Air: Climate, Emissions & Energy Use

Climate Change & Net Zero Targets

Hecla’s responsible mining practices have made it an industry leader in lowering our carbon footprint, as demonstrated by its industry-highest ratio of silver-equivalent ounces produced per metric tonne of GHG emissions. We are committed to maintaining a net zero carbon footprint through the use of offsets as needed. In 2022, we achieved net zero carbon emissions for the second year in a row as a result of our purchases of carbon credits in the form of certified emission reductions tied to four renewable power projects in Asia.

To demonstrate Hecla’s commitment to reducing its carbon footprint, we have set targets for reductions in Scope 1 and 2 GHG emissions.

Learn more about Hecla’s approach to climate change in the 2022 sustainability report.

Small Footprint

Company-wide, in 2022 we achieved a 32.7% reduction in Scopes 1 & 2 GHG emissions and a 18.5% reduction in energy intensity consumption company-wide compared to 2019 levels.
Overall, we produced 465 silver equivalent ounces per ton of GHG.
Hecla produces two to three-times more gold equivalent ounces/ton GHG than some of the largest gold-mining companies.

Strategy and Risk Management:

Hecla recognizes that the impacts of climate change may create greater potential risks for our operations. Alongside our work to minimize operational emissions and provide essential materials for the low-carbon transition, we are also focused on building our company’s resilience by adapting to and mitigating risks. Climate-related projections are a central part of the risk management and planning process for each Hecla mining operation.

As part of our enterprise risk management processes, we incorporate climate-related risks and opportunities into our risk management and strategic planning processes aligned with the TCFD (Task Force on Climate-Related Financial Disclosures) framework. We periodically conduct structured high-level risk assessments (HLRAs). In 2022, we expanded this process by conducting a Climate-Related Physical Risk Assessment to identify and monitor potential exposure to material climate-related risks. From these assessments, we develop site-specific management action plans that are assigned to the site management team. Read more about our site-specific efforts in our 2022 Sustainability Report.

Greenhouse Gas Emissions

Hecla is working to reduce energy intensity use and greenhouse gas (GHG) emissions.

Production per GHG Emissions*

	2019	2020	2021	2022
Ag ounces	12,605,234	13,542,957	12,887,240	14,182,987
Ag-Equivalent ounces	47,200,000	40,700,000	37,573,889	42,307,434
Au-Equivalent ounces*	674,286	581,429	525,531*	510,988
GHG Scope 1 (metric tonnes, CO2 e)***	102,675	57,580	52,932	66,023
GHG Scope 2 (metric tonnes CO2 e)***	32,626	28,390	23,618	25,026
GHG Scope 1 & 2 (metric tonnes CO2 e)**	135,301	85,970	76,550	91,049
Total Energy kWh	689,062,509	500,244,722	497,954,623	561,444,804
kWh Electricity	308,565,571	288,404,740	290,013,758	298,634,059
Metric Tonnes GHG/Ag ounce	0.010	0.006	0.006	0.006
Ag ounces/Metric Tonnes GHG	93	157	168	156
Ag-Equivalent ounces/Metric Tonnes GHG	349	473	491	465
Au-Equivalent ounces/Metric Tonnes GHG	5.0	6.8	6.9	5.6

* 2019 GHG Scope 1 and 2019 GHG Scope 2 CO2e values were used to set emission baseline.
** Au-equivalent ounces have been calculated using the long-term average ratio for each year: 70 Ag-ounces per Au-ounce in
2020; 71.50 Ag-ounces per Au-ounce in 2021; and 82.80 Ag-ounces per Au-ounce in 2022.

Greenhouse Gas (GHG) Protocol

To determine Hecla’s Scope 1 and Scope 2 Carbon Dioxide Equivalent Emissions (CO2e), a third party consultant utilizes U.S. Environmental Protection Agency (EPA) reporting standards, protocols, methodologies, and other related guidance.

The GHG guidance is based on The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (GHG Protocol) developed by the World Resources Institute (WRI) and the World Business Council for Sustainable Development (WBCSD).

Energy Use

Reducing energy consumption through streamlined processes and adoption of technology is positive for the environment and for our operating efficiency.

Energy Site Data

	Greens Creek	Casa Berardi	Lucky Friday	Nevada Operations	San Sebastian (Mexico)	Keno Hill	GRI/SASB Standards
GHG Emissions
GHG Scope 1 (metric tonnes CO2e)	24,909	29,842	2,410	948	2,542	2,800	305-1;EM-MM-110a.1
GHG Scope 1 (metric tonnes Biogenic CO2e)	_	_	1,820	—	—	_	305-1;EM-MM-110a-1
GHG Scope 2 (metric tonnes CO2e)	_	88	17,879	5,450	610	509	304-2;EM-MM-110a.1
GHG Scopes 1&2 (metric tonnes CO2e)	24,909	29,930	22,109	6,398	3,152	3,309	305-1, 305-2; EM-MM-110a.1
Energy
Electricity Used (kWh)	59,366,835	144,589,346	70,111,859	15,750,477	1,401,574	4,625,095	302-1;EM-MM-130a.1
Renewable Electricity (kWh)	59,366,835	144,589,346	42,067,115	—	_	3,977,582	302-1;EM-MM-130a.1
#2 Diesel for Mobile Equpment (gallons)	1,219,412	2,355,606	_	72,116	223,224	159,960	302-1;EM-MM-130a.1
Biodesel (B70) for Mobile Equipment (gallons)	_	—	275,171	—	—	_	302-1;EM-MM-130a.1
#2 Diesel for Electricity Generation Stationary (gallons)	1,167,410	_	—	—	—	_	302-1;EM-MM-130a.1
Gasoline for Mobile Equipment (gallons)	15,913	135,358	8,931	22,893	27,823	22,915	302-1;EM-MM-130a.1
Propane for Heating (gallons)	3,628	684,685	18	—	—	165,850	302-1;EM-MM-130a.1
Natural Gas for Heating (cubic feet)	_	_	26,300,525	_	_	_	302-1;EM-MM-130a.1
Surface Underground Emulsion & ANFO (pounds)	2,801,447	5,492,008	369,120	58,410	_	_	302-1;EM-MM-130a.1

Alternative Energy Sources

One of Hecla’s largest sources of electricity is renewable hydropower, and we use as much hydroelectricity as our power suppliers can provide. Currently, at our sites in production:

Casa Berardi uses approximately 100% renewable hydropower to supply line power;
At Greens Creek, 88% of our electricity is sourced from the grid, of which 100% is renewable hydropower;
The energy provider at our Lucky Friday location uses a mix of both hydropower and natural gas, with 60% of electricity sourced being renewable; and
86% of Keno Hill’s power – our newest project – is hydropower.

In Alaska, Hecla purchases hydroelectricity to power the Greens Creek mine. We have thus avoided the use of over 70 million gallons of fuel. Our hydropower purchases also result in a lower electricity cost to Juneau residents and businesses. Affordable electricity is becoming more important as Juneau increases its electric vehicle use – the city now ranks second in the rate of EV ownership in the U.S. – and electrically powered infrastructure. As of July 2022, Greens Creek had benefited customers in the community by over $80 million since 2009.

Hecla Sustainability Update 2022 Total Energy Intensity vs 2019 Baseline Graphic

Video of Hecla mining equipment with a play button

Lucky Friday Emissions Reduction

Hecla’s Lucky Friday mine has implemented several initiatives to lower GHG emissions through reduced use of diesel fuel. The development of the innovative Underhand Closed Bench (UCB) method for underground mining has improved the efficiency of our processes to operate in deep, high-stress, narrow-vein mining. Since the introduction of the UCB method our ratio of mining production per gallon of diesel used has improved. In addition, we have predominately used biodiesel for our underground equipment, and most of our underground drilling fleet minimizes diesel usage by running solely on electric power while drilling.