Bunker Hill Issues Shares to Cover $1.8M in Interest Payments — Bunker Hill Mining Corp.

Event summary

Bunker Hill Mining Corp. will issue 522,296 shares to satisfy $1.8M in interest payments due June 30, 2026.
Shares issued at $3.42 each (90% of 10-day VWAP during June 15–26 pricing period).
518,600 shares going to Sprott-managed accounts constitute a related-party transaction under MI 61-101.
Debt instruments include Series 1 and Series 2 debentures (maturing 2028/29) and a loan facility (maturing 2030).
Shares subject to 4-month hold period; not registered for U.S. sale.

The big picture

Bunker Hill's share-based interest payment strategy reflects both financial constraints and the mining sector's capital scarcity. While this approach preserves liquidity, it dilutes existing shareholders and signals potential refinancing challenges ahead. The $1.8M payment represents just one data point in a broader trend of junior miners leveraging equity to manage debt obligations amid volatile commodity markets.

What we're watching

Debt Management: Whether Bunker Hill can sustain this approach amid rising interest obligations.
Market Conditions: How metal price volatility may impact the company's ability to refinance debt.
Regulatory Compliance: The pace at which related-party transaction exemptions could face scrutiny.