Monetary Metals Delivers Over 1 Million Ounces in Silver Bond Financing to Bunker Hill Mining Corporation

Rhea-AI Summary

Monetary Metals has provided over 1 million ounces in silver bond financing to Bunker Hill Mining (OTCQB: BHLL), marking the first silver bond issuance in over 200 years. The three-year bond pays a 12% annual coupon in silver and supports the restart of the Bunker Hill Mine in Idaho. The agreement allows for up to 1.2 million ounces of silver to be loaned in tranches, with 1,008,581 ounces already delivered. Investors include high-net-worth individuals, family offices, and institutions. This innovative financing mechanism represents a non-dilutive funding solution for the mining sector.

Positive

• Secured over 1 million ounces in silver bond financing
• Non-dilutive financing structure preserves shareholder value
• Potential for additional financing up to 1.2 million ounces of silver
• 12% annual coupon indicates strong project economics

Negative

• Significant debt obligation with physical silver repayment requirement
• High 12% interest rate indicates elevated financing costs

SCOTTSDALE, Ariz., Nov. 12, 2024 /PRNewswire/ -- Monetary Metals is proud to announce the delivery of over 1 million ounces in silver bond financing to Bunker Hill Mining Corporation (TSXV: BNKR | OTCQB: BHLL).

This transaction marks a significant milestone as it represents the first silver bond issuance in over 200 years.

The silver bond has a three-year duration, with the principal denominated in silver, and pays investors an annual coupon of 12% in silver. Proceeds will support the rapid re-start and ongoing development of the Bunker Hill Mine, located in Kellogg, Idaho. Investors in the bond include HNW and UHNW individuals, family offices, and institutions.

Sam Ash, CEO of Bunker Hill, expressed his enthusiasm about the deal. "We are incredibly impressed with the professionalism and expertise that Monetary Metals has brought to the table," he stated. "Their innovative approach to financing supports our goals and aligns with our vision of sustainable and responsible mining. This deal represents a pivotal moment for Bunker Hill as we work towards revitalizing our operations and delivering value to our stakeholders."

Monetary Metals Vice President of Origination, Miranda Werstiuk, spearheaded the deal for Bunker Hill. She emphasized the importance of this bond for the mining industry, showcasing a creative mechanism and structure for non-dilutive financing. "This is a landmark transaction for Monetary Metals and an important signal to the mining sector—we have capital to deploy for qualified projects."

The bond holds broader historical implications as well. Keith Weiner, CEO of Monetary Metals, noted, "This transaction marks a significant milestone as it represents the first silver bond issuance in over 200 years. Our first gold bond issuance in 2020 set the stage; now, we are continuing the momentum with the first silver bond to Bunker Hill Mining. By successfully bringing back the idea of gold and silver-denominated financing to capital markets, we are paving the way for a new era of precious metals investment, and we are just getting started."

According to the terms of the agreement, Monetary Metals can loan up to 1.2 million ounces of silver to Bunker Hill in one or more tranches. As of today, Monetary Metals has delivered 1,008,581 ounces of silver. For more information about Monetary Metals' gold and silver bond opportunities and financing solutions, please visit monetary-metals.com.

About Monetary Metals

Monetary Metals^® is Unlocking the Productivity of Gold™ by offering a Yield on Gold, Paid in Gold^® to investors, and Gold Financing, Simplified™ to gold-using businesses (mints, miners, refiners, jewelers, etc.). The company brings both sides together in its Gold Yield Marketplace^® platform where everyone can save, earn, and finance production in gold. In addition, the company's market analysis and proprietary charts, including the gold forward rate, are utilized by gold investors and gold-using businesses globally.

For additional information, please contact:

Dickson Buchanan Jr.
Vice President, Marketing
T: 646-653-9729
E: dickson@monetary-metals.com

For additional information or press inquiries, please email press@monetary-metals.com

ABOUT BUNKER HILL MINING CORP.

Under Idaho-based leadership, Bunker Hill intends to sustainably restart and develop the Bunker Hill Mine as the first step in consolidating and then optimizing several mining assets into a high-value portfolio of operations centered initially in North America. Information about the Company is available on its website, www.bunkerhillmining.com, or within the SEDAR+ and EDGAR databases.

For additional information, please contact:

Brenda Dayton
Vice President, Investor Relations
T: 604.417.7952
E: brenda.dayton@bunkerhillmining.com

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SOURCE Monetary Metals & Co.

FAQ

How much silver bond financing did Bunker Hill Mining (BHLL) receive?

Bunker Hill Mining received 1,008,581 ounces of silver in bond financing, with the potential to receive up to 1.2 million ounces in total.

What is the interest rate on Bunker Hill Mining's (BHLL) silver bond?

The silver bond pays a 12% annual coupon in silver over its three-year duration.

What will Bunker Hill Mining (BHLL) use the silver bond financing for?

The financing will support the rapid re-start and ongoing development of the Bunker Hill Mine in Kellogg, Idaho.

Who are the investors in Bunker Hill Mining's (BHLL) silver bond?

Investors include high-net-worth (HNW) and ultra-high-net-worth (UHNW) individuals, family offices, and institutions.