grade/quality continuity between points of observation.
A Measured Mineral Resource has a higher level of confidence than that applying to either an Indicated
Mineral Resource or an Inferred Mineral Resource. It may be converted to a Proved Mineral Reserve or to
a Probable Mineral Reserve.
Modifying Factors: Are considerations used to convert Mineral Resources to Mineral Reserves. These
include, but are not restricted to, mining, processing, metallurgical, infrastructure, economic, marketing,
legal, environmental, social, and governmental factors.
At the time of interpolation, the blocks are coded with a preliminary classification according to Pass
number.  Pass 1 is coded as Measured, Pass 2 Indicated, and Pass 3 Inferred. The dilution rind blocks,
which are not captured in the grade interpolation, are coded according to the adjacent blocks within the
vein wireframe.
The classification coding is based the silver search ellipsoids (see Table 11-8). So for Measured Mineral
Resources, the blocks will be within a 155 ft x 99 ft ellipsoid of a sample in the 30 Vein, and 115 ft x 74 ft
for the Intermediate Veins. Search distances for Indicated are 230 ft x 147 ft in the 30 Vein, and 170 ft x
109 ft in the Intermediate Veins. The Inferred class is assigned to blocks up to a distance of 5,000 ft x 3,205
ft from a sample point.
The SLR QP notes that these distance criteria, particularly for Measured, appear to be somewhat
aggressive based on the variograms. This, coupled with the minimum composites constraint applied for
Pass 1, means that a Measured block could be informed by as few as four sample points. Conceivably,
those four composites could even come from a single drill hole, however, the narrow nature of the veins
makes this unlikely. The overall result is that there is quite a high proportion of the resources that have
been classed as Measured whereas it might be more appropriate to class some of this material as
Indicated.
Figure 11-4 is a longitudinal view of the 90 Vein depicting the resource classification as red for Measured,
green for Indicated, and cyan for Inferred.  As expected, there is a fairly broad area of Inferred on the
periphery owing to the liberal search criteria used to apply this classification. The Measured also appears
to be quite widespread, even though there are comparatively few areas informed by close-spaced
sampling. There appears to be only a thin veneer of Indicated or even Inferred surrounding the Measured
which, in the SLR QP’s opinion, is unusual and somewhat unrealistic.

--- PAGE 99 ---
Technical Report Summary -  February 21, 2022
11-18

Source: SLR, 2021
Note: Inferred blocks are cyan, Indicated green, and Measured red.
Figure 11-4:
90 Vein Classification

--- PAGE 100 ---
Technical Report Summary -  February 21, 2022
11-19
There are also small bodies of Measured that are completely isolated and surrounded by Indicated.  In the
SLR QP’s opinion, these isolated pockets of Measured should be downgraded to Indicated.
Figure 11-5 is also a longitudinal projection of the 90 Vein on which just the reserve and resource blocks
have been plotted, again color-coded according to classification. Drill hole pierce-points appear as circles.
In the lower right corner of the diagram are two areas of predominantly Inferred material.  In the easternmost area, there is an oval-shaped zone of Measured surrounded by Inferred with no buffer of Indicated.
Further inspection shows that this area of blocks is largely informed by only two drill hole pierce-points
inside and possibly one or two outside of what has been outlined as resource.
In the western-most area of Inferred there is a thin sliver of Measured along the western margin of the
resource boundary which is also juxtaposed against Inferred material. There appear to be no drill holes
piercing this Measured material, although there are several holes in the surrounding area which likely
informed these blocks. Comparison to Figure 11-4 suggests that this resource boundary just clipped a bit
of the Measured from a nearby zone.
In the SLR QP’s opinion, it is unusual to have Measured and Inferred blocks in contact with one another
without Indicated between them. This is likely a result of the classification method being purely driven by
the computer without much user intervention. The Measured blocks in these two cases should have been
manually downgraded to Indicated, at best.
It is recommended that the classification procedures be enhanced to allow for a greater level of inspection
and manual revision before further processing and reporting. It may be preferable to derive a classification
method that is independent of the estimation passes in order to fine-tune the process without interfering
with the interpolations.

--- PAGE 101 ---
Technical Report Summary -  February 21, 2022
11-20

Source: SLR, 2021
Figure 11-5:
90 Vein Classification

--- PAGE 102 ---
Technical Report Summary -  February 21, 2022
11-21
The SLR QP further notes, that a significant volume of Inferred Mineral Resources have been added since
the previous estimate.  The reason for this is that large portions of many veins, which had been previously
excluded from eligibility for classification, were allowed to be included. The SLR QP inspected these
additions for all veins and concludes that they are appropriate for consideration for Inferred Mineral
Resources. For the most part they represent comparatively small gaps between drilled areas, or
extensions of known structures.  They all are included within the interpreted vein wireframe models, and
generally extend for a distance of 200 ft to 400 ft from the nearest sample, occasionally as far as 600 ft.
In the SLR QP’s opinion, it is reasonable to include these sections of the veins for potential classification
as Inferred Mineral Resources.
In the SLR QP’s opinion, the Mineral Resources are classified according to the CRIRSCO definitions and, as
such, are consistent with the requirements of SK 1300. The method used to apply the classification is
broadly consistent with common industry practice. Some of the distance criteria appear somewhat
aggressive, although it is observed they are more restrictive than historical practice. Prior to 2019, for
example, the search ellipsoid for Measured in the 30 Vein was 195 ft x 90 ft compared to the current 155
ft x 99 ft. This is partially offset by the fact that, due to the new mining methods introduced, more reliance
is now placed on drill holes than more closely-spaced and numerous chip samples.
The classification parameters are considered to be appropriate given the long mining history,11-21iltiter,
as outlined above, there are opportunities for improvement. It is unlikely that the changes proposed here
will significantly impact the total reserve base except possibly for an increase in Probable Mineral Reserves
(or Indicated Mineral Resources) at the expense of Proven (Measured).
11.2.12 NSR Cut-Off Grades
The NSR value is used as the primary cut-off grade for the blocks.  This value is derived from the
interpolated metal contents using metal prices which have been discounted for metallurgical recovery,
transport, and smelter terms.  For Mineral Resources, metal prices used as the basis of this calculation
were US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.  After application of provisions for recovery,
sales, transportation, payables, and smelter charges, the NSR multipliers for each metal were as follows:

Ag:
US$16.86 per oz/ton

Pb:
US$19.77 per percent of lead

Zn:
US$18.64 per percent of zinc
For Mineral Resources, the cut-off NSR value used was the approximately equivalent to the sum of 2016
mining, milling, maintenance, and G&A costs, which was US$173/ton.
In the SLR QP’s opinion, the NSR cut-off is a reasonable approach which has been applied in an appropriate
manner. The application of the stope optimizer is also appropriate and consistent with industry best
practice.
11.2.13 Validation
The block models were validated by the following methods:

Visual inspection and comparison of block and composite grades in cross section views

Comparison to the previous year’s estimates

--- PAGE 103 ---
Visual inspection is a good way to determine if the block grade interpolations are honoring the composite
grades. Hecla personnel report that there is good agreement between composite and block grades. The
SLR QP conducted a brief inspection of several veins to confirm this.
Comparison to the previous year’s estimates is the principal validation method employed. For some years,
there has been relatively little change to the block grade estimates and so any estimation errors are
usually fairly obvious.
In the SLR QP’s opinion, while the validation methods used at Lucky Friday are appropriate, they represent
a fairly minimum standard of review. There are other techniques that could and should be applied to
confirm that the grade interpolations are reasonable and unbiased.  Examples of other validation methods
include:

Comparison of global composite and block means

Comparison with block grades generated using an alternative interpolation method (ie ordinary
kriging or nearest neighbor)

Drift analysis.
11.2.13.1 Comparison of Mean Composite and Block Grades
The SLR QP carried out a comparison of density-length-weighted mean composite grades to tonnageweighted block grades for the Measured and Indicated blocks. The results of this comparison are shown
in Table 11-9.
Table 11-9:
Comparison of Global Block and Composite Grades

Composites
SgxLength-Weighted Mean Grades
Measured and Indicated Blocks
Tonnage-Weighted Mean Grades
Percent Difference
Vein
Ag
(oz/ton)
Fe
(%)
Pb
(%)
Zn
(%)
Vein
Ag
(oz/ton)
Fe
(%)
Pb
(%)
Zn
(%)
Vein
Ag
(oz/ton)
Fe
(%)
Pb
(%)
Zn
(%)

11.08
12.33
3.06
0.84

9.20
13.24
2.96
0.80

-16.9%
7.4%
-3.2%
-5.1%

11.32
19.48
6.23
4.24

8.95
16.73
4.94
2.76

-20.9%
-14.1% -20.7% -34.9%

20.74
20.06
12.76
3.38

18.73
19.43
11.66
3.87

-9.7%
-3.1%
-8.6%
14.3%

7.20
25.69
5.66
5.70

4.76
25.09
3.88
4.43

-33.9%
-2.3%
-31.4% -22.3%

7.09
24.07
6.00
5.33

5.64
22.89
4.68
3.90

-20.5%
-4.9%
-22.1% -26.8%

6.46
21.90
4.83
3.76

5.87
20.20
4.54
3.03

-9.1%
-7.7%
-5.9%
-19.4%

15.58
14.47
7.56
6.07

8.16
14.72
5.59
3.04

-47.6%
1.7%
-26.0% -49.9%

15.07
12.24
7.06
4.02

8.44
13.01
5.99
2.48

-44.0%
6.3%
-15.1% -38.4%

14.41
11.45
11.55
2.17

9.67
12.31
7.58
2.18

-32.9%
7.5%
-34.4%
0.4%

12.97
12.54
10.51
1.71

9.04
13.42
7.46
1.90

-30.3%
7.0%
-29.0%
11.3%

10.45
14.16
3.51
1.58

5.83
13.60
3.82
1.57

-44.2%
-4.0%
8.8%
-0.7%

19.12
16.34
2.82
2.42

12.80
14.47
3.29
2.44

-33.1%
-11.5%
16.8%
0.7%

Technical Report Summary -  February 21, 2022
11-22

--- PAGE 104 ---
Composites Measured and Indicated Blocks
Percent Difference
SgxLength-Weighted Mean Grades Tonnage-Weighted Mean Grades
Ag Fe Pb Zn Ag Fe Pb Zn Ag Fe Pb Zn
Vein Vein Vein
(oz/ton) (%) (%) (%) (oz/ton) (%) (%) (%) (oz/ton) (%) (%) (%)
120 5.72 13.33 3.20 1.57 120 5.89 13.64 3.57 1.89 120 2.9% 2.3% 11.5% 20.7%
130 9.68 12.45 5.94 2.03 130 7.16 11.83 4.28 1.99 130 -26.0% -5.0% -28.0% -2.0%
140 4.65 9.92 2.90 2.14 140 5.12 9.53 3.38 2.00 140 10.2% -3.9% 16.7% -6.5%
150 4.75 9.40 4.09 0.78 150 4.28 7.25 3.36 0.75 150 -9.9% -22.9% -17.9% -4.4%
The estimated block grades for silver, lead, and zinc in the Intermediate Veins are observed to be generally
lower than the composite grades, and in some cases, significantly so. In the SLR QP’s opinion, the block
grade estimates for the Intermediate Veins appear to be conservative for silver and zinc. Lead shows both
positive and negative variances suggesting that the global estimate may be unbiased or nearly so. The
block iron grades for all zones are generally within 10% of the composites, as are the block grades for all
metals in the 30 Vein.
It is recommended that an attempt should be made to resolve the apparent biases in the grade
interpolations, perhaps by adjusting the capping strategy, domain assignments, and/or interpolation
strategies. This is not viewed as a fatal flaw in the estimate but merely as an opportunity for improvement
of the local vein grade estimates that may then be reflected in the global estimates.
11.2.13.2 Drift Analysis
The SLR QP carried drift analyses (also known as swath plots) for the X and Z direction of all the veins.
Composite grades were weighted by length x sg, and the blocks were weighted by tonnage. Individual
swaths were generated at widths of twice the parent block size, which was 16 ft in the X direction and 20
ft in the Z direction, not accounting for the 12° rotation of the block model. As such, the swaths in the X
direction are not coincident with the block columns, however, this is inconsequential to the result as the
analysis is based on block centroid coordinates.
In general, the swath plots displayed good agreement between composites and blocks although there
were several instances of localized biases for silver, lead, and zinc in some domains. Overall, the 30 Vein,
which contains the highest proportion for any domain of the Mineral Reserves and Mineral Resources,
showed excellent agreement. Block and composite iron grades were found to agree quite well for all
domains.
Figure 11-6 shows example swath plots in the Z direction for silver and lead in the 30 Vein, both of which
indicate good agreement between blocks and composites. It is quite evident in these diagrams that there
is significantly more variability of composite grades in the upper and lower extremities of the vein. These
areas are sampled predominantly by drill holes, as opposed to the central section, which is informed by
closely-spaced chip sampling.
Figure 11-7 shows similar diagrams for silver and zinc in the 60 Vein. There is reasonably good agreement
between the composite and block grades except in the area between approximately -1,200 ft and -2,000
ft in elevation. In this are the block grades appear to be somewhat muted relative to the composites, and
this might explain the difference in global mean grades observed in Table 11-9. The reason for this
apparent localized bias is not known, but it was observed in several veins.
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.00022
Technical Report Summary - February 21, 2022 11-23
[TABLE]
Measured and Indicated Blocks
Tonnage-Weighted Mean Grades
Ag Fe Pb Zn
Vein
(oz/ton) (%) (%) (%)
120 5.89 13.64 3.57 1.89
130 7.16 11.83 4.28 1.99
140 5.12 9.53 3.38 2.00
150 4.28 7.25 3.36 0.75

--- PAGE 105 ---
Technical Report Summary -  February 21, 2022
11-24
As stated above, the SLR QP is of the opinion that refinements to the interpolation and search parameters
may yield improvements to the local block grade interpolations. Again, this is not viewed as a fatal flaw in
the estimate but merely as an opportunity for improvement.

Figure 11-6:
Drift Analyses – 30 Vein

--- PAGE 106 ---
Technical Report Summary -  February 21, 2022
11-25

Figure 11-7:
Drift Analyses – 60 Vein
11.2.13.3 Estimation Using an Alternative Method
As a further check, the SLR QP conducted block model estimates for the 30 Vein and 110 Vein using
ordinary kriging (OK) and nearest neighbor (NN) methods.  The estimates were carried out using Geovia
GEMS software, and employed the same composites and wireframe models as were used by Hecla for the
current models (ID2). Calculation methodologies for the tonnage factors and block NSR values were
identical to those used for the ID2 models. The variogram models described in subection 11.2.7 of this TRS

--- PAGE 107 ---
were used for the interpolations. Search parameters were also the same as those used in the ID2 models.
The block size was 10 ft x 2.5 ft x 10 ft, and a percent model was used instead of sub-blocking.
Figure 11-8 shows tonnage and grade curves for the two veins using the NSR cut-off. For both veins, there
was good agreement between the OK and ID2 models across a wide range of NSR cut-off grades. The NN
model tended to yield markedly lower tons at a higher grade than the other two methods.
Table 11-10 shows the tonnage and grade for each of the 30 and 110 Veins at a US$200/t NSR cut-off
grade. Note that these volumes are for unclassified blocks within the entire vein structure, without
provision for mining depletion.  They should not be considered estimates of Mineral Resources, and are
shown here for comparative purposes only.
Table 11-10:
Comparison of Block Models at the US$200/t Cut-Off

Method
Tons
(ton)
Grade
NSR
(US$/t)
Contained Metal
(oz/ton Ag)
(% Pb)
(% Zn)
(% Fe)
(oz Ag)
(Units Pb)
(Units Zn)
30 Vein
NN
5,575,185
23.35
14.30
4.54
19.49
761.14
130,180,570
79,725,146
25,311,340
ID2
7,009,295
19.69
12.07
3.87
19.08
642.68
138,013,019
84,602,191
27,125,972
OK
6,927,032
18.95
11.90
3.86
19.29
626.78
131,267,256
82,431,681
26,738,344
110 Vein
NN
1,267,086
14.87
5.37
4.19
14.52
434.83
18,841,569
6,804,252
5,309,090
OK
1,754,015
11.29
4.13
3.12
14.38
330.13
19,802,829
7,244,082
5,472,527
ID2
1,719,604
12.99
4.11
3.39
14.32
363.46
22,337,656
7,067,572
5,829,458
Note:  One Unit = 20 lbs
The ID2 model results appear to be the least conservative of the three in that it tends to yield marginally
higher grades and metal contents than either OK or NN. In the SLR QP’s opinion, the results of this
comparison indicate a reasonable agreement between methods and do not indicate that there are any
concerns with the current block model.

Technical Report Summary -  February 21, 2022
11-26

--- PAGE 108 ---
Technical Report Summary -  February 21, 2022
11-27

Figure 11-8:
Tonnage and Grade Curves
11.2.14 Reconciliation
Reconciliation is discussed in Section 13.0 of this TRS.

--- PAGE 109 ---
11.2.15 Reserve and Resource Designation and
The resource model is passed along to the engineerin
in Deswik. Deswik is a commercially available softwa
The optimizer agglomerates blocks of similar grad
appropriate for use in stope design. The process is c
resource classification, tonnage factors, minimum w
Zero grade diluting material is added where necess
Mineral Resources or 11 ft for Mineral Reserves. Th
inspected on longitudinal projections and polyline b
volumes. Examples of these longitudinal projections a
11-10 for the 30 Vein. Note that the grey hatched are
order to provide a location reference.
Blocks captured within the reserve boundaries that
evaluated and tagged in the block model (green outl
NSR cut-off grade and are outside of the reserve bou
some other reason are tagged as resource (black o
criteria for either reserve or resource are tagged fo
spreadsheets for addition of “unplanned dilution” and
and summed following which the unplanned dilut
Material tagged as reserves are reported as Minera
reported as Mineral Resources exclusive of Mineral R
Figure 11-10 depicts the 30 Vein with the blocks colo
In the SLR QP’s opinion, the stope optimization and
executed in an appropriate manner. As such, the M
consistent with industry best practice.
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 11d Reporting
ng team for processing with the stope optimizer utility
are package that is widely used within the industry.
de characteristics into coherent volumes that are
constrained by user-assigned values for NSR values,
widths, and stope dimensions, among other things.
sary to achieve a minimum width of eight feet for
he diluted vein material, tagged by stope names, is
boundaries are drawn around reserve and resource
are provided in Figure 11-9 for the 50 Vein and Figure
ea represents the projection of the 30 Vein stoping in
t meet the NSR cut-off and classification criteria are
line in Figure 11-9). Blocks which meet the resource
undaries or disqualified from inclusion as reserves for
outline in Figure 11-9). Blocks that fail to meet the
or exclusion. The processed blocks are captured in
d summing by vein and category. Blocks are captured
tion is added (15% for reserves, 5% for resources.
al Reserves. Blocks outside the reserve outlines are
Reserves.
ored to show the classification.
reporting procedures are reasonable, and are being
Mineral Resources have been tabulated in a fashion
.00022
-28

--- PAGE 110 ---
Technical Report Summary -  February 21, 2022
11-29

Source: Hecla, 2021
Figure 11-9:
Longitudinal Projection – 50 Vein

--- PAGE 111 ---
Technical Report Summary -  February 21, 2022
11-30

Figure 11-10:
Longitudinal Projection – 30 Vein

--- PAGE 112 ---
11.2.16 Gold Hunter Mineral Resource Statement
The Gold Hunter Mineral Resources, exclusive of Mineral Reserves and sorted by vein to December 31,
2021 are summarized in Table 11-11.
Table 11-11:
Gold Hunter Mineral Resources to December 31, 2021

Vein
Tons
Ag
Pb
Zn
NSR
Silver
Lead
Zinc
(oz/ton)
(%)
(%)
($/t)
(oz)
(Tons)
(Tons)

267,000
11.6
2.3
0.6

3,080,000
6,160
1,640
Measured

764,000
7.7
4.4
3.0

5,900,000
33,400
23,100

390,000
10.2
5.9
0.9

3,960,000
23,000
3,600

861,000
5.0
3.9
4.9

4,270,000
33,800
42,600

1,020,000
5.9
4.8
3.9

5,970,000
48,500
39,200

690,000
6.4
4.5
3.0

4,420,000
31,000
21,000

675,000
7.2
4.1
2.6

4,860,000
27,900
17,400

658,000
8.0
4.4
1.8

5,240,000
29,200
12,100

1,120,000
7.2
5.6
1.4

8,110,000
62,500
15,900

846,000
7.0
6.0
1.6

5,930,000
51,000
13,400

528,000
10.4
2.5
1.8

5,510,000
13,100
9,410

215,000
7.7
3.6
1.7

1,650,000
7,730
3,730

63,700
6.4
4.7
2.0

407,000
3,010
1,260

111,000
10.2
6.9
2.0

1,130,000
7,670
2,250

21,600
4.7
3.9
3.0

102,000

1,970
4.9
4.8
0.4

9,660

Total
8,230,000
7.4
4.6
2.5

60,600,000
379,000
207,000
Indicated

74,800
10.4
2.7
0.7

777,000
2,040

171,000
7.3
3.9
2.5

1,260,000
6,720
4,350

53,900
6.0
4.4
3.3

325,000
2,390
1,800

100,000
11.9
6.7
0.8

1,200,000
6,750

270,000
6.6
5.6
4.5

1,780,000
15,000
12,200

156,000
5.7
4.3
2.9

893,000
6,690
4,470

111,000
6.7
4.1
1.8

743,000
4,530
1,980

Technical Report Summary -  February 21, 2022
11-31

--- PAGE 113 ---
Vein
Tons
Ag
Pb
Zn
NSR
Silver
Lead
Zinc
(oz/ton)
(%)
(%)
($/t)
(oz)
(Tons)
(Tons)

77,300
6.4
4.5
1.2

492,000
3,450

159,000
6.5
4.5
1.6

1,030,000
7,110
2,570

47,400
7.1
3.0
1.3

337,000
1,420

110,000
8.0
6.4
1.1

877,000
6,990
1,240

182,000
9.0
3.0
2.4

1,630,000
5,360
4,280

20,000
5.9
3.8
1.6

117,000

46,600
7.0
6.2
2.3

327,000
2,870
1,050

52,400
5.4
3.6
2.5

282,000
1,890
1,330

30,900
7.4
6.6
0.6

229,000
2,050

Total
1,660,000
7.4
4.6
2.3

12,300,000
76,000
38,600
Measured and Indicated

341,000
11.3
2.4
0.6

3,860,000
8,200
2,160

935,000
7.7
4.3
2.9

7,160,000
40,200
27,400

491,000
10.5
6.1
0.9

5,160,000
29,800
4,460

915,000
5.0
4.0
4.9

4,600,000
36,200
44,400

1,290,000
6.0
4.9
4.0

7,750,000
63,500
51,300

846,000
6.3
4.5
3.0

5,310,000
37,700
25,500

786,000
7.1
4.1
2.5

5,610,000
32,400
19,400

735,000
7.8
4.4
1.8

5,740,000
32,600
13,000

1,280,000
7.1
5.4
1.4

9,140,000
69,600
18,500

956,000
7.1
6.1
1.5

6,810,000
58,000
14,600

262,000
7.6
3.5
1.7

1,980,000
9,150
4,340

710,000
10.1
2.6
1.9

7,140,000
18,500
13,700

83,700
6.3
4.5
1.9

525,000
3,760
1,580

74,000
5.2
3.7
2.7

384,000
2,730
1,970

158,000
9.2
6.7
2.1

1,460,000
10,500
3,300

32,800
7.3
6.5
0.6

239,000
2,140

Total
9,890,000
7.4
4.6
2.5

72,900,000
455,000
246,000

Technical Report Summary -  February 21, 2022
11-32

--- PAGE 114 ---
Vein
Tons
Ag
Pb
Zn
NSR
Silver
Lead
Zinc
(oz/ton)
(%)
(%)
($/t)
(oz)
(Tons)
(Tons)
Inferred

8,700
5.8
3.4
0.8

50,000

1,330,000
10.8
6.4
1.9

14,400,000
84,900
25,800

218,000
4.9
4.0
4.2

1,070,000
8,640
9,220

124,000
6.1
4.1
3.6

757,000
5,120
4,520

200,000
6.0
4.6
3.6

1,190,000
9,170
7,290

225,000
5.4
4.5
3.0

1,210,000
10,200
6,680

578,000
7.0
5.5
2.7

4,030,000
31,600
15,300

445,000
7.7
6.1
2.3

3,420,000
27,000
10,100

598,000
6.2
5.2
1.4

3,720,000
31,400
8,570

313,000
8.0
6.1
0.7

2,500,000
19,100
2,160

17,700
4.3
3.7
1.8

75,400

460,000
6.3
3.4
3.4

2,880,000
15,800
15,700

137,000
7.1
4.8
1.1

973,000
6,590
1,540

28,900
4.8
3.9
1.2

138,000
1,140

47,200
4.2
3.9
2.7

200,000
1,840
1,290

164,000
5.1
4.5
1.0

832,000
7,410
1,680
Total
4,900,000
7.6
5.3
2.3

37,400,000
261,000
111,000
Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated by block, according to mineralogical content.
7.
Mineral Resources are estimated at an NSR cut-off grade of US$173/t.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.
11.3 Lucky Friday Mine
The Lucky Friday Unit encompasses the Lucky Friday Vein proper, as well as the Silver vein, and nearby
related structures termed the Ancillary Veins.  No Mineral Reserves have been estimated for Lucky Friday
because the area has been dormant for some years and there is no LOM plan for this mining area.  As
such, there are only Mineral Resources at Lucky Friday.  The estimation procedures have been largely
unchanged and there has been no additional data added since cessation of mining.  The only changes that
have been incurred over the years were due to variations in costs and metal prices, which in turn, changed
the NSR cut-off criteria applied to the blocks.

Technical Report Summary -  February 21, 2022
11-33

--- PAGE 115 ---
Technical Report Summary -  February 21, 2022
11-34
Mineral Resources are estimated by means of a polygonal method compiled within Excel spreadsheets.
The database for the estimate consists of chip/channel samples.  Drill results are used as a guide to confirm
continuity, but are not generally included in the grade estimates.  Mean sample grades are calculated
from assay results for silver, lead, and zinc.  Iron was not routinely assayed and so it is an estimated value.
Specific gravity is estimated using a formula similar to that used for Gold Hunter.  This formula differs
somewhat, however, due to the lower siderite content at Lucky Friday.  The formula is as follows:
Density = 100 / ((Gangue%/2.7) + (Galena%/7.5) + (Sphalerite%/4.0) + (Iron%/7.8)
Where:

Galena% = Pb% / 0.866

Sphalerite% = Zn% / 0.670

Gangue% = 100 – (Galena% + Sphalerite% + Iron%)

Iron% = 10.5 if Pb%>8.0, else 7.0
The polygons are drawn on longitudinal projections of the veins using the outlines of the development
and stoping as constraints, along with any bounding faults.  The veins are broadly folded and so the
orientations of longitudinal projections for different vein areas changes to align with the average vein
strike.  Where a block is extrapolated downwards from a single heading, the down-dip limits are defined
as follows:

Measured – 100 ft from drift or stope level

Indicated – 100 ft from the boundary of the Measured resource limit

Inferred – extends downwards to the elevation limit of the mine (-3104 ft elevation).
An example longitudinal projection showing the block dimensions along with vein stoping and
development is provided in Figure 11-11.

--- PAGE 116 ---
Technical Report Summary -  February 21, 2022
11-35

Figure 11-11:
Example Longitudinal Projection of Lucky Friday Vein

--- PAGE 117 ---
Technical Report Summary -  February 21, 2022
11-36
For a given block, the samples are listed in a spreadsheet in the order that they were taken along the drift
or stope, along with their widths, grades, and distance from the nearest survey station.  Each sample is
assigned a strike length interval based on limits place at half the distance to the adjacent samples.  A
sample volume weighting factor per vertical foot is calculated by multiplying the length interval by the
sample width.  The metal content per vertical foot is derived for each of the samples using the following
formula:
Metal Content per Vertical Foot = L x W x G x TF
Where:

L = sample strike length interval

W = sample width

G = assayed grade

TF = tonnage factor
The volume-weighted mean grade would then be:
Average Grade = ∑ Metal Contents / ∑ (L x W x TF)
Where:

L = sample strike length interval

W = sample width

TF = tonnage factor
The volume is estimated by multiplying the aggregate area of influence for the samples by the vertical
dimension of the block.  In the case of a block bounded on top and bottom by development, that vertical
dimension would be half the distance between the levels.  For blocks extrapolated downwards, the block
height would be as listed above in the classification parameters.  Tonnage is estimated by multiplying the
volume by the estimated tonnage factor.
The veins at Lucky Friday tend to be discrete structures with little or no value in the walls.  The chip
sampling was done across the vein only, as opposed to Gold Hunter, where the sampling transects the
entire face.  The resource grade calculations are done using three different methods in order to derive
estimates for the following scenarios:

the vein only

the ideal mining width (“mineable”)

the actual mined width.
The resource grade spreadsheets are configured to allow the calculation of the average grade for each of
these scenarios.  The calculation for the vein only is done using the vein widths as recorded during the
sampling.  To estimate the grades and volumes for the mineable case, the vein widths are diluted to a
minimum mining width, which is either eight or ten feet depending on expected mining method.  The
dilution is incorporated in the calculation by adding zero grade material to the sample widths using the
following rules:
If the in-situ vein is less than the minimum, the sample width is increased with zero grade material to
achieve that minimum.

--- PAGE 118 ---
Technical Report Summary -  February 21, 2022
11-37
If the vein is wider than the minimum, one foot of dilution of zero grade material is added on both walls
(total of two feet).
For the “actual mined” calculation, the widths are increased to the stope (or drift) widths measured at
each sample location.  As is the case for the other two scenarios, the diluting material is considered to be
zero grade.
Drilling results indicate that the grades in the Lucky Friday system diminish gradually with depth.  To
account for this observed trend, the average stope chip/channel grades are reduced for blocks which
extend downwards below the lower limits of development.  The degree of this reduction increases with
depth according to the values listed in Table 11-12.
Table 11-12:
Depth Reduction Factors

Distance to Block Mid-Point
(ft)
Reduction Factor
<100
1.0000

0.9785

0.9730

0.9680

0.9620

0.9570

0.9520

0.9460

0.9410

0.9350

0.9300

0.9250

0.9190

0.9140

0.9090

0.9030
An NSR cut-off grade, similar to that used at Gold Hunter, is applied to the blocks and the tons and grade
summed in each classification category.  The NSR cut-off grade applied at Lucky Friday was US$207/t.  For
the current estimate the NSR multipliers were updated with the values listed in subsection 11.2.12 of this
TRS.  These multipliers were as follows:

Ag:
US$16.86 per oz/ton

Pb:
US$19.77 per percent of lead

Zn:
US$18.64 per percent of zinc
The NSR cut-off grade is higher than the $173/ton used at Gold Hunter to reflect different mining costs.

--- PAGE 119 ---
During an earlier audit, the SLR QP reviewed several of the block estimate spreadsheets and confirmed
that the calculations were correct.  In addition, the longitudinal projections of the Lucky Friday Vein were
inspected to confirm that the block outlines were reasonable. A cursory review of the spreadsheets and
longitudinal sections were made for this audit to confirm that there were no major changes. In the SLR
QP’s opinion, the Mineral Resource estimate for Lucky Friday has been carried out in a reasonable fashion,
consistent with conventional, although somewhat dated, industry practice.
11.3.1 Lucky Friday Mineral Resource Statement
The Mineral Resources estimate to December 31, 2021 for the Lucky Friday area is summarized in Table
11-13.
Table 11-13:
Lucky Friday Mineral Resources – December 31, 2021

Grade
Contained Metal
Area
Tonnage
(ton)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
NSR
(US$/t)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Measured
Lucky Friday
393,000
12.2
11.4
1.5

4,790,000
44,700
5,910
Ancillary
19,800
14.0
6.7
1.9

277,000
1,320

Silver
8,030
15.9
1.0
0.2

128,000

Total
421,000
12.4
11.0
1.5

5,200,000
46,100
6,310
Indicated
Lucky Friday
139,000
9.5
11.0
3.7

1,320,000
15,300
5,080
Silver
10,000
13.3
1.0
0.2

133,000

Ancillary
28,600
9.0
6.0
1.4

258,000
1,710

Total
178,000
9.6
9.6
3.1

1,710,000
17,100
5,510
Total Measured and Indicated
Total
598,000
11.5
10.6
2.0

6,910,000
63,200
11,800
Inferred
Lucky Friday
449,000
9.2
10.9
4.1

4,110,000
48,900
18,500
Silver
10,000
13.3
1.0
0.2

133,000

Ancillary
21,800
10.2
9.0
2.5

222,000
1,980

Total
480,000
9.3
10.6
3.9

4,460,000
50,900
19,000
Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.

Technical Report Summary -  February 21, 2022
11-38

--- PAGE 120 ---
Technical Report Summary -  February 21, 2022
11-39
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated according to mineralogical content.
7.
Mineral Resources are estimated at an NSR cut-off grade of US$207/t.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.

--- PAGE 121 ---
Technical Report Summary -  February 21, 2022
12-1
12.0 MINERAL RESERVE ESTIMATES
12.1 Summary
The current Mineral Reserve estimates, as prepared by Hecla and reviewed and accepted by SLR, reported
as of December 31, 2021 are summarized in Table 12-1.  While resources exist at the Lucky Friday deposit,
Mineral Reserves are reported only for the Gold Hunter deposit, as this is the only area included in the
current LOM plan.
The Lucky Friday Veins have been inactive since 2005 when operation in the Lucky Friday Veins were
curtailed due to low metal prices, seismicity concerns, development cost, and metallurgical performance
issues. Increased metal prices may render the Lucky Friday resource economic at some future date. Work
on re-evaluating the remaining Lucky Friday resource will be undertaken as time permits, with the intent
of its possible inclusion in future LOM plans.
Table 12-1:
Summary of Mineral Reserves – December 31, 2021

Category
Tonnage
(000
tons)
Grade
Contained Metal
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz Ag)
Pb
(000 tons)
Zn
(000 tons)
Proven
4,691
13.92
8.43
3.40
65,313
395.3
159.4
Probable

12.26
7.47
2.83
9,386
57.2
21.7
Total Proven + Probable
5,456
13.69
8.29
3.32
74,699
452.4
181.0
Notes:
1.
Classification of Mineral Reserves is in accordance with the S-K 1300 classification system.
2.
Mineral Reserves were estimated by Hecla and reviewed and accepted by SLR.
3.
Mineral Reserves are 100% attributable to Hecla.
4.
Mineral Reserves are estimated at an NSR cut-off value of $208/ton.
5.
The NSR values reflect the discrete metallurgical responses for the Mineral Reserve blocks.
6.
Mineral Reserves are estimated using an average long-term silver price of US$17.00/oz, lead price of US$0.90/lb, and
zinc price of US$1.15/lb.
7.
A minimum mining width of 11 ft was used for 30 Vein above 7500 level, 9 ft for 30 Vein below 7500 level, and 8 ft for
all other veins.
8.
A bulk density of 0.086 tons/ft3 was used for waste material. Mineral Reserve bulk density was calculated by block,
based on mineralogical content.
9.
Numbers may not add due to rounding.
Mineral Reserves by vein are presented in Table 12-2.

--- PAGE 122 ---
Table 12-2:
Mineral Reserves by Vein – December 31, 2021

Tonnage
(000
tons)
Grade
Contained Metal
Vein
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz Ag)
Pb
(000 t)
Zn
(000 t)

3,731
14.21
8.98
3.68
53,007
335.2
137.4

9.36
6.95
5.34
2,037
15.1
11.6

14.94
8.39
3.16
3,500
19.6
7.4

10.44
6.34
1.62
2,560
15.5
4.0

11.23
8.14
2.16
5,201
37.7
10.0

12.05
9.27
1.11
2,941
22.6
2.7

17.01
2.05
2.47
5,453
6.6
7.9
Total
5,456
13.69
8.29
3.32
74,699
452.4
181.0
Notes:
1.
Classification of Mineral Reserves is in accordance with the S-K 1300 classification system.
2.
Mineral Reserves were estimated by Hecla and reviewed and accepted by SLR.
3.
Mineral Reserves are 100% attributable to Hecla.
4.
Mineral Reserves are estimated at an NSR cut-off value of $208/ton.
5.
The NSR values reflect the discrete metallurgical responses for the Mineral Reserve blocks.
6.
Mineral Reserves are estimated using an average long-term silver price of US$17.00/oz, lead price of US$0.90/lb, and
zinc price of US$1.15/lb.
7.
A minimum mining width of 11 ft was used for 30 Vein above 7500 level, 9 ft for 30 Vein below 7500 level, and 8 ft for
all other veins.
8.
A bulk density of 0.086 t/ft3 was used for waste material. Mineral Reserve bulk density was calculated by block, based
on mineralogical content.
9.
Numbers may not add due to rounding.
The SLR QP is not aware of any risk factors associated with, or changes to, any aspects of the modifying
factors such as mining, metallurgical, infrastructure, permitting, or other relevant factors that could
materially affect the Mineral Reserve estimate.
12.2 Conversion to Mineral Reserves
Mining methods used in this Mineral Reserve estimate include underhand closed benching (UCB), and
overhand or underhand mechanized cut and fill (LFUL).  Minimum mining dimensions vary by mining
method and are discussed in section 12.4.
To permit more precision in defining reserve extents the block model is sub-blocked around the vein solids
that were created for Mineral Resource estimation.  The sub-blocked model is used for all Mineral Reserve
and planning estimates.
The mining method for a given area is determined based on vein thickness, desired production rate, and
seismic risks.  Production designs are created based on the geometries relevant to the selected mining
method which are discussed in subsection 13.1.3.  Mineral Reserve outlines are created around the
production locations that meet the NSR cut-off threshold, while also ensuring that adverse pillar
geometries are not created that could become seismically active, and that mining does not cease near a

Technical Report Summary -  February 21, 2022
12-2

--- PAGE 123 ---
Technical Report Summary -  February 21, 2022
12-3
problematic structure.  Production locations outside the Mineral Reserve outlines are not included in
Mineral Reserves.  Once designs are completed, access ramps and other supporting infrastructure are
designed to facilitate production mining.
The production design wireframes are evaluated against the sub-blocked model to generate tons and
grade for each location. An unplanned dilution factor is then applied that accounts for rock overbreak and
backfill dilution both of which are treated as having zero metal grade.
Internal portions of the 30 Vein which did not meet the block cut-off grade value were included in the
stopes and in the Mineral Reserves as the material will have to be mined to avoid the generation of stress
inducing geometry.  SLR reviewed the material and concurs with its inclusion as Mineral Reserves.
Only Measured and Indicated Mineral Resources were converted to Mineral Reserves.  Any Inferred
Mineral Resources included within the Mineral Reserve designs are carried at zero grade.
12.3 Cut-Off Grade
The cut-off grade (COG) for Mineral Reserves is calculated and expressed in terms of NSR value per ton.
The COG NSR value used for stope design of all mining methods is $208.00/ton, as presented in Table
12-3.  This COG reflects the property-wide operating costs and sustaining capital costs distributed on a
per-ton basis.  Operating costs from 2021 were used as the basis for cut-off grade calculations.  From 2017
to January 2020, operations were on care and maintenance due to a strike.
Table 12-3:
NSR Cut-off Values (US$/ton)

Description
Mining
Maintenance
Mill
G&A
Sustaining
Capital
Total
Operating Costs
(US$/ton)
64.84
33.25
15.43
59.72
34.75
208.00
Net smelter return is calculated on a unit metal value basis using actual smelter contract terms, freight
costs, and forecast metal prices. Metal prices and metallurgical recoveries used to calculate NSR are as
follows:

Silver: US$17.00/oz, 96.9%.

Lead: US$0.90/lb, 94.7%.

Zinc: US$1.15/lb, 91.2%.
Standard industry terms for payability, treatment and refining charges, and shipping were applied to
calculate the NSR formula.  The NSR value is calculated and applied to every block in the block model
allowing for NSR values to then be calculated and assigned to individual stopes after planned dilution has
been applied.  The NSR calculation formula by unit metal value is as follows:
NSR = (13.22 * [Ag oz/ton])  +  (15.29 * [Pb %] * 100)  +  (15.78 * [Zn (%] * 100)
SLR independently verified the NSR estimation methodology.  Variances were noted in the application of
concentrate freight costs, however this constitutes a relatively minor impact to NSR values.  SLR
recommends that the mine review the unit metal value calculations for future estimates.
SLR notes that an unplanned dilution factor, discussed in subsection 12.4, is applied to all designs after
the NSR calculation has been completed. Realized NSR values should thus be expected to be lower than

--- PAGE 124 ---
Technical Report Summary -  February 21, 2022
12-4
estimated due to unplanned dilution.  SLR estimated the impact of this change would be a reduction in
Mineral Reserve totals of approximately 90,000 t, or 2%, of total Mineral Reserves.  SLR does not consider
the difference to be material and SLR recommends that Hecla change this methodology for future Mineral
Reserve estimates and complete NSR calculations and Mineral Reserve compilation on fully diluted
material.
12.4 Dilution
Planned and unplanned dilution is applied to all Mineral Reserves.  Planned dilution is added to the stope
designs which expands the designs up to a minimum mining thickness.  Unplanned dilution is applied as a
mass percentage on undiluted Mineral Reserves. A schematic showing the application of dilution to the
vein model is shown in Figure 12-1.

Figure 12-1:
Dilution Schematic
The minimum mining width depends on the maximum size of equipment that will be used to mine the
vein and is varied by location depending on the level of productivity required and dilution deemed
acceptable within each vein.  Three minimum mining widths are currently used in the LOM which are
applied as follows:

8.0 ft – all Intermediate Veins

11.0 ft – 30 Vein above 7500 level

9.0 ft – 30 Vein below 7500 level
Stopes are designed using a stope optimizer tool that first divides the vein solid along strike length based
on anticipated development round lengths. The vein width is interrogated and if the resulting width is less
than the minimum mining width specified for that area, additional dilution is added to the stope until the
stope width is equal to the minimum mining width specified.  Maximum mining width is also defined for
all mining methods 20 ft.  No areas in reserve met the 20 ft maximum width.

--- PAGE 125 ---
Technical Report Summary -  February 21, 2022
12-5
After stope solids are increased to the minimum mining thickness, an unplanned dilution factor is applied.
This factor accounts for small scale variations in vein location, limits of mine equipment selectivity,
unplanned overbreak, and rehandle dilution.  For areas mined by underhand cut and fill the unplanned
dilution factor is 5% based on observed performance.  For areas mined by UCB, the unplanned dilution
factor is 15% reflecting the lower selectivity inherent to the method.  Planned dilution tons are given
background metal grades in the block model.  Unplanned dilution is assigned zero metal grade.
SLR is of the opinion that the 15% dilution estimate in the UCB mining is potentially optimistic and requires
further validation, considering the short time that the method has been in use, the impact of vein
deviation over the 23 ft cut depth, the use of infill drill information as opposed to face by face mapping
and potential overbreak in longhole blasting due to factors such as blast hole misalignment.  SLR
recommends close monitoring of the stoping performance including regular surveys as the void is exposed
and reconciliation to the stope designs and to the Mineral Reserve estimates to confirm and refine the
dilution estimate.
12.5 Extraction
Extraction for all mining methods is assumed to be 100% based on experience.  SLR considers this
assumption to be reasonable as any material left in a stope on a given cut does become available when
the subsequent lower cut is mined.  The assumption does not include any allowance for losses due to
potential “frozen” section in the UCB blasts.  SLR recommends this assumption be reviewed within the
above recommended reconciliation work to refine future estimates.
12.6 Comparison to Previous Estimates
The 2021 Mineral Reserve estimate represents a change from the 2020 Mineral Reserve estimate as the
estimation for the 30 Vein, the largest single vein in the estimate, has been changed to reflect the change
to the UCB mining method.  Mineral Reserves decreased by 308,000 tons, 2.3 Moz of silver, 33,000 tons
lead, and 52,000 tons zinc, due to:

2021 production,

Removal of the low grade 40 Vein material,

Increase tons but decrease grade of the 30 Vein due to dilution of the UCB method,

An increase in tons but decrease in the grade of all the other veins.  A summary of gains and losses
and the variance is shown in Table 12-4.

--- PAGE 126 ---
Table 12-4:
Mineral Reserve Comparison 2020 to 2021

Vein
Tons (000)
Ag
(oz/ton)
Pb (%)
Zn (%)
Oz Ag
(000)
Tons Pb (000)
Tons Zn (000)
December 31, 2021 Proven & Probable Mineral Reserve Estimate

3,731
14.21
8.98
3.68
53,007
335.2
137.4

9.36
6.95
5.34
2,037
15.1
11.6

10.44
6.34
1.62
2,560
15.5
4.0

14.94
8.39
3.16
3,500
19.6
7.4

11.23
8.14
2.16
5,201
37.7
10.0

12.05
9.27
1.11
2,941
22.6
2.7

17.01
2.05
2.47
5,453
6.6
7.9
Totals
5,456
13.69
8.29
3.32
74,699
452.4
181.0
December 31, 2020 Proven & Probable Mineral Reserve Estimate

3,287
16.72
10.70
4.22
54,953
351.6
138.7

1,371
4.53
3.78
4.98
6,213
51.8
68.3

10.15
7.39
4.13
1,681
12.3
6.8

12.77
7.30
1.63
2,165
12.4
2.8

15.18
8.65
3.54
2,602
14.8
6.1

11.95
9.91
2.30
2,940
24.4
5.7

13.76
10.77
0.77
1,890
14.8
1.1

21.03
1.56
1.79
4,547
3.4
3.9
Totals
5,764
13.36
8.42
4.05
76,992
485.4
233.3
Tons
Ag
Grade
Mineral Reserve Percent Variance 2020 to 2021
Pb
Grade
Zn
Grade
Ag Oz
Tons Pb
Tons Zn

14%
-15%
-16%
-13%
-4%
-5%
-1%

31%
-8%
-6%
29%
21%
24%
70%

-100%
-100%
-100%
-100%
-100%
-100%
-100%

37%
-2%
-3%
-11%
34%
33%
22%

45%
-18%
-13%
-1%
18%
26%
43%

88%
-6%
-18%
-6%
77%
55%
77%

48%
-19%
31%
38%
20%
94%
105%

78%
-12%
-14%
43%
56%
53%
154%
Totals
-5%
3%
-2%
-18%
-3%
-7%
-22%
A more detailed breakdown of the change in Mineral Reserves from 2020 to 2021 is shown in Table 12-5.

Technical Report Summary -  February 21, 2022
12-6

--- PAGE 127 ---
Technical Report Summary -  February 21, 2022
12-7
Table 12-5:
Mineral Reserve Change 2020 to 2021 After Production

December 31, 2021 Proven & Probable Mineral Reserve Estimate
Item
Tons
(000)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Oz Ag
(000)
Tons Pb
(000)
Tons Zn
(000)
2020 Reserve
5,764
13.4
8.4
4.0
76,992
485.4
233.3
2021 Mining

11.6
7.6
3.4
3,733
24.5
10.9
2020 Depleted
5,443
13.5
8.5
4.1
73,258
460.9
222.3
Other Changes

0.3
(0.2)
(0.8)
1,441
(8.5)
(41.3)
2021 Reserve
5,456
13.7
8.3
3.3
74,699
452.4
181.0
The mine production grades fell short of the Mineral Reserve grades in 2021.  Over the period 2013 to
2021 the annual production grades for silver and lead have been less than the average Mineral Reserve
grades at the end of the period.  The silver production grades have been 69% to 88% of the Mineral
Reserve grades while the lead grades have been 70% to 89% of the Mineral Reserve grades.  The zinc
production grades have generally exceeded the plan ranging from 97% to 123% of the average Mineral
Reserve grades.  This is an overall view and includes the period of reduced operations through a long strike
and it does not look forward to potential high grade areas ahead of the present mining.  SLR considers the
historical grade reconciliation to show that further refinements to the Mineral Reserve estimation
process, notably in the areas of dilution, should be reviewed and if necessary changes to the estimation
process should be implemented.
12.7 Mineral Reserve Reconciliation
SLR has reviewed the Mineral Reserve reconciliation and recognizes that the 2021 Mineral Reserve
estimate includes a significant revision to the mining method with the use of UCB in the 30 Vein and that
the historical accuracy of the Mineral Reserve estimate may not be representative of future performance.
SLR is of the opinion that reconciliation should be an implicit part of the mining process, and reconciliation
targets should be a key performance indicator for operations.  The reconciliation between the block
models and production remains an important validation tool in evaluation of the performance of the block
models.  SLR is of the opinion that monthly reconciliation analyses should be completed and that the
results of those analyses should be applied to modify practices and to refine the estimation parameters
for the Mineral Reserve estimation process.
The mine completes regular analyses between the mine and mill production data and the Mineral Reserve
estimates on a stope by stope basis and considering total production.
The reconciliation analysis follows Parker (2013) which uses three factors:
The F1 factor usually relates short term (ore control) model tonnages, grades and metal content to ore
Mineral Reserves depleted. The F1 factor may be used to check and calibrate the selectivity of mineral
resource models and/or planned dilution assumed in transfer from mineral resources to ore Mineral
Reserves.  The F1 factor is the grade control prediction divided by the ore Mineral Reserve.
The F2 factor relates received at mill (measured by the mill) tonnages, grades and metal content to
delivered to mill production tonnages, grade and metal content. The F2 factor enables a check on

--- PAGE 128 ---
Technical Report Summary -  February 21, 2022
12-8
unplanned dilution entering the ore stream between ore control and the mill.  The F2 factor is the mill
production divided by the grade control prediction.
The F3 factor is F1×F2 (mill production divided by Mineral Reserve estimate) and enables a comparison of
a mine’s (measured by mine) ability to recover the tonnage, grade and metal content estimated in Mineral
Reserves.
SLR is of the opinion that reconciliation variances of 10% or less are indicative of a well run mine and good
Mineral Reserve estimate.  Variations between 10% and 20% are indicative of problems in the mining/ore
control systems and Mineral Reserve estimation parameters and investigation of the potential issues is
warranted.  Variations in excess of 25% are considered significant and actions to improve the controls and
estimates are required.
12.7.1 Previous Reconciliation Reviews
SLR has previously reviewed the mine reconciliation analyses in the course of Mineral Reserve reviews for
the mine.  SLR considers the information to be relevant and provides a summary of the past results and
comments.
There are several factors that can cause the tonnage variance:

More dilution in mining than is included than in the model, which may come from the backfill
(although the backfill is cemented) and more likely from overbreak from the stope walls.)

Bulk density estimation.

Survey changes between the initial and final surveys

The reconciliation does not account for material in the ore and waste passes, bins or tied up in
inventory on the stope floor
SLR noted that the higher mill tonnage indicate that some misclassification of ore and waste has occurred
resulting in waste being sent to the mill.  In 2017, the Lucky Friday technical personnel identified the
potential concerns with both dilution and ore-waste classification.  At that time SLR recommended that
studies of all aspects of the estimation and quantification of dilution, grade control procedures,
communication between the geology department and mine personnel, and the implementation of
systems to better measure the tonnage delivered to the mill be continued.
12.7.2 2021 September YTD Reconciliation
The mine provided reconciliation data for the period Q1 through Q3 of 2021.  The QP’s analysis of the
reconciliation data is shown below.  The actual production, forecast production, and Mineral Reserve
estimates are presented in Table 12-6.

--- PAGE 129 ---
Table 12-6:
Q1 to Q3 2021 Reconciliation Data

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Adjusted Actuals Q1 to Q3 2021
12 stope
70,881
11.6
8.4
3.1
819,178
5,971
2,199
15 stope
67,782
8.0
5.8
4.2
545,314
3,919
2,851
16 stope
63,488
15.0
8.7
4.7
954,672
5,504
2,992
19 stope
33,086
10.8
6.5
0.5
356,683
2,150

Inventory
6,503
9.9
6.4
2.9
64,286
4,183

YTD:
241,739
11.3
7.4
3.5
2,740,133
17,962
8,416
12 stope
51,519
12.2
9.9
3.1
630,158
5,103
1,622
Forecast
15 stope
63,869
8.3
6.5
4.0
530,371
4,128
2,556
16 stope
53,649
19.7
10.3
5.8
1,057,462
5,501
3,128
19 stope
33,907
15.3
8.1
0.7
519,369
2,748

YTD:
202,944
13.5
8.6
3.7
2,737,360
17,480
7,544
Adjusted Model
12 stope
49,539
14.9
11.7
3.4
737,849
5,773
1,685
16 stope
46,407
22.3
12.8
5.7
1,037,136
5,950
2,665
15 stope
45,049
10.0
7.4
4.6
451,983
3,351
2,081
19 stope
24,641
11.8
6.1
0.5
289,955
1,514

Swell
10,785
13.3
6.8
4.1
143,418

YTD:
176,421
15.1
9.8
4.0
2,660,341
17,323
6,987
The F1, F2 and F3 factors for the Q1 to Q3 2021 data are shown in Table 12-7.

Technical Report Summary -  February 21, 2022
12-9

--- PAGE 130 ---
Table 12-7:
Q1 to Q3 2021 Reconciliation Results

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
F 1 Factor
12 stope
104%
82%
85%
93%
85%
88%
96%
15 stope
142%
83%
87%
87%
117%
123%
123%
16 stope
116%
88%
80%
102%
102%
92%
117%
19 stope
138%
130%
132%
152%
179%
182%
209%
Total
123%
89%
86%
94%
109%
105%
115%
F 2 Factor
15 stope
106%
97%
89%
105%
103%
95%
112%
12 stope
138%
94%
85%
99%
130%
117%
136%
16 stope
118%
76%
85%
81%
90%
100%
96%
19 stope
98%
70%
80%
78%
69%
78%
76%
Total
119%
84%
86%
94%
100%
103%
112%
F3 Factor
12 stope
143%
78%
72%
91%
111%
103%
131%
15 stope
150%
80%
78%
91%
121%
117%
137%
19 stope
134%
92%
106%
119%
123%
142%
159%
16 stope
137%
67%
68%
82%
92%
93%
112%
Inv/Swell
60%
74%
94%
72%
45%
57%
43%
Total
(adjusted)
137%
75%
76%
88%
103%
104%
120%
SLR considers the F3 factor to be the most important in the analysis of the Mineral Reserve estimate.  In
this case the analysis shows that for all of the stopes the tonnage milled exceeds the Mineral Reserve
estimate and the metal grades fall short of the Mineral Reserve estimates for all but lead and zinc in the
19 stope.  The total metal content exceeds the calculated Mineral Reserve estimate metal content but
SLR notes that for the period under review the 65,318 tons of extra production had grades of 1.2 oz/ton
Ag, 1.0% Pb, and 2.2% Zn.  At these grades the extra tonnage had an NSR value of approximately $66/ton.
The material potentially represents dilution which was not included in the model estimates and while
metal targets may have been met extra tons had to be mined and processed to meet that goal.
SLR is of the opinion that dilution in excess of the Mineral Reserve estimate, whether in the stope or in
mixing or misclassification in the material handling systems, may be a factor in the poor tonnage and
grade reconciliation. The large variation in the tonnage reconciliation may also mask issues in the
estimation of the metal grades.

Technical Report Summary -  February 21, 2022
12-10

--- PAGE 131 ---
12.7.3 2021 UCB Mining Reconciliation
The mine provided reconciliation data for 2021.  This data provides a baseline for expectations of the UCB
mining method and support of the Mineral Reserves statement.  Lucky Friday has not previously used the
UCB mining method for reserve reporting.  In 2020 and through 2021, design parameters and dilution
factors were developed to support the Mineral Reserve statement.  The mine’s analysis of the
reconciliation data is presented in Table 12-8.
Table 12-8:
2021 Reconciliation Data

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Milled
12 stope
92,673
11.7
8.6
3.2
1,084,522
7,996
2,945
15 stope
90,174
7.9
5.6
4.0
713,411
5,088
3,610
16 stope
88,914
16.0
9.1
4.6
1422855
8,096
4,132
19+21 stope
43,629
10.7
6.7
0.5
465782
2,919

315,391
11.7
7.6
3.5
3,686,570
24,099
10,910
Forecast
12 stope
78,091
12.8
10.1
3.0
997,907
7,851
2,372
15 stope
88,837
7.6
5.6
3.4
673,278
4,983
3,063
16 stope
82,569
17.3
10.0
4.6
1,425,352
8,294
3,803
19+21 stope
45,089
10.3
5.7
0.4
466,474
2,549

294,586
12.1
8.0
3.2
3,563,011
23,677
9,411
The F2 factors for the 2021 data are shown in Table 12-9.  Since no reserve was issued for UCB in 2021
the F1 and F3 factors cannot be compared.
Table 12-9:
2021 Reconciliation Results

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
F2 Factor
12 stope
119%
92%
86%
105%
109%
102%
124%
15 stope
102%
104%
101%
116%
106%
102%
118%
16 stope
108%
93%
91%
101%
100%
98%
109%
19+21 stope
97%
103%
118%
133%
100%
115%
129%
Total
107%
97%
95%
108%
103%
102%
116%

Technical Report Summary -  February 21, 2022
12-11

--- PAGE 132 ---
Technical Report Summary -  February 21, 2022
12-12
SLR notes that the mine’s analysis of the short term forecast versus actual production shows a good
correlation.  The 30 Vein average production grades for 2021 are lower than the Mineral Reserve
estimates.
SLR recommends that:

Reconciliation analyses be continued.

Dilution estimates for the mining be reviewed and amended as necessary to reflect the experience
with the mining method and equipment in use.

The ore handling systems be reviewed to address the potential for the mixing of ore and waste
and/or the misdirection of ore and waste throughout the material handling systems.

The material accounting methods and systems, from the stope to the mill, be reviewed to
determine if changes or additional controls are required to improve the material accounting.

Future Mineral Reserve estimates be modified to incorporate the results of reconciliation studies.

--- PAGE 133 ---
13.0 MINING METHODS
The Lucky Friday operation is a deep, narrow vein, mine which commenced operations in 1942.
Operations were on care and maintenance due to a strike from 2017 to January 2020, at which time
operations resumed.  The operation produces silver contained in  silver and zinc concentrates.
Mining methods used at Lucky Friday include underhand closed benching (UCB), and overhand or
underhand mechanized cut and fill (LFUF) using mechanized mining equipment.  Stopes are back filled
with cemented paste fill from the process plant tailings.  Mine operations are currently close to 6,500 ft
below surface and the mine will continue to below the 8,000 ft level in the current long-range plan.  Mine
production for the period from 2016 to 2021 is summarized in Table 13-1.
Table 13-1:
Lucky Friday Mine Production Summary

Year

Ore Milled
tons
293,875
70,718
17,309
57,091
179,201
321,837
Grade
Ag
oz/ton
12.69
12.38
10.78
11.83
11.85
11.6
Pb

7.78
7.10
7.19
7.86
7.49
7.6
Zn

3.92
4.01
4.20
4.25
3.88
3.4
Recovery to Concentrate
Ag Recovery

96.4%
95.8%
90.6%
93.7%
95.6%
95.5%
Pb Recovery

95.7%
94.3%
90.9%
91.4%
94.8%
94.6%
Zn Recovery

93.7%
90.4%
92.7%
84.5%
90.6%
91.1%
Silver concentrate
tons
36,420
8,238
1,790
6,378
20,806
37,768
Zinc concentrate
tons
17,530
4,121
1,016
3,467
10,960
16,638
Ag in Silver Concentrate
oz/ton
98.74
101.80
94.42
99.24
97.66
94.4
Pb in Silver Concentrate

60.1%
57.5%
63.2%
64.3%
61.2%
61.2%
13.1 Mine Operations
13.1.1 Underground Mine Access and Layout
The Lucky Friday mine operation has been designed and constructed to target two broad vein systems:
the Lucky Friday and Gold Hunter Veins. The Lucky Friday Vein was actively mined until 2001, is now
inactive, and contains infrastructure critical to the active Gold Hunter area.  Mining is underway or
planned in the 30, 50, 60, 70, 80, 90, and 110 Veins of the Gold Hunter deposit.  The 30 Vein is the largest
single vein and the source of the majority of the production.
Access to all underground workings is via the 6,205 ft deep Silver Shaft.  The Silver Shaft is near the idle
Lucky Friday vein system and 5,000 ft south-southeast of the Gold Hunter system (Figure 13-1). The 18 ft
diameter, concrete lined, circular, two-compartment shaft has a hoisting capacity of 12 tons per skip.

Technical Report Summary -  February 21, 2022
13-1

--- PAGE 134 ---
Technical Report Summary -  February 21, 2022
13-2
Shaft stations are developed on 200 ft centers beginning on the 4900 level.  Broken material reports to
the Silver Shaft through level pockets and transfers to the 5370 and 5970 loading pockets.
The No. 2 shaft is the 5,489 ft deep, three compartment (four compartment at lower levels) shaft used for
man hoisting, supplies, and ventilation.
Access to Gold Hunter is through the 4900 and 5900 level main haulage levels and 4050 access level.  Two
interlevel ramps connect the 4900 level and 5900 level and three ramps are being developed between the
5900 level and the 6500 level.  Below the 6500 level, only two ramps will continue to the 7500 level.
The No. 4 Shaft is a 4,800 ft winze with hoistroom located at the 4760 level and bottom at 8620 level.  The
No. 4 Shaft provides access to deep-seated portions of the Gold Hunter vein system.  Construction
commenced in 2010 and was completed in 2016.

Figure 13-1:
Isometric View of As-built Lucky Friday Workings
13.1.2 Mine Development
All mine development is completed using conventional drill and blast mining techniques. Ramps and
sublevels are driven at nominally 12 ft wide by 14 ft high and drilled using single boom or two boom
Lucky Friday
Vein System
Gold Hunter
Vein System
Silver Shaft
#4 Shaft
#2 Shaft

--- PAGE 135 ---
Technical Report Summary -  February 21, 2022
13-3
jumbos. Ramps are typically located in the footwall with swinging-ramp crosscuts driven into the vein to
access the ore. Level spacing depends on vein size and geometry, but typically four to five stope cuts are
taken from each sublevel.
13.1.3 Production Mining
In the late 1980s Lucky Friday LFUL mining was implemented in some areas of the mine to control seismic
risk and create a safter working environment. Today underhand techniques continue to be the primary
method used, with overhand employed in areas with no seismic risk.
In 2020, an adaptation to UCB mining was developed by Lucky Friday. This change was made to control
the release of mining induced seismic events and to improve seismic exposure thereby improving the
safety conditions in the mine.  The UCB method is applied in the 30 Vein.
13.1.3.1 Underhand Cut and Fill (LFUL)
In cut and fill mining, levels are typically spaced at 50 ft vertical centres. The vein is accessed through a
single slot drive driven roughly perpendicular to the vein strike. Once the slot drive is driven across the
vein an ore drive is driven in both directions along the vein until either backfill from an adjacent stope is
encountered or the vein becomes uneconomic.
Cut and fill drives are developed using conventional drill and blast techniques, with single boom jumbos
drilling 8 ft rounds. Material is removed with loaders to muck bays and eventually to trucks to report to
shaft pockets. Ground support is installed after each round according to standards in the ground control
management plan. Each stope round is mapped and sampled by the geology department, and a
projection- map is developed from the collected data and used to guide the next cut’s extraction.
In the overhand cut and fill technique the slot drive and first cut commence on the bottom and progress
upward, such that equipment and personnel work on top of backfill. Conversely, in the more commonly
used underhand technique, mining progresses downwards, such that equipment and personnel work on
unbroken rock, and cemented backfill and the previous cut horizon is overhead. Typically, five cuts are
taking from a single sublevel.
All cuts are backfilled with cemented paste fill.  Prior to paste backfilling a 1.5 ft bed of broken ore material
is emplaced to prevent the backfill from being damaged during blasting of the subsequent lift below.
Additionally, vertical rebar bolts are placed in the bedded material in a regular pattern such that plates
and nuts can be attached to the bolt ends when exposed during the next development sequence. In this
manner the backfill exposed overhead is always fully supported.
The overhand and underhand stoping methods are shown schematically in Figure 13-2.

--- PAGE 136 ---
Technical Report Summary -  February 21, 2022
13-4

Figure 13-2:
Mechanized Overhand and Underhand Stoping
The geometry and thickness of the vein being mined, as well as equipment being used, dictates the cut
and fill stope widths. The Intermediate Veins are typically narrow and mined with 1 yd3 loaders and single
boom jumbos, which can effectively mine to a minimum mining thickness of 6.5 ft.  In thicker veins where
2 yd3 loaders are used the minimum mining thickness is 8.0 ft.
13.1.3.2 Underhand Closed Bench
The UCB method is an adaptation of underhand cut and fill mining developed by Lucky Friday for use in
high stress mining environments where seismic events are anticipated. It was first used in 2020 and is in
full use in the 30 Vein stopes.  Work continues to refine the method. A summary of the UCB mining method
cycle follows and corresponds to the five steps shown in Figure 13-3.
In Step 1 the open stope (termed “Cut 0“) has a minimum stope opening height of 13 ft (to accommodate
the size of the longhole drill) and is 11 ft wide to accommodate a 3 yd3 capacity LHD.  The mined height is
11.5 ft high, with the additional 1.5 ft achieved by placing rock on the floor of the previous cut before
backfilling.  When the cut is excavated the loose rock falls out leaving a 13 ft high opening.  The orebody
in the floor of the stope is drilled with a series of vertical blasthole rings to a depth of 27 ft and blasted
with emulsion explosive that is initiated with programmable, electronic detonators. The 27 ft hole length
permits for an overall vertical blast advance of 23 ft with an allowance for 4’ of subdrill. The result of this
blast is that the fragmented ore will swell vertically up into the Cut 0 open stope void.
In Step 2, the swell in Cut 0 is extracted to the original Cut 0 floor-line using load-haul-dump (LHD) After
mucking of the swell, there are two, 11.5 ft high cuts of fragmented ore beneath the open stope as shown
in Step 3.
In Step 4, Cut 0 is backfilled with engineered paste fill and Cut 1 (the first fragmented cut below Cut 0) is
accessed from the footwall crosscut by slabbing out the floor and intersecting the orebody.  Since the ore
has been fragmented by the blast, LHDs are used (little or no additional blasting required) to muck out
Cut 1 below the cured paste.  The mucking advances along the strike of the orebody to the end of the

--- PAGE 137 ---
Technical Report Summary -  February 21, 2022
13-5
blasted section.  As the mucking advances, the stope back and walls are supported with wire mesh and
rockbolts.
In Step 5, Cut 1 is backfilled with engineered paste and allowed to cure for approximately three days
followed by mucking out the final fragmented Cut 2.
At the completion of Step 5, all the ore fragmented by the blast has been extracted, resulting in a solid
un-blasted floor, and the UCB process starts over again with drilling and blasting of the solid floor.  This
process repeats for the extraction of 23 ft of ore in two downward-progressing stope cuts.

Figure 13-3:
Underhand Closed Bench Mining Method Schematic
The UCB method was developed specifically for improvement in the safety of mining personnel in
seismically active rock masses.  In particular, the method is designed to proactively trigger fault-slip
seismicity by blasting at a time of choosing of the mine operations when personnel can be restricted from
the affected area.  The exact location of faults is generally unknown until they are intercepted in mining,
thus presenting a seismic hazard.  In typical cut and fill mining, unstable slip on these faults can occur at
any time as a result of stress redistribution around the small, excavated stope which is slowly and
incrementally advanced horizontally beneath the engineered fill as described earlier.  In addition to
fragmenting the ore in the floor of the stope, the stress wave induced by the blast transmits down through
the orebody and surrounding wall rock causing both stress disruption and deformation on any near-stope
fault surface that it encounters.  If the fault is critically-stressed the dynamic disruption to clamping and
shear stress-induced by the stress wave will cause slip to occur with subsequent energy release as a

--- PAGE 138 ---
Technical Report Summary -  February 21, 2022
13-6
seismic event.  The large amount of explosive detonated in the UCB blast (up to 37,000 lb as opposed to
150 lb in typical cut and fill face blast) facilitates triggering of the fault slip at the time of the blast, thus
relieving stored energy and allowing resumption of personnel access within a short time thereafter. This
concept is illustrated in Figure 13-4.

Figure 13-4:
Conceptual Fault-Slip in UCB Cross Section
The drilling and blasting techniques were changed in 2021 to use three inch diameter blast holes with ring
burden on 4.5 ft and four to five holes across the stope. Blasthole design targets a corridor of 10 ft to 11
ft wide for the bench.  Hole toe spacing is kept to no wider than four feet and is commonly less than four
feet.  SLR notes that the stated 4.5 ft spacing and four holes represents a minimum blasting width of 13.5
ft assuming the perimeter holes are located on the stope limit. This configuration may lead to overbreak
and extra tonnage beyond the Mineral Reserve limits.  The stope is opened with a 27 ft deep burn cut
using nine four inch diameter holes in a two foot square and nine three inch diameter blast holes for a
five foot square cut.
Management indicate that experience to date has shown that mining productivities are better than in
LFUL. The productivity improvement is from less seismic delays and the ability to increase working areas
on the 30 Vein.  The improved seismic control allowed a fourth stope to be developed on the 30 Vein
increasing working faces by 133%.  Management is of the opinion that the combination of reduced seismic
delays and increased working areas is estimated to improve 30 Vein productivity by greater than 150%.
Benching with vertical blastholes does not permit as much selectivity compared to LFUL and thus
unplanned dilution in UCB mining is estimated by Hecla to be 15%. Continuous improvement studies are
ongoing with focus being on improving productivities, reducing cycle times, and reducing dilution.
UCB is currently being used to mine all bottom 30 Vein stopes and is planned for use in lower 30 Vein for
the remainder of the mine life.

--- PAGE 139 ---
Technical Report Summary -  February 21, 2022
13-7
SLR visited the UCB stope on October 5, 2021 and based upon that visit and its review of the technical
information SLR concurs with the use of UCB as a safer, more productive, mechanized option for
underhand stoping.  SLR offers the following observations:

Despite the use of the method since 2020 there was not a reconciliation records between actual
production and Mineral Reserve estimates;

The use of a 27 ft deep burn cut to open the stope presents a potential risk as the long cut may
freeze or fragment poorly leading to either a loss of ore, or difficult mucking of larger material,
or the existing requirement to drill into a frozen muckpile with a jumbo

The 15% dilution added to the stopes amounts to a total of 1.6 ft of stope width at the minimum
11 ft mining width. SLR considers this to be insufficient to account for potential drill hole
misalignment, variations (pinches and swells) in vein size both along strike and down dip, and
the usual tendency for stope width to expand in the face of the plan to increase production
tonnage.

The dilution risk will increase at depth in the 30 Vein where the minimum mining width has been
reduced to 9 ft.

Continued closely spaced infill drilling information will be necessary for stope planning as there
is no opportunity for face mapping after the mining moves beneath the initial undercut
elevation.
13.1.3.3 Conventional Mining
Although the current LOM plan does not include any conventional mining blocks, this method, using hand
held drills and scrapers, has been used in the past and may be used again at some time in the future.
13.1.4 Ore and Waste Handling
LHD’s are used to move broken rock from the headings to haul trucks or ore passes. The LHD fleet consists
of 1 yd3, 2 yd3, and 3.5 yd3. Ore and waste haulage is accomplished using 20 ton trucks.
Rock is either hoisted in No. 4 shaft to the 4900 level and trucked to the 4900 Silver Shaft bins or trucked
on internal ramps to the 4900 or 5900 level Silver Shaft bins. From there rock is hoisted to coarse bins on
surface.
13.1.5 Backfill
All production stopes are backfilled with paste fill produced from a mixture of tailings sand and binder.
Binder content varies between 6% and 10% by weight depending on the strength requirement with binder
consisting of 75% ground granulated blast furnace slag (GGBF) and 25% cement.  Between 0.4 tons to 0.6
tons of backfill are required per ton of ore mined to achieve the targeted fill height of within 1.5 ft of the
back. There is a net surplus of tailings as 0.5 tons to 0.7 tons of tailings are produced per ton of ore mined.
Prior to filling the stope the fill area is prepped by spreading a 1.5 ft thick layer of prep muck across the
floor. Six foot long dywidags are then stood in the preparation muck on a 4 ft by 4 ft pattern to provide a
measure of concrete reinforcement and securing of the back during the next cut.  Pour lengths are limited
to approximately 150 ft to ensure uniform paste flow and minimization of cold joints.
Quality testing of the fill is performed for the pour from the first stope cut of any given slot. Four samples
are collected and UCS tests conducted at three, seven, 14, and 28 days. The data for testing is reported to

--- PAGE 140 ---
the mine engineering department. The fill typically develops 200 psi (1.38 MPa) or greater UCS after seven
days. This is used as a design criterion for fill mat strength. Mining cannot take place beneath paste fill
until a UCS of at least of 200 psi (1.38 MPa) is achieved. If the fill does not develop this strength, it is
reported to mine management who alert the underground staff that the fill should be observed for
settlement and that extra support beneath the wider span stope entry area may be required.
A sand storage facility is located on surface beside the process plant with a capacity of 5,000 tons. Sandfill
is sent underground through a slickline installed in the Silver Shaft with branches to the Gold Hunter side
installed on the 4900 level and the 5900 level. The backfill system capacity is 110 stph. A schematic of the
backfill distribution system is presented in Figure 13-5.
2800L
Sandline 4470L
Cross-Over at Sandline
4760L 4900 level 4

6 0
S

a

n d
ft
l i
l
n
a
e
te ral 4900L
C Sh ro a s ft s - S O ta ve ti r o a n t
5100L
5370L
5500L
Sandline
Cross-Overs Sandline 5700L Sandline
at Shaft Cross-Over at Cross-Over at
S tation 4900 level 4

6 0
S

a

n d
ft
l i
l
n
a
e
te ral 5900L
Shaft Station
6200L
Bottom
8620L
Bottom
Figure 13-5: Backfill Schematic
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.00022
Technical Report Summary - February 21, 2022 13-8
[TABLE]
 | 4470L
4” Sandline
~6000 ft lateral |
 | 4900L

[TABLE]

5370L

[TABLE]
 | 5700L
4” Sandline
~6000 ft lateral |
 | 5900L

[TABLE]

[TABLE]

--- PAGE 141 ---
Technical Report Summary -  February 21, 2022
13-9
13.2 Ground Conditions
The Gold Hunter deposit is located in the Wallace formation which is folded to subvertical with
stratigraphy striking N80 to 85W and dipping 80° to 90°S. The Gold Hunter zone lies between two
significant west-northwest trending district-scale fault structures. To the north is the Independence fault
trending N80 to 85W dipping 80°S. The Paymaster fault lies to the south at N80W dipping 85°S.  These
faults are separated by approximately 1,500 ft around the mine and define the trend of the Star-Gold
Hunter mineral belt.
The rockmass is primarily composed of thinly-bedded argillites, argillite alternating with silt caps, and local
siltites. The bedding spacing ranges from several inches to feet, surfaces often coated with talcy,
slickensided material and highly irregular in shape.  The bedding thus results in significant anisotropy with
respect to mechanical response to stress.  Drifts driven perpendicular to bedding tend to be quite stable,
whereas drifts driven parallel to bedding typically show buckling or high deflection of the wall beds.
The rock mass quality and material properties of the Gold Hunter Veins and wall rock materials were
determined from geotechnical logging and laboratory testing of exploration boreholes drilled from the
footwall ramp across the orebody and into the hangingwall at approximately the 6100 level.  Geotechnical
logging is not typically completed on new diamond drill holes.
RQD in the vein package is often over 80%.  The wall rocks grade from silty argillites to stronger siltites
that are sometimes cut by low-angle fault planes. The wall rocks exhibit anisotropy via cleavage that is
oriented parallel to the orebody.  The 30/40 vein package consists of ore minerals (sphalerite and galena
with some pyrite) in a matrix of siderite, quartzite, and siltite gangue.
The mean UCS for the footwall rocks is 15,300 psi +/- 7,000 psi (106 MPa +/- 48 MPa) and 15,700 psi
+/- 5,800 psi (108 MPa +/- 40 MPa) for the vein package rocks.
The measurements indicate a primary stress direction of approximately N40W and a ratio of horizontal to
vertical stress ration of between 1.5 and 2.
13.2.1 Ground Support
Ground support standards have been designed for standard excavation types based on the purpose of the
excavation and excavation size. The standards are a minimum support requirement that can be increased
where conditions warrant as determined by miners or underground supervisors. Active faces are
inspected by supervisors every shift and mapped by a geologist after each blast. If hazards are identified
they are communicated to mine operations management and engineering so that remedial action can be
taken.
Development headings are typically driven with an arched back and supported in the walls with 4 ft long
splitsets installed on a 3 ft by 3 ft pattern to within three feet of the floor.  In the back 4 ft long splits are
installed on a 3 ft (radial) by 4 ft (longitudinal pattern), and 6 ft dywidag bolts on a 4 ft by 8 ft pattern.
Eight foot dywidags are used when the drift span exceeds 14 ft wide.  Galvanized wire mesh is installed in
all bolted areas.
In underhand production headings the walls are supported with 4 ft long splits sets installed on a 3 ft by
3 ft pattern to within 3 ft of the floor.  The back is secured by plating the protruding dywidags that were
installed in the backfill pour above and installing 3 ft split sets on a five-spot pattern between the existing
dywidags. Galvanized wire mesh is installed in all bolted areas.

--- PAGE 142 ---
Technical Report Summary -  February 21, 2022
13-10
Variations of the above support regimes exist for different development and production opening sizes
and functions.
Where required, shotcrete is applied to the rock surface to prevent rockmass unravelling or shearing along
bedding. This is specified on an as-needed basis as recommended by mine supervision or the engineering
department. Shotcrete is produced on surface using a local supplier, in 5 yd3 batches and sent
underground via slickline. The shotcrete is a wet-mix design with a nominal compressive strength of 4,500
psi.  A minimum thickness of two inches is applied to the rock surface through screen or welded wire
mesh.
Rock bolts are regularly pull tested to check both bolt and bond strength.  Bolts are loaded to 50% of the
anchorage capacity of the fixture as defined by the manufacturer.
13.2.2 Seismic Monitoring
There are two basic seismic source mechanisms operating at the Gold Hunter: pillar-type/strain bursting,
and slip along geologic structure. Pillar-type rockbursts occur when brittle rock in pillars or exposed faces
is stressed beyond its strength limits, typically near a free face. The host rock mass at the Gold Hunter is
composed of thinly-bedded argillites and more thickly-bedded siltites or quartzites. These rocks typically
fail via anisotropic plastic yielding due to non-violent shearing on bedding and cleavage surfaces.
Deformation is particularly pronounced when driving drifts parallel to bedding which allows buckling of
the thin beds into the drift. The orebody and gangue materials may contain more brittle rocks, including
quartzite, siderite and quartz.
Structural-slip events involve unstable slip-on geologic structures such as faults and bedding planes. At
the Gold Hunter, observations of movement on north-dipping fault structures at the east end of the
orebody below 5300 level appear to be associated with some of the larger events.
Both the Lucky Friday and Gold Hunter areas are monitored for seismicity using an ESG underground,
mine-wide microseismic system. The ESG system was installed in late 2011.  A schematic showing the
seismic monitoring systems including location of geophones is show in Figure 13-6.

--- PAGE 143 ---
Technical Report Summary -  February 21, 2022
13-11

Figure 13-6:
Lucky Friday ESG Seismic Monitoring System Schematic

--- PAGE 144 ---
Technical Report Summary -  February 21, 2022
13-12
The timing of seismic events with respect to blasting is of critical importance in planning a mitigation
strategy for the mine since blasting tends to trigger a large portion of the seismicity. Approximately 65%
of all recorded events (regardless of size) occur with blasting, and that the blasting-related events decay
to the background rate within approximately half an hour to one hour of the blasting window.
The key principles used by Lucky Friday to limit seismic risk can be summarized as follows:

Integration of geotechnical information into mine planning processes to ensure geotechnical
assessment informs planning and scheduled decisions.

Restriction of stope blasting to the end of shift when miners are at prescribed, safe locations, as
well as development of personnel exclusion and re-entry protocols for all production areas.

Development of ground support standards that include use of dynamic ground support methods
to limit damage potential in areas of possible seismic impact.

Use of modern monitoring technology to determine areas of increased seismic risk, and use
collected information to assist in improving our understanding of evolving seismic issues.

Education of the work force in recognition and reporting of geotechnical hazards to mine
management.

Conversion to the UCB method in the 30 Vein.

Mining sequence and not creating unfavorable geometries
13.2.3 Hydrological Investigation
Lucky Friday does not have hydrological issues and no hydrological investigation is completed.
13.3 Mine Equipment and Personnel
In 2022, the long-range plan has 296 hourly and 101 salary employees. Headcount is expected to be
remain relatively static through mine life, with hourly employees increasing to 302 by 2026. It is expected
that overall staffing numbers will decrease toward the end of the mine life.
The current mobile equipment fleet at Lucky Friday is presented in Table 13-2.  Forecast retirement dates
for each piece of equipment have been calculated and replacement costs allocated accordingly in the
budget. Some larger LHDs, and mechanized bolters, and additional longhole drills will be purchased to
support the change to UCB mining method and production and safety continuous improvements
initiatives.   Current longhole drilling is done by a contracted buggy mounted long hole drill.
Hecla plans to purchase two Cat R1600 loaders for development starting in 2022.
Table 13-2:
Lucky Friday Mobile Equipment Fleet

Equipment Type
Unit Make
Quantity
LHD, 1 & 1-1/4 yard
Joy, JCI

LHD, 2 yard
Atlas Copco ST-2G & Wagner ST-2D

LHD, 3.5 yard
CAT R1300G
5 (8 by 2023)
Haul Truck, 20 ton
Atlas Copco / Epiroc MT-2010

--- PAGE 145 ---
Technical Report Summary -  February 21, 2022
13-13
Equipment Type
Unit Make
Quantity
Cement Truck
Normet, Marcotte M35

Shotcrete Sprayer
Normet Spraymec

Development Drill
Secoma

Development Drill
Sandvik DD210V

Development Drill
Epiroc S2

Bolter
Sandvik DS310

Bolter
Epiroc Boltec S

13.4 Mine Infrastructure
13.4.1 Shafts
There are two shafts and one winze at Lucky Friday.
The Silver Shaft is a 6,205 ft deep, 18 ft diameter concrete lined circular shaft. It provides fresh air to the
mine, is used to transport personnel and material, and is used to hoist muck with an 12 ton skip.
No. 2 Shaft is 5,489 ft deep, three compartment (four compartment at the lower levels) timbered shaft
that is used as an exhaust and secondary egress. The shaft has a hoist that is capable of hoisting personnel
and materials.
No. 4 Shaft is a 18 ft diameter winze located in the Gold Hunter area with hoistroom at 4760 level and
bottom at 8620 level.  It is used to skip ore and waste to the 4900 level.  The shaft was completed in 2016.
13.4.2 Ventilation
The Silver Shaft is the primary ventilation intake. A minor intake split crosses from the Silver Shaft to the
Gold Hunter on the 4050 level, providing fresh air to the No. 4 Shaft plant above the 4900  level.  The 5900
level delivers fresh air to the lower Gold Hunter workings. Exhaust crosses back to the Lucky Friday side
on 4900 level where a pair of 400 hp exhaust booster fans direct exhaust to surface via the No. 2 Shaft
and a network of airways consisting of boreholes, Alimak raises, and the old No. 1 Shaft.  There are two
250 hp exhaust fans at No. 2 shaft on surface.
The ventilation system is currently moving 225,000 cfm of air through the mine. The ventilation network
total pressure is approximately 19 in. of water gauge.
Auxiliary fans ventilate development headings and stopes. Stopes require a minimum of 30,000 cfm of
ventilation during operation to permit equipment access. Other small auxiliary fans provide ventilation
for various underground infrastructure such as shops, pump rooms, refrigeration stations, and the like.
13.4.3 Refrigeration
Temperature underground are a concern due to a limited ventilation capacity, high thermal rock gradient,
and deep workings.  Lucky Friday strives to maintain wet bulb temperatures below 85°. A key component
of this control is the underground refrigeration system.  The cooling strategy includes bulk air cooling
(BAC) for development in the two main ramps, and supplemental spot cooling for stopes, because they
intake air from development ramp exhaust.

--- PAGE 146 ---
Technical Report Summary -  February 21, 2022
13-14
The central refrigeration plant (CRP) on 4900L currently has four closed-loop chillers that supply chilled
water to BAC locations on the 5900 level and the 6500 level.  A fifth and sixth chiller will be installed on
the 4900 level in 2022 and 2023 that will allow for one plant to be offline for maintenance. The addition
of these will also permit the construction of a new BAC location on the 7500 level necessary for mining at
greater depth.
On the 5900 level two open-loop chillers provides spot cooling to stope spray chambers. This will be moved
and expanded through the mine life as the main mining fronts advances. The mine currently has eight 50
ton spray chambers that provide spot cooling to stoping areas on various sublevels.
As the mine does not make much ground water, most pumping duties are related to the refrigeration
plant’s heat rejection processes.
A cooling system schematic is presented in Figure 13-7.

--- PAGE 147 ---
Technical Report Summary -  February 21, 2022
13-15

Figure 13-7:
Mine Cooling System Schematic
Silver Shaft
#4 Shaft
7500 Bulk Air
Cooling (Future)
6500 Bulk Air
Cooling
4900 Central
Refrigeration Plant

--- PAGE 148 ---
Technical Report Summary -  February 21, 2022
13-16
13.4.4 Other Underground Infrastructure
In addition to the infrastructure discussed above, the following key facilities are located underground:

1,000 gpm pumping facilities – three stations along Silver Shaft

13.8kV power feed down the Silver Shaft

Paste backfill slickline in the Silver Shaft, and reticulation piping on the main levels

Concrete/shotcrete borehole and mixer truck loading station on 4900 level

Mine communications – land-line telephone, mine phones, leaky feeder, and fiber-optic data,

Emergency facilities – refuge chambers in strategic locations
13.5 Mine Plan
13.5.1 Ore Scheduling Criteria
The 30 Vein accounts for 80% to 90% of annual ore production from 2022 to 2028. The proportion of total
production from 30 Vein begins to decline in 2029 until being fully depleted in 2034. Until recently, 30
Vein was split into three stopes that were mined independently. To increase production potential Lucky
Friday has transitioned to mining 30 Vein in four stopes by using UCB and an additional access ramp and
plans to continue this practice through to 2031 when the first of these stopes is exhausted at depth. The
increased number of active faces is planned to provide higher crew productivities and greater flexibility
to improve stope cycles and to respond to upset conditions in the mining cycle. A long section of the 30
Vein stoping plan is presented in Figure 13-8.
Mining of the Intermediate Gold Hunter Veins make up the balance of ore production. Through the mine
life between one and three Intermediate Vein stopes are mined each year depending on vein size and
location.

--- PAGE 149 ---
Technical Report Summary -  February 21, 2022
13-17

Figure 13-8:
30 Vein Stoping Plan
13.5.2 Mine Plan Overview
The 30 Vein is currently being mined near the 6500 level and is planned to be mined downwards, in a flat
front, at a rate of approximately 100 ft per year.  Two spiral ramps will be driven ahead of the production
front such that infrastructure such as ventilation, refrigeration, and ore and waste handling facilities can
be constructed ahead of time.
7000 Level
6500 Level
7500 Level
8000 Level

--- PAGE 150 ---
Primary service levels containing major infrastructure include 6500 level – scheduled for completion in
2022, 4050 level – scheduled in 2025, and 7500 level – scheduled in 2026.
Production totals through the LOM are presented by year in Table 13-3.
Table 13-3:
Annual LOM Production

Tons
Tons per
Day
Ag
(oz/ton)
Pb
(%)
Zn
(%)

378,744
1,038
13.3
9.1%
3.8%

422,331
1,157
14.4
9.2%
3.4%

418,173
1,146
13.8
8.5%
3.8%

397,393
1,089
13.3
8.3%
4.0%

383,085
1,050
16.2
10.4%
3.8%

378,808
1,038
17.0
11.3%
3.8%

378,770
1,038
13.6
9.0%
4.1%

402,026
1,101
11.6
7.8%
3.0%

307,780

12.6
7.5%
2.9%

347,613

14.4
7.5%
2.6%

364,645

13.5
7.2%
2.2%

411,522
1,127
13.3
7.4%
2.8%

295,909

12.7
6.0%
2.7%

200,684

13.2
5.2%
3.4%

179,682

12.4
6.1%
3.3%

120,322

11.4
8.8%
2.9%

68,681

11.6
10.7%
3.7%
Total
5,456,168

13.7
8.3%
3.3%
The planned production areas color coded by NSR value are shown to the end of the mine life, alongside
the current mine as-built, in Figure 13-9 and Figure 13-10.

Technical Report Summary -  February 21, 2022
13-18

--- PAGE 151 ---
Technical Report Summary -  February 21, 2022
13-19

Figure 13-9:
Longitudinal Section – 2D View
#4 Shaft
Mined Out Areas
4050 Level Access
A

--- PAGE 152 ---
Technical Report Summary -  February 21, 2022
13-20

Figure 13-10:
Longitudinal Section – Oblique View
Lucky Friday reports lateral development in “expensed” and “capital” categories. Expensed development
represents all slot drives connecting waste development to stopes, and capital development captures all
other development outside of ore.
The underground development totals for the LOM plan are presented in annual detail in Table 13-4.
Development requirements to meet and sustain the increasing production rate are included in the LOM
plan.
4050 Level Access
#4 Shaft

--- PAGE 153 ---
Table 13-4:
Annual Development Plan

Year
Tonnage
Expensed
Capital
Total

47,343
107,057
154,400

52,791
119,588
172,380

49,674
143,892
193,566

52,272
126,097
178,369

47,886
104,016
151,902

47,351
119,421
166,772

47,346
76,517
123,864

50,253
76,629
126,883

38,472
110,552
149,025

43,452
85,093
128,545

45,581
75,731
121,312

51,440
75,731
127,171

36,989
75,766
112,755

25,085
75,000
100,085

15,040

15,040

22,460
25,000
47,460

8,585

8,585
Total
682,021
1,396,092
2,078,113
The October 2021 YTD development rate has been 21.4 ft/day.  Development advance is expected to
increase significantly over the next four years in both vertical and level development. Level development
rates are projected to rise to over 35 ft per day by 2024 and to continue to average over 35 ft per day
through 2030.
Management plans to facilitate this increase with two new Caterpillar R1600 loaders for ramp
development in 2022, two new Caterpillar R1300 loaders in 2022, one new Caterpillar R1300 in 2023 in
conjunction with the Epiroc S2 two boom commissioned in 2021.  The haulage fleet also increased to
seven haul trucks in 2022 with the newer haul trucks being the larger Epiroc MT-2200 model vs the MT2010 model
13.5.3 Mine Plan Discussion
The mine plan is based upon the continuation of UCB mining in the 30 Vein plus conventional mining in
the Intermediate Veins.  The planned increase in annual tonnage is based upon assumed productivity
increases in the UCB mining coupled with improved utilization of the mine facilities such as hauling and
hoisting.

Technical Report Summary -  February 21, 2022
13-21

--- PAGE 154 ---
Technical Report Summary -  February 21, 2022
13-22
Management’s mine planning strategy is to increase production at Lucky Friday by implementing the
following improvements;

Continue to improve the UCB cycle through continuous improvement effort

Create 4, equally spaced stopes on the 30 Vein

Increase loader fleet to meet production profile by purchasing additional loaders.

Implement a proactive maintenance program for the mobile fleet

Service hoist installation

Coarse ore bin replacement

Confirmation that the hoisting and plant can support the increase.

Revise the organization charts and recruit the necessary hourly and salary staff to support the
plan.
SLR is of the opinion that:

The UCB method is considered to be a good option based upon the depth and seismicity issues.

More detailed plans outlining how the increased development rates and production tonnages
will be attained should be developed with particular attention to mine manpower requirements.

Attaining the planned increases in head grade, production tonnage and development advance is
generally an onerous task and this is exacerbated in a deep narrow vein operation.
13.6 Mine Workforce
Current mining manpower totals 242 and is summarized as follows:

Mine operations – 178

Mine maintenance – 38

Mine supervision and technical services – 26

--- PAGE 155 ---
14.0 PROCESSING AND RECOVER
Processing ore at the Lucky Friday uses a conventiona
guided by a real-time On-Stream Analyzer. Process st
dewatering, and tailings dewatering/disposal.
14.1 Crushing
Run of mine (ROM) ore discharges from the ore skip
ore bins with capacities of 400 tons and 800 tons. T
variable speed pan feeders and a belt scale is used to
ore is crushed in a three stage crushing plant consis
cone crusher and tertiary short head cone crusher w
Crushing circuit operating time averages approximat
to 85 tons per operating hour.
The primary crusher, a 20 in X 36 in Kue Ken jaw crus
Primary crushed ore is delivered to a 5 ft x 12 ft tripl
material is conveyed to the secondary 3 ft Simons stan
removes metal from the secondary cone crusher fee
material from both the middle and bottom deck of
short head cone crusher. A second magnet prevents m
standard and short head crusher discharges returns to
screen undersize material with a P 3/ in. is conve
100 8
crushing area is collected through dust extraction du
Figure 14-1 represents a process flow diagram for the
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 14
RY METHODS
al lead/zinc flotation flow sheet, with process control
teps include crushing, grinding, flotation, concentrate
ps in Lucky Friday Silver shaft into one of two coarse
The ore is drawn from the bottom of the bins using
o control the feed rate to the crushing circuit. Coarse
sting of a primary jaw crusher, a secondary standard
with a triple deck screen to close the crushing circuit.
tely 50% with an average throughput rate of 80 tons
sher, reduces ROM ore from minus 12 in. to P 3 in.

le deck vibrating screen for sizing. Top deck oversize
ndard cone crusher and reduced to P 1 in. A magnet

ed to prevent damage to the crusher. The oversized
the triple deck screen is conveyed to a 3 ft Simons
metal from entering the short head crusher. Both the
to the triple deck screen to be reclassified. Triple deck
eyed to a 400 ton fine ore storage bin. Dust from the
ucts feeding a bag house dust collector.
e crushing process.
.00022
4-1

--- PAGE 156 ---
Technical Report Summary - February 21, 2022
14-2

Source: Hecla, 2014
Figure 14-1:
Crushing Process Flow Diagram

--- PAGE 157 ---
14.2 Grinding
Material from the fine ore bin is discharged by two
sample is collected from a conveyor transfer point usi
The material feed rate to the ball mill is measured by
and water feed the ball mill. Overall mill operating tim
annual mill feed rate ranged from 40.0 stph to 43.6 st
to 44 stph range from 2016 through 2021 (see subse
The ore is ground in one 9.5 ft diameter x 12 ft effect
motor. Water, collector, and frother are added to th
feed pump box and then pumped to an SK-240 lead f
to the flash cell tailing and the pulp is pumped to a c
screened to remove trash and then pumped to the le
ball mill. The cyclone overflow is typically 40% solids
The flash flotation cell is used to recover coarse frac
to minimize over grinding of the dense materials. Th
final concentrate grade product, assaying approxi
Typically, approximately 50% of the lead and silver va
route. Another benefit of the flash flotation unit cel
lead circuit. When high grade ore is processed throu
Figure 14-2 represents a simplified process flow diag
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 14
o hydraulic feeders. A 12 hour shift composite feed
ing primary and secondary automatic sample cutters.
y a belt scale. Fine ore, reagents, cyclone underflow,
me averages 92% and from 2007 to 2013 the average
tph. Operating performance continued in the 37 stph
ection 14.8).
tive grinding length (EGL) ball mill driven by a 600 hp
he ball mill discharge slurry in the flash flotation cell
flash flotation unit cell. Flotation reagents are added
cyclone cluster for classification. Cyclone overflow is
ead rougher circuit. Cyclone underflow returns to the
with a particle size of 80% passing 150 microns.
ctions of lead and silver from the mill circulating load
he flash cell has proven to be capable of producing a
imately 63% Pb and greater than 100 oz/ton Ag.
alues are recovered to final concentrate through this
ll is in reducing the amount of lead reporting to the
ugh the mill, this increased capacity is fully utilized.
gram of the grinding process.
.00022
4-3

--- PAGE 158 ---
Technical Report Summary - February 21, 2022
14-4

Source: Hecla, 2014
Figure 14-2:
Grinding Process Flow Diagram

--- PAGE 159 ---
Technical Report Summary -  February 21, 2022
14-5
14.3 Flotation
Lead rougher flotation consists of one bank of five WEMCO 66D conventional flotation cells. Concentrate
from the roughers, containing about 38% Pb, reports to the first cleaner column flotation cell while the
tailings flows by gravity into a bank of 5 Denver DR-24 conventional flotation cells for lead scavenging.
Reagents for collecting, frothing, and conditioning are added to the slurry as needed.  Lead scavenger
concentrate is pumped back to the rougher feed and the lead scavenger tailings are fed to the zinc
flotation circuit.
Lead rougher concentrate slurry reporting to the lead first cleaner column flotation cell is upgraded from
approximately 38% Pb to approximately 50% Pb and then pumped to the second Pb cleaner column.
Tailings from the first and second Pb cleaner column cells are combined and pumped to a set of four
Denver 21 conventional cleaner scavenger flotation cells. Cleaner scavenger concentrate is pumped to a
cleaner scavenger column cell while the tailings are pumped to the lead rougher feed.  Concentrate from
the cleaner scavenger column cell is pumped to the silver concentrate thickener and the tailings are
pumped to the lead rougher feed. Final silver concentrate is a combination of lead flash flotation cell,
second cleaner column and cleaner scavenger column concentrates and averages 63% Pb and 100 oz/ton
Ag. The silver concentrate passes through a primary and secondary sampler before reporting to the silver
concentrate thickener.  The lead circuit flow diagram is shown in Figure 14-3.

--- PAGE 160 ---
Technical Report Summary - February 21, 2022
14-6

Source: Hecla, 2014
Figure 14-3:
Lead Flotation Process Flow Diagram

--- PAGE 161 ---
Technical Report Summary -  February 21, 2022
14-7
Lead circuit tailings are mixed with reagents to activate the zinc in the two conditioning stages and flow
by gravity to the zinc rougher flotation circuit. Flow rate through the two conditioner tanks is designed for
adequate retention time for the reagents to fully condition the slurry for zinc flotation. The second
conditioning tank overflows into the zinc flash flotation cell.  The concentrate from the flash flotation cell
is pumped directly to the zinc concentrate thickener and the tailings from the zinc flash flotation cell are
pumped to zinc rougher flotation.  Zinc rougher and rougher scavenger flotation consists of a bank of five
conventional WEMCO 66D cells for roughing followed by a bank of five conventional Denver DR-24 cells
for scavenging.  Zinc rougher scavenger tailings report to final tailings.
Zinc rougher concentrate is pumped to the first zinc cleaner column cell.  First cleaner column concentrate
is pumped to the second cleaner column. Second cleaner column concentrate is pumped to the zinc
concentrate thickener.  First and second clean column tailings are combined and pumped to a bank of
four Denver 21 conventional cleaner scavenger flotation cells. The cleaner scavenger concentrate is
pumped to a zinc cleaner scavenger column cell and the cleaner scavenger tailings are pumped to the lead
rougher tailings sump prior to the zinc conditioners.  The zinc cleaner scavenger column concentrate is
pumped the zinc concentrate thickener and zinc cleaner scavenger column tailings are pumped to the
feed of the zinc rougher cells. Final zinc concentrate is a combination of the zinc flash flotation, second
cleaner column and cleaner scavenger column concentrates.
Figure 14-4 represents the Zn circuit flow diagram.

--- PAGE 162 ---
Technical Report Summary - February 21, 2022
14-8

Source: Hecla, 2014
Figure 14-4:
Zinc Flotation Process Flow Diagram

--- PAGE 163 ---
Technical Report Summary -  February 21, 2022
14-9
14.4 Concentrate Dewatering
After lead and zinc concentrates have passed through their respective samplers they enter the center well
of the final concentrate thickeners. The lead and zinc concentrate handling systems are mirrored like the
flotation circuits.  Both thickeners are 12 ft diameter high-rate solid-liquid separators producing a bed of
solids in the cone of the thickener. Concentrate thickener underflow at approximately 60% solids is
pumped to the concentrate filters.  Overflow water from the thickener re-enters the flotation circuit as
spray water in the froth launders.  Separate lead and zinc spray water systems are installed.
The paste discharging from the thickener is pumped by air powered diaphragm pumps to vacuum drum
filter for each product.  Silver concentrate is filtered by a drum filter equipped with a vacuum pump for
dewatering to less that 8% moisture.  Zinc concentrate is dewatered to approximately 6% moisture using
the same method as the silver concentrate filter.  The dry filter cake concentrate falls off of the filter drum
into a bunker directly below it.  Lead/silver concentrate and zinc concentrate are shipped in highway
trucks to a smelter daily for further processing and refining.
Figure 14-5 shows the concentrate dewatering flow diagram.
During the seventy years of operation at Lucky Friday, regulations concerning worker exposure to dust
and other air borne contaminates have evolved from none to the relatively stringent rules in place today.
Hecla has responded to meet these regulations and is committed to providing a safe work environment.
In the future, more stringent regulations may be imposed. It is not known if these potential changes will
have a material effect on the concentrator operation or concentrate transportation.

--- PAGE 164 ---
Technical Report Summary - February 21, 2022
14-10

Source: Hecla, 2014
Figure 14-5:
Concentrate Dewatering Process Flow Diagram

--- PAGE 165 ---
Technical Report Summary -  February 21, 2022
14-11
14.5 Tailings Dewatering and Disposal
All material entering the mill not reporting to concentrates is processed as final tails. The final tails stream
is sampled as a 12 hour composite for assay. Final tailings produced by the concentrator flotation
processes are handled in two separate ways, backfill and whole tails. First, the tails are classified by a
cluster of cyclones with the coarse fraction (sand) dewatered, filtered, and the resultant sand is mixed
with cement to backfill stopes in the underground mine.
Figure 14-6 shows the sand plant flow diagram.
Whole tails report to the final tails thickener. Overflow of the thickener is reused as process water or sent
to a water treatment plant for discharge while the higher solids underflow is pumped out to a tailings dam
where the solids settle out of the tailings slurry and clear water is discharged via a water treatment plant
into the Coeur d’Alene River. The final tails flowsheet is shown in Figure 14-7.

--- PAGE 166 ---
Technical Report Summary - February 21, 2022
14-12

Source: Hecla, 2014
Figure 14-6:
Tailings Sand Plant Process Flow Diagram

--- PAGE 167 ---
Technical Report Summary - February 21, 2022
14-13

Source: Hecla, 2014
Figure 14-7:
Tailings Water Treatment Process Flow Diagram

--- PAGE 168 ---
14.6 Water Systems
Make up water used in the process can be from the mine, reclaim water from the MTIS, or tailing thickener
overflow depending on availability and system requirements. Lead and zinc concentrate thickener
overflow are used as launder spray water for the respective system.
14.7 Water Treatment Plants
Excess water from the process or the MTIS is treated in one of two water treatment plants. Plant 002,
located near the mill complex has a capacity of 375 gallons-per- minute (gpm). Plant 003, located near the
No. 3 MTIS has a capacity of 750 gpm. The process to treat the water is the same at both plants. Water is
treated with sodium sulfide solution and flocculent to facilitate removal heavy metals and suspended
solids. The water is then processed through a lamella clarifier and the clarifier overflow is pumped through
multi-media filters to remove the solids. The effluent is sampled for regulatory purposes and discharged
as described in Section 17.0.
14.8 Mill Production
A summary of mill production and performance from 2016 through 2021 are presented in Table 14-1.  The
concentrator performed very consistently with steady lead, zinc and silver head grades, lead and zinc
concentrate grades and recoveries through the period.  The mill operated in the 38 stph (839 stpd) to 44
stph (971 stpd) range with a reported mill availability of 92%. Low production from 2017 through 2019
was due to labor issues.
Table 14-1:
Hecla Lucky Friday Mill Production from 2016 through 2021

Hecla Lucky Friday Mill Production

Ore milled, tons
293,875
70,718
17,309
57,091
179,208
321,837
Ag Contained, oz
3,730,620
875,614
186,609
675,280
2,124,369
3,744,719
Ag Feed Grade, oz/ton
12.7
12.4
10.8
11.8
11.9
11.6
Ag Produced, oz
3,596,010
838,658
169,041
632,944
2,031,874
3,564,128
Ag Recovery, %
96.4
95.8
90.6
93.7
95.6
95.2
Ag Payable, oz
3,365,540
781,506
162,546
565,923
1,892,954
3,325,313
Ag Rec, % (Payable)
90.2
89.3
87.1
83.8
89.1
88.8
*Ag Rec to Pb Conc, oz/ton
11.7
11.3
9.8
10.8
10.8
10.7
Ag Rec to Pb Conc, %
91.8
91.7
90.8
91.4
91.4
92.1
Ag Grade in Pb Conc, oz/ton
90.6
93.3
85.7
90.7
89.3
91.6
Pb Feed, tons
22,855
5,022
1,244
4,486
13,423
24,454
Pb Produced, tons
21,876
4,737
1,131
4,098
12,727
23,137
Pb Payable, tons
20,451
4,397
1,063
3,739
11,840
21,500

Technical Report Summary -  February 21, 2022
14-14

--- PAGE 169 ---
Hecla Lucky Friday Mill Production

Pb Concentrate, tons
36,420
8,238
1,790
6,378
20,806
,37,768
Pb Feed Grade, %
7.8
7.1
7.2
7.9
7.5
7.6
Pb Conc Grade, %
60.1
57.5
63.2
64.3
61.2
61.7
*Pb Rec to Pb Conc, %
7.2
6.5
6.6
7.3
6.9
7.0
Pb Rec to Conc, %
95.7
94.3
90.9
91.4
94.8
94.6
Pb Rec to Pb Conc, %
92.4
91.8
91.9
92.5
92.2
92.6
Pb Rec Payable, %
89.5
87.6
85.4
83.4
88.2
87.9
Zn Feed, tons
11,510
2,834

2,428
6,949
11,080
Zn Produced, tons
10,787
2,560

2,052
6,298
9,669
Zn Payable, tons
7,945
1,874

1,510
4,555
7,124
Zn Concentrate, tons
17,530
4,121
1,016
3,467
10,960
16,638
Zn Conc Grade, %
61.5
62.1
66.2
59.2
57.5
51.3
Zn Feed Grade, %
3.9
4.0
4.2
4.3
3.9
3.4
Zn Rec to Conc, %
93.7
90.4
92.7
84.5
90.6
89.9
*Zn Grade to Zn Conc, %
3.1
3.1
3.3
3.4
3.0
2.6
Zn Rec to Zn Conc, %
78.3
78.5
78.9
79.0
78.2
76.3
Zn Rec, Payable, %
69.0
66.1
62.9
62.2
65.5
64.3
*Values are based on established Lucky Friday metal distribution equations.
14.9 Process Workforce
Current processing manpower totals 78 and is summarized as follows:

Plant operations – 39

Mill maintenance/electrical – 21

Mill supervision and technical services – 18

Technical Report Summary -  February 21, 2022
14-15

--- PAGE 170 ---
Technical Report Summary -  February 21, 2022
15-1
15.0 INFRASTRUCTURE
15.1 Access Roads
The Lucky Friday Mine is located immediately north of and adjacent to Interstate Highway 90, one mile
east of Mullan, Idaho.
15.2 Power
Power is supplied to an on-site substation by Avista Utilities at 115 kVA.  Peak electrical demand is
approximately 11 MVA, with on average of 80% used underground, and the remaining 20% on surface.
Underground power is supplied at 13.8 kVA cable in the Silver Shaft.
15.3 Water
The Lucky Friday operation uses approximately 450 gpm of water which is fully supplied by a year-round
spring located above the mine site.
15.4 Accommodation Camp
There is no accommodation facility at the Lucky Friday mine.  Workers are sourced from local
communities.
15.5 Site Infrastructure
Mine surface and underground infrastructure is currently in serviceable condition and is in use. Repairs
and improvements to facilities are included in the mine sustaining capital plan.
Surface infrastructure is shown in Figure 15-1.
15.5.1 Surface Infrastructure
Key Lucky Friday surface plant infrastructure includes the following installations:

1,000 tpd Ag/Pb/Zn flotation concentrator,

Mine operations buildings and shops,

Paste backfill mixing and pumping plant,

Silver Shaft headframe and hoisting complex (primary mine access/intake ventilation),

No. 2 Shaft hoisting facility (secondary escape/exhaust ventilation),

Surface maintenance shop,

Tailings transport and storage facilities,

Two discharge water treatment plants,

Electrical power substations and distribution lines,

Compressed air supply system with a maximum capacity of 13,350 cfm

And extensive surface laydown/parking/storage areas.

--- PAGE 171 ---
Technical Report Summary -  February 21, 2022
15-2
Tailings are stored in the Pond 4 Lift.  Construction of this lift was completed in 2013 and the lift is
projected to be full in October 2023.  Hecla is working on Lift 3 permitting with planned construction in
2022.  Pond 4 Lift 3 is estimated to be full in September 2026. Engineering and design of Pond 5 Lift 1 is
planned for 2023 with construction in 2024-2025.

--- PAGE 172 ---
Technical Report Summary - February 21, 2022
15-0

Figure 15-1:
Infrastructure Layout

--- PAGE 173 ---
Technical Report Summary -  February 21, 2022
16-1
16.0 MARKET STUDIES
The Lucky Friday Mine produces silver contained in silver and zinc flotation concentrates.  Lucky Friday is
an active producer and has been for over 75 years.
16.1 Markets
16.1.1 Overview
Global mined zinc output is approximately 13 million metric tons metal per year, contained in
approximately 25 million metric tons of zinc concentrate.  Global zinc smelting capacity is approximately
14 million metric tons zinc metal per year and includes 1 million to 1.5 million metric tons of capacity to
refine zinc secondary by-products into metal.
Global mined lead output is only approximately 4.6 million metric tons metal per year, contained in
approximately 8 million metric tons of concentrates.  Global lead smelting capacity is significantly higher
at 6.7 million metric tons lead metal and also includes the capability to produce approximately 1 million
metric tons lead metal from scrap and residues.
Hecla produces approximately 53,000 metric tons zinc and 44,000 metric tons lead metal in concentrates
annually at its two mines in Alaska and Idaho.  Hecla’s total output comprises less than 1% of both global
zinc mine capacity and global lead mine capacity.  Because Hecla’s concentrate products also contain
significant amounts of payable gold and silver, they are sought after by smelters who capture additional
value from recovering precious metals through processing and refining zinc and silver concentrates.  The
current market for Hecla concentrate products is both very liquid and very strong, globally.  Hecla’s
primary customer base operates in Korea, Japan, Canada and China.  Its concentrate products have also
been exported to and processed in Mexico, Belgium, Italy, England, Germany and the Netherlands.
Global silver supply is approximately 1 billion ounces with mine production accounting for around 80% of
silver supply. The majority of silver produced is as a by-product of lead, zinc, copper and gold mines.
According to the Silver Institute, lead-zinc mines are the biggest contributors to global silver supply,
accounting for about 32% of silver mine production in 2020. Mexico, China and Peru produce 50% of
world’s silver, while the United States accounts for only 4% of world silver production.
Silver demand is primarily composed of Industrial demand, which accounts for 50% of total silver demand
of 1 billion ounces. Investment demand (physical and exchange traded products) and jewelry and
silverware account for 25% share each respectively. Silver has the highest electrical conductivity of all
metals and this property positions silver as a unique metal for multitude of uses in electronic circuitry in
automotive and electronics. Silver’s use in photovoltaic cells has also seen a rapid expansion in the past 5
years and is expected to be one of the key growth areas in green energy.
Gold supply is approximately 165 Moz, with mine production contributing 75% of gold supply and
recycling accounting for the remaining 25%. In terms of gold demand, jewelry fabrication accounts for
approximately 55% of total demand while Investment in physical bars, coins and Exchange Traded Funds
is at 25% of overall demand. Gold’s use in technology applications was around 11 Moz, or 8% of total
demand in 2021, according to the World Gold Council.  Accommodative fiscal and monetary policies
globally due to COVID-19 lent support to investment demand for gold in 2020 as gold prices reached
record levels in 2020.

--- PAGE 174 ---
Technical Report Summary -  February 21, 2022
16-2
16.1.2 Commodity Price Projections
Metal prices used in the estimation of Mineral Resources and Mineral Reserves are determined by Hecla’s
corporate office in Coeur d’Alene, Idaho, USA.  Lucky Friday Mineral Reserves are estimated using a silver
price of $17.00/oz, lead price of $0.90/lb and a zinc price of $1.15/lb. Mineral Resources are estimated
using a silver price of $31.00/oz, lead price of $1.15/lb and a zinc price of $1.35/lb.  The difference in prices
is the result of a longer historical period used as the basis for the Mineral Resource estimation.
Table 16-1 shows the realized metal prices Hecla has received for sales of its products.
Table 16-1:
Hecla Historical Average Realized Metal Prices

Metal Prices

3 Year Avg.
Silver ($/oz)
16.65
21.15
25.24
21.01
Lead ($/lb)
0.91
0.84
1.03
0.93
Zinc ($/lb)
1.14
1.03
1.44
1.20
Gold ($/oz)
1.413
1,757
1,796
1,655
The economic analysis performed in the LOM plan assumes an average silver price of $21.00/oz, lead price
of $0.95/lb and a zinc price of $1.25/lb based upon analysis of consensus metal price forecasts by financial
institutions.  Based on macroeconomic trends, the SLR QP is of the opinion that Hecla’s realized metal
pricing will remain at least at the current three -year trailing average or above for the next five years.
16.2 Contracts
16.2.1 Concentrate Sales
Concentrates produced at the Lucky Friday mill are transported 209 mi to the Teck lead-zinc smelter in
Trail, British Columbia, Canada in highway trucks operated by a contract shipper. The shipping contract
commenced in 2017 and was amended in July 2021 to increase rates and to incorporate a bonus for drivers
based upon safe performance and absence of traffic violations. Shipping rates are considered to be
competitive and within industry norms.
Hecla has a frame contract with Teck that is dated January 1, 2021. The sales contract is commingled with
the smelting/refining agreement, as Hecla sells 100% of Lucky Friday production to the smelter. No
concentrate brokers are used, though representatives and umpires provide settlement assistance services
from time to time. Treatment costs and refining costs vary depending on the concentrate type.
16.2.2 Forward Sales
Hecla uses financially-settled forward contracts to manage the exposure to:

changes in prices of silver, gold, zinc and lead contained in our concentrate shipments between
the time of shipment and final settlement; and

changes in prices of zinc and lead (but not silver and gold) contained in our forecasted future
concentrate shipments.

--- PAGE 175 ---
These forward contracts are not designated as hedges for accounting purposes.  At the time of this TRS,
the forward contracts in place cover the period to the end of the first quarter of 2024 for lead and to the
end of 2024 for zinc.  The contracts are summarized in Table 16-2.
Table 16-2:
Lead and Zinc Forward Sales Summary

Unit
Total / LOM

Lead
Hedged
tons
44,427
19,650
23,150
1,626
% of LOM payable Pb

11%
64%
67%
5%
Hedge price
US$/lb
0.99
0.98
1.00
0.97
Zinc
Hedged
tons
14,334
4,785
5,715
3,833
% of LOM payable Zn

11%
58%
70%
42%
Hedge price
US$/lb
1.30
1.30
1.30
1.31
16.2.3 Other Contracts
Hecla crews perform all mining and milling duties with the exception of specialty construction. For these
project-oriented efforts, contractors with particular expertise relating to the work being done are retained
to do the work. In some cases, these are design-build contracts, in others, purely construction. Hecla also
contracts with various consultancies and engineering firms for studies and design work as needed to
augment the skills of the in-house staff.

Technical Report Summary -  February 21, 2022
16-3

--- PAGE 176 ---
Technical Report Summary -  February 21, 2022
17-1
17.0 ENVIRONMENTAL STUDIES, PERMITTING, AND PLANS,
NEGOTIATIONS, OR AGREEMENTS WITH LOCAL
INDIVIDUALS OR GROUPS
Lucky Friday has a well-established and effective environmental and permitting management program.
Staff is knowledgeable and experienced in site and regulatory requirements.  Budgets are reasonable and
there were no critical path permitting items referenced that would limit production.  A
reclamation/closure plan and estimates to perform this activity are in place.  The budgets and staffing to
perform required programs are adequate and indicative of activities and responsibilities.
17.1 Environmental Studies and Monitoring
Unlike many other mines and jurisdictions in the US, activities and facilities at the Lucky Friday operations
predate the requirement for establishment of environmental baseline(s).  Regardless, there are still
monitoring programs in place to assess compliance with permits and standards.
Lucky Friday reports experiencing a number of alleged permit exceedances for water discharges (NPDES
and MSGP) at the mine.  Lucky Friday received an EPA Notice of Violation for non-compliance with the
NPDES Permit and various unpermitted discharges exceeding the maximum daily standard for lead (50
μg/L). In all instances, Lucky Friday has worked cooperatively with EPA to resolve these issue(s).
Lucky Friday falls under Hecla’s Environmental Management System (EMS) which follows a 13-element
plan-do-check-act approach that ensures continuous improvement around issues including obligation
registers, management of change, air quality, water and waste management, energy management,
training, and reporting. This system promotes a culture of environmental awareness and innovation
throughout the company. The EMS program is benchmarked against ISO-14001 and complements
Canada’s Towards Sustainable Mining (TSM) program.
Internal and external audits are performed to assess compliance with corporate, permit, regulatory and
industry requirements.  Findings are documented and tracked.
17.2 Permitting
Permitting Operations at the Lucky Friday fall within the purview of numerous entities (regulatory and
non-regulatory), including state and federal environmental agencies that require oversight, registration,
and/or notification prior to initiating or significantly modifying facilities and operations at the mine. All
necessary registrations, authorizations and permits required for operations to date, and for continued
operation of this facility, are in place. Although some permits have expired or are set to expire, renewal
applications are filed with the appropriate agency in each case or other measures were taken, as
necessary, to administratively extend the prior conditions until such time as a renewed permit or
additional authorization to utilize is issued.
Listed below in Table 17-1 are the permits that Lucky Friday has in place.

--- PAGE 177 ---
Table 17-1: Perm
Hecla Mining Compan
Type of
Reference # Agency
Approval/Permit
Certificate of
IDR053139 USEPA
Authorization
*Authorization to
ID-000017-5 USEPA
Discharge
DOT HazMat
052912002005U USDOT
Registration
General Registration ID000390 IDWR/USAC
General Registration ID000728 IDWR/USAC
Certificate of
94-xx20 IDWR
Approval
Certificate of
94-xx25 IDWR
Approval
PWS ID No. 1400028 IDEQ
Operating Permit 731-10-000113 Idaho Fish & G
Waste Generator’s
IDD009424862 USEPA
Status
Lucky Friday is evaluating alternatives and designs
for copper. Currently, Lucky Friday is piloting two
the final Biotic Ligand Model (BLM) based copper e
NPDES Permit. The BLM based limits are significant
the expired permit. The Permit explains the differenc
when the BLM was introduced to the State’s water q
Lucky Friday is evaluating two types of treatment: 1) i
indicate that copper is primarily in the colloidal phas
PTB-50. It is understood that both treatment options
and efficiency.
In addition to the above efforts to test advanced w
working on collecting site specific data to re-run the B
revise the final permit limits which are effective after
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 17
mits and Authorizations
ny – Lucky Friday Mine
Purpose Date of Approval
Authorization to utilize
9/29/2008
Nationwide MSGP
NPDES Wastewater Discharge
9/14/2003
for Outfalls 001, 002, 003
Registration for Category E
5/30/2012
Material Shipper
ID used to identify MTIS #3 in
COE N/A
National Dam Inventory
ID used to identify MTIS #4 in
COE N/A
National Dam Inventory
IDWR Issued Cert. of Approval
to impound water and tails in 8/27/2020
MTIS #3
IDWR Issued Cert. of Approval
to impound water and tails in 8/27/2020
MTIS #4
IDEQ designation of PWS
2/6/1995
System operation
Permit to Operate Private Fish
Game 6/21/2010
Pond
Majority of time Lucky Friday
is a CESQG. However,
N/A
periodic projects may trigger
status as a SQG
s for meeting a proposed new discharge standard
types of advanced treatment technologies to reach
effluent limits in the most recent updated individual
tly lower than the previous hardness-based limits in
ce of BLM and hardness-based effluents and how and
quality standards.
ion exchange and 2) ultra-filtration. Sampling to date
se especially after treatment with the organo-sulfide
s are viable, and Luck Friday is testing both for efficacy
water treatment technologies, Lucky Friday has been
BLM and Dissolved Metal Translator in an attempt to
r a five-year compliance window.
.00022
7-2
[TABLE]
 | piloting two types of advanced treatment technologies to reach
the final Biotic Ligand Model (BLM) based copper effluent limits in the most recent updated individual |
NPDES Permit. The BLM based limits are significantly lower than the previous hardness-based limits in |
the expired permit. The Permit explains the difference of BLM and hardness-based effluents and how and |
when the BLM was introduced to the State’s water quality standards. |

[TABLE]
Lucky Friday is evaluating two types of treatment: 1) ion exchange and 2) ultra-filtration. Sampling to date
indicate that copper is primarily in the colloidal phase especially after treatment with the organo-sulfide
PTB-50. It is understood that both treatment options are viable, and Luck Friday is testing both for efficacy
and efficiency.

[TABLE]
In addition to the above efforts to test advanced water treatment technologies, Lucky Friday has been
working on collecting site specific data to re-run the BLM and Dissolved Metal Translator in an attempt to
revise the final permit limits which are effective after a five-year compliance window.

--- PAGE 178 ---
17.2.1 Site Monitoring
Lucky Friday operates through permission granted by multiple permits, which are summarized in Table
17-1. The permits contain requirements for site monitoring including air, water, waste, and land aspects
of the Property. The permit-required data are maintained by the facility, and exceptions to the monitoring
obligations are reportable to the permitting authority. Monitoring is conducted in compliance with permit
requirements, and management plans are developed as needed to outline protocols and mitigation
strategies for specific components or activities.
17.2.2 Water
The mine has operated under an EPA issued NPDES Permit regulating the point source discharges from
three existing process water outfalls (Outfall 001, Outfall 002, and Outfall 003) since 1973.
The Property maintains a single authorization to utilize the MSGP issued by the EPA. This currently active
authorization is applicable to discharges of stormwater runoff from all areas of the mine including
development rock stockpiles, support facilities, access roads, and nearby borrow pit developed to
supplement materials used to construct impoundment structure embankments.
17.2.3 Hazardous Materials, Hazardous Waste, and Solid Waste Management
Lucky Friday manages its hazardous materials, hazardous wastes and solid wastes in accordance and
compliance with issued permits and applicable regulatory requirements.
17.2.4 Tailings Disposal, Mine Overburden, and Waste Rock Stockpiles
All mine waste rock is eventually used for construction of tailings impoundments. The volume
requirement for the impoundment structures far exceeds the volume of waste rock that the mine
produces and additional material is added from on-site borrow pits and off-site quarries, as needed. Pond
construction is an annual activity occurring during the late spring/summer/fall construction season. Plans
going forward have construction activity in progress through the end of the mine life. All waste produced
by the mine is expected to be consumed in this fashion. MTIS No. 4 is equipped with a gravel blanket and
toe drain system located in the foundation of the dam. This feature is designed to intercept meteoric
waters which infiltrate into the embankment and transport it to the water treatment plants.
Before being used in impoundment construction, mine waste rock is temporarily stored in two areas: the
mine waste dump located near the Silver Shaft and the Silver Mountain storage area that is situated
between the mine and the tailings impoundment area. Waste is dumped on surface until the waste dump
is full, and then trucked either to the impoundment construction area or temporarily stockpiled. Excess
waste is temporarily stored at the Silver Mountain storage area until it can be incorporated into the
impoundment structure. This process addresses fluctuations in impoundment construction material
demand.
17.3 Reclamation and Closure
The strategy of the Lucky Friday Reclamation and Closure Plan is to return disturbed areas to either a nearnatural condition, or condition amenable to future industrial use depending on location and potential
future beneficial use options. Individual areas have been assessed for future value added to the City of
Mullan and surrounding area. Key buildings and land will be retained for long-term water treatment.
Provisions for operational support during the post-closure period are included in the cost estimate.
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.00022
Technical Report Summary - February 21, 2022 17-3
[TABLE]
 | . The permits contain requirements for site monitoring including air, water, waste, and land aspects
of the Property. The permit-required data are maintained by the facility, and exceptions to the monitoring |
obligations are reportable to the permitting authority. Monitoring is conducted in compliance with permit |
requirements, and management plans are developed as needed to outline protocols and mitigation |
strategies for specific components or activities. |

[TABLE]
The mine has operated under an EPA issued NPDES Permit regulating the point source discharges from
three existing process water outfalls (Outfall 001, Outfall 002, and Outfall 003) since 1973.

[TABLE]
The Property maintains a single authorization to utilize the MSGP issued by the EPA. This currently active
authorization is applicable to discharges of stormwater runoff from all areas of the mine including
development rock stockpiles, support facilities, access roads, and nearby borrow pit developed to
supplement materials used to construct impoundment structure embankments.

[TABLE]
Lucky Friday manages its hazardous materials, hazardous wastes and solid wastes in accordance and
compliance with issued permits and applicable regulatory requirements.

[TABLE]
All mine waste rock is eventually used for construction of tailings impoundments. The volume
requirement for the impoundment structures far exceeds the volume of waste rock that the mine
produces and additional material is added from on-site borrow pits and off-site quarries, as needed. Pond
construction is an annual activity occurring during the late spring/summer/fall construction season. Plans
going forward have construction activity in progress through the end of the mine life. All waste produced
by the mine is expected to be consumed in this fashion. MTIS No. 4 is equipped with a gravel blanket and
toe drain system located in the foundation of the dam. This feature is designed to intercept meteoric
waters which infiltrate into the embankment and transport it to the water treatment plants.

[TABLE]
Before being used in impoundment construction, mine waste rock is temporarily stored in two areas: the
mine waste dump located near the Silver Shaft and the Silver Mountain storage area that is situated
between the mine and the tailings impoundment area. Waste is dumped on surface until the waste dump
is full, and then trucked either to the impoundment construction area or temporarily stockpiled. Excess
waste is temporarily stored at the Silver Mountain storage area until it can be incorporated into the
impoundment structure. This process addresses fluctuations in impoundment construction material
demand.

--- PAGE 179 ---
Technical Report Summary -  February 21, 2022
17-4
17.3.1 Reclamation and Permit Requirements
The State of Idaho currently requires reclamation of Mine Tailings Impoundment Structures (MTIS). Those
structures are regulated by State-Specific regulations and by Idaho Department of Water Resources
(IDWR). IDWR require MTISs to be “abandoned” (i.e., limited reclamation) in a stable and maintenance
free condition as defined by Idaho Administrative Procedures Act (IDAPA) 37.03.05 (Rule 45), for which
these structures are bonded (IDAPA 37.03.05, Rule 40). The abandonment and reclamation of MTIS 1 and
2 (per IDWR requirements) was completed in 2013 and 2012, respectively.
Lucky Friday is situated completely on privately owned ground. In 2019, the Idaho Department of Lands
(IDL) adopted the temporary rule (IDAPA 20.03.02) which was intended to prevent new or expanded
underground mines from becoming public hazards if they are abandoned. A recently approved (July 1st,
2021) Idaho rulemaking (IDAPA 20.03.02) requires underground mines which existed prior to July 1, 2019,
to develop a reclamation plan if the mine expands its surface disturbance by 50% or more after that date.
The final rule requires State approval of a reclamation application that will include total reclamation cost
financial assurances, planned reclamation of disturbed sites, and a water management plan for
underground mines that expand their surface disturbance by 50% or more.
SLR notes that the final rule does not apply to underground mines that existed prior to July 1, 2019, and
have not expanded their surface disturbance by 50% or more after that date.  Currently, Lucky Friday has
no plans to expand the site that will reach the relevant threshold.
17.3.2 Reclamation and Closure Cost
The Lucky Friday operation has developed a Closure, Reclamation, Post-Closure, and Cost Estimate Plan
(Plan).  This Plan is intended to satisfy three distinct objectives:
1. Return surface disturbed areas to a stable and productive condition following mining;
2. Provide for public safety; and,
3. Protect long-term land, water and air resources in the area.
The most recent version of the Plan was updated in 2020 and utilized the 2021 LOM plan to estimate the
schedule for post closure activities. The updated 2021 LOM plan has forecasted production to 2035. Major
closure and reclamation activities are assumed to begin the year following the cessation of production
(2037) and last for approximately three years. Post-Closure activities primarily consist of long-term water
treatment and monitoring immediately following closure and extending for a period of 30 years.
The most recent cost estimate (2021) to meet these objectives of the current plan is $39,869,900.
Reclamation and closure plans have been submitted to the appropriate agencies.  Asset Retirement
Obligation (ARO) legal obligations are updated regularly and based upon existing site conditions, current
laws, regulations and costs to perform the permitted activities. The ARO is to be conducted in accordance
with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 410.
Finally, it is noted that Lucky Friday has developed a Reclamation/Closure plan that addresses facilities
and activities even when there is no specific regulatory requirement to do so.
17.4 Social Governance
The Lucky Friday operation has been investing in the region for many decades, including direct
employment and contributions to state and local taxes. SLR is not aware of any formal commitments to

--- PAGE 180 ---
Technical Report Summary -  February 21, 2022
17-5
local procurement and hiring but Lucky Friday has indicated they have long-standing relationships with
local vendors, and where possible also purchase through local and regional services and supplies.
Lucky Friday looks for opportunities to work collaboratively with stakeholders to support activities that
are of benefit to the communities in which the company operates.
SLR was not able to independently verify adequacy of management of social issues and though no specific
adversarial issues were raised, it was relayed by staff that Lucky Friday, in most cases, has a positive
relationship with stakeholders.  In the event of a complaint, Lucky Friday works directly with affected
community member(s) to develop a mutually acceptable resolution.
Public affairs representatives from Lucky Friday formally engage with the community on an ongoing basis
and serve as the face of the company. They sit on boards of community and business organizations at
regional and local levels, participate in discussions with government officials, and act as a point of contact
within the community. In doing so, they keep stakeholders apprised of critical issues to the operations,
understand important topics in the community, and seek to listen to any questions or concerns. Lucky
Friday indicated that this strategy allows them to maintain an ongoing relationship with stakeholders and
collaborate with communities to find solutions should any issues arise.

--- PAGE 181 ---
18.0 CAPITAL AND OPERATING COSTS
Hecla’s forecasted capital and operating costs estimates are derived from annual budgets and historical
actuals over the long life of the current operation.  According to the American Association of Cost
Engineers (AACE) International, these estimates would be classified as Class 1 with an accuracy range of
3% to -10% to +3% to +15%, albeit with some variances to be expected in near term with the operation
coming back to full production after the recent labor strike.
18.1 Capital Costs
The Lucky Friday Mine is in operation and there is no pre-production capital.  The capital is summarized
in Table 18-1.
Table 18-1:
Capital Cost Summary

Year

27 to 38
($ millions)
Year 1
Year 2
Year 3
Year 4
Year 5
(Years 6 to 13)
Total
Drilling
27.0
3.0
3.0
3.0
3.0
2.0
13.0
Major Projects
75.0
24.0
5.0
12.0
7.0
3.0
24.0
Ore processing
13.0
2.0
7.0
3.0
0.0
1.0
0.0
Mobile Equipment
41.0
5.0
8.0
7.0
2.0
2.0
17.0
Mine Development
200.0
14.0
11.0
21.0
23.0
16.0
115.0
Mine infrastructure
16.0
3.0
6.0
3.0
1.0
2.0
1.0
Total
372.0
51.0
40.0
49.0
36.0
26.0
170.0
The major elements of the capital plant include:

Development $135 million
o Four accesses to support mining in 30 Vein
o Delays or reduction may result in shortfalls in meeting the production plan

#2 Shaft Renovation $28 million
o Pipe and timber replacements to meet regulatory requirements as this shaft provides the
second egress and exhaust ventilation way.

Pre-production drilling $28 million
o Pre-production drilling for areas to be mined and to guide the 7500 level mine development.
o The drilling is expected to increase the confidence in the mine plan and to reduce unplanned
dilution.

Construction $26 million
o Construction of facilities to support production on 6500 and 7500 levels including shops
warehouse areas, air coolers and more.

Technical Report Summary -  February 21, 2022
18-1

--- PAGE 182 ---
Technical Report Summary -  February 21, 2022
18-2

Pond 4 and Pond 5 tailings storage facility (TSF) $32 million
o Design, engineering and construction of ponds 4 and 5.

Silver shaft service hoist $8 million
o Installation of conveyance for men and materials, hoist replacement and improvements to
hoisting capacity.
The capital estimates have been prepared by mine personnel and contractors.  The capital programs will
be managed by the mine personnel.  Contingency is not included in the capital estimates.
The SLR QP considers the capital plan to be appropriate for the mine.  Delays in a number of the projects
may reduce the ability to achieve the LOM plan and certain items such as maintaining the second access
and ensuring sufficient tailings storage are critical to the continued operation.
Working capital costs, composed of accounts receivable, accounts payable, and product and supply
inventories, are included in the mine cash flow and net to zero over the LOM.  Accounts receivable
balances fluctuate based upon period-end sale amounts and the average duration of time between
shipments and receipt of payment.  Accounts payable vary over time based upon the average portion of
a period’s expenditures that are typically unpaid at the end of the period.  Inventory values fluctuate
based upon the estimated quantities of product produced and the average duration of time between
production and sale of products.  Depending on the assumptions in the LOM, the working capital variation
at the end of the mine life can be positive or negative.  In the case of the Lucky Friday Mine, Hecla expects
the end-of-life accounts payable to be greater than the other working capital items, such that an
estimated $4.3 million cost to draw down working capital to zero will be incurred.
18.2 Operating Costs
18.2.1 Operating Cost History
The operating costs for the mine for the period 2016 to October 2021 YTD are summarized in Table 18-2.
Unit costs are not shown for 2017 through 2019 as the mine was not in full operation.  Furthermore, the
2020 costs reflect a restart period as operations were restarted in January 2020.
Table 18-2:
2016 to 2021 Operating Cost Data

Units

Production Costs

Mining
$ millions
22.4
6.0
3.2
3.5
17.3
27.3
Concentrator
$ millions
5.4
2.9
1.6
1.0
5.0
7.3
Maintenance
$ millions
11.5
7.4
4.7
3.4
16.1
17.2
General Plant
$ millions
14.4
11.9
8.6
10.5
10.4
11.2
Profit sharing
$ millions
6.3
1.3

0.8
3.5
Total
$ millions
60.0
29.5
18.1
18.4
49.6
66.5

Cost per ton milled

--- PAGE 183 ---
Units

Mining
$/ton
76.46
n/a
n/a
n/a
96.97
84.80
Concentrator
$/ton
18.20
n/a
n/a
n/a
27.76
22.68
Maintenance
$/ton
39.22
n/a
n/a
n/a
89.59
53.43
General Plant
$/ton
48.89
n/a
n/a
n/a
57.89
34.79
Profit sharing
$/ton
21.54
n/a
n/a
n/a
4.46
10.87
Total
$/ton
204.31
n/a
n/a
n/a
276.68
206.57
18.2.2 Operating Cost Estimate
The forecasted LOM operating costs totaling $187.81/t milled are summarized in Table 18-3.
Table 18-3:
Operating Cost Summary

Item
Units
Total

2026 to

Production Costs
Mining (Underground)
$ millions
415.3
29.3
32.0
29.9
29.2
294.8
Processing
$ millions
117.5
8.7
8.9
8.2
7.8
83.9
Maintenance
$ millions
269.9
20.3
20.6
19.9
18.2
190.9
G&A
$ millions
182.7
13.4
13.1
11.9
11.2
133.2
Profit share
$ millions
39.4
2.9
3.0
2.8
2.7
28.1
Total
$ millions
1,024.7
74.5
77.6
72.7
69.0
731.0
Cost per ton milled
Mining (Underground)
$/ton
76.11
 86.11
 78.32
 74.27
 73.57
 75.45
Processing
$/ton
21.54
 25.44
 21.88
 20.42
 19.63
 21.47
Maintenance
$/ton
49.46
 59.67
 50.39
 49.35
 45.76
 48.86
G&A
$/ton
33.48
 39.22
 31.94
 29.56
 28.06
 34.10
Profit share
$/ton
7.22
 8.42
 7.30
 6.94
 6.68
 7.20
Total
$/ton
187.81
 218.86
 189.84
 180.54
 173.69
 187.08
18.2.3 Workforce Summary
The current Lucky Friday workforce totals 362 persons as of January 2022.  The breakdown by department
is shown in Table 18-4 consisting of 86 salaried and 276 hourly employees, of which the majority of the
hourly employees have the United Steelworkers, Paper and Forestry, Rubber, Manufacturing, Energy,

Technical Report Summary -  February 21, 2022
18-3

--- PAGE 184 ---
Allied Industrial, and Service Workers International Union as their bargaining agent as of December 31,
2021.
Table 18-4:
Current Manpower

Hourly FTE
Salary FTE
Total
Mine

Plant

Maintenance

G&A

Total

The Lucky Friday full time equivalent (FTE) workforce for 2020, 2021, and the LOM plan is summarized in
Table 18-5. The 2020 workforce levels reflect the start-up of the mine after the strike.
Table 18-5:
LOM Manpower Levels

Hourly FTE
Salary FTE
Total
2020 Actual

2021 Actual

2024 – 2035

SLR notes that in terms of tonnage (ore plus waste) mined per day, the 2022 performance requires a 15%
increase in productivity compared to the 2021 performance.  The SLR QP is of the opinion that if the
productivity does not increase it will be necessary to increase the number of employees.  This may be a
difficult task considering the skilled nature of the work and the worldwide demand for skilled personnel.
SLR considers the required increase in productivity to pose a potential risk to meeting the LOM plan.

Technical Report Summary -  February 21, 2022
18-4

--- PAGE 185 ---
Technical Report Summary -  February 21, 2022
19-1
19.0 ECONOMIC ANALYSIS
19.1 Economic Criteria
An after-tax Cash Flow Projection has been generated from the LOM production schedule and capital and
operating cost estimates, and is summarized in Table 19-2.  A summary of the key criteria is provided
below.
19.1.1 Physicals

Total mill feed processed: 5.5 Mst

Average processing rate: 892 stpd with following production profile (Table 19-1).
Table 19-1:
Production Summary

Commodity
Head Grade
% Recovery
Recovered
Metal
Annual
Production
Payable
Metal
Silver
13.7 oz/ton
96.4
72.0 Moz
4.2 Moz
67.4 Moz
Lead
8.3%
95.7
866 Mlb
51 Mlb
811 Mlb
Zinc
3.3%
93.7
340 Mlb
20 Mlb
251 Mlb
19.1.2 Revenue

Metal prices used in the economic analysis are constant US$21/oz Ag, US$0.95/lb Pb, and
US$1.25/lb Zn.

Revenue is calculated assuming the above metal price forecast and incorporates a $1.8 million
hedge gain for lead and zinc over the first three years of cash flow.

Average LOM concentrate freight cost: $47/wet ton Cost, Insurance, and Freight (CIF) basis to
customer’s discharge points.

Average LOM treatment charge: $139/dmt silver concentrate plus $3.90/dmt for antimony
penalty, $162/dmt zinc concentrate, and $8.70/dmt for iron and mercury penalties.

Average LOM refining costs for concentrates: $0.10/dmt.
19.1.3 Capital and Operating Costs

Mine life of 17 years

LOM sustaining capital costs of $372 million

LOM site operating cost of $187.81/ton milled (excludes financing and corporate overhead costs)

LOM closure/reclamation $38.7 million in year after final production
19.1.4 Taxation and Royalties
Mining companies doing business in Idaho are primarily subject to U.S. corporate income tax, Idaho State
income tax and Idaho Mining License tax. The State of Idaho levies a mining license tax on mining net

--- PAGE 186 ---
Technical Report Summary -  February 21, 2022
19-2
income received in connection with mining properties and activities in Idaho, at a rate of 7%. The U.S.
corporate income tax rate is 21% and the Idaho state income tax rate is 6.5%.
No income tax is anticipated to be payable over the LOM. Hecla will use a combination of existing and
forecasted depreciation expense, allocation of expenses from other entities within the consolidated tax
group, percentage depletion allowances, and existing net operating losses to generate zero annual taxable
income through the LOM.  However, the Lucky Friday Mine will still incur $4 million for Idaho state mining
taxes during the LOM.
The current production zones in the LOM are not subject to any royalty to a third party/previous
landowner.
19.2 Cash Flow Analysis
SLR has reviewed Hecla’s Lucky Friday Reserves only model and has prepared its own unlevered after-tax
LOM cash flow model based on the information contained in this TRS to confirm the physical and
economic parameters of the mine.
The Lucky Friday economics have been evaluated using the discounted cash flow method by considering
annual processed tonnages and grade of ore.  The associated process recovery, metal prices, operating
costs, refining and transportation charges, and sustaining capital expenditures were also considered.
The indicative economic analysis results, presented in Table 19-2 with no allowance for inflation, show a
pre-tax and after-tax NPV, using a 5% discount rate, of $557 million and $554 million, respectively.  The
SLR QP is of the opinion that a 5% discount/hurdle rate for after-tax cash flow discounting of long lived
precious/base metal operations in a politically stable region is reasonable and appropriate and commonly
used.  For this cash flow analysis, the internal rate of return (IRR) and payback are not applicable as there
is no negative initial cash flow (no initial investment to be recovered) since Lucky Friday has been in
operation for a number of years.

--- PAGE 187 ---
Technical Report Summary - February 21, 2022
19-3
Table 19-2:
After-Tax Cash Flow Summary

--- PAGE 188 ---
Technical Report Summary - February 21, 2022
19-4

--- PAGE 189 ---
Technical Report Summary -  February 21, 2022
19-5
19.3 Sensitivity Analysis
The Project’s after-tax cumulative cash flow discounted at 5% from the model presented above were
analyzed for sensitivity to variations in revenue, operating, and capital cost assumptions.
Positive and negative variations were applied independently to each of the following parameters:

Metal grades

Metal recoveries

Metal prices

Operating costs

Capital costs
Table 19-3 shows the sensitivity cases analyzed, which are shown in the chart in Figure 19-1. Because of
the Project’s 30-year operating history, values for capital and operating costs, metal recoveries, and metal
grades are well understood.  Therefore, these parameters were flexed over a smaller range compared to
metal prices, which are more volatile and were evaluated over a wider range of sensitivity.

--- PAGE 190 ---
Table 19-3:
Sensitivity Analysis Summary

Variance From Base Case
Head Grade
(oz/ton Ag)
NPV at 5%
(US$ M)
0.90
12.3

0.95
13.0

1.00
13.7

1.05
14.4

1.10
15.1

Variance From Base Case
Recovery
(% Ag)
NPV at 5%
(US$ M)
0.90
86.8

0.95
91.6

1.00
96.4

1.05
101.2

1.10
106.0

Variance From Base Case
Metal Prices
(US$/oz Ag)
NPV at 5%
(US$ M)
0.80
16.80

0.90
18.90

1.00
21.00

1.10
23.10

1.20
25.20

Variance From Base Case
Operating Costs
(US$/t milled)
NPV at 5%
(US$ M)
0.90
169.03

0.95
178.42

1.00
187.81

1.08
201.90

1.15
215.98

Variance From Base Case
Capital Costs
(US$ M)
NPV at 5%
(US$ M)
0.90

0.95

1.00

1.08

1.15

Technical Report Summary -  February 21, 2022
19-6

--- PAGE 191 ---
Technical Report Summary -  February 21, 2022
19-7

Figure 19-1:
After-tax NPV at 5% Sensitivity Analysis
The results of the sensitivity analysis demonstrate that the Mineral Reserve estimates are most sensitive
to variations in metal prices, less sensitive to changes in metal grades and recoveries, and least sensitive
to fluctuations in operating and capital costs.

--- PAGE 192 ---
Technical Report Summary -  February 21, 2022
20-1
20.0 ADJACENT PROPERTIES
There are several lead-zinc-silver mines in the Silver Valley mining district in Idaho.  The Mineral Resource
and Mineral Reserves stated in this TRS are contained entirely within Hecla’s mineral leases, and
information from any other operations was not used in this TRS.

--- PAGE 193 ---
Technical Report Summary -  February 21, 2022
21-1
21.0 OTHER RELEVANT DATA AND INFORMATION
No additional information or explanation is necessary to make this TRS understandable and not
misleading.

--- PAGE 194 ---
Technical Report Summary -  February 21, 2022
22-1
22.0 INTERPRETATION AND CONCLUSIONS
SLR offers the following conclusions by area.
22.1 Geology and Mineral Resources

As prepared by Hecla and reviewed and accepted by SLR, the Lucky Friday Measured and Indicated
Mineral Resources are estimated to total approximately 10.50 Mst at an average grade of
approximately 7.6 oz/ton Ag, 4.9% Pb, and 2.5% Zn.  Inferred Mineral Resources are estimated at
approximately 5.38 Mst at an average grade of approximately 7.8 oz/ton Ag, 5.8% Pb, and 2.4%
Zn.  All Mineral Resources are effective as of December 31, 2021 and are stated exclusive of
Mineral Reserves.

The drilling, core handling, logging, and sampling at Lucky Friday is being conducted according to
common industry practice, in a manner appropriate for the deposit type and mineralization style.

The chip sampling practices at the site are reasonable, appropriate for the mineralization style,
and consistent with common industry practice.

Bulk density estimates are conducted in a reasonable fashion, using an appropriate method.

Samples are handled and transported securely and only in the custody of Hecla employees or
bonded carriers.

The assay QA/QC protocols in place at Lucky Friday are rigorous, and the results to date are
satisfactory.

The sampling is done such that the samples are representative of the mineralized bodies. There
are no concerns apparent with the assay results and they are suitable for use in a Mineral
Resource estimate.

The databases are managed in a secure environment, using conventional off-the-shelf software
packages that are up-to-date and appropriate for the tasks to which they are applied.  The staff
are competent, well-trained, and experienced and they have been provided with clear and
reasonable protocols to follow.

The database on which resource estimation is based is properly configured and maintained and is
appropriate for use in estimation of Mineral Resources and Mineral Reserves.

The wireframe models for the veins are reasonable and representative of the host structures.
Minor inconsistencies exist but are not considered to be a serious concern, and will be resolved
with additional work.

The sample grade distributions for silver, lead, and zinc are observed to be positively skewed
which could result in biases in the block interpolations unless corrective measures are taken.
Capping is currently being employed at Lucky Friday and this is viewed as appropriate.

There is evidence of sub-populations within the grade distributions for several veins. Additional
work may be warranted to identify and isolate these sub-populations if possible.

Compositing of the samples is carried out in a reasonable fashion.

The block model is configured appropriately and constructed with off-the-shelf software that is
commonly used in the industry.

The grade interpolations were conducted in a reasonable manner consistent with common
practice using an appropriate estimation algorithm commonly used within the industry.

--- PAGE 195 ---
Technical Report Summary -  February 21, 2022
22-2

The Mineral Resources are classified according to the CRIRSCO definitions and, as such, are
consistent with the requirements of S-K 1300.

The method used to apply the classification is broadly consistent with common industry practice,
although the resulting categorizations appear somewhat aggressive for Measured.

The NSR cut-off value is a reasonable approach which has been applied in an appropriate manner.

The validation methods used at Lucky Friday are appropriate, although they represent a fairly
minimum standard of review.

The stope optimization and reporting procedures are generally reasonable.

The Mineral Resource estimate for Lucky Friday has been carried out in a reasonable fashion,
consistent with conventional, although somewhat dated, industry practice.
22.2 Mining and Mineral Reserves

Mineral Reserve estimates, as prepared by Hecla and reviewed and accepted by SLR, have been
classified in accordance with the definitions for Mineral Reserves in S-K 1300.  Mineral Reserves
as of December 31, 2021 total 5.46 Mst grading 13.7 oz/ton Ag, 8.3% Pb, and 3.3% Zn and
containing 74.7 Moz of silver, 452,000 tons of lead and 181,000 tons of zinc at an NSR cut-off
value of US$208/ton.

Measured and Indicated Mineral Resources were converted to Proven and Probable Mineral
Reserves, respectively, through the application of modifying factors.  Inferred Mineral Resources
were not converted to Mineral Reserves.

The Mineral Reserves are all located within the Gold Hunter deposit in seven separate veins.  The
30 Vein is the most significant with 68% of the Mineral Reserve tonnage and 70% of the contained
silver.

Mineral Reserves are estimated by qualified professionals using modern mine planning software
in a manner consistent with industry practice.

Lucky Friday is an old, well established mine with many years of operating experience, providing
the necessary expertise to safely and economically extract the Mineral Reserves.

Mining at Lucky Friday utilizes mechanized underhand cut and fill, and UCB with cemented paste
backfill.  In this method, the mining progresses downwards in a stope, occurring beneath the
cemented paste backfill of the preceding lift.  The mining methods used are appropriate to the
deposit style, depth and geotechnical conditions and employ a range of modern mining
equipment;

The mine developed the UCB method for bulk mining of the 30 Vein.  This method is designed to
improve safety through the management of seismic events and to increase productivity. The UCB
method is a bulk mining method which utilizes 27 ft deep blastholes with ore mucked in 11.5 ft
benches.

The current Mineral Reserve estimate is based on the use of UCB mining for the majority of the
deposit and represents a change from previous mining methods and Mineral Reserve estimates.

Over the past nine years, the mine production silver grade has been less than the Mineral Reserve
grade estimate, indicating a poor correlation with production data.

--- PAGE 196 ---
Technical Report Summary -  February 21, 2022
22-3

Stopes in the mine are relatively narrow with an eleven foot minimum mining width in the 30 Vein
above the 7500 level, nine foot minimum width below the 7500 level, and eight foot minimum
width in the Intermediate Veins.

Stopes are diluted to the greater of the ore width or the minimum mining width.  This dilution is
assigned background metal grades based upon the block model estimates.  Subsequently, the
stopes are diluted by a further 15% for UCB stopes and 5% for cut and fill stopes with zero grade
unplanned dilution.

SLR is of the opinion that the 15% dilution estimate in the UCB mining is a potentially optimistic
estimate considering the short time that the method has been in use, the impact of vein deviation
over the 27 ft cut depth, the use of infill drill information as opposed to face by face mapping,
changes in the vein along strike and dip, and potential overbreak from blasting.

The 30 Vein Mineral Reserve includes internal low grade and waste blocks that do not meet the
cut-off grade criteria but are included as the material must be mined considering the stope
geometry and seismicity.

The planned use of UCB mining at a nine foot minimum width (30 Vein at depth) is not based upon
detailed layouts and represents potential risks related to production capacity and dilution
estimates at depth.

Extraction for all mining methods is assumed to be 100%.

SLR verified that Hecla’s selected metal prices for estimating Mineral Reserves are consistent with
independent forecasts from banks and other lenders.

The mine uses proven, modern trackless mobile equipment with LHD units up to 3.5 yd3 capacity.

The LOM plan has been appropriately developed to maximize mining efficiencies, based on the
current knowledge of geotechnical, hydrological, mining, and processing information on the Lucky
Friday Mine.

The equipment and infrastructure requirements for LOM operations are well understood.

The LOM extends 17 years to 2038, with mine production projected to increase to an annual rate
of approximately 425,000 tons.  The increased production is based upon projected productivity
improvements in mining, increased daily development advance, and higher utilization of the
existing mine infrastructure, however, improvements may be difficult to achieve considering the
extent of the mine, stope widths, and mining depths.

Meeting growth requirements of the LOM plan (production and development) is typically a
challenge for wide spread narrow vein mines.  SLR is of the opinion that meeting the LOM plan
will require ongoing effort to optimize the UCB mining method and attain planned increases in
productivity.
22.3 Mineral Processing

The Lucky Friday mill is a conventional silver and zinc flotation concentrator that has been in
operation since 1942 and owned and operated by Hecla since 1958.  Concentrates are shipped by
highway trucks to the Teck smelter at Trail, British Columbia, Canada.  The mill has a compact and
efficient design that has been upgraded over the years including the addition of flash flotation in
the grinding circuit, column flotation for concentrate cleaning, and on-stream analyzers for
process control.

--- PAGE 197 ---
Technical Report Summary -  February 21, 2022
22-4

The concentrator performed very consistently from 2016 through 2021 with steady lead, zinc, and
silver head grades, silver and zinc concentrate grades, and recoveries.  The mill operated in the
38 stph to 44 stph range with a reported mill availability of 93%.  Low production from 2017
through 2019 was due to labor issues.

The mine plan includes a 20% increase in mill production from the current 340,000 stpa, or 930
stpd, to 425,000 stpa, or 1,164 stpd, each at 92% availability. Work is being done to debottleneck
the Plant including slurry pumping capacity to achieve the new targets.

The target concentrate grade for lead is 60% for the best recovery, though the grade can be
increased to 63% to 64% without significant loss of recovery.

The focus of metallurgical testing is on plant performance including quality improvements and
the potential to increase production.  A significant metallurgical test program was performed to
characterize the Gold Hunter deposit in 2008, including mineralogy, comminution testing, and
flotation testing.  The ore is very consistent, which benefits plant performance.

In July 2011, an audit of the Lucky Friday process including detailed circuit sampling was
performed to support studies to increase plant production.  During the survey, the lead flash cell
recovered 60% to 70% of the lead and silver in the plant feed, reducing the load on the lead
cleaning circuit.  The total silver, lead, and zinc recoveries to silver concentrate were 91.7%, 90%,
and 12%, respectively, to a concentrate containing 60% Pb, 130 oz/ton Ag, and 3.5% Zn. Zinc
recovery to the zinc concentrate was 81.3% to a concentrate grading 48.6% Zn.  Lead recovery to
the zinc concentrate was 2.3% and the silver recovery to the zinc concentrate was 3.9%.
22.4 Infrastructure

Lucky Friday has all of the infrastructure necessary for the ongoing operations and has plans for
refurbishment or repair as necessary within the mine plan.
22.5 Environment

Lucky Friday maintains a comprehensive environmental management and compliance program.
All permits needed for current Lucky Friday operations are in place, and staff at the Property
continually monitors permit/regulated conditions and files required reports with the applicable
regulatory agencies at the federal, state, and local level.

Hecla’s EMS follows a 13-element plan-do-check-act approach that ensures continuous
improvement around issues including obligation registers, management of change, air quality,
water and waste management, energy management, training, and reporting. This system
promotes a culture of environmental awareness and innovation throughout the company.  The
EMS program is benchmarked against ISO-14001 and complements Canada’s TSM program.  On
a related matter, there appears to be good cross-discipline support for the overall environmental
program.

In previous resource/reserve reporting documents, Lucky Friday reported experiencing a number
of alleged permit exceedances for water discharges NPDES and MSGP at the Property.  Lucky
Friday received an EPA Notice of Violation for non-compliance with the NPDES Permit and various
discharges exceeding the maximum daily standard for lead (50 μg/L).  In all instances, Lucky Friday
has worked cooperatively with EPA to resolve these issues.

Lucky Friday has developed reclamation/closure plan and the most recent cost estimate (2021) to
perform this work is US$39.9 million.  Reclamation and closure plans have been submitted to the

--- PAGE 198 ---
Technical Report Summary -  February 21, 2022
22-5
appropriate agencies.  ARO legal obligations are updated regularly and based upon existing site
conditions, current laws, regulations and costs to perform the permitted activities.  The ARO is to
be conducted in accordance with FASB ASC 410.

Lucky Friday reports that community relationships are excellent, and the company maintains an
office in the city of Wallace to maintain a community presence.

--- PAGE 199 ---
Technical Report Summary -  February 21, 2022
23-1
23.0 RECOMMENDATIONS
SLR offers the following recommendations by area.
23.1 Geology and Mineral Resources
1. Conduct additional review of the sample grade distributions within the veins to see if coherent
groupings of sub-populations can be isolated for interpolation purposes.
2. Modify the resource classification procedures to provide an opportunity for manual adjustments,
as opposed to a strictly computer-driven approach.  This will allow changes to be made to remove
unrealistic artifacts in the classification.
3. Consider an additional level of block model validation, such as comparisons to alternative
estimation methods.
23.2 Mining and Mineral Reserves
1. Continue the use of UCB mining in the 30 Vein and continue to attempt to improve the UCB
method.
2. Conduct close monitoring of the stoping performance including regular surveys as the void is
exposed and reconciliation of the stope designs to the Mineral Reserve estimates to confirm and,
if necessary, refine the Mineral Reserve estimate
3. Calculate NSR values on a fully diluted basis and use these values to determine cut-off values and
Mineral Reserve boundaries.
4. Evaluate the internal portions of Mineral Reserve material that fall below cut-off value within the
30 Vein to confirm that they are economically justifiable to mine and develop further cut-off
criteria for must take material.
5. Undertake a more detailed dilution and extraction study, including consideration of the existing
reconciliation studies, to better quantify the extraction, dilution, and other modifying factors that
Hecla is currently applying to all production designs.
6. Use the results of the above noted studies to determine the actions necessary to align mine
production grades with the Mineral Reserve estimates.
7. Review mining plans to define definitive actions to attain the planned improvements in mining
productivity and daily development advance.
8. Further develop the plans for UCB mining at the planned nine foot minimum mining width.
23.3 Mineral Processing
1. Continue metallurgical testing to support the plan for increased production.
2. The ability to perform on-site metallurgical testing is limited due to the capabilities of the current
laboratory.  An upgrade to the laboratory is recommended and has been budgeted for 2024.
23.4 Infrastructure
1. Continue the upgrades, repairs, and rehabilitation to existing infrastructure to support the LOM
plan.

--- PAGE 200 ---
Technical Report Summary -  February 21, 2022
23-2
23.5 Environment
1. Track and participate in the development of new environmental and mine permitting regulations
that could impact operations.
2. Continue to perform internal and external audits of environmental compliance.
3. Even though opportunity is limited, investigate opportunities for concurrent reclamation to
minimize financial obligation(s) at closure.
4. Continue to update reclamation and closure cost estimates on a regular basis.

--- PAGE 201 ---
Technical Report Summary -  February 21, 2022
24-1
24.0 REFERENCES
AACE International, 2012, Cost Estimate Classification System – As applied in the Mining and Mineral
Processing Industries, AACE International Recommended Practice No. 47R-11, 17 p.
Beaudoin, G., and Sangster, D.F., 1996, Clastic metasediment-hosted vein silver-lead-zinc; in Geology of
Canadian Mineral Deposit Types, (ed.) Eckstrand, O. R., Sinclair, W. D., and Thorpe, R. I., Geological
Survey of Canada, Geology of Canada, no. 8, pp. 393-398 (also Geological Society of America, The
Geology of North America, v. P-1).
Bennett, E.H., Siems, P.L., and Constantopoulos, J.T., 1989, The Geology and History of the Coeur d’Alene
Mining District, Idaho; in Guidebook to the Geology of Northern and Western Idaho and
Surrounding Area, (ed.) Chamberlain, V. E., Breckenridge, Roy, M., and Bonnichsen, Bill, Idaho
Geological Survey Bulletin 28, 164 p.
Gott, Garland B., and Cathrall, John B., 1979, Generalized Geologic Map of the Coeur D’Alene District,
Idaho and Montana, US Geological Survey, Miscellaneous Investigations Series, Map I-1090.
Hecla Mining Company, 2014, Technical Report on the Lucky Friday Mine, Shoshone County, Idaho, USA,
a NI 43-101 Report, effective April 02, 2014.
Hecla Mining Company, 2020, website, https://ir.hecla-mining.com.
Hobbs, S.W., Griggs, A.B., Wallace, R.E., and Campbell, A.B., 1965, Geology of the Coeur d’Alene District,
Shoshone County, Idaho: U.S. Geological Survey Prof. Paper 478, 145 p.
Jones, James V., Daniel, Christopher G., and Doe, Michael F., 2015, Tectonic and sedimentary linkages
between the Belt-Purcell Basin and southwestern Laurentia during the Mesoproterozoic, ca. 1.60

1.40
Ga,
Lithosphere
(August
2015)

(4):
465-472,
(Internet
link:
https://pubs.geoscienceworld.org/georef/record/6/3741704/Tectonic-and-sedimentarylinkages-between-the-Belt).
Leach, D.L., 1982, Geochemical Favorability for Mesothermal Veins in the Wallace 1°x 2° Quadrangle,
Montana and Idaho, U.S. Geological Survey Open File Report 82-577, 4 p.
Lonn, J.D., Burmester, R.F., Lewis, R.S., and McFadden, M.D., 2020, The Mesoproterozoic Belt Supergroup,
Montana
Technological
University
web
site,
https://mbmg.mtech.edu/pdf/geologyvolume/Lonn_BeltFinal.pdf, 38 p.
Mauk, J., and White, B., 2004: Stratigraphy of the Proterozoic Revett Formation and Its Control on the AgPb-Zn Vein Mineralization in the Coeur d’Alene District, Idaho. Economic Geology and the Bulletin
of the Society of Economic Geologists, Vol. 99, pp. 295-312.
Mauk, J.L., 2002, Stratigraphy of the Proterozoic Revett Formation, Coeur d’Alene District: U.S. Geological
Survey Open-File Report 01–319, Version 1.0, 203 p.

--- PAGE 202 ---
Technical Report Summary -  February 21, 2022
24-2
Mitchell,
V.E.,
Reed,
S.L.,
and
Larsen,
J,
2021,
Digital
Geology
of
Idaho
website,
https://digitalgeology.aws.cose.isu.edu/Digital_Geology_Idaho/Module7/mod7.htm.
Mondragon, R., Dean, D., Aguilar, C., Hancock, B., Martin, C., 2011, Updating the Lucky Friday Mill –
Experience in Revamping a Historic Milling Operation, 43rd Annual Meeting of the Canadian
Mineral Processors, Ottawa, ON, Canada, January 2011.
Perelló, J., Clifford, J.A., Wilson, A.J., Kennedy, S., Creaser, R.A., Valencia, V.A., 2021, On the timing and
metallogenic implications of the sediment-hosted stratiform copper-silver mineralization in the
Creston Formation (Belt-Purcell Supergroup), British Columbia, Canada, Ore Geology Reviews,
Volume 131.
RPA Inc., 2006, Mineral Resource and Mineral Reserve Audit of the Lucky Friday Silver-Lead-Zinc Mine,
Idaho, USA, internal report prepared for Hecla Mining Company, May 23, 2006, 132 p.
RPA Inc., 2010, Mineral Resource and Reserve Audit on Lucky Friday Mine, Idaho, USA, internal report
prepared for Hecla Limited, August 31, 2017, 88 p.
RPA Inc., 2013, Mineral Resource and Mineral Reserve Audit of Lucky Friday Mine, Idaho, USA, internal
report prepared for Hecla Mining Company, August 28, 2017, 179 p.
RPA Inc., 2017, Mineral Resource and Mineral Reserve Audit of Lucky Friday Mine, Idaho, USA, internal
report prepared for Hecla Mining Company, August 31, 2017, 88 p.
US Securities and Exchange Commission, 2018, Regulation S-K, Subpart 229.1300, Item 1300 Disclosure
by Registrants Engaged in Mining Operations and Item 601 (b)(96) Technical Report Summary.
Wallace, C. A., Lidke, D. J., and Schmidt, R. G., 1990, Faults of the central part of the Lewis and Clark line
and fragmentation of the Late Cretaceous foreland basin in west-central Montana, Geological
Society of America Bulletin, v. 102, pp. 1021-1037.

--- PAGE 203 ---
Technical Report Summary -  February 21, 2022
25-1
25.0 RELIANCE ON INFORMATION PROVIDED BY THE
REGISTRANT
This TRS has been prepared by SLR for Hecla.  The information, conclusions, opinions, and estimates
contained herein are based on:

Information available to SLR at the time of preparation of this TRS,

Assumptions, conditions, and qualifications as set forth in this TRS, and

Data, reports, and other information supplied by Hecla and other third party sources.
For the purpose of this TRS, SLR has relied on ownership information provided by Hecla and verified by
the Senior Property and Contract Coordinator.  SLR has not researched property title or mineral rights for
Hecla as we consider it reasonable to rely on Hecla’s Land Administration personnel who are responsible
for maintaining this information..
SLR has relied on Hecla for guidance on applicable taxes, royalties, and other government levies or
interests, applicable to revenue or income from the Lucky Friday in the Executive Summary and Section
19.0.  As Lucky Friday has been in operation for over ten years, Hecla has considerable experience in this
area.
The Qualified Persons have taken all appropriate steps, in their professional opinion, to ensure that the
above information from Hecla is sound.
Except for the purposes legislated under provincial securities laws, any use of this TRS by any third party
is at that party’s sole risk.

--- PAGE 204 ---
Technical Report Summary -  February 21, 2022
26-1
26.0 DATE AND SIGNATURE PAGE
This report titled “Technical Report Summary on the Lucky Friday Mine, Idaho, USA” with an effective date
of December 31, 2021 was prepared and signed by:

Signed SLR International Corporation

Dated at Bothell, WA

February 21, 2022

SLR International Corporation

--- PAGE 205 ---
Technical Report Summary -  February 21, 2022
27-1
27.0 APPENDIX 1

--- PAGE 206 ---
27.1 Sample Statistics
Table A1: Sample Statistics - Silver (oz/ton)

Count
Min
Mx
Mean
Median
Stdev
Variance
CV

1,033
0.00
477.40
12.37
2.90
28.23
797.08
2.28

3,928
0.00
350.10
12.03
5.40
21.77
473.76
1.81

62,212
0.00
434.00
19.28
8.20
24.93
621.65
1.29

6,666
0.00
127.70
7.44
3.60
10.26
105.20
1.38

4,064
0.00
202.10
7.52
3.30
11.48
131.73
1.53

3,443
0.00
229.70
15.06
4.94
21.72
471.72
1.44

2,733
0.00
100.30
6.69
2.90
10.71
114.79
1.60

3,161
0.00
270.10
14.50
3.60
25.47
648.81
1.76

7,925
0.00
233.00
13.53
5.60
18.76
351.86
1.39

3,815
0.00
330.00
12.50
4.60
19.98
399.02
1.60

1,595
0.00
291.70
12.34
3.30
28.00
784.20
2.27

3,280
0.00
1,105.10
21.35
6.90
47.01
2,209.57
2.20

0.00
225.00
7.25
2.20
21.87
478.38
3.02

0.00
217.00
10.44
3.00
20.39
415.83
1.95

0.00
129.40
5.32
1.80
13.34
178.02
2.51

0.00
90.80
5.13
2.30
10.31
106.32
2.01

Table A2: Sample Statistics - Iron (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,033
0.10
43.70
11.78
10.00
7.52
56.54
0.64

3,928
0.00
47.40
18.85
18.90
8.44
71.17
0.45

62,212
0.00
53.50
19.81
19.50
8.14
66.28
0.41

6,666
0.20
59.50
25.35
26.20
7.75
60.12
0.31

2,733
0.50
45.50
20.88
20.91
10.31
106.30
0.49

4,064
0.10
49.00
23.52
25.10
9.06
82.02
0.39

3,443
0.10
42.10
14.19
13.70
7.19
51.67
0.51

3,161
0.00
47.90
11.97
11.50
5.89
34.65
0.49

7,925
0.00
38.20
11.31
10.80
5.35
28.58
0.47

3,815
0.10
37.00
12.37
11.90
5.85
34.26
0.47

Technical Report Summary -  February 21, 2022
27-2

--- PAGE 207 ---
Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,595
0.50
39.30
13.82
13.90
6.16
37.95
0.45

3,280
0.50
38.90
15.92
15.50
6.93
47.96
0.43

0.40
40.40
12.97
13.40
6.10
37.26
0.47

0.30
27.60
9.66
8.20
5.77
33.31
0.60

0.50
33.20
12.12
11.70
6.24
38.97
0.51

0.90
26.30
9.17
8.32
5.84
34.07
0.64
Table A3: Sample Statistics - Lead (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,033
0.00
54.60
3.00
0.80
5.87
34.50
1.96

62,212
0.00
78.20
11.67
6.10
12.81
164.01
1.10

3,928
0.00
78.40
5.96
3.50
7.15
51.19
1.20

6,666
0.00
79.50
5.68
3.00
7.00
49.04
1.23

4,064
0.00
56.10
6.04
2.90
7.83
61.29
1.30

2,733
0.00
68.30
4.82
2.40
6.46
41.71
1.34

3,443
0.00
67.20
7.16
3.90
8.11
65.81
1.13

3,161
0.00
68.70
6.64
3.60
8.11
65.70
1.22

7,925
0.00
82.60
10.49
5.50
12.47
155.51
1.19

3,815
0.00
79.20
9.57
4.50
12.31
151.50
1.29

1,595
0.00
58.80
3.43
1.40
5.60
31.39
1.63

3,280
0.00
73.20
2.85
1.10
4.69
22.01
1.64

0.00
52.00
5.63
1.80
8.98
80.69
1.60

0.00
49.10
3.10
0.70
5.61
31.46
1.81

0.00
71.00
2.81
0.70
4.95
24.55
1.76

0.00
43.80
4.03
1.90
6.41
41.11
1.59
Table A4: Sample Statistics - Zinc (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

3,928
0.00
40.90
4.01
2.00
4.98
24.84
1.24

1,033
0.00
39.60
0.87
0.10
2.50
6.23
2.87

62,212
0.00
49.80
3.22
1.50
4.12
17.01
1.28

6,666
0.00
43.20
5.68
4.40
5.07
25.70
0.89

Technical Report Summary -  February 21, 2022
27-3

--- PAGE 208 ---
Count
Min
Max
Mean
Median
Stdev
Variance
CV

4,064
0.00
34.30
5.33
3.80
5.19
26.90
0.97

2,733
0.00
61.50
3.72
1.60
5.20
27.01
1.40

3,443
0.00
40.60
5.70
2.30
6.80
46.18
1.19

3,161
0.00
43.10
3.77
0.60
6.02
36.21
1.59

7,925
0.00
42.70
2.25
0.30
4.47
19.94
1.99

3,815
0.00
39.40
1.86
0.20
4.34
18.81
2.33

1,595
0.00
29.90
1.63
0.20
3.78
14.28
2.32

3,280
0.00
33.60
2.38
0.30
4.36
19.05
1.84

0.00
30.00
1.56
0.10
3.53
12.45
2.26

0.00
34.80
2.25
0.10
5.32
28.27
2.37

0.00
33.70
2.30
0.10
5.23
27.32
2.27

0.00
31.10
1.44
0.10
5.14
26.38
3.56
27.2 Composite Statistics
Table A5:
Composite Statistics - Silver (oz/ton)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

2,715
0.00
54.80
11.32
7.10
11.32
128.11
1.00

0.00
72.00
11.08
4.10
15.35
235.56
1.39

46,382
0.00
81.50
20.74
14.28
18.30
334.91
0.88

5,296
0.00
30.90
7.20
4.50
6.82
46.49
0.95

2,895
0.00
31.40
7.09
4.58
6.77
45.81
0.95

1,754
0.00
32.70
6.46
3.78
6.72
45.15
1.04

2,144
0.00
62.35
15.58
8.21
15.65
245.01
1.00

1,930
0.00
83.20
15.07
5.64
19.12
365.44
1.27

4,905
0.00
58.50
14.41
9.95
12.84
164.93
0.89

2,185
0.00
55.30
12.97
7.50
12.60
158.73
0.97

1,011
0.00
69.90
10.45
4.42
15.03
225.98
1.44

0.00
44.05
5.72
2.97
7.61
57.97
1.33

1,972
0.00
125.05
19.12
9.96
22.66
513.54
1.19

0.00
51.00
9.68
4.57
11.41
130.12
1.18

0.00
39.70
4.65
2.36
6.80
46.30
1.46

0.20
28.25
4.75
2.90
5.49
30.12
1.16

Technical Report Summary -  February 21, 2022
27-4

--- PAGE 209 ---
Table A6:
Composite Statistics - Iron (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

0.30
40.57
12.33
10.20
7.12
50.73
0.58

2,715
0.50
42.30
19.48
19.10
7.52
56.48
0.39

46,382
0.00
47.00
20.06
19.85
7.08
50.12
0.35

2,895
0.10
45.90
24.07
24.51
7.68
58.98
0.32

5,296
0.49
51.15
25.69
25.93
6.75
45.51
0.26

1,754
0.60
42.53
21.90
20.80
9.54
91.06
0.44

2,144
0.40
38.50
14.47
14.14
5.89
34.71
0.41

1,930
0.20
39.60
12.24
11.82
5.19
26.91
0.42

4,905
0.70
35.00
11.45
11.11
4.46
19.92
0.39

2,185
0.80
37.00
12.54
12.20
4.85
23.49
0.39

1,011
0.60
36.90
14.16
14.19
5.43
29.50
0.38

1,972
1.00
35.83
16.34
15.93
5.67
32.18
0.35

0.50
32.40
13.33
13.56
5.08
25.78
0.38

0.80
29.80
12.45
12.24
5.12
26.20
0.41

0.30
25.10
9.92
9.57
4.97
24.71
0.50

0.90
26.30
9.40
8.80
5.21
27.12
0.55
Table A7:
Composite Statistics - Lead (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

0.00
21.00
3.06
1.53
4.13
17.05
1.35

2,715
0.00
23.85
6.23
4.53
5.33
28.44
0.86

5,296
0.00
22.90
5.66
3.71
5.09
25.87
0.90

46,382
0.00
41.80
12.76
9.80
9.79
95.89
0.77

2,895
0.00
25.50
6.00
3.86
5.55
30.82
0.92

1,754
0.00
21.40
4.83
3.14
4.52
20.43
0.94

2,144
0.00
25.30
7.56
5.53
6.01
36.14
0.80

1,930
0.00
27.50
7.06
4.69
6.19
38.33
0.88

4,905
0.00
41.95
11.55
8.23
9.46
89.40
0.82

2,185
0.00
40.40
10.51
6.74
9.42
88.69
0.90

1,011
0.00
19.80
3.51
2.19
4.06
16.46
1.16

Technical Report Summary -  February 21, 2022
27-5

--- PAGE 210 ---
Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,972
0.00
14.10
2.82
1.78
2.98
8.89
1.06

0.00
19.00
3.20
1.60
3.98
15.85
1.24

0.00
23.60
5.94
2.62
6.74
45.42
1.13

0.04
18.34
4.09
2.40
4.74
22.43
1.16

0.00
12.40
2.90
1.67
3.30
10.90
1.14
Table A8:
Composite Statistics - Zinc (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

0.00
9.20
0.84
0.16
1.58
2.51
1.88

2,715
0.00
14.95
4.24
2.60
4.16
17.29
0.98

5,296
0.00
16.80
5.70
4.74
4.05
16.44
0.71

46,382
0.00
32.88
3.38
1.95
3.65
13.33
1.08

2,895
0.00
16.80
5.33
4.31
4.08
16.66
0.77

1,754
0.00
15.50
3.76
2.31
3.82
14.56
1.01

2,144
0.00
20.20
6.07
4.15
5.54
30.72
0.91

1,930
0.00
19.45
4.02
1.80
4.89
23.87
1.21

4,905
0.00
13.70
2.17
0.81
2.91
8.48
1.34

2,185
0.00
12.10
1.71
0.48
2.59
6.73
1.52

1,011
0.00
11.90
1.58
0.37
2.50
6.23
1.58

1,972
0.00
14.70
2.42
0.99
3.17
10.03
1.31

0.00
12.05
1.57
0.30
2.45
5.98
1.56

0.00
13.30
2.14
0.16
3.33
11.11
1.56

0.00
14.20
2.03
0.50
3.18
10.08
1.56

0.04
7.00
0.78
0.11
1.46
2.14
1.86

Technical Report Summary -  February 21, 2022
27-6

--- PAGE 211 ---
Technical Report Summary -  February 21, 2022
27-7
27.3 Semi-Variograms

Figure A1:
Variogram Model For Silver – 30 Vein

Figure A2:
Variogram Model For Iron – 30 Vein

--- PAGE 212 ---
Technical Report Summary -  February 21, 2022
27-8

Figure A3:
Variogram Model For Lead – 30 Vein

Figure A4:
Variogram Model For Zinc – 30 Vein

--- PAGE 213 ---
27.4 List of Claims
Table A9: Unpatented Mineral Claims – Lucky Friday Mine

BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
Alameda
ID101349088
IMC13875
 48N 5E 26 NE
7/2/1921
Hecla Limited
Aubert Abot
ID101433808
IMC62560
 48N 5E 26 SE
5/30/1981
Hecla Limited
Atlie
ID101433030
IMC11455
 48N 5E 27 NE,NW
8/28/1915
Silver Hunter
Aubert Abot Fraction
ID101481552
IMC62559
 48N 5E 26 SE
5/31/1981
Hecla Limited
Aubert Gold Hunter
Fraction
ID101432795
IMC62558
 48N 5E 26 NW,SW
5/28/1981
Hecla Limited
Black Hawk
ID101482202
IMC13880
 48N 5E 26 SE
7/2/1921
Hecla Limited
Black Rock
ID101483505
IMC13878
 48N 5E 25 NW
11/2/1919
Hecla Limited
48N 5E 26 NE
Commander Fraction
ID101379219
IMC11432
 48N 5E 26 NW
5/24/1900
Silver Hunter
Creek
ID101433319
IMC11424
 48N 5E 25 SW
10/5/1945
Hecla Limited
50/50 Hecla
Limited/Hunter
Creek
Crown Point
ID101482263
IMC11420
 48N 5E 25 SW
04/20/1897
48N 5E 26 SE
50/50 Hecla
Limited/Hunter
Creek
Crown Point Fraction
ID101454042
IMC11417
 48N 5E 25 SW
6/1/1909
48N 5E 26 SE
50/50 Hecla
Limited/Hunter
Creek
Dewey
ID101433468
IMC11415
 48N 5E 26 SW,SE
1/1/1911
Eleanor
ID101431582
IMC13876
 48N 5E 25 NW
5/30/1957
Hecla Limited
48N 5E 26 NE
25/75 Hecla
Limited/Lucky Friday
Extension
Elm Orlu
ID101485812
IMC13558
 48N 5E 26 SW
11/15/1945
Elm Orlu Fraction
ID101370264
IMC13560
 48N 5E 26 SW
11/15/1945
Lucky Friday
Extension
48N 5E 27 SE
Elm Orlu No. 2
ID101482888
IMC13559
 48N 5E 26 SW
11/15/1945
Lucky Friday
Extension
48N 5E 27 SE

Technical Report Summary -  February 21, 2022
27-9

--- PAGE 214 ---
BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
Friday Fraction
ID101432648
IMC11426
 48N 5E 25 SW
5/1/1962
Hecla Limited
48N 5E 26 SE
48N 5E 35 NE
48N 5E 36 NW
Gem Dandy
ID101884485
IMC199547
 48N 5E 26 NE
9/18/2009
Hecla Limited/Silver
Hunter
Gem Dandy Fraction
ID101359015
IMC212723
 48N 5E 26
NE,NW,SE,SW
4/18/2013
Hecla Limited/Silver
Hunter
Harold
ID101484841
IMC11430
 48N 5E 26 NW
4/5/1911
Silver Hunter
48N 5E 27 NE,SE
Hippie Fraction
ID101484856
IMC11427
 48N 5E 27 NE
9/15/1967
Silver Hunter
Holiday
ID101433299
IMC11431
 48N 5E 27 NE,SE
1/1/1915
Silver Hunter
Hunter
ID101481945
IMC11423
 48N 5E 25 SW
10/5/1945
Hecla Limited
48N 5E 26 SE
Irene
ID101482808
IMC13874
 48N 5E 26 NE
8/6/1951
Hecla Limited
Karl Jr. Fraction
ID101750698
IMC214836
 48N 5E 27 NW
7/28/2015
Hecla Limited
Leslie Fraction
ID101350317
IMC11425
 48N 5E 26 SW,SE
6/9/1968
Hecla Limited
50/50 Hecla
Limited/Hunter
Creek
Mexican
ID101481250
IMC11418
 48N 5E 25 SW
10/17/1889
48N 5E 26 SE
Miles
ID101434994
IMC11435
 48N 5E 26
NW,SW,SE
1/1/1911
Silver Hunter
Molly No. 1
ID101430729
IMC13551
 48N 5E 26 SW
6/6/1945
Lucky Friday
Extension
48N 5E 27 SE
48N 5E 34 NE
48N 5E 35 NW
Molly No. 2
ID101482598
IMC13552
 48N 5E 26 SW
5/26/1945
Lucky Friday
Extension
48N 5E 35 NW
Molly No. 3
ID101480722
IMC13553
 48N 5E 26 SW
5/25/1945
50/50 Hecla
Limited/Lucky Friday
Extension
48N 5E 35 NW

Technical Report Summary -  February 21, 2022
27-10

--- PAGE 215 ---
BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
50/50 Hecla
Limited/Hunter
Creek
Moon
ID101483360
IMC11422
 48N 5E 25 SW
7/24/1929
Morning Glory
ID101434498
IMC11436
 48N 5E 26 SW,SE
8/19/1915
Silver Hunter
50/50 Hecla
Limited/Hunter
Creek
North
ID101348892
IMC11414
 48N 5E 26 SW,SE
7/22/1929
Panama
ID101480936
IMC11456
 48N 5E 27 NE,NW
7/19/1915
Silver Hunter
Panama Fraction
ID101866653
IMC213620
 48N 5E 27 NE
12/17/2013
Hecla Limited/Silver
Hunter
Panama No. 3
ID101434985
IMC11458
 48N 5E 27 NE,NW
8/30/1915
Silver Hunter
25/75 Hecla
Limited/Lucky Friday
Extension
Park Ave Fraction
ID101373608
IMC13561
 48N 5E 26 SW
8/3/1967
Pat
ID101431290
IMC11437
 48N 5E 26 SE
7/14/1944
Silver Hunter
Pat Fraction
ID101334010
IMC13557
 48N 5E 26 SW,SE
9/12/1950
Lucky Friday
Extension
Pat No 1
ID101435088
IMC13554
 48N 5E 27 SE
6/6/1945
Hecla Limited
Pat No 2
ID101434861
IMC11438
 48N 5E 26 SW,SE
7/14/1944
Silver Hunter
Pat No 2
ID101304179
IMC13555
 48N 5E 26 SW
6/4/1945
Lucky Friday
Extension
48N 5E 27 SE
Pat No 3
ID101433909
IMC13556
 48N 5E 26 SW
6/6/1945
Lucky Friday
Extension
48N 5E 27 SE
Pinch Hitter
ID101434399
IMC13881
 48N 5E 26 SE
4/12/1929
Hecla Limited
Silver Hunter
ID101884484
IMC199546
 48N 5E 27 NE
9/18/2009
Silver Hunter
50/50 Hecla
Limited/Hunter
Creek
Silver Reef
ID101431093
IMC11421
 48N 5E 25 SW
10/17/1889
48N 5E 26 SE
Silver-Lead
ID101484084
IMC13877
 48N 5E 26 NE
1/1/1920
Hecla Limited
50/50 Hecla
Limited/Hunter
Creek
South
ID101481517
IMC11416
 48N 5E 26 SW,SE
7/23/1929
Springfield
ID101452781
IMC11433
 48N 5E 26 NW,SW
04/25/1897
Silver Hunter
48N 5E 27 SE

Technical Report Summary -  February 21, 2022
27-11

--- PAGE 216 ---
BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
50/50 Hecla
Limited/Hunter
Creek
Star
ID101348544
IMC11419
 48N 5E 26 SE
7/23/1929
White Ledge
ID101484653
IMC14790
 48N 5E 26 SW,SE
11/5/1945
Hecla Limited
Wonder
ID101481101
IMC11434
 48N 5E 26 SW
9/20/1915
Silver Hunter
Table A10:
Patented Mineral Claims – Lucky Friday Mine

Mineral Survey Number
Township Range Section
Ownership
Gold Hunter
MS 612
48N 5E 26
Hecla Limited
Yolande
MS 719
48N 5E 26
Hecla Limited
Thomas Brennan Millsite
MS 733
48N 5E 35
Hecla Limited
Ryan Millsite
MS 732
48N 5E 35
Hecla Limited
P. M. Hennessey Millsite
MS 734
48N 5E 35
Hecla Limited
P. T. Kavanah Millsite
MS 735
48N 5E 35
Hecla Limited
Enterprise
MS 1033
48N 5E 26
Hecla Limited
Away Up
MS 1245
48N 5E 26
Hecla Limited
Joe Dandy

48N 5E 26
True Blue
MS 1249
48N 5E 22/27
Silver Hunter
Victor

48N 5E 22/27
Mary Norem
MS 1285
48N 5E 27
Silver Hunter
Cuban Republic
MS 1363
48N 5E 27
Silver Hunter
Jersey Minor
MS 1459
48N 5E 26
Hecla Limited
America
MS 1471
48N 5E 25/26
Silver Hunter
Commander
MS 1492
48N 5E 26
Silver Hunter
Clear Grit
MS 1501
48N 5E 26/27
Hecla Limited
Lost Wonder
MS 1504
48N 5E 27
Hecla Limited
Paymaster

48N 5E 26/27
Northern Light
MS 1832
48N 5E 26
Hecla Limited
Spokane

48N 5E 26
America
MS 1927
48N 5E 25/26
Hecla Limited
Bacchus

48N 5E 25/26
General Boulanger

48N 5E 25/26
Switzerland

48N 5E 23/26

Technical Report Summary -  February 21, 2022
27-12

--- PAGE 217 ---
Mineral Survey Number
Township Range Section
Ownership
Gettysburg
MS 2196
48N 5E 22/27
Silver Hunter
Lion

48N 5E 27
Mabel May Millsite
MS 2246B
48N 5E 36
Hecla Limited
Hennessy Fraction
MS 2563
48N 5E 26
Hecla Limited
Enterprise
MS 2390
48N 5E 22
Hecla Limited
Jap

48N 5E 26
Ted

48N 5E 26
Victor Fraction

48N 5E 26
U.S. Permit No. 1
MS 2857
48N 5E 25
Hecla Limited
U.S. Permit No. 2

48N 5E 25
Iron Cap
MS 2943
48N 5E 25/26
Hecla Limited
Missoula

48N 5E 25/26
Good Friday
MS 3028
48N 5E 35
Hecla Limited
Lucky Friday

48N 5E 35
Lucky Friday Fraction No.

48N 5E 35
Northern Light

48N 5E 26
Pointer
MS 3399
48N 5E 22/23/26
Hecla Limited
Red Doc

48N 5E 22/23/26

Technical Report Summary -  February 21, 2022
27-13

=== PAPER A — Mineral Commodity Summaries 2025: Cobalt ===
Source: https://pubs.usgs.gov/periodicals/mcs2025/
Words: 983 | Pages: 2 | Method: pdfplumber+pymupdf
================================================================================

--- PAGE 1 ---

COBALT
(Data in metric tons, cobalt content, unless otherwise specified)
Domestic Production and Use: In 2024, the Eagle Mine, a nickel-copper mine in Michigan, produced cobalt-bearing
nickel concentrate, which was exported to Canada or overseas for processing. Mining activity at a cobalt-copper-gold
mine in Idaho remained suspended in 2024 owing to low cobalt prices. Most U.S. cobalt supply consisted of imports
and secondary (scrap) materials. About five companies in the United States produced cobalt chemicals. An estimated
51% of cobalt consumed in the United States was used in superalloys, mainly aircraft gas turbine engines; 25% in a
variety of chemical applications; 15% in various other metallic applications; and 9% in cemented carbides for cutting
and wear-resistant applications. The total estimated value of cobalt consumed in 2024 was $260 million.
Salient Statistics—United States:

2024e
Production:e
Mine

Secondary1
2,010
1,800
1,920
2,030
2,000
Imports for consumption
9,740
9,790
10,500
9,500
11,000
Exports
3,430
4,930
5,360
5,110
4,500
Consumption (includes secondary):
Estimated2
7,260
7,270
7,570
7,840
8,000
Price, average, dollars per pound:
Apparente, 3
8,480
6,650
7,150
6,440
8,500
U.S. spot, cathode4
15.70
24.21
30.78
17.20

London Metal Exchange (LME), cash
14.21
23.17
28.83
15.48

Stocks, yearend:
Industrye, 2, 5

1,010

LME, U.S. warehouse

Net import reliance6 as a percentage of apparent
consumption

Recycling: In 2024, cobalt content of purchased scrap represented 25% of estimated cobalt consumption.
Import Sources (2020–23): Metal, oxide, and salts: Norway, 27%; Finland, 17%; Japan, 14%; Canada, 13%; and
other, 29%.
Tariff:      Item
Number
Normal Trade Relations
Cobalt ores and concentrates
2605.00.0000
Free.
12–31–24
Chemical compounds:
Cobalt oxides and hydroxides
2822.00.0000
0.1% ad valorem.
Cobalt chlorides
2827.39.6000
4.2% ad valorem.
Cobalt sulfates
2833.29.1000
1.4% ad valorem.
Cobalt carbonates
2836.99.1000
4.2% ad valorem.
Cobalt acetates
2915.29.3000
4.2% ad valorem.
Unwrought cobalt, alloys
8105.20.3000
4.4% ad valorem.
Unwrought cobalt, other
8105.20.6000
Free.
Cobalt mattes and other intermediate products;
8105.20.9000
Free.
Cobalt waste and scrap
8105.30.0000
Free.
cobalt powders
Wrought cobalt and cobalt articles
8105.90.0000
3.7% ad valorem.
Depletion Allowance: 22% (domestic), 14% (foreign).
Government Stockpile:7
FY 2024
FY 2025
Material
acquisitions
Potential
Potential
disposals
acquisitions
Potential
Potential
disposals
Cobalt alloys, gross weight8

Prepared by Samantha M. Ewing [(703) 648–6183, sewing@usgs.gov]

--- PAGE 2 ---
COBALT
U.S. Geological Survey, Mineral Commodity Summaries, January 2025
Events, Trends, and Issues: Global cobalt mine and refinery production were estimated to have increased to
another record high in 2024. The increase in mine production was mainly in Congo (Kinshasa), the world’s leading
source of mined cobalt, which accounted for an estimated 76% of world cobalt mine production, followed by
Indonesia, which accounted for 10%. China was the world’s leading producer of refined cobalt and increased metal
refining capacity throughout the year. The majority of China’s refinery production was from partially refined cobalt
imported from Congo (Kinshasa) and Indonesia. China was the world’s leading consumer of cobalt, with the majority
used by the lithium-ion battery industry. New production of mined and refined cobalt has led to excess global supply
and lower cobalt prices. In 2024, the United States enacted tariff rate increases on cobalt ores and concentrates
originating from China, as well as cobalt-containing products including electric vehicles and lithium-ion batteries.
World Mine Production and Reserves: Reserves for the United States, Canada, Indonesia, Papua New Guinea,
and “Other countries” were revised based on company and Government reports.

   Mine productione
Reserves9

United States

70,000
Australia
5,220
3,600
101,700,000
Canada
4,220
4,500
220,000
Congo (Kinshasa)
175,000
220,000
6,000,000
Cuba
3,300
3,500
500,000
Indonesia
19,000
28,000
640,000
Madagascar
4,000
2,600
100,000
New Caledonia11
2,570
1,500
NA
Papua New Guinea
3,070
2,800
62,000
Philippines
3,800
3,800
260,000
Russia
8,700
8,700
250,000
Turkey
2,500
2,700
91,000
Other countries
    6,080
    6,200
     800,000
World total (rounded)
238,000
290,000
11,000,000
World Resources:9 Identified cobalt resources of the United States are estimated to be about 1 million tons. Most of
these resources are in Minnesota. Other notable occurrences are in Alaska, California, Idaho, Michigan, Missouri,
Montana, Oregon, and Pennsylvania. Identified world terrestrial cobalt resources are about 25 million tons. The vast
majority of global resources are in sediment-hosted stratiform copper deposits in Congo (Kinshasa) and Zambia;
nickel-bearing laterite deposits in Australia and nearby island countries and Cuba; and magmatic nickel-copper sulfide
deposits of mafic and ultramafic rocks in Australia, Canada, Russia, and the United States.
Substitutes: Depending on the application, substitution for cobalt could result in a loss in product performance or
increase cost. The cobalt contents of lithium-ion batteries, the leading global use for cobalt, are being reduced; cobaltfree substitutes that use iron and phosphorus held significant market share in China. Potential substitutes in other
applications include barium or strontium ferrites, neodymium-iron-boron alloys, or nickel-iron alloys in magnets;
cerium, iron, lead, manganese, or vanadium in paints; cobalt-iron-copper or iron-copper in diamond tools; copperiron-manganese for curing unsaturated polyester resins; iron, iron-cobalt-nickel, nickel, ceramic-metallic composites
(cermets), or ceramics in cutting and wear-resistant materials; nickel-base alloys or ceramics in jet engines; nickel in
petroleum catalysts; rhodium in hydroformylation catalysts; and titanium-base alloys in prosthetics.
eEstimated, — Zero. NA Not available.
1Estimated from consumption of purchased scrap.
2Includes reported data and U.S. Geological Survey estimates.
3Defined for 2020–22 as secondary production + imports – exports ± adjustments for Government and industry stock changes for refined cobalt.
Beginning in 2023, Government stock changes no longer included.
4Source: S&P Global Platts Metals Week. Cobalt cathode is refined cobalt metal produced by an electrolytic process.
5Stocks held by consumers and processors; excludes stocks held by trading companies and held for investment purposes.
6Defined for 2020–22 as imports – exports ± adjustments for Government and industry stock changes for refined cobalt. Beginning in 2023,
Government stock changes no longer included.
7See Appendix B for definitions.
8Samarium-cobalt alloy; excludes potential disposals of aerospace alloys.
9See Appendix C for resource and reserve definitions and information concerning data sources.
10For Australia, Joint Ore Reserves Committee-compliant or equivalent reserves were 610,000 tons.
11Overseas territory of France.


=== PAPER B — Technical Report Summary on the Lucky Friday Mine, Idaho, USA S-K 1300 Report ===
Source: https://www.hecla.com/investors/sec-filings/
Words: 61,844 | Pages: 218 | Method: pdfplumber+pymupdf
================================================================================

--- PAGE 1 ---
Technical Report Summary on the
Lucky Friday Mine, Idaho, USA
S-K 1300 Report
Hecla Mining Company
SLR Project No:  101.00632.00022
February 21, 2022

--- PAGE 2 ---
Technical Report Summary on the Lucky Friday Mine, Idaho, USA
SLR Project No:  101.00632.00022

Prepared by
SLR International Corporation
22118 20th Ave SE, Suite G202
Bothell, WA 98021 USA
for

Hecla Mining Company
6500 N. Mineral Drive, Suite 200
Coeur d’Alene
Idaho, USA  83815

Effective Date – December 31, 2021
Signature Date - February 21, 2022

FINAL

Distribution:
1 copy – Hecla Mining Company

1 copy – SLR International Corporation

--- PAGE 3 ---
CONTENTS
1.0 EXECUTIVE SUMMARY
1.1 Summary
1.2 Economic Analysis
1.3 Technical Summary
2.0 INTRODUCTION
2.1 Site Visits
2.2 Sources of Information
2.3 List of Abbreviations
3.0 PROPERTY DESCRIPTION
3.1 Location
3.2 Land Tenure
3.3 Encumbrances
3.4 Royalties
3.5 Required Permits and Status
3.6 Other Significant Factors and Risks
4.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES
4.1 Accessibility
4.2 Climate
4.3 Local Resources and Infrastructure
4.4 Physiography
5.0 HISTORY
5.1 Introduction and Previous Ownership
5.2 Exploration and Development of the Lucky Fr
5.3 Exploration and Development of the Lucky Fr
5.4 Historical Resource Estimates
5.5 Past Production
6.0 GEOLOGICAL SETTING, MINERALIZATION, A
6.1 Regional Geology
6.2 Local and Property Geology
6.3 Mineralization
6.4 Deposit Types
7.0 EXPLORATION
7.1 Exploration
7.2 Drilling
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 i
  1-1
  1-1
  1-7
  1-9
  2-1
  2-1
  2-2
  2-3
  3-1
  3-1
  3-3
  3-5
  3-5
  3-5
  3-6
S, INFRASTRUCTURE AND PHYSIOGRAPHY   4-1
  4-1
  4-1
  4-1
  4-1
  5-1
  5-1
riday Vein System   5-1
riday Expansion Area (Gold Hunter)   5-3
  5-6
  5-7
AND DEPOSIT   6-1
  6-1
  6-4
  6-12
  6-13
  7-1
  7-1
  7-1
.00022
i

--- PAGE 4 ---
7.3
Hydrogeology Data   7-4
7.4
Geotechnical Data   7-5
8.0
SAMPLE PREPARATION, ANALYSES, AND SECURITY   8-1
8.1
Sample Preparation and Analysis   8-1
8.2
Bulk Density   8-2
8.3
Quality Assurance and Quality Control   8-3
8.4
SLR Review of QA/QC Results   8-4
8.5
Sample Security  8-7
8.6
QP Comments   8-8
9.0
DATA VERIFICATION   9-1
9.1
Database Procedures   9-1
9.2
SLR Validation Procedures   9-1
9.3
Validation Limitations and SLR QP Comments   9-3
10.0
MINERAL PROCESSING AND METALLURGICAL TESTING   10-1
10.1
Metallurgical Testing of Gold Hunter Ore by Dawson Metallurgical Laboratories-2008   10-1
10.2
Lucky Friday Mill Audit Report by Blue Coast Metallurgy Ltd. – 2011   10-6
11.0
MINERAL RESOURCE ESTIMATES   11-1
11.1
Summary   11-1
11.2
Gold Hunter   11-2
11.3
Lucky Friday Mine   11-33
12.0
MINERAL RESERVE ESTIMATES   12-1
12.1
Summary   12-1
12.2
Conversion to Mineral Reserves   12-2
12.3
Cut-Off Grade   12-3
12.4
Dilution   12-4
12.5
Extraction   12-5
12.6
Comparison to Previous Estimates   12-5
12.7
Mineral Reserve Reconciliation   12-7
13.0
MINING METHODS   13-1
13.1
Mine Operations   13-1
13.2
Ground Conditions   13-9
13.3
Mine Equipment and Personnel   13-12
13.4
Mine Infrastructure   13-13
13.5
Mine Plan   13-16
13.6
Mine Workforce   13-22
14.0
PROCESSING AND RECOVERY METHODS   14-1

Technical Report Summary -  February 21, 2022
ii

--- PAGE 5 ---
14.1
Crushing   14-1
14.2
Grinding   14-3
14.3
Flotation   14-5
14.4
Concentrate Dewatering   14-9
14.5
Tailings Dewatering and Disposal   14-11
14.6
Water Systems   14-14
14.7
Water Treatment Plants   14-14
14.8
Mill Production   14-14
14.9
Process Workforce   14-15
15.0
INFRASTRUCTURE   15-1
15.1
Access Roads   15-1
15.2
Power   15-1
15.3
Water   15-1
15.4
Accommodation Camp   15-1
15.5
Site Infrastructure   15-1
16.0
MARKET STUDIES   16-1
16.1
Markets   16-1
16.2
Contracts   16-2
17.0
ENVIRONMENTAL STUDIES, PERMITTING, AND PLANS, NEGOTIATIONS, OR
AGREEMENTS WITH LOCAL INDIVIDUALS OR GROUPS  17-1
17.1
Environmental Studies and Monitoring   17-1
17.2
Permitting   17-1
17.3
Reclamation and Closure   17-3
17.4
Social Governance   17-4
18.0
CAPITAL AND OPERATING COSTS   18-1
18.1
Capital Costs   18-1
18.2
Operating Costs   18-2
19.0
ECONOMIC ANALYSIS   19-1
19.1
Economic Criteria   19-1
19.2
Cash Flow Analysis   19-2
19.3
Sensitivity Analysis   19-5
20.0
ADJACENT PROPERTIES   20-1
21.0
OTHER RELEVANT DATA AND INFORMATION   21-1
22.0
INTERPRETATION AND CONCLUSIONS   22-1
22.1
Geology and Mineral Resources   22-1
22.2
Mining and Mineral Reserves   22-2

Technical Report Summary -  February 21, 2022
iii

--- PAGE 6 ---
22.3
Mineral Processing   22-3
22.4
Infrastructure   22-4
22.5
Environment   22-4
23.0
RECOMMENDATIONS   23-1
23.1
Geology and Mineral Resources   23-1
23.2
Mining and Mineral Reserves   23-1
23.3
Mineral Processing   23-1
23.4
Infrastructure   23-1
23.5
Environment   23-2
24.0
REFERENCES   24-1
25.0
RELIANCE ON INFORMATION PROVIDED BY THE REGISTRANT   25-1
26.0
DATE AND SIGNATURE PAGE   26-1
27.0
APPENDIX 1   27-1
27.1
Sample Statistics   27-2
27.2
Composite Statistics   27-4
27.3
Semi-Variograms   27-7
27.4
List of Claims   27-9

Technical Report Summary -  February 21, 2022
iv

--- PAGE 7 ---
Technical Report Summary -  February 21, 2022
v
TABLES
Table 1-1:
Production Summary   1-7
Table 1-2:
Life of Mine Indicative Economic Results  1-8
Table 1-3:
Summary of Mineral Resources – December 31, 2021   1-11
Table 1-4:
Summary of Mineral Reserves – December 31, 2021   1-12
Table 1-5:
Capital Cost Summary   1-16
Table 1-6:
Operating Cost Summary   1-16
Table 3-1:
Environmental Authorizations, Operating Permits, and Registrations   3-5
Table 5-1:
Summary of Lucky Friday Vein Exploration by Elevation and Year   5-2
Table 5-2:
Summary of Gold Hunter Vein Exploration by Elevation and Year   5-3
Table 5-3:
Previous Mineral Resource Estimate – December 31, 2020   5-6
Table 5-4:
Previous Mineral Reserve Estimate – December 31, 2020   5-7
Table 8-1:
Standards Grades   8-3
Table 10-1: DML Head Analysis Summary  10-1
Table 10-2: DML Grinding Test Results Summary   10-2
Table 10-3: Dawson Locked Cycle Test Summary, Cycles 5 to 7   10-3
Table 10-4: Locked Cycle Test Flotation Concentrate ICP Scan Results   10-5
Table 11-1: Summary of Mineral Resources – December 31, 2021   11-1
Table 11-2: Summary of Holes – Gold Hunter   11-3
Table 11-3: Summary of Samples – Gold Hunter   11-3
Table 11-4: Top Cuts   11-9
Table 11-5: Variogram Models   11-12
Table 11-6: Block Model Geometry   11-13
Table 11-7: Block Model Variables   11-13
Table 11-8: Search Parameters   11-15
Table 11-9: Comparison of Global Block and Composite Grades   11-22
Table 11-10: Comparison of Block Models at the US$200/t Cut-Off   11-26
Table 11-11: Gold Hunter Mineral Resources to December 31, 2021   11-31
Table 11-12: Depth Reduction Factors  11-37
Table 11-13: Lucky Friday Mineral Resources – December 31, 2021   11-38
Table 12-1: Summary of Mineral Reserves – December 31, 2021   12-1
Table 12-2: Mineral Reserves by Vein – December 31, 2021   12-2

--- PAGE 8 ---
Technical Report Summary -  February 21, 2022
vi
Table 12-3: NSR Cut-off Values (US$/ton)   12-3
Table 12-4: Mineral Reserve Comparison 2020 to 2021  12-6
Table 12-5: Mineral Reserve Change 2020 to 2021 After Production   12-7
Table 12-6: Q1 to Q3 2021 Reconciliation Data   12-9
Table 12-7: Q1 to Q3 2021 Reconciliation Results   12-10
Table 12-8: 2021 Reconciliation Data   12-11
Table 12-9: 2021 Reconciliation Results   12-11
Table 13-1: Lucky Friday Mine Production Summary   13-1
Table 13-2: Lucky Friday Mobile Equipment Fleet   13-12
Table 13-3: Annual LOM Production   13-18
Table 13-4: Annual Development Plan   13-21
Table 14-1: Hecla Lucky Friday Mill Production from 2016 through 2021   14-14
Table 16-1: Hecla Historical Average Realized Metal Prices   16-2
Table 16-2: Lead and Zinc Forward Sales Summary   16-3
Table 17-1: Permits and Authorizations  17-2
Table 18-1: Capital Cost Summary   18-1
Table 18-2: 2016 to 2021 Operating Cost Data  18-2
Table 18-3: Operating Cost Summary   18-3
Table 18-4: Current Manpower   18-4
Table 18-5: LOM Manpower Levels   18-4
Table 19-1: Production Summary   19-1
Table 19-2: After-Tax Cash Flow Summary   19-3
Table 19-3: Sensitivity Analysis Summary   19-6

--- PAGE 9 ---
Technical Report Summary -  February 21, 2022
vii
FIGURES
Figure 3-1: Lucky Friday Mine Location Map   3-2
Figure 3-2: Lucky Friday Complex Claim Map   3-4
Figure 6-1: Regional Geology   6-2
Figure 6-2: Lewis and Clark Line   6-3
Figure 6-3: Local Geology   6-5
Figure 6-4: Stratigraphic Column   6-6
Figure 6-5: Property Geology   6-9
Figure 6-6: Geological Plan 5900 Level  6-10
Figure 6-7: Cross Section   6-11
Figure 7-1: Gold Hunter Diamond Drill Plan   7-2
Figure 8-1: Prep Duplicates – Silver   8-4
Figure 8-2: Pulp Split Duplicates – Silver   8-5
Figure 8-3: Example Control Chart for Silver – Standard C (ALS)   8-6
Figure 8-4: Example Control Chart for Zinc – Standard C (ALS)   8-6
Figure 8-5: Example Control Chart For Lead – Standard D (Gem)   8-7
Figure 11-1: 30 Vein 3D View Looking Northwest   11-5
Figure 11-2: Log Histogram and Probability Plot For Silver – 30 Vein   11-6
Figure 11-3: Probability Plot of Sample Lengths   11-11
Figure 11-4: 90 Vein Classification   11-18
Figure 11-5: 90 Vein Classification   11-20
Figure 11-6: Drift Analyses – 30 Vein   11-24
Figure 11-7: Drift Analyses – 60 Vein   11-25
Figure 11-8: Tonnage and Grade Curves   11-27
Figure 11-9: Longitudinal Projection – 50 Vein   11-29
Figure 11-10:
Longitudinal Projection – 30 Vein   11-30
Figure 11-11:
Example Longitudinal Projection of Lucky Friday Vein   11-35
Figure 12-1: Dilution Schematic   12-4
Figure 13-1: Isometric View of As-built Lucky Friday Workings   13-2
Figure 13-2: Mechanized Overhand and Underhand Stoping   13-4
Figure 13-3: Underhand Closed Bench Mining Method Schematic   13-5
Figure 13-4: Conceptual Fault-Slip in UCB Cross Section   13-6

--- PAGE 10 ---
Technical Report Summary -  February 21, 2022
viii
Figure 13-5: Backfill Schematic  13-8
Figure 13-6: Lucky Friday ESG Seismic Monitoring System Schematic   13-11
Figure 13-7: Mine Cooling System Schematic   13-15
Figure 13-9: Longitudinal Section – 2D View  13-19
Figure 13-10:
Longitudinal Section – Oblique View   13-20
Figure 14-1: Crushing Process Flow Diagram   14-2
Figure 14-2: Grinding Process Flow Diagram   14-4
Figure 14-3: Lead Flotation Process Flow Diagram   14-6
Figure 14-4: Zinc Flotation Process Flow Diagram   14-8
Figure 14-5: Concentrate Dewatering Process Flow Diagram   14-10
Figure 14-6: Tailings Sand Plant Process Flow Diagram   14-12
Figure 14-7: Tailings Water Treatment Process Flow Diagram   14-13
Figure 15-1: Infrastructure Layout   15-0
Figure 19-1: After-tax NPV at 5% Sensitivity Analysis   19-7

APPENDIX TABLES AND FIGURES
Table A1:
Sample Statistics - Silver (oz/ton)   27-2
Table A2:
Sample Statistics - Iron (%)   27-2
Table A3:
Sample Statistics - Lead (%)  27-3
Table A4:
Sample Statistics - Zinc (%)   27-3
Table A5:
 Composite Statistics - Silver (oz/ton)   27-4
Table A6:
 Composite Statistics - Iron (%)   27-5
Table A7:
 Composite Statistics - Lead (%)   27-5
Table A8:
 Composite Statistics - Zinc (%)   27-6
Table A9:
Unpatented Mineral Claims – Lucky Friday Mine   27-9
Table A10: Patented Mineral Claims – Lucky Friday Mine   27-12

Figure A1:
Variogram Model For Silver – 30 Vein   27-7
Figure A2:
Variogram Model For Iron – 30 Vein  27-7
Figure A3:
Variogram Model For Lead – 30 Vein   27-8
Figure A4:
Variogram Model For Zinc – 30 Vein   27-8

--- PAGE 11 ---
Technical Report Summary -  February 21, 2022
1-1
1.0 EXECUTIVE SUMMARY
1.1
Summary
SLR International Corporation (SLR) was retained by Hecla Mining Company (Hecla) to prepare an
independent Technical Report Summary (TRS) on the Lucky Friday Mine (Lucky Friday or the Property),
located in Shoshone County, Idaho, USA.  Hecla owns and operates 100% of the Property via ownership
through two of its 100% owned subsidiaries.
The purpose of this TRS is to disclose the results of the Mineral Resource and Mineral Reserve estimates
for the Property with an effective date of December 31, 2021.
Hecla is listed on the New York Stock Exchange (NYSE) and currently reports Mineral Reserves of lead,
zinc, silver, and gold in United States Securities and Exchange Commission (SEC) filings.  This TRS conforms
to SEC’s Modernized Property Disclosure Requirements for Mining Registrants as described in Subpart
229.1300 of Regulation S-K, Disclosure by Registrants Engaged in Mining Operations (S-K 1300) and Item
601 (b)(96) Technical Report Summary.  SLR visited the Property on October 5 and 6, 2021.
The Property includes the Lucky Friday mine and processing plant (or mill) in the city of Mullan, Idaho.
The mine is a deep underground silver, lead, and zinc mine that produces silver and zinc concentrates
from ore-bearing fissure veins.  The plant is a concentrator facility producing silver and zinc concentrates
that has a current operating rate of 1,000 short tons per day (stpd).
The Property commenced operations in 1942 and observed its 75th anniversary in 2017.  In 2021, the
underground operation mined 315,000 tons of ore and produced 32,000 tons of silver concentrates and
14,000 tons of zinc concentrates.  The concentrates were transported 209 miles (mi) to the Teck Metals
Ltd. (Teck) lead/zinc smelter in Trail, British Columbia, Canada in highway trucks operated by a contract
shipper.  This 2021 production profile amounted to 3.6 million ounces (Moz) of silver, 23,100 tons of lead,
and 10,000 tons of zinc produced.
1.1.1 Conclusions
SLR offers the following conclusions by area.
1.1.1.1
Geology and Mineral Resources

As prepared by Hecla and reviewed and accepted by SLR, the Lucky Friday Measured and Indicated
Mineral Resources are estimated to total approximately 10.50 million tons (Mst) at an average
grade of approximately 7.6 oz/ton Ag, 4.9% Pb, and 2.5% Zn.  Inferred Mineral Resources are
estimated at approximately 5.38 Mst at an average grade of approximately 7.8 oz/ton Ag, 5.8%
Pb, and 2.4% Zn.  All Mineral Resources are effective as of December 31, 2021 and are stated
exclusive of Mineral Reserves.

The drilling, core handling, logging, and sampling at Lucky Friday is being conducted according to
common industry practice, in a manner appropriate for the deposit type and mineralization style.

The chip sampling practices at the site are reasonable, appropriate for the mineralization style,
and consistent with common industry practice.

Bulk density estimates are conducted in a reasonable fashion, using an appropriate method.

--- PAGE 12 ---
Technical Report Summary -  February 21, 2022
1-2

Samples are handled and transported securely and only in the custody of Hecla employees or
bonded carriers.

The assay quality assurance and quality control (QA/QC) protocols in place at Lucky Friday are
rigorous, and the results to date are satisfactory.

The sampling is done such that the samples are representative of the mineralized bodies. There
are no concerns apparent with the assay results and they are suitable for use in a Mineral
Resource estimate.

The databases are managed in a secure environment, using conventional off-the-shelf software
packages that are up-to-date and appropriate for the tasks to which they are applied.  The staff
are competent, well-trained, and experienced and they have been provided with clear and
reasonable protocols to follow.

The database on which resource estimation is based is properly configured and maintained and is
appropriate for use in estimation of Mineral Resources and Mineral Reserves.

The wireframe models for the veins are reasonable and representative of the host structures.
Minor inconsistencies exist but are not considered to be a serious concern, and will be resolved
with additional work.

The sample grade distributions for silver, lead, and zinc are observed to be positively skewed
which could result in biases in the block interpolations unless corrective measures are taken.
Capping is currently being employed at Lucky Friday and this is viewed as appropriate.

There is evidence of sub-populations within the grade distributions for several veins. Additional
work may be warranted to identify and isolate these sub-populations if possible.

Compositing of the samples is carried out in a reasonable fashion.

The block model is configured appropriately and constructed with off-the-shelf software that is
commonly used in the industry.

The grade interpolations were conducted in a reasonable manner consistent with common
practice using an appropriate estimation algorithm commonly used within the industry.

The Mineral Resources are classified according to the Committee for Mineral Reserves
International Reporting Standards (CRIRSCO) definitions and, as such, are consistent with the
requirements of S-K 1300.

The method used to apply the classification is broadly consistent with common industry practice,
although the resulting categorizations appear somewhat aggressive for Measured.

The net smelter return (NSR) cut-off value is a reasonable approach which has been applied in an
appropriate manner.

The validation methods used at Lucky Friday are appropriate, although they represent a fairly
minimum standard of review.

The stope optimization and reporting procedures are generally reasonable.

The Mineral Resource estimate for Lucky Friday has been carried out in a reasonable fashion,
consistent with conventional, although somewhat dated, industry practice.
1.1.1.2
Mining and Mineral Reserves

Mineral Reserve estimates, as prepared by Hecla and reviewed and accepted by SLR, have been
classified in accordance with the definitions for Mineral Reserves in S-K 1300.  Mineral Reserves

--- PAGE 13 ---
Technical Report Summary -  February 21, 2022
1-3
as of December 31, 2021 total 5.46 Mst grading 13.7 oz/ton Ag, 8.3% Pb, and 3.3% Zn and
containing 74.7 Moz of silver, 452,000 tons of lead and 181,000 tons of zinc at an NSR cut-off
value of US$208/ton.

Measured and Indicated Mineral Resources were converted to Proven and Probable Mineral
Reserves, respectively, through the application of modifying factors.  Inferred Mineral Resources
were not converted to Mineral Reserves.

The Mineral Reserves are all located within the Gold Hunter deposit in seven separate veins.  The
30 Vein is the most significant with 68% of the Mineral Reserve tonnage and 70% of the contained
silver.

Mineral Reserves are estimated by qualified professionals using modern mine planning software
in a manner consistent with industry practice.

Lucky Friday is an old, well established mine with many years of operating experience, providing
the necessary expertise to safely and economically extract the Mineral Reserves.

Mining at Lucky Friday utilizes mechanized underhand cut and fill, and underhand closed benching
(UCB) with cemented paste backfill.  In this method, the mining progresses downwards in a stope,
occurring beneath the cemented paste backfill of the preceding lift.  The mining methods used
are appropriate to the deposit style, depth and geotechnical conditions and employ a range of
modern mining equipment;

The mine developed the UCB method for bulk mining of the 30 Vein.  This method is designed to
improve safety through the management of seismic events and to increase productivity. The UCB
method is a bulk mining method which utilizes 27 ft deep blastholes with ore mucked in 11.5 ft
benches.

The current Mineral Reserve estimate is based on the use of UCB mining for the majority of the
deposit and represents a change from previous mining methods and Mineral Reserve estimates.

Over the past nine years, the mine production silver grade has been less than the Mineral Reserve
grade estimate, indicating a poor correlation with production data.

Stopes in the mine are relatively narrow with an eleven foot minimum mining width in the 30 Vein
above the 7500 level, nine foot minimum width below the 7500 level, and eight foot minimum
width in the Intermediate Veins.

Stopes are diluted to the greater of the ore width or the minimum mining width.  This dilution is
assigned background metal grades based upon the block model estimates.  Subsequently, the
stopes are diluted by a further 15% for UCB stopes and 5% for cut and fill stopes with zero grade
unplanned dilution.

SLR is of the opinion that the 15% dilution estimate in the UCB mining is a potentially optimistic
estimate considering the short time that the method has been in use, the impact of vein deviation
over the 27 ft cut depth, the use of infill drill information as opposed to face by face mapping,
changes in the vein along strike and dip, and potential overbreak from blasting.

The 30 Vein Mineral Reserve includes internal low grade and waste blocks that do not meet the
cut-off grade criteria but are included as the material must be mined considering the stope
geometry and seismicity.

The planned use of UCB mining at a nine foot minimum width (30 Vein at depth) is not based upon
detailed layouts and represents potential risks related to production capacity and dilution
estimates at depth.

--- PAGE 14 ---
Technical Report Summary -  February 21, 2022
1-4

Extraction for all mining methods is assumed to be 100%.

SLR verified that Hecla’s selected metal prices for estimating Mineral Reserves are consistent with
independent forecasts from banks and other lenders.

The mine uses proven, modern trackless mobile equipment with load haul dump (LHD) units up
to 3.5 yd3 capacity.

The life of mine (LOM) plan has been appropriately developed to maximize mining efficiencies,
based on the current knowledge of geotechnical, hydrological, mining, and processing
information on the Lucky Friday Mine.

The equipment and infrastructure requirements for LOM operations are well understood.

The LOM extends 17 years to 2038, with mine production projected to increase to an annual rate
of approximately 425,000 tons.  The increased production is based upon projected productivity
improvements in mining, increased daily development advance, and higher utilization of the
existing mine infrastructure, however, improvements may be difficult to achieve considering the
extent of the mine, stope widths, and mining depths.

Meeting growth requirements of the LOM plan (production and development) is typically a
challenge for wide spread narrow vein mines.  SLR is of the opinion that meeting the LOM plan
will require ongoing effort to optimize the UCB mining method and attain planned increases in
productivity.
1.1.1.3
Mineral Processing

The Lucky Friday mill is a conventional silver and zinc flotation concentrator that has been in
operation since 1942 and owned and operated by Hecla since 1958.  Concentrates are shipped by
highway trucks to the Teck smelter at Trail, British Columbia, Canada.  The mill has a compact and
efficient design that has been upgraded over the years including the addition of flash flotation in
the grinding circuit, column flotation for concentrate cleaning, and on-stream analyzers for
process control.

The concentrator performed very consistently from 2016 through 2021 with steady lead, zinc, and
silver head grades, silver and zinc concentrate grades, and recoveries.  The mill operated in the
38 tons per hour (stph) to 44 stph range with a reported mill availability of 93%.  Low production
from 2017 through 2019 was due to labor issues.

The mine plan includes a 20% increase in mill production from the current 340,000 tons per year
(stpa), or 930 stpd, to 425,000 stpa, or 1,164 stpd, each at 92% availability. Work is being done to
debottleneck the Plant including slurry pumping capacity to achieve the new targets.

The target concentrate grade for lead is 60% for the best recovery, though the grade can be
increased to 63% to 64% without significant loss of recovery.

The focus of metallurgical testing is on plant performance including quality improvements and
the potential to increase production.  A significant metallurgical test program was performed to
characterize the Gold Hunter deposit in 2008, including mineralogy, comminution testing, and
flotation testing.  The ore is very consistent, which benefits plant performance.

In July 2011, an audit of the Lucky Friday process including detailed circuit sampling was
performed to support studies to increase plant production.  During the survey, the lead flash cell
recovered 60% to 70% of the lead and silver in the plant feed, reducing the load on the lead
cleaning circuit.  The total silver, lead, and zinc recoveries to silver concentrate were 91.7%, 90%,

--- PAGE 15 ---
Technical Report Summary -  February 21, 2022
1-5
and 12%, respectively, to a concentrate containing 60% Pb, 130 oz/ton Ag, and 3.5% Zn. Zinc
recovery to the zinc concentrate was 81.3% to a concentrate grading 48.6% Zn.  Lead recovery to
the zinc concentrate was 2.3% and the silver recovery to the zinc concentrate was 3.9%.
1.1.1.4
Infrastructure

Lucky Friday has all of the infrastructure necessary for the ongoing operations and has plans for
refurbishment or repair as necessary within the mine plan.
1.1.1.5
Environment

Lucky Friday maintains a comprehensive environmental management and compliance program.
All permits needed for current Lucky Friday operations are in place, and staff at the Property
continually monitors permit/regulated conditions and files required reports with the applicable
regulatory agencies at the federal, state, and local level.

Hecla’s Environmental Management System (EMS) follows a 13-element plan-do-check-act
approach that ensures continuous improvement around issues including obligation registers,
management of change, air quality, water and waste management, energy management, training,
and reporting. This system promotes a culture of environmental awareness and innovation
throughout the company.  The EMS program is benchmarked against ISO-14001 and complements
Canada’s Towards Sustainable Mining (TSM) program.  On a related matter, there appears to be
good cross-discipline support for the overall environmental program.

In previous resource/reserve reporting documents, Lucky Friday reported experiencing a number
of alleged permit exceedances for water discharges (National Pollutant Discharge Elimination
System (NPDES) and Multi-Sector General Permit (MSGP)) at the Property.  Lucky Friday received
an Environmental Protection Agency (EPA) Notice of Violation for non-compliance with the NPDES
Permit and various discharges exceeding the maximum daily standard for lead (50 μg/L).  In all
instances, Lucky Friday has worked cooperatively with EPA to resolve these issues.

Lucky Friday has developed reclamation/closure plan and the most recent cost estimate (2021) to
perform this work is US$39.9 million.  Reclamation and closure plans have been submitted to the
appropriate agencies.  Asset Retirement Obligation (ARO) legal obligations are updated regularly
and based upon existing site conditions, current laws, regulations and costs to perform the
permitted activities. The ARO is to be conducted in accordance with Financial Accounting
Standards Board (FASB) Accounting Standards Codification (ASC) 410.

Lucky Friday reports that community relationships are excellent, and the company maintains an
office in the city of Wallace to maintain a community presence.
1.1.2 Recommendations
SLR offers the following recommendations by area.
1.1.2.1
Geology and Mineral Resources
1. Conduct additional review of the sample grade distributions within the veins to see if coherent
groupings of sub-populations can be isolated for interpolation purposes.

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Technical Report Summary -  February 21, 2022
1-6
2. Modify the resource classification procedures to provide an opportunity for manual adjustments,
as opposed to a strictly computer-driven approach.  This will allow changes to be made to remove
unrealistic artifacts in the classification.
3. Consider an additional level of block model validation, such as comparisons to alternative
estimation methods.
1.1.2.2
Mining and Mineral Reserves
4. Continue the use of UCB mining in the 30 Vein and continue to attempt to improve the UCB
method.
5. Conduct close monitoring of the stoping performance including regular surveys as the void is
exposed and reconciliation of the stope designs to the Mineral Reserve estimates to confirm and,
if necessary, refine the Mineral Reserve estimate
6. Calculate NSR values on a fully diluted basis and use these values to determine cut-off values and
Mineral Reserve boundaries.
7. Evaluate the internal portions of Mineral Reserve material that fall below cut-off value within the
30 Vein to confirm that they are economically justifiable to mine and develop further cut-off
criteria for must take material.
8. Undertake a more detailed dilution and extraction study, including consideration of the existing
reconciliation studies, to better quantify the extraction, dilution, and other modifying factors that
Hecla is currently applying to all production designs.
9. Use the results of the above noted studies to determine the actions necessary to align mine
production grades with the Mineral Reserve estimates.
10. Review mining plans to define definitive actions to attain the planned improvements in mining
productivity and daily development advance.
11. Further develop the plans for UCB mining at the planned nine foot minimum mining width.
1.1.2.3
Mineral Processing
1. Continue metallurgical testing to support the plan for increased production.
2. The ability to perform on-site metallurgical testing is limited due to the capabilities of the current
laboratory.  An upgrade to the laboratory is recommended and has been budgeted for 2024.
1.1.2.4
Infrastructure
1. Continue the upgrades, repairs, and rehabilitation to existing infrastructure to support the LOM
plan.
1.1.2.5
Environment
1. Track and participate in the development of new environmental and mine permitting regulations
that could impact operations.
2. Continue to perform internal and external audits of environmental compliance.
3. Even though opportunity is limited, investigate opportunities for concurrent reclamation to
minimize financial obligation(s) at closure.
4. Continue to update reclamation and closure cost estimates on a regular basis.

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Technical Report Summary -  February 21, 2022
1-7
1.2
Economic Analysis
1.2.1 Economic Criteria
An after-tax Cash Flow Projection has been generated from the LOM production schedule and capital and
operating cost estimates, and is summarized in Table 1-2.  A summary of the key criteria is provided below.
1.2.1.1
Physicals

Total mill feed processed: 5.5 Mst

Average processing rate: 892 stpd with the following production profile (Table 1-1):
Table 1-1:
Production Summary

Commodity
Head Grade
% Recovery
Recovered
Metal
Annual
Production
Payable
Metal
Silver
13.7 oz/ton
96.4
72.0 Moz
4.2 Moz
67.4 Moz
Lead
8.3%
95.7
866 Mlb
51 Mlb
811 Mlb
Zinc
3.3%
93.7
340 Mlb
20 Mlb
251 Mlb
1.2.1.2
Revenue

Metal prices used in the economic analysis are constant US$21/oz Ag, US$0.95/lb Pb, and
US$1.25/lb Zn.

Revenue is calculated assuming the above metal price forecast and incorporates a $1.8 million
hedge gain for lead and zinc over the first three years of cash flow.

Average LOM concentrate freight cost: $47/wet ton Cost, Insurance, and Freight (CIF) basis to
customer’s discharge points.

Average LOM treatment charge: $139/dry metric tonne (dmt) silver concentrate plus $3.90/dmt
for antimony penalty, $162/dmt zinc concentrate, and $8.70/dmt for iron and mercury penalties.

Average LOM refining costs for concentrates: $0.10/dmt.
1.2.1.3
Capital and Operating Costs

Mine life of 17 years

LOM sustaining capital costs of $372 million

LOM site operating cost of $187.81/ton milled (excludes financing and corporate overhead costs)

LOM closure/reclamation $38.7 million in year after final production
1.2.1.4
Taxation and Royalties
Mining companies doing business in Idaho are primarily subject to U.S. corporate income tax, Idaho State
income tax, and Idaho Mining License tax.  The State of Idaho levies a mining license tax on mining net
income received in connection with mining properties and activities in Idaho, at a rate of 7%. The U.S.
corporate income tax rate is 21% and the Idaho state income tax rate is 6.5%.

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Technical Report Summary -  February 21, 2022
1-8
No income tax is anticipated to be payable through the LOM.  Hecla will use a combination of existing and
forecasted depreciation expenses, allocation of expenses from other entities within the consolidated tax
group, percentage depletion allowances, and existing net operating losses to generate zero annual taxable
income through the LOM.  However, the Lucky Friday Mine will still incur $4 million for Idaho State mining
taxes during the LOM.
The current production zones in the LOM are not subject to any royalty to a third party/previous
landowner.
1.2.2 Cash Flow Analysis
SLR has reviewed Hecla’s Lucky Friday Mineral Reserves only model and has prepared its own unlevered
after-tax LOM cash flow model based on the information contained in this TRS to confirm the physical and
economic parameters of the mine.
The Lucky Friday economics have been evaluated using the discounted cash flow method by considering
annual processed tonnages and grade of ore.  The associated process recovery, metal prices, operating
costs, refining and transportation charges, and sustaining capital expenditures were also considered.
The indicative economic analysis results, presented in Table 1-2 with no allowance for inflation, show a
pre-tax and after-tax net present value (NPV), using a 5% discount rate, of $557 million and $554 million,
respectively.  The SLR Qualified Person (QP) is of the opinion that a 5% discount/hurdle rate for after-tax
cash flow discounting of long lived precious/base metal operations in a politically stable region is
reasonable and appropriate and commonly used.  For this cash flow analysis, the internal rate of return
(IRR) and payback are not applicable as there is no negative initial cash flow (no initial investment to be
recovered) since Lucky Friday has been in operation for a number of years.
Table 1-2:
Life of Mine Indicative Economic Results

Description
US$ M
Realized Market Prices

Ag (US$/oz)
$21.00
Pb (US$/lb)
$0.95
Zn (US$/lb)
$1.25
Payable Metal

Ag (Moz)
67.4
Pb (Mlb)

Zn (Mlb)

Total Gross Revenue
2,502
Mine Cost
(415)
Mill Cost
(118)
Maintenance Cost
(270)
G & A Cost
(183)

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Technical Report Summary -  February 21, 2022
1-9
Description
US$ M
Profit Sharing
(39)
Concentrate Freight Cost
(50)
Offsite Costs
(234)
Total Operating Costs
(1,308)
Operating Margin (EBITDA)
1,194
Total Tax Payable
(4)
Operating Cash Flow
1,190
Sustaining Capital
(372)
Closure/Reclamation Capital
(39)
Total Capital
(411)

Pre-tax Free Cash Flow

Pre-tax NPV @ 5%

After-tax Free Cash Flow

After-tax NPV @ 5%

1.2.3 Sensitivity Analysis
The Property’s after-tax cumulative cash flow discounted at 5% from the model presented above were
analyzed for sensitivity to variations in revenue, operating, and capital cost assumptions.  The results of
the sensitivity analysis demonstrate that the Mineral Reserve estimates are most sensitive to variations
in metal prices, less sensitive to changes in metal grades and recoveries, and least sensitive to fluctuations
in operating and capital costs.
1.3
Technical Summary
1.3.1 Property Description
The Lucky Friday silver-lead-zinc mine and mill complex is located approximately one-half mile east of
Mullan in Shoshone County, Idaho, and 55 mi east of Coeur d’Alene, Idaho along Interstate Highway 90.
The Property is located in the Coeur d’Alene District, which is one of, if not the most prolific silver mining
camps in the world. Current production is from underground using both underhand and overhand
mechanized cut and fill methods.  Ore is processed using conventional crushing, grinding, and lead-zinc
flotation with a current operating rate of 1,000 tpd.  The operation currently employs approximately 400
full-time employees.
1.3.2 Land Tenure
The Lucky Friday Expansion Area (formerly known as the Gold Hunter vein system) is owned 81.5% by
Hecla Limited and 18.5% by Silver Hunter Mining Company (Silver Hunter).   Both companies are
subsidiaries of Hecla.  There are no encumbrances on the Property, nor are there any royalties payable.

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Technical Report Summary -  February 21, 2022
1-10
The Lucky Friday vein system is 100% owned by Hecla Limited.  The Property comprises approximately
710 acres of patented mining and millsite claims and fee lands, and 535 acres of unpatented mining claims.
1.3.3 History
The Lucky Friday deposit was discovered in 1880, and the Lucky Friday Silver-Lead Mines Company
initiated commercial production from Lucky Friday in 1942.  Hecla acquired ownership of Lucky Friday in
1964 via a merger with Lucky Friday Silver-Lead Mines Company.
In 1968, Hecla entered a series of agreements with Day Mines Inc., Abot Mining Company, and
Independence Lead Mines Company, the owners of the Gold Hunter deposit and surrounding properties.
Day Mines was merged in 1981 with a wholly owned subsidiary of Hecla, Hecla-Day Mining Corporation,
which was merged into Hecla the following year. In 2001, Abot quit-claimed its interests to Hecla, and in
2007, Hecla acquired the assets of Independence Lead Mines Company through its wholly owned
subsidiary, Silver Hunter Mining Company.
The total mine production from the Lucky Friday deposit now exceeds 108 Moz of silver making it the
Coeur d’Alene District’s fourth largest silver producer.  The Gold Hunter deposit is the sixth largest silver
producer in the district with 12 Moz mine in the historic workings and just over 45 Moz from more recent
operations.
1.3.4 Geological Setting, Mineralization, and Deposit
The deposits of the Coeur d’Alene District, including Lucky Friday, are clastic metasediment hosted vein
silver-lead-zinc deposits. They occur as veins in branching and anastomosing steeply dipping shears in
metamorphosed sedimentary rocks of the Proterozoic-age Belt Supergroup.  Host rocks are primarily
quartzites and argillites of the Wallace (Gold Hunter) and Revett (Lucky Friday) Formations. Vein
mineralization at Lucky Friday occurs as fracture-fillings, disseminations, and tabular masses of galena and
tetrahedrite along with accessory pyrite in a gangue of iron carbonate (siderite), calcite, and quartz. The
Lucky Friday zone is a single tabular body that curves from east-northeast to northeast in strike and dips
almost vertically.  The Gold Hunter system comprises a package of parallel veins striking at approximately
110° and dipping vertically to steeply southwards. There are Mineral Resources estimated on 16 of the
Gold Hunter Veins.  The most important of these in terms of resources and production is the 30 Vein.
1.3.5 Exploration
Currently, no exploration work is being conducted at Lucky Friday.  Underground diamond drilling for
Mineral Reserve definition is ongoing.
1.3.6 Mineral Resource Estimates
Mineral Resource estimates have been prepared for the Gold Hunter Veins as well as the Lucky Friday and
Ancillary Veins.  At Gold Hunter, estimates have been carried out for the 5, 20, 30, 40, 41, 50, 60, 70, 80,
90, 100, 110, 120, 130, 140, and 150 Veins.
The Mineral Resources at Gold Hunter are estimated using a block model method, with grades for silver,
lead, zinc, and iron interpolated into the blocks by inverse distance squared (ID2) weighting.  The
interpolations are constrained by wireframe models of the host veins. Grades are interpolated for silver,
lead, zinc, and iron.

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Technical Report Summary -  February 21, 2022
1-11
Sample data consists of diamond drill core and chip samples. High grades for silver, lead, and zinc are
capped at the 95th percentile of the sample distributions for each vein.  Capped samples are composited
to a nominal three-foot length. Block grade interpolations are conducted in a series of three passes of
progressively larger search radii and more liberal composite selection criteria.
Mineral Resources for Lucky Friday are estimated using a polygonal method based on longitudinal
projections of the veins.
Tonnage factors are estimated using stoichiometric equations based on the assay values for iron, lead,
and zinc. Different equations are used for the Gold Hunter and Lucky Friday deposits owing to differences
in vein mineralogy.
The minimum width for the Gold Hunter and Lucky Friday Veins can be between eight feet and 11 ft,
depending on the expected mining method. Veins are diluted with zero grade material to achieve the
minimum width constraint.
Mineral Resources are classified according to the definitions in S-K 1300, and are reported exclusive of
Mineral Reserves. The Mineral Resources, estimated by Hecla and reviewed and accepted by SLR, are
reported using an NSR cut-off value of US$173/ton at Gold Hunter and US$207/ton at Lucky Friday.  The
Lucky Friday Mineral Resource estimate as of December 31, 2021, is presented in Table 1-3.
Table 1-3:
Summary of Mineral Resources – December 31, 2021

Tonnage
(000 tons)
Grade
NSR
(US$/t)
Contained Metal
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz)
Pb
(000 tons)
Zn
(000 tons)
Measured
8,650
7.6
4.9
2.5

65,800

Indicated
1,840
7.6
5.1
2.4

14,000

Measured +
Indicated
10,500
7.6
4.9
2.5

79,800

Inferred
5,380
7.8
5.8
2.4

41,900

Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves at Gold Hunter, whereas there are no Mineral Reserves currently
at Lucky Friday.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated by block, based on mineralogical content.
7.
Mineral Resources are estimated at NSR cut-off grades of US$173/ton for Gold Hunter and US$207/ton for Lucky
Friday.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.
The SLR QP is of the opinion that with consideration of the recommendations summarized in in this
section, any issues relating to all relevant technical and economic factors likely to influence the prospect
of economic extraction can be resolved with further work.

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Technical Report Summary -  February 21, 2022
1-12
1.3.7 Mineral Reserve Estimates
Mineral Reserve estimates, prepared by Hecla and reviewed and accepted by SLR, have been classified in
accordance with the definitions for Mineral Reserves in S-K 1300 and are estimated to total 5.46 Mst
grading 13.7 oz/ton Ag, 8.3% Pb, and 3.3% Zn and summarized in Table 1-4.  While resources exist at the
Lucky Friday deposit, Mineral Reserves are reported only for the Gold Hunter deposit, as this is the only
area in the current LOM plan.
Table 1-4:
Summary of Mineral Reserves – December 31, 2021

Category
Tonnage
(000 tons)
Grade
Contained Metal
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz Ag)
Pb
(000 tons)
Zn
(000 tons)
Proven
4,691
13.92
8.43
3.40
65,313
395.3
159.4
Probable

12.26
7.47
2.83
9,386
57.2
21.7
Total Proven + Probable
5,456
13.69
8.29
3.32
74,699
452.4
181.0
Notes:
1.
Classification of Mineral Reserves is in accordance with the S-K 1300 classification system.
2.
Mineral Reserves were estimated by Hecla and reviewed and accepted by SLR.
3.
Mineral Reserves are 100% attributable to Hecla.
4.
Mineral Reserves are estimated at an NSR cut-off of $208/ton.
5.
The NSR values reflect the discrete metallurgical responses for the Mineral Reserve blocks.
6.
Mineral Reserves are estimated using an average long-term silver price of US$17.00/oz, lead price of US$0.90/lb and
zinc price of US$1.15/lb.
7.
A minimum mining width of 11 ft was used for 30 Vein above 7500 level, 9 ft for 30 Vein below 7500 level, and 8 ft for
all other veins.
8.
A bulk density of 0.086 tons/ft3 was used for waste material. Mineral Reserve bulk density was calculated by block,
based on mineralogical content.
9.
Numbers may not add due to rounding.
Measured Mineral Resources were converted to Proven Mineral Reserves, and Indicated Mineral
Resources were converted to Probable Mineral Reserves.  Inferred Mineral Resources were not converted
to Mineral Reserves and are not included in the LOM plan.
Mineral Reserves are estimated in seven veins all in the Gold Hunter deposit.  The 30 Vein is the largest
vein and contains 68% of the Mineral Reserve tonnage.  The Mineral Reserves extend down to the 8100
level.  Mineral Resources are converted to Mineral Reserves through the application of minimum mining
widths of eight feet to eleven feet, NSR value cut-off grade, and stope optimizer designs followed by the
application of external dilution.
1.3.8 Mining Methods
The mine is a shaft access deep mine developed to the 8300 level (feet below surface).  Mining is mainly
by rubber tired mechanized equipment with the primary mining by underhand stoping with paste backfill.
In 2021, Lucky Friday tested and proved the UCB mining method.  The UCB method is a new, productive
mining method developed by Hecla for proactive control of fault-slip seismicity in deep, high-stress,
narrow-vein mining.  The method uses bench drilling and blasting methods to fragment significant vertical
and lateral extents of the vein beneath a top cut taken along the strike of the vein and under engineered,

--- PAGE 23 ---
Technical Report Summary -  February 21, 2022
1-13
cemented backfill.  The method is accomplished without the use of drop raises or lower mucking drives
which may result in local stress concentrations and increased exposure to seismic events. Large blasts
using up to 35,000 lb of pumped emulsion and electronic, programmable detonators fragment up to 350
ft of strike length to a depth of approximately 30 ft.  These large blasts proactively induce fault-slip
seismicity at the time of the blast and shortly after it.  This blasted corridor is then mined underhand for
two cuts.  As these cuts are mined, little to no blasting is done to advance them.  Dilution is controlled by
supporting the hanging wall and footwall as the mining progresses through the blasted ore.  The entire
cycle repeats and stoping advances downdip, under fill, and in a destressed region.  The method allows
for greater control of fault-slip seismic events significantly improving safety.  In conjunction, a notable
productivity increase has been achieved by reducing seismic delays and utilizing bulk mining activities.  In
2021, 86% of the tons mined were produced through the UCB method.
The mine is serviced by two shafts to surface and an internal shaft.  Broken ore is hauled by truck to the
shaft and then hoisted to surface.  The mine ventilation system includes facilities for mine air cooling.
1.3.9 Processing and Recovery Methods
The Lucky Friday mill is a conventional silver and zinc flotation concentrator.  The mill operates at a
nominal 42 stph) and can be operated at rates of up to 54 stph for limited periods.  Silver concentrate and
zinc concentrate are produced.  Concentrates are shipped by highway trucks to the Teck smelter at Trail,
British Columbia, Canada.
The primary unit operations in the Lucky Friday concentrator include:

Primary jaw crushing

Secondary cone crushing

Tertiary cone crushing

Triple deck screen closing both secondary and tertiary crushing circuits

Ball milling

Lead flash flotation with concentrate reporting to silver concentrate thickener

Hydrocyclone classification

Lead rougher and scavenger flotation in conventional cells

Lead rougher scavenger concentrate to lead rougher feed

Lead rougher scavenger tailings to zinc conditioners

Lead rougher concentrate cleaning and recleaning using column flotation cells

Lead cleaner scavenger flotation of cleaner tailings in conventional cells followed by column cells

Lead cleaner scavenger and cleaner scavenger column tailings to regrind milling

Regrind milling closed with hydrocyclones

Flash flotation, second cleaner column flotation and cleaner scavenger column flotation
concentrates to silver concentrate thickener

Zinc conditioning in mixed reactors

Zinc flash flotation

Zinc rougher and scavenger flotation in conventional cells

Zinc rougher scavenger tailings to final tailings sump feeding sand plant

--- PAGE 24 ---
Technical Report Summary -  February 21, 2022
1-14

Zinc rougher scavenger concentrate to zinc conditioning

Zinc rougher concentrate cleaning and recleaning using column flotation cells

Zinc cleaner scavenger flotation of cleaner tailings in conventional cells followed by column cells

Zinc cleaner scavenger and cleaner scavenger column tailings to zinc rougher flotation

Flash flotation, second cleaner column flotation and cleaner scavenger column flotation
concentrates to silver concentrate thickener

Lead and zinc concentrate thickening and filtration and concentrate storage

Flotation tailings hydrocyclone classification, thickening and filtration of coarse sand

Coarse sand stockpiled and delivered to mine backfill cement plant

Sand thickener overflow to final tailings thickener

Tailings thickener overflow to water treatment and process water tank

Tailings thickener underflow to the tailings storage facility (TSF)
Mine ore discharges from the Silver Shaft skips into two coarse ore bins with a total live capacity of
approximately 1,000 tons.  Ore is crushed in three stages to 100% passing (P100) 3/8 in. using a primary
jaw, secondary cone, and tertiary cone crushers closed by a triple deck vibrating screen.
The ore is ground in a single ball mill and discharges to the flash flotation feed pump box where reagents
are added. The slurry is pumped to a flash flotation cell to recover coarse lead and silver from the mill
circulating load.  Flash cell concentrate is final silver concentrate grade and flash cell underflow is pumped
to a cyclone cluster for classification.  The cyclone underflow returns to the mill and the cyclone overflow
advances to lead rougher flotation.
The lead flotation circuit consists of conventional agitated flotation cells for rougher and rougher
scavenger flotation, column flotation cells for lead cleaning, and a combination of conventional and
column cells for lead cleaner scavenger flotation. Lead flash flotation, lead second cleaner, and lead
cleaner scavenger concentrates report to the silver concentrate thickener. Lead cleaner scavenger tailings
are reground and pumped to the lead cleaner scavenger column cell.
Lead rougher scavenger tailings report to the zinc conditioners and then to zinc rougher scavenger
flotation. The zinc flotation circuit configuration is similar to the lead circuit, with conventional agitated
flotation cells for rougher and rougher scavenger flotation, column flotation cells for zinc cleaning and a
combination of conventional and column cells for zinc cleaner scavenger flotation. Zinc second cleaner
and zinc cleaner scavenger concentrates report to the zinc concentrate thickener.  Zinc rougher scavenger
tailings are pumped to the final tailings sump and zinc rougher scavenger concentrate is recycled to the
zinc conditioners.
Silver and zinc concentrates are thickened, filtered, and stockpiled in storage bunkers, then loaded into
trucks and shipped to a smelter.
The flotation tailings are classified with hydrocyclones.  The cyclone underflow slurry reports to the sand
thickener and the thickener underflow sands are filtered and transported to the backfill cement plant for
underground backfill. Sand thickener overflow is pumped to the tailings thickener.  Thickener overflow is
pumped to the water treatment plant for recycle as process water or for discharge and the underflow is
pumped to a TSF where the solids settle out of the tailings slurry and clear water is treated and discharged.

--- PAGE 25 ---
Technical Report Summary -  February 21, 2022
1-15
1.3.10 Infrastructure
The mine infrastructure consists of:

The Silver Shaft, an 18 ft diameter shaft sunk to 6,205 ft deep, and currently operating to the 5970
level, complete with man and skip hoisting facilities.

The 5,489 ft deep, three compartment No. 2 Shaft used for man hoisting, supplies, and ventilation.
This shaft services the mine to the 4900 level.

The No. 4 winze is an 18 ft diameter circular concrete lined shaft extending from the 4,860 level
and a maximum depth of 8,620 to provide services and rock handling to depth. Ore is hoisted to
the 4900 level.

Mine ventilation fans and ventilation system.

Paste backfill distribution system.

Electricity provided by the region’s public utility company (Avista Energy) and fed through two
separate substations to the mine.

Offices and mine dry at the Silver Shaft.

The lead-zinc-silver flotation concentrator with a nominal operating rate of 1,000 stpd.

Adequate diesel generating equipment to power emergency facilities.

Tailings storage facility.

Two water filtration plants, one at the mill and one at the TSF.
1.3.11 Market Studies
The Lucky Friday Mine is an active producer and has been for over 75 years.  Lucky Friday produces a
silver-silver concentrate and a zinc concentrate which are sold to the Teck lead zinc smelter in Trail, British
Columbia, Canada.
1.3.12 Environmental Studies, Permitting and Plans, Negotiations, or Agreements with Local
Individuals or Groups
Lucky Friday has obtained the requisite construction and operating permits needed to operate the existing
operations.  Other than routine (annual renewal) permits, there are now outstanding permitting needs
for the current LOM reserves.  Environmental monitoring during operations includes surface water,
groundwater, air quality, meteorology, aquatics and biological resources for regulatory compliance.
These activities will continue after closure to assess reclamation success and release of financial assurance
(bonding).  Reclamation and closure plans have been submitted to the appropriate agencies.  ARO legal
obligations are updated regularly and based upon existing site conditions, current laws, regulations and
costs to perform the permitted activities. The ARO is to be conducted in accordance with Financial
Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 410.
1.3.13 Capital and Operating Cost Estimates
The Lucky Friday Mine is in operation and there is no pre-production capital.  Capital costs over the LOM
total $372 million and are summarized in Table 1-5.

--- PAGE 26 ---
Table 1-5:
Capital Cost Summary
Year
Total

27 to 38
($ millions)
Year 1
Year 2
Year 3
Year 4
Year 5
(Years 6 to 13)
Drilling
27.0
3.0
3.0
3.0
3.0
2.0
13.0
Major Projects
75.0
24.0
5.0
12.0
7.0
3.0
24.0
Mobile Equipment
41.0
5.0
8.0
7.0
2.0
2.0
17.0
Ore processing
13.0
2.0
7.0
3.0
0.0
1.0
0.0
Mine Development
200.0
14.0
11.0
21.0
23.0
16.0
115.0
Mine Infrastructure
16.0
3.0
6.0
3.0
1.0
2.0
1.0
Total
372.0
51.0
40.0
49.0
36.0
26.0
170.0
The forecasted LOM operating costs totaling $187.81/t milled are summarized in Table 1-6.
Table 1-6:
Operating Cost Summary

Item
Units
Total

2026 to

Production Costs
Mining (Underground)
$ millions
415.3
29.3
32.0
29.9
29.2
294.8
Processing
$ millions
117.5
8.7
8.9
8.2
7.8
83.9
Maintenance
$ millions
269.9
20.3
20.6
19.9
18.2
190.9
G&A
$ millions
182.7
13.4
13.1
11.9
11.2
133.2
Profit share
$ millions
39.4
2.9
3.0
2.8
2.7
28.1
Total
$ millions
1,024.7
74.5
77.6
72.7
69.0
731.0
Cost per ton milled
Mining (Underground)
$/ton
76.11
 86.11
 78.32
 74.27
 73.57
 75.45
Processing
$/ton
21.54
 25.44
 21.88
 20.42
 19.63
 21.47
Maintenance
$/ton
49.46
 59.67
 50.39
 49.35
 45.76
 48.86
G&A
$/ton
33.48
 39.22
 31.94
 29.56
 28.06
 34.10
Profit share
$/ton
7.22
 8.42
 7.30
 6.94
 6.68
 7.20
Total
$/ton
187.81
 218.86
 189.84
 180.54
 173.69
 187.08
Hecla-forecasted capital and operating costs estimates are derived from annual budgets and historical
actuals over the long life of the current operation.  According to the American Association of Cost
Engineers (AACE) International, these estimates would be classified as Class 1 with an accuracy range

Technical Report Summary -  February 21, 2022
1-16

--- PAGE 27 ---
Technical Report Summary -  February 21, 2022
1-17
of -3% to -10% to +3% to +15%, although with some variances to be expected in near term with the
operation coming back to full production after the recent labor strike.

--- PAGE 28 ---
Technical Report Summary -  February 21, 2022
2-1
2.0 INTRODUCTION
SLR International Corporation (SLR) was retained by Hecla Mining Company (Hecla) to prepare an
independent Technical Report Summary (TRS) on the Lucky Friday Mine (Lucky Friday or the Property),
located in Shoshone County, Idaho, USA.  Hecla owns and operates 100% of the Property via ownership
through two of its 100% owned subsidiaries.
The purpose of this TRS is to disclose the results of the Mineral Resource and Mineral Reserve estimates
for the Property with an effective date of December 31, 2021.
Hecla is listed on the New York Stock Exchange (NYSE) and currently reports Mineral Reserves of lead,
zinc, silver, and gold in United States Securities and Exchange Commission (SEC) filings.  This TRS conforms
to SEC’s Modernized Property Disclosure Requirements for Mining Registrants as described in Subpart
229.1300 of Regulation S-K, Disclosure by Registrants Engaged in Mining Operations (S-K 1300) and Item
601 (b)(96) Technical Report Summary.  SLR visited the Property on October 5 and 6, 2021.
The Property includes the Lucky Friday mine and processing plant (or mill) in the city of Mullan, Idaho.
The mine is a deep underground silver, lead, and zinc mine that produces silver and zinc concentrates
from ore-bearing fissure veins.  The plant is a concentrator facility producing silver and zinc concentrates
that has a current operating rate of 1,000 short tons per day (stpd).
The Property commenced operations in 1942 and observed its 75th anniversary in 2017.  In 2021, the
underground operation mined 315,000 tons of ore and produced 32,000 tons of lead-silver and 14,000
tons of zinc concentrates.  The concentrates were transported 209 miles (mi) to the Teck Metals Ltd. (Teck)
lead/zinc smelter in Trail, British Columbia, Canada in highway trucks operated by a contract shipper. This
2021 production profile amounted to 3.6 million ounces (Moz) of silver, 23,100 tons of lead, and 10,000
tons of zinc produced.
2.1
Site Visits
SLR most recently visited the site on October 5 and 6, 2021.  During the most recent site visit, the SLR
Qualified Persons (QP) received a project overview by site management with specific activities as follows:
The SLR geology QP toured several stopes underground, inspected the core handling facility, and
interviewed key personnel involved in the collection, interpretation, and processing of geological data and
preparation of the Mineral Resource estimates.
The SLR mining QP visited production, development, and critical infrastructure areas in the underground
mine. Both underhand cut and full and underhand closed bench production areas were visited where
discussions were carried out on the mining cycle, productivities, dilution, and recovery. The QP discussed
mining methods, mine economics, planning and scheduling activities, ventilation and refrigeration, and
geotechnical procedures with relevant subject matter experts.
The SLR processing QP visited the surface infrastructure, including the hoist, emergency generators,
warehousing, reagent storage, mechanical and electrical shops, electrical substation, compressor house.
The mineral processing facilities were then toured included crushing, grinding, flotation, concentrate
filtration and loading, sand filtration, cement addition and pumping, final tailings thickening filtration and
pumping, and water treatment. The QP then toured the tailings impoundments, tailings water treatment
plant and outfalls. Meetings were then held with the metallurgists to discuss the flowsheet, laboratory
and plant metallurgical testing, and operating and maintenance information required for the reports.

--- PAGE 29 ---
Technical Report Summary -  February 21, 2022
2-2
The SLR ESG QP visited the surface facilities/operations and interviewed environmental and applicable
staff manager(s) for environmental/social management/system(s); permitting/compliance program;
reclamation/closure plan; and associated budget(s).
2.2
Sources of Information
During the preparation of this TRS, discussions were held with personnel from Hecla:

Mr. Keith Blair, Chief Geologist, Hecla

Mr. Carlos Aguiar, Lucky Friday General Manager, Hecla

Mr. Ben Chambers, Lucky Friday Resource Geologist, Hecla

Mr. Nick Furlin, Lucky Friday Chief Geologist, Hecla

Mr. Andre Goedhals, Lucky Friday Project Manager, Hecla

Mr. Bob Golden, Lucky Friday Chief Geotechnical Engineer, Hecla

Mr. Karl Hartman, Lucky Friday Chief Engineer, Hecla

Mr. Ben Henderson, Lucky Friday Drilling Manager, Hecla

Mr. Wes Johnson, Lucky Friday Technical Services Manager, Hecla

Mr. Jake Schuff, Lucky Friday Mill Metallurgist, Hecla

Mr. Craig Shiner, Lucky Friday Mill Superintendent, Hecla

Mr. Lance Boylan, Lucky Friday Health Safety and Environmental Manager, Hecla

Mr. Russell Lawlar, Chief Financial Officer, Hecla
No previous Technical Report Summaries have been filed in respect of the Lucky Friday Mine.
This TRS was prepared by SLR QPs.  The documentation reviewed, and other sources of information, are
listed in Section 24.0 References.

--- PAGE 30 ---
2.3
List of Abbreviations
Units of measurement used in this TRS conform to the imperial system.  All currency in this TRS is US
dollars (US$) unless otherwise noted.
µ
micron
kPa
kilopascal
µg
microgram
kVA
kilovolt-amperes
A
ampere
kWh
kilowatt-hour
a
annum
kW
kilowatt
bbl
barrels
L
litre
Btu
British thermal units
lb
pound
°C
degree Celsius
L/s
litres per second
cal
calorie
M
mega (million); molar
C$
Canadian dollars
m
metre
cfm
cubic feet per minute
m2
square metre
cm2
square centimetre
MASL
metres above sea level
cm
centimetre
m3
cubic metre
dia
diameter
mi
mile
d
day
m3/h
cubic metres per hour
dmt
dry metric tonne
min
minute
dwt
dead-weight ton
µm
micrometre
°F
degree Fahrenheit
mm
millimetre
fasl
feet above sea level
mph
miles per hour
ft2
square foot
MVA
megavolt-amperes
ft
foot
Mst
million short ton
ft/s
foot per second
MWh
megawatt-hour
ft3
cubic foot
MW
megawatt
g
gram
oz
Troy ounce (31.1035g)
Gal
Imperial gallon
ppb
part per billion
G
giga (billion)
oz/ton
ounce per short ton
Gpm
Imperial gallons per minute
psia
pound per square inch absolute
g/L
gram per litre
ppm
part per million
g/t
gram per tonne
psig
pound per square inch gauge
gr/m3
grain per cubic metre
s
second
gr/ft3
grain per cubic foot
RL
relative elevation
hp
horsepower
stpa
short ton per year
ha
hectare
ton
short ton
hr
hour
stpd
short ton per day
Hz
hertz
stph
short tons per hour
in.
inch
US$
United States dollar
in2
square inch
Usg
United States gallon
k
kilo (thousand)
V
volt
J
joule
USgpm
US gallon per minute
kcal
kilocalorie
W
watt
kg
kilogram
wt%
weight percent
km
kilometre
yd3
cubic yard
km/h
kilometre per hour
km2
square kilometre
yr
year

Technical Report Summary -  February 21, 2022
2-3

--- PAGE 31 ---
Technical Report Summary -  February 21, 2022
3-1
3.0 PROPERTY DESCRIPTION
3.1
Location
The Property is located approximately one-half mile east of Mullan in Shoshone County, Idaho, and 55 mi
east of Coeur d’Alene, Idaho along Interstate Highway 90 (Figure 3-1).  The facility lies just north of the
Interstate Highway near exit ramp 69.  The Silver Shaft headframe is visible from the highway with the
shaft collar approximately 70 ft above the valley floor. The Lucky Friday vein system lies adjacent to the
Silver Shaft and the Lucky Friday Expansion Area (Gold Hunter vein system) lies approximately 5,000 ft
northwest of the Silver Shaft.

--- PAGE 32 ---
Technical Report Summary -  February 21, 2022
3-2

Figure 3-1: Lucky Friday Mine Location Map

--- PAGE 33 ---
Technical Report Summary -  February 21, 2022
3-3
3.2
Land Tenure
The Lucky Friday vein system is 100% owned by Hecla Limited.  The Lucky Friday Expansion Area (formerly
known as the Gold Hunter vein system) is owned 81.5% by Hecla Limited and 18.5% by Silver Hunter
Mining Company (Silver Hunter).  Both companies are subsidiaries of Hecla.  Hecla controls 100% of the
Lucky Friday Expansion Area.
The Property, located in Sections 22, 23, 25, 26, 27, 34, 35, and 36, Township 48 North, Range 5 East, Boise
Meridian, Shoshone County, Idaho, comprises approximately 710 acres of patented mining and millsite
claims and fee lands, and 535 acres of unpatented mining claims.  The Property lies within approximately
28 mi2 of mineral interests controlled by Hecla and its affiliates, which includes patented mining and
millsite claims, fee lands, and unpatented mining claims (Figure 3-2).  The maintenance fees required to
hold the unpatented mining claims have been paid annually to the U.S. Bureau of Land Management
(BLM), and the claims are in good standing.  Payment of property taxes on patented claims and fee parcels
are current as of the date of this TRS.  Lists of the patented and unpatented claims within the Lucky Friday
area are provided in Appendix 27.4.
There are no royalties or back-in rights, however, there are intercompany transfers of royalties done
between Silver Hunter and Hecla Limited.  The surface rights to the patented mining claims are owned by
a timber company, but Hecla has reserved rights to utilize the surface for mining-related purposes.
Certain unpatented mining claims are subject to a 1971 operating agreement between Hecla Limited
(successor to Day Mines, Inc.) and Lucky Friday Extension Mining Company (LFX).  The agreement grants
Hecla a perpetual easement to crosscut the Hecla-LFX properties to conduct work in other properties such
as the Gold Hunter. The 4050, 4900 and 5900 levels cross through this area.  Hecla pays US$165 per claim
annual maintenance fees to the BLM and the Shoshone County annual filing fees as required to maintain
the unpatented claims in good standing on behalf of the parties.  There are no royalties or back-in rights
associated with the LFX group.
The Hunter Creek group, comprising nine unpatented mining claims, is subject to a 1971 agreement
between Hecla and Hunter Creek Mining Company.  Hecla owns a 50% interest in the unpatented claims
and pays the US$165 per claim annual maintenance fees to the BLM and the Shoshone County annual
filing fees as required to maintain the unpatented claims in good standing on behalf of the parties.  There
are no royalties or back-in rights associated with the Hunter Creek group.
Other than required annual maintenance fee payments for unpatented claims and tax payments for
patented mining and millsite claims and fee lands, there are no additional obligations required to retain
the properties. All of the unpatented mining claims are subject to the paramount title of the United States.
The surface rights to the patented mining claims are owned by a timber company, but Hecla has reserved
the right to use as much of the surface as in the reasonable judgment of Hecla is necessary for access and
mining operations. There are no royalties or back-in rights encumbering the Property, and other than as
described above, there are no payments or other agreements encumbering the properties.

--- PAGE 34 ---
Technical Report Summary - February 21, 2022
3-4

Source: Hecla, 2021
Figure 3-2: Lucky Friday Complex Claim Map

--- PAGE 35 ---
3.3
Encumbrances
As stated above, there are no encumbrances on the Property.
3.4
Royalties
As stated above, there are no royalties payable.
3.5
Required Permits and Status
Operations at the Property are within the purview of numerous agencies (regulatory and non-regulatory)
that require oversight, registration, and/or notification prior to initiating or significantly modifying
facilities and operations at the Property.  The Property has been in operation prior to inception of many
regulatory programs, creation of certain regulatory agencies, and/or delegation of authority from the
Federal government to the state agency.
The Property has obtained and maintains all the necessary registrations, authorizations, and permits
necessary for operations to date and to continue operation of this facility well into the future (Table 3-1).
Although some permits have expired or are set to expire, renewal applications were filed with the
appropriate agency in each case or other measures were taken, as necessary, to administratively extend
the prior conditions until such time as a renewed permit or additional authorization to utilize is issued.
Table 3-1:
Environmental Authorizations, Operating Permits, and Registrations

Type of
Approval/Certificate
File Number
Agency
Purpose
Date of
Approval
Certificate of
Authorization
IDR05C290
USEPA
Authorization to utilize Nationwide MSGP
9/29/2008
Authorization to
Discharge
ID-000017-5
USEPA
NPDES Wastewater Discharge permit for
Outfalls 001, 002, & 003
9/14/2003
Permit to
Construct/Operate
P-2010.0111
IDEQ
Permit to construct and operate portable
air contaminant source (Concrete batch
plant)
10/20/2010
DOT HazMat
Registration
052912002005U
USDOT
Registration with DOT as Category E
material shipper
5/30/2012
General Registration
GLTS-A-705715
NRC
Annual registration of on-site generally
Iicensed devices.
2/13/2013
2014 Ackn.
Pending
ID used to identify MTIS#3 in National
Dam inventory
Total Surety value $239,542 approved by
IDWR 94- xx20.
General Registration
ID00390
IDWR/US
ACOE
N/A
General Registration
ID00728
IDWR/US
ACOE
ID used to identify MTIS#4 in National
Dam inventory. Total Surety value
$214,900 approved by IDWR for 94- xx25.
N/A

Technical Report Summary -  February 21, 2022
3-5

--- PAGE 36 ---
Type of
Approval/Certificate
File Number
Agency
Purpose
Date of
Approval
Certificate of
Approval
94-xx25
IDWR
IDWR issued Cert. of Approval to impound
water and taiIs at MTIS #4.
11/6/2013
PWS ID No.
1400028
IDEQ
IDEQ designation of PWS system
operation.
2/6/1995
Operating Permit
731-10-000113
Idaho Fish
& Game
Permit issued by Idaho Fish and Game to
Operate Private Fish Pond.
6/21/2010
Waste Generator’s
Status
IDD009424862
USEPA
Majority of time Lucky Friday is a CESQG,
however, periodic projects trigger status
as SQG.
N/A
3.6
Other Significant Factors and Risks
SLR is not aware of any environmental liabilities on the Property.  Hecla has all required permits to conduct
the proposed work on the Property.  SLR is not aware of any other significant factors and risks that may
affect access, title, or the right or ability to perform the proposed work program on the Property.

Technical Report Summary -  February 21, 2022
3-6

--- PAGE 37 ---
Technical Report Summary -  February 21, 2022
4-1
4.0 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES,
INFRASTRUCTURE AND PHYSIOGRAPHY
4.1
Accessibility
The Property is accessed from Coeur d’Alene on Interstate 90 eastwards to exit 69, which leads to Atlas
Road.  Travel north on Atlas Road for approximately 500 ft then right onto Friday Avenue.  The mine
security office is located approximately 1,200 ft east of the intersection of Atlas Road and Friday Avenue.
The nearest town is Mullan (pop. 692), which borders the western boundary of the mine and mill facilities.
Spokane International is the nearest airport, located 94 mi west of the Property on Interstate 90.  Spokane
International is serviced by several major carriers with daily flights to a wide range of major cities.
4.2
Climate
The climate of the Coeur d’Alene district is strongly seasonal with warm summers and harsh winters.  The
mean temperature for Mullan is 44.7°F with average monthly minimums of 27.1°F in December and
average monthly maximums of 63.0°F in July and August.  Mean precipitation is 35.24 in. (expressed in
inches of water), with November having the highest average precipitation and July the least. This is well
above the mean precipitation for Idaho which records an average of 18.9 in. annually. Precipitation is
observed an average of 158 days a year.  An average annual snowfall for Mullan is 111.9 in., with
December experiencing the most at an average of 27.3 in.  No snow is recorded between June and
September.  These data are based on records from 1975 to 1997 (Western Regional Climate Centre, 2009).
The mine is typically able to operate throughout the full year without any hindrance due  to inclement or
seasonal weather.
4.3
Local Resources and Infrastructure
The Property is located in the Silver Valley District of Idaho.  This is an area with a long mining history and
there is ready access to mining suppliers and skilled trades.  The Property is immediately north of
Interstate 90 at exit no. 69 and is easily accessible by automobile throughout the year on Idaho state
maintained surfaced roadways.  The project infrastructure and the infrastructure layout at the mine site
are discussed in Section 15.0 of this TRS.  There is sufficient suitable land available within the mineral
tenure held by Hecla for tailings disposal, mine waste disposal, and installations such as the process plant
and related mine infrastructure.  All necessary infrastructure has been built and is sufficient for the
projected life of mine (LOM) plan.
4.4
Physiography
The Coeur d’Alene District lies within the Bitterroot Mountains, a part of the Northern Rocky Mountain
Region. The area is characterized by rugged terrain and high relief with abundant vegetation. Originally
consisting of conifer forests, forest fires have diminished those trees in favor of second growth stands and
brush.  Principal conifers that remain are located in deep ravines and consist of pine, fir, hemlock, larch,
cedar and spruce. Deciduous trees, mainly willow, alder and black cottonwood are found on the valley
flats and along streams. Some aspen inhabit the high, open slopes, and willow and alder can be found on
ridge slopes.

--- PAGE 38 ---
Technical Report Summary -  February 21, 2022
4-2
The Property is situated in an area of narrow valleys and wooded mountains.  There is limited flat space
in the mine area due to valley flats being restricted to the main stream and the lower reaches of some
major tributaries. In only a few places do the flats exceed half a mile in width.  Ridge crests range in
altitude from 6,000 fasl to 7,000 fasl.  The maximum relief between valley floors and adjacent ridge crests
and peaks ranges from 3,000 ft to 4,000 ft.

--- PAGE 39 ---
Technical Report Summary -  February 21, 2022
5-1
5.0 HISTORY
5.1
Introduction and Previous Ownership
The Lucky Friday deposit was discovered in 1880 by J. F. Ingalis.  Staking was initiated in 1889 by the Lucky
Friday Group, and by 1906 the Property consisted of six claims.  Gold Hunter mining production began in
1885, from a large surface gossan containing significant silver enrichment.  In 1893, Gold Hunter Mining
and Smelting Company (later changed to Gold Hunter Mines, Inc.) was incorporated to conduct mining
activities on the Property.
The Lucky Friday Mining Company was incorporated in 1906 in the State of Washington and in Idaho in
1913. Some limited tunneling and trenching work was conducted.  In 1938, John Sekulic acquired a lease
and option to purchase the six claims and the following year formed the Lucky Friday Silver-Lead Mines
Company to work the Property.  A shaft was sunk to the 600 ft level and in 1942 the first commercial
shipment of ore was made.  Hecla began acquiring stock in Lucky Friday Silver-Lead Mines Company in
1958, with the purchase of a 38% interest and eventually, in 1964, the two companies merged.
Claims around the Gold Hunter had multiple ownerships until 1968.  Day Mines, Inc. (Day Mines) acquired
a majority interest in Gold Hunter Mines, Inc. in the 1950s.  In 1955, the assets of Gold Hunter Mines, Inc.
were conveyed by deed to a newly incorporated Gold Hunter Mining Company, and Gold Hunter Mines,
Inc. was dissolved.  The assets of Gold Hunter Mining Company were acquired by Day Mines in 1962, and
the Gold Hunter Mining Company was dissolved.
The claims adjacent to the Gold Hunter deposit were owned by Abot Mining Company (Abot) and
Independence Lead Mines Company.  In 1968, Day Mines, Abot, and Independence Lead Mines Company
(collectively referred to as DIA) entered into a series of agreements which allowed Hecla, as operator, to
explore and develop the consolidated properties, including the Gold Hunter deposit. Day Mines was
merged in 1981 with a wholly owned subsidiary of Hecla, Hecla-Day Mining Corporation, which was
merged into Hecla the following year.  In 2001, Abot quit-claimed its DIA property interests to Hecla.  Hecla
acquired the assets of Independence Lead Mines Company, including the DIA properties, in 2007 through
its wholly owned subsidiary, Silver Hunter Mining Company.
Historical production for the Lucky Friday Mine to the end of 2020 was 165.7 Moz silver, 1.04 MT lead,
and 210 KT zinc (Hecla, 2020) making it the Coeur d’Alene District’s fourth largest silver producer.
5.2
Exploration and Development of the Lucky Friday Vein System
Exploration work spans a very broad time period and primarily consists of step-outs and progressively
deeper investigations along known structures.  There is a link between exploration and definition work,
and often times the two general categories overlap.
A summary of early exploration on the Lucky Friday deposit is provided in Table 5-1. This area of the
Property is currently inactive.

--- PAGE 40 ---
Technical Report Summary -  February 21, 2022
5-2
Table 5-1:
Summary of Lucky Friday Vein Exploration by Elevation and Year

Levels/Sublevels
Year
Description of Exploration Work Done
1400 level

South drift on South Control Fault (SCF) outlined weak mineralization 500
ft west of the main Lucky Friday vein system.

Development driven 500 ft to the Hunter Creek vein system north of the
North Control Fault (NCF) with minor drifting on the South Star Fault (SSF)
projection.

The east split drift advanced from the Hunter Creek drift to test the
eastern projection of the SSF.  Found minor mineralization between the
SSF and Whiteledge Fault (WLF).
2000 level
Late 1940s
to 1951
Exploration hole from No. 1 shaft station to projection of SSF.  No core
was recovered from the fault zone.

A northeast trending drift exposed veining between the NCF and SSF.
Three drill holes on SSF and Hunter Creek targets were unsuccessful in
discovering economic mineralization.
2800 level
1965 to

The 1,250 ft Hunter Ranch drift driven west of intersection of the SCF and
Lucky Friday Vein.

Six holes drilled from the Hunter Ranch drift; three north and three south.
One hole to the south intersected a 0.1 ft wide pyrite-chalcopyrite-quartz
stringer; one of the holes to the north returned a sludge sample grading
0.7 oz/t Ag, 3.1% Pb, 0.1% Zn.
3050 level
1963 to
1966, 1988
Jutila Drift developed 3,500 ft east of Lucky Friday/NCF intersection.
Fourteen diamond drill holes tested north and south of drift.  No
significant mineralization found except for where SSF crossed drift.

Jutila Drift drilled again to test downward projection of a mineralized zone
exposed during surface construction.
4050 level
1973 to
1978, 1991
to 1993
The DMI drift west of Lucky Friday No. 2 shaft driven 1,300 ft.  Two drill
holes tested SCF projection with no success.

Development confirmed the mineralization in the Silver Vein.
4250 level
late 1970s
Drifting and drilling on 40 Vein and on a link vein between NCF and SSF.

Drifting to the southeast encountered mineralization 100 ft along the SCF.
4450 level
1989-1990
950 ft of SCF development encountered weak tetrahedrite and minor gold
mineralization in a sub-economic “split vein”.  Defined continuation of SCF
mineralized zone to over 1,200 ft.
5100 level
1985-1994
Allied Silver tested 2,500 ft west of Lucky Friday system between the NCF
and SCF.  Eight diamond drill holes were drilled to the north and south.

East and west projections of Silver Vein tested; low-grade disseminations
500 ft east and west of known mineralization.

--- PAGE 41 ---
Technical Report Summary -  February 21, 2022
5-3
Levels/Sublevels
Year
Description of Exploration Work Done

The Tuesday Vein discovered in 1988 by extending the 5100 level 104
crosscut (hanging wall vein access).

Development of the 40 Vein to the southeast near the 5100 level 112development drift encountered mineralization that remains in resource.

Weak mineralization and disseminated tetrahedrite encountered by hole
51-18 to test the SCF.
5300 level
1985 to

Drilling to test the east, west and south projections of the Silver Vein zone
intersected the 85 Vein southeast of the Silver Vein.  Drilling also
confirmed disseminated tetrahedrite mineralization in wall rock previously
seen in 5100 level drilling.

Testing of the far east projection of the SCF resulting in a tetrahedrite
intersection.  This was followed by the 4450 level South Control Fault
Project.

Drilling the east projection of the 40 Vein encountered weak
mineralization confirming the downward projection of the Tuesday Vein.
This drilling also suggested a “Link Vein” between the NCF and SSF.
5570 Sublevel
1994 to
present
Drilling to test the Silver Vein yielded mixed results.

Mineralization in the “Link Vein” between the NCF and SSF was confirmed
but is currently subeconomic.  More exploration is recommended.
Below 5570
1995 to
present
Deep vein projections tested.  Still open-ended to depth. Definition and
exploration diamond drilling continuing on both the 30 and Intermediate
Veins.
5.3
Exploration and Development of the Lucky Friday Expansion Area (Gold
Hunter)
A summary of historical exploration on the Gold Hunter deposit is provided in Table 5-2.
Table 5-2:
Summary of Gold Hunter Vein Exploration by Elevation and Year

Levels/Sublevels
Year
Description of Exploration
4050 level
1974-1978
DIA drift advanced 3,700 ft north from LF No. 2 shaft to the down dip
projection of the Gold Hunter Vein. Started in 1974, completed in 1977.
An additional 390 ft of drifting to the west and seven drill holes were
completed.  Mineralization persisted for 800 ft of strike length but was
subeconomic.  The Gold Hunter zone was discovered in the Wallace
Formation, 2,500 ft below Gold Hunter’s surface expression.

1991-1993
The west exploration program tested the down rake projection of the
Gold Hunter in 1991.  Two holes were drilled and a 4 ft, 50 oz/ton Ag
vein was intersected.  This led to two years of exploration drilling that
defined the 4050 level but was insufficient for a production decision.
This prompted a re-evaluation of the deposit model.

--- PAGE 42 ---
Technical Report Summary -  February 21, 2022
5-4
Levels/Sublevels
Year
Description of Exploration

A geological study was completed that defined Gold Hunter as a vein
deposit and recommended deeper exploration and development.

2007-2008
Hole GH29-01, drilled in 2007 from 4050 level to test the Gold Hunter
zone 900 ft above 4050, yielded encouraging results.

In 2008, surface drilling comprising seven holes tested the Gold Hunter
Gap between the historic production and the mineralization on the
4050 level and confirmed the continuity of mineralization.

Also in 2008, drift rehab, 700 ft of development, and 850 ft of drifting
for drill stations were completed.  Seven holes were drilled to target the
zones above the 4050 level.  The program was successful, but the
project was suspended to focus on deeper resources.

Diamond drilling resumed in the fourth quarter of 2010 from station No.
4 to test above the 4050 level development and stoping conducted
during 1991-1993.  Four 3900 level holes were completed and one 3700
level hole was abandoned due to core recovery problems. Vein
locations and grades were confirmed but only one intercept of
economic tenor was returned.  The target from this station switched
late in the quarter to definition drill testing below the level, with four
holes completed by year end.

Nine holes were drilled from station No. 4 on the east side of 4050 level,
and four holes from station No. 1 on the west.  Drilling resulted in small
increment to the Intermediate Vein resources and upgrades to the 30
Vein resource.  Recoveries were poor due to constraints regarding the
drilling additives, and drilling was suspended.
4900 level
1995 to 2001
In 1995, the Gold Hunter tunnel drive began and yielded economic
mineralization that resulted in a positive production decision in 1997.
Full production was reached in 1998 and the area was mined, at full
capacity, until 2001.

Gold Hunter production was reduced from 2001 to Q1 2005 when the
5900 level drive reached mineralization.

Far east projection drilling began in 2005 confirming the mineralized
zone projected at least 1,400 ft east of the 15 stope economic limit at
the 5800 level.

Minor mineralization to the far east was confirmed by drilling in 2006
approximately 2,000 ft beyond the 4900 level economic limit.
5900 level
2004 to
present
Access drive started in 2004, completed by mid-2006.  Mineralization
was encountered in vein characterization drilling.

The 6400 level deep drill program confirmed deep mineralization in
2005.

During 2006, Gold Hunter deep potential was successfully tested to the
7500 level confirming 1,000 ft of strike length.  One hole returned an
economic intersection below the 8000 level.

--- PAGE 43 ---
Technical Report Summary -  February 21, 2022
5-5
Levels/Sublevels
Year
Description of Exploration

During 2006, the west Gold Hunter projection was tested but yielded
equivocal results.  In 2007, the deep west 6900 level was tested and
resources were confirmed below the 7000 level.  Faulting is thought to
offset or terminate the deep west projection of Gold Hunter.

Full production from the 5900 level reached in Q4 2006.

Deep targets along the projected west 6900 level were tested during
2007 resulting in resource confirmation to depths below 7000 level.
Far-west diamond drill holes indicate existence of a fault (Silver Fault?)
that either offsets or terminates the west projection of the deep Gold
Hunter resource.  East exploration drifting in 2006 defined potential for
Intermediate and 30 Vein mineralization below the 5900 level.

East exploration work was completed on the Intermediate Veins during
2008, which resulted in expansion of the resource at the 5700 and 6100
levels.

Two long exploration holes were drilled in 2008, one testing 1,800 ft
north of the 5900 level Gold Hunter system on the east, and the second
testing 2,975 ft north of the system on the west side.  No significant
mineralization was encountered in either hole.  The west side hole,
abandoned due to intersection with a water-charged fault, was
cemented.

Exploration to the east below the 5900 level continued during 2008
with testing reaching to the 6300 elevation.  One hole reached the 7400
level and encountered good grade mineralization over a one foot
horizontal width, approximately 600 ft east of the known economic
boundary.

Exploration to the west testing the Silver Fault offset was completed in
late 2008 and confirmed the existence of another large fault that
terminates or offsets mineralization.

Late in 2008, Deep Gold Hunter exploration began and confirmed
improved 30 and 40 Vein grades below 6300 level.

Deep Gold Hunter exploration completed in late 2009, drilled the
central and eastern areas with the deepest hole reaching the 7850
elevation.  Drilling yielded generally positive results.  A conditional
simulation study was conducted late in 2009, which indicated that drill
spacing was sufficient for characterization of the resource down to 7900
level.

East exploration between the 6100 and 6400 levels confirmed narrow
mineralization beyond the 2008 resource boundary.  Evidence was
found for increasing widths and grades with depth, to the east between
the 6500 and 7900 levels.

West exploration testing for a north offset on the Silver Fault was
completed late in 2009, encountering local alteration and minor mineral
occurrences along a fault.  A large target area was defined between the
Silver Fault and the Elk Fault east of the Star Mine.

--- PAGE 44 ---
Technical Report Summary -  February 21, 2022
5-6
Levels/Sublevels
Year
Description of Exploration

During 2010, east deep exploration drilling confirmed Gold Hunter
resource expansion and added approximately 400 ft to the strike of the
east resource below the 6900 level.  Intermediate Vein intercepts north
of the deep projections of the 30-Vein returned economic widths and
grades.  East deep drill testing from the 5900 wash bay was completed
late in the fourth quarter.  Continued success with the deep drilling
during 2010 program improved the confidence of deep resource
projections to the 8300 level.

Nine holes were collared from the 5900 No. 4 shaft station, and four
additional holes were wedged from these.  Drilling extended into the
Silver Fault ; only six of the thirteen attempted holes penetrated
the entire mineralized package.  Dips of the deep west mineralization
appeared to reverse from steeply south to steeply north; the economic
vein assemblage that was encountered appeared to consist of two to
four economic veins.
Mine-Based
Exploration of GH
Surface Veins

A total of seven diamond drill holes were completed during 2007,
testing targets beyond the western limits of the historic near-surface
mining operations along the Gold Hunter System.

The Gold Hunter, Yolande, and the American Commander areas were
tested.  The deepest hole extended from surface down to the 600
tunnel level at 2,770 ft MSL.  No significant intercepts were
encountered.
5.4
Historical Resource Estimates
The most recent Mineral Resource and Mineral Reserve estimates were disclosed on the Hecla web site
(Hecla, 2020).  The estimates were prepared by Hecla and are summarized in Table 5-3 and Table 5-4,
respectively. The effective date, as stated on the web site, was December 31, 2020.
Table 5-3:
Previous Mineral Resource Estimate – December 31, 2020

Category
Tons
(ton)
Grades
Contained Metal
(oz/ton Ag)
(% Pb)
(% Zn)
(oz Ag)
(ton Pb)
(ton Zn)
Measured
9,007,000
7.6
4.8
2.4
68,543,000
430,950
218,740
Indicated
2,275,000
7.8
5.3
2.2
17,844,000
120,390
50,970
Total M+I
11,282,000
7.7
4.9
2.4
86,386,000
551,340
269,710

Inferred
3,069,000
8.3
6.3
2.7
25,359,000
192,200
83,350
Notes:
1.
In situ Measured, Indicated, and Inferred Resources from Gold Hunter and Lucky Friday vein systems are diluted for
expected mining recovery.
2.
The net smelter return (NSR) cut-off grades are US$170.18/ton for the 30 Vein, US$184.97/ton for the Intermediate
Veins, and US$207.15/ton for the Lucky Friday Vein.

--- PAGE 45 ---
3.
 Metal prices used were US$21/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
4.
Totals may not agree due to rounding.
Table 5-4:
Previous Mineral Reserve Estimate – December 31, 2020

Category
Tons
(ton)
Grades
Contained Metal
(oz/ton Ag)
(% Pb)
(% Zn)
(oz Ag)
(ton Pb)
(ton Zn)
Proven
4,393,000
14.2
8.8
4.1
62,290,000
386,210
180,060
Probable
1,372,000
10.7
7.2
3.9
14,702,000
99,170
53,190
Total P + P
5,764,000
13.4
8.4
4.0
76,992,000
485,380
233,250
Notes:
1.
The NSR cut-off grades are US$216.19/ton for the 30 Vein and US$230.98/ton for the Intermediate Veins.
2.
Metal prices used were US$16/oz Ag, US$0.90/lb Pb, and US$1.15/lb Zn.
3.
Totals may not agree due to rounding.
The December 31, 2020 Mineral Resource and Mineral Reserve estimates are superseded by the estimates
reported in Section 11.0 of this TRS.
5.5
Past Production
As stated above, historical production for the Lucky Friday Mine to the end of 2020 was 165.7 Moz silver,
1.04 MT lead, and 210 KT zinc (Hecla, 2020).

Technical Report Summary -  February 21, 2022
5-7

--- PAGE 46 ---
Technical Report Summary -  February 21, 2022
6-1
6.0 GEOLOGICAL SETTING, MINERALIZATION, AND DEPOSIT
6.1
Regional Geology
The Coeur d’Alene Mining District is predominantly underlain by Middle Proterozoic (ca. 1.45 Ga to 1.40
Ga) meta-sedimentary and mafic intrusive rocks of the Belt Supergroup (Figure 6-1). The Belt consists of
a thick sequence of variably metamorphosed marine, lacustrine, and sub-aerially derived quartzites and
argillites with scattered carbonaceous horizons (Hobbs et al., 1965).  The sequence is only rarely
interrupted by magmatic events.  The Belt Supergroup lies unconformably on top of Archean and
Proterozoic crystalline basement.
These rocks correlate with the Purcell Supergroup in southern British Columbia and Alberta, and together,
the Belt-Purcell comprises an enormous sedimentary basin which extends southwards to central Idaho
and laterally from the Washington border to almost midway into Montana.  It is thought to be a faultbounded rift basin, which for most of its existence was remarkably stable as no unconformities have been
found throughout its entire vertical extent (Lonn et al., 2020).  The Belt Supergroup is estimated to be at
least 15 km thick (Hobbs et al., 1965), possibly over 18 km thick (Jones et al., 2015), and subtends an area
of greater than 200,000 km2 (Lonn et al., 2020).
The Belt Purcell Supergroup was deposited near the margin of the North American craton within the
Columbia supercontinent between 1.54 Ga and 1.30 Ga (Jones et al., 2015; Perelló et al., 2021).
Deformation of the Belt is thought to have commenced at about 1.45 Ga with rifting and the detachment
of the Australian and Antarctic cratons from the North American Craton.  The region has undergone
several episodes of deformation and metamorphism including the East Kootenay (1.38 to 1.325 Ga),
Grenville (1.20 to 1.00 Ga), and Goat River (900 to 800 Ma) orogenies (Perelló et al., 2021). Most recently,
deformation and faulting has occurred during Cordilleran tectonism (Jones et al., 2015) taking place from
the Jurassic (ca 160 Ma) and extending into the Eocene (ca 50 Ma).
This prolonged tectonism has resulted in a complex series of synclines and anticlines that are often
overturned.  In the mine area, the primary structural feature is the Lewis and Clark Line (Figure 6-2), a
crustal-scale shear corridor measuring 400 km long and up to 80 km wide trending west-northwest from
Montana across the Idaho Panhandle (Wallace et al., 1990).  The most recent displacement event likely
took place in the Late Cretaceous and is estimated to have resulted in between 11 km and 28 km of rightlateral strike slip movement.

--- PAGE 47 ---
Technical Report Summary -  February 21, 2022
6-2

Source: Lonn et al., 2020
Figure 6-1: Regional Geology

--- PAGE 48 ---
Technical Report Summary - February 21, 2022
6-3

Source: Wallace et al., 1990
Figure 6-2: Lewis and Clark Line

--- PAGE 49 ---
Technical Report Summary -  February 21, 2022
6-4
6.2
Local and Property Geology
The Belt Supergroup has been subdivided into four groups: the Lower Belt, Ravalli, Middle Belt, and the
Missoula Groups (Harrison, 1972).  In the Coeur d’Alene Mining District, Belt Supergroup rocks are further
subdivided into six formations listed below (oldest to youngest):

Prichard Formation (Lower Belt Group); Dark grey to black argillite with two  quartzite horizons;

Burke Formation (Ravalli Group); Grey argillaceous quartzite, including some  characteristic beds
of purple quartzite;

Revett Formation (Ravalli Group); Competent, thick-bedded, white and grey  quartzite, with some
green-grey argillaceous quartzite beds;

St. Regis Formation (Ravalli Group); Purplish-grey quartzite and argillite;

Wallace Formation (Middle Belt Group); Light grey quartzite, limestone, and  argillite;

Striped Peak Formation (Missoula Group); Purplish-grey and greenish grey      quartzite, and thinly
laminated purplish-grey argillite.
These rock units are depicted in a stratigraphic column in Figure 6-4.
In the immediate mine area Belt Supergroup stratigraphy comprises the Revett, St. Regis, and Wallace
Formations (Figure 6-3).  The lowermost is the Revett Formation which is predominantly shallow marine
quartzite, with local argillaceous lenses.  It is immediately overlain by St. Regis Formation shallow marine
shales and sandstones which are, in turn, overlain by the Wallace Formation.  The Wallace Formation is
primarily composed of fine-grained, thin-bedded calcareous or dolomitic sericitic slate, banded argillite,
ferruginous and dolomitic limestone, and calcareous quartzite that grade into one another.
Cretaceous monzonitic intrusions, referred to as the Gem stocks, cut the stratigraphy approximately two
miles northwest of the Star-Morning deposit. The Gem stocks are distributed along a northeast trend that
is bounded to the southwest by the Dobson Pass Fault.  Metamorphism associated with these intrusions,
as well as an alteration facies locally described as “bleaching”, obscures contact relationships.  Younger
dikes of dioritic composition also transect the area.
As stated above, these rocks are intensely folded into a complex series of synclines and anticlines that are
often overturned.  Faulting is also complex, with an older north-northwest-trending set of axial plane
faults offset by later west-northwest right-lateral strike-slip faults.  Structures related to this later strikeslip movement host most of the orebodies discovered in the district.  Later, extensional faulting overprints
these ore hosting structures.  These structures are the principal control to ore formation in the district.
The Osburn Fault (OBF), which represents the largest fault in the district, passes just south of the mine
(Figure 6-3). This is a major regional structure which divides the entire district into north and south
sections.  The fault strikes N80W and has undergone right lateral displacement in the order of 12 mi to 16
mi, depending on dip-slip movement.  Subsidiary subparallel faults splay off of the main structure on both
the north and south.  To the north, the structural trend swings more to a north to north-northwest
orientation.  Other major producers of the district including the Bunker Hill and Sunshine mines are
located on the south side of the OBF, but displaced westward. South of the OBF folds and faults trend
east-west, whilst north of the OBF the larger folds trend northwest and the larger faults have a west to
northwest strike.

--- PAGE 50 ---
Technical Report Summary -  February 21, 2022
6-5

Figure 6-3: Local Geology

--- PAGE 51 ---
Technical Report Summary -  February 21, 2022
6-6

Source: Mitchell et al., 2021
Figure 6-4: Stratigraphic Column

--- PAGE 52 ---
Technical Report Summary -  February 21, 2022
6-7
The Dobson Pass Fault represents a major discontinuity that juxtaposes the Wallace and Prichard
formations. All rocks, including the major silver-bearing veins and the Gem stocks, are cut by northnorthwest striking lamprophyre dikes that are interpreted to be Tertiary in age (Hobbs et al., 1965).
The Lucky Friday deposits are fissure-hosted silver-lead-zinc veins typical of the Coeur d’Alene District.
Principal vein systems are the Lucky Friday and Gold Hunter Veins (Figure 6-5). Economic mineralization
consists of silver-bearing galena and tetrahedrite, with relatively minor amounts of sphalerite and
chalcopyrite.  These minerals occur in veins, fracture-fillings, and disseminations along with accessory
pyrite and a gangue of iron carbonate (siderite), calcite, and quartz.  Mineralization is strongly structurally
controlled with a significant influence from the competency of the wall rocks.  Ore bodies are best
developed where faults and fractures intersect more siliceous and competent lithologies, and are less
likely to occur in the comparatively incompetent argillites.
The Lucky Friday ore zone is a single tabular body that curves from east-northeast to northeast in strike
and dips almost vertically.  The host structure is a shear couple tensional feature, bounded by two major
west-northwest-trending faults associated with the Osburn Fault (located 1,000 ft to the south).  These
bounding faults are termed the North and South Control Faults (NCF and SCF, respectively).  Between
these two structures, the vein and host stratigraphy are folded into a southwest-trending steeply plunging
antiform called the Hook Anticline.  The fracture hosting the Lucky Friday vein has undergone up to 200 ft
of reverse movement.
Horizontal vein widths are in the order of five feet to six feet.  The strongest mineralization occurs in the
quartzitic rocks of the Revett Formation.  Near surface, where the Lucky Friday vein traverses St. Regis
Formation argillites, the mineralization is weak and discontinuous. Below the 1200 level, where the vein
walls transition to Revett, vein widths and mineralization are much more robust.
Vein mineralization consists of very fine- to coarse-grained argentiferous galena, sphalerite, and local
tetrahedrite.  Gangue minerals are quartz and siderite with accessory pyrite and arsenopyrite.  Gangue
minerals often display cataclastic textures such as rounding and quartz or siderite “eyes” owing to postore movement of the faults.  The wall rocks are generally weakly altered, with siderite proximal to the
vein, grading to siderite with calcite distally, up a distance of 300 ft from the veins.
The Gold Hunter Vein system is located approximately 4,000 ft northwest of the Lucky Friday deposit
(Figure 6-5 and Figure 6-6).  The system comprises several closely spaced individual veins in a broad zone
measuring approximately 200 ft wide and striking in a west-northwest direction.  The present resource
estimate includes material from 16 individual veins.  Vein orientations are generally parallel, although
they do intersect in places, and dips are near-vertical (Figure 6-7).  The 30 Vein is the most important
economically, both from a reserve and production point of view. The 30 Vein has been mined along a
strike length of just over 2,200 ft on the 5900 level and slightly more at depth.  The known vertical extent
of mineralization on this structure is nearly 4,700 ft and is open-ended.  Horizontal mining widths are
typically in the order of five to seven feet but have been known to extend as far as 15 ft.  Ore bodies on
the other veins (termed “Intermediate Veins”) have tended to be smaller, so far measuring in the
hundreds of feet in strike and dip extent, and are somewhat narrower, generally in the 2.5 ft to 4.0 ft
range.
The Gold Hunter veins are hosted in sheared argillites of the Wallace Formation and, at depth, the St.
Regis Formation, which were at one time considered to be less prospective owing to their lower
competence.  The host unit is a 200 ft thick siliceous and relatively more brittle lens in the argillites.  The
Wallace Formation lithology consists of thinly bedded argillites, argillites alternating with silt caps, and
local siltites.  The more typical Wallace Formation dolomitic argillites and siltites are found distal to

--- PAGE 53 ---
Technical Report Summary -  February 21, 2022
6-8
mineralization.  Argillites proximal to mineralization are green to grey, becoming purple-coloured and
hematitic further away from the mineralization.  Fissility in the Wallace Formation is reduced in the vicinity
of the Gold Hunter deposit, owing to an envelope of silica and siderite associated with the mineralization.
It is believed this alteration hardened the host rock and made it more amenable to fracturing and
development of sulphide orebodies.
The wall rocks at Gold Hunter have a metamorphic shear lineation that trends N83W and plunges to the
west at 74° to 82°, roughly parallel to the ore bodies.  This fabric has been observed at the surface
discovery and is also noted at depth as sericite mineralization along bedding and cleavage surfaces.  The
Wallace Formation is folded to a nearly vertical orientation with a strike in the order of N80-85W and
dipping 80-90S.  Gold Hunter appears to be within the south limb of a faulted N80-85W-trending antiform.
There is little carbonate locally in the Wallace Formation around the deposit.  Proximal to the Gold Hunter
deposit, carbonate takes the form of siderite that grades outward to low-iron siderite, to ankerite, and to
calcite/dolomite distally.  The carbonate alteration is closely related to the mineralization and is
considered a key diagnostic indicator.
The Gold Hunter vein system lies between two west-northwest trending district fault structures. The faults
lie approximately 1,500 ft apart and define the Star-Gold Hunter trend.  To the north is the N80-85W
striking and 80S dipping Independence Fault and to the south is the N80W-striking and 80S-dipping
Paymaster Fault (Figure 6-5,Figure 6-6, and Figure 6-7).

--- PAGE 54 ---
Technical Report Summary - February 21, 2022
6-9

Source: RPA, 2017 (Digitized from Hobbs et al., 1965)
Figure 6-5: Property Geology

--- PAGE 55 ---
Technical Report Summary -  February 21, 2022
6-10

Source: RPA, 2017
Figure 6-6: Geological Plan 5900 Level

--- PAGE 56 ---
Technical Report Summary - February 21, 2022
6-11

Source: RPA, 2017 (Digitized from Hobbs et al., 1965)
Figure 6-7: Cross Section

--- PAGE 57 ---
6.3 Mineralization
6.3.1 Lucky Friday Vein
Wall rock alteration consists of a weak carbonate
mineralization that gives way to ankerite as the vein
to the vein system. The geometry of this alteration
Iron and magnesium in fluids flowing out from the v
rocks contain dolomite, which compromises the a
distances of more than 300 ft from vein systems depe
Additionally, disseminations of sulfide extend some
usually consists of galena, sphalerite, and tetrahedrit
The Lucky Friday Vein has an economic strike lengt
southeast dipping vein that varies from inches to as m
to six ft over the full economic length.
The source for this mineralization is current unclear.
SCF, which are mineralized locally. These may ha
mineralizing fluids to flow into the host fissure, which
The vein consists of both gangue and sulfide miner
amounts of pyrite and arsenopyrite. Ore minerals
tetrahedrite.
Mineral textures vary. Gangue minerals are often cata
by rounded mineral grains. Quartz and siderite “eyes
vary from very fine-grained to coarse-crystalline.
A simplified paragenesis begins with early quartz carb
sphalerite, and then by tetrahedrite and argentiferou
6.3.2 Gold Hunter Vein System
Gold Hunter historic mining extending from the surf
1,510 ft MSL elevation demonstrates grade trends an
to sub-parallel with often ill-defined mineralized len
grades of 4.1 oz/ton Ag and 3.9% Pb in three main le
there were five lenses at a bulk grade of 9.1 oz/ton A
there are ten lenses at a bulk grade of 9.6 oz/ton Ag,
Mine geologists report that silver, lead, and zinc bulk
content increases slightly relative to silver.
There are currently 101 definable, parallel veins ident
and grade with the most productive being the 30economic length when compared to the other Gold H
in width as a composite of closely spaced veins and
The economic vein length is approximately 2,300 ft. T
Lucky Friday Unit production since 1997 and has be
level. The other “Intermediate” veins have shorter
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 6-1
zonation. Calcite dominates in areas distal to the
n is approached and then is altered to siderite closer
depends upon wall rock porosity and permeability.
vein systems altered the original calcite. Some host
alteration pattern. This alteration can be seen for
ending upon bedding orientations to the vein source.
distance into host stratigraphy. This sulfide material
te.
th of up to 1,500 ft. The vein is a high angle southmuch as 20 ft in width. The average varies from four
The Lucky Friday Vein is connected with the NCF and
have been the major structural controls, enabling
h eventually became the vein.
ralization. It contains quartz and siderite with lesser
include argentiferous galena, sphalerite, and local
aclastic for quartz and siderite with milling evidenced
s” are common in Lucky Friday ores. Sulfide textures
bonate, plus or minus sericite and pyrite, followed by
us galena.
face at +4,700 ft MSL elevation to the 4900 level at -
nd variability. The vein zones are stacked and parallel
nses. The historic surface mining had bulk resource
enses. On the 4050 level at the -675 ft MSL elevation
Ag, 4.1% Pb, and 1.3% Zn. At 4900 level (-1,510 MSL)
, 5.4% Pb, and 2.3% Zn.
k grades generally increase with depth. Lead and zinc
tified in the Gold Hunter system. These vary in width
-Vein. This vein has the greatest value, width, and
Hunter veins. The 30-Vein averages more than four ft
veinlets. It strikes N83W and dips 80°S to vertically.
This vein has yielded a significant percentage of total
een largely mined out down to approximately 6000
r strike lengths and generally narrower widths. The
.00022

--- PAGE 58 ---
Technical Report Summary -  February 21, 2022
6-13
distribution of silver, lead, and zinc varies randomly for each vein. Production from Intermediate veins is
in the LOM plan and is anticipated to contribute proportionally more to the overall mill feed as time
progresses.
The 5900 level development was completed and full production was reached at the end of 2006. It had
been expected that overall grade trends would yield lower values at the 5900. Subsequent drilling and
development indicated that the expected grade fall-off trends were not as dramatic as had been
anticipated. The overall grade for 5900 level was lower, however, the mineable strike length increased by
600 ft relative to the 4900 level. Much of the composite grade decrease was due to the inclusion of more
mineable strike length. The eastern side of the deposit is actually higher grade than expected and the
western side a little narrower and lower than expected with the increase in length. Deep drilling results
from 2008 to 2010 suggest improving grades below the 6500 level. Lucky Friday mine staff are of the
opinion that reserve and resource estimates to the 7000 level have a very high level of confidence with
appropriate drill grid spacing. There are also a number of drill intercepts from deep-seated drilling that
extend resource estimates to the 8300 level.
As with Lucky Friday, the source of the Gold Hunter mineralization is not fully understood. The Gold Hunter
zone’s downward projection eventually reaches an intersection with the Independence Fault, which
hosted the Star Mine mineralization. Lucky Friday geologists consider that this fault may be the source
structure for the Gold Hunter mineralization, forming a conduit whereby fluids moved along reactivated
axial plane cleavage to form the deposit.
Individual vein constituents vary but a typical vein contains quartz and siderite with lesser amounts of
pyrite and barite. Ore minerals include argentiferous galena, sphalerite, and local tetrahedrite. There are
also minor amounts of other sulfosalts, including pyrargyrite (ruby silver), bournonite, and boulangerite.
Mineral textures vary. Gangue mineral textures are often cataclastic for siderite and local quartz. Sulfide
textures vary from locally coarse crystalline galena to fine grained steel galena.  Very fine grained sheared
galena is observed to be more silver-rich that coarser grained variants.  Sphalerite textures range from
medium crystalline to fine-grained and is generally lower in iron content relative to the Lucky Friday Mine
sphalerite.
A simplified paragenesis for the Gold Hunter begins with early quartz/carbonate/ sericite/pyrite, followed
by sphalerite, then tetrahedrite/argentiferous galena, and lastly late stage cooling and development of
additional sulfosalts minerals. It is currently believed that some of these sulfosalts may have formed as
silver was released from argentiferous galena during deposit cooling.
6.4
Deposit Types
The deposits of the Coeur d’Alene District, including Lucky Friday, are classified by Beaudoin and Sangster
(1996) as clastic metasediment-hosted vein silver-lead-zinc deposits.  In addition to Coeur d’Alene, the
world’s most prolific silver district, this deposit type embraces a number of historical mining localities
including the Harz Mountains and Freiberg in Germany, Keno Hill and Kokanee Range in Canada, and
Příbram in the Czech Republic.  They are typified by the following general characteristics:

Hosted in thick, monotonous sequences of fine- to medium-grained clastic sedimentary rocks
transected by deep-seated regional-scale faulting

Sedimentary basins occur in a wide range of tectonic environments, but all have been subject to
deformation, intrusion, and regional metamorphism, typically greenschist facies

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Economic minerals are predominantly galena and sphalerite with minor accessory pyrite and a
wide range of sulphosalt minerals including tetrahedrite, pyrargyrite, stephanite, bournonite,
acanthite, and native silver.

Gangue minerals typically comprise siderite and quartz with lesser amounts of dolomite or calcite

Comparatively low gold content

Temperature of sulphide mineral deposition in the range of 250°C to 300°C

Hydrothermal alteration constrained to a few metres of the veins and characterized by sericite,
silicification, and pyrite.
The signature for all economic deposits discovered within the Coeur d’Alene District is vein-like
morphology hosted within the meta-sediments of the Belt Super Group. In the Lucky Friday Complex, as
well as other sub-districts in the Coeur d’Alene District, veins occur as branching fissures that cross-cut or
invade the sedimentary bedding or host rocks.  Previous studies have indicated the veins are mesothermal
origin (Leach, 1982). The vein structures are known to branch, split or bifurcate, forming duplexing and
anastomosing geometries. The majority of veins strike west-northwest, are steeply- dipping, elongated
down-dip and can have strike lengths over 4,000 ft and dip lengths over 8,000 ft (Hobbs et al., 1965).
It is generally accepted that the veins of the Coeur d’Alene District were formed during the Cretaceous to
early Tertiary. Genesis of the ore bodies may have been a result of regional-scale metamorphism and the
development of hydrothermal systems associated with the emplacement of the Idaho Batholith pluton
and concurrent deformation. Metamorphic hydrothermal fluids most likely scavenged syngenetic metals
(silver, lead, zinc, and copper) from Proterozoic Belt Supergroup strata and emplaced these metals within
pre-existing or concurrent structural features (Fleck et al., 2002).

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7.0 EXPLORATION
7.1
Exploration
Exploration work on the Property ceased in 2017 and has not resumed.
7.2
Drilling
7.2.1 Drilling Procedures
Historically, drilling at the mine was divided into two general categories: exploration and definition
drilling.  Holes that are drilled more distant from the active workings, typically to test specific geological
targets, were termed exploration. As stated above, exploration drilling is not currently done, and hasn’t
for several years. Definition drilling, however, is currently being carried out in the immediate vicinity of
the mine workings with the purpose of upgrading the confidence level of the Mineral Resources.
Diamond drilling for the Gold Hunter veins is primarily conducted from underground.  The holes are
fanned from purpose-built openings and targeted to intersect the 30 Vein on a 50 ft x 50 ft pattern.
Although the target in the 30 Vein, several of the Intermediate Veins are captured as well. The holes are
usually in the order of 350 ft long, with one hole in five extended to capture more veins, and for rock
geochemical studies.
Drilling is carried out under contract by Dynamic Drilling of Osburn, Idaho, using a Sandvik DE130 (formerly
Hagby 1000) machine.  The drilling crew schedule is dependent on drill station availability and averages
five day/week crew staffing to meet the planning horizons.  Core size is NQ2 (1.99 in. diameter).
Figure 7-1 is a plan view showing the general distribution of diamond drill holes at Gold Hunter.
All holes are cemented for their entire length following completion.
The drillers place the core in waxed cardboard boxes which are then enclosed and taped shut prior to
transport to the shaft station on the 5900 level.  They are then placed in steel containers to be collected
by mine staff and conveyed to the logging facility which is located near the mine offices.
The core logging facility has recently been completely reconfigured.  Benches have been replaced with a
series of roller-equipped racks that allow the boxes to be easily pushed with no lifting from station to
station during the logging and sampling process.  New lighting has been installed along with a water supply
system with spray hoses, as well as cushioned flooring.
Upon receipt of the core at the logging facility, the boxes are laid out in order on the rollers. They are then
examined to ensure correct block footages and core orientation. s of core loss are noted, and
geotechnical logging is conducted.  This includes measurement of recovery, rock quality designation
(RQD), and recording the presence of “disking” (ie the separation of the core along closely spaced parting
planes).  Disking typically occurs in fault zones and is therefore important to note for ground control
purposes.
Logging is conducted by a contract geologist supplied by Tamarack Geological Services of Osburn, Idaho.
Data is digitally captured on notebook computers using GeoSequel, a commercially available software
package.

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Source: SLR, 2021
Figure 7-1: Gold Hunter Diamond Drill Plan

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The core is then logged for lithology and mineralogy, as well as sedimentary structures, veins, faults, and
other structural features.  Following this, a third logging pass is made noting type, style, and intensity of
alteration.  During the logging process, features of note are marked with crayon so as to be visible in the
core photos.
The core is then wetted and photographed using a purpose-built camera and lighting enclosure which
provides uniform digital images.  In addition to the notations on the core for geological information, the
sample boundaries and numbers are also marked to allow for easier validation of the assay results using
the imagery.
Specimens from each vein are measured for specific gravity (SG) using a water immersion method on
unsealed core.  This SG data is currently not being used for tonnage estimates.
7.2.2 Surveys
Hole locations and orientations are marked for the drillers by the supervising geologist.  Once the hole
has advanced for 50 ft, it is stopped, and the orientation checked with a Reflex EZ-Shot downhole survey
instrument.  If the orientation is within 3° of planned, the drillers are allowed to proceed.  On reaching
the target depth the drillers stop the hole and survey the entire length with the EZ-Shot.  Surveys are
made at the end of the hole progressing back upwards at 100 ft intervals to the 50 ft mark.
The EZ-Shot azimuth measurements are based on magnetics, and susceptible to interference from steel
objects. Taking a reading 50 ft down the hole reduces the chance that the instrument will be influenced
by any iron objects in the drift.  The EZ-Shot instrument also records the magnetic field strength which is
used to derive an average field strength for help in assessing individual orientation readings.  If an
obviously spurious measurement is recorded, it is discarded and replaced with an average of adjacent
readings.
The hole collar locations are picked up by the mine surveyors, as are any breakthroughs noted in the drifts.
This is to provide a means for gauging the accuracy of the downhole surveys, and to note any general
trends in hole deviation.
The survey data is recorded on paper and forwarded to the supervising geologist for capture using the
GeoSequel software. The surveyed holes are checked on screen in 3D to confirm that they were oriented
as planned and in the correct location.
7.2.3 Drill Sampling
On completion of the logging, the core is marked for sampling. Samples range in length from a minimum
of 0.5 ft to a maximum of four ft with breaks made based on lithological contacts or changes in estimated
grade or mineralization style.  Tags are placed in the boxes for each sample.  Only the veins are sampled.
The core is not split, but rather sampled in its entirety.  This is done primarily for efficiency and also
because the mine has operated for so long there is no longer any need to retain the core for reference.  It
should be noted also that whole core provides a better sample owing to the additional volume of sample
material.  The core photographs are also of such high quality that it is possible to check the core in detail
after it has been discarded.
Sample tag books are filled out with hole ID, location, from and to information, and a tag is placed in the
sample bag.  The sampled intervals are captured in GeoSequel and then checked using a validation routine
to confirm that there are no overlaps or accidental gaps.

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Assay Quality Assurance/Quality Control (QA/QC) samples consisting of either a blank, standard, reject
duplicate, or pulp duplicate are entered into the sample stream at a rate of one in 20 samples.  These are
also recorded in the database.
Samples are placed in cloth bags which are then collected into reusable plastic shipping boxes (“tote”).
The shipping list is generated in GeoSequel and place in the tote.  A separate tote is used for each hole.
The totes are shipped via commercial carrier to the ALS Global (ALS) laboratory in Reno, Nevada.
In the QP’s opinion, the drilling, core handling, logging, and sampling at Lucky Friday is being conducted
according to common industry practice, in a manner appropriate for the deposit type and mineralization
style.
7.2.4 Chip Sampling
Cut and fill stopes and development headings are visited on a regular basis by mine technical staff, and
every second face is sampled and mapped.  Stope and drift faces at Gold Hunter are mapped and
photographed, then chip sampled from rib to rib.  Samples are chipped into cloth bags using a rock
hammer.  Samples are oriented horizontally across the face from north to south, with breaks at structures,
vein boundaries, and changes in mineralization style or other noticeable features.  Sample lengths are
constrained to a minimum of 0.5 ft and a maximum of 4.0 ft.  Sample boundaries are painted on the face
before a photograph is taken for verification purposes.
Mapping and sampling is done five feet above the drift floor.  The sampling geologists create their own
control for the mapping, which is then tied in by the survey department.  The samplers make note of the
vein orientations as well as the horizontal width of the veins, and the actual horizontal width of the
opening.  The recording of these parameters provides the ability to more accurately estimate the dilution
occurring in the stopes, and assists in reconciliation.
Data collected includes stope name, cut height, date of sample, planned mining width, actual mining
width, and distance from reference point.  Material is also coded as waste dilution, required material,
vein, or internal dilution.
The chip samples are located by means of measurement from the nearest survey station or control point
and the surveyed drift wall.  Sample tickets and face maps are stored in paper files, one for each stope
cut. The face maps are scanned and stored on the server along with the face photographs. On receipt of
the assay data, the assays are copied to both the paper file and the digital database. Site geologists are
responsible for location of the samples and with keypunching the sample information into the GeoSequel
database.
The samples are stored as drill hole records, with the “collar” always located on the north side of the
working face, five feet above the average stope floor.  The sample strings are oriented at an azimuth of
186°.  After the stope has been completed and the sampling reconciled with the final survey, the chip
sample data are exported to CSV files for import to Leapfrog and Surpac.
In the SLR QP’s opinion, the chip sampling practices at the site are reasonable, appropriate for the
mineralization style, and consistent with common industry practice.
7.3
Hydrogeology Data
Hydrogeology data is not currently collected from the Lucky Friday drill holes.

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7-5
7.4
Geotechnical Data
As stated above in the section of Drilling Procedures, geotechnical data in the form of core recovery, RQD,
and presence of disking are recorded in the logging process.

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8.0 SAMPLE PREPARATION, ANALYSES, AND SECURITY
8.1
Sample Preparation and Analysis
8.1.1 Core Samples
The core samples are shipped to ALS in Reno, Nevada for analysis.  ALS is an independent commercial
analytical company that is well known in the industry.  The Reno laboratory has ISO/IEC 17025:2017
accreditation.  There are two broad categories of analyses that are performed on these samples: one for
the geochemistry holes and another for the rest of the definition holes.  All samples are prepared with
the following ALS protocol:

Oven dried

Crush to 70% minus 2 mm

Split by rotary splitter to a 250 g sub-sample

Pulverize to 85% passing 75 μ
All samples are run using aqua regia digestion of a 0.4 g sub-sample and Inductively Coupled Plasma Mass
Spectrometry (ICP-MS) finish for silver, lead, zinc, and iron.  Overlimits for these assays (ie greater than
1,500 ppm Ag, 20% Pb, or 30% Zn) are rerun using the following protocols:

Silver – fire assay (FA) of a 30 g aliquot with gravimetric finish

Lead and zinc – digestion of a one g sub-sample and analysis by titration
The overlimit re-assays also include copper. The copper assays are used for characterization of tailings for
monitoring purposes and are not relevant to the resource estimation.
Geochemistry samples are also analyzed for a suite of 48 elements via four-acid digestion of a 0.25 g subsample with an ICP-MS finish.  Overlimits for the geochemistry holes are rerun with ICP-MS but with a
larger, 0.40 g, sub-sample.  The upper detection limits for the ICP-MS are 100 ppm Ag, and 10,000 ppm
for lean, zinc, and copper.
Assay results are returned via email or can be downloaded from the ALS Webtrieve web portal.  The data
comes in csv format which can be uploaded to directly to Maxgeo for validation and processing.
8.1.2
 Chip Samples
Hecla has its own assay laboratory, located in the town of Gem, Idaho, ten miles from the mine (Gem).
The laboratory comprises a sample preparation area, with atomic absorption (AA), wet assay, and FA
capabilities.
Samples are picked up from the mine site five days per week, with most sample results returned within
one day.  Assay reports are posted up to the network as spreadsheet files, which can be retrieved by the
geology department as they become available.  The spreadsheets are created by the geology staff at the
time the samples are collected, and the laboratory staff manually fill in the assay results.
Analytical protocols are the same for drill and chip samples, and are outlined below:

Dry in sample ovens for 12-18 hr

Coarse-crush in a jaw crusher to -1/2 in.

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Pass coarse material through a Jones riffle splitter to obtain a 250 g subsample

Reduce the subsample to minus 100 mesh with a ring pulverizer

Collect a 0.2 g aliquot for AA and collect the remainder of subsample pulp for storage; pulps are
stored for at least six months

Digestion by boiling for 15 minutes in 10 mil nitric acid plus 20 mil hydrochloric acid

Add water to reach 200 mL volume

Determine silver, lead, and zinc assay with AA

Transfer results to the sample spreadsheet on the server

Rerun over-limit assays as requested by the geology department
Samples grading higher than 50 g/t Ag are rerun using FA, and are also assayed for copper.  Those grading
greater than 12% Zn or 20% Pb are rerun using wet titration methods.
8.2
Bulk Density
Specific gravities (SG) are estimated from metal contents by means of a stoichiometric equation taking
into account the most common minerals in the ore.  The principal constituent minerals of the ore are
assumed to be galena (PbS) and sphalerite (ZnS) in a gangue containing siderite (FeCO3) and pyrite (FeS2)
along with silicates.  The relative abundance of iron species is assumed to be 75% siderite and 25% pyrite.
The SG equation is as follows:
Density = 100 / ((Gangue%/2.76) + (Galena%/7.50) + (Sphalerite%/4.00) + (Siderite%/3.94) +
(Pyrite%/5.02)
Where:

Galena% = Pb% / 0.866

Sphalerite% = Zn% / 0.670

Siderite% = (Fe% x 0.75) / 0.482

Pyrite% = (Fe% x 0.25) / 0.466

Gangue% = 100 – (Galena% + Sphalerite% + Siderite% + Pyrite%)
The SG calculation results have been checked in past years by means of comparison with analytical
measurements taken by mine staff and by an outside laboratory.  In 2011, a suite of 40 hand specimens
were selected and sent to McClelland Laboratories, Inc., in Sparks, Nevada, where they were measured
for bulk density and assayed by ICP.  The measured bulk densities were compared to values calculated
from the grades determined at the GEM Lab.  The calculated density values were found to be generally
higher than the measured values, particularly at lower grades.
In 2014, 94 bulk density determinations were made on core specimens using the water immersion
method.  The results of these measurements were compared with the calculated SG’s and found to be
positively biased (ie. Comparatively higher) at lower densities and negatively biased at the upper end.
Overall, the measured SG’s were 4.1% lower than the calculated values, however, reconciliations at that
time indicated that the resource models were reporting less tons than recorded at the mill.  This
contradicts any assumption that the calculated densities might be positively biased in some way.
As stated in the previous section of this report, SG measurements are currently being made on core
specimens from each vein intercept.  This is a relatively recent addition to the core handling protocols and

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8-3
data has not been applied in estimation of tonnages but it is hoped that they can be used to check the SG
equation shown above.
In the SLR QP’s opinion, there is no indication of a large or systemic problem with the bulk density
determinations, and this procedure is considered to be acceptable for use in resource estimation.  The
collection of SG measurements is viewed as a useful endeavour that may provide opportunities for finetuning the bulk density estimates in future.
8.3
Quality Assurance and Quality Control
Assay QA/QC samples are placed into the stream at a rate of one standard, pulp duplicate, and reject
duplicate for every 20 samples for core and one in 25 for chips.  These QA/QC samples comprise the
following four types:

Blank material

Standard

Reject duplicate

Pulp duplicate
The blanks and standards consist of pulverized materials that are submitted to the laboratory in packets.
Lucky Friday staff report that there is a plan in place to switch to coarse blank material once the current
inventory has been used up.  Five standards and the blank were prepared in 2010 by CDN Laboratories of
Langley, British Columbia from materials provided by the mine.  They were independently certified by
Smee & Associates Consulting Ltd., of Vancouver, British Columbia.  Table 8-1 shows the certified grades
and two-standard deviation (2 SD) confidence limits of these standards.  Standard F is the blank.
Duplicates can be either a second split of the crushed material (sometimes referred to as a Prep Duplicate)
or a split of the pulp.
Table 8-1:
Standards Grades

Standard
Ag (g/t)
Pb (%)
Zn (%)
Fe (%)

Grade
± 2 SD
Grade
± 2 SD
Grade
± 2 SD
Grade
± 2 SD
A
17.1
1.7
0.69
0.05
0.44
0.03
12.54
0.43
B
97.1
4.2
2.69
0.12
0.77
0.04
13.54
0.51
C

6.07
0.27
3.18
0.23
22.58
1.25
D

10.98
0.89
4.96
0.37
23.62
0.63
E

19.08
1.86
7.26
0.38
20.24
1.46
F
1.1
N/A
0.01
n/a
0.01
n/a
6.02
0.60
The results of the QA/QC sampling are captured in Maxgeo along with the rest of the sample data. Utilities
within the software are used to collate and plot the QA/QC results on control diagrams for reporting
purposes.  The day-to-day validation process consists of a review by the supervising geologist of individual
standards results as the assay reports are downloaded. Results that are out-of-spec (OOS) trigger a review
and re-assay of all samples from the last acceptable control sample in stream to the next acceptable value

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8-4
(ie all samples surrounding the failure).  The assay report will not be posted to the database until QA/QC
issues are resolved.
8.4
SLR Review of QA/QC Results
SLR reviewed the sample QA/QC results as tabulated by Lucky Friday personnel for the period since restart
of the mine in 2019 until July 25, 2020.  The data provided consisted of standards control charts for both
the ALS and Gem laboratories.
8.4.1
 Blanks
Results for blanks (ie Standard F) are reviewed as they are received and stored as spreadsheets.  The SLR
QP compiled 458 blanks results from the assay certificates and found several instances of blanks assays
that were more than ten times the DL.  Results for lead were worst with 73 OOS assays.  Zinc returned 29
OOS, while for iron and silver it was just one.  These results were all from the ALS laboratory and were ICP
analyses. In the SLR QP’s opinion, these blanks results are not a cause for serious concern, however, the
comparatively high number of OOS results for lead suggests that there may be a problem with the blank
material itself.  It is recommended that this be reviewed and corrected if necessary.
8.4.2 Duplicates
Duplicates results were plotted on scatter diagrams to look for evidence of bias or unusual dispersion.
Example plots of these values are provided in Figure 8-1 and Figure 8-2.  The SLR QP reviewed the pulp
and reject duplicates results for silver, lead, zinc, and iron and did not find any concerns.

Figure 8-1: Prep Duplicates – Silver

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Figure 8-2: Pulp Split Duplicates – Silver
8.4.3 Standards
8.4.3.1
ALS Laboratory
The QA/QC assays for iron in all standards were routinely below the certified value (CV), generally below
the 2 SD limit, often less than 3 SD.  Slightly better performance was seen for Standards A and C, with the
worst results for Standard D.
Silver results were observed to be satisfactory for Standards A and B.  Standards C, D, and E, however,
yielded assays that initially suggested there was a possible issue with the certified reference materials.
Figure 8-3 and Figure 8-4 show the control chart for silver and zinc, respectively, in Standard C.  The
majority of the assays are within the acceptable range of ±2 SD from the CV.  There are several, however,
that plot within a relatively narrow range between 170 g/t Ag and 180 g/t Ag (Figure 8-3) and at
approximately 4.25% Zn (Figure 8-4). Similar patterns occur for silver in Standards C, D, and E, lead in
Standards B, C, D, and E, and for zinc in Standards C, D, and E. This pattern of failures does not appear in
the results for iron, only silver, lead, and zinc.
On further review, it was found that the control plots were capturing preliminary assays that had been
run using methods not appropriate for the grade of the standards.  The “failed” standards had actually all
been rerun using the proper protocols which were found to have returned acceptable results.

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Figure 8-3: Example Control Chart for Silver – Standard C (ALS)

Figure 8-4: Example Control Chart for Zinc – Standard C (ALS)

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8.4.3.2
Gem Laboratory
Control charts for Standards A, B, C, and D were made available for review.  Standard E was not used for
the channel sampling.
The results for iron were very similar to those for the ALS laboratory in that the assays were uniformly
lower than the CV and often below the 2 SD failure limit.  Performance for Standards B and C was best of
the four, with the majority of samples assaying just within the tolerance limits.  Results for Standards A
and D were routinely below the 2 SD limit with most below 3 SD.
Silver and zinc performance was very good for Standards A and B, while for C and D, showed similar
patterns of repetitive failure as those seen for the ALS results.  Each showed several failures spaced over
time with grades that clustered in the same ranges as those seen from ALS.
There were no results for lead for Standard A.  Results for Standards B and C were somewhat low, but
generally acceptable, with a protracted period of fairly recent failures occurring for Standard C.  Standard
D yielded a similar pattern to that seen for ALS, with generally good results and sporadic failures, all within
a narrow grade range. An example of the control plot for lead in Standard D is provided in Figure 8-5
below.
Again, the reason for the “failed” standards was found to be due to an improper selection of preliminary
assays by the control plotting utility.

Figure 8-5: Example Control Chart For Lead – Standard D (Gem)
8.5
Sample Security
As stated in the previous section of this report, the core and chip samples are collected and transported
by either Lucky Friday company staff or contractors and bonded commercial freight carriers.  The site is
secure and access is restricted to these authorized personnel.

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8.6
QP Comments
In the SLR QP’s opinion, the sample preparation and analysis are carried out using conventional methods
commonly used in the industry.  The security procedures at Lucky Friday are reasonable and consistent
with standard practice.
In the SLR QP’s opinion, the QA/QC program as designed and implemented is quite rigorous, with a fairly
high rate of control sampling for an operation as mature as Lucky Friday.  There is a persistent low bias
for iron shown in results for both the ALS and Gem laboratories.  This does not affect the economic grades
of the resource but could have an impact on tonnage estimates insofar as iron grades are used in the
stoichiometric calculation for estimating SG.  The fact that both laboratories yield similar results leads to
the conclusion that there may be some issue with the standard materials or the certification.
The pattern of observed failures for silver, lead, and zinc has been found to be due to a plotting error.
Preliminary assays have been captured and plotted on the control diagrams instead of the final assay
results.  There is no real concern with any of the standards assays for silver, lead, or zinc.  SLR’s QP does
recommend, however, that the reporting protocol be amended to ensure that the proper assays are
selected from the database for plotting.
In the SLR QP’s opinion, the QA/QC protocols in place at Lucky Friday are rigorous, and the results are
satisfactory. There are no concerns apparent with the assay results and they are suitable for use in a
Mineral Resource estimate.

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9.0 DATA VERIFICATION
9.1
Database Procedures
Drilling and chip sampling data are captured and stored in a database managed with Maxgeo software.
As stated above, the core logging information is captured using GeoSequel.  Photographic information is
stored digitally and is manipulated using Imago.  Geological interpretation and wireframe construction is
done using Leapfrog.  Surpac is used for surveyed openings, block modeling, and estimation of Mineral
Resources and Mineral Reserves.
On completion of a downhole survey, the data are input to GeoSequel and the hole is reviewed in 3D on
screen to check for obvious inconsistencies.  The downhole data includes magnetic susceptibility
measurement which can flag areas of high magnetite and potential for compromised results.  In extreme
cases, a re-survey is carried out but more typically a suspect reading is simply discarded and replaced with
an average of the adjacent measurements.
Core assay results are sent from the lab as comma-delimited (CSV) text files which can be imported directly
into the Maxgeo database.  Results can also be downloaded via the ALS Webtrieve web portal.  Once
imported, the assay QA/QC results are checked and any concerns resolved with the laboratory.
The results are also checked against the core photographs and logs to check for unusual or perhaps
spurious data.  The Imago core photo utility is linked to Leapfrog so that individual sections of core can be
retrieved by selecting them on screen, which greatly expedites this process.
The mine workings are surveyed, and then wireframe models are created of the stopes and development
headings.  These wireframes are exported to other downstream software packages for use by both the
geology and engineering staff.  Chip samples are corrected to agree with the surveyed drift outlines.
On receipt of the assay results, the data are input and checked against the face photographs for any
inconsistencies.  Validation utilities included with GeoSequel and Maxgeo are run to flag errors in data
capture such as missing or overlapping intervals.  The GeoSequel interface also includes templates that
limit the allowable data entries to acceptable values.
When the drilling and chip sampling data has been validated and all concerns resolved, it is cleared for
use in geological interpretation and resource modelling.
The data is stored on the mine site server, and backed up to the corporate office in Coeur d’Alene on a
quarterly basis.  Access to the site network is limited to authorized users only.
9.2
SLR Validation Procedures
9.2.1 Previous Audits
SLR, previously Roscoe Postle Associates Inc. (RPA), which is now part of SLR, and its predecessor Scott
Wilson RPA, have conducted audits of the Mineral Resource and Mineral Reserve estimates at Lucky Friday
on three previous occasions, in 2006, 2009-2010, and 2013.  For each of these audits, spot checks were
made of portions of the database. In 2017, RPA conducted a review of the Mineral Resource and Mineral
Reserve estimates but not a full audit.
For the 2006 audit, checks were made of approximately 47% of the assays from holes drilled from 2004
and 2005, along with 5% of the chip samples taken in the same period.  No errors were found.

--- PAGE 74 ---
Technical Report Summary -  February 21, 2022
9-2
During the 2009 site visit, checks were conducted of the complete dataset for 26 of the 228 holes drilled
since 2006.  The digital logs and sample data were exported from the database and compared to the paper
logs filed in the geology office.  The assays, lithology, collar coordinates, and downhole surveys were
compared with the original hard-copy data.  Several minor inconsistencies were noted, most due to survey
errors that had been corrected in the digital database but not in the logs.  No other errors were found.
The chip samples were loaded into Gemcom (now called GEMS) software and inspected in plan and 3D
views to check for gross location errors.  None were found.  SLR also ran the Gemcom validation utilities
to check for overlapping sample intervals, etc., and again, no errors were found.
The sample composites for the 50 and 90 veins were regenerated in Gemcom and compared to the ones
created by the proprietary composite compiler then in use at Lucky Friday.  No inconsistencies were found.
In 2013, SLR inspected approximately 200 chip sample file records and compared them to the database.
Fifteen sampled intervals were found for which the assay data had not been entered.
The drill and channel information was compiled into GEMS and tested using the database validation utility.
No errors were found.  Inspections were made of the data on-screen in section and plan views and it was
noted that some vein intercepts were not sampled.  On further review, it was found that there were 117
cases of intercepts without samples, most of which were known to Lucky Friday staff.  Some were found
to have poor recovery, and in others the vein was so narrow that it was hard to recognize.  There were
some that should have been sampled and were not, and these were addressed.  In the SLR QP’s opinion,
these missing intercepts would not have affected the Mineral Resource estimates.
SLR compared chip sample results to the laboratory report spreadsheet for 17,943 samples in the
database.  The comparison focused on data collected since 2009, and comprised 22% of the entire chip
sample database of 81,541 records.  There were 104 samples for which the stored results differed in some
way from the laboratory report.  SLR’s QP concluded that although they could possibly be errors, they
were more likely deliberate changes made to accommodate re-assays, and that in any case, an error rate
of 104 in 17,943 was considered acceptable.
9.2.2 Current Audit Validation
For the current audit, the SLR QP was provided with all of the ALS assay reports from the mine restart in
2020 to September 23, 2021.  These reports included assay results for a total of 12,779 drill samples
consisting of 1,329 from the geochemistry holes (ICP results) and the balance of 11,450 from the
conventional definition drilling.  The data was captured in an Access database and compared to the
samples currently in the Surpac database.  Approximately 15% or 2,027 of the samples were for assay
QA/QC and were not included in the Surpac database for use in resource modeling.  These samples were
excluded in the validation exercise although they were reviewed in the course of an overall inspection of
QA/QC results (see Section 8.0 of this TRS).  A total of 10,752 samples in the database were checked
against the assay certificates.
For the definition holes there were 9,617 samples matched to the assay table in Surpac, and of these,
there were a total of seven discrepancies found.  All were noted to be of low severity and comprised
assays apparently posted to the wrong sample interval, in all cases to adjacent samples in the assay table.
They have since been corrected. In the SLR QP’s opinion, had these discrepancies not been caught, they
could have contributed to minor local errors in the interpolated grades in the block model.  The overall
consequence to the resource estimate would likely have been trivial. The overall error rate of seven in
9,610 samples, or 0.07%, is considered to be well within an acceptable error rate.

--- PAGE 75 ---
Technical Report Summary -  February 21, 2022
9-3
The check of the samples from the geochemistry holes yielded 21 discrepancies between the certificates
and the values stored in the database.  All of these discrepancies were in the lead and zinc fields and
comprised slight differences between the reported values and the stored ones.  Further investigation
found that there were a number of re-assays conducted that yielded slightly different results from those
in the original analyses.  As such, there were no errors in the data for the geochemistry holes.
In addition to the checks described above, the SLR QP confirmed that the conversion from ppm Ag to
oz/ton Ag was correct for all of the samples captured in the validation exercise.  SLR also confirmed that
the SG calculations for the samples were conducted correctly.
The entire database, comprising records for 30,014 drill holes and channels, was imported into GEMS and
scanned for FROM-TO errors.  Out of 177,502 sampled intervals, there were seven instances of
overlapping samples in the assay table for an implied error rate of 0.0039%.  These were reviewed and it
was found that all but one were channel samples located in areas of the mine that have been mined out.
The remaining instance was in a drill hole, at a location not within any known vein occurrence.  In the SLR
QP’s opinion, these errors are very small in number and will not have any effect on the Mineral Resource
estimates.
The SLR QP conducted a visual inspection of the wireframes for the 20, 30, and 40 Veins, comparing them
to the drill intercepts and the chip samples.  In general, the wireframe models appeared to honor the drill
holes and chip sample vein coding but there were a number of places where they did not agree. Some of
these apparent discrepancies appeared to be due to a lag in updates to the vein assignments in the
database following addition of addition drilling. This should be resolved for the next block model
interpolation.
There were no cases of unusual hole orientations, obviously incorrect collar locations, or implausible hole
traces observed.
9.3
Validation Limitations and SLR QP Comments
In the SLR QP’s opinion, while it is not possible to completely validate every element of a database as large
and complex as that for Lucky Friday, there is nothing to date to suggest that there are serious or systemic
concerns.  The databases are managed in a secure environment, using conventional off-the-shelf software
packages that are up-to-date and appropriate for the tasks to which they are applied.  The staff are
competent, well-trained, and experienced and they have been provided with clear and reasonable
protocols to follow.  Over time, these protocols have been updated to incorporate modernized work
practices and tools as well as the evolving demands of the operation.  Independent spot checks conducted
by SLR over a broad span of years indicate that the data capture and validation protocols have been
rigorously observed.  As such, the database is properly configured and maintained and is appropriate for
use in estimation of Mineral Resources and Mineral Reserves.

--- PAGE 76 ---
Technical Report Summary -  February 21, 2022
10-1
10.0 MINERAL PROCESSING AND METALLURGICAL TESTING
The Lucky Friday mill has been operating for more than 70 years. Testing and evaluations are routinely
performed to improve recoveries and efficiencies in the concentration processes. Historical metallurgical
studies are summarized in the following sections. Some of these studies  were investigative in nature and
did not result, or have not yet resulted, in direct modifications to the process or facilities. Action was
taken as required or applicable.
10.1 Metallurgical Testing of Gold Hunter Ore by Dawson Metallurgical
Laboratories-2008
In 2008 a significant test program was conducted at Dawson Metallurgical Laboratories (DML). The DML
reports issued for the test program are noted below.

Comminution and Flotation Test Work on Gold Hunter Ore and Intermediate Vein Samples. By
DML, Salt Lake City, Utah. April 2008.

Additional Test Work Conducted on Lucky Friday Ore Samples. By DML, Salt Lake City, Utah.  June
2008.
10.1.1 Sample Composites Tested
Samples tested were from the 30 Vein of the Gold Hunter zone and the 20, 50, 60, 70, 80, 90, and 110
veins from the Intermediate Vein zone. A sample of hard ore, a composite that was 60% Gold Hunter and
40% Intermediate Vein material, and a wall rock dilution sample were available for testing. The wall rock
sample was prepared from NQ-drill core from the eastern portion of the Intermediate Vein between the
4900 and 5900 level of Gold Hunter.  The hard ore sample was from the 30-Vein stope hoisted from the
5900 pocket. The sample was a hand-picked grab sample from the crusher belt. The third sample consisted
of a 60% Gold Hunter ore with 40% Intermediate Vein material. The Gold Hunter and Intermediate Vein
samples, representing nine veins, were taken from 13 active stopes from the 4900 and 5900 levels.
Head analysis of the Gold Hunter composite and each of the Intermediate Veins were run. Results shown
in Table 10-1 indicate most samples to be similar and suitable for processing through the exiting
operation. Vein 110 is anomalous in silver, copper, arsenic, and antimony and would probably require
additional work to determine a viable process.
Table 10-1:
DML Head Analysis Summary

Sample Description
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Fe(t)
(%)
Fe(CO3)
(%)
Cu
(%)
S(t)
(%)
S=
(%)
As
(%)
Sb
(%)
Gold Hunter (GH)
Composite
18.75
12.6
4.42
21.1
19.8
0.082
5.06
5.03
0.017
0.146
Intermediate Vein (IV) Samples
Vein

10.27
9.41
1.99
13.10
12.90
0.032
2.97
2.97
0.010
0.067
Vein

7.09
3.99
4.82
22.00
18.10
0.039
9.58
2.58
0.077
0.157
Vein

8.66
5.50
4.74
23.20
19.40
0.032
8.67
8.67
0.048
0.134

--- PAGE 77 ---
Sample Description
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Fe(t)
(%)
Fe(CO3)
(%)
Cu
(%)
S(t)
(%)
S=
(%)
As
(%)
Sb
(%)
Vein

36.17
11.30
5.78
12.90
10.90
0.198
7.95
7.89
0.038
0.271
Vein

18.73
11.40
2.52
14.90
14.10
0.090
3.80
3.73
0.015
0.122
Vein

14.85
11.10
1.44
11.80
11.50
0.058
3.11
3.11
0.006
0.087
Vein

62.71
6.38
7.92
13.80
10.10
6.110
9.87
9.79
0.500
2.590
IV Compo
Wt. Ave.
23.39
8.38
4.31
16.13
13.92
0.992
6.78
6.75
0.105
0.515
IV Compo
Assay
22.37
8.27
4.25
15.70
13.70
0.986
6.59
6.54
0.114
0.501
Wall Rock (dilution)
0.058
0.048
0.051
7.13
5.51
0.006
0.51
N/A
N/A
N/A
10.1.2 Comminution Summary
Comminution test results are summarized in Table 10-2. Results indicate the Gold Hunter-Intermediate
Vein composite is relatively soft and non-abrasive. The wall rock is  slightly harder than the Gold HunterIntermediate Vein composite.
Table 10-2:
DML Grinding Test Results Summary

Sample
Abrasion Index,
(g)
Crusher Work
Index
(kWh/ton)
Rod Mill Work
Index
(kWh/ton)
Ball Mill Work
Index
(kWh/ton)
SAG Product
Work Index
(kWh/ton)
Hard Ore, 100%
0.061
4.1
7.5
9.8
10.8
Composite Blend
60% GH; 40% IV
0.13
4.9
10.7
11.4
11.9
Wall Rock, 100%
0.093
4.7

12.2
12.9
10.1.3 Semi-Autogenous Grinding Modelling Study
Semi-autogenous grinding mill (SAG) design test results from the DML were submitted to Starkey and
Associates for analysis. Starkey evaluated various scenarios to increase the throughput capacity from 38
to 44 short tons per hour (stph) for the existing three stage crushing and 9.5 ft diameter x 12 ft long single
stage ball mill grinding circuit to 66 stph, 90 stph, and 225 stph. The expansion to 66 stph and 90 stph
made use of the existing ball mill.
Grinding capacity was increased by eliminating the existing crushing circuit and adding  an 1,800 hp or
2,500 hp autogenous grinding (AG) or SAG mill depending on the desired tonnage. For the expansion to
225 stph a 4,800 hp single stage SAG mill was recommended by Starkey. In this scenario, the existing ball
mill was not needed.
10.1.4 Flotation Test Summary
Scoping flotation kinetic tests to evaluate the response of the Gold Hunter and each Intermediate vein
were run at standard conditions. Results indicated that silver and lead recovery to the lead rougher

Technical Report Summary -  February 21, 2022
10-2

--- PAGE 78 ---
Technical Report Summary -  February 21, 2022
10-3
concentrate averaged over 95% and 93%, respectively, for all samples.  Zinc rougher recovery averaged
72.8%.
Rougher kinetic tests evaluating Gold Hunter to Intermediate vein blends ranging from 100% Gold Hunter
to 100% Intermediate Vein in 25% increments were run to evaluate the effect of the blend.  Results for
silver and lead were very similar for all blends. Zinc recovery declined by approximately 4% as the
percentage of IV was increased from zero to 100%.
Rougher kinetic tests to evaluate the effect of plant water on flotation kinetics and metal recovery were
run on water blends from 100% fresh water to 100% plant water in 20% increments. Results indicate that
water had no effect on ultimate metal recovery, but may reduce lead and silver flotation kinetics.
Rougher kinetic tests were also run to evaluate the effects of wall rock dilution on the IV composite.
Results indicated lead and silver recovery was not affected by dilution of one part ore to three parts wall
rock.  Zinc recovery was affected by dilution falling from 77% to 47% at this dilution level.
Batch cleaning tests indicated that lab results for the zinc final concentrate was lower grade than achieved
in the Plant.  The effect of mechanical cells used in the lab compared to column cells used in the Plant was
suspected as the problem. Several stages of mechanical cleaners were added to the lab procedure in an
attempt to more closely simulate plant results concerning zinc final concentrate grade.
A seven cycle locked cycle test was then conducted on the 60% GH 40% IV composite. Results summarized
in Table 10-3 indicate that the lead circuit performed as expected.
Lead and silver recovery to the combined silver concentrate and final concentrate grade were good.
Results for zinc indicated good recovery to the final concentrate, but at a much lower than expected
concentrate grade. At the time it was believed this was due to the difference between lab mechanical and
plant column cells.
Table 10-3:
Dawson Locked Cycle Test Summary, Cycles 5 to 7

Product
Cycle
Wt%
Assay
Distribution, %
Ag oz/ton
Pb%
Zn%
Fe%
Ag
Pb
Zn
Fe
Comb. Pb Final Conc.
5,6,7
13.74
122.9
61.4
3.7
6.4
88.2
91.7
13.7
4.6
Zn No. 4 Cleaner Conc.
5,6,7
8.57
7.5
2.1
34.6
17.1
3.3

7.7
Zn Scavenger Tail
5,6,7
77.69
2.1
0.75
0.25
21.5
8.5
6.3
5.3
87.7
Head (calc.)

19.2
9.2
3.66
19.0

Head (assay)

20.2
10.87
4.35
18.9

Notes:
1.
TEST No. 33 Cycle 5-7
2.
Primary Grind =144 Microns with 60% Hecla Tailings Recycle Water and 40% Hecla Site Fresh Water
10.1.5 QEMSCAN Analysis and Additional Studies
Follow-up work on the locked cycle test products was also conducted by DML and reported in June of
2008.

--- PAGE 79 ---
Technical Report Summary -  February 21, 2022
10-4
In the follow-up work, the zinc scavenger tailing from the locked cycle test noted above was screened.
Results indicated that the 80% passing (P80) size was approximately 173 microns compared to the target
P80 of approximately 150 microns.  It was concluded that the coarser grind contributed to the relatively
low zinc concentrate grade.
Additional follow-up work at DML indicated that exposing a sample to the atmosphere for one month did
not affect the silver flotation response, but the lead rougher recovery was  reduced by approximately 4%.
The lead that did not report to the silver concentrate was activated and did report to the zinc concentrate.
Zinc recovery to the rougher was lower after the exposure to the air by approximately 3%.
Samples of plant lead rougher circuit feed and tailing were collected, screened, and the screen fractions
were assayed.  Results indicated the silver and lead lost to the tailing are concentrated in the minus 325
mesh fraction.  This fraction contains approximately 50% of the weight, 60% of the silver, and 70% of the
lead.
Estimates of the silver and lead recovery by size fraction were made. Results of this analysis indicate that
the silver recovery was relatively constant for all size fractions, but the lead recovery in the coarse fractions
was approximately 10% lower than the lead recovery in the fine fraction.
The locked cycle test final lead and zinc concentrates were submitted to SGS Lakefield (SGS) for chemical,
mineralogical, and quantitative evaluation of minerals by scanning electron microscope (QEMSCAN)
analysis. Good agreement between the SGS and DML chemical analysis was noted.
QEMSCAN analysis of the concentrate indicated the silver concentrate was primarily galena (66%) with
some pyrite (7%), sphalerite (5.5%), tetrahedrite (5%), and lower concentrations of copper sulfides,
siderite, and quartz.  The galena and pyrite in the silver concentrate were primarily free or liberated but
the sphalerite, tetrahedrite, and gangue reporting to the silver final concentrate had higher percentage of
middling material. Similar analysis indicated the zinc concentrate was primarily sphalerite (60%) with
pyrite (26.5%) and siderite (6.3%) and lower concentrations of galena and quartz. The sphalerite and pyrite
in the zinc concentrate were primarily free or liberated but the galena, siderite, and quartz reporting to
the zinc final concentrate had higher percentage of middling or locked material.
SGS QEMSCAN liberation analysis of the locked cycle test silver concentrate indicated that finer grinding
to 106 microns would improve lead liberation and improve recovery and  grade.  It is noted that the locked
cycle grind was coarser than desired and coarser than achieved in the Plant operation, so this
recommendation should be confirmed on plant samples.
SGS QEMSCAN liberation analysis of the locked cycle test zinc concentrate indicated that finer grinding to
106 microns would improve zinc liberation and that pyrite was activated during the zinc activation process.
It is noted that the locked cycle grind was coarser than desired and coarser than achieved in the Plant
operation, so this recommendation should be confirmed on plant samples.
The locked cycle test lead and zinc concentrates were submitted for ICP analysis.  Results are summarized
in Table 10-4.
Tailing from the DML work were not characterized for acid forming potential.

--- PAGE 80 ---
Table 10-4:
Locked Cycle Test Flotation Concentrate ICP Scan Results

Element
Units
Pb Concentrate
Zn Concentrate
Ag
oz/ton
> 29.2
5.64
Al

0.1
0.15
As
ppm
1,710
2,920
Be
ppm
<0.5
<0.5
Ba
ppm

Bi
ppm
5.5
0.6
Ca

0.18
0.11
Cd
ppm

3,590
Ce
ppm
3.5
6.5
Co
ppm

Cs
ppm
0.5
0.8
Cr
ppm

Cu

3.00
0.14
Fe

6.7
15.95
Ga
ppm
1.0
4.2
Ge
ppm
<0.5
0.5
Hf
ppm
<1
<1
In
ppm
0.47
3.97
K

0.04
0.06
La
ppm
<5
<5
Li
ppm
2.0
3.0
Mg

0.05
0.06
Mn

0.26
0.36
Mo
ppm
9.2
7.3
Na

<0.02
<0.02
Nb
ppm
<1
<1
Ni
ppm
50.0
108.0
P

>10
2.53
Rb
ppm
2.0
4.0
Re
ppm
0.03
0.02
S

19.2
34.6
Sb

1.00
0.027
Sc
ppm
<1

Technical Report Summary -  February 21, 2022
10-5

--- PAGE 81 ---
Element
Units
Pb Concentrate
Zn Concentrate
Se
ppm
<10

Sn
ppm

Ta
ppm
<0.5
<0.5
Sr
ppm

Te
ppm
<0.5
<0.5
Th
ppm
<2
<2
Ti

0.01
0.01
Tl
ppm

19.40
U
ppm
<1
1.00
W
ppm
<1

V
ppm
<5
<5
Y
ppm

Zn

4.29
>10
Zr
ppm
<5

10.2 Lucky Friday Mill Audit Report by Blue Coast Metallurgy Ltd. – 2011
In July of 2011, Blue Coast Metallurgy (Blue Coast) was retained to perform an audit of the Lucky Friday
process operation to support studies to increase plant production.
Forty three process streams were sampled every 10 to 15 minutes during a two hour period on two
consecutive days. The results during the two surveys were in line with plant trends during the period so
the audit results were considered valid. During the survey, the lead flash cell recovered 60% to 70% of the
lead and silver in the plant feed.  This reduced the load on the Pb cleaning circuit.  The total silver, lead,
and zinc recovery to  the silver concentrate were 91.7%, 90%, and 12%, respectively, to a concentrate
containing 60% Pb, 130 oz/ton Ag, and 3.5% Zn.  Zinc recovery to the zinc concentrate was 81.3% to a
concentrate grading 48.6% Zn.  Lead recovery to the zinc concentrate was 2.3% and the silver recovery to
the zinc concentrate was 3.9%.

Technical Report Summary -  February 21, 2022
10-6

--- PAGE 82 ---
11.0 MINERAL RESOURCE ESTIMATES
11.1 Summary
Table 11-1 lists the Mineral Resource estimate for the Lucky Friday Mine, prepared by Hecla and audited
by SLR.  Mineral Resources have been classified in accordance with the definitions for Mineral Resources
in S-K 1300.
Table 11-1:
Summary of Mineral Resources – December 31, 2021

Grade
Contained Metal

Tonnage
(ton)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
NSR
(US$/t)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Measured
Gold Hunter
8,230,000
7.4
4.6
2.5

60,600,000
379,000
207,000
Lucky Friday
393,000
12.2
11.4
1.5

4,790,000
44,700
5,910
Ancillary Veins
19,800
14.0
6.7
1.9

277,000
1,320

Silver Vein
8,030
15.9
1.0
0.2

128,000

Total
8,650,000
7.6
4.9
2.5

65,800,000
425,000
213,000
Indicated
Gold Hunter
1,660,000
7.4
4.6
2.3

12,300,000
76,000
38,600
Lucky Friday
139,000
9.5
11.0
3.7

1,320,000
15,300
5,080
Silver Vein
10,000
13.3
1.0
0.2

133,000

Ancillary Veins
28,600
9.0
6.0
1.4

258,000
1,710

Total
1,840,000
7.6
5.1
2.4

14,000,000
93,100
44,100
Total Measured and Indicated
Total
10,500,000
7.6
4.9
2.5

79,800,000
518,000
258,000
Inferred
Gold Hunter
4,900,000
7.6
5.3
2.3

37,400,000
261,000
111,000
Lucky Friday
449,000
9.2
10.9
4.1

4,110,000
48,900
18,500
Silver Vein
10,000
13.3
1.0
0.2

133,000

Ancillary Veins
21,800
10.2
9.0
2.5

222,000
1,980

Total
5,380,000
7.8
5.8
2.4

41,900,000
312,000
130,000
Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.

Technical Report Summary -  February 21, 2022
11-1

--- PAGE 83 ---
Technical Report Summary -  February 21, 2022
11-2
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves at Gold Hunter, whereas there are no Mineral Reserves currently
at Lucky Friday.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated by block, based on mineralogical content.
7.
Mineral Resources are estimated at NSR cut-off grades of US$173/ton for Gold Hunter and US$207/ton for Lucky
Friday.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.
The SLR QP is of the opinion that with consideration of the recommendations summarized in Sections 1.0
and 23.0 of this TRS, any issues relating to all relevant technical and economic factors likely to influence
the prospect of economic extraction can be resolved with further work.
11.2 Gold Hunter
11.2.1 General Approach
The Mineral Resources are estimated using a block model method, with grades for silver, lead, zinc, and
iron interpolated into the blocks by inverse distance squared (ID2) weighting.  The interpolations are
constrained by wireframe models of the host veins to prevent smearing of grades out into the wall rocks.
The wireframe models are created using implicit modeling in Leapfrog based on vein codes assigned by
the mine geologists to the sample intervals.  These wireframes are then exported to Surpac, where the
block models and grade interpolations are generated.  Both Leapfrog and Surpac are off-the-shelf mining
software packages that are in common use in the industry.
The block models are diluted with zero grade material out to the minimum widths for the expected mining
method.  Polylines are drawn in longitudinal views of the veins to encompass coherent volumes of above
cut-off grade material such that small clusters of resource-grade blocks that are too isolated to pursue are
eliminated from the Mineral Resources. The resource blocks are then evaluated for inclusion of Mineral
Reserves, and parsed out into stope blocks.  The remaining material that meets the resource cut-off grade
criterion is reported as Mineral Resources.
The Mineral Resources reported in Table 11-1 are derived from block model estimates made in December
2021.  This block model was an updated version of one completed at mid-year 2021, and has not changed
very much from that time.  Much of the audit work was conducted on the mid-year model.
Mineral Resources are reported exclusive of Mineral Reserves.
11.2.2 Resource Database
The database has been compiled in Access and includes a total of 1,101 drill holes and 28,974 channels,
encompassing 184,098 sampled intervals. Sample types are predominately chips and core, although nine
samples, coded as Vein 5, were identified in the database as “cuttings”.  A summary of this database is
provided in Table 11-2 and Table 11-3.
The channel samples are stored as pseudo-drill holes, with a common orientation defined by the sampling
protocols.  The start point of a channel (or “collar”) is always on the north side of a drift face and channels
are oriented as horizontal lines with azimuth 186.28°.
The Longhole and Geo Tech hole types do not have sampling.

--- PAGE 84 ---
The assay table contains fields for, among others, from, to, hole ID, sample ID, certificate number, sample
type, and hole type.  Assay values for silver, lead, zinc, iron, and copper are stored along with calculated
values for SG and NSR.  Samples within identified veins are coded with an integer value pertaining to the
structure name (e.g., 30 for 30 Vein).
The cut-off date for the database used in the Mineral Resource estimate was November 30, 2021.
Table 11-2:
Summary of Holes – Gold Hunter

Type
Number
Length
(ft)
Channel
28,974
272,332
Diamond Drill
Definition

192,131
Exploration

174,829
Mine

Unspecified

228,224
PFS

27,046
Pre-Production

53,680
Non-Resource
GeoTech

10,335
Total
30,075
905,507
Table 11-3:
Summary of Samples – Gold Hunter

Hole Type
Number of Samples
Length
(ft)
Channel
113,058
262,513
Definition
23,667
33,853
Exploration
15,236
21,110
Mine

Not Specified
21,987
44,153
PFS
4,440
12,411
Total
178,435
374,216

Technical Report Summary -  February 21, 2022
11-3

--- PAGE 85 ---
Technical Report Summary -  February 21, 2022
11-4
11.2.3 Geological Modelling
The Gold Hunter veins are narrow near-vertical structures that are generally tabular in aspect and parallel
to one another, with occasional bifurcations.  There are codes within the database for 101 individual veins,
although some may not be fully interpreted, and may actually be parts of other known structures.  Mineral
Reserves are reported for eight of the Gold Hunter veins: 20, 30, 50, 60, 70, 80, 90, and 110.  Mineral
Resources have been estimated for those eight veins plus an additional eight: the 5, 40, 41, 100, 120, 130,
140, and 150 veins.
Wireframe models of these 16 structures were constructed using Leapfrog and exported to Surpac for use
in block modeling.  Drill hole and chip samples were assigned codes according to vein number and
composited from hanging wall (north) to footwall (south).  The start and end points for each composite
were used to create surfaces representing the vein contacts.  Leapfrog’s implicit modeling utility was then
applied to generate the wireframe models of the veins. Where appropriate, the wireframe models were
truncated against known faults.  An example of this would be the western end of the 30 Vein.  Typically,
in the absence of a known geological limit, the wireframes are constrained to a nominal distance of 300
ft from exterior drill holes.
The effective minimum width for the wireframe models was the composite lengths, which can be as short
as 0.1 ft.  For resource reporting purposes, dilution is added at zero grade to bring the vein to the expected
minimum mining width.  This mining width will vary from eight to eleven feet depending on the planned
mining method.
A 3D view of the 30 Vein is shown in Figure 11-1.
The SLR QP inspected the wireframe models for the veins and compared them to the chip samples and
diamond drill holes.  While, in general, they were found to be reasonably representative of the vein
contacts, there were instances of improperly selected intervals.  This resulted in exclusion of some
samples that were coded as in a vein, and inclusion of others that were either not coded or coded as
another vein.  It was also apparent in some cases where the veins intersected one another there appeared
to be ambiguities in the sample vein code assignments.  These occurrences are not considered to
materially affect the resource estimates, but in the SLR QP’s opinion, it would be best to correct them as
required.

--- PAGE 86 ---
Technical Report Summary -  February 21, 2022
11-5

NOT TO SCALE
Source: SLR, 2021
Figure 11-1:
30 Vein 3D View Looking Northwest

--- PAGE 87 ---
Technical Report Summary -  February 21, 2022
11-6
11.2.4 Exploratory Data Analysis
Only the chip and core samples are used in resource estimation.
Of the 177,502 samples in the database, 98,849 were tagged with codes for the 16 veins on which
resources were estimated. Length-weighted, non-declustered statistics for silver, iron, lead, and zinc in
these samples are provided in Appendix 1. The analyses were carried out on non-declustered data in order
to provide a preliminary overview of the data set and confirm some of the assumptions used in preparing
the resource estimates. In addition to the statistics, histograms and probability plots were generated for
each domain. Examples of these plots for silver in the 30 Vein are provided in Figure 11-2.

Figure 11-2:
Log Histogram and Probability Plot For Silver – 30 Vein

--- PAGE 88 ---
Technical Report Summary -  February 21, 2022
11-7
The SLR QP notes that the statistical analyses show a complex mix of different distributions and properties.
There is one consistent characteristic in that the grade distributions for silver, lead, and zinc are positively
skewed.  This is observed to be particularly severe in 5 Vein, for silver in the 100 to 150 Veins, inclusive,
and zinc in the 80 to 150 Veins, inclusive.  Coefficients of variation (CV) for these veins are observed to be
higher than 1.5, and occasionally greater than 2.0 or even 3.0.  The positive skewness and high CV’s
indicate that the samples are not normally distributed, and may be prone to bias from the upper tail of
the distributions.
Many populations, such as silver and lead in the 80 Vein; lead in the 50 Vein; and lead, zinc, and silver in
the 30 Vein (see Figure 11-2) appear to be combinations of two or more log normal distributions. The
sample distributions are also observed to have comparatively low CVs, more in line with normal
populations.
It is further noted that in most of the 5 and 100 to 150 domains listed above there are significant numbers
of very low grade and zero grade samples, which could contribute to higher CV’s and skewness.  Typically,
5% to 10% of the silver, lead, and zinc samples in these domains have zero grades.  Zinc and lead in 120
and 130 Veins have 20% zero grades. By contrast, for silver in 30 Vein, only 0.2% of samples are zeros (see
Figure 11-3). This may be due in part to the fact that 30 Vein has, by far, the greatest degree of mining
and the highest number of chip samples.  It is reasonable to expect that these chip samples would have a
higher probability of being mineralized relative to the core samples.
The iron samples are distinct from the other elements in that they do not display the same distributions
and degree of skewness.  They often appear to normally distributed, with some displaying bi- or multimodal distributions.  The CV’s for iron are uniformly low in all domains.
In the SLR QP’s opinion, positively skewed sample distributions of the type displayed by silver, lead, and
zinc indicate that there is a risk of over-estimation of block grades due to the disproportionately large
influence of the highest grade sample in the distribution.  A common industry practice to address this risk
is to cap or cut the highest grade samples to a predetermined level prior to grade interpolation.  It is noted
that this practice is employed at Lucky Friday, and is described in the next section of this report.
It is best practice to constrain grade interpolations within domains of like geostatistical and statistical
characteristics.  If the mean, the local variance, and the variance of differences between pairs of samples
throughout the domain are constant, then the data set is said to be stationary.  Stationarity is considered
essential to allow meaningful geostatistical inference and modeling.
The complexity and multi-modal characteristics observed in the domains for Gold Hunter suggest that
there may be sub-domains within some veins (ie high and/or low grade zones). If clusters of high or low
grade samples exist within a vein, it would be appropriate to separate these into separate zones.  If it
hasn’t already been tried, the SLR QP recommends that a study be undertaken to find and isolate subdomains within the veins. This not viewed as a serious concern but merely an opportunity to fine-tune the
estimates.
11.2.5 Treatment of High Grade Assays
As stated in the section entitled Exploratory Data Analysis, the sample grade distributions for most
domains are positively skewed, with a tail of high grade samples.  In order to limit the disproportionate
effect that these high grade samples can impose on the average grade for the domains, top cuts have
been applied to silver, lead, and zinc.  Iron is not capped. The top cuts are nominally set at the 95th
percentile of the distributions, and applied to the samples prior to compositing.

--- PAGE 89 ---
Technical Report Summary -  February 21, 2022
11-8
Table 11-4 lists the cap values as recorded in the Surpac macro (Surpac) used to apply the caps in the
database prior to compositing. These were checked against 95th percentiles as determined by an analysis
conducted by Lucky Friday personnel in December 2020 (2020 analysis) as well as an analysis conducted
by the SLR on the mid-year resource estimate database (SLR analysis). The analysis was conducted on
samples greater than 0.05 oz/ton for silver or 0.05% for lead and zinc, as this was the constraint used in
the 2020 analysis.
It was found that the cap values used in the Surpac macro were very similar but not exactly identical to
those derived in the 2020 analysis in all but two cases. For lead in 150 Vein, a top cut of 25.5% Pb was
derived in 2020, while in the macro it appears as though a value of 19.5% Pb was used.  In the 30 Vein,
according to the macro, zinc was capped at 32.9% Zn, compared the 11.9% Zn derived in 2020.  For all
other domains and elements, the differences between the macro values and the 2020 analysis were very
small and resulted in little or no change to the capped average grades of the samples.
The SLR analysis found that the top cuts used in the macro tended to be higher than the 95th percentile,
and instead were generally in the range of the 95th to the 97th percentile. The reason for this may be due
to additional samples added to the database since the 2020 analysis. During the analysis, the SLR QP
evaluated each top cut and found that they appeared to be somewhat conservative.  Metal loss for some
domains was often observed to be in excess of 10%, and at times more than 20%. The highest metal loss
typically occurred for silver and zinc in domains 5, 90, 100, 110, 120, 130, 140, and 150, which were
identified in the statistical analyses as most vulnerable to bias.
In the SLR QP’s opinion, in spite of this apparent discrepancy between reported and actual top cuts used,
the top cut values were uniformly within an acceptable range, with the possible exception of zinc in the
30 Vein.  The top cut of 32.9% Zn seems somewhat high, and is observed to have affected only 15 out of
62,212 samples.  For all intents, zinc in 30 Vein is uncapped, however, 30 Vein appears to be a domain
that is not particularly vulnerable to bias, and may not require much capping.

--- PAGE 90 ---
Table 11-4:
Top Cuts
Silver
Lead
Zinc
Vein
Uncapped
(oz/ton)
Top Cut
(oz/ton)
Capped
(oz/ton)
Percent
Change
Uncapped
(%)
Top Cut
(%)
Capped
(%)
Percent
Change
Uncapped
(%)
Top Cut
(%)
Capped
(%)
Percent
Change

12.37
72.0
10.45
-15.6%
3.00
21.0
2.75
-8.5%
0.87
9.2
0.75
-13.6%

12.03
54.8
10.49
-12.8%
5.96
23.8
5.71
-4.1%
4.01
15.0
3.84
-4.1%

19.28
81.5
18.58
-3.6%
11.67
41.8
11.48
-1.7%
3.22
32.9
3.22
0.0%

7.44
30.9
6.87
-7.6%
5.68
22.9
5.40
-5.0%
5.68
16.8
5.51
-2.9%

7.52
31.4
6.84
-9.0%
6.04
25.5
5.71
-5.5%
5.33
15.9
5.14
-3.5%

6.69
32.7
6.12
-8.6%
4.82
21.4
4.54
-5.9%
3.72
15.5
3.47
-6.6%

15.06
62.4
14.07
-6.6%
7.16
25.3
6.89
-3.8%
5.70
20.2
5.53
-2.9%

14.50
83.2
13.53
-6.7%
6.64
27.5
6.38
-3.8%
3.77
19.4
3.62
-4.0%

13.53
58.5
12.78
-5.5%
10.49
42.0
10.16
-3.1%
2.25
13.7
2.01
-10.6%

12.50
55.3
11.43
-8.6%
9.57
40.4
9.17
-4.1%
1.86
12.1
1.58
-15.1%

21.35
125.1
18.40
-13.8%
2.85
14.1
2.60
-8.9%
2.38
14.7
2.22
-6.5%

12.34
69.9
10.06
-18.4%
3.43
19.8
3.21
-6.5%
1.63
11.9
1.43
-12.1%

7.25
44.1
5.40
-25.4%
3.10
19.0
2.88
-7.1%
1.56
12.1
1.42
-8.9%

10.44
51.0
8.72
-16.5%
5.63
26.9
5.20
-7.6%
2.25
14.2
1.85
-17.6%

5.32
39.7
4.36
-18.2%
2.81
18.8
2.67
-5.1%
2.30
13.3
1.96
-14.9%

5.13
28.3
4.47
-12.8%
4.03
21.4
3.75
-7.0%
1.44
7.0
0.73
-49.7%

Technical Report Summary - February 21, 2022
11-9

--- PAGE 91 ---
11.2.6 Compositing
Due to the variation in lengths of the samples, it is ne
the sample support for grade interpolation. Sample le
ft to a maximum of 17.6 ft. Although the protocol is f
a number of samples collected before the current lim
core loss resulted in samples exceeding the proscribe
proportion of the database, and will most likely occ
out. Figure 11-3 is a probability plot of sample le
between 0.5 ft and 4.0 ft.
The veins at Gold Hunter are comparatively narrow
Composites are generated in Surpac using the “be
composites as possible within a given vein intercept.
of three in length, there is often a smaller composite
where only one 3.0 ft composite can be fit, smaller
appended to that 3.0 ft composite. In wider section
full-length composite in the grade interpolations. Th
4.5 ft, with approximately 75% falling between 2.5 ft
The SLR QP notes that the base composite length is
4.0 ft, which will likely result in breaking of sampl
artificially lower the sample variance and co-variance
However, it is further noted that approximately 83%
the impact of this practice will be relatively minor. I
used at Gold Hunter is a reasonable compromise betw
lengths.
Non-declustered statistics for the composite grades w
The SLR QP notes that capping and compositing th
resulted in significant moderation in the CV’s for all f
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 11ecessary to composite them to ensure consistency in
engths are observed to range from a minimum of 0.1
for samples to be between 0.5 ft and 4.0 ft, there are
mits were in place. In addition, there are cases where
ed limits. These instances comprise a relatively small
cur in portions of the deposit that have been mined
engths, demonstrating that 90% of the samples fall
w, and so a base composite length of 3.0 ft is used.
est fit” utility, which attempts to fit as many 3.0 ft
Since the vein intercepts are rarely an even multiple
e left on the margin of the interval. For narrow veins
r composites between 0.1 ft and 1.5 ft in length are
ns, smaller composites are retained and treated as a
he resulting composites range in length from 0.1 ft to
t and 3.5 ft.
s less than the maximum allowable sample length of
les during the compositing. Breaking samples can
e which can lead to incorrect geostatistical inference.
of samples are 3.0 ft or less in length which suggests
In the SLR QP’s opinion, the compositing procedure
ween honoring the vein widths and preserving sample
weighted by length x SG are provided in Appendix 2.
he samples (or just compositing in the case of iron)
four elements in virtually all domains.
.00022
-10

--- PAGE 92 ---
Technical Report Summary -  February 21, 2022
11-11

Figure 11-3:
Probability Plot of Sample Lengths
11.2.7 Geostatistics
For many years, the search parameters at Gold Hunter have been based on geostatistical analyses
conducted for the 30 Vein.  Only the 30 Vein was included in the geostatistical analyses because by far
most of the data comes from that vein.  The same search parameters derived from the 30 Vein were
applied to the Intermediate Veins, except that the ranges were reduced by a factor of 75%.
The interpreted variogram models were “forced” into an orientation which matched a vertical best-fit
plane through the 30 Vein.  The ellipsoids projected onto this plane were generally consistently oriented
with the major axis plunging at -75° towards the west, which is parallel to the observed plunge of the
mineralization.  The SLR QP notes also that this is consistent with variogram results dating back through
several years.
For the current model the geostatistical analysis was not redone, primarily because there is very little
change in the results year on year.  As a check, however, the SLR QP carried out an analysis on the 30 Vein
using GEMS software. The analyses were run in true 3D and not constrained to a plane as had been done
previously.  Only non-zero composites were included in the analyses. The covariance values were
normalized to the population variance, which means the ideal sill for all elements was 1.0.  It is noted,
however, that many of the experimental variograms failed to reach this sill.  For interpretive purposes,
the variogram models were forced to fit the 1.0 sill, however, it is recognized this may not be an optimal
approach.

--- PAGE 93 ---
Table 11-5 lists the parameters of the interpreted variogram models.  All models are exponential and
comprise two structures.  The models along with the experimental variogram results are shown in
Appendix 3.
Table 11-5:
Variogram Models

Orientations (Az/Plunge)
Ranges (ft)
Element
Structure
Gamma
Major
Semi-Major
Minor
Major
SemiMajor
Minor
Ag
C0
0.308
C1
0.420
254.9/-77.9
108.8/-10.1
197.7/6.6
12.0
9.7
1.1
C2
0.272
208.9
169.6
19.2
Fe
C0
0.261
C1
0.285
16.7
14.8
1.8
C2
0.454
337.6
299.0
36.7
237.2/-82.9
106.1/-4.7
195.7/5.4
Pb
C0
0.372
C1
0.445
252.7/-78.3
107.3/-9.6
196.2/6.5
18.9
14.9
2.9
C2
0.183
233.5
183.9
36.3
Zn
C0
0.274
C1
0.298
C2
0.428
995.9
653.5
72.4
259.0/-76.7
99.2/-12.5
188.2/4.4
30.1
19.8
2.2
The analysis tended to yield consistent results for all metals in terms of orientations.  The major and semimajor axes were all broadly oriented within a plane striking 100° dipping 85° to the south-southwest.  This
is the general strike and dip of the Gold Hunter Veins and is an expected result.  The major axes all plunge
at approximately 78° toward the west, which is consistent with previous geostatistical models. There is
only a comparatively subtle anisotropy within the plane of the vein (ie between the major and semi-major
axes).  Nugget effects range between 26% and 37% of the total sill.
All experimental variograms for the major and semi-major axes were coherent and easily interpreted.
Downhole variograms did not yield interpretable curves, and so the nugget effects were estimated from
the experimental variograms.  The reason for the incoherence of the downhole variograms is not known.
Total ranges along the major and semi-major axes for most elements tended to be in the order of 170 ft
to 300 ft. An exception to this was zinc, which had a major axis range of just under 1,000 ft (see Table
11-5). The experimental variograms all showed a relatively steep rise in covariance to approximately 50%
to 60% of the total sill for the first structure (C1), and noticeably flattening for the second structure (C2).

Technical Report Summary -  February 21, 2022
11-12

--- PAGE 94 ---
11.2.8 Block Model Geometry
The block model was created in Geovia Surpac, which is an off-the-shelf mining software package,
commonly used in the industry.  The model comprises an array of blocks rotated about the Z-axis by 12°
such that they are aligned with the average strike of the veins.  Parent block size is 16 ft (X) x 16 ft (Y) x 20
ft (Z), with sub-blocks down to 8 ft (X) x 0.5 ft (Y) x 10 ft (Z).
Block model geometry is summarized in Table 11-6. The variables stored in the model are listed in Table
11-7.
Table 11-6:
Block Model Geometry

Parameter

Value
Origin:
X:
15,600
Y:
24,100
Z:
-5,600
Rotation:

12°
Extents:
(ft)
X:
4,720.0
Y:
1,300.0
Z:
6,700.0
Table 11-7:
Block Model Variables

Variable
Number
Minimum
Maximum
Description
X
5,131,166
16,390.40
20,086.26
Block centroid easting
Y
5,131,166
24,121.51
24,935.60
Block centroid northing
Z
5,131,166
-5,305.00
1,055.00
Block centroid elevation
classification
5,131,166

Internal use
size_X
5,131,166

Block size easting
size_Z
5,131,166

Block size elevation
size_Y
5,131,166
0.5

Block size northing
aniso_dist
5,131,166
12.236
2736.805
Anisotropic distance to nearest composite
class
5,131,166

Classification (1 = Measured, 2 = Indicated, 3 =
Inferred)
comp_num
5,131,166

Number of composites used
dh_num
5,131,166

Number of drill holes used

Technical Report Summary -  February 21, 2022
11-13

--- PAGE 95 ---
Technical Report Summary -  February 21, 2022
11-14
Variable
Number
Minimum
Maximum
Description
id2_ag_opt
5,131,166
0.00
110.69
ID2 silver grade
id2_fe_pct
5,131,166
0.53
42.28
ID2 iron grade
id2_pb_pct
5,131,166
0.00
41.12
ID2 lead grade
id2_zn_pct
5,131,166
0.0000
22.3000
ID2 zinc grade
id2_sg
5,131,166
2.78
5.32
Specific gravity (calculated from ID2 grades)
id2_tf
5,131,166
0.09
0.17
Tonnage factor (calculated from ID2 grades)
mined_heading
5,131,166
n/a
n/a
String variable to described mined status
mined_status
5,131,166
n/a
n/a
String variable to describe stoped status
nsr_lrp
5,131,166

1956.49
Estimated NSR for Long Range Plan
nsr_reserve
5,131,166

1738.06
Estimated NSR for Reserves
nsr_resource
5,131,166

2223.74
Estimated NSR for Resources
true_dist
5,131,166
5.782
2197.704
True distance to nearest composite
vein_code
5,131,166

Vein descriptor
In the SLR QP’s opinion, the block model is configured appropriately in a manner consistent with industry
practice.  The sub-blocking is somewhat unconventional in that it has produced some very narrow blocks,
however, this is deemed necessary in order to honor the vein wireframes.
11.2.9 Search and Interpolation Parameters
Grades for silver, lead, zinc, and iron are estimated into the blocks using ID2 weighting. The grade
interpolations are conducted in three passes of progressively increasing search ranges. Search ellipsoids
are oriented in vertical planes parallel to overall vein strike with the major axis plunging at 75° to the west.
Search parameters are listed in Table 11-8.
Search ranges for Measured and Indicated in the Intermediate Veins were 75% of those for 30 Vein, which
is consistent with historical practice at Lucky Friday. The reduced ranges have traditionally been applied
in the Intermediate Veins owing to the fact that there is less data informing the estimates for these zones
and so a more conservative approach was deemed warranted.
In the SLR QP’s opinion, the search ranges and orientations are broadly supported by the variography, and
are appropriate.  The very long ranges for Pass 3 are used to ensure all blocks within the vein wireframe
models are filled. The constraints applied in constructing these wireframes ensure that the interpolations
are not allowed to extend too far.  Currently these Pass 3 blocks are only classified as Inferred Mineral
Resources.

--- PAGE 96 ---
Table 11-8:
Search Parameters
Number of
Composites
Major Axis Orientation
Anisotropy
Ratios
Vein
Metal
Pass
Min
Max
Dist (ft)
Azim
Dip
Plunge
SemiMajor
Minor
30 Vein
Ag

-75
1.56
3.2

-75
1.56
3.2

-75
1.56
3.2
Pb

-75
1.57
5.49

-75
1.57
5.49
Zn

-75
2.21
27.8

-75
1.57
5.49

-75
2.21
27.8

-75
2.21
27.8
Fe

-75
2.11
21.3

-75
2.11
21.3

-75
2.11
21.3
Interm.
Ag

-75
1.56
3.2

-75
1.56
3.2

-75
1.56
3.2
Pb

-75
1.57
5.49

-75
1.57
5.49

-75
1.57
5.49
Zn

-75
2.21
27.8

-75
2.21
27.8

-75
2.21
27.8
Fe

-75
2.11
21.3

-75
2.11
21.3

-75
2.11
21.3
Blocks were assigned integer codes for the veins according to their centroid locations (ie. The centroid
must be inside of a wireframe to receive a code).  The wireframe models were configured as “hard”
boundaries with respect to the grade interpolations.  This meant that only composites coded for a
particular vein could be used to estimate blocks within that vein.
In the SLR QP’s opinion, the grade interpolations were conducted in a reasonable manner consistent with
common practice using an appropriate estimation algorithm commonly used within the industry.

Technical Report Summary -  February 21, 2022
11-15

--- PAGE 97 ---
Technical Report Summary -  February 21, 2022
11-16
11.2.10 Bulk Density and Tonnage Factors
As discussed in the section of this report entitled Sample Preparation, Analyses, and Security, SG is
estimated from metal contents by means of a stoichiometric equation taking into account the most
common minerals in the ore.  The equations and description of the process is repeated here.
The principal constituent minerals of the ore are assumed to be galena (PbS) and sphalerite (ZnS) in a
gangue containing siderite (FeCO3) and pyrite (FeS2) along with silicates.  The relative abundance of iron
species is assumed to be 75% siderite and 25% pyrite.
The SG equation is as follows:
Density = 100 / ((Gangue%/2.76) + (Galena%/7.50) + (Sphalerite%/4.00) + (Siderite%/3.94) +
(Pyrite%/5.02)
Where:

Galena% = Pb% / 0.866

Sphalerite% = Zn% / 0.670

Siderite% = (Fe% x 0.75) / 0.482

Pyrite% = (Fe% x 0.25) / 0.466

Gangue% = 100 – (Galena% + Sphalerite% + Siderite% + Pyrite%)
These SG values are then used to derive tonnage factors (TF) for each block, and which are then used in
estimation of block tonnages. The TF equation is as follows:
TF = 1 / (2,000 / (62.4 x SG))
The SLR QP conducted checks of both the SG and TF calculations to confirm that they had been correctly
done.  In the SLR QP’s opinion, the estimations of SG and TF have been done in a reasonable fashion.
11.2.11 Classification
Under S-K 1300, Mineral Resources and Mineral Reserves must be classified according to the definitions
of the Committee For Mineral Reserves International Reporting Standards (CRIRSCO). Relevant aspects
are summarized below:
Mineral Resource: A concentration or occurrence of material of economic interest in or on the Earth’s
crust in such form, grade/quality and quantity that there are reasonable prospects for eventual economic
extraction. The location, quantity, grade/quality, continuity and other geological characteristics of a
Mineral Resource are known, estimated, or interpreted from specific geological evidence and knowledge,
including sampling.
Inferred Mineral Resource: That part of a Mineral Resource for which quantity and grade or quality are
estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to
imply but not verify geological and grade/quality continuity.
An Inferred Resource has a lower level of confidence than that applying to an Indicated Mineral Resource
and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of Inferred
Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.
Indicated Mineral Resource: That part of a Mineral Resource for which quantity, grade or quality,
densities, shape and physical characteristics are estimated with sufficient confidence to allow the

--- PAGE 98 ---
Technical Report Summary -  February 21, 2022
11-17
application of Modifying Factors in sufficient detail to support mine planning and evaluation of the
economic viability of the deposit.
Geological evidence is derived from adequately detailed and reliable exploration, sampling and testing
and is sufficient to assume geological and grade/quality continuity between points of observation. An
Indicated Mineral Resource has a lower level of confidence than that applying to a Measured Mineral
Resource and may only be converted to a Probable Mineral Reserve.
Measured Mineral Resource: That part of a Mineral Resource for which quantity, grade or quality,
densities, shape, and physical characteristics are estimated with confidence sufficient to allow the
application of Modifying Factors to support detailed mine planning and final evaluation of the economic
viability of the deposit.
Geological evidence is derived from detailed and reliable exploration, sampling and testing and is
sufficient to confirm geological and grade/quality continuity between points of observation.
A Measured Mineral Resource has a higher level of confidence than that applying to either an Indicated
Mineral Resource or an Inferred Mineral Resource. It may be converted to a Proved Mineral Reserve or to
a Probable Mineral Reserve.
Modifying Factors: Are considerations used to convert Mineral Resources to Mineral Reserves. These
include, but are not restricted to, mining, processing, metallurgical, infrastructure, economic, marketing,
legal, environmental, social, and governmental factors.
At the time of interpolation, the blocks are coded with a preliminary classification according to Pass
number.  Pass 1 is coded as Measured, Pass 2 Indicated, and Pass 3 Inferred. The dilution rind blocks,
which are not captured in the grade interpolation, are coded according to the adjacent blocks within the
vein wireframe.
The classification coding is based the silver search ellipsoids (see Table 11-8). So for Measured Mineral
Resources, the blocks will be within a 155 ft x 99 ft ellipsoid of a sample in the 30 Vein, and 115 ft x 74 ft
for the Intermediate Veins. Search distances for Indicated are 230 ft x 147 ft in the 30 Vein, and 170 ft x
109 ft in the Intermediate Veins. The Inferred class is assigned to blocks up to a distance of 5,000 ft x 3,205
ft from a sample point.
The SLR QP notes that these distance criteria, particularly for Measured, appear to be somewhat
aggressive based on the variograms. This, coupled with the minimum composites constraint applied for
Pass 1, means that a Measured block could be informed by as few as four sample points. Conceivably,
those four composites could even come from a single drill hole, however, the narrow nature of the veins
makes this unlikely. The overall result is that there is quite a high proportion of the resources that have
been classed as Measured whereas it might be more appropriate to class some of this material as
Indicated.
Figure 11-4 is a longitudinal view of the 90 Vein depicting the resource classification as red for Measured,
green for Indicated, and cyan for Inferred.  As expected, there is a fairly broad area of Inferred on the
periphery owing to the liberal search criteria used to apply this classification. The Measured also appears
to be quite widespread, even though there are comparatively few areas informed by close-spaced
sampling. There appears to be only a thin veneer of Indicated or even Inferred surrounding the Measured
which, in the SLR QP’s opinion, is unusual and somewhat unrealistic.

--- PAGE 99 ---
Technical Report Summary -  February 21, 2022
11-18

Source: SLR, 2021
Note: Inferred blocks are cyan, Indicated green, and Measured red.
Figure 11-4:
90 Vein Classification

--- PAGE 100 ---
Technical Report Summary -  February 21, 2022
11-19
There are also small bodies of Measured that are completely isolated and surrounded by Indicated.  In the
SLR QP’s opinion, these isolated pockets of Measured should be downgraded to Indicated.
Figure 11-5 is also a longitudinal projection of the 90 Vein on which just the reserve and resource blocks
have been plotted, again color-coded according to classification. Drill hole pierce-points appear as circles.
In the lower right corner of the diagram are two areas of predominantly Inferred material.  In the easternmost area, there is an oval-shaped zone of Measured surrounded by Inferred with no buffer of Indicated.
Further inspection shows that this area of blocks is largely informed by only two drill hole pierce-points
inside and possibly one or two outside of what has been outlined as resource.
In the western-most area of Inferred there is a thin sliver of Measured along the western margin of the
resource boundary which is also juxtaposed against Inferred material. There appear to be no drill holes
piercing this Measured material, although there are several holes in the surrounding area which likely
informed these blocks. Comparison to Figure 11-4 suggests that this resource boundary just clipped a bit
of the Measured from a nearby zone.
In the SLR QP’s opinion, it is unusual to have Measured and Inferred blocks in contact with one another
without Indicated between them. This is likely a result of the classification method being purely driven by
the computer without much user intervention. The Measured blocks in these two cases should have been
manually downgraded to Indicated, at best.
It is recommended that the classification procedures be enhanced to allow for a greater level of inspection
and manual revision before further processing and reporting. It may be preferable to derive a classification
method that is independent of the estimation passes in order to fine-tune the process without interfering
with the interpolations.

--- PAGE 101 ---
Technical Report Summary -  February 21, 2022
11-20

Source: SLR, 2021
Figure 11-5:
90 Vein Classification

--- PAGE 102 ---
Technical Report Summary -  February 21, 2022
11-21
The SLR QP further notes, that a significant volume of Inferred Mineral Resources have been added since
the previous estimate.  The reason for this is that large portions of many veins, which had been previously
excluded from eligibility for classification, were allowed to be included. The SLR QP inspected these
additions for all veins and concludes that they are appropriate for consideration for Inferred Mineral
Resources. For the most part they represent comparatively small gaps between drilled areas, or
extensions of known structures.  They all are included within the interpreted vein wireframe models, and
generally extend for a distance of 200 ft to 400 ft from the nearest sample, occasionally as far as 600 ft.
In the SLR QP’s opinion, it is reasonable to include these sections of the veins for potential classification
as Inferred Mineral Resources.
In the SLR QP’s opinion, the Mineral Resources are classified according to the CRIRSCO definitions and, as
such, are consistent with the requirements of SK 1300. The method used to apply the classification is
broadly consistent with common industry practice. Some of the distance criteria appear somewhat
aggressive, although it is observed they are more restrictive than historical practice. Prior to 2019, for
example, the search ellipsoid for Measured in the 30 Vein was 195 ft x 90 ft compared to the current 155
ft x 99 ft. This is partially offset by the fact that, due to the new mining methods introduced, more reliance
is now placed on drill holes than more closely-spaced and numerous chip samples.
The classification parameters are considered to be appropriate given the long mining history,11-21iltiter,
as outlined above, there are opportunities for improvement. It is unlikely that the changes proposed here
will significantly impact the total reserve base except possibly for an increase in Probable Mineral Reserves
(or Indicated Mineral Resources) at the expense of Proven (Measured).
11.2.12 NSR Cut-Off Grades
The NSR value is used as the primary cut-off grade for the blocks.  This value is derived from the
interpolated metal contents using metal prices which have been discounted for metallurgical recovery,
transport, and smelter terms.  For Mineral Resources, metal prices used as the basis of this calculation
were US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.  After application of provisions for recovery,
sales, transportation, payables, and smelter charges, the NSR multipliers for each metal were as follows:

Ag:
US$16.86 per oz/ton

Pb:
US$19.77 per percent of lead

Zn:
US$18.64 per percent of zinc
For Mineral Resources, the cut-off NSR value used was the approximately equivalent to the sum of 2016
mining, milling, maintenance, and G&A costs, which was US$173/ton.
In the SLR QP’s opinion, the NSR cut-off is a reasonable approach which has been applied in an appropriate
manner. The application of the stope optimizer is also appropriate and consistent with industry best
practice.
11.2.13 Validation
The block models were validated by the following methods:

Visual inspection and comparison of block and composite grades in cross section views

Comparison to the previous year’s estimates

--- PAGE 103 ---
Visual inspection is a good way to determine if the block grade interpolations are honoring the composite
grades. Hecla personnel report that there is good agreement between composite and block grades. The
SLR QP conducted a brief inspection of several veins to confirm this.
Comparison to the previous year’s estimates is the principal validation method employed. For some years,
there has been relatively little change to the block grade estimates and so any estimation errors are
usually fairly obvious.
In the SLR QP’s opinion, while the validation methods used at Lucky Friday are appropriate, they represent
a fairly minimum standard of review. There are other techniques that could and should be applied to
confirm that the grade interpolations are reasonable and unbiased.  Examples of other validation methods
include:

Comparison of global composite and block means

Comparison with block grades generated using an alternative interpolation method (ie ordinary
kriging or nearest neighbor)

Drift analysis.
11.2.13.1 Comparison of Mean Composite and Block Grades
The SLR QP carried out a comparison of density-length-weighted mean composite grades to tonnageweighted block grades for the Measured and Indicated blocks. The results of this comparison are shown
in Table 11-9.
Table 11-9:
Comparison of Global Block and Composite Grades

Composites
SgxLength-Weighted Mean Grades
Measured and Indicated Blocks
Tonnage-Weighted Mean Grades
Percent Difference
Vein
Ag
(oz/ton)
Fe
(%)
Pb
(%)
Zn
(%)
Vein
Ag
(oz/ton)
Fe
(%)
Pb
(%)
Zn
(%)
Vein
Ag
(oz/ton)
Fe
(%)
Pb
(%)
Zn
(%)

11.08
12.33
3.06
0.84

9.20
13.24
2.96
0.80

-16.9%
7.4%
-3.2%
-5.1%

11.32
19.48
6.23
4.24

8.95
16.73
4.94
2.76

-20.9%
-14.1% -20.7% -34.9%

20.74
20.06
12.76
3.38

18.73
19.43
11.66
3.87

-9.7%
-3.1%
-8.6%
14.3%

7.20
25.69
5.66
5.70

4.76
25.09
3.88
4.43

-33.9%
-2.3%
-31.4% -22.3%

7.09
24.07
6.00
5.33

5.64
22.89
4.68
3.90

-20.5%
-4.9%
-22.1% -26.8%

6.46
21.90
4.83
3.76

5.87
20.20
4.54
3.03

-9.1%
-7.7%
-5.9%
-19.4%

15.58
14.47
7.56
6.07

8.16
14.72
5.59
3.04

-47.6%
1.7%
-26.0% -49.9%

15.07
12.24
7.06
4.02

8.44
13.01
5.99
2.48

-44.0%
6.3%
-15.1% -38.4%

14.41
11.45
11.55
2.17

9.67
12.31
7.58
2.18

-32.9%
7.5%
-34.4%
0.4%

12.97
12.54
10.51
1.71

9.04
13.42
7.46
1.90

-30.3%
7.0%
-29.0%
11.3%

10.45
14.16
3.51
1.58

5.83
13.60
3.82
1.57

-44.2%
-4.0%
8.8%
-0.7%

19.12
16.34
2.82
2.42

12.80
14.47
3.29
2.44

-33.1%
-11.5%
16.8%
0.7%

Technical Report Summary -  February 21, 2022
11-22

--- PAGE 104 ---
Composites Measured and Indicated Blocks
Percent Difference
SgxLength-Weighted Mean Grades Tonnage-Weighted Mean Grades
Ag Fe Pb Zn Ag Fe Pb Zn Ag Fe Pb Zn
Vein Vein Vein
(oz/ton) (%) (%) (%) (oz/ton) (%) (%) (%) (oz/ton) (%) (%) (%)
120 5.72 13.33 3.20 1.57 120 5.89 13.64 3.57 1.89 120 2.9% 2.3% 11.5% 20.7%
130 9.68 12.45 5.94 2.03 130 7.16 11.83 4.28 1.99 130 -26.0% -5.0% -28.0% -2.0%
140 4.65 9.92 2.90 2.14 140 5.12 9.53 3.38 2.00 140 10.2% -3.9% 16.7% -6.5%
150 4.75 9.40 4.09 0.78 150 4.28 7.25 3.36 0.75 150 -9.9% -22.9% -17.9% -4.4%
The estimated block grades for silver, lead, and zinc in the Intermediate Veins are observed to be generally
lower than the composite grades, and in some cases, significantly so. In the SLR QP’s opinion, the block
grade estimates for the Intermediate Veins appear to be conservative for silver and zinc. Lead shows both
positive and negative variances suggesting that the global estimate may be unbiased or nearly so. The
block iron grades for all zones are generally within 10% of the composites, as are the block grades for all
metals in the 30 Vein.
It is recommended that an attempt should be made to resolve the apparent biases in the grade
interpolations, perhaps by adjusting the capping strategy, domain assignments, and/or interpolation
strategies. This is not viewed as a fatal flaw in the estimate but merely as an opportunity for improvement
of the local vein grade estimates that may then be reflected in the global estimates.
11.2.13.2 Drift Analysis
The SLR QP carried drift analyses (also known as swath plots) for the X and Z direction of all the veins.
Composite grades were weighted by length x sg, and the blocks were weighted by tonnage. Individual
swaths were generated at widths of twice the parent block size, which was 16 ft in the X direction and 20
ft in the Z direction, not accounting for the 12° rotation of the block model. As such, the swaths in the X
direction are not coincident with the block columns, however, this is inconsequential to the result as the
analysis is based on block centroid coordinates.
In general, the swath plots displayed good agreement between composites and blocks although there
were several instances of localized biases for silver, lead, and zinc in some domains. Overall, the 30 Vein,
which contains the highest proportion for any domain of the Mineral Reserves and Mineral Resources,
showed excellent agreement. Block and composite iron grades were found to agree quite well for all
domains.
Figure 11-6 shows example swath plots in the Z direction for silver and lead in the 30 Vein, both of which
indicate good agreement between blocks and composites. It is quite evident in these diagrams that there
is significantly more variability of composite grades in the upper and lower extremities of the vein. These
areas are sampled predominantly by drill holes, as opposed to the central section, which is informed by
closely-spaced chip sampling.
Figure 11-7 shows similar diagrams for silver and zinc in the 60 Vein. There is reasonably good agreement
between the composite and block grades except in the area between approximately -1,200 ft and -2,000
ft in elevation. In this are the block grades appear to be somewhat muted relative to the composites, and
this might explain the difference in global mean grades observed in Table 11-9. The reason for this
apparent localized bias is not known, but it was observed in several veins.
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.00022
Technical Report Summary - February 21, 2022 11-23
[TABLE]
Measured and Indicated Blocks
Tonnage-Weighted Mean Grades
Ag Fe Pb Zn
Vein
(oz/ton) (%) (%) (%)
120 5.89 13.64 3.57 1.89
130 7.16 11.83 4.28 1.99
140 5.12 9.53 3.38 2.00
150 4.28 7.25 3.36 0.75

--- PAGE 105 ---
Technical Report Summary -  February 21, 2022
11-24
As stated above, the SLR QP is of the opinion that refinements to the interpolation and search parameters
may yield improvements to the local block grade interpolations. Again, this is not viewed as a fatal flaw in
the estimate but merely as an opportunity for improvement.

Figure 11-6:
Drift Analyses – 30 Vein

--- PAGE 106 ---
Technical Report Summary -  February 21, 2022
11-25

Figure 11-7:
Drift Analyses – 60 Vein
11.2.13.3 Estimation Using an Alternative Method
As a further check, the SLR QP conducted block model estimates for the 30 Vein and 110 Vein using
ordinary kriging (OK) and nearest neighbor (NN) methods.  The estimates were carried out using Geovia
GEMS software, and employed the same composites and wireframe models as were used by Hecla for the
current models (ID2). Calculation methodologies for the tonnage factors and block NSR values were
identical to those used for the ID2 models. The variogram models described in subection 11.2.7 of this TRS

--- PAGE 107 ---
were used for the interpolations. Search parameters were also the same as those used in the ID2 models.
The block size was 10 ft x 2.5 ft x 10 ft, and a percent model was used instead of sub-blocking.
Figure 11-8 shows tonnage and grade curves for the two veins using the NSR cut-off. For both veins, there
was good agreement between the OK and ID2 models across a wide range of NSR cut-off grades. The NN
model tended to yield markedly lower tons at a higher grade than the other two methods.
Table 11-10 shows the tonnage and grade for each of the 30 and 110 Veins at a US$200/t NSR cut-off
grade. Note that these volumes are for unclassified blocks within the entire vein structure, without
provision for mining depletion.  They should not be considered estimates of Mineral Resources, and are
shown here for comparative purposes only.
Table 11-10:
Comparison of Block Models at the US$200/t Cut-Off

Method
Tons
(ton)
Grade
NSR
(US$/t)
Contained Metal
(oz/ton Ag)
(% Pb)
(% Zn)
(% Fe)
(oz Ag)
(Units Pb)
(Units Zn)
30 Vein
NN
5,575,185
23.35
14.30
4.54
19.49
761.14
130,180,570
79,725,146
25,311,340
ID2
7,009,295
19.69
12.07
3.87
19.08
642.68
138,013,019
84,602,191
27,125,972
OK
6,927,032
18.95
11.90
3.86
19.29
626.78
131,267,256
82,431,681
26,738,344
110 Vein
NN
1,267,086
14.87
5.37
4.19
14.52
434.83
18,841,569
6,804,252
5,309,090
OK
1,754,015
11.29
4.13
3.12
14.38
330.13
19,802,829
7,244,082
5,472,527
ID2
1,719,604
12.99
4.11
3.39
14.32
363.46
22,337,656
7,067,572
5,829,458
Note:  One Unit = 20 lbs
The ID2 model results appear to be the least conservative of the three in that it tends to yield marginally
higher grades and metal contents than either OK or NN. In the SLR QP’s opinion, the results of this
comparison indicate a reasonable agreement between methods and do not indicate that there are any
concerns with the current block model.

Technical Report Summary -  February 21, 2022
11-26

--- PAGE 108 ---
Technical Report Summary -  February 21, 2022
11-27

Figure 11-8:
Tonnage and Grade Curves
11.2.14 Reconciliation
Reconciliation is discussed in Section 13.0 of this TRS.

--- PAGE 109 ---
11.2.15 Reserve and Resource Designation and
The resource model is passed along to the engineerin
in Deswik. Deswik is a commercially available softwa
The optimizer agglomerates blocks of similar grad
appropriate for use in stope design. The process is c
resource classification, tonnage factors, minimum w
Zero grade diluting material is added where necess
Mineral Resources or 11 ft for Mineral Reserves. Th
inspected on longitudinal projections and polyline b
volumes. Examples of these longitudinal projections a
11-10 for the 30 Vein. Note that the grey hatched are
order to provide a location reference.
Blocks captured within the reserve boundaries that
evaluated and tagged in the block model (green outl
NSR cut-off grade and are outside of the reserve bou
some other reason are tagged as resource (black o
criteria for either reserve or resource are tagged fo
spreadsheets for addition of “unplanned dilution” and
and summed following which the unplanned dilut
Material tagged as reserves are reported as Minera
reported as Mineral Resources exclusive of Mineral R
Figure 11-10 depicts the 30 Vein with the blocks colo
In the SLR QP’s opinion, the stope optimization and
executed in an appropriate manner. As such, the M
consistent with industry best practice.
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 11d Reporting
ng team for processing with the stope optimizer utility
are package that is widely used within the industry.
de characteristics into coherent volumes that are
constrained by user-assigned values for NSR values,
widths, and stope dimensions, among other things.
sary to achieve a minimum width of eight feet for
he diluted vein material, tagged by stope names, is
boundaries are drawn around reserve and resource
are provided in Figure 11-9 for the 50 Vein and Figure
ea represents the projection of the 30 Vein stoping in
t meet the NSR cut-off and classification criteria are
line in Figure 11-9). Blocks which meet the resource
undaries or disqualified from inclusion as reserves for
outline in Figure 11-9). Blocks that fail to meet the
or exclusion. The processed blocks are captured in
d summing by vein and category. Blocks are captured
tion is added (15% for reserves, 5% for resources.
al Reserves. Blocks outside the reserve outlines are
Reserves.
ored to show the classification.
reporting procedures are reasonable, and are being
Mineral Resources have been tabulated in a fashion
.00022
-28

--- PAGE 110 ---
Technical Report Summary -  February 21, 2022
11-29

Source: Hecla, 2021
Figure 11-9:
Longitudinal Projection – 50 Vein

--- PAGE 111 ---
Technical Report Summary -  February 21, 2022
11-30

Figure 11-10:
Longitudinal Projection – 30 Vein

--- PAGE 112 ---
11.2.16 Gold Hunter Mineral Resource Statement
The Gold Hunter Mineral Resources, exclusive of Mineral Reserves and sorted by vein to December 31,
2021 are summarized in Table 11-11.
Table 11-11:
Gold Hunter Mineral Resources to December 31, 2021

Vein
Tons
Ag
Pb
Zn
NSR
Silver
Lead
Zinc
(oz/ton)
(%)
(%)
($/t)
(oz)
(Tons)
(Tons)

267,000
11.6
2.3
0.6

3,080,000
6,160
1,640
Measured

764,000
7.7
4.4
3.0

5,900,000
33,400
23,100

390,000
10.2
5.9
0.9

3,960,000
23,000
3,600

861,000
5.0
3.9
4.9

4,270,000
33,800
42,600

1,020,000
5.9
4.8
3.9

5,970,000
48,500
39,200

690,000
6.4
4.5
3.0

4,420,000
31,000
21,000

675,000
7.2
4.1
2.6

4,860,000
27,900
17,400

658,000
8.0
4.4
1.8

5,240,000
29,200
12,100

1,120,000
7.2
5.6
1.4

8,110,000
62,500
15,900

846,000
7.0
6.0
1.6

5,930,000
51,000
13,400

528,000
10.4
2.5
1.8

5,510,000
13,100
9,410

215,000
7.7
3.6
1.7

1,650,000
7,730
3,730

63,700
6.4
4.7
2.0

407,000
3,010
1,260

111,000
10.2
6.9
2.0

1,130,000
7,670
2,250

21,600
4.7
3.9
3.0

102,000

1,970
4.9
4.8
0.4

9,660

Total
8,230,000
7.4
4.6
2.5

60,600,000
379,000
207,000
Indicated

74,800
10.4
2.7
0.7

777,000
2,040

171,000
7.3
3.9
2.5

1,260,000
6,720
4,350

53,900
6.0
4.4
3.3

325,000
2,390
1,800

100,000
11.9
6.7
0.8

1,200,000
6,750

270,000
6.6
5.6
4.5

1,780,000
15,000
12,200

156,000
5.7
4.3
2.9

893,000
6,690
4,470

111,000
6.7
4.1
1.8

743,000
4,530
1,980

Technical Report Summary -  February 21, 2022
11-31

--- PAGE 113 ---
Vein
Tons
Ag
Pb
Zn
NSR
Silver
Lead
Zinc
(oz/ton)
(%)
(%)
($/t)
(oz)
(Tons)
(Tons)

77,300
6.4
4.5
1.2

492,000
3,450

159,000
6.5
4.5
1.6

1,030,000
7,110
2,570

47,400
7.1
3.0
1.3

337,000
1,420

110,000
8.0
6.4
1.1

877,000
6,990
1,240

182,000
9.0
3.0
2.4

1,630,000
5,360
4,280

20,000
5.9
3.8
1.6

117,000

46,600
7.0
6.2
2.3

327,000
2,870
1,050

52,400
5.4
3.6
2.5

282,000
1,890
1,330

30,900
7.4
6.6
0.6

229,000
2,050

Total
1,660,000
7.4
4.6
2.3

12,300,000
76,000
38,600
Measured and Indicated

341,000
11.3
2.4
0.6

3,860,000
8,200
2,160

935,000
7.7
4.3
2.9

7,160,000
40,200
27,400

491,000
10.5
6.1
0.9

5,160,000
29,800
4,460

915,000
5.0
4.0
4.9

4,600,000
36,200
44,400

1,290,000
6.0
4.9
4.0

7,750,000
63,500
51,300

846,000
6.3
4.5
3.0

5,310,000
37,700
25,500

786,000
7.1
4.1
2.5

5,610,000
32,400
19,400

735,000
7.8
4.4
1.8

5,740,000
32,600
13,000

1,280,000
7.1
5.4
1.4

9,140,000
69,600
18,500

956,000
7.1
6.1
1.5

6,810,000
58,000
14,600

262,000
7.6
3.5
1.7

1,980,000
9,150
4,340

710,000
10.1
2.6
1.9

7,140,000
18,500
13,700

83,700
6.3
4.5
1.9

525,000
3,760
1,580

74,000
5.2
3.7
2.7

384,000
2,730
1,970

158,000
9.2
6.7
2.1

1,460,000
10,500
3,300

32,800
7.3
6.5
0.6

239,000
2,140

Total
9,890,000
7.4
4.6
2.5

72,900,000
455,000
246,000

Technical Report Summary -  February 21, 2022
11-32

--- PAGE 114 ---
Vein
Tons
Ag
Pb
Zn
NSR
Silver
Lead
Zinc
(oz/ton)
(%)
(%)
($/t)
(oz)
(Tons)
(Tons)
Inferred

8,700
5.8
3.4
0.8

50,000

1,330,000
10.8
6.4
1.9

14,400,000
84,900
25,800

218,000
4.9
4.0
4.2

1,070,000
8,640
9,220

124,000
6.1
4.1
3.6

757,000
5,120
4,520

200,000
6.0
4.6
3.6

1,190,000
9,170
7,290

225,000
5.4
4.5
3.0

1,210,000
10,200
6,680

578,000
7.0
5.5
2.7

4,030,000
31,600
15,300

445,000
7.7
6.1
2.3

3,420,000
27,000
10,100

598,000
6.2
5.2
1.4

3,720,000
31,400
8,570

313,000
8.0
6.1
0.7

2,500,000
19,100
2,160

17,700
4.3
3.7
1.8

75,400

460,000
6.3
3.4
3.4

2,880,000
15,800
15,700

137,000
7.1
4.8
1.1

973,000
6,590
1,540

28,900
4.8
3.9
1.2

138,000
1,140

47,200
4.2
3.9
2.7

200,000
1,840
1,290

164,000
5.1
4.5
1.0

832,000
7,410
1,680
Total
4,900,000
7.6
5.3
2.3

37,400,000
261,000
111,000
Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated by block, according to mineralogical content.
7.
Mineral Resources are estimated at an NSR cut-off grade of US$173/t.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.
11.3 Lucky Friday Mine
The Lucky Friday Unit encompasses the Lucky Friday Vein proper, as well as the Silver vein, and nearby
related structures termed the Ancillary Veins.  No Mineral Reserves have been estimated for Lucky Friday
because the area has been dormant for some years and there is no LOM plan for this mining area.  As
such, there are only Mineral Resources at Lucky Friday.  The estimation procedures have been largely
unchanged and there has been no additional data added since cessation of mining.  The only changes that
have been incurred over the years were due to variations in costs and metal prices, which in turn, changed
the NSR cut-off criteria applied to the blocks.

Technical Report Summary -  February 21, 2022
11-33

--- PAGE 115 ---
Technical Report Summary -  February 21, 2022
11-34
Mineral Resources are estimated by means of a polygonal method compiled within Excel spreadsheets.
The database for the estimate consists of chip/channel samples.  Drill results are used as a guide to confirm
continuity, but are not generally included in the grade estimates.  Mean sample grades are calculated
from assay results for silver, lead, and zinc.  Iron was not routinely assayed and so it is an estimated value.
Specific gravity is estimated using a formula similar to that used for Gold Hunter.  This formula differs
somewhat, however, due to the lower siderite content at Lucky Friday.  The formula is as follows:
Density = 100 / ((Gangue%/2.7) + (Galena%/7.5) + (Sphalerite%/4.0) + (Iron%/7.8)
Where:

Galena% = Pb% / 0.866

Sphalerite% = Zn% / 0.670

Gangue% = 100 – (Galena% + Sphalerite% + Iron%)

Iron% = 10.5 if Pb%>8.0, else 7.0
The polygons are drawn on longitudinal projections of the veins using the outlines of the development
and stoping as constraints, along with any bounding faults.  The veins are broadly folded and so the
orientations of longitudinal projections for different vein areas changes to align with the average vein
strike.  Where a block is extrapolated downwards from a single heading, the down-dip limits are defined
as follows:

Measured – 100 ft from drift or stope level

Indicated – 100 ft from the boundary of the Measured resource limit

Inferred – extends downwards to the elevation limit of the mine (-3104 ft elevation).
An example longitudinal projection showing the block dimensions along with vein stoping and
development is provided in Figure 11-11.

--- PAGE 116 ---
Technical Report Summary -  February 21, 2022
11-35

Figure 11-11:
Example Longitudinal Projection of Lucky Friday Vein

--- PAGE 117 ---
Technical Report Summary -  February 21, 2022
11-36
For a given block, the samples are listed in a spreadsheet in the order that they were taken along the drift
or stope, along with their widths, grades, and distance from the nearest survey station.  Each sample is
assigned a strike length interval based on limits place at half the distance to the adjacent samples.  A
sample volume weighting factor per vertical foot is calculated by multiplying the length interval by the
sample width.  The metal content per vertical foot is derived for each of the samples using the following
formula:
Metal Content per Vertical Foot = L x W x G x TF
Where:

L = sample strike length interval

W = sample width

G = assayed grade

TF = tonnage factor
The volume-weighted mean grade would then be:
Average Grade = ∑ Metal Contents / ∑ (L x W x TF)
Where:

L = sample strike length interval

W = sample width

TF = tonnage factor
The volume is estimated by multiplying the aggregate area of influence for the samples by the vertical
dimension of the block.  In the case of a block bounded on top and bottom by development, that vertical
dimension would be half the distance between the levels.  For blocks extrapolated downwards, the block
height would be as listed above in the classification parameters.  Tonnage is estimated by multiplying the
volume by the estimated tonnage factor.
The veins at Lucky Friday tend to be discrete structures with little or no value in the walls.  The chip
sampling was done across the vein only, as opposed to Gold Hunter, where the sampling transects the
entire face.  The resource grade calculations are done using three different methods in order to derive
estimates for the following scenarios:

the vein only

the ideal mining width (“mineable”)

the actual mined width.
The resource grade spreadsheets are configured to allow the calculation of the average grade for each of
these scenarios.  The calculation for the vein only is done using the vein widths as recorded during the
sampling.  To estimate the grades and volumes for the mineable case, the vein widths are diluted to a
minimum mining width, which is either eight or ten feet depending on expected mining method.  The
dilution is incorporated in the calculation by adding zero grade material to the sample widths using the
following rules:
If the in-situ vein is less than the minimum, the sample width is increased with zero grade material to
achieve that minimum.

--- PAGE 118 ---
Technical Report Summary -  February 21, 2022
11-37
If the vein is wider than the minimum, one foot of dilution of zero grade material is added on both walls
(total of two feet).
For the “actual mined” calculation, the widths are increased to the stope (or drift) widths measured at
each sample location.  As is the case for the other two scenarios, the diluting material is considered to be
zero grade.
Drilling results indicate that the grades in the Lucky Friday system diminish gradually with depth.  To
account for this observed trend, the average stope chip/channel grades are reduced for blocks which
extend downwards below the lower limits of development.  The degree of this reduction increases with
depth according to the values listed in Table 11-12.
Table 11-12:
Depth Reduction Factors

Distance to Block Mid-Point
(ft)
Reduction Factor
<100
1.0000

0.9785

0.9730

0.9680

0.9620

0.9570

0.9520

0.9460

0.9410

0.9350

0.9300

0.9250

0.9190

0.9140

0.9090

0.9030
An NSR cut-off grade, similar to that used at Gold Hunter, is applied to the blocks and the tons and grade
summed in each classification category.  The NSR cut-off grade applied at Lucky Friday was US$207/t.  For
the current estimate the NSR multipliers were updated with the values listed in subsection 11.2.12 of this
TRS.  These multipliers were as follows:

Ag:
US$16.86 per oz/ton

Pb:
US$19.77 per percent of lead

Zn:
US$18.64 per percent of zinc
The NSR cut-off grade is higher than the $173/ton used at Gold Hunter to reflect different mining costs.

--- PAGE 119 ---
During an earlier audit, the SLR QP reviewed several of the block estimate spreadsheets and confirmed
that the calculations were correct.  In addition, the longitudinal projections of the Lucky Friday Vein were
inspected to confirm that the block outlines were reasonable. A cursory review of the spreadsheets and
longitudinal sections were made for this audit to confirm that there were no major changes. In the SLR
QP’s opinion, the Mineral Resource estimate for Lucky Friday has been carried out in a reasonable fashion,
consistent with conventional, although somewhat dated, industry practice.
11.3.1 Lucky Friday Mineral Resource Statement
The Mineral Resources estimate to December 31, 2021 for the Lucky Friday area is summarized in Table
11-13.
Table 11-13:
Lucky Friday Mineral Resources – December 31, 2021

Grade
Contained Metal
Area
Tonnage
(ton)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
NSR
(US$/t)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Measured
Lucky Friday
393,000
12.2
11.4
1.5

4,790,000
44,700
5,910
Ancillary
19,800
14.0
6.7
1.9

277,000
1,320

Silver
8,030
15.9
1.0
0.2

128,000

Total
421,000
12.4
11.0
1.5

5,200,000
46,100
6,310
Indicated
Lucky Friday
139,000
9.5
11.0
3.7

1,320,000
15,300
5,080
Silver
10,000
13.3
1.0
0.2

133,000

Ancillary
28,600
9.0
6.0
1.4

258,000
1,710

Total
178,000
9.6
9.6
3.1

1,710,000
17,100
5,510
Total Measured and Indicated
Total
598,000
11.5
10.6
2.0

6,910,000
63,200
11,800
Inferred
Lucky Friday
449,000
9.2
10.9
4.1

4,110,000
48,900
18,500
Silver
10,000
13.3
1.0
0.2

133,000

Ancillary
21,800
10.2
9.0
2.5

222,000
1,980

Total
480,000
9.3
10.6
3.9

4,460,000
50,900
19,000
Notes:
1.
Classification of Mineral Resources is in accordance with the S-K 1300 classification system.

Technical Report Summary -  February 21, 2022
11-38

--- PAGE 120 ---
Technical Report Summary -  February 21, 2022
11-39
2.
Mineral Resources were estimated by Hecla staff and reviewed and accepted by SLR.
3.
Mineral Resources are exclusive of Mineral Reserves.
4.
Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
5.
Mineral Resources are 100% attributable to Hecla.
6.
Bulk density was calculated according to mineralogical content.
7.
Mineral Resources are estimated at an NSR cut-off grade of US$207/t.
8.
NSR values were calculated using long-term metal prices of US$21.00/oz Ag, US$1.15/lb Pb, and US$1.35/lb Zn.
9.
Numbers may not add due to rounding.

--- PAGE 121 ---
Technical Report Summary -  February 21, 2022
12-1
12.0 MINERAL RESERVE ESTIMATES
12.1 Summary
The current Mineral Reserve estimates, as prepared by Hecla and reviewed and accepted by SLR, reported
as of December 31, 2021 are summarized in Table 12-1.  While resources exist at the Lucky Friday deposit,
Mineral Reserves are reported only for the Gold Hunter deposit, as this is the only area included in the
current LOM plan.
The Lucky Friday Veins have been inactive since 2005 when operation in the Lucky Friday Veins were
curtailed due to low metal prices, seismicity concerns, development cost, and metallurgical performance
issues. Increased metal prices may render the Lucky Friday resource economic at some future date. Work
on re-evaluating the remaining Lucky Friday resource will be undertaken as time permits, with the intent
of its possible inclusion in future LOM plans.
Table 12-1:
Summary of Mineral Reserves – December 31, 2021

Category
Tonnage
(000
tons)
Grade
Contained Metal
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz Ag)
Pb
(000 tons)
Zn
(000 tons)
Proven
4,691
13.92
8.43
3.40
65,313
395.3
159.4
Probable

12.26
7.47
2.83
9,386
57.2
21.7
Total Proven + Probable
5,456
13.69
8.29
3.32
74,699
452.4
181.0
Notes:
1.
Classification of Mineral Reserves is in accordance with the S-K 1300 classification system.
2.
Mineral Reserves were estimated by Hecla and reviewed and accepted by SLR.
3.
Mineral Reserves are 100% attributable to Hecla.
4.
Mineral Reserves are estimated at an NSR cut-off value of $208/ton.
5.
The NSR values reflect the discrete metallurgical responses for the Mineral Reserve blocks.
6.
Mineral Reserves are estimated using an average long-term silver price of US$17.00/oz, lead price of US$0.90/lb, and
zinc price of US$1.15/lb.
7.
A minimum mining width of 11 ft was used for 30 Vein above 7500 level, 9 ft for 30 Vein below 7500 level, and 8 ft for
all other veins.
8.
A bulk density of 0.086 tons/ft3 was used for waste material. Mineral Reserve bulk density was calculated by block,
based on mineralogical content.
9.
Numbers may not add due to rounding.
Mineral Reserves by vein are presented in Table 12-2.

--- PAGE 122 ---
Table 12-2:
Mineral Reserves by Vein – December 31, 2021

Tonnage
(000
tons)
Grade
Contained Metal
Vein
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(000 oz Ag)
Pb
(000 t)
Zn
(000 t)

3,731
14.21
8.98
3.68
53,007
335.2
137.4

9.36
6.95
5.34
2,037
15.1
11.6

14.94
8.39
3.16
3,500
19.6
7.4

10.44
6.34
1.62
2,560
15.5
4.0

11.23
8.14
2.16
5,201
37.7
10.0

12.05
9.27
1.11
2,941
22.6
2.7

17.01
2.05
2.47
5,453
6.6
7.9
Total
5,456
13.69
8.29
3.32
74,699
452.4
181.0
Notes:
1.
Classification of Mineral Reserves is in accordance with the S-K 1300 classification system.
2.
Mineral Reserves were estimated by Hecla and reviewed and accepted by SLR.
3.
Mineral Reserves are 100% attributable to Hecla.
4.
Mineral Reserves are estimated at an NSR cut-off value of $208/ton.
5.
The NSR values reflect the discrete metallurgical responses for the Mineral Reserve blocks.
6.
Mineral Reserves are estimated using an average long-term silver price of US$17.00/oz, lead price of US$0.90/lb, and
zinc price of US$1.15/lb.
7.
A minimum mining width of 11 ft was used for 30 Vein above 7500 level, 9 ft for 30 Vein below 7500 level, and 8 ft for
all other veins.
8.
A bulk density of 0.086 t/ft3 was used for waste material. Mineral Reserve bulk density was calculated by block, based
on mineralogical content.
9.
Numbers may not add due to rounding.
The SLR QP is not aware of any risk factors associated with, or changes to, any aspects of the modifying
factors such as mining, metallurgical, infrastructure, permitting, or other relevant factors that could
materially affect the Mineral Reserve estimate.
12.2 Conversion to Mineral Reserves
Mining methods used in this Mineral Reserve estimate include underhand closed benching (UCB), and
overhand or underhand mechanized cut and fill (LFUL).  Minimum mining dimensions vary by mining
method and are discussed in section 12.4.
To permit more precision in defining reserve extents the block model is sub-blocked around the vein solids
that were created for Mineral Resource estimation.  The sub-blocked model is used for all Mineral Reserve
and planning estimates.
The mining method for a given area is determined based on vein thickness, desired production rate, and
seismic risks.  Production designs are created based on the geometries relevant to the selected mining
method which are discussed in subsection 13.1.3.  Mineral Reserve outlines are created around the
production locations that meet the NSR cut-off threshold, while also ensuring that adverse pillar
geometries are not created that could become seismically active, and that mining does not cease near a

Technical Report Summary -  February 21, 2022
12-2

--- PAGE 123 ---
Technical Report Summary -  February 21, 2022
12-3
problematic structure.  Production locations outside the Mineral Reserve outlines are not included in
Mineral Reserves.  Once designs are completed, access ramps and other supporting infrastructure are
designed to facilitate production mining.
The production design wireframes are evaluated against the sub-blocked model to generate tons and
grade for each location. An unplanned dilution factor is then applied that accounts for rock overbreak and
backfill dilution both of which are treated as having zero metal grade.
Internal portions of the 30 Vein which did not meet the block cut-off grade value were included in the
stopes and in the Mineral Reserves as the material will have to be mined to avoid the generation of stress
inducing geometry.  SLR reviewed the material and concurs with its inclusion as Mineral Reserves.
Only Measured and Indicated Mineral Resources were converted to Mineral Reserves.  Any Inferred
Mineral Resources included within the Mineral Reserve designs are carried at zero grade.
12.3 Cut-Off Grade
The cut-off grade (COG) for Mineral Reserves is calculated and expressed in terms of NSR value per ton.
The COG NSR value used for stope design of all mining methods is $208.00/ton, as presented in Table
12-3.  This COG reflects the property-wide operating costs and sustaining capital costs distributed on a
per-ton basis.  Operating costs from 2021 were used as the basis for cut-off grade calculations.  From 2017
to January 2020, operations were on care and maintenance due to a strike.
Table 12-3:
NSR Cut-off Values (US$/ton)

Description
Mining
Maintenance
Mill
G&A
Sustaining
Capital
Total
Operating Costs
(US$/ton)
64.84
33.25
15.43
59.72
34.75
208.00
Net smelter return is calculated on a unit metal value basis using actual smelter contract terms, freight
costs, and forecast metal prices. Metal prices and metallurgical recoveries used to calculate NSR are as
follows:

Silver: US$17.00/oz, 96.9%.

Lead: US$0.90/lb, 94.7%.

Zinc: US$1.15/lb, 91.2%.
Standard industry terms for payability, treatment and refining charges, and shipping were applied to
calculate the NSR formula.  The NSR value is calculated and applied to every block in the block model
allowing for NSR values to then be calculated and assigned to individual stopes after planned dilution has
been applied.  The NSR calculation formula by unit metal value is as follows:
NSR = (13.22 * [Ag oz/ton])  +  (15.29 * [Pb %] * 100)  +  (15.78 * [Zn (%] * 100)
SLR independently verified the NSR estimation methodology.  Variances were noted in the application of
concentrate freight costs, however this constitutes a relatively minor impact to NSR values.  SLR
recommends that the mine review the unit metal value calculations for future estimates.
SLR notes that an unplanned dilution factor, discussed in subsection 12.4, is applied to all designs after
the NSR calculation has been completed. Realized NSR values should thus be expected to be lower than

--- PAGE 124 ---
Technical Report Summary -  February 21, 2022
12-4
estimated due to unplanned dilution.  SLR estimated the impact of this change would be a reduction in
Mineral Reserve totals of approximately 90,000 t, or 2%, of total Mineral Reserves.  SLR does not consider
the difference to be material and SLR recommends that Hecla change this methodology for future Mineral
Reserve estimates and complete NSR calculations and Mineral Reserve compilation on fully diluted
material.
12.4 Dilution
Planned and unplanned dilution is applied to all Mineral Reserves.  Planned dilution is added to the stope
designs which expands the designs up to a minimum mining thickness.  Unplanned dilution is applied as a
mass percentage on undiluted Mineral Reserves. A schematic showing the application of dilution to the
vein model is shown in Figure 12-1.

Figure 12-1:
Dilution Schematic
The minimum mining width depends on the maximum size of equipment that will be used to mine the
vein and is varied by location depending on the level of productivity required and dilution deemed
acceptable within each vein.  Three minimum mining widths are currently used in the LOM which are
applied as follows:

8.0 ft – all Intermediate Veins

11.0 ft – 30 Vein above 7500 level

9.0 ft – 30 Vein below 7500 level
Stopes are designed using a stope optimizer tool that first divides the vein solid along strike length based
on anticipated development round lengths. The vein width is interrogated and if the resulting width is less
than the minimum mining width specified for that area, additional dilution is added to the stope until the
stope width is equal to the minimum mining width specified.  Maximum mining width is also defined for
all mining methods 20 ft.  No areas in reserve met the 20 ft maximum width.

--- PAGE 125 ---
Technical Report Summary -  February 21, 2022
12-5
After stope solids are increased to the minimum mining thickness, an unplanned dilution factor is applied.
This factor accounts for small scale variations in vein location, limits of mine equipment selectivity,
unplanned overbreak, and rehandle dilution.  For areas mined by underhand cut and fill the unplanned
dilution factor is 5% based on observed performance.  For areas mined by UCB, the unplanned dilution
factor is 15% reflecting the lower selectivity inherent to the method.  Planned dilution tons are given
background metal grades in the block model.  Unplanned dilution is assigned zero metal grade.
SLR is of the opinion that the 15% dilution estimate in the UCB mining is potentially optimistic and requires
further validation, considering the short time that the method has been in use, the impact of vein
deviation over the 23 ft cut depth, the use of infill drill information as opposed to face by face mapping
and potential overbreak in longhole blasting due to factors such as blast hole misalignment.  SLR
recommends close monitoring of the stoping performance including regular surveys as the void is exposed
and reconciliation to the stope designs and to the Mineral Reserve estimates to confirm and refine the
dilution estimate.
12.5 Extraction
Extraction for all mining methods is assumed to be 100% based on experience.  SLR considers this
assumption to be reasonable as any material left in a stope on a given cut does become available when
the subsequent lower cut is mined.  The assumption does not include any allowance for losses due to
potential “frozen” section in the UCB blasts.  SLR recommends this assumption be reviewed within the
above recommended reconciliation work to refine future estimates.
12.6 Comparison to Previous Estimates
The 2021 Mineral Reserve estimate represents a change from the 2020 Mineral Reserve estimate as the
estimation for the 30 Vein, the largest single vein in the estimate, has been changed to reflect the change
to the UCB mining method.  Mineral Reserves decreased by 308,000 tons, 2.3 Moz of silver, 33,000 tons
lead, and 52,000 tons zinc, due to:

2021 production,

Removal of the low grade 40 Vein material,

Increase tons but decrease grade of the 30 Vein due to dilution of the UCB method,

An increase in tons but decrease in the grade of all the other veins.  A summary of gains and losses
and the variance is shown in Table 12-4.

--- PAGE 126 ---
Table 12-4:
Mineral Reserve Comparison 2020 to 2021

Vein
Tons (000)
Ag
(oz/ton)
Pb (%)
Zn (%)
Oz Ag
(000)
Tons Pb (000)
Tons Zn (000)
December 31, 2021 Proven & Probable Mineral Reserve Estimate

3,731
14.21
8.98
3.68
53,007
335.2
137.4

9.36
6.95
5.34
2,037
15.1
11.6

10.44
6.34
1.62
2,560
15.5
4.0

14.94
8.39
3.16
3,500
19.6
7.4

11.23
8.14
2.16
5,201
37.7
10.0

12.05
9.27
1.11
2,941
22.6
2.7

17.01
2.05
2.47
5,453
6.6
7.9
Totals
5,456
13.69
8.29
3.32
74,699
452.4
181.0
December 31, 2020 Proven & Probable Mineral Reserve Estimate

3,287
16.72
10.70
4.22
54,953
351.6
138.7

1,371
4.53
3.78
4.98
6,213
51.8
68.3

10.15
7.39
4.13
1,681
12.3
6.8

12.77
7.30
1.63
2,165
12.4
2.8

15.18
8.65
3.54
2,602
14.8
6.1

11.95
9.91
2.30
2,940
24.4
5.7

13.76
10.77
0.77
1,890
14.8
1.1

21.03
1.56
1.79
4,547
3.4
3.9
Totals
5,764
13.36
8.42
4.05
76,992
485.4
233.3
Tons
Ag
Grade
Mineral Reserve Percent Variance 2020 to 2021
Pb
Grade
Zn
Grade
Ag Oz
Tons Pb
Tons Zn

14%
-15%
-16%
-13%
-4%
-5%
-1%

31%
-8%
-6%
29%
21%
24%
70%

-100%
-100%
-100%
-100%
-100%
-100%
-100%

37%
-2%
-3%
-11%
34%
33%
22%

45%
-18%
-13%
-1%
18%
26%
43%

88%
-6%
-18%
-6%
77%
55%
77%

48%
-19%
31%
38%
20%
94%
105%

78%
-12%
-14%
43%
56%
53%
154%
Totals
-5%
3%
-2%
-18%
-3%
-7%
-22%
A more detailed breakdown of the change in Mineral Reserves from 2020 to 2021 is shown in Table 12-5.

Technical Report Summary -  February 21, 2022
12-6

--- PAGE 127 ---
Technical Report Summary -  February 21, 2022
12-7
Table 12-5:
Mineral Reserve Change 2020 to 2021 After Production

December 31, 2021 Proven & Probable Mineral Reserve Estimate
Item
Tons
(000)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Oz Ag
(000)
Tons Pb
(000)
Tons Zn
(000)
2020 Reserve
5,764
13.4
8.4
4.0
76,992
485.4
233.3
2021 Mining

11.6
7.6
3.4
3,733
24.5
10.9
2020 Depleted
5,443
13.5
8.5
4.1
73,258
460.9
222.3
Other Changes

0.3
(0.2)
(0.8)
1,441
(8.5)
(41.3)
2021 Reserve
5,456
13.7
8.3
3.3
74,699
452.4
181.0
The mine production grades fell short of the Mineral Reserve grades in 2021.  Over the period 2013 to
2021 the annual production grades for silver and lead have been less than the average Mineral Reserve
grades at the end of the period.  The silver production grades have been 69% to 88% of the Mineral
Reserve grades while the lead grades have been 70% to 89% of the Mineral Reserve grades.  The zinc
production grades have generally exceeded the plan ranging from 97% to 123% of the average Mineral
Reserve grades.  This is an overall view and includes the period of reduced operations through a long strike
and it does not look forward to potential high grade areas ahead of the present mining.  SLR considers the
historical grade reconciliation to show that further refinements to the Mineral Reserve estimation
process, notably in the areas of dilution, should be reviewed and if necessary changes to the estimation
process should be implemented.
12.7 Mineral Reserve Reconciliation
SLR has reviewed the Mineral Reserve reconciliation and recognizes that the 2021 Mineral Reserve
estimate includes a significant revision to the mining method with the use of UCB in the 30 Vein and that
the historical accuracy of the Mineral Reserve estimate may not be representative of future performance.
SLR is of the opinion that reconciliation should be an implicit part of the mining process, and reconciliation
targets should be a key performance indicator for operations.  The reconciliation between the block
models and production remains an important validation tool in evaluation of the performance of the block
models.  SLR is of the opinion that monthly reconciliation analyses should be completed and that the
results of those analyses should be applied to modify practices and to refine the estimation parameters
for the Mineral Reserve estimation process.
The mine completes regular analyses between the mine and mill production data and the Mineral Reserve
estimates on a stope by stope basis and considering total production.
The reconciliation analysis follows Parker (2013) which uses three factors:
The F1 factor usually relates short term (ore control) model tonnages, grades and metal content to ore
Mineral Reserves depleted. The F1 factor may be used to check and calibrate the selectivity of mineral
resource models and/or planned dilution assumed in transfer from mineral resources to ore Mineral
Reserves.  The F1 factor is the grade control prediction divided by the ore Mineral Reserve.
The F2 factor relates received at mill (measured by the mill) tonnages, grades and metal content to
delivered to mill production tonnages, grade and metal content. The F2 factor enables a check on

--- PAGE 128 ---
Technical Report Summary -  February 21, 2022
12-8
unplanned dilution entering the ore stream between ore control and the mill.  The F2 factor is the mill
production divided by the grade control prediction.
The F3 factor is F1×F2 (mill production divided by Mineral Reserve estimate) and enables a comparison of
a mine’s (measured by mine) ability to recover the tonnage, grade and metal content estimated in Mineral
Reserves.
SLR is of the opinion that reconciliation variances of 10% or less are indicative of a well run mine and good
Mineral Reserve estimate.  Variations between 10% and 20% are indicative of problems in the mining/ore
control systems and Mineral Reserve estimation parameters and investigation of the potential issues is
warranted.  Variations in excess of 25% are considered significant and actions to improve the controls and
estimates are required.
12.7.1 Previous Reconciliation Reviews
SLR has previously reviewed the mine reconciliation analyses in the course of Mineral Reserve reviews for
the mine.  SLR considers the information to be relevant and provides a summary of the past results and
comments.
There are several factors that can cause the tonnage variance:

More dilution in mining than is included than in the model, which may come from the backfill
(although the backfill is cemented) and more likely from overbreak from the stope walls.)

Bulk density estimation.

Survey changes between the initial and final surveys

The reconciliation does not account for material in the ore and waste passes, bins or tied up in
inventory on the stope floor
SLR noted that the higher mill tonnage indicate that some misclassification of ore and waste has occurred
resulting in waste being sent to the mill.  In 2017, the Lucky Friday technical personnel identified the
potential concerns with both dilution and ore-waste classification.  At that time SLR recommended that
studies of all aspects of the estimation and quantification of dilution, grade control procedures,
communication between the geology department and mine personnel, and the implementation of
systems to better measure the tonnage delivered to the mill be continued.
12.7.2 2021 September YTD Reconciliation
The mine provided reconciliation data for the period Q1 through Q3 of 2021.  The QP’s analysis of the
reconciliation data is shown below.  The actual production, forecast production, and Mineral Reserve
estimates are presented in Table 12-6.

--- PAGE 129 ---
Table 12-6:
Q1 to Q3 2021 Reconciliation Data

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Adjusted Actuals Q1 to Q3 2021
12 stope
70,881
11.6
8.4
3.1
819,178
5,971
2,199
15 stope
67,782
8.0
5.8
4.2
545,314
3,919
2,851
16 stope
63,488
15.0
8.7
4.7
954,672
5,504
2,992
19 stope
33,086
10.8
6.5
0.5
356,683
2,150

Inventory
6,503
9.9
6.4
2.9
64,286
4,183

YTD:
241,739
11.3
7.4
3.5
2,740,133
17,962
8,416
12 stope
51,519
12.2
9.9
3.1
630,158
5,103
1,622
Forecast
15 stope
63,869
8.3
6.5
4.0
530,371
4,128
2,556
16 stope
53,649
19.7
10.3
5.8
1,057,462
5,501
3,128
19 stope
33,907
15.3
8.1
0.7
519,369
2,748

YTD:
202,944
13.5
8.6
3.7
2,737,360
17,480
7,544
Adjusted Model
12 stope
49,539
14.9
11.7
3.4
737,849
5,773
1,685
16 stope
46,407
22.3
12.8
5.7
1,037,136
5,950
2,665
15 stope
45,049
10.0
7.4
4.6
451,983
3,351
2,081
19 stope
24,641
11.8
6.1
0.5
289,955
1,514

Swell
10,785
13.3
6.8
4.1
143,418

YTD:
176,421
15.1
9.8
4.0
2,660,341
17,323
6,987
The F1, F2 and F3 factors for the Q1 to Q3 2021 data are shown in Table 12-7.

Technical Report Summary -  February 21, 2022
12-9

--- PAGE 130 ---
Table 12-7:
Q1 to Q3 2021 Reconciliation Results

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
F 1 Factor
12 stope
104%
82%
85%
93%
85%
88%
96%
15 stope
142%
83%
87%
87%
117%
123%
123%
16 stope
116%
88%
80%
102%
102%
92%
117%
19 stope
138%
130%
132%
152%
179%
182%
209%
Total
123%
89%
86%
94%
109%
105%
115%
F 2 Factor
15 stope
106%
97%
89%
105%
103%
95%
112%
12 stope
138%
94%
85%
99%
130%
117%
136%
16 stope
118%
76%
85%
81%
90%
100%
96%
19 stope
98%
70%
80%
78%
69%
78%
76%
Total
119%
84%
86%
94%
100%
103%
112%
F3 Factor
12 stope
143%
78%
72%
91%
111%
103%
131%
15 stope
150%
80%
78%
91%
121%
117%
137%
19 stope
134%
92%
106%
119%
123%
142%
159%
16 stope
137%
67%
68%
82%
92%
93%
112%
Inv/Swell
60%
74%
94%
72%
45%
57%
43%
Total
(adjusted)
137%
75%
76%
88%
103%
104%
120%
SLR considers the F3 factor to be the most important in the analysis of the Mineral Reserve estimate.  In
this case the analysis shows that for all of the stopes the tonnage milled exceeds the Mineral Reserve
estimate and the metal grades fall short of the Mineral Reserve estimates for all but lead and zinc in the
19 stope.  The total metal content exceeds the calculated Mineral Reserve estimate metal content but
SLR notes that for the period under review the 65,318 tons of extra production had grades of 1.2 oz/ton
Ag, 1.0% Pb, and 2.2% Zn.  At these grades the extra tonnage had an NSR value of approximately $66/ton.
The material potentially represents dilution which was not included in the model estimates and while
metal targets may have been met extra tons had to be mined and processed to meet that goal.
SLR is of the opinion that dilution in excess of the Mineral Reserve estimate, whether in the stope or in
mixing or misclassification in the material handling systems, may be a factor in the poor tonnage and
grade reconciliation. The large variation in the tonnage reconciliation may also mask issues in the
estimation of the metal grades.

Technical Report Summary -  February 21, 2022
12-10

--- PAGE 131 ---
12.7.3 2021 UCB Mining Reconciliation
The mine provided reconciliation data for 2021.  This data provides a baseline for expectations of the UCB
mining method and support of the Mineral Reserves statement.  Lucky Friday has not previously used the
UCB mining method for reserve reporting.  In 2020 and through 2021, design parameters and dilution
factors were developed to support the Mineral Reserve statement.  The mine’s analysis of the
reconciliation data is presented in Table 12-8.
Table 12-8:
2021 Reconciliation Data

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
Milled
12 stope
92,673
11.7
8.6
3.2
1,084,522
7,996
2,945
15 stope
90,174
7.9
5.6
4.0
713,411
5,088
3,610
16 stope
88,914
16.0
9.1
4.6
1422855
8,096
4,132
19+21 stope
43,629
10.7
6.7
0.5
465782
2,919

315,391
11.7
7.6
3.5
3,686,570
24,099
10,910
Forecast
12 stope
78,091
12.8
10.1
3.0
997,907
7,851
2,372
15 stope
88,837
7.6
5.6
3.4
673,278
4,983
3,063
16 stope
82,569
17.3
10.0
4.6
1,425,352
8,294
3,803
19+21 stope
45,089
10.3
5.7
0.4
466,474
2,549

294,586
12.1
8.0
3.2
3,563,011
23,677
9,411
The F2 factors for the 2021 data are shown in Table 12-9.  Since no reserve was issued for UCB in 2021
the F1 and F3 factors cannot be compared.
Table 12-9:
2021 Reconciliation Results

Stope
Tonnage
(tons)
Ag
(oz/ton)
Pb
(%)
Zn
(%)
Ag
(oz)
Pb
(tons)
Zn
(tons)
F2 Factor
12 stope
119%
92%
86%
105%
109%
102%
124%
15 stope
102%
104%
101%
116%
106%
102%
118%
16 stope
108%
93%
91%
101%
100%
98%
109%
19+21 stope
97%
103%
118%
133%
100%
115%
129%
Total
107%
97%
95%
108%
103%
102%
116%

Technical Report Summary -  February 21, 2022
12-11

--- PAGE 132 ---
Technical Report Summary -  February 21, 2022
12-12
SLR notes that the mine’s analysis of the short term forecast versus actual production shows a good
correlation.  The 30 Vein average production grades for 2021 are lower than the Mineral Reserve
estimates.
SLR recommends that:

Reconciliation analyses be continued.

Dilution estimates for the mining be reviewed and amended as necessary to reflect the experience
with the mining method and equipment in use.

The ore handling systems be reviewed to address the potential for the mixing of ore and waste
and/or the misdirection of ore and waste throughout the material handling systems.

The material accounting methods and systems, from the stope to the mill, be reviewed to
determine if changes or additional controls are required to improve the material accounting.

Future Mineral Reserve estimates be modified to incorporate the results of reconciliation studies.

--- PAGE 133 ---
13.0 MINING METHODS
The Lucky Friday operation is a deep, narrow vein, mine which commenced operations in 1942.
Operations were on care and maintenance due to a strike from 2017 to January 2020, at which time
operations resumed.  The operation produces silver contained in  silver and zinc concentrates.
Mining methods used at Lucky Friday include underhand closed benching (UCB), and overhand or
underhand mechanized cut and fill (LFUF) using mechanized mining equipment.  Stopes are back filled
with cemented paste fill from the process plant tailings.  Mine operations are currently close to 6,500 ft
below surface and the mine will continue to below the 8,000 ft level in the current long-range plan.  Mine
production for the period from 2016 to 2021 is summarized in Table 13-1.
Table 13-1:
Lucky Friday Mine Production Summary

Year

Ore Milled
tons
293,875
70,718
17,309
57,091
179,201
321,837
Grade
Ag
oz/ton
12.69
12.38
10.78
11.83
11.85
11.6
Pb

7.78
7.10
7.19
7.86
7.49
7.6
Zn

3.92
4.01
4.20
4.25
3.88
3.4
Recovery to Concentrate
Ag Recovery

96.4%
95.8%
90.6%
93.7%
95.6%
95.5%
Pb Recovery

95.7%
94.3%
90.9%
91.4%
94.8%
94.6%
Zn Recovery

93.7%
90.4%
92.7%
84.5%
90.6%
91.1%
Silver concentrate
tons
36,420
8,238
1,790
6,378
20,806
37,768
Zinc concentrate
tons
17,530
4,121
1,016
3,467
10,960
16,638
Ag in Silver Concentrate
oz/ton
98.74
101.80
94.42
99.24
97.66
94.4
Pb in Silver Concentrate

60.1%
57.5%
63.2%
64.3%
61.2%
61.2%
13.1 Mine Operations
13.1.1 Underground Mine Access and Layout
The Lucky Friday mine operation has been designed and constructed to target two broad vein systems:
the Lucky Friday and Gold Hunter Veins. The Lucky Friday Vein was actively mined until 2001, is now
inactive, and contains infrastructure critical to the active Gold Hunter area.  Mining is underway or
planned in the 30, 50, 60, 70, 80, 90, and 110 Veins of the Gold Hunter deposit.  The 30 Vein is the largest
single vein and the source of the majority of the production.
Access to all underground workings is via the 6,205 ft deep Silver Shaft.  The Silver Shaft is near the idle
Lucky Friday vein system and 5,000 ft south-southeast of the Gold Hunter system (Figure 13-1). The 18 ft
diameter, concrete lined, circular, two-compartment shaft has a hoisting capacity of 12 tons per skip.

Technical Report Summary -  February 21, 2022
13-1

--- PAGE 134 ---
Technical Report Summary -  February 21, 2022
13-2
Shaft stations are developed on 200 ft centers beginning on the 4900 level.  Broken material reports to
the Silver Shaft through level pockets and transfers to the 5370 and 5970 loading pockets.
The No. 2 shaft is the 5,489 ft deep, three compartment (four compartment at lower levels) shaft used for
man hoisting, supplies, and ventilation.
Access to Gold Hunter is through the 4900 and 5900 level main haulage levels and 4050 access level.  Two
interlevel ramps connect the 4900 level and 5900 level and three ramps are being developed between the
5900 level and the 6500 level.  Below the 6500 level, only two ramps will continue to the 7500 level.
The No. 4 Shaft is a 4,800 ft winze with hoistroom located at the 4760 level and bottom at 8620 level.  The
No. 4 Shaft provides access to deep-seated portions of the Gold Hunter vein system.  Construction
commenced in 2010 and was completed in 2016.

Figure 13-1:
Isometric View of As-built Lucky Friday Workings
13.1.2 Mine Development
All mine development is completed using conventional drill and blast mining techniques. Ramps and
sublevels are driven at nominally 12 ft wide by 14 ft high and drilled using single boom or two boom
Lucky Friday
Vein System
Gold Hunter
Vein System
Silver Shaft
#4 Shaft
#2 Shaft

--- PAGE 135 ---
Technical Report Summary -  February 21, 2022
13-3
jumbos. Ramps are typically located in the footwall with swinging-ramp crosscuts driven into the vein to
access the ore. Level spacing depends on vein size and geometry, but typically four to five stope cuts are
taken from each sublevel.
13.1.3 Production Mining
In the late 1980s Lucky Friday LFUL mining was implemented in some areas of the mine to control seismic
risk and create a safter working environment. Today underhand techniques continue to be the primary
method used, with overhand employed in areas with no seismic risk.
In 2020, an adaptation to UCB mining was developed by Lucky Friday. This change was made to control
the release of mining induced seismic events and to improve seismic exposure thereby improving the
safety conditions in the mine.  The UCB method is applied in the 30 Vein.
13.1.3.1 Underhand Cut and Fill (LFUL)
In cut and fill mining, levels are typically spaced at 50 ft vertical centres. The vein is accessed through a
single slot drive driven roughly perpendicular to the vein strike. Once the slot drive is driven across the
vein an ore drive is driven in both directions along the vein until either backfill from an adjacent stope is
encountered or the vein becomes uneconomic.
Cut and fill drives are developed using conventional drill and blast techniques, with single boom jumbos
drilling 8 ft rounds. Material is removed with loaders to muck bays and eventually to trucks to report to
shaft pockets. Ground support is installed after each round according to standards in the ground control
management plan. Each stope round is mapped and sampled by the geology department, and a
projection- map is developed from the collected data and used to guide the next cut’s extraction.
In the overhand cut and fill technique the slot drive and first cut commence on the bottom and progress
upward, such that equipment and personnel work on top of backfill. Conversely, in the more commonly
used underhand technique, mining progresses downwards, such that equipment and personnel work on
unbroken rock, and cemented backfill and the previous cut horizon is overhead. Typically, five cuts are
taking from a single sublevel.
All cuts are backfilled with cemented paste fill.  Prior to paste backfilling a 1.5 ft bed of broken ore material
is emplaced to prevent the backfill from being damaged during blasting of the subsequent lift below.
Additionally, vertical rebar bolts are placed in the bedded material in a regular pattern such that plates
and nuts can be attached to the bolt ends when exposed during the next development sequence. In this
manner the backfill exposed overhead is always fully supported.
The overhand and underhand stoping methods are shown schematically in Figure 13-2.

--- PAGE 136 ---
Technical Report Summary -  February 21, 2022
13-4

Figure 13-2:
Mechanized Overhand and Underhand Stoping
The geometry and thickness of the vein being mined, as well as equipment being used, dictates the cut
and fill stope widths. The Intermediate Veins are typically narrow and mined with 1 yd3 loaders and single
boom jumbos, which can effectively mine to a minimum mining thickness of 6.5 ft.  In thicker veins where
2 yd3 loaders are used the minimum mining thickness is 8.0 ft.
13.1.3.2 Underhand Closed Bench
The UCB method is an adaptation of underhand cut and fill mining developed by Lucky Friday for use in
high stress mining environments where seismic events are anticipated. It was first used in 2020 and is in
full use in the 30 Vein stopes.  Work continues to refine the method. A summary of the UCB mining method
cycle follows and corresponds to the five steps shown in Figure 13-3.
In Step 1 the open stope (termed “Cut 0“) has a minimum stope opening height of 13 ft (to accommodate
the size of the longhole drill) and is 11 ft wide to accommodate a 3 yd3 capacity LHD.  The mined height is
11.5 ft high, with the additional 1.5 ft achieved by placing rock on the floor of the previous cut before
backfilling.  When the cut is excavated the loose rock falls out leaving a 13 ft high opening.  The orebody
in the floor of the stope is drilled with a series of vertical blasthole rings to a depth of 27 ft and blasted
with emulsion explosive that is initiated with programmable, electronic detonators. The 27 ft hole length
permits for an overall vertical blast advance of 23 ft with an allowance for 4’ of subdrill. The result of this
blast is that the fragmented ore will swell vertically up into the Cut 0 open stope void.
In Step 2, the swell in Cut 0 is extracted to the original Cut 0 floor-line using load-haul-dump (LHD) After
mucking of the swell, there are two, 11.5 ft high cuts of fragmented ore beneath the open stope as shown
in Step 3.
In Step 4, Cut 0 is backfilled with engineered paste fill and Cut 1 (the first fragmented cut below Cut 0) is
accessed from the footwall crosscut by slabbing out the floor and intersecting the orebody.  Since the ore
has been fragmented by the blast, LHDs are used (little or no additional blasting required) to muck out
Cut 1 below the cured paste.  The mucking advances along the strike of the orebody to the end of the

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Technical Report Summary -  February 21, 2022
13-5
blasted section.  As the mucking advances, the stope back and walls are supported with wire mesh and
rockbolts.
In Step 5, Cut 1 is backfilled with engineered paste and allowed to cure for approximately three days
followed by mucking out the final fragmented Cut 2.
At the completion of Step 5, all the ore fragmented by the blast has been extracted, resulting in a solid
un-blasted floor, and the UCB process starts over again with drilling and blasting of the solid floor.  This
process repeats for the extraction of 23 ft of ore in two downward-progressing stope cuts.

Figure 13-3:
Underhand Closed Bench Mining Method Schematic
The UCB method was developed specifically for improvement in the safety of mining personnel in
seismically active rock masses.  In particular, the method is designed to proactively trigger fault-slip
seismicity by blasting at a time of choosing of the mine operations when personnel can be restricted from
the affected area.  The exact location of faults is generally unknown until they are intercepted in mining,
thus presenting a seismic hazard.  In typical cut and fill mining, unstable slip on these faults can occur at
any time as a result of stress redistribution around the small, excavated stope which is slowly and
incrementally advanced horizontally beneath the engineered fill as described earlier.  In addition to
fragmenting the ore in the floor of the stope, the stress wave induced by the blast transmits down through
the orebody and surrounding wall rock causing both stress disruption and deformation on any near-stope
fault surface that it encounters.  If the fault is critically-stressed the dynamic disruption to clamping and
shear stress-induced by the stress wave will cause slip to occur with subsequent energy release as a

--- PAGE 138 ---
Technical Report Summary -  February 21, 2022
13-6
seismic event.  The large amount of explosive detonated in the UCB blast (up to 37,000 lb as opposed to
150 lb in typical cut and fill face blast) facilitates triggering of the fault slip at the time of the blast, thus
relieving stored energy and allowing resumption of personnel access within a short time thereafter. This
concept is illustrated in Figure 13-4.

Figure 13-4:
Conceptual Fault-Slip in UCB Cross Section
The drilling and blasting techniques were changed in 2021 to use three inch diameter blast holes with ring
burden on 4.5 ft and four to five holes across the stope. Blasthole design targets a corridor of 10 ft to 11
ft wide for the bench.  Hole toe spacing is kept to no wider than four feet and is commonly less than four
feet.  SLR notes that the stated 4.5 ft spacing and four holes represents a minimum blasting width of 13.5
ft assuming the perimeter holes are located on the stope limit. This configuration may lead to overbreak
and extra tonnage beyond the Mineral Reserve limits.  The stope is opened with a 27 ft deep burn cut
using nine four inch diameter holes in a two foot square and nine three inch diameter blast holes for a
five foot square cut.
Management indicate that experience to date has shown that mining productivities are better than in
LFUL. The productivity improvement is from less seismic delays and the ability to increase working areas
on the 30 Vein.  The improved seismic control allowed a fourth stope to be developed on the 30 Vein
increasing working faces by 133%.  Management is of the opinion that the combination of reduced seismic
delays and increased working areas is estimated to improve 30 Vein productivity by greater than 150%.
Benching with vertical blastholes does not permit as much selectivity compared to LFUL and thus
unplanned dilution in UCB mining is estimated by Hecla to be 15%. Continuous improvement studies are
ongoing with focus being on improving productivities, reducing cycle times, and reducing dilution.
UCB is currently being used to mine all bottom 30 Vein stopes and is planned for use in lower 30 Vein for
the remainder of the mine life.

--- PAGE 139 ---
Technical Report Summary -  February 21, 2022
13-7
SLR visited the UCB stope on October 5, 2021 and based upon that visit and its review of the technical
information SLR concurs with the use of UCB as a safer, more productive, mechanized option for
underhand stoping.  SLR offers the following observations:

Despite the use of the method since 2020 there was not a reconciliation records between actual
production and Mineral Reserve estimates;

The use of a 27 ft deep burn cut to open the stope presents a potential risk as the long cut may
freeze or fragment poorly leading to either a loss of ore, or difficult mucking of larger material,
or the existing requirement to drill into a frozen muckpile with a jumbo

The 15% dilution added to the stopes amounts to a total of 1.6 ft of stope width at the minimum
11 ft mining width. SLR considers this to be insufficient to account for potential drill hole
misalignment, variations (pinches and swells) in vein size both along strike and down dip, and
the usual tendency for stope width to expand in the face of the plan to increase production
tonnage.

The dilution risk will increase at depth in the 30 Vein where the minimum mining width has been
reduced to 9 ft.

Continued closely spaced infill drilling information will be necessary for stope planning as there
is no opportunity for face mapping after the mining moves beneath the initial undercut
elevation.
13.1.3.3 Conventional Mining
Although the current LOM plan does not include any conventional mining blocks, this method, using hand
held drills and scrapers, has been used in the past and may be used again at some time in the future.
13.1.4 Ore and Waste Handling
LHD’s are used to move broken rock from the headings to haul trucks or ore passes. The LHD fleet consists
of 1 yd3, 2 yd3, and 3.5 yd3. Ore and waste haulage is accomplished using 20 ton trucks.
Rock is either hoisted in No. 4 shaft to the 4900 level and trucked to the 4900 Silver Shaft bins or trucked
on internal ramps to the 4900 or 5900 level Silver Shaft bins. From there rock is hoisted to coarse bins on
surface.
13.1.5 Backfill
All production stopes are backfilled with paste fill produced from a mixture of tailings sand and binder.
Binder content varies between 6% and 10% by weight depending on the strength requirement with binder
consisting of 75% ground granulated blast furnace slag (GGBF) and 25% cement.  Between 0.4 tons to 0.6
tons of backfill are required per ton of ore mined to achieve the targeted fill height of within 1.5 ft of the
back. There is a net surplus of tailings as 0.5 tons to 0.7 tons of tailings are produced per ton of ore mined.
Prior to filling the stope the fill area is prepped by spreading a 1.5 ft thick layer of prep muck across the
floor. Six foot long dywidags are then stood in the preparation muck on a 4 ft by 4 ft pattern to provide a
measure of concrete reinforcement and securing of the back during the next cut.  Pour lengths are limited
to approximately 150 ft to ensure uniform paste flow and minimization of cold joints.
Quality testing of the fill is performed for the pour from the first stope cut of any given slot. Four samples
are collected and UCS tests conducted at three, seven, 14, and 28 days. The data for testing is reported to

--- PAGE 140 ---
the mine engineering department. The fill typically develops 200 psi (1.38 MPa) or greater UCS after seven
days. This is used as a design criterion for fill mat strength. Mining cannot take place beneath paste fill
until a UCS of at least of 200 psi (1.38 MPa) is achieved. If the fill does not develop this strength, it is
reported to mine management who alert the underground staff that the fill should be observed for
settlement and that extra support beneath the wider span stope entry area may be required.
A sand storage facility is located on surface beside the process plant with a capacity of 5,000 tons. Sandfill
is sent underground through a slickline installed in the Silver Shaft with branches to the Gold Hunter side
installed on the 4900 level and the 5900 level. The backfill system capacity is 110 stph. A schematic of the
backfill distribution system is presented in Figure 13-5.
2800L
Sandline 4470L
Cross-Over at Sandline
4760L 4900 level 4

6 0
S

a

n d
ft
l i
l
n
a
e
te ral 4900L
C Sh ro a s ft s - S O ta ve ti r o a n t
5100L
5370L
5500L
Sandline
Cross-Overs Sandline 5700L Sandline
at Shaft Cross-Over at Cross-Over at
S tation 4900 level 4

6 0
S

a

n d
ft
l i
l
n
a
e
te ral 5900L
Shaft Station
6200L
Bottom
8620L
Bottom
Figure 13-5: Backfill Schematic
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.00022
Technical Report Summary - February 21, 2022 13-8
[TABLE]
 | 4470L
4” Sandline
~6000 ft lateral |
 | 4900L

[TABLE]

5370L

[TABLE]
 | 5700L
4” Sandline
~6000 ft lateral |
 | 5900L

[TABLE]

[TABLE]

--- PAGE 141 ---
Technical Report Summary -  February 21, 2022
13-9
13.2 Ground Conditions
The Gold Hunter deposit is located in the Wallace formation which is folded to subvertical with
stratigraphy striking N80 to 85W and dipping 80° to 90°S. The Gold Hunter zone lies between two
significant west-northwest trending district-scale fault structures. To the north is the Independence fault
trending N80 to 85W dipping 80°S. The Paymaster fault lies to the south at N80W dipping 85°S.  These
faults are separated by approximately 1,500 ft around the mine and define the trend of the Star-Gold
Hunter mineral belt.
The rockmass is primarily composed of thinly-bedded argillites, argillite alternating with silt caps, and local
siltites. The bedding spacing ranges from several inches to feet, surfaces often coated with talcy,
slickensided material and highly irregular in shape.  The bedding thus results in significant anisotropy with
respect to mechanical response to stress.  Drifts driven perpendicular to bedding tend to be quite stable,
whereas drifts driven parallel to bedding typically show buckling or high deflection of the wall beds.
The rock mass quality and material properties of the Gold Hunter Veins and wall rock materials were
determined from geotechnical logging and laboratory testing of exploration boreholes drilled from the
footwall ramp across the orebody and into the hangingwall at approximately the 6100 level.  Geotechnical
logging is not typically completed on new diamond drill holes.
RQD in the vein package is often over 80%.  The wall rocks grade from silty argillites to stronger siltites
that are sometimes cut by low-angle fault planes. The wall rocks exhibit anisotropy via cleavage that is
oriented parallel to the orebody.  The 30/40 vein package consists of ore minerals (sphalerite and galena
with some pyrite) in a matrix of siderite, quartzite, and siltite gangue.
The mean UCS for the footwall rocks is 15,300 psi +/- 7,000 psi (106 MPa +/- 48 MPa) and 15,700 psi
+/- 5,800 psi (108 MPa +/- 40 MPa) for the vein package rocks.
The measurements indicate a primary stress direction of approximately N40W and a ratio of horizontal to
vertical stress ration of between 1.5 and 2.
13.2.1 Ground Support
Ground support standards have been designed for standard excavation types based on the purpose of the
excavation and excavation size. The standards are a minimum support requirement that can be increased
where conditions warrant as determined by miners or underground supervisors. Active faces are
inspected by supervisors every shift and mapped by a geologist after each blast. If hazards are identified
they are communicated to mine operations management and engineering so that remedial action can be
taken.
Development headings are typically driven with an arched back and supported in the walls with 4 ft long
splitsets installed on a 3 ft by 3 ft pattern to within three feet of the floor.  In the back 4 ft long splits are
installed on a 3 ft (radial) by 4 ft (longitudinal pattern), and 6 ft dywidag bolts on a 4 ft by 8 ft pattern.
Eight foot dywidags are used when the drift span exceeds 14 ft wide.  Galvanized wire mesh is installed in
all bolted areas.
In underhand production headings the walls are supported with 4 ft long splits sets installed on a 3 ft by
3 ft pattern to within 3 ft of the floor.  The back is secured by plating the protruding dywidags that were
installed in the backfill pour above and installing 3 ft split sets on a five-spot pattern between the existing
dywidags. Galvanized wire mesh is installed in all bolted areas.

--- PAGE 142 ---
Technical Report Summary -  February 21, 2022
13-10
Variations of the above support regimes exist for different development and production opening sizes
and functions.
Where required, shotcrete is applied to the rock surface to prevent rockmass unravelling or shearing along
bedding. This is specified on an as-needed basis as recommended by mine supervision or the engineering
department. Shotcrete is produced on surface using a local supplier, in 5 yd3 batches and sent
underground via slickline. The shotcrete is a wet-mix design with a nominal compressive strength of 4,500
psi.  A minimum thickness of two inches is applied to the rock surface through screen or welded wire
mesh.
Rock bolts are regularly pull tested to check both bolt and bond strength.  Bolts are loaded to 50% of the
anchorage capacity of the fixture as defined by the manufacturer.
13.2.2 Seismic Monitoring
There are two basic seismic source mechanisms operating at the Gold Hunter: pillar-type/strain bursting,
and slip along geologic structure. Pillar-type rockbursts occur when brittle rock in pillars or exposed faces
is stressed beyond its strength limits, typically near a free face. The host rock mass at the Gold Hunter is
composed of thinly-bedded argillites and more thickly-bedded siltites or quartzites. These rocks typically
fail via anisotropic plastic yielding due to non-violent shearing on bedding and cleavage surfaces.
Deformation is particularly pronounced when driving drifts parallel to bedding which allows buckling of
the thin beds into the drift. The orebody and gangue materials may contain more brittle rocks, including
quartzite, siderite and quartz.
Structural-slip events involve unstable slip-on geologic structures such as faults and bedding planes. At
the Gold Hunter, observations of movement on north-dipping fault structures at the east end of the
orebody below 5300 level appear to be associated with some of the larger events.
Both the Lucky Friday and Gold Hunter areas are monitored for seismicity using an ESG underground,
mine-wide microseismic system. The ESG system was installed in late 2011.  A schematic showing the
seismic monitoring systems including location of geophones is show in Figure 13-6.

--- PAGE 143 ---
Technical Report Summary -  February 21, 2022
13-11

Figure 13-6:
Lucky Friday ESG Seismic Monitoring System Schematic

--- PAGE 144 ---
Technical Report Summary -  February 21, 2022
13-12
The timing of seismic events with respect to blasting is of critical importance in planning a mitigation
strategy for the mine since blasting tends to trigger a large portion of the seismicity. Approximately 65%
of all recorded events (regardless of size) occur with blasting, and that the blasting-related events decay
to the background rate within approximately half an hour to one hour of the blasting window.
The key principles used by Lucky Friday to limit seismic risk can be summarized as follows:

Integration of geotechnical information into mine planning processes to ensure geotechnical
assessment informs planning and scheduled decisions.

Restriction of stope blasting to the end of shift when miners are at prescribed, safe locations, as
well as development of personnel exclusion and re-entry protocols for all production areas.

Development of ground support standards that include use of dynamic ground support methods
to limit damage potential in areas of possible seismic impact.

Use of modern monitoring technology to determine areas of increased seismic risk, and use
collected information to assist in improving our understanding of evolving seismic issues.

Education of the work force in recognition and reporting of geotechnical hazards to mine
management.

Conversion to the UCB method in the 30 Vein.

Mining sequence and not creating unfavorable geometries
13.2.3 Hydrological Investigation
Lucky Friday does not have hydrological issues and no hydrological investigation is completed.
13.3 Mine Equipment and Personnel
In 2022, the long-range plan has 296 hourly and 101 salary employees. Headcount is expected to be
remain relatively static through mine life, with hourly employees increasing to 302 by 2026. It is expected
that overall staffing numbers will decrease toward the end of the mine life.
The current mobile equipment fleet at Lucky Friday is presented in Table 13-2.  Forecast retirement dates
for each piece of equipment have been calculated and replacement costs allocated accordingly in the
budget. Some larger LHDs, and mechanized bolters, and additional longhole drills will be purchased to
support the change to UCB mining method and production and safety continuous improvements
initiatives.   Current longhole drilling is done by a contracted buggy mounted long hole drill.
Hecla plans to purchase two Cat R1600 loaders for development starting in 2022.
Table 13-2:
Lucky Friday Mobile Equipment Fleet

Equipment Type
Unit Make
Quantity
LHD, 1 & 1-1/4 yard
Joy, JCI

LHD, 2 yard
Atlas Copco ST-2G & Wagner ST-2D

LHD, 3.5 yard
CAT R1300G
5 (8 by 2023)
Haul Truck, 20 ton
Atlas Copco / Epiroc MT-2010

--- PAGE 145 ---
Technical Report Summary -  February 21, 2022
13-13
Equipment Type
Unit Make
Quantity
Cement Truck
Normet, Marcotte M35

Shotcrete Sprayer
Normet Spraymec

Development Drill
Secoma

Development Drill
Sandvik DD210V

Development Drill
Epiroc S2

Bolter
Sandvik DS310

Bolter
Epiroc Boltec S

13.4 Mine Infrastructure
13.4.1 Shafts
There are two shafts and one winze at Lucky Friday.
The Silver Shaft is a 6,205 ft deep, 18 ft diameter concrete lined circular shaft. It provides fresh air to the
mine, is used to transport personnel and material, and is used to hoist muck with an 12 ton skip.
No. 2 Shaft is 5,489 ft deep, three compartment (four compartment at the lower levels) timbered shaft
that is used as an exhaust and secondary egress. The shaft has a hoist that is capable of hoisting personnel
and materials.
No. 4 Shaft is a 18 ft diameter winze located in the Gold Hunter area with hoistroom at 4760 level and
bottom at 8620 level.  It is used to skip ore and waste to the 4900 level.  The shaft was completed in 2016.
13.4.2 Ventilation
The Silver Shaft is the primary ventilation intake. A minor intake split crosses from the Silver Shaft to the
Gold Hunter on the 4050 level, providing fresh air to the No. 4 Shaft plant above the 4900  level.  The 5900
level delivers fresh air to the lower Gold Hunter workings. Exhaust crosses back to the Lucky Friday side
on 4900 level where a pair of 400 hp exhaust booster fans direct exhaust to surface via the No. 2 Shaft
and a network of airways consisting of boreholes, Alimak raises, and the old No. 1 Shaft.  There are two
250 hp exhaust fans at No. 2 shaft on surface.
The ventilation system is currently moving 225,000 cfm of air through the mine. The ventilation network
total pressure is approximately 19 in. of water gauge.
Auxiliary fans ventilate development headings and stopes. Stopes require a minimum of 30,000 cfm of
ventilation during operation to permit equipment access. Other small auxiliary fans provide ventilation
for various underground infrastructure such as shops, pump rooms, refrigeration stations, and the like.
13.4.3 Refrigeration
Temperature underground are a concern due to a limited ventilation capacity, high thermal rock gradient,
and deep workings.  Lucky Friday strives to maintain wet bulb temperatures below 85°. A key component
of this control is the underground refrigeration system.  The cooling strategy includes bulk air cooling
(BAC) for development in the two main ramps, and supplemental spot cooling for stopes, because they
intake air from development ramp exhaust.

--- PAGE 146 ---
Technical Report Summary -  February 21, 2022
13-14
The central refrigeration plant (CRP) on 4900L currently has four closed-loop chillers that supply chilled
water to BAC locations on the 5900 level and the 6500 level.  A fifth and sixth chiller will be installed on
the 4900 level in 2022 and 2023 that will allow for one plant to be offline for maintenance. The addition
of these will also permit the construction of a new BAC location on the 7500 level necessary for mining at
greater depth.
On the 5900 level two open-loop chillers provides spot cooling to stope spray chambers. This will be moved
and expanded through the mine life as the main mining fronts advances. The mine currently has eight 50
ton spray chambers that provide spot cooling to stoping areas on various sublevels.
As the mine does not make much ground water, most pumping duties are related to the refrigeration
plant’s heat rejection processes.
A cooling system schematic is presented in Figure 13-7.

--- PAGE 147 ---
Technical Report Summary -  February 21, 2022
13-15

Figure 13-7:
Mine Cooling System Schematic
Silver Shaft
#4 Shaft
7500 Bulk Air
Cooling (Future)
6500 Bulk Air
Cooling
4900 Central
Refrigeration Plant

--- PAGE 148 ---
Technical Report Summary -  February 21, 2022
13-16
13.4.4 Other Underground Infrastructure
In addition to the infrastructure discussed above, the following key facilities are located underground:

1,000 gpm pumping facilities – three stations along Silver Shaft

13.8kV power feed down the Silver Shaft

Paste backfill slickline in the Silver Shaft, and reticulation piping on the main levels

Concrete/shotcrete borehole and mixer truck loading station on 4900 level

Mine communications – land-line telephone, mine phones, leaky feeder, and fiber-optic data,

Emergency facilities – refuge chambers in strategic locations
13.5 Mine Plan
13.5.1 Ore Scheduling Criteria
The 30 Vein accounts for 80% to 90% of annual ore production from 2022 to 2028. The proportion of total
production from 30 Vein begins to decline in 2029 until being fully depleted in 2034. Until recently, 30
Vein was split into three stopes that were mined independently. To increase production potential Lucky
Friday has transitioned to mining 30 Vein in four stopes by using UCB and an additional access ramp and
plans to continue this practice through to 2031 when the first of these stopes is exhausted at depth. The
increased number of active faces is planned to provide higher crew productivities and greater flexibility
to improve stope cycles and to respond to upset conditions in the mining cycle. A long section of the 30
Vein stoping plan is presented in Figure 13-8.
Mining of the Intermediate Gold Hunter Veins make up the balance of ore production. Through the mine
life between one and three Intermediate Vein stopes are mined each year depending on vein size and
location.

--- PAGE 149 ---
Technical Report Summary -  February 21, 2022
13-17

Figure 13-8:
30 Vein Stoping Plan
13.5.2 Mine Plan Overview
The 30 Vein is currently being mined near the 6500 level and is planned to be mined downwards, in a flat
front, at a rate of approximately 100 ft per year.  Two spiral ramps will be driven ahead of the production
front such that infrastructure such as ventilation, refrigeration, and ore and waste handling facilities can
be constructed ahead of time.
7000 Level
6500 Level
7500 Level
8000 Level

--- PAGE 150 ---
Primary service levels containing major infrastructure include 6500 level – scheduled for completion in
2022, 4050 level – scheduled in 2025, and 7500 level – scheduled in 2026.
Production totals through the LOM are presented by year in Table 13-3.
Table 13-3:
Annual LOM Production

Tons
Tons per
Day
Ag
(oz/ton)
Pb
(%)
Zn
(%)

378,744
1,038
13.3
9.1%
3.8%

422,331
1,157
14.4
9.2%
3.4%

418,173
1,146
13.8
8.5%
3.8%

397,393
1,089
13.3
8.3%
4.0%

383,085
1,050
16.2
10.4%
3.8%

378,808
1,038
17.0
11.3%
3.8%

378,770
1,038
13.6
9.0%
4.1%

402,026
1,101
11.6
7.8%
3.0%

307,780

12.6
7.5%
2.9%

347,613

14.4
7.5%
2.6%

364,645

13.5
7.2%
2.2%

411,522
1,127
13.3
7.4%
2.8%

295,909

12.7
6.0%
2.7%

200,684

13.2
5.2%
3.4%

179,682

12.4
6.1%
3.3%

120,322

11.4
8.8%
2.9%

68,681

11.6
10.7%
3.7%
Total
5,456,168

13.7
8.3%
3.3%
The planned production areas color coded by NSR value are shown to the end of the mine life, alongside
the current mine as-built, in Figure 13-9 and Figure 13-10.

Technical Report Summary -  February 21, 2022
13-18

--- PAGE 151 ---
Technical Report Summary -  February 21, 2022
13-19

Figure 13-9:
Longitudinal Section – 2D View
#4 Shaft
Mined Out Areas
4050 Level Access
A

--- PAGE 152 ---
Technical Report Summary -  February 21, 2022
13-20

Figure 13-10:
Longitudinal Section – Oblique View
Lucky Friday reports lateral development in “expensed” and “capital” categories. Expensed development
represents all slot drives connecting waste development to stopes, and capital development captures all
other development outside of ore.
The underground development totals for the LOM plan are presented in annual detail in Table 13-4.
Development requirements to meet and sustain the increasing production rate are included in the LOM
plan.
4050 Level Access
#4 Shaft

--- PAGE 153 ---
Table 13-4:
Annual Development Plan

Year
Tonnage
Expensed
Capital
Total

47,343
107,057
154,400

52,791
119,588
172,380

49,674
143,892
193,566

52,272
126,097
178,369

47,886
104,016
151,902

47,351
119,421
166,772

47,346
76,517
123,864

50,253
76,629
126,883

38,472
110,552
149,025

43,452
85,093
128,545

45,581
75,731
121,312

51,440
75,731
127,171

36,989
75,766
112,755

25,085
75,000
100,085

15,040

15,040

22,460
25,000
47,460

8,585

8,585
Total
682,021
1,396,092
2,078,113
The October 2021 YTD development rate has been 21.4 ft/day.  Development advance is expected to
increase significantly over the next four years in both vertical and level development. Level development
rates are projected to rise to over 35 ft per day by 2024 and to continue to average over 35 ft per day
through 2030.
Management plans to facilitate this increase with two new Caterpillar R1600 loaders for ramp
development in 2022, two new Caterpillar R1300 loaders in 2022, one new Caterpillar R1300 in 2023 in
conjunction with the Epiroc S2 two boom commissioned in 2021.  The haulage fleet also increased to
seven haul trucks in 2022 with the newer haul trucks being the larger Epiroc MT-2200 model vs the MT2010 model
13.5.3 Mine Plan Discussion
The mine plan is based upon the continuation of UCB mining in the 30 Vein plus conventional mining in
the Intermediate Veins.  The planned increase in annual tonnage is based upon assumed productivity
increases in the UCB mining coupled with improved utilization of the mine facilities such as hauling and
hoisting.

Technical Report Summary -  February 21, 2022
13-21

--- PAGE 154 ---
Technical Report Summary -  February 21, 2022
13-22
Management’s mine planning strategy is to increase production at Lucky Friday by implementing the
following improvements;

Continue to improve the UCB cycle through continuous improvement effort

Create 4, equally spaced stopes on the 30 Vein

Increase loader fleet to meet production profile by purchasing additional loaders.

Implement a proactive maintenance program for the mobile fleet

Service hoist installation

Coarse ore bin replacement

Confirmation that the hoisting and plant can support the increase.

Revise the organization charts and recruit the necessary hourly and salary staff to support the
plan.
SLR is of the opinion that:

The UCB method is considered to be a good option based upon the depth and seismicity issues.

More detailed plans outlining how the increased development rates and production tonnages
will be attained should be developed with particular attention to mine manpower requirements.

Attaining the planned increases in head grade, production tonnage and development advance is
generally an onerous task and this is exacerbated in a deep narrow vein operation.
13.6 Mine Workforce
Current mining manpower totals 242 and is summarized as follows:

Mine operations – 178

Mine maintenance – 38

Mine supervision and technical services – 26

--- PAGE 155 ---
14.0 PROCESSING AND RECOVER
Processing ore at the Lucky Friday uses a conventiona
guided by a real-time On-Stream Analyzer. Process st
dewatering, and tailings dewatering/disposal.
14.1 Crushing
Run of mine (ROM) ore discharges from the ore skip
ore bins with capacities of 400 tons and 800 tons. T
variable speed pan feeders and a belt scale is used to
ore is crushed in a three stage crushing plant consis
cone crusher and tertiary short head cone crusher w
Crushing circuit operating time averages approximat
to 85 tons per operating hour.
The primary crusher, a 20 in X 36 in Kue Ken jaw crus
Primary crushed ore is delivered to a 5 ft x 12 ft tripl
material is conveyed to the secondary 3 ft Simons stan
removes metal from the secondary cone crusher fee
material from both the middle and bottom deck of
short head cone crusher. A second magnet prevents m
standard and short head crusher discharges returns to
screen undersize material with a P 3/ in. is conve
100 8
crushing area is collected through dust extraction du
Figure 14-1 represents a process flow diagram for the
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 14
RY METHODS
al lead/zinc flotation flow sheet, with process control
teps include crushing, grinding, flotation, concentrate
ps in Lucky Friday Silver shaft into one of two coarse
The ore is drawn from the bottom of the bins using
o control the feed rate to the crushing circuit. Coarse
sting of a primary jaw crusher, a secondary standard
with a triple deck screen to close the crushing circuit.
tely 50% with an average throughput rate of 80 tons
sher, reduces ROM ore from minus 12 in. to P 3 in.

le deck vibrating screen for sizing. Top deck oversize
ndard cone crusher and reduced to P 1 in. A magnet

ed to prevent damage to the crusher. The oversized
the triple deck screen is conveyed to a 3 ft Simons
metal from entering the short head crusher. Both the
to the triple deck screen to be reclassified. Triple deck
eyed to a 400 ton fine ore storage bin. Dust from the
ucts feeding a bag house dust collector.
e crushing process.
.00022
4-1

--- PAGE 156 ---
Technical Report Summary - February 21, 2022
14-2

Source: Hecla, 2014
Figure 14-1:
Crushing Process Flow Diagram

--- PAGE 157 ---
14.2 Grinding
Material from the fine ore bin is discharged by two
sample is collected from a conveyor transfer point usi
The material feed rate to the ball mill is measured by
and water feed the ball mill. Overall mill operating tim
annual mill feed rate ranged from 40.0 stph to 43.6 st
to 44 stph range from 2016 through 2021 (see subse
The ore is ground in one 9.5 ft diameter x 12 ft effect
motor. Water, collector, and frother are added to th
feed pump box and then pumped to an SK-240 lead f
to the flash cell tailing and the pulp is pumped to a c
screened to remove trash and then pumped to the le
ball mill. The cyclone overflow is typically 40% solids
The flash flotation cell is used to recover coarse frac
to minimize over grinding of the dense materials. Th
final concentrate grade product, assaying approxi
Typically, approximately 50% of the lead and silver va
route. Another benefit of the flash flotation unit cel
lead circuit. When high grade ore is processed throu
Figure 14-2 represents a simplified process flow diag
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 14
o hydraulic feeders. A 12 hour shift composite feed
ing primary and secondary automatic sample cutters.
y a belt scale. Fine ore, reagents, cyclone underflow,
me averages 92% and from 2007 to 2013 the average
tph. Operating performance continued in the 37 stph
ection 14.8).
tive grinding length (EGL) ball mill driven by a 600 hp
he ball mill discharge slurry in the flash flotation cell
flash flotation unit cell. Flotation reagents are added
cyclone cluster for classification. Cyclone overflow is
ead rougher circuit. Cyclone underflow returns to the
with a particle size of 80% passing 150 microns.
ctions of lead and silver from the mill circulating load
he flash cell has proven to be capable of producing a
imately 63% Pb and greater than 100 oz/ton Ag.
alues are recovered to final concentrate through this
ll is in reducing the amount of lead reporting to the
ugh the mill, this increased capacity is fully utilized.
gram of the grinding process.
.00022
4-3

--- PAGE 158 ---
Technical Report Summary - February 21, 2022
14-4

Source: Hecla, 2014
Figure 14-2:
Grinding Process Flow Diagram

--- PAGE 159 ---
Technical Report Summary -  February 21, 2022
14-5
14.3 Flotation
Lead rougher flotation consists of one bank of five WEMCO 66D conventional flotation cells. Concentrate
from the roughers, containing about 38% Pb, reports to the first cleaner column flotation cell while the
tailings flows by gravity into a bank of 5 Denver DR-24 conventional flotation cells for lead scavenging.
Reagents for collecting, frothing, and conditioning are added to the slurry as needed.  Lead scavenger
concentrate is pumped back to the rougher feed and the lead scavenger tailings are fed to the zinc
flotation circuit.
Lead rougher concentrate slurry reporting to the lead first cleaner column flotation cell is upgraded from
approximately 38% Pb to approximately 50% Pb and then pumped to the second Pb cleaner column.
Tailings from the first and second Pb cleaner column cells are combined and pumped to a set of four
Denver 21 conventional cleaner scavenger flotation cells. Cleaner scavenger concentrate is pumped to a
cleaner scavenger column cell while the tailings are pumped to the lead rougher feed.  Concentrate from
the cleaner scavenger column cell is pumped to the silver concentrate thickener and the tailings are
pumped to the lead rougher feed. Final silver concentrate is a combination of lead flash flotation cell,
second cleaner column and cleaner scavenger column concentrates and averages 63% Pb and 100 oz/ton
Ag. The silver concentrate passes through a primary and secondary sampler before reporting to the silver
concentrate thickener.  The lead circuit flow diagram is shown in Figure 14-3.

--- PAGE 160 ---
Technical Report Summary - February 21, 2022
14-6

Source: Hecla, 2014
Figure 14-3:
Lead Flotation Process Flow Diagram

--- PAGE 161 ---
Technical Report Summary -  February 21, 2022
14-7
Lead circuit tailings are mixed with reagents to activate the zinc in the two conditioning stages and flow
by gravity to the zinc rougher flotation circuit. Flow rate through the two conditioner tanks is designed for
adequate retention time for the reagents to fully condition the slurry for zinc flotation. The second
conditioning tank overflows into the zinc flash flotation cell.  The concentrate from the flash flotation cell
is pumped directly to the zinc concentrate thickener and the tailings from the zinc flash flotation cell are
pumped to zinc rougher flotation.  Zinc rougher and rougher scavenger flotation consists of a bank of five
conventional WEMCO 66D cells for roughing followed by a bank of five conventional Denver DR-24 cells
for scavenging.  Zinc rougher scavenger tailings report to final tailings.
Zinc rougher concentrate is pumped to the first zinc cleaner column cell.  First cleaner column concentrate
is pumped to the second cleaner column. Second cleaner column concentrate is pumped to the zinc
concentrate thickener.  First and second clean column tailings are combined and pumped to a bank of
four Denver 21 conventional cleaner scavenger flotation cells. The cleaner scavenger concentrate is
pumped to a zinc cleaner scavenger column cell and the cleaner scavenger tailings are pumped to the lead
rougher tailings sump prior to the zinc conditioners.  The zinc cleaner scavenger column concentrate is
pumped the zinc concentrate thickener and zinc cleaner scavenger column tailings are pumped to the
feed of the zinc rougher cells. Final zinc concentrate is a combination of the zinc flash flotation, second
cleaner column and cleaner scavenger column concentrates.
Figure 14-4 represents the Zn circuit flow diagram.

--- PAGE 162 ---
Technical Report Summary - February 21, 2022
14-8

Source: Hecla, 2014
Figure 14-4:
Zinc Flotation Process Flow Diagram

--- PAGE 163 ---
Technical Report Summary -  February 21, 2022
14-9
14.4 Concentrate Dewatering
After lead and zinc concentrates have passed through their respective samplers they enter the center well
of the final concentrate thickeners. The lead and zinc concentrate handling systems are mirrored like the
flotation circuits.  Both thickeners are 12 ft diameter high-rate solid-liquid separators producing a bed of
solids in the cone of the thickener. Concentrate thickener underflow at approximately 60% solids is
pumped to the concentrate filters.  Overflow water from the thickener re-enters the flotation circuit as
spray water in the froth launders.  Separate lead and zinc spray water systems are installed.
The paste discharging from the thickener is pumped by air powered diaphragm pumps to vacuum drum
filter for each product.  Silver concentrate is filtered by a drum filter equipped with a vacuum pump for
dewatering to less that 8% moisture.  Zinc concentrate is dewatered to approximately 6% moisture using
the same method as the silver concentrate filter.  The dry filter cake concentrate falls off of the filter drum
into a bunker directly below it.  Lead/silver concentrate and zinc concentrate are shipped in highway
trucks to a smelter daily for further processing and refining.
Figure 14-5 shows the concentrate dewatering flow diagram.
During the seventy years of operation at Lucky Friday, regulations concerning worker exposure to dust
and other air borne contaminates have evolved from none to the relatively stringent rules in place today.
Hecla has responded to meet these regulations and is committed to providing a safe work environment.
In the future, more stringent regulations may be imposed. It is not known if these potential changes will
have a material effect on the concentrator operation or concentrate transportation.

--- PAGE 164 ---
Technical Report Summary - February 21, 2022
14-10

Source: Hecla, 2014
Figure 14-5:
Concentrate Dewatering Process Flow Diagram

--- PAGE 165 ---
Technical Report Summary -  February 21, 2022
14-11
14.5 Tailings Dewatering and Disposal
All material entering the mill not reporting to concentrates is processed as final tails. The final tails stream
is sampled as a 12 hour composite for assay. Final tailings produced by the concentrator flotation
processes are handled in two separate ways, backfill and whole tails. First, the tails are classified by a
cluster of cyclones with the coarse fraction (sand) dewatered, filtered, and the resultant sand is mixed
with cement to backfill stopes in the underground mine.
Figure 14-6 shows the sand plant flow diagram.
Whole tails report to the final tails thickener. Overflow of the thickener is reused as process water or sent
to a water treatment plant for discharge while the higher solids underflow is pumped out to a tailings dam
where the solids settle out of the tailings slurry and clear water is discharged via a water treatment plant
into the Coeur d’Alene River. The final tails flowsheet is shown in Figure 14-7.

--- PAGE 166 ---
Technical Report Summary - February 21, 2022
14-12

Source: Hecla, 2014
Figure 14-6:
Tailings Sand Plant Process Flow Diagram

--- PAGE 167 ---
Technical Report Summary - February 21, 2022
14-13

Source: Hecla, 2014
Figure 14-7:
Tailings Water Treatment Process Flow Diagram

--- PAGE 168 ---
14.6 Water Systems
Make up water used in the process can be from the mine, reclaim water from the MTIS, or tailing thickener
overflow depending on availability and system requirements. Lead and zinc concentrate thickener
overflow are used as launder spray water for the respective system.
14.7 Water Treatment Plants
Excess water from the process or the MTIS is treated in one of two water treatment plants. Plant 002,
located near the mill complex has a capacity of 375 gallons-per- minute (gpm). Plant 003, located near the
No. 3 MTIS has a capacity of 750 gpm. The process to treat the water is the same at both plants. Water is
treated with sodium sulfide solution and flocculent to facilitate removal heavy metals and suspended
solids. The water is then processed through a lamella clarifier and the clarifier overflow is pumped through
multi-media filters to remove the solids. The effluent is sampled for regulatory purposes and discharged
as described in Section 17.0.
14.8 Mill Production
A summary of mill production and performance from 2016 through 2021 are presented in Table 14-1.  The
concentrator performed very consistently with steady lead, zinc and silver head grades, lead and zinc
concentrate grades and recoveries through the period.  The mill operated in the 38 stph (839 stpd) to 44
stph (971 stpd) range with a reported mill availability of 92%. Low production from 2017 through 2019
was due to labor issues.
Table 14-1:
Hecla Lucky Friday Mill Production from 2016 through 2021

Hecla Lucky Friday Mill Production

Ore milled, tons
293,875
70,718
17,309
57,091
179,208
321,837
Ag Contained, oz
3,730,620
875,614
186,609
675,280
2,124,369
3,744,719
Ag Feed Grade, oz/ton
12.7
12.4
10.8
11.8
11.9
11.6
Ag Produced, oz
3,596,010
838,658
169,041
632,944
2,031,874
3,564,128
Ag Recovery, %
96.4
95.8
90.6
93.7
95.6
95.2
Ag Payable, oz
3,365,540
781,506
162,546
565,923
1,892,954
3,325,313
Ag Rec, % (Payable)
90.2
89.3
87.1
83.8
89.1
88.8
*Ag Rec to Pb Conc, oz/ton
11.7
11.3
9.8
10.8
10.8
10.7
Ag Rec to Pb Conc, %
91.8
91.7
90.8
91.4
91.4
92.1
Ag Grade in Pb Conc, oz/ton
90.6
93.3
85.7
90.7
89.3
91.6
Pb Feed, tons
22,855
5,022
1,244
4,486
13,423
24,454
Pb Produced, tons
21,876
4,737
1,131
4,098
12,727
23,137
Pb Payable, tons
20,451
4,397
1,063
3,739
11,840
21,500

Technical Report Summary -  February 21, 2022
14-14

--- PAGE 169 ---
Hecla Lucky Friday Mill Production

Pb Concentrate, tons
36,420
8,238
1,790
6,378
20,806
,37,768
Pb Feed Grade, %
7.8
7.1
7.2
7.9
7.5
7.6
Pb Conc Grade, %
60.1
57.5
63.2
64.3
61.2
61.7
*Pb Rec to Pb Conc, %
7.2
6.5
6.6
7.3
6.9
7.0
Pb Rec to Conc, %
95.7
94.3
90.9
91.4
94.8
94.6
Pb Rec to Pb Conc, %
92.4
91.8
91.9
92.5
92.2
92.6
Pb Rec Payable, %
89.5
87.6
85.4
83.4
88.2
87.9
Zn Feed, tons
11,510
2,834

2,428
6,949
11,080
Zn Produced, tons
10,787
2,560

2,052
6,298
9,669
Zn Payable, tons
7,945
1,874

1,510
4,555
7,124
Zn Concentrate, tons
17,530
4,121
1,016
3,467
10,960
16,638
Zn Conc Grade, %
61.5
62.1
66.2
59.2
57.5
51.3
Zn Feed Grade, %
3.9
4.0
4.2
4.3
3.9
3.4
Zn Rec to Conc, %
93.7
90.4
92.7
84.5
90.6
89.9
*Zn Grade to Zn Conc, %
3.1
3.1
3.3
3.4
3.0
2.6
Zn Rec to Zn Conc, %
78.3
78.5
78.9
79.0
78.2
76.3
Zn Rec, Payable, %
69.0
66.1
62.9
62.2
65.5
64.3
*Values are based on established Lucky Friday metal distribution equations.
14.9 Process Workforce
Current processing manpower totals 78 and is summarized as follows:

Plant operations – 39

Mill maintenance/electrical – 21

Mill supervision and technical services – 18

Technical Report Summary -  February 21, 2022
14-15

--- PAGE 170 ---
Technical Report Summary -  February 21, 2022
15-1
15.0 INFRASTRUCTURE
15.1 Access Roads
The Lucky Friday Mine is located immediately north of and adjacent to Interstate Highway 90, one mile
east of Mullan, Idaho.
15.2 Power
Power is supplied to an on-site substation by Avista Utilities at 115 kVA.  Peak electrical demand is
approximately 11 MVA, with on average of 80% used underground, and the remaining 20% on surface.
Underground power is supplied at 13.8 kVA cable in the Silver Shaft.
15.3 Water
The Lucky Friday operation uses approximately 450 gpm of water which is fully supplied by a year-round
spring located above the mine site.
15.4 Accommodation Camp
There is no accommodation facility at the Lucky Friday mine.  Workers are sourced from local
communities.
15.5 Site Infrastructure
Mine surface and underground infrastructure is currently in serviceable condition and is in use. Repairs
and improvements to facilities are included in the mine sustaining capital plan.
Surface infrastructure is shown in Figure 15-1.
15.5.1 Surface Infrastructure
Key Lucky Friday surface plant infrastructure includes the following installations:

1,000 tpd Ag/Pb/Zn flotation concentrator,

Mine operations buildings and shops,

Paste backfill mixing and pumping plant,

Silver Shaft headframe and hoisting complex (primary mine access/intake ventilation),

No. 2 Shaft hoisting facility (secondary escape/exhaust ventilation),

Surface maintenance shop,

Tailings transport and storage facilities,

Two discharge water treatment plants,

Electrical power substations and distribution lines,

Compressed air supply system with a maximum capacity of 13,350 cfm

And extensive surface laydown/parking/storage areas.

--- PAGE 171 ---
Technical Report Summary -  February 21, 2022
15-2
Tailings are stored in the Pond 4 Lift.  Construction of this lift was completed in 2013 and the lift is
projected to be full in October 2023.  Hecla is working on Lift 3 permitting with planned construction in
2022.  Pond 4 Lift 3 is estimated to be full in September 2026. Engineering and design of Pond 5 Lift 1 is
planned for 2023 with construction in 2024-2025.

--- PAGE 172 ---
Technical Report Summary - February 21, 2022
15-0

Figure 15-1:
Infrastructure Layout

--- PAGE 173 ---
Technical Report Summary -  February 21, 2022
16-1
16.0 MARKET STUDIES
The Lucky Friday Mine produces silver contained in silver and zinc flotation concentrates.  Lucky Friday is
an active producer and has been for over 75 years.
16.1 Markets
16.1.1 Overview
Global mined zinc output is approximately 13 million metric tons metal per year, contained in
approximately 25 million metric tons of zinc concentrate.  Global zinc smelting capacity is approximately
14 million metric tons zinc metal per year and includes 1 million to 1.5 million metric tons of capacity to
refine zinc secondary by-products into metal.
Global mined lead output is only approximately 4.6 million metric tons metal per year, contained in
approximately 8 million metric tons of concentrates.  Global lead smelting capacity is significantly higher
at 6.7 million metric tons lead metal and also includes the capability to produce approximately 1 million
metric tons lead metal from scrap and residues.
Hecla produces approximately 53,000 metric tons zinc and 44,000 metric tons lead metal in concentrates
annually at its two mines in Alaska and Idaho.  Hecla’s total output comprises less than 1% of both global
zinc mine capacity and global lead mine capacity.  Because Hecla’s concentrate products also contain
significant amounts of payable gold and silver, they are sought after by smelters who capture additional
value from recovering precious metals through processing and refining zinc and silver concentrates.  The
current market for Hecla concentrate products is both very liquid and very strong, globally.  Hecla’s
primary customer base operates in Korea, Japan, Canada and China.  Its concentrate products have also
been exported to and processed in Mexico, Belgium, Italy, England, Germany and the Netherlands.
Global silver supply is approximately 1 billion ounces with mine production accounting for around 80% of
silver supply. The majority of silver produced is as a by-product of lead, zinc, copper and gold mines.
According to the Silver Institute, lead-zinc mines are the biggest contributors to global silver supply,
accounting for about 32% of silver mine production in 2020. Mexico, China and Peru produce 50% of
world’s silver, while the United States accounts for only 4% of world silver production.
Silver demand is primarily composed of Industrial demand, which accounts for 50% of total silver demand
of 1 billion ounces. Investment demand (physical and exchange traded products) and jewelry and
silverware account for 25% share each respectively. Silver has the highest electrical conductivity of all
metals and this property positions silver as a unique metal for multitude of uses in electronic circuitry in
automotive and electronics. Silver’s use in photovoltaic cells has also seen a rapid expansion in the past 5
years and is expected to be one of the key growth areas in green energy.
Gold supply is approximately 165 Moz, with mine production contributing 75% of gold supply and
recycling accounting for the remaining 25%. In terms of gold demand, jewelry fabrication accounts for
approximately 55% of total demand while Investment in physical bars, coins and Exchange Traded Funds
is at 25% of overall demand. Gold’s use in technology applications was around 11 Moz, or 8% of total
demand in 2021, according to the World Gold Council.  Accommodative fiscal and monetary policies
globally due to COVID-19 lent support to investment demand for gold in 2020 as gold prices reached
record levels in 2020.

--- PAGE 174 ---
Technical Report Summary -  February 21, 2022
16-2
16.1.2 Commodity Price Projections
Metal prices used in the estimation of Mineral Resources and Mineral Reserves are determined by Hecla’s
corporate office in Coeur d’Alene, Idaho, USA.  Lucky Friday Mineral Reserves are estimated using a silver
price of $17.00/oz, lead price of $0.90/lb and a zinc price of $1.15/lb. Mineral Resources are estimated
using a silver price of $31.00/oz, lead price of $1.15/lb and a zinc price of $1.35/lb.  The difference in prices
is the result of a longer historical period used as the basis for the Mineral Resource estimation.
Table 16-1 shows the realized metal prices Hecla has received for sales of its products.
Table 16-1:
Hecla Historical Average Realized Metal Prices

Metal Prices

3 Year Avg.
Silver ($/oz)
16.65
21.15
25.24
21.01
Lead ($/lb)
0.91
0.84
1.03
0.93
Zinc ($/lb)
1.14
1.03
1.44
1.20
Gold ($/oz)
1.413
1,757
1,796
1,655
The economic analysis performed in the LOM plan assumes an average silver price of $21.00/oz, lead price
of $0.95/lb and a zinc price of $1.25/lb based upon analysis of consensus metal price forecasts by financial
institutions.  Based on macroeconomic trends, the SLR QP is of the opinion that Hecla’s realized metal
pricing will remain at least at the current three -year trailing average or above for the next five years.
16.2 Contracts
16.2.1 Concentrate Sales
Concentrates produced at the Lucky Friday mill are transported 209 mi to the Teck lead-zinc smelter in
Trail, British Columbia, Canada in highway trucks operated by a contract shipper. The shipping contract
commenced in 2017 and was amended in July 2021 to increase rates and to incorporate a bonus for drivers
based upon safe performance and absence of traffic violations. Shipping rates are considered to be
competitive and within industry norms.
Hecla has a frame contract with Teck that is dated January 1, 2021. The sales contract is commingled with
the smelting/refining agreement, as Hecla sells 100% of Lucky Friday production to the smelter. No
concentrate brokers are used, though representatives and umpires provide settlement assistance services
from time to time. Treatment costs and refining costs vary depending on the concentrate type.
16.2.2 Forward Sales
Hecla uses financially-settled forward contracts to manage the exposure to:

changes in prices of silver, gold, zinc and lead contained in our concentrate shipments between
the time of shipment and final settlement; and

changes in prices of zinc and lead (but not silver and gold) contained in our forecasted future
concentrate shipments.

--- PAGE 175 ---
These forward contracts are not designated as hedges for accounting purposes.  At the time of this TRS,
the forward contracts in place cover the period to the end of the first quarter of 2024 for lead and to the
end of 2024 for zinc.  The contracts are summarized in Table 16-2.
Table 16-2:
Lead and Zinc Forward Sales Summary

Unit
Total / LOM

Lead
Hedged
tons
44,427
19,650
23,150
1,626
% of LOM payable Pb

11%
64%
67%
5%
Hedge price
US$/lb
0.99
0.98
1.00
0.97
Zinc
Hedged
tons
14,334
4,785
5,715
3,833
% of LOM payable Zn

11%
58%
70%
42%
Hedge price
US$/lb
1.30
1.30
1.30
1.31
16.2.3 Other Contracts
Hecla crews perform all mining and milling duties with the exception of specialty construction. For these
project-oriented efforts, contractors with particular expertise relating to the work being done are retained
to do the work. In some cases, these are design-build contracts, in others, purely construction. Hecla also
contracts with various consultancies and engineering firms for studies and design work as needed to
augment the skills of the in-house staff.

Technical Report Summary -  February 21, 2022
16-3

--- PAGE 176 ---
Technical Report Summary -  February 21, 2022
17-1
17.0 ENVIRONMENTAL STUDIES, PERMITTING, AND PLANS,
NEGOTIATIONS, OR AGREEMENTS WITH LOCAL
INDIVIDUALS OR GROUPS
Lucky Friday has a well-established and effective environmental and permitting management program.
Staff is knowledgeable and experienced in site and regulatory requirements.  Budgets are reasonable and
there were no critical path permitting items referenced that would limit production.  A
reclamation/closure plan and estimates to perform this activity are in place.  The budgets and staffing to
perform required programs are adequate and indicative of activities and responsibilities.
17.1 Environmental Studies and Monitoring
Unlike many other mines and jurisdictions in the US, activities and facilities at the Lucky Friday operations
predate the requirement for establishment of environmental baseline(s).  Regardless, there are still
monitoring programs in place to assess compliance with permits and standards.
Lucky Friday reports experiencing a number of alleged permit exceedances for water discharges (NPDES
and MSGP) at the mine.  Lucky Friday received an EPA Notice of Violation for non-compliance with the
NPDES Permit and various unpermitted discharges exceeding the maximum daily standard for lead (50
μg/L). In all instances, Lucky Friday has worked cooperatively with EPA to resolve these issue(s).
Lucky Friday falls under Hecla’s Environmental Management System (EMS) which follows a 13-element
plan-do-check-act approach that ensures continuous improvement around issues including obligation
registers, management of change, air quality, water and waste management, energy management,
training, and reporting. This system promotes a culture of environmental awareness and innovation
throughout the company. The EMS program is benchmarked against ISO-14001 and complements
Canada’s Towards Sustainable Mining (TSM) program.
Internal and external audits are performed to assess compliance with corporate, permit, regulatory and
industry requirements.  Findings are documented and tracked.
17.2 Permitting
Permitting Operations at the Lucky Friday fall within the purview of numerous entities (regulatory and
non-regulatory), including state and federal environmental agencies that require oversight, registration,
and/or notification prior to initiating or significantly modifying facilities and operations at the mine. All
necessary registrations, authorizations and permits required for operations to date, and for continued
operation of this facility, are in place. Although some permits have expired or are set to expire, renewal
applications are filed with the appropriate agency in each case or other measures were taken, as
necessary, to administratively extend the prior conditions until such time as a renewed permit or
additional authorization to utilize is issued.
Listed below in Table 17-1 are the permits that Lucky Friday has in place.

--- PAGE 177 ---
Table 17-1: Perm
Hecla Mining Compan
Type of
Reference # Agency
Approval/Permit
Certificate of
IDR053139 USEPA
Authorization
*Authorization to
ID-000017-5 USEPA
Discharge
DOT HazMat
052912002005U USDOT
Registration
General Registration ID000390 IDWR/USAC
General Registration ID000728 IDWR/USAC
Certificate of
94-xx20 IDWR
Approval
Certificate of
94-xx25 IDWR
Approval
PWS ID No. 1400028 IDEQ
Operating Permit 731-10-000113 Idaho Fish & G
Waste Generator’s
IDD009424862 USEPA
Status
Lucky Friday is evaluating alternatives and designs
for copper. Currently, Lucky Friday is piloting two
the final Biotic Ligand Model (BLM) based copper e
NPDES Permit. The BLM based limits are significant
the expired permit. The Permit explains the differenc
when the BLM was introduced to the State’s water q
Lucky Friday is evaluating two types of treatment: 1) i
indicate that copper is primarily in the colloidal phas
PTB-50. It is understood that both treatment options
and efficiency.
In addition to the above efforts to test advanced w
working on collecting site specific data to re-run the B
revise the final permit limits which are effective after
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.
Technical Report Summary - February 21, 2022 17
mits and Authorizations
ny – Lucky Friday Mine
Purpose Date of Approval
Authorization to utilize
9/29/2008
Nationwide MSGP
NPDES Wastewater Discharge
9/14/2003
for Outfalls 001, 002, 003
Registration for Category E
5/30/2012
Material Shipper
ID used to identify MTIS #3 in
COE N/A
National Dam Inventory
ID used to identify MTIS #4 in
COE N/A
National Dam Inventory
IDWR Issued Cert. of Approval
to impound water and tails in 8/27/2020
MTIS #3
IDWR Issued Cert. of Approval
to impound water and tails in 8/27/2020
MTIS #4
IDEQ designation of PWS
2/6/1995
System operation
Permit to Operate Private Fish
Game 6/21/2010
Pond
Majority of time Lucky Friday
is a CESQG. However,
N/A
periodic projects may trigger
status as a SQG
s for meeting a proposed new discharge standard
types of advanced treatment technologies to reach
effluent limits in the most recent updated individual
tly lower than the previous hardness-based limits in
ce of BLM and hardness-based effluents and how and
quality standards.
ion exchange and 2) ultra-filtration. Sampling to date
se especially after treatment with the organo-sulfide
s are viable, and Luck Friday is testing both for efficacy
water treatment technologies, Lucky Friday has been
BLM and Dissolved Metal Translator in an attempt to
r a five-year compliance window.
.00022
7-2
[TABLE]
 | piloting two types of advanced treatment technologies to reach
the final Biotic Ligand Model (BLM) based copper effluent limits in the most recent updated individual |
NPDES Permit. The BLM based limits are significantly lower than the previous hardness-based limits in |
the expired permit. The Permit explains the difference of BLM and hardness-based effluents and how and |
when the BLM was introduced to the State’s water quality standards. |

[TABLE]
Lucky Friday is evaluating two types of treatment: 1) ion exchange and 2) ultra-filtration. Sampling to date
indicate that copper is primarily in the colloidal phase especially after treatment with the organo-sulfide
PTB-50. It is understood that both treatment options are viable, and Luck Friday is testing both for efficacy
and efficiency.

[TABLE]
In addition to the above efforts to test advanced water treatment technologies, Lucky Friday has been
working on collecting site specific data to re-run the BLM and Dissolved Metal Translator in an attempt to
revise the final permit limits which are effective after a five-year compliance window.

--- PAGE 178 ---
17.2.1 Site Monitoring
Lucky Friday operates through permission granted by multiple permits, which are summarized in Table
17-1. The permits contain requirements for site monitoring including air, water, waste, and land aspects
of the Property. The permit-required data are maintained by the facility, and exceptions to the monitoring
obligations are reportable to the permitting authority. Monitoring is conducted in compliance with permit
requirements, and management plans are developed as needed to outline protocols and mitigation
strategies for specific components or activities.
17.2.2 Water
The mine has operated under an EPA issued NPDES Permit regulating the point source discharges from
three existing process water outfalls (Outfall 001, Outfall 002, and Outfall 003) since 1973.
The Property maintains a single authorization to utilize the MSGP issued by the EPA. This currently active
authorization is applicable to discharges of stormwater runoff from all areas of the mine including
development rock stockpiles, support facilities, access roads, and nearby borrow pit developed to
supplement materials used to construct impoundment structure embankments.
17.2.3 Hazardous Materials, Hazardous Waste, and Solid Waste Management
Lucky Friday manages its hazardous materials, hazardous wastes and solid wastes in accordance and
compliance with issued permits and applicable regulatory requirements.
17.2.4 Tailings Disposal, Mine Overburden, and Waste Rock Stockpiles
All mine waste rock is eventually used for construction of tailings impoundments. The volume
requirement for the impoundment structures far exceeds the volume of waste rock that the mine
produces and additional material is added from on-site borrow pits and off-site quarries, as needed. Pond
construction is an annual activity occurring during the late spring/summer/fall construction season. Plans
going forward have construction activity in progress through the end of the mine life. All waste produced
by the mine is expected to be consumed in this fashion. MTIS No. 4 is equipped with a gravel blanket and
toe drain system located in the foundation of the dam. This feature is designed to intercept meteoric
waters which infiltrate into the embankment and transport it to the water treatment plants.
Before being used in impoundment construction, mine waste rock is temporarily stored in two areas: the
mine waste dump located near the Silver Shaft and the Silver Mountain storage area that is situated
between the mine and the tailings impoundment area. Waste is dumped on surface until the waste dump
is full, and then trucked either to the impoundment construction area or temporarily stockpiled. Excess
waste is temporarily stored at the Silver Mountain storage area until it can be incorporated into the
impoundment structure. This process addresses fluctuations in impoundment construction material
demand.
17.3 Reclamation and Closure
The strategy of the Lucky Friday Reclamation and Closure Plan is to return disturbed areas to either a nearnatural condition, or condition amenable to future industrial use depending on location and potential
future beneficial use options. Individual areas have been assessed for future value added to the City of
Mullan and surrounding area. Key buildings and land will be retained for long-term water treatment.
Provisions for operational support during the post-closure period are included in the cost estimate.
Hecla Mining Company | Lucky Friday Mine, SLR Project No: 101.00632.00022
Technical Report Summary - February 21, 2022 17-3
[TABLE]
 | . The permits contain requirements for site monitoring including air, water, waste, and land aspects
of the Property. The permit-required data are maintained by the facility, and exceptions to the monitoring |
obligations are reportable to the permitting authority. Monitoring is conducted in compliance with permit |
requirements, and management plans are developed as needed to outline protocols and mitigation |
strategies for specific components or activities. |

[TABLE]
The mine has operated under an EPA issued NPDES Permit regulating the point source discharges from
three existing process water outfalls (Outfall 001, Outfall 002, and Outfall 003) since 1973.

[TABLE]
The Property maintains a single authorization to utilize the MSGP issued by the EPA. This currently active
authorization is applicable to discharges of stormwater runoff from all areas of the mine including
development rock stockpiles, support facilities, access roads, and nearby borrow pit developed to
supplement materials used to construct impoundment structure embankments.

[TABLE]
Lucky Friday manages its hazardous materials, hazardous wastes and solid wastes in accordance and
compliance with issued permits and applicable regulatory requirements.

[TABLE]
All mine waste rock is eventually used for construction of tailings impoundments. The volume
requirement for the impoundment structures far exceeds the volume of waste rock that the mine
produces and additional material is added from on-site borrow pits and off-site quarries, as needed. Pond
construction is an annual activity occurring during the late spring/summer/fall construction season. Plans
going forward have construction activity in progress through the end of the mine life. All waste produced
by the mine is expected to be consumed in this fashion. MTIS No. 4 is equipped with a gravel blanket and
toe drain system located in the foundation of the dam. This feature is designed to intercept meteoric
waters which infiltrate into the embankment and transport it to the water treatment plants.

[TABLE]
Before being used in impoundment construction, mine waste rock is temporarily stored in two areas: the
mine waste dump located near the Silver Shaft and the Silver Mountain storage area that is situated
between the mine and the tailings impoundment area. Waste is dumped on surface until the waste dump
is full, and then trucked either to the impoundment construction area or temporarily stockpiled. Excess
waste is temporarily stored at the Silver Mountain storage area until it can be incorporated into the
impoundment structure. This process addresses fluctuations in impoundment construction material
demand.

--- PAGE 179 ---
Technical Report Summary -  February 21, 2022
17-4
17.3.1 Reclamation and Permit Requirements
The State of Idaho currently requires reclamation of Mine Tailings Impoundment Structures (MTIS). Those
structures are regulated by State-Specific regulations and by Idaho Department of Water Resources
(IDWR). IDWR require MTISs to be “abandoned” (i.e., limited reclamation) in a stable and maintenance
free condition as defined by Idaho Administrative Procedures Act (IDAPA) 37.03.05 (Rule 45), for which
these structures are bonded (IDAPA 37.03.05, Rule 40). The abandonment and reclamation of MTIS 1 and
2 (per IDWR requirements) was completed in 2013 and 2012, respectively.
Lucky Friday is situated completely on privately owned ground. In 2019, the Idaho Department of Lands
(IDL) adopted the temporary rule (IDAPA 20.03.02) which was intended to prevent new or expanded
underground mines from becoming public hazards if they are abandoned. A recently approved (July 1st,
2021) Idaho rulemaking (IDAPA 20.03.02) requires underground mines which existed prior to July 1, 2019,
to develop a reclamation plan if the mine expands its surface disturbance by 50% or more after that date.
The final rule requires State approval of a reclamation application that will include total reclamation cost
financial assurances, planned reclamation of disturbed sites, and a water management plan for
underground mines that expand their surface disturbance by 50% or more.
SLR notes that the final rule does not apply to underground mines that existed prior to July 1, 2019, and
have not expanded their surface disturbance by 50% or more after that date.  Currently, Lucky Friday has
no plans to expand the site that will reach the relevant threshold.
17.3.2 Reclamation and Closure Cost
The Lucky Friday operation has developed a Closure, Reclamation, Post-Closure, and Cost Estimate Plan
(Plan).  This Plan is intended to satisfy three distinct objectives:
1. Return surface disturbed areas to a stable and productive condition following mining;
2. Provide for public safety; and,
3. Protect long-term land, water and air resources in the area.
The most recent version of the Plan was updated in 2020 and utilized the 2021 LOM plan to estimate the
schedule for post closure activities. The updated 2021 LOM plan has forecasted production to 2035. Major
closure and reclamation activities are assumed to begin the year following the cessation of production
(2037) and last for approximately three years. Post-Closure activities primarily consist of long-term water
treatment and monitoring immediately following closure and extending for a period of 30 years.
The most recent cost estimate (2021) to meet these objectives of the current plan is $39,869,900.
Reclamation and closure plans have been submitted to the appropriate agencies.  Asset Retirement
Obligation (ARO) legal obligations are updated regularly and based upon existing site conditions, current
laws, regulations and costs to perform the permitted activities. The ARO is to be conducted in accordance
with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 410.
Finally, it is noted that Lucky Friday has developed a Reclamation/Closure plan that addresses facilities
and activities even when there is no specific regulatory requirement to do so.
17.4 Social Governance
The Lucky Friday operation has been investing in the region for many decades, including direct
employment and contributions to state and local taxes. SLR is not aware of any formal commitments to

--- PAGE 180 ---
Technical Report Summary -  February 21, 2022
17-5
local procurement and hiring but Lucky Friday has indicated they have long-standing relationships with
local vendors, and where possible also purchase through local and regional services and supplies.
Lucky Friday looks for opportunities to work collaboratively with stakeholders to support activities that
are of benefit to the communities in which the company operates.
SLR was not able to independently verify adequacy of management of social issues and though no specific
adversarial issues were raised, it was relayed by staff that Lucky Friday, in most cases, has a positive
relationship with stakeholders.  In the event of a complaint, Lucky Friday works directly with affected
community member(s) to develop a mutually acceptable resolution.
Public affairs representatives from Lucky Friday formally engage with the community on an ongoing basis
and serve as the face of the company. They sit on boards of community and business organizations at
regional and local levels, participate in discussions with government officials, and act as a point of contact
within the community. In doing so, they keep stakeholders apprised of critical issues to the operations,
understand important topics in the community, and seek to listen to any questions or concerns. Lucky
Friday indicated that this strategy allows them to maintain an ongoing relationship with stakeholders and
collaborate with communities to find solutions should any issues arise.

--- PAGE 181 ---
18.0 CAPITAL AND OPERATING COSTS
Hecla’s forecasted capital and operating costs estimates are derived from annual budgets and historical
actuals over the long life of the current operation.  According to the American Association of Cost
Engineers (AACE) International, these estimates would be classified as Class 1 with an accuracy range of
3% to -10% to +3% to +15%, albeit with some variances to be expected in near term with the operation
coming back to full production after the recent labor strike.
18.1 Capital Costs
The Lucky Friday Mine is in operation and there is no pre-production capital.  The capital is summarized
in Table 18-1.
Table 18-1:
Capital Cost Summary

Year

27 to 38
($ millions)
Year 1
Year 2
Year 3
Year 4
Year 5
(Years 6 to 13)
Total
Drilling
27.0
3.0
3.0
3.0
3.0
2.0
13.0
Major Projects
75.0
24.0
5.0
12.0
7.0
3.0
24.0
Ore processing
13.0
2.0
7.0
3.0
0.0
1.0
0.0
Mobile Equipment
41.0
5.0
8.0
7.0
2.0
2.0
17.0
Mine Development
200.0
14.0
11.0
21.0
23.0
16.0
115.0
Mine infrastructure
16.0
3.0
6.0
3.0
1.0
2.0
1.0
Total
372.0
51.0
40.0
49.0
36.0
26.0
170.0
The major elements of the capital plant include:

Development $135 million
o Four accesses to support mining in 30 Vein
o Delays or reduction may result in shortfalls in meeting the production plan

#2 Shaft Renovation $28 million
o Pipe and timber replacements to meet regulatory requirements as this shaft provides the
second egress and exhaust ventilation way.

Pre-production drilling $28 million
o Pre-production drilling for areas to be mined and to guide the 7500 level mine development.
o The drilling is expected to increase the confidence in the mine plan and to reduce unplanned
dilution.

Construction $26 million
o Construction of facilities to support production on 6500 and 7500 levels including shops
warehouse areas, air coolers and more.

Technical Report Summary -  February 21, 2022
18-1

--- PAGE 182 ---
Technical Report Summary -  February 21, 2022
18-2

Pond 4 and Pond 5 tailings storage facility (TSF) $32 million
o Design, engineering and construction of ponds 4 and 5.

Silver shaft service hoist $8 million
o Installation of conveyance for men and materials, hoist replacement and improvements to
hoisting capacity.
The capital estimates have been prepared by mine personnel and contractors.  The capital programs will
be managed by the mine personnel.  Contingency is not included in the capital estimates.
The SLR QP considers the capital plan to be appropriate for the mine.  Delays in a number of the projects
may reduce the ability to achieve the LOM plan and certain items such as maintaining the second access
and ensuring sufficient tailings storage are critical to the continued operation.
Working capital costs, composed of accounts receivable, accounts payable, and product and supply
inventories, are included in the mine cash flow and net to zero over the LOM.  Accounts receivable
balances fluctuate based upon period-end sale amounts and the average duration of time between
shipments and receipt of payment.  Accounts payable vary over time based upon the average portion of
a period’s expenditures that are typically unpaid at the end of the period.  Inventory values fluctuate
based upon the estimated quantities of product produced and the average duration of time between
production and sale of products.  Depending on the assumptions in the LOM, the working capital variation
at the end of the mine life can be positive or negative.  In the case of the Lucky Friday Mine, Hecla expects
the end-of-life accounts payable to be greater than the other working capital items, such that an
estimated $4.3 million cost to draw down working capital to zero will be incurred.
18.2 Operating Costs
18.2.1 Operating Cost History
The operating costs for the mine for the period 2016 to October 2021 YTD are summarized in Table 18-2.
Unit costs are not shown for 2017 through 2019 as the mine was not in full operation.  Furthermore, the
2020 costs reflect a restart period as operations were restarted in January 2020.
Table 18-2:
2016 to 2021 Operating Cost Data

Units

Production Costs

Mining
$ millions
22.4
6.0
3.2
3.5
17.3
27.3
Concentrator
$ millions
5.4
2.9
1.6
1.0
5.0
7.3
Maintenance
$ millions
11.5
7.4
4.7
3.4
16.1
17.2
General Plant
$ millions
14.4
11.9
8.6
10.5
10.4
11.2
Profit sharing
$ millions
6.3
1.3

0.8
3.5
Total
$ millions
60.0
29.5
18.1
18.4
49.6
66.5

Cost per ton milled

--- PAGE 183 ---
Units

Mining
$/ton
76.46
n/a
n/a
n/a
96.97
84.80
Concentrator
$/ton
18.20
n/a
n/a
n/a
27.76
22.68
Maintenance
$/ton
39.22
n/a
n/a
n/a
89.59
53.43
General Plant
$/ton
48.89
n/a
n/a
n/a
57.89
34.79
Profit sharing
$/ton
21.54
n/a
n/a
n/a
4.46
10.87
Total
$/ton
204.31
n/a
n/a
n/a
276.68
206.57
18.2.2 Operating Cost Estimate
The forecasted LOM operating costs totaling $187.81/t milled are summarized in Table 18-3.
Table 18-3:
Operating Cost Summary

Item
Units
Total

2026 to

Production Costs
Mining (Underground)
$ millions
415.3
29.3
32.0
29.9
29.2
294.8
Processing
$ millions
117.5
8.7
8.9
8.2
7.8
83.9
Maintenance
$ millions
269.9
20.3
20.6
19.9
18.2
190.9
G&A
$ millions
182.7
13.4
13.1
11.9
11.2
133.2
Profit share
$ millions
39.4
2.9
3.0
2.8
2.7
28.1
Total
$ millions
1,024.7
74.5
77.6
72.7
69.0
731.0
Cost per ton milled
Mining (Underground)
$/ton
76.11
 86.11
 78.32
 74.27
 73.57
 75.45
Processing
$/ton
21.54
 25.44
 21.88
 20.42
 19.63
 21.47
Maintenance
$/ton
49.46
 59.67
 50.39
 49.35
 45.76
 48.86
G&A
$/ton
33.48
 39.22
 31.94
 29.56
 28.06
 34.10
Profit share
$/ton
7.22
 8.42
 7.30
 6.94
 6.68
 7.20
Total
$/ton
187.81
 218.86
 189.84
 180.54
 173.69
 187.08
18.2.3 Workforce Summary
The current Lucky Friday workforce totals 362 persons as of January 2022.  The breakdown by department
is shown in Table 18-4 consisting of 86 salaried and 276 hourly employees, of which the majority of the
hourly employees have the United Steelworkers, Paper and Forestry, Rubber, Manufacturing, Energy,

Technical Report Summary -  February 21, 2022
18-3

--- PAGE 184 ---
Allied Industrial, and Service Workers International Union as their bargaining agent as of December 31,
2021.
Table 18-4:
Current Manpower

Hourly FTE
Salary FTE
Total
Mine

Plant

Maintenance

G&A

Total

The Lucky Friday full time equivalent (FTE) workforce for 2020, 2021, and the LOM plan is summarized in
Table 18-5. The 2020 workforce levels reflect the start-up of the mine after the strike.
Table 18-5:
LOM Manpower Levels

Hourly FTE
Salary FTE
Total
2020 Actual

2021 Actual

2024 – 2035

SLR notes that in terms of tonnage (ore plus waste) mined per day, the 2022 performance requires a 15%
increase in productivity compared to the 2021 performance.  The SLR QP is of the opinion that if the
productivity does not increase it will be necessary to increase the number of employees.  This may be a
difficult task considering the skilled nature of the work and the worldwide demand for skilled personnel.
SLR considers the required increase in productivity to pose a potential risk to meeting the LOM plan.

Technical Report Summary -  February 21, 2022
18-4

--- PAGE 185 ---
Technical Report Summary -  February 21, 2022
19-1
19.0 ECONOMIC ANALYSIS
19.1 Economic Criteria
An after-tax Cash Flow Projection has been generated from the LOM production schedule and capital and
operating cost estimates, and is summarized in Table 19-2.  A summary of the key criteria is provided
below.
19.1.1 Physicals

Total mill feed processed: 5.5 Mst

Average processing rate: 892 stpd with following production profile (Table 19-1).
Table 19-1:
Production Summary

Commodity
Head Grade
% Recovery
Recovered
Metal
Annual
Production
Payable
Metal
Silver
13.7 oz/ton
96.4
72.0 Moz
4.2 Moz
67.4 Moz
Lead
8.3%
95.7
866 Mlb
51 Mlb
811 Mlb
Zinc
3.3%
93.7
340 Mlb
20 Mlb
251 Mlb
19.1.2 Revenue

Metal prices used in the economic analysis are constant US$21/oz Ag, US$0.95/lb Pb, and
US$1.25/lb Zn.

Revenue is calculated assuming the above metal price forecast and incorporates a $1.8 million
hedge gain for lead and zinc over the first three years of cash flow.

Average LOM concentrate freight cost: $47/wet ton Cost, Insurance, and Freight (CIF) basis to
customer’s discharge points.

Average LOM treatment charge: $139/dmt silver concentrate plus $3.90/dmt for antimony
penalty, $162/dmt zinc concentrate, and $8.70/dmt for iron and mercury penalties.

Average LOM refining costs for concentrates: $0.10/dmt.
19.1.3 Capital and Operating Costs

Mine life of 17 years

LOM sustaining capital costs of $372 million

LOM site operating cost of $187.81/ton milled (excludes financing and corporate overhead costs)

LOM closure/reclamation $38.7 million in year after final production
19.1.4 Taxation and Royalties
Mining companies doing business in Idaho are primarily subject to U.S. corporate income tax, Idaho State
income tax and Idaho Mining License tax. The State of Idaho levies a mining license tax on mining net

--- PAGE 186 ---
Technical Report Summary -  February 21, 2022
19-2
income received in connection with mining properties and activities in Idaho, at a rate of 7%. The U.S.
corporate income tax rate is 21% and the Idaho state income tax rate is 6.5%.
No income tax is anticipated to be payable over the LOM. Hecla will use a combination of existing and
forecasted depreciation expense, allocation of expenses from other entities within the consolidated tax
group, percentage depletion allowances, and existing net operating losses to generate zero annual taxable
income through the LOM.  However, the Lucky Friday Mine will still incur $4 million for Idaho state mining
taxes during the LOM.
The current production zones in the LOM are not subject to any royalty to a third party/previous
landowner.
19.2 Cash Flow Analysis
SLR has reviewed Hecla’s Lucky Friday Reserves only model and has prepared its own unlevered after-tax
LOM cash flow model based on the information contained in this TRS to confirm the physical and
economic parameters of the mine.
The Lucky Friday economics have been evaluated using the discounted cash flow method by considering
annual processed tonnages and grade of ore.  The associated process recovery, metal prices, operating
costs, refining and transportation charges, and sustaining capital expenditures were also considered.
The indicative economic analysis results, presented in Table 19-2 with no allowance for inflation, show a
pre-tax and after-tax NPV, using a 5% discount rate, of $557 million and $554 million, respectively.  The
SLR QP is of the opinion that a 5% discount/hurdle rate for after-tax cash flow discounting of long lived
precious/base metal operations in a politically stable region is reasonable and appropriate and commonly
used.  For this cash flow analysis, the internal rate of return (IRR) and payback are not applicable as there
is no negative initial cash flow (no initial investment to be recovered) since Lucky Friday has been in
operation for a number of years.

--- PAGE 187 ---
Technical Report Summary - February 21, 2022
19-3
Table 19-2:
After-Tax Cash Flow Summary

--- PAGE 188 ---
Technical Report Summary - February 21, 2022
19-4

--- PAGE 189 ---
Technical Report Summary -  February 21, 2022
19-5
19.3 Sensitivity Analysis
The Project’s after-tax cumulative cash flow discounted at 5% from the model presented above were
analyzed for sensitivity to variations in revenue, operating, and capital cost assumptions.
Positive and negative variations were applied independently to each of the following parameters:

Metal grades

Metal recoveries

Metal prices

Operating costs

Capital costs
Table 19-3 shows the sensitivity cases analyzed, which are shown in the chart in Figure 19-1. Because of
the Project’s 30-year operating history, values for capital and operating costs, metal recoveries, and metal
grades are well understood.  Therefore, these parameters were flexed over a smaller range compared to
metal prices, which are more volatile and were evaluated over a wider range of sensitivity.

--- PAGE 190 ---
Table 19-3:
Sensitivity Analysis Summary

Variance From Base Case
Head Grade
(oz/ton Ag)
NPV at 5%
(US$ M)
0.90
12.3

0.95
13.0

1.00
13.7

1.05
14.4

1.10
15.1

Variance From Base Case
Recovery
(% Ag)
NPV at 5%
(US$ M)
0.90
86.8

0.95
91.6

1.00
96.4

1.05
101.2

1.10
106.0

Variance From Base Case
Metal Prices
(US$/oz Ag)
NPV at 5%
(US$ M)
0.80
16.80

0.90
18.90

1.00
21.00

1.10
23.10

1.20
25.20

Variance From Base Case
Operating Costs
(US$/t milled)
NPV at 5%
(US$ M)
0.90
169.03

0.95
178.42

1.00
187.81

1.08
201.90

1.15
215.98

Variance From Base Case
Capital Costs
(US$ M)
NPV at 5%
(US$ M)
0.90

0.95

1.00

1.08

1.15

Technical Report Summary -  February 21, 2022
19-6

--- PAGE 191 ---
Technical Report Summary -  February 21, 2022
19-7

Figure 19-1:
After-tax NPV at 5% Sensitivity Analysis
The results of the sensitivity analysis demonstrate that the Mineral Reserve estimates are most sensitive
to variations in metal prices, less sensitive to changes in metal grades and recoveries, and least sensitive
to fluctuations in operating and capital costs.

--- PAGE 192 ---
Technical Report Summary -  February 21, 2022
20-1
20.0 ADJACENT PROPERTIES
There are several lead-zinc-silver mines in the Silver Valley mining district in Idaho.  The Mineral Resource
and Mineral Reserves stated in this TRS are contained entirely within Hecla’s mineral leases, and
information from any other operations was not used in this TRS.

--- PAGE 193 ---
Technical Report Summary -  February 21, 2022
21-1
21.0 OTHER RELEVANT DATA AND INFORMATION
No additional information or explanation is necessary to make this TRS understandable and not
misleading.

--- PAGE 194 ---
Technical Report Summary -  February 21, 2022
22-1
22.0 INTERPRETATION AND CONCLUSIONS
SLR offers the following conclusions by area.
22.1 Geology and Mineral Resources

As prepared by Hecla and reviewed and accepted by SLR, the Lucky Friday Measured and Indicated
Mineral Resources are estimated to total approximately 10.50 Mst at an average grade of
approximately 7.6 oz/ton Ag, 4.9% Pb, and 2.5% Zn.  Inferred Mineral Resources are estimated at
approximately 5.38 Mst at an average grade of approximately 7.8 oz/ton Ag, 5.8% Pb, and 2.4%
Zn.  All Mineral Resources are effective as of December 31, 2021 and are stated exclusive of
Mineral Reserves.

The drilling, core handling, logging, and sampling at Lucky Friday is being conducted according to
common industry practice, in a manner appropriate for the deposit type and mineralization style.

The chip sampling practices at the site are reasonable, appropriate for the mineralization style,
and consistent with common industry practice.

Bulk density estimates are conducted in a reasonable fashion, using an appropriate method.

Samples are handled and transported securely and only in the custody of Hecla employees or
bonded carriers.

The assay QA/QC protocols in place at Lucky Friday are rigorous, and the results to date are
satisfactory.

The sampling is done such that the samples are representative of the mineralized bodies. There
are no concerns apparent with the assay results and they are suitable for use in a Mineral
Resource estimate.

The databases are managed in a secure environment, using conventional off-the-shelf software
packages that are up-to-date and appropriate for the tasks to which they are applied.  The staff
are competent, well-trained, and experienced and they have been provided with clear and
reasonable protocols to follow.

The database on which resource estimation is based is properly configured and maintained and is
appropriate for use in estimation of Mineral Resources and Mineral Reserves.

The wireframe models for the veins are reasonable and representative of the host structures.
Minor inconsistencies exist but are not considered to be a serious concern, and will be resolved
with additional work.

The sample grade distributions for silver, lead, and zinc are observed to be positively skewed
which could result in biases in the block interpolations unless corrective measures are taken.
Capping is currently being employed at Lucky Friday and this is viewed as appropriate.

There is evidence of sub-populations within the grade distributions for several veins. Additional
work may be warranted to identify and isolate these sub-populations if possible.

Compositing of the samples is carried out in a reasonable fashion.

The block model is configured appropriately and constructed with off-the-shelf software that is
commonly used in the industry.

The grade interpolations were conducted in a reasonable manner consistent with common
practice using an appropriate estimation algorithm commonly used within the industry.

--- PAGE 195 ---
Technical Report Summary -  February 21, 2022
22-2

The Mineral Resources are classified according to the CRIRSCO definitions and, as such, are
consistent with the requirements of S-K 1300.

The method used to apply the classification is broadly consistent with common industry practice,
although the resulting categorizations appear somewhat aggressive for Measured.

The NSR cut-off value is a reasonable approach which has been applied in an appropriate manner.

The validation methods used at Lucky Friday are appropriate, although they represent a fairly
minimum standard of review.

The stope optimization and reporting procedures are generally reasonable.

The Mineral Resource estimate for Lucky Friday has been carried out in a reasonable fashion,
consistent with conventional, although somewhat dated, industry practice.
22.2 Mining and Mineral Reserves

Mineral Reserve estimates, as prepared by Hecla and reviewed and accepted by SLR, have been
classified in accordance with the definitions for Mineral Reserves in S-K 1300.  Mineral Reserves
as of December 31, 2021 total 5.46 Mst grading 13.7 oz/ton Ag, 8.3% Pb, and 3.3% Zn and
containing 74.7 Moz of silver, 452,000 tons of lead and 181,000 tons of zinc at an NSR cut-off
value of US$208/ton.

Measured and Indicated Mineral Resources were converted to Proven and Probable Mineral
Reserves, respectively, through the application of modifying factors.  Inferred Mineral Resources
were not converted to Mineral Reserves.

The Mineral Reserves are all located within the Gold Hunter deposit in seven separate veins.  The
30 Vein is the most significant with 68% of the Mineral Reserve tonnage and 70% of the contained
silver.

Mineral Reserves are estimated by qualified professionals using modern mine planning software
in a manner consistent with industry practice.

Lucky Friday is an old, well established mine with many years of operating experience, providing
the necessary expertise to safely and economically extract the Mineral Reserves.

Mining at Lucky Friday utilizes mechanized underhand cut and fill, and UCB with cemented paste
backfill.  In this method, the mining progresses downwards in a stope, occurring beneath the
cemented paste backfill of the preceding lift.  The mining methods used are appropriate to the
deposit style, depth and geotechnical conditions and employ a range of modern mining
equipment;

The mine developed the UCB method for bulk mining of the 30 Vein.  This method is designed to
improve safety through the management of seismic events and to increase productivity. The UCB
method is a bulk mining method which utilizes 27 ft deep blastholes with ore mucked in 11.5 ft
benches.

The current Mineral Reserve estimate is based on the use of UCB mining for the majority of the
deposit and represents a change from previous mining methods and Mineral Reserve estimates.

Over the past nine years, the mine production silver grade has been less than the Mineral Reserve
grade estimate, indicating a poor correlation with production data.

--- PAGE 196 ---
Technical Report Summary -  February 21, 2022
22-3

Stopes in the mine are relatively narrow with an eleven foot minimum mining width in the 30 Vein
above the 7500 level, nine foot minimum width below the 7500 level, and eight foot minimum
width in the Intermediate Veins.

Stopes are diluted to the greater of the ore width or the minimum mining width.  This dilution is
assigned background metal grades based upon the block model estimates.  Subsequently, the
stopes are diluted by a further 15% for UCB stopes and 5% for cut and fill stopes with zero grade
unplanned dilution.

SLR is of the opinion that the 15% dilution estimate in the UCB mining is a potentially optimistic
estimate considering the short time that the method has been in use, the impact of vein deviation
over the 27 ft cut depth, the use of infill drill information as opposed to face by face mapping,
changes in the vein along strike and dip, and potential overbreak from blasting.

The 30 Vein Mineral Reserve includes internal low grade and waste blocks that do not meet the
cut-off grade criteria but are included as the material must be mined considering the stope
geometry and seismicity.

The planned use of UCB mining at a nine foot minimum width (30 Vein at depth) is not based upon
detailed layouts and represents potential risks related to production capacity and dilution
estimates at depth.

Extraction for all mining methods is assumed to be 100%.

SLR verified that Hecla’s selected metal prices for estimating Mineral Reserves are consistent with
independent forecasts from banks and other lenders.

The mine uses proven, modern trackless mobile equipment with LHD units up to 3.5 yd3 capacity.

The LOM plan has been appropriately developed to maximize mining efficiencies, based on the
current knowledge of geotechnical, hydrological, mining, and processing information on the Lucky
Friday Mine.

The equipment and infrastructure requirements for LOM operations are well understood.

The LOM extends 17 years to 2038, with mine production projected to increase to an annual rate
of approximately 425,000 tons.  The increased production is based upon projected productivity
improvements in mining, increased daily development advance, and higher utilization of the
existing mine infrastructure, however, improvements may be difficult to achieve considering the
extent of the mine, stope widths, and mining depths.

Meeting growth requirements of the LOM plan (production and development) is typically a
challenge for wide spread narrow vein mines.  SLR is of the opinion that meeting the LOM plan
will require ongoing effort to optimize the UCB mining method and attain planned increases in
productivity.
22.3 Mineral Processing

The Lucky Friday mill is a conventional silver and zinc flotation concentrator that has been in
operation since 1942 and owned and operated by Hecla since 1958.  Concentrates are shipped by
highway trucks to the Teck smelter at Trail, British Columbia, Canada.  The mill has a compact and
efficient design that has been upgraded over the years including the addition of flash flotation in
the grinding circuit, column flotation for concentrate cleaning, and on-stream analyzers for
process control.

--- PAGE 197 ---
Technical Report Summary -  February 21, 2022
22-4

The concentrator performed very consistently from 2016 through 2021 with steady lead, zinc, and
silver head grades, silver and zinc concentrate grades, and recoveries.  The mill operated in the
38 stph to 44 stph range with a reported mill availability of 93%.  Low production from 2017
through 2019 was due to labor issues.

The mine plan includes a 20% increase in mill production from the current 340,000 stpa, or 930
stpd, to 425,000 stpa, or 1,164 stpd, each at 92% availability. Work is being done to debottleneck
the Plant including slurry pumping capacity to achieve the new targets.

The target concentrate grade for lead is 60% for the best recovery, though the grade can be
increased to 63% to 64% without significant loss of recovery.

The focus of metallurgical testing is on plant performance including quality improvements and
the potential to increase production.  A significant metallurgical test program was performed to
characterize the Gold Hunter deposit in 2008, including mineralogy, comminution testing, and
flotation testing.  The ore is very consistent, which benefits plant performance.

In July 2011, an audit of the Lucky Friday process including detailed circuit sampling was
performed to support studies to increase plant production.  During the survey, the lead flash cell
recovered 60% to 70% of the lead and silver in the plant feed, reducing the load on the lead
cleaning circuit.  The total silver, lead, and zinc recoveries to silver concentrate were 91.7%, 90%,
and 12%, respectively, to a concentrate containing 60% Pb, 130 oz/ton Ag, and 3.5% Zn. Zinc
recovery to the zinc concentrate was 81.3% to a concentrate grading 48.6% Zn.  Lead recovery to
the zinc concentrate was 2.3% and the silver recovery to the zinc concentrate was 3.9%.
22.4 Infrastructure

Lucky Friday has all of the infrastructure necessary for the ongoing operations and has plans for
refurbishment or repair as necessary within the mine plan.
22.5 Environment

Lucky Friday maintains a comprehensive environmental management and compliance program.
All permits needed for current Lucky Friday operations are in place, and staff at the Property
continually monitors permit/regulated conditions and files required reports with the applicable
regulatory agencies at the federal, state, and local level.

Hecla’s EMS follows a 13-element plan-do-check-act approach that ensures continuous
improvement around issues including obligation registers, management of change, air quality,
water and waste management, energy management, training, and reporting. This system
promotes a culture of environmental awareness and innovation throughout the company.  The
EMS program is benchmarked against ISO-14001 and complements Canada’s TSM program.  On
a related matter, there appears to be good cross-discipline support for the overall environmental
program.

In previous resource/reserve reporting documents, Lucky Friday reported experiencing a number
of alleged permit exceedances for water discharges NPDES and MSGP at the Property.  Lucky
Friday received an EPA Notice of Violation for non-compliance with the NPDES Permit and various
discharges exceeding the maximum daily standard for lead (50 μg/L).  In all instances, Lucky Friday
has worked cooperatively with EPA to resolve these issues.

Lucky Friday has developed reclamation/closure plan and the most recent cost estimate (2021) to
perform this work is US$39.9 million.  Reclamation and closure plans have been submitted to the

--- PAGE 198 ---
Technical Report Summary -  February 21, 2022
22-5
appropriate agencies.  ARO legal obligations are updated regularly and based upon existing site
conditions, current laws, regulations and costs to perform the permitted activities.  The ARO is to
be conducted in accordance with FASB ASC 410.

Lucky Friday reports that community relationships are excellent, and the company maintains an
office in the city of Wallace to maintain a community presence.

--- PAGE 199 ---
Technical Report Summary -  February 21, 2022
23-1
23.0 RECOMMENDATIONS
SLR offers the following recommendations by area.
23.1 Geology and Mineral Resources
1. Conduct additional review of the sample grade distributions within the veins to see if coherent
groupings of sub-populations can be isolated for interpolation purposes.
2. Modify the resource classification procedures to provide an opportunity for manual adjustments,
as opposed to a strictly computer-driven approach.  This will allow changes to be made to remove
unrealistic artifacts in the classification.
3. Consider an additional level of block model validation, such as comparisons to alternative
estimation methods.
23.2 Mining and Mineral Reserves
1. Continue the use of UCB mining in the 30 Vein and continue to attempt to improve the UCB
method.
2. Conduct close monitoring of the stoping performance including regular surveys as the void is
exposed and reconciliation of the stope designs to the Mineral Reserve estimates to confirm and,
if necessary, refine the Mineral Reserve estimate
3. Calculate NSR values on a fully diluted basis and use these values to determine cut-off values and
Mineral Reserve boundaries.
4. Evaluate the internal portions of Mineral Reserve material that fall below cut-off value within the
30 Vein to confirm that they are economically justifiable to mine and develop further cut-off
criteria for must take material.
5. Undertake a more detailed dilution and extraction study, including consideration of the existing
reconciliation studies, to better quantify the extraction, dilution, and other modifying factors that
Hecla is currently applying to all production designs.
6. Use the results of the above noted studies to determine the actions necessary to align mine
production grades with the Mineral Reserve estimates.
7. Review mining plans to define definitive actions to attain the planned improvements in mining
productivity and daily development advance.
8. Further develop the plans for UCB mining at the planned nine foot minimum mining width.
23.3 Mineral Processing
1. Continue metallurgical testing to support the plan for increased production.
2. The ability to perform on-site metallurgical testing is limited due to the capabilities of the current
laboratory.  An upgrade to the laboratory is recommended and has been budgeted for 2024.
23.4 Infrastructure
1. Continue the upgrades, repairs, and rehabilitation to existing infrastructure to support the LOM
plan.

--- PAGE 200 ---
Technical Report Summary -  February 21, 2022
23-2
23.5 Environment
1. Track and participate in the development of new environmental and mine permitting regulations
that could impact operations.
2. Continue to perform internal and external audits of environmental compliance.
3. Even though opportunity is limited, investigate opportunities for concurrent reclamation to
minimize financial obligation(s) at closure.
4. Continue to update reclamation and closure cost estimates on a regular basis.

--- PAGE 201 ---
Technical Report Summary -  February 21, 2022
24-1
24.0 REFERENCES
AACE International, 2012, Cost Estimate Classification System – As applied in the Mining and Mineral
Processing Industries, AACE International Recommended Practice No. 47R-11, 17 p.
Beaudoin, G., and Sangster, D.F., 1996, Clastic metasediment-hosted vein silver-lead-zinc; in Geology of
Canadian Mineral Deposit Types, (ed.) Eckstrand, O. R., Sinclair, W. D., and Thorpe, R. I., Geological
Survey of Canada, Geology of Canada, no. 8, pp. 393-398 (also Geological Society of America, The
Geology of North America, v. P-1).
Bennett, E.H., Siems, P.L., and Constantopoulos, J.T., 1989, The Geology and History of the Coeur d’Alene
Mining District, Idaho; in Guidebook to the Geology of Northern and Western Idaho and
Surrounding Area, (ed.) Chamberlain, V. E., Breckenridge, Roy, M., and Bonnichsen, Bill, Idaho
Geological Survey Bulletin 28, 164 p.
Gott, Garland B., and Cathrall, John B., 1979, Generalized Geologic Map of the Coeur D’Alene District,
Idaho and Montana, US Geological Survey, Miscellaneous Investigations Series, Map I-1090.
Hecla Mining Company, 2014, Technical Report on the Lucky Friday Mine, Shoshone County, Idaho, USA,
a NI 43-101 Report, effective April 02, 2014.
Hecla Mining Company, 2020, website, https://ir.hecla-mining.com.
Hobbs, S.W., Griggs, A.B., Wallace, R.E., and Campbell, A.B., 1965, Geology of the Coeur d’Alene District,
Shoshone County, Idaho: U.S. Geological Survey Prof. Paper 478, 145 p.
Jones, James V., Daniel, Christopher G., and Doe, Michael F., 2015, Tectonic and sedimentary linkages
between the Belt-Purcell Basin and southwestern Laurentia during the Mesoproterozoic, ca. 1.60

1.40
Ga,
Lithosphere
(August
2015)

(4):
465-472,
(Internet
link:
https://pubs.geoscienceworld.org/georef/record/6/3741704/Tectonic-and-sedimentarylinkages-between-the-Belt).
Leach, D.L., 1982, Geochemical Favorability for Mesothermal Veins in the Wallace 1°x 2° Quadrangle,
Montana and Idaho, U.S. Geological Survey Open File Report 82-577, 4 p.
Lonn, J.D., Burmester, R.F., Lewis, R.S., and McFadden, M.D., 2020, The Mesoproterozoic Belt Supergroup,
Montana
Technological
University
web
site,
https://mbmg.mtech.edu/pdf/geologyvolume/Lonn_BeltFinal.pdf, 38 p.
Mauk, J., and White, B., 2004: Stratigraphy of the Proterozoic Revett Formation and Its Control on the AgPb-Zn Vein Mineralization in the Coeur d’Alene District, Idaho. Economic Geology and the Bulletin
of the Society of Economic Geologists, Vol. 99, pp. 295-312.
Mauk, J.L., 2002, Stratigraphy of the Proterozoic Revett Formation, Coeur d’Alene District: U.S. Geological
Survey Open-File Report 01–319, Version 1.0, 203 p.

--- PAGE 202 ---
Technical Report Summary -  February 21, 2022
24-2
Mitchell,
V.E.,
Reed,
S.L.,
and
Larsen,
J,
2021,
Digital
Geology
of
Idaho
website,
https://digitalgeology.aws.cose.isu.edu/Digital_Geology_Idaho/Module7/mod7.htm.
Mondragon, R., Dean, D., Aguilar, C., Hancock, B., Martin, C., 2011, Updating the Lucky Friday Mill –
Experience in Revamping a Historic Milling Operation, 43rd Annual Meeting of the Canadian
Mineral Processors, Ottawa, ON, Canada, January 2011.
Perelló, J., Clifford, J.A., Wilson, A.J., Kennedy, S., Creaser, R.A., Valencia, V.A., 2021, On the timing and
metallogenic implications of the sediment-hosted stratiform copper-silver mineralization in the
Creston Formation (Belt-Purcell Supergroup), British Columbia, Canada, Ore Geology Reviews,
Volume 131.
RPA Inc., 2006, Mineral Resource and Mineral Reserve Audit of the Lucky Friday Silver-Lead-Zinc Mine,
Idaho, USA, internal report prepared for Hecla Mining Company, May 23, 2006, 132 p.
RPA Inc., 2010, Mineral Resource and Reserve Audit on Lucky Friday Mine, Idaho, USA, internal report
prepared for Hecla Limited, August 31, 2017, 88 p.
RPA Inc., 2013, Mineral Resource and Mineral Reserve Audit of Lucky Friday Mine, Idaho, USA, internal
report prepared for Hecla Mining Company, August 28, 2017, 179 p.
RPA Inc., 2017, Mineral Resource and Mineral Reserve Audit of Lucky Friday Mine, Idaho, USA, internal
report prepared for Hecla Mining Company, August 31, 2017, 88 p.
US Securities and Exchange Commission, 2018, Regulation S-K, Subpart 229.1300, Item 1300 Disclosure
by Registrants Engaged in Mining Operations and Item 601 (b)(96) Technical Report Summary.
Wallace, C. A., Lidke, D. J., and Schmidt, R. G., 1990, Faults of the central part of the Lewis and Clark line
and fragmentation of the Late Cretaceous foreland basin in west-central Montana, Geological
Society of America Bulletin, v. 102, pp. 1021-1037.

--- PAGE 203 ---
Technical Report Summary -  February 21, 2022
25-1
25.0 RELIANCE ON INFORMATION PROVIDED BY THE
REGISTRANT
This TRS has been prepared by SLR for Hecla.  The information, conclusions, opinions, and estimates
contained herein are based on:

Information available to SLR at the time of preparation of this TRS,

Assumptions, conditions, and qualifications as set forth in this TRS, and

Data, reports, and other information supplied by Hecla and other third party sources.
For the purpose of this TRS, SLR has relied on ownership information provided by Hecla and verified by
the Senior Property and Contract Coordinator.  SLR has not researched property title or mineral rights for
Hecla as we consider it reasonable to rely on Hecla’s Land Administration personnel who are responsible
for maintaining this information..
SLR has relied on Hecla for guidance on applicable taxes, royalties, and other government levies or
interests, applicable to revenue or income from the Lucky Friday in the Executive Summary and Section
19.0.  As Lucky Friday has been in operation for over ten years, Hecla has considerable experience in this
area.
The Qualified Persons have taken all appropriate steps, in their professional opinion, to ensure that the
above information from Hecla is sound.
Except for the purposes legislated under provincial securities laws, any use of this TRS by any third party
is at that party’s sole risk.

--- PAGE 204 ---
Technical Report Summary -  February 21, 2022
26-1
26.0 DATE AND SIGNATURE PAGE
This report titled “Technical Report Summary on the Lucky Friday Mine, Idaho, USA” with an effective date
of December 31, 2021 was prepared and signed by:

Signed SLR International Corporation

Dated at Bothell, WA

February 21, 2022

SLR International Corporation

--- PAGE 205 ---
Technical Report Summary -  February 21, 2022
27-1
27.0 APPENDIX 1

--- PAGE 206 ---
27.1 Sample Statistics
Table A1: Sample Statistics - Silver (oz/ton)

Count
Min
Mx
Mean
Median
Stdev
Variance
CV

1,033
0.00
477.40
12.37
2.90
28.23
797.08
2.28

3,928
0.00
350.10
12.03
5.40
21.77
473.76
1.81

62,212
0.00
434.00
19.28
8.20
24.93
621.65
1.29

6,666
0.00
127.70
7.44
3.60
10.26
105.20
1.38

4,064
0.00
202.10
7.52
3.30
11.48
131.73
1.53

3,443
0.00
229.70
15.06
4.94
21.72
471.72
1.44

2,733
0.00
100.30
6.69
2.90
10.71
114.79
1.60

3,161
0.00
270.10
14.50
3.60
25.47
648.81
1.76

7,925
0.00
233.00
13.53
5.60
18.76
351.86
1.39

3,815
0.00
330.00
12.50
4.60
19.98
399.02
1.60

1,595
0.00
291.70
12.34
3.30
28.00
784.20
2.27

3,280
0.00
1,105.10
21.35
6.90
47.01
2,209.57
2.20

0.00
225.00
7.25
2.20
21.87
478.38
3.02

0.00
217.00
10.44
3.00
20.39
415.83
1.95

0.00
129.40
5.32
1.80
13.34
178.02
2.51

0.00
90.80
5.13
2.30
10.31
106.32
2.01

Table A2: Sample Statistics - Iron (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,033
0.10
43.70
11.78
10.00
7.52
56.54
0.64

3,928
0.00
47.40
18.85
18.90
8.44
71.17
0.45

62,212
0.00
53.50
19.81
19.50
8.14
66.28
0.41

6,666
0.20
59.50
25.35
26.20
7.75
60.12
0.31

2,733
0.50
45.50
20.88
20.91
10.31
106.30
0.49

4,064
0.10
49.00
23.52
25.10
9.06
82.02
0.39

3,443
0.10
42.10
14.19
13.70
7.19
51.67
0.51

3,161
0.00
47.90
11.97
11.50
5.89
34.65
0.49

7,925
0.00
38.20
11.31
10.80
5.35
28.58
0.47

3,815
0.10
37.00
12.37
11.90
5.85
34.26
0.47

Technical Report Summary -  February 21, 2022
27-2

--- PAGE 207 ---
Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,595
0.50
39.30
13.82
13.90
6.16
37.95
0.45

3,280
0.50
38.90
15.92
15.50
6.93
47.96
0.43

0.40
40.40
12.97
13.40
6.10
37.26
0.47

0.30
27.60
9.66
8.20
5.77
33.31
0.60

0.50
33.20
12.12
11.70
6.24
38.97
0.51

0.90
26.30
9.17
8.32
5.84
34.07
0.64
Table A3: Sample Statistics - Lead (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,033
0.00
54.60
3.00
0.80
5.87
34.50
1.96

62,212
0.00
78.20
11.67
6.10
12.81
164.01
1.10

3,928
0.00
78.40
5.96
3.50
7.15
51.19
1.20

6,666
0.00
79.50
5.68
3.00
7.00
49.04
1.23

4,064
0.00
56.10
6.04
2.90
7.83
61.29
1.30

2,733
0.00
68.30
4.82
2.40
6.46
41.71
1.34

3,443
0.00
67.20
7.16
3.90
8.11
65.81
1.13

3,161
0.00
68.70
6.64
3.60
8.11
65.70
1.22

7,925
0.00
82.60
10.49
5.50
12.47
155.51
1.19

3,815
0.00
79.20
9.57
4.50
12.31
151.50
1.29

1,595
0.00
58.80
3.43
1.40
5.60
31.39
1.63

3,280
0.00
73.20
2.85
1.10
4.69
22.01
1.64

0.00
52.00
5.63
1.80
8.98
80.69
1.60

0.00
49.10
3.10
0.70
5.61
31.46
1.81

0.00
71.00
2.81
0.70
4.95
24.55
1.76

0.00
43.80
4.03
1.90
6.41
41.11
1.59
Table A4: Sample Statistics - Zinc (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

3,928
0.00
40.90
4.01
2.00
4.98
24.84
1.24

1,033
0.00
39.60
0.87
0.10
2.50
6.23
2.87

62,212
0.00
49.80
3.22
1.50
4.12
17.01
1.28

6,666
0.00
43.20
5.68
4.40
5.07
25.70
0.89

Technical Report Summary -  February 21, 2022
27-3

--- PAGE 208 ---
Count
Min
Max
Mean
Median
Stdev
Variance
CV

4,064
0.00
34.30
5.33
3.80
5.19
26.90
0.97

2,733
0.00
61.50
3.72
1.60
5.20
27.01
1.40

3,443
0.00
40.60
5.70
2.30
6.80
46.18
1.19

3,161
0.00
43.10
3.77
0.60
6.02
36.21
1.59

7,925
0.00
42.70
2.25
0.30
4.47
19.94
1.99

3,815
0.00
39.40
1.86
0.20
4.34
18.81
2.33

1,595
0.00
29.90
1.63
0.20
3.78
14.28
2.32

3,280
0.00
33.60
2.38
0.30
4.36
19.05
1.84

0.00
30.00
1.56
0.10
3.53
12.45
2.26

0.00
34.80
2.25
0.10
5.32
28.27
2.37

0.00
33.70
2.30
0.10
5.23
27.32
2.27

0.00
31.10
1.44
0.10
5.14
26.38
3.56
27.2 Composite Statistics
Table A5:
Composite Statistics - Silver (oz/ton)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

2,715
0.00
54.80
11.32
7.10
11.32
128.11
1.00

0.00
72.00
11.08
4.10
15.35
235.56
1.39

46,382
0.00
81.50
20.74
14.28
18.30
334.91
0.88

5,296
0.00
30.90
7.20
4.50
6.82
46.49
0.95

2,895
0.00
31.40
7.09
4.58
6.77
45.81
0.95

1,754
0.00
32.70
6.46
3.78
6.72
45.15
1.04

2,144
0.00
62.35
15.58
8.21
15.65
245.01
1.00

1,930
0.00
83.20
15.07
5.64
19.12
365.44
1.27

4,905
0.00
58.50
14.41
9.95
12.84
164.93
0.89

2,185
0.00
55.30
12.97
7.50
12.60
158.73
0.97

1,011
0.00
69.90
10.45
4.42
15.03
225.98
1.44

0.00
44.05
5.72
2.97
7.61
57.97
1.33

1,972
0.00
125.05
19.12
9.96
22.66
513.54
1.19

0.00
51.00
9.68
4.57
11.41
130.12
1.18

0.00
39.70
4.65
2.36
6.80
46.30
1.46

0.20
28.25
4.75
2.90
5.49
30.12
1.16

Technical Report Summary -  February 21, 2022
27-4

--- PAGE 209 ---
Table A6:
Composite Statistics - Iron (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

0.30
40.57
12.33
10.20
7.12
50.73
0.58

2,715
0.50
42.30
19.48
19.10
7.52
56.48
0.39

46,382
0.00
47.00
20.06
19.85
7.08
50.12
0.35

2,895
0.10
45.90
24.07
24.51
7.68
58.98
0.32

5,296
0.49
51.15
25.69
25.93
6.75
45.51
0.26

1,754
0.60
42.53
21.90
20.80
9.54
91.06
0.44

2,144
0.40
38.50
14.47
14.14
5.89
34.71
0.41

1,930
0.20
39.60
12.24
11.82
5.19
26.91
0.42

4,905
0.70
35.00
11.45
11.11
4.46
19.92
0.39

2,185
0.80
37.00
12.54
12.20
4.85
23.49
0.39

1,011
0.60
36.90
14.16
14.19
5.43
29.50
0.38

1,972
1.00
35.83
16.34
15.93
5.67
32.18
0.35

0.50
32.40
13.33
13.56
5.08
25.78
0.38

0.80
29.80
12.45
12.24
5.12
26.20
0.41

0.30
25.10
9.92
9.57
4.97
24.71
0.50

0.90
26.30
9.40
8.80
5.21
27.12
0.55
Table A7:
Composite Statistics - Lead (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

0.00
21.00
3.06
1.53
4.13
17.05
1.35

2,715
0.00
23.85
6.23
4.53
5.33
28.44
0.86

5,296
0.00
22.90
5.66
3.71
5.09
25.87
0.90

46,382
0.00
41.80
12.76
9.80
9.79
95.89
0.77

2,895
0.00
25.50
6.00
3.86
5.55
30.82
0.92

1,754
0.00
21.40
4.83
3.14
4.52
20.43
0.94

2,144
0.00
25.30
7.56
5.53
6.01
36.14
0.80

1,930
0.00
27.50
7.06
4.69
6.19
38.33
0.88

4,905
0.00
41.95
11.55
8.23
9.46
89.40
0.82

2,185
0.00
40.40
10.51
6.74
9.42
88.69
0.90

1,011
0.00
19.80
3.51
2.19
4.06
16.46
1.16

Technical Report Summary -  February 21, 2022
27-5

--- PAGE 210 ---
Count
Min
Max
Mean
Median
Stdev
Variance
CV

1,972
0.00
14.10
2.82
1.78
2.98
8.89
1.06

0.00
19.00
3.20
1.60
3.98
15.85
1.24

0.00
23.60
5.94
2.62
6.74
45.42
1.13

0.04
18.34
4.09
2.40
4.74
22.43
1.16

0.00
12.40
2.90
1.67
3.30
10.90
1.14
Table A8:
Composite Statistics - Zinc (%)

Count
Min
Max
Mean
Median
Stdev
Variance
CV

0.00
9.20
0.84
0.16
1.58
2.51
1.88

2,715
0.00
14.95
4.24
2.60
4.16
17.29
0.98

5,296
0.00
16.80
5.70
4.74
4.05
16.44
0.71

46,382
0.00
32.88
3.38
1.95
3.65
13.33
1.08

2,895
0.00
16.80
5.33
4.31
4.08
16.66
0.77

1,754
0.00
15.50
3.76
2.31
3.82
14.56
1.01

2,144
0.00
20.20
6.07
4.15
5.54
30.72
0.91

1,930
0.00
19.45
4.02
1.80
4.89
23.87
1.21

4,905
0.00
13.70
2.17
0.81
2.91
8.48
1.34

2,185
0.00
12.10
1.71
0.48
2.59
6.73
1.52

1,011
0.00
11.90
1.58
0.37
2.50
6.23
1.58

1,972
0.00
14.70
2.42
0.99
3.17
10.03
1.31

0.00
12.05
1.57
0.30
2.45
5.98
1.56

0.00
13.30
2.14
0.16
3.33
11.11
1.56

0.00
14.20
2.03
0.50
3.18
10.08
1.56

0.04
7.00
0.78
0.11
1.46
2.14
1.86

Technical Report Summary -  February 21, 2022
27-6

--- PAGE 211 ---
Technical Report Summary -  February 21, 2022
27-7
27.3 Semi-Variograms

Figure A1:
Variogram Model For Silver – 30 Vein

Figure A2:
Variogram Model For Iron – 30 Vein

--- PAGE 212 ---
Technical Report Summary -  February 21, 2022
27-8

Figure A3:
Variogram Model For Lead – 30 Vein

Figure A4:
Variogram Model For Zinc – 30 Vein

--- PAGE 213 ---
27.4 List of Claims
Table A9: Unpatented Mineral Claims – Lucky Friday Mine

BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
Alameda
ID101349088
IMC13875
 48N 5E 26 NE
7/2/1921
Hecla Limited
Aubert Abot
ID101433808
IMC62560
 48N 5E 26 SE
5/30/1981
Hecla Limited
Atlie
ID101433030
IMC11455
 48N 5E 27 NE,NW
8/28/1915
Silver Hunter
Aubert Abot Fraction
ID101481552
IMC62559
 48N 5E 26 SE
5/31/1981
Hecla Limited
Aubert Gold Hunter
Fraction
ID101432795
IMC62558
 48N 5E 26 NW,SW
5/28/1981
Hecla Limited
Black Hawk
ID101482202
IMC13880
 48N 5E 26 SE
7/2/1921
Hecla Limited
Black Rock
ID101483505
IMC13878
 48N 5E 25 NW
11/2/1919
Hecla Limited
48N 5E 26 NE
Commander Fraction
ID101379219
IMC11432
 48N 5E 26 NW
5/24/1900
Silver Hunter
Creek
ID101433319
IMC11424
 48N 5E 25 SW
10/5/1945
Hecla Limited
50/50 Hecla
Limited/Hunter
Creek
Crown Point
ID101482263
IMC11420
 48N 5E 25 SW
04/20/1897
48N 5E 26 SE
50/50 Hecla
Limited/Hunter
Creek
Crown Point Fraction
ID101454042
IMC11417
 48N 5E 25 SW
6/1/1909
48N 5E 26 SE
50/50 Hecla
Limited/Hunter
Creek
Dewey
ID101433468
IMC11415
 48N 5E 26 SW,SE
1/1/1911
Eleanor
ID101431582
IMC13876
 48N 5E 25 NW
5/30/1957
Hecla Limited
48N 5E 26 NE
25/75 Hecla
Limited/Lucky Friday
Extension
Elm Orlu
ID101485812
IMC13558
 48N 5E 26 SW
11/15/1945
Elm Orlu Fraction
ID101370264
IMC13560
 48N 5E 26 SW
11/15/1945
Lucky Friday
Extension
48N 5E 27 SE
Elm Orlu No. 2
ID101482888
IMC13559
 48N 5E 26 SW
11/15/1945
Lucky Friday
Extension
48N 5E 27 SE

Technical Report Summary -  February 21, 2022
27-9

--- PAGE 214 ---
BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
Friday Fraction
ID101432648
IMC11426
 48N 5E 25 SW
5/1/1962
Hecla Limited
48N 5E 26 SE
48N 5E 35 NE
48N 5E 36 NW
Gem Dandy
ID101884485
IMC199547
 48N 5E 26 NE
9/18/2009
Hecla Limited/Silver
Hunter
Gem Dandy Fraction
ID101359015
IMC212723
 48N 5E 26
NE,NW,SE,SW
4/18/2013
Hecla Limited/Silver
Hunter
Harold
ID101484841
IMC11430
 48N 5E 26 NW
4/5/1911
Silver Hunter
48N 5E 27 NE,SE
Hippie Fraction
ID101484856
IMC11427
 48N 5E 27 NE
9/15/1967
Silver Hunter
Holiday
ID101433299
IMC11431
 48N 5E 27 NE,SE
1/1/1915
Silver Hunter
Hunter
ID101481945
IMC11423
 48N 5E 25 SW
10/5/1945
Hecla Limited
48N 5E 26 SE
Irene
ID101482808
IMC13874
 48N 5E 26 NE
8/6/1951
Hecla Limited
Karl Jr. Fraction
ID101750698
IMC214836
 48N 5E 27 NW
7/28/2015
Hecla Limited
Leslie Fraction
ID101350317
IMC11425
 48N 5E 26 SW,SE
6/9/1968
Hecla Limited
50/50 Hecla
Limited/Hunter
Creek
Mexican
ID101481250
IMC11418
 48N 5E 25 SW
10/17/1889
48N 5E 26 SE
Miles
ID101434994
IMC11435
 48N 5E 26
NW,SW,SE
1/1/1911
Silver Hunter
Molly No. 1
ID101430729
IMC13551
 48N 5E 26 SW
6/6/1945
Lucky Friday
Extension
48N 5E 27 SE
48N 5E 34 NE
48N 5E 35 NW
Molly No. 2
ID101482598
IMC13552
 48N 5E 26 SW
5/26/1945
Lucky Friday
Extension
48N 5E 35 NW
Molly No. 3
ID101480722
IMC13553
 48N 5E 26 SW
5/25/1945
50/50 Hecla
Limited/Lucky Friday
Extension
48N 5E 35 NW

Technical Report Summary -  February 21, 2022
27-10

--- PAGE 215 ---
BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
50/50 Hecla
Limited/Hunter
Creek
Moon
ID101483360
IMC11422
 48N 5E 25 SW
7/24/1929
Morning Glory
ID101434498
IMC11436
 48N 5E 26 SW,SE
8/19/1915
Silver Hunter
50/50 Hecla
Limited/Hunter
Creek
North
ID101348892
IMC11414
 48N 5E 26 SW,SE
7/22/1929
Panama
ID101480936
IMC11456
 48N 5E 27 NE,NW
7/19/1915
Silver Hunter
Panama Fraction
ID101866653
IMC213620
 48N 5E 27 NE
12/17/2013
Hecla Limited/Silver
Hunter
Panama No. 3
ID101434985
IMC11458
 48N 5E 27 NE,NW
8/30/1915
Silver Hunter
25/75 Hecla
Limited/Lucky Friday
Extension
Park Ave Fraction
ID101373608
IMC13561
 48N 5E 26 SW
8/3/1967
Pat
ID101431290
IMC11437
 48N 5E 26 SE
7/14/1944
Silver Hunter
Pat Fraction
ID101334010
IMC13557
 48N 5E 26 SW,SE
9/12/1950
Lucky Friday
Extension
Pat No 1
ID101435088
IMC13554
 48N 5E 27 SE
6/6/1945
Hecla Limited
Pat No 2
ID101434861
IMC11438
 48N 5E 26 SW,SE
7/14/1944
Silver Hunter
Pat No 2
ID101304179
IMC13555
 48N 5E 26 SW
6/4/1945
Lucky Friday
Extension
48N 5E 27 SE
Pat No 3
ID101433909
IMC13556
 48N 5E 26 SW
6/6/1945
Lucky Friday
Extension
48N 5E 27 SE
Pinch Hitter
ID101434399
IMC13881
 48N 5E 26 SE
4/12/1929
Hecla Limited
Silver Hunter
ID101884484
IMC199546
 48N 5E 27 NE
9/18/2009
Silver Hunter
50/50 Hecla
Limited/Hunter
Creek
Silver Reef
ID101431093
IMC11421
 48N 5E 25 SW
10/17/1889
48N 5E 26 SE
Silver-Lead
ID101484084
IMC13877
 48N 5E 26 NE
1/1/1920
Hecla Limited
50/50 Hecla
Limited/Hunter
Creek
South
ID101481517
IMC11416
 48N 5E 26 SW,SE
7/23/1929
Springfield
ID101452781
IMC11433
 48N 5E 26 NW,SW
04/25/1897
Silver Hunter
48N 5E 27 SE

Technical Report Summary -  February 21, 2022
27-11

--- PAGE 216 ---
BLM Serial Number
BLM Legacy Serial
Number
Township Range
Section Quadrant
Original Location
Date
Ownership
50/50 Hecla
Limited/Hunter
Creek
Star
ID101348544
IMC11419
 48N 5E 26 SE
7/23/1929
White Ledge
ID101484653
IMC14790
 48N 5E 26 SW,SE
11/5/1945
Hecla Limited
Wonder
ID101481101
IMC11434
 48N 5E 26 SW
9/20/1915
Silver Hunter
Table A10:
Patented Mineral Claims – Lucky Friday Mine

Mineral Survey Number
Township Range Section
Ownership
Gold Hunter
MS 612
48N 5E 26
Hecla Limited
Yolande
MS 719
48N 5E 26
Hecla Limited
Thomas Brennan Millsite
MS 733
48N 5E 35
Hecla Limited
Ryan Millsite
MS 732
48N 5E 35
Hecla Limited
P. M. Hennessey Millsite
MS 734
48N 5E 35
Hecla Limited
P. T. Kavanah Millsite
MS 735
48N 5E 35
Hecla Limited
Enterprise
MS 1033
48N 5E 26
Hecla Limited
Away Up
MS 1245
48N 5E 26
Hecla Limited
Joe Dandy

48N 5E 26
True Blue
MS 1249
48N 5E 22/27
Silver Hunter
Victor

48N 5E 22/27
Mary Norem
MS 1285
48N 5E 27
Silver Hunter
Cuban Republic
MS 1363
48N 5E 27
Silver Hunter
Jersey Minor
MS 1459
48N 5E 26
Hecla Limited
America
MS 1471
48N 5E 25/26
Silver Hunter
Commander
MS 1492
48N 5E 26
Silver Hunter
Clear Grit
MS 1501
48N 5E 26/27
Hecla Limited
Lost Wonder
MS 1504
48N 5E 27
Hecla Limited
Paymaster

48N 5E 26/27
Northern Light
MS 1832
48N 5E 26
Hecla Limited
Spokane

48N 5E 26
America
MS 1927
48N 5E 25/26
Hecla Limited
Bacchus

48N 5E 25/26
General Boulanger

48N 5E 25/26
Switzerland

48N 5E 23/26

Technical Report Summary -  February 21, 2022
27-12

--- PAGE 217 ---
Mineral Survey Number
Township Range Section
Ownership
Gettysburg
MS 2196
48N 5E 22/27
Silver Hunter
Lion

48N 5E 27
Mabel May Millsite
MS 2246B
48N 5E 36
Hecla Limited
Hennessy Fraction
MS 2563
48N 5E 26
Hecla Limited
Enterprise
MS 2390
48N 5E 22
Hecla Limited
Jap

48N 5E 26
Ted

48N 5E 26
Victor Fraction

48N 5E 26
U.S. Permit No. 1
MS 2857
48N 5E 25
Hecla Limited
U.S. Permit No. 2

48N 5E 25
Iron Cap
MS 2943
48N 5E 25/26
Hecla Limited
Missoula

48N 5E 25/26
Good Friday
MS 3028
48N 5E 35
Hecla Limited
Lucky Friday

48N 5E 35
Lucky Friday Fraction No.

48N 5E 35
Northern Light

48N 5E 26
Pointer
MS 3399
48N 5E 22/23/26
Hecla Limited
Red Doc

48N 5E 22/23/26

Technical Report Summary -  February 21, 2022
27-13