Bunker Hill Closes Combined Financings Worth US$31 Million

Bunker Hill Mining Secures $31 Million in Financing and Debt Settlement

Bunker Hill Mining Corp. (BNKR-TSXV, BHLL-OTCQB) has successfully closed $31 million in combined equity financings and debt settlements. This includes a brokered private placement for $6.2 million. Plus, there’s a concurrent non-brokered placement with Teck Resources Ltd. for $20.5 million. The financing will support the company’s efforts to revive the historic Bunker Hill mine in Kellogg, Idaho. The company also converted certain outstanding debts into equity. In addition, it restructured existing royalty and stream financing arrangements with Sprott Streaming.

Capital Restructuring and Strategic Partnerships

As part of the financing, Bunker Hill issued 252.2 million units priced at 15 cents per unit. Teck acquired 195.3 million units and Sprott Streaming secured 10 million units. The proceeds from these placements will be used for the construction, start-up, and ramp-up of the Bunker Hill mine. This mine is expected to be a low-cost and long-life operation. Bunker Hill Mining also announced that it has completed a major capital restructuring. This move further enhances its financial position and ensures the success of the mine’s operations.

The company’s financing is a key step in its long-term strategy to restore the Bunker Hill mine to production. The pre-feasibility study for the project suggests it could generate annual cash flow of $25 million. There’s a capital expenditure of $55 million planned over the next 16 months. The progress made so far includes the completion of the 1,800 tonne-per-day processing facility. Moreover, the connection of the Motor Control Centre to the grid power is ongoing.

Strengthening Bunker Hill’s Position in the Silver Valley

The successful financing comes at a crucial time for Bunker Hill Mining as it works to revitalize its historic asset, the Bunker Hill mine. Located in the Coeur d’Alene mining district in northern Idaho, the Bunker Hill mine is known for its rich zinc, lead, and silver deposits. Bunker Hill’s Executive Chairman, Richard Williams, expressed his satisfaction with the closure of the financing. He emphasized its potential to benefit all stakeholders as the company continues its efforts to bring the mine back into production.

In addition, Bunker Hill shares saw a 3.7% increase following the announcement of the financing. This reflects positive market sentiment regarding the company’s future prospects. With the financing and restructuring now in place, Bunker Hill is well-positioned to move forward with its ambitious plans to bring the Bunker Hill mine back online.

SuperMetalPrice Commentary:

Bunker Hill Mining’s recent financing and debt restructuring mark a pivotal moment for the company. The successful closure of $31 million in funding strengthens its balance sheet. It demonstrates strong backing from key partners like Teck Resources and Sprott Streaming. With the mine’s construction progressing, Bunker Hill’s revitalization of the Bunker Hill mine could offer substantial economic returns. It could also position the company for long-term growth in the Coeur d’Alene mining district. As work continues, all eyes will be on how effectively Bunker Hill can transition the project from construction to full-scale production.