Slide 1: Company Update, January 27, 2012
CREATING VALUE HECLA PROPERTIES ORGANIC GROWTH KEY MILESTONES Company Update January 27, 2012 MINING COMPANY
Slide 2: Cautionary Statements
Sra "> HECLA MINING COMPANY Cautionary Statements 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 res
Slide 3: Largest silver producer in the U.S.
Largest silver producer in the U.S. with 2011 silver production expected to be more than 9 million ounces Mining for more than 120 years = 50% silver production growth anticipated over the next 5 years New common stock dividend Share re-rating opportunity Operations |locatedin a stable political env
Slide 4: Capital Structure & Financial Position
Slide 5: Strong Balance Sheet
HECLA MINING COMPANY a = Opportunities. MINING COMPANY Strong Balance Sheet
Slide 6: Strategy to build a solid asset base through acquired land packages
Over the past 10+ years Hecla’s strategy to builda solid asset base by acqui ed land packages has nowsetthe stage for a prosperous future > Consolidation of large land packages via acquisitions in Alaska, Idaho, Colorado, and Mexico ‘4 1984 ~- Merger with Day Mines consolidating the Silver Valley ‘4
Slide 7: U.S. Based Operating Properties
" HECLA MINING COMP 2. U.S. Based Operating Properties = Two strong and long-lived mines in the U.S. = Greens Creek Mine, Alaska, operating since 1989 = Lucky Friday Mine, Idaho, operating seus Gt0008 Cr00k since 1942 cevotngerceary [| ——~e = Pre-development and exploration projects Corea in U.S. &
Slide 8: Greens Creek (Alaska)
Mine production startup — 1989 One of the world’s largest high-grade and low-cost silver mines More than 200 mm ounces of silver produced to date Very large and under-explored 27- square-mile land position 30-mile strike length identified and projected mine contact on surface = 7 mm ounces of annual
Slide 9: Lucky Friday & Silver Valley (Idaho)
a hs a genes HECLA MINING COMPANY Lucky Friday & Silver Valley (Idaho) = Mine production startup — 1942 = More than 145 mm ounces of silver ‘Lucky Friday Mine produced to date ae: = Largest reserve and resource in history of mine - exploration has doubled silver reserves since 2007 to 42.3 mm ounces
Slide 10: Lucky Friday (Idaho)
ad ©) HECLA MINING COMPANY Lucky Friday (Idaho) = Production expected to resume in early 2013 = 2012 Activities: = Silver Shaft rehabilitation = Construction of bypass = Mine upgrades = Safety training = Majority of cash flow generated at the Lucky Friday since 2009 has been reinvested in the develo
Slide 11: Low Cash Costs
= ry 3. Low Cash Costs $40 5 $35 $30 $25 $20 $loz $15 ) $12.10 = iy 4 "> HECLA MINING COMPANY $22 $0.24 ($5) < ($2.81) 2006 2007 2008 $4.20 uauCash Cost Per Ounce’ $14.40 — $10 : $5 $o + @aCash Margin $1.91 ET $1.03 6052 $0.67 2009 2010 Qi11 Q2/11 Q3/11 ~ Realized Silver Price” 1. Total cash cost pe
Slide 12: Quarterly results chart
HECLA MINING COMPANY $82.3 $40.7 Q3 2010 Q4 2010 $66.3 : | Q1 2011 Q2 2011 (millions) $60.7 Q3 2011 2
Slide 13: Cash and Cash Equivalents
Cash and Cash Equivalents (millions) Q3/09 Q4/09 Q1/10 Q2/10 Q3/10 Q4/10 Qt Q2/11 Q3/11 41. Subsequentto September 20, 2011, Hecla Limited made payments totaling approximately $168 millon_for the Coeur dAlene Basin environmental settlement. 8
Slide 14: Declared Dividend of $0.02 per Share
Sap ae Declared Dividend of $0.02 per Share of Common Stock’ $0.30 5 sae $37.02 Ave. realized silver price in Q3/11? $0.20 $0.15 $0.10 $0.05 Annual Dividend Per Share ($) $0.00 +- $30.00 | $35.00 | $40.00 $45.00 $50.00 $55.00 $60.00 | Silver Price Per Ounce (for illustrative purposes) Shareholder Si
Slide 15: Historical and Forecasted Silver Production
HECLA MINING COMPANY 15 4 Historical Forecasted Change in production due to lower grade in mine plan sequence er-mm oz 2007 2008 2009 2010 2011E_— 2012E* 2013E_—«2014E_—-2015E = 2016E~— «2017 4._ No production atLucky Friday in2012— Silver Shaft clean-up and mine upgrades (see slide 9) 18
Slide 16: Key Growth Initiatives Timeline
HECLA MINING COMPANY Properties/Activities 2011 | 2012 | 2013 | 2014 | 2015 | (7 LUCKY FRIDAY #4 SHAFT (MULLAN, ID) @ Board Approval Q3t1 @ Pre-sink & Set up Q4iit O Shaft Sinking Q415 STAR (SILVER VALLEY, ID) @ Star 2000 Rehabilitation Q3/11 @ Initiate Underground Drilling 4/11 CO Mineability Study
Slide 17: Organic Growth - Lucky Friday #4 Shaft
Organic ¢ 7 enV | HECLA MINING COMPANY Estimated 60% silver production increase from ~ 3.0 to 5.0 mm ounces/year (expected ramp-up period 2016-2017) Internal 18-foot diameter shaft 5900 levet~ me descending from 4,900 to 8,800 feet below surface Fen0ilevel Completion targeted by year-end S aaa! 2015
Slide 18: Lucky Friday #4 Shaft progress
Ey] Wogan Gorn ice Friday #4 Shaft Detailed Design 100% Off Shaft Development 83% Shaft Development 14% Major Procurements 80% Total Construction 41% 18
Slide 19: Organic Growth - Star Pre-development
Organic Growth - Star Pre-development = Hecla has re-opened the Star for definition & exploration drilling = Portal rehabilitation and ventilation adit have been successfully completed = Two scoping studies underway: = Mineability study (Upper Country) (Q1/12) = Star dewatering study (Q3/12) Noonday
Slide 20: Organic Growth - Star Pre-development
HECLA MINING COMPANY Organic Growth - Star Pre-development Noonday - Silver and Lead-Rich Mineralization Open to the East Noonday N. Split Vein a=—"" vein + 2011 Drill Hole = 4 2010 Drill Hole Star Phoenix Ramp + ND-12 + ND-16 + + np-14 * 1100 Level + ND-17 ND-26 (in progress) + ND-15 + np-20 + Morn
Slide 21: San Juan Silver pre-development
HECLA MINING COMPANY = Historic Bulldog mine produced 25 million ounces of silver before closing in 1985 = Acquired 100% interest in defined mineralization of San Juan Silver property = 2011 Activities: Equity = Completed conceptual study & water ( management ponds 4 Amethyst = Equity ramp rehabilit
Slide 22: Equity Vein drill trace
Drill Trace of WE 1031 Decine Ramp Drifts Ventiation Shaft Planned Dril Hole Dri Trace Equity Vein } 0.31 opt Au, 31 opt Ag over 2.5 ft; 0.18 opt Au, 13 opt Ag over 7.0 ft amp View looking East Trace of Equity Vein SEE 500 feet 2 | WALI
Slide 23: San Sebastian pre-development
The Hugh Zone is a high-grade down dip extension of the past producing Francine Vein Updating 2005 Hugh Zone scoping study for potential mine re-opening = Hydrology study = Scoping study Q3/12 Evaluating mineability of silver gold- rich Andrea Vein Pre-developme: Santa Eulalia Batopilas Fresnillo Mi
Slide 24: San Sebastian drill section
AW 35° SE Looking NE Sept 2010 (Projected to Section) Programmed Drill Hole In Progress or Assays Pending Completed Drill Hole June 2011 Oct. 2011 24
Slide 25: Key Growth Initiatives Timeline
HECLA MINING COMPANY Properties/Activities 2011 | 2012 | 2013 | 2014 | 2015 | (7 LUCKY FRIDAY #4 SHAFT (MULLAN, ID) @ Board Approval Q3t1 @ Pre-sink & Set up Q4iit O Shaft Sinking Q415 STAR (SILVER VALLEY, ID) @ Star 2000 Rehabilitation Q3/11 @ Initiate Underground Drilling 4/11 CO Mineability Study
Slide 26: 2011 Guidance and 2012 Guidance
HECLA MINING COMPANY 2011 Guidance = Silver production expected to be more than 9 mm ounces and cash costs approximately $1.00 per ounce of silver, net of by-product credits, at recent metals prices = $110 mm in capital expenditures = $27 mm in exploration Greens Creek ~ $8 mm Lucky Friday/Silver Va
Slide 27: Growth Consistent with Peers
HECLA MINING COMPANY Growth Consistent with Peers al environment (| | cov" SILVER PRODUCER ar
Slide 28: Appendix
Trae ECLA pRoPenTies EY MILESTONES Appendix MINING COMPANY
Slide 29: EPS & CFPS vs. Silver
EPS & CFPS vs. Silver Q1/2008 — Q3/2011 $45.00 $0.40 $40.00 I $0.30 3 $36.00 +272% oe E : $0.20 2 $30.00 ef a + 52% $0.10 0 8 $26.00 : = + 116% 2 3 $20.00 sooo 8 ? $16.00 {e030} $10.00 ($0.20) $5.00 Silver Price ——EPS CFPS | ($0.30) $0.00 (80.40) 29
Slide 30: Price/Net Asset Value
HECLA MINING COMPANY Price/Net Asset Value 2.0x 5 1.8x 5 1.6Xx — Source — Average Analyst Valuations as of January 17, 2012 * Stock prices as of January 25, 2012 30
Slide 31: Peer valuation vs. market cap
NG COMPANY Coeur = z @ B 300 @ = Pan American Fa & it 250 < 7 8 oO = 200 5 & £ Hecla Valuation at © 150 ‘Average P/CF £ H1/2011A Mutiple* £ 2 100 sineic First Majestic 50 Endeavour Silver Fortuna @ @ 0 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 Market Cap - US$ Billions 31 * Weighted Average PICF H1/2011AMu
Slide 32: Silver demand and investment
HECLA MINING COMPANY Investment 14% Investment 17% Coins 9% Industrial 41% Coins 10% Jewelry & Silverware aig 24% Dehedging Silverware Photography 3 21% Photography 7% = 66% rise in 2011 world investment demand to $10 B compared to 2010 9% = 21% industrial demand growth from 2009 to 2010 - nearly re
Slide 33: Industrial silver demand
HECLA MINING COMPANY Industrial Photographic Jewelry m2015F m2009 “2000 Silverware Coins and Medals — % of Total Fabrication = Silver’s industrial demand has increased 40% from 350 mm oz in 2001 to 487 mm oz in 2010 and is expected to grow an additional 37% by 2015 = Silver price forecasted to conti
Slide 34: Silver Consumption by End-Use, 2010
HECLA MINING COMPANY Silver Consumption by End-Use, 2010 Silver Consumption per Unit of Demand* Cell phones 250mg/handset! PCs & laptops 1 g/unit’ Automobiles 10-30 g/vehicle PDPs 10 g/screen Thick film PV 0.15-0.25 gi/cell? Button Batteries 1g/unit Product Demand® Total Silver Consumption® 1.6 bn 1
Slide 35: Resources and Reserves (mm oz)
tResources(mm oz) Reserves (mm oz) New underground drilling capacity will create more resource growth opportunities 35
Slide 36: 2011 Exploration Activities
2011 Activities Targets Strategic Focus Budget Greens Creek, AK Surface & U/G drilling, geochem, geophysics -NE Contact -200 South -5250 South -Gallagher -East Ore -West Bruin -Lil Sore -R&R definition -Identifying new ore zonesitargets $8mm Lucky Friday/ Silver Valley, ID Surface & UG drilling, geo
Slide 37: Greens Creek (Alaska) - 2010 Overview
Slide 38: Gallagher resource extensions
38 Gallagher Resource extensions Looking NE ‘| Northeast | Contact intersection
Slide 39: 1. Tota cath costger ounce of iver regresents anon-U.S. General Accepted Aosounting Pinos (GAAP)
1. Tota cath costger ounce of iver regresents anon-U.S. General Accepted Aosounting Pinos (GAAP) measurement, Araconctaton of total cash cots toostot ales and other dest production costs and eprecation, depletion and amorization (GAAP) can be foundin tne Append
Slide 40: Interesting targets
interesting targets: + Noonday + Star + You Like — 30 Vein + >320M oz Ag produced
Slide 41: Silver Fault Zone drill intersections
a 500° HECLA miNinG Company fersected 30 Vein and Inter iate Veins in a Block of the Silver Fault © DDH Pierce Point [i Mined out Area o 250 Drill intersections in Silver Fault Zone 2010 Resource Boundary — 4050 Lv. — 4900 Lv. — 5900 Lv. Definition 8000 Lv.
Slide 42: San Juan Silver - Exploration
— Se, San Juan Silver - | Val xploration ee ee are HECLA MINING COMPANY Amethyst Vein in Plane of Equity Structure +2,000 — 11,000 — 10,000 — 9,000 — Drill Site WE-1031 [i Rat Creek Tuff GH Campbell Mtn. Tuff [il Bachelor Age Sediments [@ Bristol Head Andesite [Undifferentiated intrusive 42
Slide 43: San Sebastian Hugh Zone Updating Scoping Study
_ ep mt "> HECLA MINING COMPANY San Babastione Pacer Zone Updaing Scoping Study HUGH ZONE RESOURCE = 1,142,500 tonnes 2000 - 9,186,200 oz Ag = 14,300 oz Au - 33,000 tonnes Pb - 24,193 tonnes Cu - 49,900 tonnes Zn 1800 1600 500 0 500 1000 1500 2000 «Commodity Prices used in 2006 Scoping Study *Gold -
Slide 44: Coeur d'Alene River Basin environmental settlement
HECLA MINING COMPANY = Court approved consent decree for the Coeur d’Alene River Basin environmental litigation on September 8, 2011 = Settled Hecla Limited's historic environmental liability in the Basin and the remaining obligations in the Box = Hecla expects to pay $159 mm, net of expected relate
Slide 45: Hecla company history milestones
HECLA MINING COMPANY ee ‘A Merger between Hecia and Lucky Friday Silver-Lead Mines is completed 4 Hecla is listed on the New York Stock Exchange 1979 4 Best performer on the New York Stock Exchange 1984 4 Merger with Day Mines consolidating the Silver Valley ——F San Sebastian acatisiion | 2006 | A I
Slide 46: Revenue by metal, Q3 2011
Silver “Gold mLead «Zinc Based on Realized Prices Q3/2011 Silver $ 37.02/0z Gold $ 1,799/0z Zine $ 1.04/b Lead $ 1.01/lb 46
Slide 47: Proven and Probable Reserves and Resources
HECLA MINING COMPANY ne Tons (o2ron) (omen) p08) ouness) ounces) (Tons) rons) Proven and Probable Reserves ‘uct Fray Unt USA sco me - s wasn : som eon ‘ueky Fray Unt Us sissc0 ua - reson - sco es Green cree, US ane00 m1 coe ss 8 sersa0%0 verano isco vessco ety Fay Unt Use uss oo - 4 mass = esoxco sa
Slide 48: Reconciliation of Cash Costs per Ounce to GAAP
Reconciliation of Cash Costs per Ounce to Generaly Accepted Accounting Principles (GAAP) (dolars and ounces in thousands, except per ounce -unaudited) att att aut 210 2008 2008 2007 2006 Tota cash ests" $ 153 $ 1169 $ 259 $ (15439 § 29% $ Ex $ (158R) $ 1,09 Died by sive ounces produced S208 $ 20 § 2
Slide 49: Reconciliation of Cash Costs per Ounce to GAAP
Reconciliation of Cash Costs per Ounce to Generally Accepted Accounting Principles (GAAP) (dollars and ounces in thousands, except per ounce - unaudited) YTD Q3itt Q3io September 30, 2014 Total cash costs! $ 1,533 $ (2,741) $ 5,257 Divided by silver ounces produced 2,288 2.713 6,993, Total cash cost
Slide 50: Reconciliation of Cash Costs per Ounce to GAAP
1 2 Reconciliation of Cash Costs per Ounce to Generally Accepted Accounting Principles (GAAP) (dollars and ounces in thousands, except per ounce - unaudited) Greens Creek Lucky Friday Year ended December 31 200 2010 Total cash costs" $ (28,073) $ 12,638 Divided by silver ounces produced $s 7,207 _$