Honey Badger Silver Inc. (TUF:TSXV; HBEIF:OTCQB) has engaged JDS Energy & Mining Inc. to spearhead the creation of an updated preliminary economic assessment (PEA) and an updated mineral resource estimate (MRE) for its Prairie Creek mine in Canada's Northwest Territories, according to a May 28 release.
The company anticipates completing these updates by the third quarter of 2026 and views them as potentially significant technical and economic milestones.
"We are eager to initiate these updated technical studies," said Executive Chairman Chad Williams. "The company believes current precious and base metal prices have the potential to materially improve project economics relative to prior studies."
The Prairie Creek mine stands out as one of the highest-grade undeveloped silver-zinc-lead projects globally, according to the company. It boasts extensive pre-existing infrastructure and development, including roughly 5 kilometers of underground development, an operational mill, surface infrastructure, an airstrip, advanced permitting stages, and established agreements with indigenous governments relevant to the project and its transport routes.
Additionally, the project has received a CA$25-million grant from the Canadian government under the National Trade Corridor Fund.
Metals Prices Trigger a Reevaluation
Honey Badger Silver said it is optimistic that the current prices of metals and revised technical assumptions could substantially improve the project's economic outlook compared to earlier analyses.
The most recent MRE, conducted by Global Mineral Resources Services in October 2021, reported a measured and indicated resource of 9.8 million tonnes with concentrations of 139 grams per tonne (g/t) of silver, 9.7% zinc, and 8.8% lead. It also noted an inferred resource of 6.4 million tonnes with 150 gt of silver, 12.9% zinc, and 6.7% lead, based on pricing of US$20 per ounce of silver, US$1.15 per pound of zinc, and US$1.00 per pound of lead.
JDS Mining will collaborate with a team of renowned and specialized consultants, each bringing a wealth of experience to the project. The consultants include Global Mineral Resource Services, which will focus on geology and mineral resource estimation, and Knight Piesold, which will handle aspects related to waste and water management, environment, and permitting. Giffen Consulting will advise on process and infrastructure, while T Engineering will contribute its expertise in underground mine backfill, the release said.
Importantly, the updated MRE and PEA will be based on historical technical reports and prior drilling completed on the project, the company noted. The studies are not currently expected to incorporate potential future upside associated with critical mineral opportunities, including germanium and tungsten, nor new technology, which Honey Badger intends to continue evaluating.
"We believe the PC silver mine represents a rare opportunity to redevelop a high-grade, strategically important silver-zinc-lead project in a Tier 1 mining jurisdiction with significant existing infrastructure already in place," Williams said.
A 'Table-Pounding Buy'
According to the Investingincompoundgrowth's Substack on May 18, the site called the stock a "table-pounding buy today."
"We are sitting in the middle of May 2026. Silver has already touched US$121 earlier this year, structural deficits are tearing through the physical market, and COMEX vaults are draining," the article noted. "Against this explosive macro backdrop, Honey Badger just closed an acquisition that feels less like a corporate transaction and more like highway robbery."
Management recently scooped up Prairie Creek, a fully permitted, tier-one underground silver-zinc-lead project, for a grand total of CA$12 million (CA$10 million in cash and CA$2 million in shares/warrants).
"Historically, Prairie Creek was viewed through the lens of its zinc content," the Substack said. "But with silver prices acting the way they are in 2026, the value of this project is now entirely dominated by its massive silver component. Honey Badger bypassed decades of permitting and drilling headaches and bought a turnkey asset for literal pennies on the dollar."
Through his holding company, legendary billionaire resource investor Eric Sprott dropped a massive vote of confidence by stepping into the open market and buying 8.5 million shares at an average price of CA$0.72, handing over CA$6.12 million, the report noted.
The company's website notes that Sprott holds about 8% of the company.
"This wasn't a minor portfolio adjustment," the Substack noted. "When a guy like Sprott takes a high-conviction, long-term position of this size, it's a signal you cannot afford to ignore."
Analyst: A Unique Category of Its Own?
1John Newell of John Newell & Associates reviewed the stock on May 1 for Streetwise Reports.
"What initially drew my attention to this company was its strategy," he said. "Rather than chasing high-risk exploration alone, the focus has been on acquiring silver ounces in the ground at low cost, often in past-producing districts with infrastructure already in place. That approach has allowed the company to build a meaningful silver inventory without excessive dilution."
Since my previous article, Honey Badger Silver Inc. has notably advanced its strategic approach by acquiring the Prairie Creek Project in the Northwest Territories. This acquisition marks a transformative development for the company. Prairie Creek is far from being merely an exploratory asset; it is a high-grade, fully permitted silver-zinc-lead project that boasts existing underground development and infrastructure, setting a clear course towards operational restart. The project holds an impressive inventory of approximately 240 million ounces (Moz) of silver equivalent in the measured and indicated category, with an additional 167 Moz inferred.
The significance of acquiring such a substantial asset for approximately CA$12 million cannot be overstated — acquiring or developing a similar project from scratch in today’s market would cost exponentially more, Newell said. In a financial climate where capital is scarce and project timelines are extended, owning a permitted project of this caliber significantly distinguishes Honey Badger from its peers, positioning it in a unique category of its own.
This strategic pivot from mere exploration to a tangible development trajectory could potentially trigger a market re-evaluation of Honey Badger’s stock. Despite the general downturn in silver prices, the stock exhibits a resilience that is rare in the industry, a sign that often captures my attention. This resilience indicates that Honey Badger Silver Inc. is transitioning beyond just an exploration narrative to embody a more substantial, development-focused entity, Newell said.
The analyst rated the stock a Speculative Buy. It has hit all of his targets except a "Big Picture" target of CA$1.25. "This is not just an exploration story anymore; it is evolving into something significantly more substantial," Newell wrote.
The Catalyst: War Volatility in the Silver Market
On Wednesday, silver saw its upward trajectory halted, dropping over 2% amid escalating tensions between the U.S. and Iran following an overnight exchange of fire, Christian Borjon Valencia reported for FX Street on June 3.
This development has fueled speculation that major central banks might raise interest rates, posing a challenge for silver, a metal that yields no returns. After reaching a high of nearly US$75.30, the XAG/USD pair declined to US$73.46.
From a technical perspective, silver has been oscillating within a trading range of US$73.00 to US$78.50. Notably, it dipped to a four-week low of US$71.79 on May 28, Borjon wrote. The current price movement indicates a bearish momentum, despite the fact that XAG/USD has been hovering around the top and bottom of the 50-day Simple Moving Average (SMA) at US$76.14, which represents a significant resistance level that sellers must overcome if buyers drive the prices up.
The Relative Strength Index (RSI) suggests that the selling pressure is intensifying, with the index moving towards the oversold territory, the article continued. On the downside, the initial support level is at US$73.00, followed by the recent low of US$71.79. Should the price fall below this point, the next significant support lies at the 200-day SMA at US$67.47.
Streetwise Ownership Overview*
Honey Badger Silver Inc. (TUF:TSXV;HBEIF:OTCQB)
| Date | Old Symbol | Old Shares | New Symbol | New Shares |
|---|---|---|---|---|
| 01/20/23 | TUF | 5.7 | TUF | 1 |
| 07/12/17 | TUF | 5 | TUF | 1 |
| 06/03/08 | TKW | 1 | TUF | 1 |
For silver to experience a bullish reversal, it would need to surpass the 50-day SMA and the daily high from May 26 at US$78.52. Beyond this, the next target for buyers would be the 100-day SMA at US$81, Borjon wrote.
The ongoing war in Iran has intensified the global energy crisis, prompting a surge in interest in alternative energy sources such as solar power, noted Neils Christensen for Kitco on June 1. This shift is expected to bolster the demand for silver, which is crucial for solar technology. However, a report from a prominent bank suggests that changes in a major solar power market might curtail the expected boost to silver demand. Over recent years, the solar industry has emerged as a significant consumer of silver due to its use in photovoltaic cells.
Commodity analysts at BMO Capital Markets have observed that while the demand for silver in the solar sector remains strong, escalating prices have begun to affect the market dynamics. This is occurring even as various countries are broadening their energy portfolios.
According to a recent note from the analysts, as reported by Christensen, developments in China's market could potentially eclipse the broader trend of global energy diversification.
They highlighted, "Cleantech continues to be the mot du jour in the wake of the Iran war, with strong NEV sales and dealership traffic a key talking point in the past month. However, one talking point which continues to go under-discussed is the concerning outlook for solar capacity additions, with Chinese solar capacity additions year to date tracking below 2024 levels."
Ownership and Share Information1
Honey Badger Silver Inc. has a market cap of CA$140.83 million, with 155.04 million shares outstanding. The company's 52-week range is CA$0.10-CA$1.19.
Management and Insiders own about 23% of shares, while Institutions own 9%. The rest is Retail.
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Important Disclosures:
- Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
- This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.
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1. Ownership and Share Structure Information
The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.
