Bunker Hill Mining Corp. Draws $6M on Prepayment Financing Facilities

What Happened
Bunker Hill Mining Corp. announced draws totaling US$6.0 million under two prepayment/standby facilities to support working capital and ongoing operations as the company advances toward commercial production. On August 28, 2026 the company drew an additional US$2.0 million under its Teck Metals Ltd. standby prepayment facility, bringing the total outstanding on that facility to US$8.0 million. On September 1, 2026 the company made a first draw of US$4.0 million under its Ocean Partners UK Limited concentrate prepayment facility.

Key Details

• Teck Facility: total outstanding US$8.0M after the Aug 28, 2026 draw; facility maximum US$10.0M; uncommitted, repayable on demand; availability ends on the earlier of June 30, 2028, reaching 90% nameplate capacity, or lender termination. Interest: 13.5% p.a. until June 30, 2027, then 15.0% p.a.; interest capitalized quarterly; default interest = applicable rate + 3.0% p.a. Secured by a first-ranking security interest over substantially all obligors’ property and assets (subject to permitted liens).
• Ocean Partners Facility: US$4.0M first draw on Sept 1, 2026; facility capacity up to US$10.0M. Interest = 7.0% p.a. + 3‑month SOFR, accrues daily and payable monthly (or by setoff against concentrate payments); default adds +3.0% p.a.
• The company issued a press release on Aug 31, 2026 disclosing the draw; that release was furnished under Regulation FD (Exhibit 99.1).

Why It Matters
These draws increase Bunker Hill’s outstanding short‑term financing as it funds working capital while moving toward commercial production. The Teck facility is high‑cost, secured, and uncommitted (repayable on demand), which can affect liquidity and asset leverage; Ocean Partners provides additional working capital with interest tied to SOFR and flexible repayment via concentrate payments. Investors should note the remaining capacity on each facility (roughly US$2.0M available on Teck and up to US$6.0M on Ocean Partners) and the relatively high interest rates and security terms when assessing near‑term cash burn, financing needs, and balance sheet risk.