Hecla Nearly Doubles Exploration Budget

Why It Matters

Doubling the exploration spend signals Hecla’s confidence in extending its reserve base and meeting growing silver demand, while boosting investor sentiment in a tight commodities market.

Key Takeaways

• Exploration budget rises to $55 million, nearly double prior year.
• Reserve base stands at 231 million silver ounces.
• Nevada's Midas project targets high‑grade discovery.
• Share price jumped 9% on announcement.
• CEO emphasizes refined technical standards for reserve modeling.

Pulse Analysis

Hecla Mining’s decision to nearly double its 2026 exploration budget reflects a broader industry shift toward aggressive reserve replacement. After a year of solid production—17 million ounces of silver, half from the low‑cost Greens Creek mine—the company is allocating $55 million to deepen drilling at existing sites and pursue new targets. This level of spending places Hecla among the most proactive U.S. miners, signaling confidence that additional high‑grade ounces can be uncovered without relying on costly acquisitions.

The focus on Nevada’s historic Midas district underscores Hecla’s strategy to tap high‑grade, near‑surface deposits that can be brought online quickly. Midas, which previously yielded 27 million ounces of silver, offers district‑scale potential that could significantly boost future output. Coupled with ongoing drilling at Greens Creek, Keno Hill, and Lucky Friday, the expanded budget aims to convert inferred resources into proven reserves, strengthening the company’s balance sheet and supporting long‑term dividend sustainability amid rising silver prices driven by industrial and investment demand.

Investors responded positively, with the stock rallying 9% and market capitalization climbing to $15.2 billion. The move also highlights Hecla’s emphasis on refined technical standards, enhancing the credibility of its reserve estimates—a critical factor for analysts evaluating mining firms. As the U.S. mining sector seeks to reduce reliance on foreign supply chains, Hecla’s proactive exploration could set a benchmark for domestic producers, positioning the company to capture a larger share of the global silver market while delivering shareholder value.

Hecla nearly doubles exploration budget

Staff Writer · February 13, 2026 · 9:01 am · Hecla Mining to speed up growth by expanding into Latin America

Greens Creek, in southeast Alaska, is one of the world’s largest and lowest‑cost primary silver mines. (Image courtesy of Hecla Mining.)

Hecla Mining Company (NYSE: HL), the largest silver producer in the US and Canada, plans to almost double its investments from last year on exploration and pre‑development activities.

In a press release issued on Friday, the Idaho‑based miner said it will spend $55 million on its projects in Nevada and producing assets including Greens Creek (Alaska), Keno Hill (Yukon Territory) and Lucky Friday (Idaho), with the goal of replacing or exceeding annual reserve depletion.

At the end of 2025, the company had an estimated reserve of 231 million silver ounces and about 2 million ounces in gold reserves. President and CEO Rob Krcmarov said the company has implemented “refined technical standards” across its reserve modeling, strengthening “the quality and credibility” of the estimates.

Last year, Hecla invested a total of $25.2 million on exploration, plus $2.5 million on pre‑development activities, focused on discovery drilling at the Midas project in Nevada and resource expansion at its producing assets.

In 2025, the company produced 17 million oz of silver, half of which came from Greens Creek, the largest US silver mine. Lucky Friday also contributed a record 5.3 million oz.

Expansion opportunities

“Looking ahead, we’re signaling our confidence in future reserve replacement by nearly doubling our exploration budget in 2026 compared to the prior year,” Krcmarov stated in the press release.

At both Greens Creek and Keno Hill, drilling continues to define and expand mineralization near resource boundaries, converting inferred resources and identifying additional reserve‑extension opportunities, the company said. It also sees expansion potential at the Lucky Friday mine, which has been in production for over 80 years.

In Nevada, Hecla said it has identified “compelling high‑grade discovery targets” at Midas, which hosts a historic mine that previously produced 27 million oz of silver and 2.2 million oz of gold. The company also holds several other projects in the state that it says offer “near‑term production potential and district‑scale discovery opportunities.”

Hecla Mining jumped by as much as 9 % to $22.65 in New York on the announcement, taking its market capitalization to $15.2 billion.