Industria
Lundin Mining Announces Record Production Results for 2024 and Provides 2025 Guidance
"2024 was a transformative year for the Company. We announced three strategic transactions while maintaining operational performance to meet production guidance on a consolidated basis for copper and gold and within revised guidance for zinc and nickel. The Company was able to achieve record production for copper and zinc during the year. This is a testament to the great effort and focus of the entire team at Lundin Mining.
"The first transaction of 2024 was to increase our ownership at Caserones from 51% to 70%. This added approximately 24,000 tonnes of annualized attributable copper production to the Company.
"Our two biggest assets, Candelaria and Caserones, both performed well in the year, Candelaria had one of its best second half performances in its 30-year history, producing just under 100,000 tonnes in H2 2024. Caserones continues to add to our growth story and produced 124,761 tonnes of copper in the year.
"Year over year, zinc production increased and set a record for the Company at 191,704 tonnes. In December, we announced the opportune sale of Neves-Corvo and Zinkgruvan to Boliden AB ("Boliden") for total consideration of up to $1.52 billion . This transaction is expected to close mid-year, which will further increase our financial flexibility and shift our revenue mix to be more heavily weighted towards copper.
"Finally, we announced the joint acquisition of Filo Corp. ("Filo") with BHP and the formation of Vicuña Corp. (Vicuña) to jointly develop the Filo del Sol ("FDS") project and Josemaria project. It is with great pleasure to announce already that this transaction closed on January 15th, 2025 .
"Looking ahead, we look forward to closing on the sale of the European assets in 2025 and will continue to focus on improving our operational performance at all our sites."
2025 cash cost guidance is based on various assumptions and estimates, including, production volumes as per 2025 guidance, commodity prices (Cu: $4.40 /lb, Mo: $17.00 /lb, Au: $2,500 /oz: Ag: $30.00 /oz) and foreign currency exchange rates (CLP/USD:900, USD/BRL:5.50).
Exploration expenditures are planned to be $40 million in 2025 primarily for in-mine and near-mine targets at our operations. The largest portion of the planned expenditure will be at Caserones where drilling (18,000 meters (m)) and geophysical programs are planned. Significant drilling programs are also planned at Candelaria ( 18,000 m ), and Chapada ( 20,000 m ) with the goal to grow resources. The drill program at Caserones will focus on deeper in-pit drilling to better define higher grade breccia zones and exploration drilling to continue testing the sulphide mineral potential below the Angelica oxide deposit. At Candelaria drilling is designed to continue expanding the underground resources, while also growing the shallow La Española Deposit and neighboring La Portuguesa target area. At Chapada additional drilling at Sauva will continue to further define higher grade resources that will be incorporated into an updated resource estimate.
Vicuña is currently undertaking a drill program at FDS and Cumbre Verde that will continue throughout the year. The drill program will focus on resource growth with multiple step-out targets in all directions from zones of known mineralization, including both the Bonita and Aurora Zones along with infill drilling to support an initial mineral resource estimate mid-year. Drilling at Cumbre Verde will follow up on the initial results from last year and target the same mineralized system and structures discovered to the north of the project.
Lundin Mining is a diversified Canadian base metals mining company with operations or projects in Argentina , Brazil , Chile , and the United States of America , primarily producing copper, gold and nickel. In December 2024 the Company announced the sale of their European assets to Boliden, the transaction is expected to close in mid-2025 subject to customary conditions and regulatory approvals.
The information in this release is subject to the disclosure requirements of Lundin Mining under the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below on January 16, 2025 at 17:30 Eastern Time .
Cash Cost and Sustaining and Expansionary Capital Expenditures are non-GAAP financial measures and are not standardized financial measures under generally accepted accounting principles under IFRS and, therefore, amounts presented may not be comparable to similar data presented by other mining companies.
For Further Information, Please Contact: Stephen Williams , Vice President, Investor Relations: +1 604 806 3074, Robert Eriksson , Investor Relations Sweden: +46 8 440 54 50
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