Hecla Mining Co. Q4 2008 Earnings Call Transcript

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2008-05-12 13:35:11.0

Tags: Hecla Mining Co.

Question-and-Answer Session

Operator

Sure, thank you. (Operator Instructions) And your first question comes from the line of Anthony Saracino of Saracino Metals. Please proceed.

Anthony Saracino - Saracino Metals

Good morning everyone.

Phil Baker

Hey Good morning. I am glad that you are able to get on the call.

Anthony Saracino - Saracino Metals

Yes, thank you. I am too. At Lucky Friday can you give us some idea of when the engineering report for construction of the number 4 shaft might be completed and also when the pre-feasibility study on the viability of expanding production might be completed?

Phil Baker

We are turning on both of those, we are anticipating by year-end to that work done. So, in all likelihood we will come out with our earnings release at the end of the year.

Anthony Saracino - Saracino Metals

Alright, and also Lucky Friday you mentioned that the doing definition drilling as much as 800 feet below the 5900 level, could you give us some further ideas of what you are finding down there with regard to the continuity of grades and widths? I guess Ron is that you or Dean would be the better person to answer that.

Ron Clayton

Why don’t you start Dean and I'll follow-up.

Dean McDonald

What we are finding Anthony is that the 30 vein which is the primary producer continues to have as good or better widths and grade as we go to depth. The other thing that we are finding is that, it appears from early drilling that the strike length of the 30 vein is also increasing. But at the same time we are also seeing the evidence of an expansion, that 110 vein, good intersections in the 20 veins. So, the number of veins that we've referred to in the past as intermediate veins are also showing some good strength at depth. Ron, did you want to add to that?

Ron Clayton

I'll just add just a touch here. We actually have intercepts down as low as above 7900 on the 30 veins. So, its early extensive in depth and the grades and continuity on the 30 vein appear to be, maybe even a little bit better on a limited amount of drilling. And to kind of follow-up a little bit on what Dean said about the intermediate veins, one thing that appears to be happening at depth is that there seems to be, maybe a few lapse of them, but they have better continuity along strike, maybe a little wider and little better grades. That's kind of just another way of saying what Dean said.

 

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