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

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TORONTO, June 24, 2024 (GLOBE NEWSWIRE) — Bunker Hill Mining Company (“Bunker Hill“or the”a company“) (tsxf | bunker; otcb|phl) announces that it has elected to issue a total of 4,653,409 shares of common stock of the Company (“Interest shares“”) to certain holders of 7.5% Convertible Notes (“Series 1 convertible bonds“) and 10.5% convertible bonds (“Series 2 convertible bonds“, plus Series 1 Convertible Notes,”Convertible bonds“) with full satisfaction of interest payable hereunder as of June 30, 2024 in the aggregate amount of $511,875.00 (“Pay interestThe convertible notes mature on March 31, 2026.

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Subject to the terms of the Convertible Notes, the Company will issue shares of interest at a price of $0.11 per interest share based on 90% of the 10-day volume-weighted average trading price of shares of common stock of the Company on the TSX Venture Exchange (“TSX-V“) on trading days beginning on June 10, 2024 and ending on June 21, 2024 (“Pricing period“).

In connection with the interest payment, the Company will issue a total of 4,481,061 interest shares to certain managed accounts of Sprott Private Resource Streaming and Royalty Corp. (“Sprout“) Therefore, the issuance of these interest shares to Sprott would constitute a “related party transaction” within the meaning of MLS 61-101 – Protecting minority shareholder approval ((MI 61-101“). The Company will rely on exemptions from the formal valuation and minority stockholder approval requirements under MI 61-101 as neither the fair market value of the Interest Shares to be issued to Sprott, nor the consideration to be received for such Interest Shares, will exceed 25% of the Company’s market value. The Company has not provided We report the material change more than 21 days before the election to issue shares of interest as the pricing period ended just yesterday on June 21, 2024.

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The issuance of the Interest Shares is subject to the terms and conditions of the Convertible Notes as well as the receipt of all regulatory approvals, including, without limitation, TSX-V approval. Once issued, the Interest Shares will be subject to a hold period of four months and one day in accordance with applicable Canadian securities laws.

Additional details regarding the Convertible Notes can be found in the Company’s news releases dated December 20, 2021, January 31, 2022, June 20, 2022, and June 26, 2023, all of which are available under the Company’s profile on SEDAR+ at www.sedarplus.ca.

About Bunker Hill Mining Company

Under new Idaho-based leadership, Bunker Hill intends to restart and sustainably develop the Bunker Hill mine as a first step in consolidating and then optimizing a number of mining assets into a portfolio of high-value operations, initially concentrated in North America. Information about the Company is available on its website, www.bunkerhillmining.com, or within the SEDAR+ and EDGAR databases.

On behalf of Bunker Hill Mining Company

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Sam Ash
President and Executive General Manager

For additional information, please contact:

Brenda Dayton
Vice President of Investor Relations
Tel: 604.417.7952
Email: brenda.dayton@bunkerhillmining.com

Cautionary statements

Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.

Certain statements in this press release are forward-looking and involve a number of risks and uncertainties. Such forward-looking statements fall within the meaning of that term in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended, and within the meaning of the phrase. “Forward-looking information” in National Instrument 51-102 of Canadian Securities Administrators – Continuing Disclosure Obligations (collectively, “Forward-looking statementsForward-looking statements do not consist of historical facts. Forward-looking statements include estimates and statements describing the Company’s future plans, goals or objectives, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements can be identified by terms such as “believes Words and phrases .

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Forward-looking statements in this press release include, but are not limited to, statements regarding: the Company’s goals, objectives or future plans, including the restart and development of the Bunker Hill Mine; Achieving future short, medium and long-term operational strategies; The issuance of shares of interest by the Company, including the total number of shares of interest and their pricing; The Company has received TSX-V approval to issue shares of interest. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, those risks and uncertainties identified in Bunker Hill’s public filings with the U.S. Securities and Exchange Commission (“second”) and with applicable Canadian securities regulatory authorities, the following: the Company’s failure to obtain TSX-V approval for the issuance of shares of interest; the Company’s inability to raise additional capital for venture activities, including through equity financing, concentrated buyout financing or other such; capital market conditions; labor restrictions and their impacts on international travel and supply chains; failure to convert estimated mineral resources into reserves; The production decision is based on a feasibility study of mineral reserves that demonstrates economic and technical feasibility, which leads to increased uncertainty due to multiple associated technical and economic failure risks. This production decision includes, among others, areas that are analyzed in more detail in the feasibility study, such as the application Economic analysis on resources and reserves, more detailed mining and a number of specialist studies in areas such as mining and recovery methods, market analysis and environmental and societal impacts, and as a result, there may be increased uncertainty about achieving any particular level of mineral recovery or the cost of such recovery, including That increased risks associated with the development of commercially mineable deposits, with no assurance that production will commence as expected or at all or that anticipated production costs will be achieved; Failure to commence production will have a material adverse effect on the Company’s ability to generate revenues and cash flows to fund operations; Failure to achieve projected production costs will have a material adverse effect on the Company’s cash flow and future profitability; delays in obtaining or failure to obtain governmental, environmental or other approvals required for the project; political risks; changes in stock markets; Uncertainties regarding the availability and costs of financing needed in the future; the Company’s inability to budget and manage its liquidity in light of the failure to obtain additional financing, including the Company’s ability to complete payments in accordance with the terms of the Bunker Hill Mine Complex Acquisition Agreement; economic inflation; Changes in exchange rates. Fluctuations in commodity prices; Delays in project development; Capital, operating and reclamation costs vary significantly from estimates and other risks involved in the mineral exploration and development industry. Although the Company believes that the assumptions and factors used in preparing the forward-looking statements in this press release are reasonable, undue reliance should not be placed on such statements or information, which apply only as of the date of this press release, and there can be no assurance that Such events will occur within the announced time frames or not at all. Including whether or when the Company will achieve project financing initiatives, or as to the actual size or terms of such financing initiatives. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

Readers are cautioned that the risks and uncertainties described above are not exhaustive. Additional information about these and other risk factors that could affect the Company’s operations or financial results is included in the Company’s Annual Report and can be accessed through the SEDAR+ website (www.sedarplus.ca) or through EDGAR on the SEC website (www.sec.gov).

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