Hecla Mining Company (NYSE:HL), the largest silver producer in the US, has suspended production at its Lucky Friday operation in Idaho for the rest of the year after a fire in the mine’s No 2 shaft.
The company said it would use the time to complete repair work caused by the fire in the mine’s secondary egress.
The fire has been extinguished, normal ventilation has been established, and the workforce has been recalled, according to a statement from Hecla.
The company was bringing the mine back into production by developing a new secondary egress to bypass the damaged portion of the shaft.
The mine had produced three million ounces of silver as of the end of July 2023.
Hecla said that it did not expect a material change to 2024 consolidated silver production guidance.
The company said its property insurance, with an underground sub-limit of $50 million, should cover most of the property damage and business interruption, less the deductible.
Hecla’s shares were down 1.4% on Monday morning in New York.