Hecla julyupdateweb

S T R O N G I N V E S T M E N T F U N D A M E N T A L S

O R G A N I C G R O W T HH E C L A P R O P E R T I E SN E W H E C L A

The New Hecla Growing Our Production, Reserves and Cash Flow

July 2013

H E C L A M I N I N G C O M P A N Y

2

Cautionary Note Regarding Forward Looking Statements Statements made which are not historical facts, such as strategies, plans, anticipated payments, litigation outcome (including settlement negotiations), production, sales of assets, exploration results and plans, costs, and prices or sales performance are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “may,” “will,” “should,” “expects,” “intends,” “projects,” “believes,” “estimates,” “targets,” “anticipates,” and similar expressions are used to identify these forward-looking statements. Forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from those projected, anticipated, expected or implied. These risks and uncertainties include, but are not limited to, metals price volatility, volatility of metals production and costs, environmental and litigation risks, operating risks, project development risks, political risks, labor issues, ability to raise financing, and exploration risks. Refer to our Form 10-K and 10-Q reports for a more detailed discussion of factors that may impact expected future results. We undertake no obligation to update forward-looking statements other than as may be required by law.

Cautionary Note Regarding Estimates of Measured, Indicated and Inferred ResourcesReporting requirements in the United States for disclosure of mineral properties are governed by the SEC and included in the SEC's Securities Act Industry Guide 7, entitled “Description of Property by Issuers Engaged or to be Engaged in Significant Mining Operations” (“Guide 7”). However, the Company is also a "reporting issuer" under Canadian securities laws, which require estimates of mineral resources and reserves to be prepared in accordance with Canadian National Instrument 43-101 (“NI 43-101”). NI 43-101 requires all disclosure of estimates of potential mineral resources and reserves to be disclosed in accordance with its requirements. Such Canadian information is being included here to satisfy the Company's “public disclosure” obligations under Regulation FD of the SEC and to provide U.S. holders with ready access to information publicly available in Canada.

Reporting requirements in the United States for disclosure of mineral properties under Guide 7 and the requirements in Canada under NI 43-101 standards are substantially different. This document contains a summary of certain estimates of the Company, not only of proven and probable reserves within the meaning of Guide 7, which requires the preparation of a “final” or “bankable” feasibility study demonstrating the economic feasibility of mining and processing the mineralization using the three-year historical average price for any reserve or cash flow analysis to designate reserves and that the primary environmental analysis or report be filed with the appropriate governmental authority, but also of mineral resource and mineral reserve estimates estimated in accordance with the definitional standards of the Canadian Institute of Mining, Metallurgy and Petroleum referred to in NI 43-101. The terms “measured resources”, "indicated resources," and "inferred resources" are Canadian mining terms as defined in accordance with NI 43-101. These terms are not defined under Guide 7 and are not normally not permitted to be used in reports and registration statements filed with the SEC in the United States, except where required to be disclosed by foreign law, as is the case here. Still, investors are cautioned not to assume that any part or all of the mineral deposits in such categories will ever be converted into proven or probable reserves. “Resources” have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of such a "resource” will ever be upgraded to a higher category or will ever be economically extracted. Investors are cautioned not to assume that all or any part of a "resource” exists or is economically or legally mineable. Investors are also especially cautioned that the mere fact that such resources may be referred to in ounces of silver and/or gold, rather than in tons of mineralization and grades of silver and/or gold estimated per ton, is not an indication that such material will ever result in mined ore which is processed into commercial silver or gold.

Cautionary Note Regarding Non-GAAP MeasuresTotal cash cost per ounce of silver, gold and earnings before adjustments represents non-U.S. Generally Accepted Accounting Principles (GAAP) measurement. A reconciliation of total cash cost to cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) can be found in the Appendix.

Cautionary Statements


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Qualified Person (QP) Pursuant to Canadian National Instrument 43-101Dean McDonald, P.Geo., Vice President - Exploration of Hecla Mining Company, who serves as a Qualified Person under National Instrument 43-101, supervised the preparation of the scientific and technical information concerning Hecla’s mineral projects in this presentation. Information regarding data verification, surveys and investigations, quality assurance program and quality control measures and a summary of analytical or testing procedures for the Greens Creek Mine are contained in a technical report titled “Technical Report for the Greens Creek Mine” dated March 28, 2013, and for the Lucky Friday Mine are contained in a technical report titled “Technical Report for the Lucky Friday Mine Shoshone County, Idaho, USA” dated March 28, 2013. Also included in these two technical reports is a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources and a general discussion of the extent to which the estimates may be affected by any known environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant factors. Copies of these two technical reports are available under Hecla's profile on SEDAR at www.sedar.com.

Dean McDonald, P.Geo., Vice President – Exploration serves as a Qualified Person on all mineral projects except the following:

Casa BerardiUnderground mineral reserve and resource estimates, implementation and the quality control program were prepared and supervised by Sylvain Picard P. Eng., Principal Mine Geologist for Casa Berardi, and a "qualified person" as defined by the National Instrument 43-101. Mineral reserve and resource estimates for the Principal Mine and East Mine open pits were prepared by Patrice Live, P.Eng. of BBA Inc. as the "qualified person" for BBA Inc., as defined by National Instrument 43-101, is. Information of a technical and scientific nature in this presentation has been prepared under the supervision of Christian Bourcier, P. Eng., General Manager for Casa Berardi, and a "qualified person" as defined by the National Instrument 43-101.FayolleThe updated mineral resource estimate was prepared by InnovExplo of Val-d'Or, Quebec, in collaboration with Aurizon's personnel. The Independent and Qualified Persons for the updated mineral resource estimate, as defined by National Instrument 43-101, are Pierre-Luc Richard , M.Sc., P.Geo. and Alain Carrier , M.Sc., P.Geo. (InnovExplo Inc.), and the effective date of the estimate is August 3, 2012. Metallurgical testwork was conducted by SGS Mineral Services of Lakefield, Ontario.Heva-HoscoDrill hole planning, implementation and the quality control program is supervised by Martin Demers P.Geo ., General Manager of Exploration, a qualified person as defined by National Instrument 43-101. Mr. Demers is also responsible for the scientific and technical information in this presentation. The Feasibility Study was prepared by leading independent industry engineering firms and consultants, all Qualified Persons under National Instruments 43-101, with the collaboration of the Aurizon Technical Group.

BBA Inc.Patrice Live, Eng. Mining Manager (mineral reserves, pit design, mine planning, financial analysis, mining operating and capital costs).Angelo Grandillo, Eng. (metallurgical test work, ore processing, milling operating and capital costs).RocheYves Thomassin, M. ScA., (environment, restoration, operating and capital cost estimates).SGS-Geostat Ltd.Maxime Dupéré. Geologist (mineral resources)

Qualified Person (QP)


The New Hecla - Strong Assets and Cash Flow

• Diversification of operating base, earnings base and geographic exposure• Downside protection with base metal hedging policy• Adds scale and improves liquidity

Low Risk Diversification

• Robust free cash flow (1)

• Low-cost operations• Manageable capital associated with growth projects• Double-digit unlevered pre-tax returns at current and

consensus prices (2)

Growth in Cash Flow Generation

• Two primary silver and one primary gold mine• Long-lived assets all with mine lives of ten years or

more• Strong organic growth potential• Goal of silver production growth to 15.0 million

ounces by 2017

Growth from Quality Assets

1. Free Cash Flow (for mines) (non-GAAP measure) defined as Cash Flow from Operations – Capex – Lease Financing – Exploration 2. Current price assumption: $1,575/oz gold. Consensus prices per Bloomberg: Gold prices: 2013: $1,795/oz, 2014: $1,815/oz, 2015: $1,680/oz, 2016 and long-term: $1,600/oz

Addition of Aurizon Creates the Next Chapter of Growth and Diversification in Our 122-Year Mining History

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5

The New Hecla: Long-Life Mines with Growing Production

Historical Production

Silver Equiv: 489.4mm ozGold Equiv: 8.3mm oz

2012 Revenue: $545 million

1. Proven and Probable reserves as of December 31, 2012, see Appendix.2. In 2012, production at Lucky Friday was suspended.3. Non-GAAP measure. The Company will need to realize higher-then-current base metals prices in order to reach total consolidated costs of $5.00 per ounce silver cash cost guidance.

Aurizon acquisition completed June 1, 2013 Creates a new Hecla with three 100% owned

long-life, low-cost mines Each operation has over 10+ years of

mine life All situated in U.S. and Canada - stable

and lower risk mining jurisdictions Multi-metal production of silver, gold, lead

and zinc with base metals hedging Expected 2013 silver production of 8-9 million

ounces at a cash cost of $5.00 per ounce(3)

Growing silver production to an expected 15 million ounces by 2017

Pro-forma gold production in 2012 of 192k ounces; expected to grow to 195k by 2014

Strong liquidity position

Reserves by Metal (1) 2012A Revenue by Metal

Pro Forma Operational Statistics

(k oz Ag) (k oz Au)

AurizonHecla

0

100

200

300

400

0

3000

6000

9000

12000

2008A 2009A 2010A 2011A 2012A(2)


North American Focused Asset PortfolioAll operations in lower-risk, mining-friendly jurisdictions

6


Multiple Revenue Streams Base Metals Hedging

1. Reserves as of December 31, 20122. 2011 comparison includes all 3 mines operating.

7

Hecla Standalone Pro Forma

2011 Revenue by Metals²

2011 Revenue by Mines

Proven and Probable Reserves(1) Policy is to hedge up to 60% of the next three years’ production of lead and zinc

Locking in revenue to cover costs

Currently, base metals hedging offsets approximately 50% of cash operating costs at Lucky Friday and Greens Creek for next 3 years

100% unhedged exposure to silver and gold

Diversified, multi-metal, multi-revenue mining company


Q1/12 Q2/12 Q3/12 Q4/12 Q1/13

$279

$233 $232

$191

$1692

$189

Hecla Aurizon

$3581

Consistently Strong Balance Sheet Cash and Cash Equivalents

8

(millions)

1. Pro-forma Hecla and Aurizon cash as of Mach 31, 20132. $5.3 million in transaction costs realized in Q1/2013


IssuerDate

Issued Coupon MaturityGross

ProceedsCurrent Rating

Hecla 12-Apr-13 6.875% Sr. Notes 1-May-21 $500 B2/B

Coeur 24-Jan-13 7.875% Sr. Notes 1-Feb-21 $300 B2/B+

Eldorardo Gold 10-Dec-12 6.125% Sr. Notes 15-Dec-20 $600 Ba3/BB

IAMGOLD Corp. 14-Sep-12 6.750% Sr. Notes 1-Oct-20 $650 Ba/BB-

New Gold 8-Nov-12 6.250% Sr. Notes 22-Nov-15 $500 B2/BB-

2-Apr-12 7.000% Sr. Notes 15-Apr-20 $300 B2/BB-

Allied Nevada Gold 18-May-12 8.750% Sr. Notes 1-Jun-19 $400 B3/B

Hudbay Minerals 18-Jan-13 9.500% Sr. Notes 1-Oct-20 $500 B3/B

Senior Notes Overview

Peer Comparison

1. In millionsSource: Company Reports

1

9


Strong Silver Margins

1. Total cash cost per ounce of silver represent non-U.S. Generally Accepted Accounting Principles (GAAP) measurement. A reconciliation of total cash costs to cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) can be found in the Appendix.

2. Realized prices are calculated by dividing gross revenues for each metal by the payable quantities of each metal included in the concentrate and doré sold during the period.

10

1

Strong Cash Margins

($2.81)$4.20 $1.91

($1.46) $1.15 $2.70 $7.02

$16.59 $10.20 $13.72

$24.16

$34.15 $29.41 $21.84 $13.78 $14.40

$15.63

$22.70

$35.30

$32.11

$28.86

($5)

$0

$5

$10

$15

$20

$25

$30

$35

$40

2007 2008 2009 2010 2011 2012 Q1/13

$/oz

Cash Cost Per Ounce Cash Margin Realized Silver Price

120% 71% 88%

106%

97% 92% 76%

2


Strong Gold Margins at Casa Berardi

11

1. Total cash cost per ounce of gold represents a non-U.S. Generally Accepted Accounting Principles (GAAP) measurement. A reconciliation of total cash costs to cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) can be found in the Appendix.

2. Realized prices are calculated by dividing gross revenues for each metal by the payable quantities of each metal included in the concentrate and doré sold during the period.

$308 $331 $399 $401

$541 $537

$696

$812

$317 $365

$448 $514

$604

$1,041 $962 $809

$625 $696

$847 $915

$1,145

$1,578 $1,658 $1,621

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

2006 2007 2008 2009 2010 2011 2012 Q1/13

$/oz

Cash Cost Per Ounce (1) Cash Margins Realized Gold Price (2)

51%52%

53%56%

53%

66%

58%50%


204

186

9.3 0.3

19.6 5.5 1.9 0.8

$-

$50

$100

$150

$200

$250

$300

Q1/2013 Beg.Cash

Adj. EBITDA Share Issuance Capex WCC Expl.+ Pre-dev. Interest Exp. &Other

Q1/2013 EndingCash

191

169

33.3 1.9

25.8 11.3 9.2 6.0 5.3

$-

$50

$100

$150

$200

$250

Q1/2013 Beg.Cash

Adj. EBITDA Cash Gains onDerivatives

Capex Expl. & Pre-dev. Dividends &Other

Cash Taxes &Purchase ofInvestments

AurizonAcquisition

Costs

Q1/2013 EndingCash

Cash Flow Usage: Flexibility

1. Adjusted EBITDA (non-GAAP measure) reconciliation in appendix.

(US$mm)

12

(CAD$mm)

Hecla Cash Bridge Q1 2013

Aurizon Cash Bridge Q1 2013 1

1


2003 2012

45

150

2003 2012

0.8

3.8

Reserve Growth1 2003 - 2012

Silver ounces (millions) Gold ounces (millions)(2)

1. See Proven and Probable reserves data in the Appendix.2. Includes Aurizon’s reserves for 2012.

233% 375%

13


2012 2017E

6.4

15

Strong, Disciplined Production Growth Anticipated

Silver ounces (millions) (1) Gold ounces (thousands)(2)

134%

2%

1. Hecla’s Lucky Friday mine was closed during 2012.2. Includes Aurizon’s production levels for 2012.14


Strong Portfolio of Producing AssetsStrong Portfolio of Producing Assets

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Portfolio of High Quality, Long-Life Assets

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Greens Creek Lucky Friday Casa BerardiLocation Alaska Idaho Quebec

Ownership 100% 100% 100%

Primary Metal Ag Ag Au

Primary Metal Grade (oz/t) 12.1 13.4 0.2

Mine Life (Years) 10+ years 25+ years 10+ years (1)

2013E Metal ProductionAg (mm oz) / Au (koz) 6.0 - 7.0 M oz 2.0 M oz(2) 125 - 130 koz(2)

2013E By-Product Cash Cost ($/oz)(3) $3.25/oz $11.00/oz $810/oz

2013E Capital (Sustaining Capex) $75 M (~$35 M) $76 M (~$30 M) $102 M (~$30 M)

Proven and Probable Reserves

Gold100%Silver

61%

Lead29%

Zinc10%

Silver44%

Gold20%

Lead10%

Zinc26%

1. Based on proven and probable reserves only. 2. Lucky Friday and Casa Berardi in transition years.3. Non-GAAP measure. A reconciliation of total cash costs to cost of sales and other direct production

costs and depreciation, depletion and amortization (GAAP) can be found in the Appendix.


Greens Creek - Q1 Silver Production up 34%

Produced ~ 200 million ounces of silver and 1.5 million ounces of gold since startup in 1989

6.4 million ounces of silver production in 2012, with steady production increases during course of the year

Q1 silver production of 1.8 million ounces, up 34% from a year ago

Avg. Q1 cash cost of $5.02 per ounce(1)

Rehabilitation begins on 29 Ramp, as part of East Ore project

Mine life est. 10+ years

17 1. Total cash cost per ounce of silver represents a non-U.S. Generally Accepted Accounting Principles (GAAP) measurement. A reconciliation of total cash costs to cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) can be found in the Appendix.


Greens Creek - Deep Southwest

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Location ViewLooking North

Southwest Bench Lower

Southwest

DeepSouthwest

200 SouthModel

View Looking North/Northwest

500 Feet


Ramping Up Production at Lucky Friday Production recommenced in

February Expect production to ramp up and

costs to lower through first half 2013 Expect full year production of more

than 2 million ounces, increasing to 3 million ounces in 2014

Two of seven production areas have restarted, 5900 bypass completed

#4 Shaft sinking resumed, expected to access higher grades, extend mine life

Mine life est. 25+ years

19


20

Looking NW

Silver Shaft

7500 level

6500 level

#4 Shaft

30 Vein

5900 level

4900 level

4050 level

Current mining from 5900 level access

Lucky Friday - Idaho


Upgrades to the Lucky Friday Ramp System

21


Casa Berardi - Long-Life Gold Asset

Highlights

Produced 24,400 oz Au in Q1/13 at total cash cost of $812/oz¹

Expected 2013 gold production of 125,000 to 130,000 ounces

Potential to increase processing capacity to 2,400 tpd

High historical conversion (~65%) of resources to reserves

Expected to complete shaft deepening project in late 2013

Upside: expected completion of paste back-fill plant (Q3/13) and mill expansion (long-term)

22

Location Western QuebecOwnership 100%

Metal Composition Au

Expected 2013 Production 125 - 130 koz

Estimated 2013 Cash Costs $810/oz

Projected Life of Mine 20+ years

Proven and Probable Reserves (Au) 2 1.46Moz

2013 Capital Program $102M

10+ years(reserve only)

1. Total cash cost per ounce of gold represents a non-U.S. Generally Accepted Accounting Principles (GAAP) measurement. A reconciliation of total cash costs to cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) can be found in the Appendix.

2. See Casa Berardi Proven and Probable reserves data in the Appendix.


050100150200250300350400450500

0

20

40

60

80

100

120

San

Cris

toba

l (50

%)*

Pita

rilla

(SSR

I)*

San

Bar

tolo

me

(CD

E)*

Gre

ens

Cre

ek (H

L)

Pirq

uita

s (S

SRI)*

Ying

(SVM

)

Hua

ron

(PA

A)

Luck

y Fr

iday

(HL)

Palm

arej

o (C

DE)

*

Roc

hest

er (C

DE)

*

La C

olor

ada

(PA

A)

Mor

ococ

ha (P

AA

)

La P

arril

la (F

R)

La E

ncan

tada

(FR

)

San

Vice

nte

(PA

A)

Man

antia

l Esp

ejo

(PA

A)

Ala

mo

Dor

ado

(PA

A)*

Arc

ata

(HO

C)

Palla

ncat

a (H

OC

)

GC

(SVM

)

San

Jose

(HO

C)

San

Luis

(SSR

I)

Silv

er G

rade

-g/

t

Silv

er R

eser

ves

-Moz

Reserves Grades

High Quality Assets Silver Reserves and Grades of Primary Silver Mines

Source: Public filings, *Open pit mines - Palmarejo is both open pit and underground.

Peer-leading Silver Grade Profile Results in Low-cost, High-margin Production

San

Cris

toba

l (SM

M)*

23


Exploration and Pre-Development Exploration and Pre-Development

24


Longitudinal of Middle Vein

25

Reserve and Resource Growth - Middle Vein (Mexico)

Middle Vein at San Sebastian defined over 3,000 feet along strike, from surface to over 1,000 feet in depth

New Inferred Resources of 8.8 million silver ounces and 45,000 ounces gold appears open along strike


Organic Growth - San Juan Silver (Colorado)

Includes historic Bulldog mine: produced 25 million ounces of silver before closing in 1985

7.6 million ounces of silver Indicated Resources

33.1 million ounces of silver Inferred Resources

2013 Activities: Bulldog decline construction

underway (1,300 feet completed)

Bulldog

Equity

Amethyst

26

21 Square Mile land Package


New Quebec Gold Assets

Gold producer and exploration portfolio in western Quebec

Heva and Hosco West extension and the Joanna Hosco Pit Large in-pit gold resource at Hosco Additional gold resources at Heva

and Hosco West Extension Attractive exploration potential

Growth potential with future open pit development and shaft deepening at Casa Berardi

Significant exploration portfolio Portfolio of other earlier stage projects

and investments

27


Precious Metals Fundamentals Remain Strong

Precious Metals Fundamentals Remain Strong

28


Silver - The Metal of This Age Has the highest electrical conductivity of all the metals

80% more conductive than aluminum

50% more conductive than gold, 6% more conductive than copper

Critically important in the miniaturization of circuits as electronic items become increasingly compact and users expect more power or utility

Has superior thermal conductivity

Transfers heat efficiently; doesn’t overheat

Highest reflectivity (94%) in visible light of the metals

Gold 72%, Aluminum 92%

Source – The Silver Institute 201129


Silver Consumption per Capita

United States

ChinaIndia

JapanGermany

South Korea

-

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

(10,000) 10,000 30,000 50,000 70,000

Silv

er O

unce

Per

Cap

ita

1990 GDP Per Capita (2000 US$)

United States

ChinaIndia

Japan

Germany

South Korea

-

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

(10,000) 10,000 30,000 50,000 70,000

Silv

er O

unce

Per

Cap

ita

2010 GDP Per Capita (2000 US$)

Increasing Silver Consumption Per Person in China and India

30


Free Cash Flow

Secure Multiple Revenue Streams

1122

33

44

66

77

Established Work Force with Commitment to

Safety

Operating in Low Political

Risk Jurisdictions

Strong Investment Fundamentals

Led by a management team with over 150 years of experience, Hecla is a multi-metal and operationally diversified company, operating low-cost mines in stable jurisdictions, generating strong and growing cash flow.

Low R

isk, Stable Operations

Stro

ng C

ash

Flow

Gen

erat

ion

Portfolio of Three High Quality,

Long-Life Operations

High Cash

Margins Strong Investment Fundamentals

Strong Financial Position

5

31

S T R O N G I N V E S T M E N T F U N D A M E N T A L S

O R G A N I C G R O W T HH E C L A P R O P E R T I E SN E W H E C L A

AppendixAppendix


Seasoned Management Team with Significant ExperiencePhillips S. Baker, Jr., has 15+ years of mining experience. He was previously VP and CFO of Battle Mountain Gold Company and before that was CFO at Pegasus Gold Inc.

James A. Sabala, has 30+ years mining experience. James was previously executive VP and CFO at Coeur d’Alene Mines and VP and CFO of Stillwater Mining.

Lawrence P. Radford, has 30+ years mining experience. He previously worked for Kinross Gold as VP of South American operations overseeing the La Coipa and Maricunga mines.

Dr. Dean W.A. McDonald, is a geologist with over 30+ years experience. He was previously VP of Exploration for Committee Bay Resources Ltd. and exploration manager at Miramar Mining Company.

David C. Sienko, was appointed VP and General Counsel in 2010. Prior to working at Hecla, he was a partner of K&L Gates LLP, where he specialized in counseling public and private entities on securities compliance, M&A, and corporate governance.

Don Poirier, has 20+ years of mining experience. Prior to joining Hecla, Mr. Poirier was a mining analyst with Blackmont Capital from 2002-2007. Don held other mining analyst positions from 1988 to 2002.

President and CEO

Senior VP and CFO

VP - Operations

VP - Exploration

VP - Corporate Development

VP - General Counsel

Over 150 Years of Combined Experience 33


Q1 2013 - Exploration ProgramThe first quarter 2013 exploration program focused on:

Continued expansion of mineralization along the 5250 and 200 South trends at Greens Creek with the delineation of the newly discovered Deep Southwest zone.

At Greens Creek definition drilling along the 200 South bench and limbs to increase confidence in the resource with goal to convert to reserves.

Exploration drilling of the Middle vein at San Sebastian has defined new mineralization near surface to the southeast. Mineralized intercepts of the North vein define a parallel vein structure north of the Middle vein.

In-fill drilling of the Middle vein has suggested the continuity of the resource and increased confidence to define a significant “indicated resource.”

Narrow, high-grade intersections of the You Like and Midnight veins at the Star expected to extend the mineralization trends.

Drilling along the Equity structure at San Juan Silver suggests a steeply plunging mineralized zone where it intersects the North Amethyst vein trend.

34


Q1 2013 - Pre-Development ProgramsThe first quarter 2013 pre-development programs were focused on:

Metallurgical testing of the Middle vein and Hugh zone ores at San Sebastian to determine the characteristics and appropriate processing methods and mill design.

Hydrology studies and optimization of the mining plan and underground development to access the Middle vein and Hugh zone.

Advancing the Bulldog decline at San Juan Silver in effort to gain access to the underground infrastructure to advance confirmation of historic resources and provide drill platforms in effort to expand the current resource.

Conceptual studies to determine production viability, rate and sequencing of mining at the Bulldog and evaluate processing methods, capital and operating costs and permitting requirements.

Incorporation of the resource from the Star complex into a broader conceptual study on the integration with the Lucky Friday mine.

35


Reserves & Resources Update (on Dec. 31, 2012)

36

Silver Gold Lead Zinc Silver Gold Lead ZincTons (Oz/ton) (Oz/ton) (%) (%) (Ounces) (Ounces) (Tons) (Tons)

Proven and Probable ReservesProven Ore Reserves

Lucky Friday, USA 2,206,600 12.1 — 7.4 2.7 26,778,900 — 163,350 58,560Greens Creek, USA 12,000 9.3 0.095 2.7 7.8 112,500 1,100 330 940Subtotal Proven 2,218,600 26,891,400 1,100 163,680 59,500

Probable ReservesLucky Friday, USA 1,931,700 14.8 — 8.7 3.2 28,676,000 — 167,390 62,300Greens Creek, USA 7,845,600 12.0 0.092 3.4 9.0 94,481,200 718,400 267,410 702,300Subtotal Probable 9,777,300 123,157,200 718,400 434,800 764,600Total Proven & Probable 11,995,900 150,048,600 719,500 598,480 824,100Indicated Resources

Lucky Friday, USA (1) 19,028,600 5.7 — 3.8 2.3 108,704,400 — 731,460 440,470

Greens Creek, USA (2) 448,600 5.9 0.119 3.2 7.0 2,650,500 53,500 14,300 31,580

San Sebastian, Mexico (3) 1,297,300 3.4 0.057 1.1 1.5 4,371,000 73,900 14,640 19,080

San Juan Silver, USA (4) 515,500 14.8 — 2.1 1.1 7,619,600 — 10,760 5,820

Star Complex, USA (5) 1,061,200 3.0 — 6.4 7.5 3,235,200 — 68,340 80,100Total Indicated Resources 22,351,100 126,580,700 127,400 839,500 577,050

Inferred ResourcesLucky Friday, USA (6) 6,921,900 9.1 — 5.6 2.3 62,651,500 — 384,930 158,240

Greens Creek, USA (7) 3,784,500 11.4 0.100 2.4 6.2 42,977,300 379,200 92,130 233,110

San Sebastian, Mexico (8) 5,695,900 4.2 0.028 0.5 0.6 23,897,400 159,700 25,880 36,040

San Juan Silver, USA (9) 3,078,200 10.7 0.012 1.3 1.1 33,096,400 35,600 40,990 34,980

Star Complex, USA (10) 2,972,300 3.2 — 5.9 5.5 9,377,900 — 174,080 163,480

Monte Cristo, USA (11) 913,300 0.3 0.144 — — 271,000 131,300 — —Total Inferred Resources 23,366,000 172,000,500 705,900 718,010 625,860

Note: All estimates are in-situ

(1) Indicated Resources from Gold Hunter and Lucky Friday vein systems diluted and factored for expected mining recovery.(2) Indicated Resources only in Gallagher orebody, factored for dilution and mining recovery.(3) Indicated Resources diluted to minimum mining width of 2.0 meters for Hugh Zone, 1.5 meters for Andrea Vein.(4) Indicated Resources diluted to minimum mining width of 6.0 feet for Bulldog.(5) Indicated Resources diluted to minimum mining width of 4.3 feet.(6) Inferred Resources from Gold Hunter and Lucky Friday vein systems diluted and factored for expected mining recovery.(7) Inferred Resources in East Ore, Gallagher, NWW, 200S orebodies, factored for dilution and mining recovery.(8) Inferred Resources diluted to minimum mining width of 2.0 meters for Hugh Zone, 1.5 meters for Andrea & Middle veins.

San Sebastian Hugh Zone also contains 29,720 tons of Cu at 1.46% Cu within 1,949,800 tons of ore. (9) Inferred Resources diluted to minimum mining width of 6.0 feet for Bulldog, 5.0 feet for Equity & North Amethyst veins.(10) In situ Inferred Resources diluted to minimum mining width of 4.3 feet.(11) Inferred Resources diluted to minimum mining width of 5.0 feet.


Casa Berardi Reserves (on Dec. 31, 2012)

37

Note: All estimates are in-situ; Rounding may affect totals.1. Open pit mineral reserves were estimated by BBA and underground mineral reserves were estimated by Aurizon personnel.

Mineral reserves and resources estimates have been completed in accordance with the CIM Standards with regards to mineral reserves and mineral resources estimates. Mineral resources are exclusive of mineral reserves. Mining depletion for 2012 is included in 2012 Mineral reserves.

Mineral reserves are estimated at a cut-off grade of 4.12 g/t Au for underground, and 1.2 g/t Au for East Mine open pit and 0.5g/t Au for Principal open pit. Mineral reserves are estimated using an average long-term gold price of US$1,350 per ounce and a US$/C$ exchange rate of 1:1. A minimum mining width of three meters was used. Open pit mineral resources of Principal and East Mine were estimated by BBA. Open pit mineral resources of 160 zone and underground mineral resources of 160 and South

West zones were reported in an internal report by InnovExplo –Consulting

Proven Reserves

Silver Gold Lead Zinc Silver Gold Lead ZincAsset Location Ownership Tons (000) (oz/ton) (oz/ton) % % (000 oz) (000 oz) Tons Tons

Casa Berardi Canada 100.0% 1,099 -- 0.18 -- -- -- 192 -- --

Total………………… 1,099 -- 192 -- --

Probable Reserves

Silver Gold Lead Zinc Silver Gold Lead ZincAsset Location Ownership Tons (000) (oz/ton) (oz/ton) % % (000 oz) (000 oz) (Tons) (Tons)

Casa Berardi Canada 100.0% 7,950 -- 0.16 -- -- -- 1,269 -- --Total………………… 7,950 -- 1,269 -- --

Proven and Probable ReservesSilver Gold Lead Zinc Silver Gold Lead Zinc

Asset Location Ownership Tons (000) (oz/ton) (oz/ton) % % (000 oz) (000 oz) (Tons) (Tons)

Casa Berardi(1)……… Canada 100.0% 9,049 -- 0.16 -- -- -- 1,461 -- --Total………………… 9,049 -- 1,461 -- --


Reserve Grades vs. Silver Prices

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Mandalay

First Majestic

Hocschild

Hecla

Endeavour Silver

Fortuna

Pan American Coeur

Silver Standard

0

50

100

150

200

250

300

350

400

450

$20 $25 $30 $35

Silv

er G

rade

oz/

t

Silver Price $/oz

Source – Proven and Probable Reserves, Data from Public Filings


Casa Berardi - Long Section

1

39


191

$694

$268

$193$103

$45

40

$105

$231

0

200

400

600

800

1,000

2009 Ending Cash

EBITDAX Capex Basin Stmt. Expl. & Predev. Others 2012 PF Ending Cash

Cash Flow GenerationAdjusted EBITDAX(1)

2009-2012 Cash Bridge(2)

1. Adjusted EBITDAX reconciliation in appendix.2. Aurizon’s cash of $75 million is net of the cash portion of the transaction after assuming $500 million in notes financing.3. Includes dividends, Lucky Friday suspension costs and miscellaneous.

AurizonHecla

(3)

(US$mm)

(US$mm)

$143

$235 $288

$171

$287

$0

$100

$200

$300

2009A 2010A 2011A 2012A 2012 Pro forma

40

$116

$171

$41

$190


Hecla EBITDAX Reconciliation

Note: All monetary amounts presented in thousands of dollars.

41

US$ millions 2008A 2009A 2010A 2011A 2012A PF 2012A

Net Income from Continuing Operations ($37,173) $67,826 $48,983 $151,164 $14,954 $21,625

Plus: Depreciation 35,846 63,061 60,235 47,348 50,113 96,530

Plus: Income Taxes 3,807 (7,680) (123,532) 81,978 8,879 18,054

Plus: Interest Expense 19,573 11,326 2,211 2,875 2,427 32,218

Less: Interest and Other Income (3,842) (1,121) (126) 87 (22) (2,258)

Plus: Debt-Related Fees -- 5,973 -- -- -- --

EBITDA $18,211 $139,385 ($12,229) $283,452 $76,351 $166,169

Plus: Loss on Impairment of Investments $373 $3,018 $739 $140 $1,171 $1,171

Plus / (Less): Net Loss (Gain) on Sale of Investments (8,097) (4,070) (588) (611) -- --

Plus / (Less): Loss (Gain) on Derivative Contracts -- -- 20,758 (37,988) 10,457 10,264

Plus: Provision for Closed Operations and Environmental Matters 4,312 7,721 201,136 9,747 4,652 4,652

Plus: Termination of Employee Benefit Plan -- (8,950) -- -- -- --

Plus: Lucky Friday Suspension-Related Costs -- -- -- -- 25,309 25,309

Plus / (Less): Loss (Gain) on Disposition of PPE and Mineral Interests (203) (6,234) 80 -- 275 275

Plus: Pre-Development -- -- -- 4,446 17,916 17,916

Plus: Share-Based Compensation 4,122 2,746 3,446 2,073 3,101 8,415

Adjusted EBITDA $18,718 $133,616 $213,342 $261,259 $139,232 $234,171

Plus: Discretionary exploration expense $22,471 $9,247 $21,605 $26,959 $31,822 $52,708

Adjusted EBITDAX $41,189 $142,863 $234,947 $288,218 $171,054 $286,879


Aurizon EBITDAX Reconciliation


C$millions 2008A 2009A 2010A 2011A 2012A

Net Income from Continuing Operations $4,921 $36,706 $17,240 $43,931 $31,807

Plus: Income Taxes 6,602 20,706 13,911 42,653 24,266

Plus: Interest Expense 2,692 485 750 1,112 856

Plus: Depreciation 35,582 36,514 34,249 39,131 37,729

Less: Interest and Other Income (1,705) (498) (719) (1,538) (2,236)

EBITDA $48,092 $93,913 $65,431 $125,289 $92,422

Plus / (Less) : Other Net Losses (Gains) ($4,524) ($288) ($2,157) $457 $1,840

Plus / (Less): Loss (Gain) on Derivative Contracts 10,586 (4,946) 4,402 (165) (193)

Plus / (Less): Loss (Gain) on Foreign Exchange (1,059) 2,413 -- -- --

Plus: Non refundable tax credits -- (4,468) -- -- --

Plus / (Less): Capital Taxes (Recoveries) 397 837 -- -- --

Plus: Share-Based Compensation 4,003 2,865 7,564 6,526 5,313

Plus: Pre-Development -- -- -- -- --

Adjusted EBITDA $57,495 $90,326 $75,240 $132,107 $99,382

Plus: Exploration $11,426 $3,769 $15,643 $26,468 $17,899

Adjusted EBITDAX $68,921 $94,095 $90,883 $158,575 $117,281

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43

Silver - Total Cash Cost GAAP Reconciliation Reconciliation of Cash Costs per Ounce to Generally Accepted Accounting Principles (GAAP)

(dollars and ounces in thousands, except per ounce - unaudited)

Q1/2013 2012 2011 2010 2009 2008 2007

Total cash costs(1)13,346$ 17,262$ 10,934$ (15,435)$ 20,958$ 36,621$ (15,873)$

Divided by silver ounces produced 1,901 6,394 9,483 10,566 10,989 8,709 5,643 Total cash cost per ounce produced 7.02$ 2.70$ 1.15$ (1.46)$ 1.91$ 4.20$ (2.81)$

Reconciliation to GAAP:Total cash costs 13,346$ 17,262$ 10,934$ (15,435)$ 20,958$ 36,621$ (15,873)$

Depreciation, depletion and amortization 14,007$ 43,522$ 47,066$ 60,011$ 62,837$ 35,207$ 12,323$

Treatment costs (18,597)$ (73,355)$ (99,019)$ (92,144)$ (80,830)$ (70,776)$ (27,617)$

By- products credits 46,577$ 190,916$ 254,372$ 267,272$ 206,608$ 164,963$ 112,079$ Change in product inventory (4,604)$ (1,381)$ (4,805)$ 3,660$ 310$ 20,254$ (1,261)$ Suspension-related costs(2) -$ -$ 4,135$ -$ -$ -$ -$ Reclamation, severance and other costs 103$ 663$ (44)$ 630$ 1,596$ 537$ 203$

Costs of sales and other direct production costs and depreciation, depletion and amortization (GAAP) 50,832$ 177,627$ 212,639$ 223,994$ 211,479$ 186,806$ 79,854$

1. Cash cost per ounce of silver represents a non-U.S. Generally Accepted Accounting Principles (GAAP) measurement that the Company believes provide management and investors an indication of net cash flow. Management also uses this measurement for the comparative monitoring of performance of mining operations period-to-period from a cash flow perspective. “Total cash cost per ounce” is a measure developed by mining companies in an effort to provide a uniform standard for comparison purposes; however, there can be no assurance that our reporting of this non-GAAP measure is similar to that reported by other mining companies. Cost of sales and other direct production costs and depreciation, depletion and amortization, was the most comparable financial measures calculated in accordance with GAAP to total cash costs.

2. Production had been temporarily suspended at the Lucky Friday Unit as work was performed to rehabilitate and enhance the Silver Shaft, the primary access from surface to the underground workings at the Lucky Friday mine. The Silver Shaft work was completed in early 2013 and limited production resumed at the Lucky Friday starting in February 2013. Care and maintenance costs incurred at the Lucky Friday during the suspension of production are included in a separate line item under Other operating expenses on the Condensed Consolidated Statement of Operations and Comprehensive Income (Unaudited) in the 10-Q for the quarter ending March 31, 2013, and have been excluded from the calculation of total cash costs for the three month periods ended March 31, 2013 and 2012.


Gold - Total Cash Cost GAAP Reconciliation

1. Cash cost per ounce of gold represents a non-U.S. Generally Accepted Accounting Principles (GAAP) measurement that the Company believes provide management and investors an indication of net cash flow. Management also uses this measurement for the comparative monitoring of performance of mining operations period-to-period from a cash flow perspective. “Total cash cost per ounce” is a measure developed by mining companies in an effort to provide a comparable standard; however, there can be no assurance that our reporting of this non-GAAP measure is similar to that reported by other mining companies. Cost of sales and other direct production costs and depreciation, depletion and amortization, was the most comparable financial measures calculated in accordance with GAAP to total cash costs.

44

Reconciliation of Cash Costs per Ounce to International Financial Reporting Standards (2010-2013) & Generally Accepted Accounting Principles (2006-2009)

(dollars and ounces in thousands, except per ounce - unaudited)

Q1/2013 2012 2011 2010 2009 2008 2007 2006

Cash Operating Costs (1) US$000 21,276$ 93,298$ 88,705$ 75,758$ 63,896$ 63,664$ 53,192$ 2,118$ Divided by gold ounces sold 26,200 133,990 165,250 139,950 159,275 159,404 160,600 6,882

Total cash cost per ounce sold US$/oz 812$ 696$ 537$ 541$ 401$ 399$ 331$ 308$

Reconciliation to IFRS/GAAP:

Cash Operating Costs US$000 21,276$ 93,298$ 88,705$ 75,758$ 63,896$ 63,664$ 53,192$ 2,118$

Average US$/C$ exchange rate 1.008$ 1.000$ 0.989$ 1.030$ 1.142$ 1.070$ 1.080$ 1.150$

Cash Operating Costs C$000 21,453$ 93,259$ 87,735$ 78,031$ 72,936$ 68,120$ 57,447$ 2,436$

Plus: Silver by-product credits 181$ 990$ 1,063$ 632$ 543$ 485$ 392$ -$ Plus: Depreciation and amortization 8,905$ 37,539$ 38,927$ 34,060$ 36,514$ 35,582$ 29,754$ 1,239$

Costs of sales and other direct production costs and depreciation, depletion and amortization (IFRS/GAAP) C$000 30,539$ 131,788$ 127,725$ 112,723$ 109,993$ 104,187$ 87,593$ 3,675$


45

Total Cash Cost GAAP Reconciliation

1. Cash costs per ounce of silver represent non- U.S. Generally Accepted Accounting Principles (GAAP) measurements that the Company believes provide management and investors an indication of net cash flow. Management also uses this measurement for the comparative monitoring of performance of mining operations period-to-period from a cash flow perspective. "Total cash cost per ounce" is a measure developed by mining companies in an effort to provide a uniform standard for comparison purposes; however, there can be no assurance that our reporting of this non-GAAP measure is similar to that reported by other mining companies. Cost of sales and other direct production costs and depreciation, depletion and amortization was the most comparable financial measures calculated in accordance with GAAP to total cash costs.

Reconciliation of Cash Costs per Ounce to Generally Accepted Accounting Principles (GAAP) (dollars and ounces in thousands, except per ounce - unaudited)

Q1/13 Q1/12

Total cash costs1 13,346$ 2,976$ Divided by silver ounces produced 1,901 1,329

Total cash cost per ounce produced 7.02$ 2.24$

Reconciliation to GAAPTotal cash costs 13,346$ 2,976$ Depreciation, depletion and amortization 14,007 9,661

Treatment and freight costs (18,597) (17,695) By-product credits 46,577 46,353 Change in product inventory (4,604) 1,805 Reclamation and other costs 103 (149)

Cost of sales and other direct production costs and depreciation, depletion and amortization 50,832$ 42,951$


Greens Creek Cash Cost Reconciliation

46

GREENS CREEK UNIT Q1 2013

Total cash costs $ 8,942 Divided by ounces produced 1,781

Total cash cost per ounce produced $ 5.02 Reconciliation to GAAP:

Total cash costs $ 8,942 Depreciation, depletion and amortization 12,679 Treatment costs (17,813) By-product credits 44,966 Change in product inventory (4,162) Reclamation and other costs 99 Cost of sales and other direct production costs and depreciation, depletion and amortization (GAAP) $ 44,711

1. Cash costs per ounce of silver represent non- U.S. Generally Accepted Accounting Principles (GAAP) measurements that the Company believes provide management and investors an indication of net cash flow. Management also uses this measurement for the comparative monitoring of performance of mining operations period-to-period from a cash flow perspective. "Total cash cost per ounce" is a measure developed by mining companies in an effort to provide a uniform standard for comparison purposes; however, there can be no assurance that our reporting of this non-GAAP measure is similar to that reported by other mining companies. Cost of sales and other direct production costs and depreciation, depletion and amortization was the most comparable financial measures calculated in accordance with GAAP to total cash costs.


Adjusted Earnings Reconciliation

47

Reconciliation of Net Income Applicable to Common Shareholders (GAAP) to (dollars and ounces in thousands, except per ounce - unaudited)

Three Months Ended March 31

2013 2012Net income applicable to common shareholders (GAAP) 10,956$ 12,434$ Adjusting items:

(Gains)/losses on derivatives contracts (21,539) 5,231Environmental accruals 0 769Provisional price (gains)/losses 2,700 (5,137)Lucky Friday suspension-related costs 1,498 6,166Aurizon acquisition costs 5,292 0Income tax effect of above adjustments 4,458 (2,530)

Adjusted income applicable to common shareholders 3,365$ 16,933$

Weighted average shares - basic 285,171 285,292

Weighted average shares - diluted 297,164 296,928

Basic adjusted income per common share 0.01$ 0.06$

Diluted adjusted income per common share 0.01$ 0.06$

1. Earnings After Adjustments and Earnings After Adjustments per share are non-GAAP measures which are indicators of our performance. They exclude certain impacts which are of a nature which we believe are not reflective of our underlying performance. Management believes that earnings after adjustments per common share provides investors with the ability to better evaluate our underlying operating performance.


Hecla Adjusted EBITDA Reconciliation

This presentation refers to a non-GAAP measure of Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”), which is a measure of our operating performance. Adjusted EBITDA is calculated as net income before the following items: interest expense, income tax provision, depreciation, depletion, and amortization expense, exploration expense, predevelopment expense, Aurizon acquisition costs, Lucky Friday suspension-related costs, interest and other income (expense), gains and losses on derivative contracts, and provisional price gains and losses. Management believes that, when presented in conjunction with comparable GAAP measures, Adjusted EBITDA is useful to investors in evaluating our operating performance. The table above reconciles net income to Adjusted EBITDA.


48

Three Months Ended March 31,2013 2012

Net Income 11,094$ 12,572$

Plus: Interest expense 704 467Plus: Income taxes 7,415 7,315Plus: Depreciation, depletion, and amortization 14,711 11,269Plus: Exploration expense 6,493 5,611Plus: Pre-development expense 4,791 3,366Plus: Aurizon acquisition Costs 5,292 0Plus: Lucky Friday suspension-related costs 1,498 6,166Plus/(Less): Interest and other (income) expense 113 (149)Plus/(Less): (Gains)/losses on derivative contracts (21,539) 5,231Plus/(Less): Provisional price (gains)/losses 2,700 (5,137)

Adjusted EBITDA 33,272$ 46,711$

Reconciliation of Adjusted EBITDA to Generally Accepted Accounting Principles (GAAP)


Aurizon Adjusted EBITDA Reconciliation

This presentation refers to a non-GAAP measure of Adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”), which is a measure of our operating performance. Adjusted EBITDA is calculated as net income before the following items: interest expense, income tax provision, depreciation, depletion, and amortization expense, exploration expense, predevelopment expense, Aurizon acquisition costs, Lucky Friday suspension-related costs, interest and other income (expense), gains and losses on derivative contracts, and provisional price gains and losses. Management believes that, when presented in conjunction with comparable GAAP measures, Adjusted EBITDA is useful to investors in evaluating our operating performance. The table above reconciles net income to Adjusted EBITDA.


49

Three Months Ended March 31, 2013

Net Income ($2,936)Plus: Interest expense $203Plus: Income taxes $1,711Plus: Depreciation, depletion and amortization $8,947Plus: Exploration expense $1,851Plus: Pre-development expense $0Plus/(Less): Interest and other (income) expense ($514)Plus: Debt related fees $0

Adjusted: EBITDA $9,262

Reconciliation of Adjusted EBITDA to Generally Accepted Accounting Principles (GAAP)


50

Silver Space

Source: MEG, BMO Capital Markets (06/17/13)


Silver Space

51 Source: Company Filings, BMO Capital Markets (06/17/13)


Silver Space

52 Source: Company Filings, BMO Capital Markets (06/17/13)

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