Hecla Declares Silver-Linked Dividend and Adds New Minimum Dividend of $0.01

Hecla Mining Company HL is pleased to announce its Board of Directors has elected to declare the quarterly silver-linked dividend of $0.01 per share of common stock, based on an average realized silver price of $31.61 in the fourth quarter of 2011. In addition, the Board of Directors has approved a new common stock dividend policy, which includes a minimum annual dividend of $0.01 per share of common stock, payable quarterly. Therefore, the aggregate declared fourth quarter dividend is $0.0125 per share of common stock, for a total amount of approximately $3.6 million. The cash dividend is payable March 22, 2012, to stockholders of record on March 15, 2012. There are approximately 285 million shares of common stock outstanding. Under Hecla's silver price-linked dividend policy, it is expected that any quarterly common stock dividend declared by the Company will be based on Hecla's average realized silver price for the preceding quarter. Realized prices are calculated by dividing gross revenues for each metal by the payable quantities of each metal included in concentrate and doré sold during the period. As noted above, the average realized silver price per ounce was $31.61 in the fourth quarter of 2011 compared to the average market price of $31.82 (London PM Fix). Any quarterly common stock dividend declared by Hecla will increase or decrease by $0.01 per share ($0.04 annually) for each $5.00 per ounce incremental increase or decrease in the average realized silver price in the preceding quarter.