Bunker Hill Mining (BNKR) Q2 2024 earnings summary

Executive summary

• Focused on restarting the Bunker Hill Mine in Idaho, with construction of the process plant underway and commissioning targeted for December 2024.

• No revenue generated during the quarter as the company remains in the development stage.

• Net loss for Q2 2024 was $3.9M, a significant improvement from $16.9M in Q2 2023, mainly due to lower derivative losses and a gain on stream debenture revaluation.

• Comprehensive loss for Q2 2024 was $3.4M, compared to $17.2M in Q2 2023.

Financial highlights

• Total assets increased to $63.8M as of June 30, 2024, from $62.0M at year-end 2023.

• Current assets decreased to $9.6M from $27.2M at year-end, mainly due to capital expenditures.

• Total liabilities rose to $97.2M from $88.4M at year-end, driven by accretion on the stream debenture and environmental liabilities.

• Working capital deficit of $9.1M as of June 30, 2024, versus a surplus of $19.7M at year-end.

• Net cash outflow of $18.6M in the first half of 2024, primarily for process plant and mine development.

Outlook and guidance

• Commissioning of the process plant and mine restart expected in December 2024.

• Signed a non-binding term sheet for a silver loan of up to 1.2M ounces to support mine restart, expected to close in August 2024.

• Ongoing resource expansion and exploration drilling program fully funded within the restart budget.