Drilling Campaign Doubles Target Size of the Cate-8 Discovery Target

Bunker Hill Mining Corp. (BNKR) released a drilling update on the Cate‑8 discovery target at the Bunker Hill Mine. The headline intercept comes from hole BHE26‑16, which returned 8.1 ft (2.47 m) @ 18.82 oz/ton Ag, 8.87 % Pb, 0.25 % Zn (20.98 oz/ton AgEq, 719.5 g/t AgEq). Other intercepts include BHE26‑13: 22.6 ft @ 1.64 oz/ton Ag, 5.1 % Pb, 1.19 % Zn (3.27 oz/ton AgEq) and BHE26‑15: 6.3 ft @ 2.74 oz/ton Ag, 5.9 % Pb, 0.07 % Zn (4.14 oz/ton AgEq).

The updated geological model for the Cate‑8 Target now estimates 337,000 tons at 6.17 oz/ton AgEq (2.08 moz AgEq) using a 50 g/t AgEq cut‑off. This represents roughly double the size of the previous exploration target, as the June 1 release had 50 – 168 k tons at 9.3 – 5.75 oz/ton AgEq. The company reports continuity over 680 ft along strike and 880 ft down dip, with 21 holes completed (7,350 ft) all intersecting visible galena. A second drill station on the 7 Level is being prepared, and an initial Mineral Resource Estimate is targeted by year‑end 2026.

Bunker Hill Mining Corp. (BNKR) is currently transitioning to production, with its first concentrate scheduled for June 2026 and commercial production targeted for year-end 2026. In this phase, high-grade near-mine discoveries that can be quickly integrated into the mine plan are considered materially important.

The Cate-8 target’s enlarged footprint and exceptional intercept strengthen the company’s resource expansion story. If a resource can be defined and brought into the production schedule, it could extend mine life and boost silver output, supporting the company’s 50/50 silver-base-metal revenue mix. However, the target remains conceptual until resource classification.

The stock has been in a steady decline from C$6.27 in May to C$4.57 pre-release, indicating the market was not pricing in major exploration upside. The doubling of tonnage and bonanza intercept are likely a positive surprise.

As a pre-revenue company with negative equity and high debt, the market may treat this drill result as routine until it translates into measurable reserves.

Bunker Hill Mining Corp. is revitalizing the historic Bunker Hill Mine in Idaho’s Silver Valley. The company has built a new 1,800 tpd mill, produced first concentrate in June 2026, and is ramping up to commercial production by year-end 2026. The mine historically produced >165 moz silver and >5 Mt base metals.

The current Pre-Feasibility Study outlines a 13-year mine life at 2,500 tpd, with expansion capital of US$67 M and an EXIM Bank LOI for US$150 M. The land package totals ~6,284 acres, including the recently acquired Ranger-Page property. The company has off-take with Teck’s Trail smelter and a streaming deal with Sprott. Major shareholders include Teck Resources (~27%), Sprott (~18%), and management (~1%).

No revenue has been generated to date. The balance sheet shows negative equity of −C$7.5 M and total debt of C$115 M as of Q1-2026.