Mr. Sam Ash reports

BUNKER HILL ANNOUNCES ELECTION TO ISSUE SHARES IN SATISFACTION OF INTEREST AND SERVICE PAYMENT OBLIGATIONS

Bunker Hill Mining Corp. has elected to issue an aggregate of 1,578,430 shares of common stock of the company in full satisfaction of the interest payable as of Dec. 31, 2025, under certain debt instruments, including: (i) an aggregate of 450,980 interest shares to certain holders of 5.0 per cent Series 1 secured convertible debentures for the aggregate interest of $76,666.67 (U.S.) owing thereunder; (ii) an aggregate of 1,127,450 interest shares to certain holders of 5.0 per cent Series 2 secured convertible debentures for the aggregate interest of $191,666.67 (U.S.) owing thereunder, together with the Series 1 debentures and the Series 2 debentures, for the aggregate interest of $268,333.33 (U.S.) owing thereunder in connection with advances to the company. The Series 1 debentures and Series 2 debentures mature on March 31, 2028, and March 31, 2029, respectively.

In accordance with the terms of the debt instruments, the company will issue the interest shares at a price of 17 U.S. cents (approximately 23 Canadian cents) per interest share based on 90 per cent of the 10-day volume-weighted average trading price of the shares of common stock of the company on the TSX Venture Exchange on the trading days beginning on Dec. 12, 2025, and ending on Dec. 29, 2025.

In connection with the interest payments, the company will issue an aggregate of 1,503,266 interest shares to certain managed accounts of Sprott Private Resource Streaming and Royalty Corp., and, accordingly, the issuance of such interest shares to Sprott will constitute a related-party transaction within the meaning of Multilateral Instrument 61-101 (Protection of Minority Shareholder Approval). The company intends on relying on exemptions from the formal valuation and minority shareholder approval requirements under MI 61-101 as neither the fair market value of the interest shares to be issued to Sprott, nor the consideration received for such interest shares will exceed 25 per cent of the company's market capitalization. The company did not file a material change report more than 21 days prior to the election to issue the interest shares as the pricing period only ended yesterday on Dec. 26, 2025.

In addition to the interest shares, the company has elected to issue shares of common stock of the company in exchange for general consulting services provided under a consulting agreement between the company and Henderson House Holdings LLC dated Aug. 1, 2025. The consultant was engaged to support the company with government relations and financing initiatives from Washington, D.C. In accordance with the terms of the consulting agreement, the company will issue the shares for service, equal to $15,000 (U.S.) per month, and awarded quarterly, over a 12-month period. The consulting agreement also provides for a 6-per-cent cash bonus on any funds raised or awarded as a result of actions, and referrals or relationships secured by the consultant for the company, as well as bonus awards of 0.5 per cent paid in cash or 1 per cent paid in shares of common stock of the company for the following company milestones:

• Company raise/funding exceeds $60,000;
• Company raise/funding exceeds $100-million;
• Company raise/funding exceeds $175-million; and
• Company raise/funding exceeds $250-million.

The company has elected to issue an aggregate 328,831 shares for service to satisfy the shares-for-service payment for the period beginning on Aug. 1, 2025, and ending on Nov. 30, 2025. The company will issue the shares for service at a price of 19.13 Canadian cents per share for service based on the 20-day volume-weighted average trading price of the shares of common stock of the company on the TSX-V on the trading days beginning on Nov. 3, 2025, and ending on Nov. 28, 2025.

The issuance of the interest shares is subject to the terms and conditions of the debt instruments and the issuance of the shares for service is subject to the terms and conditions of the consulting agreement. Both the interest shares and the shares for service are subject to the receipt of all regulatory approvals, including, without limitation, the approval of the TSX-V. Once issued, the interest shares and the shares for service will each be subject to a four-month-and-one-day hold period in accordance with applicable Canadian securities laws.

About Bunker Hill Mining Corp.

Bunker Hill is an American mineral exploration and development company focused on revitalizing its historic mining asset: the renowned zinc, lead and silver deposit in northern Idaho's prolific Coeur d'Alene mining district. This strategic initiative aims to breathe new life into a once-productive mine, leveraging modern exploration techniques and sustainable development practices to unlock the potential of this mineral-rich region. Bunker Hill aims to maximize shareholder value by responsibly harnessing the mineral wealth in the Silver Valley mining district, focusing its efforts on this single, high-potential asset.

We seek Safe Harbor.