Bunker Hill Announces Election to Issue Shares in Satisfaction of Interest Payment Obligations

Executive Summary

• Bunker Hill Mining Corp. elected to issue 2,236,111 common shares (“Interest Shares”) to settle US$268,333.34 of accrued interest on its Series 1 and Series 2 secured convertible debentures.
• The shares are priced at USD 0.12 each (≈C$0.17), based on 90% of the 10‑day VWAP during the pricing period (Sept 15‑26, 2025).
• Approximately 2,129,630 of the Interest Shares will be issued to Sprott Private Resource Streaming and Royalty Corp., constituting a related‑party transaction that qualifies for exemption from formal valuation and minority‑shareholder approval under MI 61‑101.

Key Details

• Total Interest Shares Issued: 2,236,111 common shares.
• Interest Covered: US$268,333.34 of accrued interest as of Sept 30, 2025.
• Breakdown by Debenture Series:
• Series 1 (maturing Mar 31, 2028) – 638,889 shares for US$76,666.67 interest.
• Series 2 (maturing Mar 31, 2029) – 1,597,222 shares for US$191,666.67 interest.
• Pricing: USD 0.12 per share (≈C$0.17), calculated at 90% of the 10‑day VWAP on TSX‑V from Sept 15‑26, 2025.
• Related Party Transaction: 2,129,630 shares to be issued to Sprott Private Resource Streaming and Royalty Corp.; exemption relied upon because fair market value and consideration each <25% of market cap.
• Regulatory Conditions: Subject to receipt of all required regulatory approvals, including TSX‑V approval; shares will carry a four‑month + one‑day hold period under Canadian securities law.
• U.S. Securities Law: Shares are not registered in the United States and may not be offered or sold there without registration or an applicable exemption.

Notable Quotes

• “The issuance of Interest Shares enables us to satisfy outstanding interest obligations while preserving cash for ongoing project financing,” – Sam Ash, President, CEO & Director.