Hecla Mining Co (HL)

[loantech]

Hello Montanore,

I hope your timing the buy on HL was good! Last week the price fell below my buy point. I got a good buy on HL only because I had sold some other miners that had fallen 70% + and was in a panic mode. I thought HL would hold up better than it has in a rally.

There are many things I like about HL though:
1.Huge resource.
2.Resources all in the USA.
3.Comptetitive production costs.
4.No hedging even though they should have hedged zinc and lead looking back.I say this as I could see silver go to 20 and zinc and lead be quite low still.
5.Hydro coming to Greens Creek. They use 550,000 gallons of diesel a month. We have cost savings now but need the hydro.
6.Upside exploration at Greens Creek but maybe more so in the Lucky Friday area:
< successful exploration and definition drilling at the Lucky Friday mine also contributed, by adding
more than 10 years of production to the mine life at the current mining rate. It was a phenomenal year at Lucky Friday,

Mineralized material is up by 55%. Recent drilling has also shown there is potential to expand the resource further to the East and at depth.
Lucky Friday is but one of four major districts that we have the dominant land position. Exploration is occurring at all four that we expect to add resources. But more importantly, these are places we believe have the potential to find that new ore body that can change the Company.
http://library.corporate-ir.net/library/63/632/63202/items/325962/B69514B1-0832-4E4E-8496-94ADAB5E643C_HL-Transcript-Q4Year2008-02-24-2009.pdf

I understand drilling has been quite successful. I am wondering if they have already located a rainmaker deposit?