Honey Badger Silver Unveils PEA for PC Silver Mine

TORONTO, Sept. 24, 2026 /CourierPR/ -- The silver market has spent 2026 teaching investors how quickly a metal can move. In late January, silver touched a record above $121 an ounce, but by the end of summer, it had given back roughly half of that gain. By the third week of September, silver was trading around $65, still close to 50% higher than a year earlier. For companies trying to bring new ounces to market, the swing has sharpened one question above all others: how much of the capital, permitting, and infrastructure a mine needs has already been spent?

Honey Badger Silver Inc. (TSXV: TUF) (OTCQB: HBEIF) (FSE: 1QA) has made that question the center of its strategy at the PC Silver Mine in the Northwest Territories. The company acquired 100% of Canadian Zinc Corporation, the owner of the mine, from Resource Capital Fund VI L.P. in April 2026. On September 17, 2026, Honey Badger Silver released an updated Preliminary Economic Assessment (PEA) prepared by JDS Energy & Mining Inc., together with an updated Mineral Resource estimate.

The PEA outlines a 22-year underground operation, mining approximately 2,400 tonnes per day, with dense media separation upgrading material before milling at about 1,500 tonnes per day. Over the first seven years, the study estimates average annual production of approximately 3.7 million ounces of silver plus zinc, lead, and copper, or about 10.7 million silver-equivalent ounces. Over the full life of mine, it estimates approximately 2.5 million ounces of payable silver a year, or about 7.9 million silver-equivalent ounces.

At its Long-Term Consensus pricing case of US$50 silver, the PEA outlines after-tax life-of-mine free cash flow of approximately C$3.2 billion, an after-tax NPV8% of approximately C$1.2 billion, an after-tax NPV5% of approximately C$1.7 billion, a 29.3% internal rate of return (IRR), and a 3.1-year payback. Pre-production capital is estimated at C$667 million, of which C$205 million is for a 170-kilometre all-season road. The company reports all-in sustaining costs net of by-product credits of negative US$22 per ounce of silver in that case, reflecting the value of zinc, lead, and copper credits. The underlying resource totals 11.63 million tonnes Measured and Indicated at 424 g/t AgEq and 8.47 million tonnes Inferred at 492 g/t AgEq.

The site hosts a historic mill, an airstrip, and approximately five kilometres of underground workings. Honey Badger Silver holds Impact Benefit Agreements with the Nahɂą Dehé Dene Band and the Łíídlįį Kų́ę́ First Nation, as well as a Transportation Corridor Benefit Agreement with Acho Dene Koe First Nation. A federal National Trade Corridors Fund contribution of up to C$25 million toward the all-season road has previously been announced, subject to drawdown conditions. On September 10, the company announced it had engaged Tusk Automation to optimize the mill restart. The Board has authorized engineering toward a Feasibility Study targeted for the second quarter of 2027, and the company will evaluate a staged, lower-capital initial start.

The logistics plan is conventional for a northern mine. Concentrates would be trucked in 20-tonne bulk containers along the all-season road to Fort Nelson, British Columbia, and transferred there to CN Rail for shipment to domestic or overseas smelters, with inbound supplies moving back along the same corridor. The company expects year-round access to reduce inventory requirements and logistical risk compared with relying on a seasonal winter road.

Honey Badger Silver is advancing a significantly developed asset with decades of hard work and capital investment already behind it. The PC Silver Mine, historically known as Prairie Creek, sits in the Mackenzie Mountains of the Northwest Territories, within an enclave surrounded by, but excluded from, Nahanni National Park Reserve. The mine was built in the early 1980s, and the company notes it was purchased at the time by the Hunt Brothers for its silver endowment.