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WINNEMUCCA, Nev. - Hycroft Mining Holding Corporation (NASDAQ:HYMC), a $134 million market cap mining company whose stock has surged nearly 47% over the past six months according to InvestingPro, announced Wednesday it will initiate its 2025-2026 Exploration Drill Program at the Hycroft Mine in Nevada in early August.
The program will comprise approximately 14,500 meters of core drilling using two rigs that are scheduled to arrive next month. According to the company’s press release, the exploration will focus on expanding high-grade opportunities at the Brimstone and Vortex areas while supporting exploration in newly identified target areas east of Brimstone, including the Manganese target. With a strong liquidity position indicated by a current ratio of 16.17, the company appears well-positioned to fund its exploration activities, though InvestingPro data shows the company is currently burning through cash.
The upcoming drill program builds on the company’s 2023 and 2024 drilling efforts, which Hycroft reports led to the discovery of two high-grade silver systems. Previous drilling yielded silver mineralization grading several hundred grams per tonne, including intervals exceeding 11,000 g/t silver.
Alex Davidson, Vice President of Exploration at Hycroft, stated that data from previous drilling has provided multiple target horizons in both Brimstone and Vortex. The company indicated that the high-grade silver at Brimstone results from an intermediate sulfidation system, while at Vortex, it relates to pre-mineral low-angle structural preparation.
The drilling will be conducted by Timberline Drilling of Elko, Nevada, and Alford Drilling of Winnemucca, Nevada, with assays completed by ALS Geochemical of Reno.
Hycroft Mining describes its Nevada property as one of the world’s largest precious metals deposits, with an expansive 64,000-acre land package of which less than 10% has been explored. The company is currently working on technical studies to transition the mine from previous oxide heap leaching operations to a large-scale milling operation for processing sulfide ore. Investors should note that the company’s next earnings report is scheduled for August 12, 2025. For deeper insights into Hycroft’s financial health and 8 additional key investment tips, visit InvestingPro.
In other recent news, Hycroft Mining Holding Corporation announced the pricing of an underwritten public offering of 12.5 million units at $3.50 per unit, expected to raise approximately $43.75 million in gross proceeds. Each unit includes one common share and one-half of a common stock purchase warrant, with each whole warrant exercisable at $4.20 per share over a 36-month period. The company plans to use the net proceeds for exploration activities, working capital, and general corporate purposes. This follows an earlier announcement of a proposed offering aimed at raising $40 million, which led to a stock decline. Additionally, Hycroft Mining has appointed Baker Tilly US, LLP as its new independent registered public accounting firm following the merger of Moss Adams LLP with Baker Tilly. The auditing team from Moss Adams will continue their work under the new firm. Moss Adams’ previous audit reports did not contain adverse opinions, though there was a note on going concern uncertainty for 2024.
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