(TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining Corporation ("Lundin Mining" or the "Company") today announced the voting results from its 2024 Annual and Special Meeting of Shareholders (the "Meeting"). A total of 610,859,421 common shares were voted at the Meeting, representing 78.81% of the votes attached to all outstanding common shares as of the record date March 22, 2024 . Shareholders voted in favour of all items of business considered at the Meeting, as follows:
- AustraliaNorth AmericaWorld
Investing News NetworkYour trusted source for investing success
- Lithium Outlook
- Oil and Gas Outlook
- Gold Outlook Report
- Uranium Outlook
- Rare Earths Outlook
- All Outlook Reports
- Top Generative AI Stocks
- Top EV Stocks
- Biggest AI Companies
- Biggest Blockchain Stocks
- Biggest Cryptocurrency-mining Stocks
- Biggest Cybersecurity Companies
- Biggest Robotics Companies
- Biggest Social Media Companies
- Biggest Technology ETFs
- Artificial Intellgience ETFs
- Robotics ETFs
- Canadian Cryptocurrency ETFs
- Artificial Intelligence Outlook
- EV Outlook
- Cleantech Outlook
- Crypto Outlook
- Tech Outlook
- All Market Outlook Reports
- Cannabis Weekly Round-Up
- Top Alzheimer's Treatment Stocks
- Top Biotech Stocks
- Top Plant-based Food Stocks
- Biggest Cannabis Stocks
- Biggest Pharma Stocks
- Longevity Stocks to Watch
- Psychedelics Stocks to Watch
- Top Cobalt Stocks
- Small Biotech ETFs to Watch
- Top Life Science ETFs
- Biggest Pharmaceutical ETFs
- Life Science Outlook
- Biotech Outlook
- Cannabis Outlook
- Pharma Outlook
- Psychedelics Outlook
- All Market Outlook Reports
2024 Energy Transition Metals Summit Presentation
This Presentation and any accompanying verbal Presentation (together the Presentation) has been prepared by Culpeo Minerals Limited (“Culpeo” or “the Company”) and approved by the Board of the Company. The information contained in the Presentation (Information) is a summary only and should be read in conjunction with any oral briefing and all other documents provided to you by the Company. The Information is current as of 29 April 2024 and the Company does not undertake to provide any additional or updated information, whether as a result of new information, future events or results or otherwise. By receiving the Presentation, you acknowledge and represent to the Company that you have read, understood and accepted the terms of this disclaimer.
The Company has prepared the Presentation based on information available as of 29 April 2024. No representation or warranty, express or implied, is made as to the currency, accuracy, reliability, completeness or fairness of the information, opinions and conclusions contained in this Presentation. Neither Culpeo, its related bodies corporate, shareholders or affiliates, nor any of their respective officers, directors, employees, affiliates, agents or advisers (Agents) guarantee or make any representations or warranties, express or implied, as to or take responsibility for, the currency, accuracy, reliability, completeness or fairness of the information, opinions and conclusions contained in this Presentation. Culpeo does not represent or warrant that this Presentation is complete or that it contains all material information about Culpeo or which a prospective investor or purchaser may require in evaluating a possible investment in Culpeo or acquisition of shares. To the maximum extent permitted by law, Culpeo and its Agents expressly disclaim any and all liability, including, without limitation, any liability arising out of fault or negligence, for any loss arising from the use of information contained in this Presentation, or otherwise arising in connection with it.
Any forward-looking statements in this Presentation, including projections, forecasts and estimates, are provided as a general guide only and should not be relied on as an indication or guarantee of future performance and involve known and unknown risks, uncertainties, assumptions, contingencies and other important factors, many of which are outside the control of Culpeo and which are subject to change without notice and could cause the actual results, performance or achievements of Culpeo to be materially different from the future results, performance or achievements expressed or implied by such statements. Past performance is not necessarily a guide to future performance and recipients of this Presentation are cautioned not to place undue reliance on such forward-looking statements.
The information contained in this Presentation is for information purposes only, does not constitute investment or financial product advice (nor taxation, accounting or legal advice) and is not intended to be used as the basis for making an investment decision. In providing this Presentation, Culpeo has not considered the objectives, financial position or needs of any particular recipients. Before making an investment decision prospective investors should consider the appropriateness of the information in this Presentation having regard to their own objectives, financial situation and needs, and seek legal, taxation and financial advice appropriate to their jurisdiction and circumstances.
This Presentation is not a prospectus, product disclosure statement or other offering document under Australian law or any other law (and will not be lodged with the Australian Securities and Investments Commission, or any other foreign regulator) and is not, and does not constitute, an invitation or offer of securities for subscription, purchase or sale in any jurisdiction. In particular, this Presentation does not constitute an invitation or offer of securities for subscription, purchase or sale in the United States or any other jurisdiction in which such an offer would be illegal. The securities referred to in this Presentation have not been, and will not be, registered under the U.S. Securities Act of 1933 as amended or the securities laws of any state or other jurisdiction of the United States and may not be offered or sold, directly or indirectly in the United States.
The information in this Presentation is strictly confidential. It may not be disclosed, reproduced, disseminated, quoted or referred to in whole or in part, without the express consent of Culpeo.
Click here for the full ASX Release
This article includes content from Culpeo Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Culpeo Minerals Investor Kit
- Corporate info
- Insights
- Growth strategies
- Upcoming projects
GET YOUR FREE INVESTOR KIT
Culpeo Minerals
Overview
Culpeo Minerals (ASX:CPO, OTCQB:CPORF) is a copper-focused Australian exploration and development company with a portfolio of Chilean assets. The company’s projects are focused on Chile’s Coastal Cordillera Belt, where the Lana Corina, Culpeo’s flagship asset, presents significant opportunities for further exploration with high-grade copper and molybdenum mineralization. ’–– The recent acquisition of the Fortuna Project just 10 kilometres north of Lana Corina has increased the company's exploration tenure by 400 percent and has enabled the company to identify multiple out-cropping copper targets.
Chile leads the world in copper production by a wide margin, contributing 28 percent of global copper production. Comparatively Peru, in second place, contributes less than half as much at 11 percent. Earning the top spot is partially a result of Chile’s natural deposits, but the country’s significant output is a testament to its mining-friendly regulations.
Exploration work at Lana Corina, to date, has returned high-grade assay results for both copper and molybdenum. Assays have indicated a grade of over 1 percent copper equivalent, and up to 15,000 parts per million (ppm) molybdenum. The presence of molybdenum creates an additional future revenue source and increases the value of the project.
Molybdenum is roughly ten times the value of copper by weight as it is a strategic metal used in industries that require durable steels, such as catalytic converters on vehicles and various military applications.
Lana Corina contains higher-than-average molybdenum grades, as is typically seen when co-occurring with copper, further enhancing the asset's potential. The company has already completed 7,000 meters of drilling on the project, with additional opportunities to increase the footprint of known mineralization.
Much of the company’s portfolio is within the Coastal Cordillera Belt, which hosts medium-sized, high-grade copper deposits estimated at 50 to 100 million tonnes at 1 percent copper equivalent. The copper within this belt is typically higher grade than the prolific copper porphyry deposits in the Andes.
In August 2023, Culpeo acquired an 80 percent interest in the Fortuna Project, approximately 10 kilometers north of its existing Lana Corina Copper and Molybdenum Project in the highly prospective Coastal Belt of Chile. The company later secured an additional tenement package at Fortuna, increasing its land package to 4,500 hectares.
A management team with expertise throughout the mining industry leads the company toward fully exploring its promising portfolio and increasing shareholder value.
Company Highlights
- Culpeo Minerals is an Australian exploration and development company focusing on its copper assets in underexplored copper districts in Chile.
- Chile is the world’s number one copper producer and also contains the highest copper reserves.
- The company’s flagship Lana Corina asset is a recent copper discovery and diamond drilling results include 257 meters @ 1.10 percent copper equivalenrt (CuEq) (refer ASX announcement 11 May 2022).
- The company holds 80 percent interest in the Fortuna project, located 10 kilometers north of Lana Corina, where seven outcropping prospects have been identified. Recent drilling at El Quillay North returned a near surface intercept of 26 meters @ 0.81 percentCuEq (ASX announcement 17th January 2024) El Quillay North is hosted within the larger El Quillay Fault which is over 3 kilometers long and hosts significant potential to expand on the success of this recent drilling.
- A management team with decades of experience throughout the natural resources industry in particular South America, leads the company towards fully capitalizing on its prospective assets.
Key Projects
Lana Corina Copper-Molybdenum Project
The Lana Corina project is within the Coastal Cordillera region in Chile. This past-producing asset is highly prospective to become a world-class project as exploration continues. Culpeo has already completed its maiden drill campaign and is now moving towards its Phase 2 drill campaign.
Project Highlights:
- High-grade Results: The inaugural drill campaign at the Lana Corina project indicates high-grade copper and molybdenum. The company is now moving towards its Phase 2 drill campaign. Assays from the maiden campaign include:
- ○257 meters @ 1.10 percent copper equivalent (CuEq) in CMLCD002 from 170 meters
- 173 meters @ 1.09 percent CuEq in CMLCD003 from 313 meters
- 169 meters @ 1.21 percent CuEq in CMLCD010 from 239 meters
- 104 meters @ 0.81 percent CuEq in CMLCD001 from 155 meters
- 81 meters @ 1.16 percent CuEq in CMLCD005 from 302 meters
- 72 meters @ 0.91 percent CuEq in CMLCD013 from 352 meters
- Historic Production: The project has historically produced 1 million tonnes of 1.5 percent to 2.5 percent copper. This significant production indicates what’s possible as Culpeo further explores the assets.
- Targets for Future Exploration: The company’s exploration campaigns and historical data have identified 18 additional regional targets for follow-up exploration and potential drilling.
Fortuna Project
Spanning 4,025 hectares, the Fortuna Project tenements are located 10 kilometers north of Lana Corina consisting of seven additional groups of prospects: La Florida, El Quillay North, El Quillay Central, Elquillay South, Vaca Muerta, Piedra Dura and Lucero. Extensive outcropping copper mineralisation and historic mining operations are present throughout the project area.
Historic channel sampling at drill-ready Vaca Muerta returned with 150 meters @ 1.31 percent copper equivalent (CuEq); 102 meters @ 1.25 percent CuEq; and 173 meters @ 0.86 percent CuEq. Fortuna also has four high-priority outcropping targets: Vaca Muerta, Piedra Dura, La Florida and El Quillay. Mine records show approximately 200,000 tonnes @ 2 percent copper extracted historically.
Management Team
Max Tuesley - Managing Director
Max Tuesley is a geologist with 30 years of experience in base metal/gold exploration and mining. He has a proven track record of successful project and team management, both within Australia and Internationally, working on projects in Mongolia, Sudan, Laos, and the Philippines. Tuesley spent seven years with Xstrata in senior management roles with a focus on its Australian Copper Operations, including the Ernest Henry IOCG project.
He holds a Bachelor of Science from The Queensland University of Technology and an Honors Degree in economic geology from James Cook University. He is a member of the AusIMM.
Geoff McNamara - Non-executive Chairman
Geoff McNamara has 30 years of international resource sector experience as a geologist, project manager, and fund manager. He previously worked in private equity (FUM US$800 million) and was director of Societe General’s mining finance team in New York. Operational roles included project manager, senior mine geologist, and mine geologist for Ivanhoe Mines, Lion Ore International, and Western Mining Corporation. McNamara is the co-founder of Tesoro Gold, where he also currently sits as non-executive director. Tesoro Gold discovered the El Zorro Gold Project in Chile.
Zeffron Reeves - Non-executive Director
Zeffron Reeves is a geologist with over 20 years of experience in the resource sector working on projects from greenfields exploration, discovery, definition and feasibility, construction, and production to closure.
Reeves is currently co-founder and managing director of Tesoro Resources, which recently discovered the highly prospective El Zorro gold project in Chile. He was also managing director of ASX-listed Kopore Metals (previously, Metallum), which also had some development and operational projects in Chile. He has held senior management positions with Cleveland Mining and Ashburton Minerals, developing projects in Brazil.
Reeves has a Bachelor of Applied Geology (Honors), and a Master of Business Administration from Curtin University, and is a member of the Australia Institute of Geoscientists.
Paul Schmiede - Non-executive Director
Paul Schmiede is a mining engineer with over 25 years experience in mining, exploration and business and corporate development. He has had direct exposure to gold and base metal commodities in a range of jurisdictions, including Australia, Burkina Faso and the Democratic Republic of Congo (DRC). He is currently vice-president of corporate development for TSX-V-listed Sarama Resources, which has development-stage gold assets in Burkina Faso. Prior to that, he was vice-president of operations and project development at Moto Goldmines, where he managed the pre-feasibility, bankable and definitive feasibility study for the more-than-22-million-ounce DRC-based Moto Gold Project (now Kibali Gold). Before joining Moto Goldmines, he held senior operational and management positions with Gold Fields Ltd and WMC Resources Ltd where he was responsible for underground and open pit operations as well as project development and planning.
Schmiede holds a first-class mine managers certificate (Western Australia), a Bachelor of Engineering (Mining) degree, and is a fellow of the Australasian Institute of Mining and Metallurgy.
Sergio Uribe - Country Manager
Sergio Uribe is an administrative, management and development professional with experience in Chile. He has worked on numerous resource projects from greenfield exploration, discovery, production, closure, retreatment, and tailings reclamation. Part of the development team with Fortescue Metals Group during the development of its Pilbara mining operations, he has 10 years of resource sector experience. Uribe has represented numerous foreign companies investing in resource projects in Chile and was the commercial manager of Metallum Chile, where he was involved in the acquisition and development of their operation in Chile. Before this, he was general manager of Acorn Mining Chile and country manager for Cleveland Mining Chile.
Uribe has a business management degree from Universidad del Desarrollo and is a member of the civil police and a military reserve officer.
Reconnaissance Drilling Delivers Grades up to 2.19% CuEq at Fortuna Project
Culpeo Minerals Limited (“Culpeo” or the “Company”) (ASX:CPO, OTCQB:CPORF) is pleased to report that reconnaissance drilling has intersected near-surface, high-grade copper mineralisation grading up to 2.19% CuEq at the Vaca Muerta and El Quillay North Prospects within its 80%-owned Fortuna Project (the Project) in Chile.
The prospect areas are part of a suite of promising exploration targets within an under- explored copper belt, which the Company is aggressively exploring.
HIGHLIGHTS
- Multiple zones of shallow, high-grade copper mineralisation intersected.
- Mineralisation hosted within broad zones of favourable host rocks.
- Highlighted downhole intersections include:
- 13.3m @ 0.59% CuEq from 20m;
- 4m @ 0.65% CuEq from 45m;
- 7m @ 0.67% CuEq from 55m, including 1m of 2.19% CuEq; and
- 2m @ 1.33% CuEq from 95m.
- Drilling ongoing at Lana Corina Project within >3km prospective corridor.
Culpeo Minerals’ Managing Director, Max Tuesley, commented:
“To drill and intersect multiple zones of shallow copper mineralisation on our first pass reconnaissance drilling program at Vaca Muerta is extremely positive and highlights the significant potential of the target area. This result coupled with the ongoing exploration success at El Quillay indicates that the Fortuna Project continues to provide potential for a major copper discovery with three distinct targets now identified that include: breccia hosted copper mineralisation at El Quillay and Vaca Muerta, porphyry copper and gold at La Florida and high- grade structurally controlled copper and gold at Piedra Dura.”
EL QUILLAY DRILLING PROGRAM
Assay results from the second hole drilled at El Quillay North returned 13.3m @ 0.59% CuEq from 20m downhole (Figure 1 and 2, Table 1 and Appendices C & D), confirming further shallow copper mineralisation within the target. Previous drillhole CMEQD002 returned 26m @ 0.81% CuEq from 29m including a high-grade zone of 4m of 1.87% CuEq from 51 to 55m1.
Figure 1: Plan view with results of CMEQD001 and CMEQD002
These drilling results highlight the significant widths of outcropping mineralisation that are hosted within the El Quillay Fault. This structure is known to have at least 3km of strike extent, the majority of which remains undrilled and with the discovery of mineralisation at El Quillay East2 and geophysical targets to the west6, the Company has initiated the next phase of field work. This will include detailed surface mapping and sampling, trenching in areas prior to drilling and ground truthing of targets identified from historic geophysical data.
Click here for the full ASX Release
This article includes content from Culpeo Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Anax Metals Corporate Update
Anax Metals Limited (ASX: ANX, Anax, or the Company) is pleased to provide an update to the market on its corporate strategy focused on the recommencement of production at the Whim Creek Copper Project (Project), located 115km southwest of Port Hedland in the West Pilbara region of Western Australia (Figure 1). The Project is 80% owned by Anax with the remaining 20% owned by Develop Global Limited (ASX: DVP, Develop).
- Strengthened copper prices have enhanced the Whim Creek economics by 32% providing a Pre-Tax NPV7 of $357M and IRR of 74%.*
- The planned 8-year mine life will generate ~$520M in free cash.*
- Potential to increase open pit mine-life and cashflow through re- optimisation at higher commodity prices.
- Evelyn and Salt Creek copper resource extension exploration to be prioritized in the coming field season.
- Studies for the regional processing hub strategy have commenced.
- The Sulphur Springs Oxide/Transitional leaching test work at the CSIRO completed.
- Project financing and strategic partnering discussions progressing.
Anax’s Managing Director, Geoff Laing commented: “The Whim Creek asset continues to shape up as a strategic processing hub for the Pilbara. The robust standalone project delivers attractive economic outcomes which are highly leveraged to base metal prices.
The recent increase in copper and other key metal prices has significantly enhanced project financial metrics. Anax is ideally positioned to benefit from the positive momentum building in copper demand on the back of its critical role in electrification and green technologies
The team has worked diligently to ensure the Whim Creek asset is ready for near term production of key energy metals while establishing a platform for growth through the processing hub and resource extensions.”
Figure 1: Location of the Whim Creek Project
Strengthening copper, zinc, lead, silver and gold prices adds significant momentum to Whim Creek’s near-term development and recommencement of operations. Key outcomes from the Whim Creek Definitive Feasibility Study (DFS)1 and Heap Leach Study2 based on current metal price and exchange rate inputs provides a ~32% improvement in the Whim Creek financial outcome and would generate circa $520 million free cash, a Pre-Tax NPV7 of $357M and an IRR of 74%* (noting that the DFS1 and Heap Leach Study2 outputs from March and September 2023 provided an NPV7 of $270M and IRR of 55%, respectively).
Furthermore, price assumptions used in open pit optimisations in the DFS were markedly lower than current commodity prices as shown in Table 1.
Click here for the full ASX Release
This article includes content from Anax Metals Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Lundin Mining Announces Annual Meeting Voting Results
News Provided by Canada Newswire via QuoteMedia
Copper Prices Break US$10,000 as Supply Concerns Mount
Copper prices broke US$10,000 per metric ton this week, hitting highs not seen in two years. The last time they crossed the threshold was in March 2022 amid tensions following Russia's invasion of Ukraine.
Although concerns about demand from China remain, worries over dwindling global supply are heating up.
Copper has also been gaining momentum on anticipation of interest rate cuts from the US Federal Reserve.
Looking at supply, Goldman Sachs (NYSE:GS) has warned of intensifying stress, with analysts at the firm projecting a possible "stockout episode" by the fourth quarter due to growing deficits. Notably, the investment bank has boosted its year-end copper forecast to US$12,000 from US$10,000, strengthening its bullish stance.
“We continue to forecast a shift into open-ended and mounting metal deficits from 2024 onwards,” analysts including Nicholas Snowden wrote in note quoted recently by Bloomberg.
BHP's (ASX:BHP,NYSE:BHP,LSE:BHP) potential takeover of Anglo American (LSE:AAL,OTC Pink:AGPPF) has raised prospects of tighter control over global copper supply. If realized, the merger would create an entity commanding 10 percent of global copper supply, surpassing major players like Chile's Codelco and Freeport-McMoRan (NYSE:FCX).
The closure of Canadian miner First Quantum Minerals' (TSX:FM,OTC Pink:FQVLF) Cobre Panama copper mine last year has heightened concerns about supply shortages, further accelerating copper's price momentum.
Despite copper's gains, skepticism lingers, with some observers pointing to soft indicators in China, such as falling import premiums and cautious purchasing behavior among buyers.
As of the end of Thursday (May 9), three month London Metal Exchange copper was at US$9,904.50.
Don't forget to follow us @INN_Resource for real-time updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
Forum Energy Metals to Present at the Metals Investor Forum in Vancouver, BC May 10 - 11, 2024
Join Forum Energy Metals (TSXV: FMC) (OTCQB: FDCFF) at the Metals Investor Forum being held at the Paradox Hotel in Vancouver, BC on Friday May 10 and Saturday May 11. Forum President & CEO, Richard Mazur and Dr. Rebecca Hunter, Vice President of Exploration will be in attendance both days of the conference. In addition, Dr. Rebecca Hunter will be presenting an update on Forum's high grade uranium discovery in the Thelon Basin, Nunavut in the Grand Ballroom at 3:30pm on Saturday May 11.
Investors can register at:
https://web.cvent.com/event/5341b106-50fc-4555-9191-dbb71c498240/regProcessStep1
Rick Mazur, President & CEO stated, "This is an exciting Canadian uranium discovery in the Thelon Basin, a geologic equivalent of the prolific Athabasca Basin. We are currently mobilizing materials and will be building the camp later in the month in advance of our $10 million summer drill campaign beginning in June. We are very excited to get started on this summer program where we will be mainly focussed on the Tatiggaq deposit which is adjacent to Orano's 133 million pound Kiggavik uranium development project."
Technical meetings with management and partnering inquiries on Forum's portfolio of uranium and energy metals projects in Saskatchewan, Nunavut and Idaho can be arranged by contacting: Rick Mazur, President & CEO at mazur@forumenergymetals.com or by calling 604-630-1585.
About Forum Energy Metals
Forum Energy Metals Corp.(TSXV: FMC) (OTCQB: FDCFF) is focused on the discovery of high grade unconformity-related uranium deposits in the Athabasca Basin, Saskatchewan and the Thelon Basin, Nunavut.
For further information: https://www.forumenergymetals.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Richard J. Mazur, P.Geo.
President & CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information contact:
Rick Mazur, P.Geo., President & CEO
mazur@forumenergymetals.com
Tel: 604-630-1585
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/208486
News Provided by Newsfile via QuoteMedia
Ero Copper Reports First Quarter Operating and Financial Results
(all amounts in US dollars, unless otherwise noted)
Ero Copper Corp. (TSX: ERO, NYSE: ERO) ("Ero" or the "Company") is pleased to announce its operating and financial results for the three months ended March 31, 2024. Management will host a conference call tomorrow, Wednesday, May 8, 2024, at 11:30 a.m. eastern time to discuss the results. Dial-in details for the call can be found near the end of this press release.
HIGHLIGHTS
- The Tucumã Project is expected to achieve first copper concentrate production in early Q3 2024, marking a major inflection point for the Company
- Overall physical completion of approximately 97%
- Commissioning progressing ahead of schedule with major mechanical and sub- component commissioning completed during the quarter, as well as first ore through the crushing circuit and main conveyors
- Total direct project capital cost remains unchanged at $310 million
- First quarter copper production was 8,091 tonnes at C1 cash costs(*) of $2.30 per pound of copper produced. Including the benefit of realized gains on designated foreign exchange hedges, first quarter copper C1 cash costs(*) were $2.28 per pound
- Gold production during the quarter was a record 18,234 ounces at C1 cash costs (*) and All-in Sustaining Costs ("AISC") (*) of $395 and $797, respectively, per ounce of gold produced
- First quarter financial results reflect record gold production and operating margins at the Xavantina Operations as well as the sale of copper concentrate inventories carried over from Q4 2023 at the Caraíba Operations
- Net loss attributable to the owners of the Company of $7.1 million, or $0.07 per share on a diluted basis
- Adjusted net income attributable to the owners of the Company (*) of $16.8 million, or $0.16 per share on a diluted basis
- Adjusted EBITDA (*) of $43.3 million
- Available liquidity at quarter-end of $156.7 million, including $51.7 million in cash and cash equivalents plus $105.0 million of undrawn availability under the Company's senior secured revolving credit facility. Subsequent to quarter-end, to support the commencement of production and associated working capital needs at the Tucumã Project, the Company entered into a $50.0 million non-priced copper prepayment facility, which will be repaid through the delivery of copper at prevailing market prices.
- Following record operating performance at the Xavantina Operations during the quarter, the Company is increasing its 2024 gold production guidance from 55,000 to 60,000 ounces to a range of 60,000 to 65,000 ounces, and guiding towards the low end of its full-year cost guidance for the Xavantina Operations
- The Company is reaffirming all other 2024 production, cost and capital expenditure guidance ranges
(*) These are non-IFRS measures and do not have a standardized meaning prescribed by IFRS and might not be comparable to similar financial measures disclosed by other issuers. Please refer to the Company's discussion of Non-IFRS measures in its Management's Discussion and Analysis for the three months ended March 31, 2024 and the Reconciliation of Non-IFRS Measures section at the end of this press release.
"The Xavantina Operations continued to exceed our expectations during the first quarter, achieving record gold production driven by favorable grade reconciliations that have continued into the second quarter," said David Strang, Chief Executive Officer. "This trend has allowed us to increase our full-year gold production guidance, which we expect will translate to achieving the lower end of our 2024 gold cost guidance.
"Our first quarter financial results also showcase Xavantina's strong performance and reflect the sale of copper concentrate inventories carried over from the fourth quarter of 2023 at the Caraíba Operations. Combined with a strengthening gold and copper price environment, we are off to a solid start to 2024.
"I am also delighted to report that commissioning is advancing ahead of schedule at the Tucumã Project, and we expect to achieve first production early in the third quarter. With copper fundamentals stronger than ever, we are committed to maintaining our momentum and are excited as we near a significant inflection point in our growth trajectory."
FIRST QUARTER REVIEW
- Mining & Milling Operations
- The Caraíba Operations processed 853,371 tonnes of ore grading 1.08% copper, producing 8,091 tonnes of copper in concentrate for the quarter after metallurgical recoveries of 88.1%
- Mill throughput volumes increased 5.1% quarter-on-quarter following the successful completion of the Caraíba mill expansion in late 2023
- A planned decrease in mined and processed copper grades during the quarter was compounded by delays in underground development required to access scheduled high-grade stopes, resulting in a higher proportion of ore mined from lower grade stopes during the period
- The Xavantina Operations processed 37,834 tonnes of ore grading 16.38 grams per tonne ("gpt"), producing a record 18,234 ounces of gold in the quarter after metallurgical recoveries of 91.5%
- The Caraíba Operations processed 853,371 tonnes of ore grading 1.08% copper, producing 8,091 tonnes of copper in concentrate for the quarter after metallurgical recoveries of 88.1%
- Organic Growth Projects
- As construction of the Tucumã Project nears completion, commissioning is advancing ahead of schedule, and first copper concentrate production is expected to commence in early Q3 2024
- Completed mechanical and sub-component commissioning in Q1 2024, as well as first ore through the crushing circuit and main conveyors
- Commissioning of the process plant, including the ball mill, flotation circuit, and tailings and concentrate filters, remains on track for integrated commissioning in June 2024
- Sulphide ore stockpiled for process plant commissioning was approximately 36,000 tonnes with over 160,000 tonnes of ore drilled and ready to be blasted in the mine as of quarter-end
- The total direct project capital estimate remains unchanged at approximately $310 million
- To date, the Tucumã Project has recorded no lost-time injuries with over five million hours of work completed since 2022
- At the Caraíba Operations, main shaft sinking at the Pilar Mine's new external shaft is on track to achieve a projected depth of approximately 600 meters by year-end
- Reaming of the second and longest raisebore leg of the shaft, totaling 718 meters, was completed in early April 2024
- Reaming of the second and longest raisebore leg of the shaft, totaling 718 meters, was completed in early April 2024
- As construction of the Tucumã Project nears completion, commissioning is advancing ahead of schedule, and first copper concentrate production is expected to commence in early Q3 2024
Figure 1: The Tucumã Project's flotation circuit and tailings thickener (May 2024).
Figure 2: Tailings thickener at the Tucumã Project (May 2024).
Figure 3: Exposed sulphide ore at the Tucumã Project (May 2024).
SUBSEQUENT EVENTS
To support the commencement of production and associated working capital needs at the Tucumã Project, the Company entered into a $50.0 million non-priced copper prepayment facility in May 2024, structured by the Bank of Montreal and with participation by CIBC Capital Markets. This facility will be repaid over 27 equal monthly installments, beginning in October 2024, through the delivery of 272 tonnes of copper each month. Should any delivery exceed the monthly amortization payment of $2.1 million based on prevailing market prices, the excess value will be repaid to the Company.
Through the end of 2024, the Company has the option to increase the size of the non-priced copper prepayment facility from $50.0 million to $75.0 million.
OPERATING AND FINANCIAL HIGHLIGHTS
2024 - Q1 | 2023 - Q4 | 2023 - Q1 | ||||||||||
Operating Information | ||||||||||||
Copper (Caraíba Operations) | ||||||||||||
Ore Processed (tonnes) | 853,371 | 812,202 | 772,548 | |||||||||
Grade (% Cu) | 1.08 | 1.59 | 1.33 | |||||||||
Cu Production (tonnes) | 8,091 | 11,760 | 9,327 | |||||||||
Cu Production (000 lbs) | 17,838 | 25,926 | 20,564 | |||||||||
Cu Sold in Concentrate (tonnes) | 9,461 | 11,429 | 9,464 | |||||||||
Cu Sold in Concentrate (000 lbs) | 20,859 | 25,197 | 20,865 | |||||||||
Cu C1 cash cost (1)(2) | $ | 2.30 | $ | 1.75 | $ | 1.89 | ||||||
Gold (Xavantina Operations) | ||||||||||||
Ore Processed (tonnes) | 37,834 | 34,416 | 35,763 | |||||||||
Grade (g / tonne) | 16.38 | 17.18 | 11.85 | |||||||||
Au Production (oz) | 18,234 | 16,867 | 12,443 | |||||||||
Au C1 cash cost (1) | $ | 395 | $ | 413 | $ | 436 | ||||||
Au AISC (1) | $ | 797 | $ | 991 | $ | 946 | ||||||
Financial Highlights ($ in millions, except per share amounts) | ||||||||||||
Revenues | $ | 105.8 | $ | 116.4 | $ | 101.0 | ||||||
Gross profit | 31.2 | 41.9 | 40.1 | |||||||||
EBITDA (1) | 17.8 | 73.7 | 48.1 | |||||||||
Adjusted EBITDA (1) | 43.3 | 50.3 | 44.5 | |||||||||
Cash flow from operations | 17.2 | 49.4 | 16.4 | |||||||||
Net (loss) income | (6.8 | ) | 37.1 | 24.5 | ||||||||
Net (loss) income attributable to owners of the Company | (7.1 | ) | 36.5 | 24.2 | ||||||||
Per share (basic) | (0.07 | ) | 0.37 | 0.26 | ||||||||
Per share (diluted) | (0.07 | ) | 0.37 | 0.26 | ||||||||
Adjusted net income attributable to owners of the Company (1) | 16.8 | 20.7 | 22.5 | |||||||||
Per share (basic) | 0.16 | 0.21 | 0.24 | |||||||||
Per share (diluted) | 0.16 | 0.21 | 0.24 | |||||||||
Cash, cash equivalents, and short-term investments | 51.7 | 111.7 | 236.6 | |||||||||
Working (deficit) capital (1) | (28.6 | ) | 25.7 | 218.8 | ||||||||
Net debt (1) | 415.1 | 314.5 | 174.2 |
(1) EBITDA, adjusted EBITDA, adjusted net income (loss) attributable to owners of the Company, adjusted net income (loss) per share attributable to owners of the Company, net (cash) debt, working capital, copper C1 cash cost, copper C1 cash cost including foreign exchange hedges, gold C1 cash cost and gold AISC are non-IFRS measures. These measures do not have a standardized meaning prescribed by IFRS and might not be comparable to similar financial measures disclosed by other issuers. Please refer to the Company's discussion of Non-IFRS measures in its Management's Discussion and Analysis for the three months ended March 31, 2024 and the Reconciliation of Non-IFRS Measures section at the end of this press release.
(2) Copper C1 cash cost including foreign exchange hedges (per lb) in Q1 2024 was $2.28, compared to $1.84 in Q1 2023.
2024 PRODUCTION AND COST GUIDANCE (*)
Following record operating performance at the Xavantina Operations during the quarter, the Company is increasing its 2024 gold production guidance from 55,000 to 60,000 ounces to a range of 60,000 to 65,000 ounces. The Company expects mined and processed gold grades to remain above plan through the remainder of H1 2024, as positive grade reconciliations have continued into Q2 2024. While this trend may continue beyond Q2 2024, the Company is projecting a reversion to long-term block model grades for planned mining areas in H2 2024. As a result of higher full-year production expectations, the Company is guiding towards the low end of its full-year cost guidance for the Xavantina Operations.
Consolidated copper production of 59,000 to 72,000 tonnes in concentrate is expected to be weighted towards H2 2024, largely due to the anticipated commencement of production at the Tucumã Project in early Q3 2024. Consequently, consolidated copper C1 cash costs are projected to be lower in H2 2024 versus H1 2024.
The Company's updated cost guidance for 2024 assumes a foreign exchange rate of 5.00 BRL per USD, a gold price of $1,900 per ounce and a silver price of $23.00 per ounce.
Previous Guidance | Updated Guidance | |||
Consolidated Copper Production (tonnes) | ||||
Caraíba Operations | 42,000 - 47,000 | Unchanged | ||
Tucumã Operations | 17,000 - 25,000 | Unchanged | ||
Total | 59,000 - 72,000 | Unchanged | ||
Consolidated Copper C1 Cash Costs (1) Guidance | ||||
Caraíba Operations | $1.80 - $2.00 | Unchanged | ||
Tucumã Operations | $0.90 - $1.10 | Unchanged | ||
Total | $1.50 - $1.75 | Unchanged | ||
The Xavantina Operations | ||||
Au Production (ounces) | 55,000 - 60,000 | 60,000 - 65,000 | ||
Gold C1 Cash Cost (1) Guidance | $550 - $650 | Low End of Range | ||
Gold AISC (1) Guidance | $1,050 - $1,150 | Low End of Range |
* Guidance is based on certain estimates and assumptions, including but not limited to, mineral reserve estimates, grade and continuity of interpreted geological formations and metallurgical performance. Please refer to the Company's most recent Annual Information Form and Management of Risks and Uncertainties in the MD&A for complete risk factors.
(1) Please refer to the section titled "Alternative Performance (Non-IFRS) Measures" within the MD&A.
2024 CAPITAL EXPENDITURE GUIDANCE (*)
Full-year capital expenditures are projected to range from $299 to $349 million, including an estimated $30 to $40 million allocated to consolidated exploration programs. As the Company nears completion of the Tucumã Project, capital expenditures are expected to decrease in Q2 2024 compared to Q1 2024 and be weighted towards H1 2024.
Capital expenditure guidance assumes an exchange rate of 5.10 USD:BRL for the Tucumã Project based on designated foreign exchange hedges with a weighted average ceiling and floor of 5.10 and 5.23 USD:BRL, respectively. All other capital expenditures assume an exchange rate of 5.00 USD:BRL. Figures presented below are in USD millions.
Caraíba Operations | ||
Growth | $80 - $90 | |
Sustaining | $100 - $110 | |
Total, Caraíba Operations | $180 - $200 | |
Tucumã Project | ||
Growth | $65 - $75 | |
Capitalized Ramp-Up Costs | $4 - $6 | |
Sustaining | $2 - $5 | |
Total, Tucumã Project | $71 - $86 | |
Xavantina Operations | ||
Growth | $3 - $5 | |
Sustaining | $15 - $18 | |
Total, Xavantina Operations | $18 - $23 | |
Consolidated Exploration Programs | $30 - $40 | |
Company Total | ||
Growth | $148 - $170 | |
Capitalized Ramp-Up Costs | $4 - $6 | |
Sustaining | $117 - $133 | |
Exploration | $30 - $40 | |
Total, Company | $299 - $349 |
(*) Guidance is based on certain estimates and assumptions, including but not limited to, mineral reserve estimates, grade and continuity of interpreted geological formations and metallurgical performance. Please refer to the Company's most recent Annual Information Form and Management of Risks and Uncertainties in the MD&A for complete risk factors.
CONFERENCE CALL DETAILS
The Company will hold a conference call on Wednesday, May 8, 2024 at 11:30 am Eastern time (8:30 am Pacific time) to discuss these results.
Date: | Wednesday, May 8, 2024 |
Time: | 11:30 am Eastern time (8:30 am Pacific time) |
Dial in: | Canada/USA: 1-844-763-8274, International: +1-647-484-8814 please dial in 5-10 minutes prior and ask to join the call |
Pre-Register: | Registration link (https://dpregister.com/DiamondPassRegistration/register?confirmationNumber=10023373&linkSecurityString=f82a87e37a) (pre-register to bypass the live operator queue) |
Replay: | Canada/USA: 1-855-669-9658, International: +1-604-674-8052 |
Replay Passcode: | 0848 |
Reconciliation of Non-IFRS Measures
Financial results of the Company are presented in accordance with IFRS. The Company utilizes certain alternative performance (non-IFRS) measures to monitor its performance, including copper C1 cash cost, copper C1 cash cost including foreign exchange hedges, gold C1 cash cost, gold AISC, EBITDA, adjusted EBITDA, adjusted net income attributable to owners of the Company, adjusted net income per share, net (cash) debt, working capital and available liquidity. These performance measures have no standardized meaning prescribed within generally accepted accounting principles under IFRS and, therefore, amounts presented may not be comparable to similar measures presented by other mining companies. These non-IFRS measures are intended to provide supplemental information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.
For additional details please refer to the Company's discussion of non-IFRS and other performance measures in its Management's Discussion and Analysis for the three months ended March 31, 2024 which is available on SEDAR+ at www.sedarplus.ca, and on EDGAR at www.sec.gov.
Copper C1 cash cost and copper C1 cash cost including foreign exchange hedges
The following table provides a reconciliation of copper C1 cash cost to cost of production, its most directly comparable IFRS measure.
Reconciliation: | 2024 - Q1 | 2023 - Q4 | 2023 - Q1 | |||||||||
Cost of production | $ | 42,227 | $ | 39,790 | $ | 36,285 | ||||||
Add (less): | ||||||||||||
Transportation costs & other | 1,252 | 1,853 | 1,339 | |||||||||
Treatment, refining, and other | 5,170 | 7,332 | 6,463 | |||||||||
By-product credits | (2,440 | ) | (3,394 | ) | (2,810 | ) | ||||||
Incentive payments | (1,199 | ) | (1,693 | ) | (1,237 | ) | ||||||
Net change in inventory | (3,893 | ) | 1,434 | (1,185 | ) | |||||||
Foreign exchange translation and other | (7 | ) | 20 | 15 | ||||||||
C1 cash costs | 41,110 | 45,342 | 38,870 | |||||||||
(Gain) loss on foreign exchange hedges | (276 | ) | (4,185 | ) | (932 | ) | ||||||
C1 cash costs including foreign exchange hedges | $ | 40,834 | $ | 41,157 | $ | 37,938 |
Mining | $ | 25,256 | $ | 26,646 | $ | 23,210 | ||||||
Processing | 7,177 | 8,177 | 6,554 | |||||||||
Indirect | 5,947 | 6,581 | 5,453 | |||||||||
Production costs | 38,380 | 41,404 | 35,217 | |||||||||
By-product credits | (2,440 | ) | (3,394 | ) | (2,810 | ) | ||||||
Treatment, refining and other | 5,170 | 7,332 | 6,463 | |||||||||
C1 cash costs | 41,110 | 45,342 | 38,870 | |||||||||
(Gain) loss on foreign exchange hedges | (276 | ) | (4,185 | ) | (932 | ) | ||||||
C1 cash costs including foreign exchange hedges | $ | 40,834 | $ | 41,157 | $ | 37,938 | ||||||
Costs per pound | ||||||||||||
Payable copper produced (lb, 000) | 17,838 | 25,926 | 20,564 | |||||||||
Mining | $ | 1.42 | $ | 1.03 | $ | 1.13 | ||||||
Processing | $ | 0.40 | $ | 0.32 | $ | 0.32 | ||||||
Indirect | $ | 0.33 | $ | 0.25 | $ | 0.27 | ||||||
By-product credits | $ | (0.14 | ) | $ | (0.13 | ) | $ | (0.14 | ) | |||
Treatment, refining and other | $ | 0.29 | $ | 0.28 | $ | 0.31 | ||||||
Copper C1 cash costs | $ | 2.30 | $ | 1.75 | $ | 1.89 | ||||||
(Gain) loss on foreign exchange hedges | $ | (0.02 | ) | $ | (0.16 | ) | $ | (0.05 | ) | |||
Copper C1 cash costs including foreign exchange hedges | $ | 2.28 | $ | 1.59 | $ | 1.84 |
Gold C1 cash cost and gold AISC
The following table provides a reconciliation of gold C1 cash cost and gold AISC to cost of production, its most directly comparable IFRS measure.
Reconciliation: | 2024 - Q1 | 2023 - Q4 | 2023 - Q1 | |||||||||
Cost of production | $ | 7,255 | $ | 7,122 | $ | 6,107 | ||||||
Add (less): | ||||||||||||
Incentive payments | (443 | ) | (386 | ) | (407 | ) | ||||||
Net change in inventory | 264 | 65 | (352 | ) | ||||||||
By-product credits | (189 | ) | (248 | ) | (176 | ) | ||||||
Smelting and refining | 90 | 113 | 76 | |||||||||
Foreign exchange translation and other | 232 | 296 | 176 | |||||||||
C1 cash costs | $ | 7,209 | $ | 6,962 | $ | 5,424 | ||||||
Site general and administrative | 1,353 | 1,492 | 1,232 | |||||||||
Accretion of mine closure and rehabilitation provision | 92 | 111 | 105 | |||||||||
Sustaining capital expenditure | 3,254 | 5,499 | 3,013 | |||||||||
Sustaining lease payments | 2,122 | 1,861 | 1,660 | |||||||||
Royalties and production taxes | 510 | 785 | 338 | |||||||||
AISC | $ | 14,540 | $ | 16,710 | $ | 11,772 |
Costs | ||||||||||||
Mining | $ | 3,820 | $ | 3,430 | $ | 2,567 | ||||||
Processing | 2,259 | 2,315 | 1,905 | |||||||||
Indirect | 1,229 | 1,352 | 1,052 | |||||||||
Production costs | 7,308 | 7,097 | 5,524 | |||||||||
Smelting and refining costs | 90 | 113 | 76 | |||||||||
By-product credits | (189 | ) | (248 | ) | (176 | ) | ||||||
C1 cash costs | $ | 7,209 | $ | 6,962 | $ | 5,424 | ||||||
Site general and administrative | 1,353 | 1,492 | 1,232 | |||||||||
Accretion of mine closure and rehabilitation provision | 92 | 111 | 105 | |||||||||
Sustaining capital expenditure | 3,254 | 5,499 | 3,013 | |||||||||
Sustaining leases | 2,122 | 1,861 | 1,660 | |||||||||
Royalties and production taxes | 510 | 785 | 338 | |||||||||
AISC | $ | 14,540 | $ | 16,710 | $ | 11,772 | ||||||
Costs per ounce | ||||||||||||
Payable gold produced (ounces) | 18,234 | 16,867 | 12,443 | |||||||||
Mining | $ | 209 | $ | 203 | $ | 206 | ||||||
Processing | $ | 124 | $ | 137 | $ | 153 | ||||||
Indirect | $ | 67 | $ | 80 | $ | 85 | ||||||
Smelting and refining | $ | 5 | $ | 7 | $ | 6 | ||||||
By-product credits | $ | (10 | ) | $ | (14 | ) | $ | (14 | ) | |||
Gold C1 cash cost | $ | 395 | $ | 413 | $ | 436 | ||||||
Gold AISC | $ | 797 | $ | 991 | $ | 946 |
Earnings before interest, taxes, depreciation and amortization (EBITDA) and Adjusted EBITDA
The following table provides a reconciliation of EBITDA and Adjusted EBITDA to net income, its most directly comparable IFRS measure.
Reconciliation: | 2024 - Q1 | 2023 - Q4 | 2023 - Q1 | |||||||||
Net (Loss) Income | $ | (6,830 | ) | $ | 37,052 | $ | 24,500 | |||||
Adjustments: | ||||||||||||
Finance expense | 4,634 | 5,284 | 6,526 | |||||||||
Finance income | (1,468 | ) | (1,989 | ) | (4,138 | ) | ||||||
Income tax (recovery) expense | (1,853 | ) | 8,415 | 4,666 | ||||||||
Amortization and depreciation | 23,296 | 24,980 | 16,506 | |||||||||
EBITDA | $ | 17,779 | $ | 73,742 | $ | 48,060 | ||||||
Foreign exchange loss (gain) | 18,996 | (24,871 | ) | (8,621 | ) | |||||||
Share based compensation | 6,545 | 477 | 5,017 | |||||||||
Unrealized (gain) loss on copper derivatives | (64 | ) | 955 | — | ||||||||
Adjusted EBITDA | $ | 43,256 | $ | 50,303 | $ | 44,456 |
Adjusted net income attributable to owners of the Company and Adjusted net income per share attributable to owners of the Company
The following table provides a reconciliation of Adjusted net income attributable to owners of the Company and Adjusted EPS to net income attributable to the owners of the Company, its most directly comparable IFRS measure.
Reconciliation: | 2024 - Q1 | 2023 - Q4 | 2023 - Q1 | |||||||||
Net (loss) income as reported attributable to the owners of the Company | $ | (7,141 | ) | $ | 36,549 | $ | 24,154 | |||||
Adjustments: | ||||||||||||
Share based compensation | 6,545 | 477 | 5,017 | |||||||||
Unrealized foreign exchange loss (gain) on USD denominated balances in MCSA | 11,257 | (10,308 | ) | (4,753 | ) | |||||||
Unrealized foreign exchange loss (gain) on foreign exchange derivative contracts | 9,304 | (9,852 | ) | (3,152 | ) | |||||||
Unrealized (gain) loss on copper derivative contracts | (64 | ) | 951 | — | ||||||||
Tax effect on the above adjustments | (3,128 | ) | 2,932 | 1,208 | ||||||||
Adjusted net income attributable to owners of the Company | $ | 16,773 | $ | 20,749 | $ | 22,474 | ||||||
Weighted average number of common shares | ||||||||||||
Basic | 102,769,444 | 98,099,791 | 92,294,045 | |||||||||
Diluted | 103,242,437 | 98,482,755 | 93,218,281 | |||||||||
Adjusted EPS | ||||||||||||
Basic | $ | 0.16 | $ | 0.21 | $ | 0.24 | ||||||
Diluted | $ | 0.16 | $ | 0.21 | $ | 0.24 |
Net (Cash) Debt
The following table provides a calculation of net (cash) debt based on amounts presented in the Company's condensed consolidated interim financial statements as at the periods presented.
March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
Current portion of loans and borrowings | $ | 16,059 | $ | 20,381 | $ | 9,221 | |||||
Long-term portion of loans and borrowings | 450,743 | 405,852 | 401,595 | ||||||||
Less: | |||||||||||
Cash and cash equivalents | (51,692 | ) | (111,738 | ) | (209,908 | ) | |||||
Short-term investments | — | — | (26,739 | ) | |||||||
Net debt (cash) | $ | 415,110 | $ | 314,495 | $ | 174,169 |
Working Ca pital and Available Liquidity
The following table provides a calculation for these based on amounts presented in the Company's condensed consolidated interim financial statements as at the periods presented.
March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
Current assets | $ | 129,960 | $ | 199,487 | $ | 331,241 | |||||
Less: Current liabilities | (158,565 | ) | (173,800 | ) | (112,448 | ) | |||||
Working (deficit) capital | $ | (28,605 | ) | $ | 25,687 | $ | 218,793 | ||||
Cash and cash equivalents | 51,692 | 111,738 | 209,908 | ||||||||
Short-term investments | — | — | 26,739 | ||||||||
Available undrawn revolving credit facilities | 105,000 | 150,000 | 150,000 | ||||||||
Available liquidity | $ | 156,692 | $ | 261,738 | $ | 386,647 |
ABOUT ERO COPPER CORP
Ero is a high-margin, high-growth, low carbon-intensity copper producer with operations in Brazil and corporate headquarters in Vancouver, B.C., Canada. The Company's primary asset is a 99.6% interest in the Brazilian copper mining company, Mineração Caraíba S.A. ("MCSA"), 100% owner of the Company's Caraíba Operations (formerly known as the MCSA Mining Complex), which are located in the Curaçá Valley, Bahia State, Brazil and include the Pilar and Vermelhos underground mines and the Surubim open pit mine, and the Tucumã Project (formerly known as Boa Esperança), an IOCG-type copper project located in Pará, Brazil. The Company also owns 97.6% of NX Gold S.A. ("NX Gold") which owns the Xavantina Operations (formerly known as the NX Gold Mine), comprised of an operating gold and silver mine located in Mato Grosso, Brazil. Additional information on the Company and its operations, including technical reports on the Caraíba Operations, Xavantina Operations and Tucumã Project, can be found on the Company's website (www.erocopper.com), on SEDAR+ (www.sedarplus.ca), and on EDGAR (www.sec.gov). The Company's shares are publicly traded on the Toronto Stock Exchange and the New York Stock Exchange under the symbol "ERO".
FOR MORE INFORMATION, PLEASE CONTACT
Courtney Lynn, SVP, Corporate Development, Investor Relations & Sustainability
(604) 335-7504
info@erocopper.com
CAUTION REGARDING FORWARD LOOKING INFORMATION AND STATEMENTS
This press release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities legislation (collectively, "forward-looking statements"). Forward-looking statements include statements that use forward-looking terminology such as "may", "could", "would", "will", "should", "intend", "target", "plan", "expect", "budget", "estimate", "forecast", "schedule", "anticipate", "believe", "continue", "potential", "view" or the negative or grammatical variation thereof or other variations thereof or comparable terminology. Forward-looking statements may include, but are not limited to, statements with respect to the Company's expected production, operating costs and capital expenditures at the Caraíba Operations, the Tucumã Project and the Xavantina Operations; estimated completion dates for certain milestones, including the commissioning timeline and initial production at the Tucumã Project; a continuation of elevated gold grades at the Xavantina Operations; and any other statement that may predict, forecast, indicate or imply future plans, intentions, levels of activity, results, performance or achievements.
Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual results, actions, events, conditions, performance or achievements to materially differ from those expressed or implied by the forward-looking statements, including, without limitation, risks discussed in this press release and in the Company's Annual Information Form for the year ended December 31, 2023 ("AIF") under the heading "Risk Factors". The risks discussed in this press release and in the AIF are not exhaustive of the factors that may affect any of the Company's forward-looking statements. Although the Company has attempted to identify important factors that could cause actual results, actions, events, conditions, performance or achievements to differ materially from those contained in forward-looking statements, there may be other factors that cause results, actions, events, conditions, performance or achievements to differ from those anticipated, estimated or intended.
Forward-looking statements are not a guarantee of future performance. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements involve statements about the future and are inherently uncertain, and the Company's actual results, achievements or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to herein and in the AIF under the heading "Risk Factors".
The Company's forward-looking statements are based on the assumptions, beliefs, expectations and opinions of management on the date the statements are made, many of which may be difficult to predict and beyond the Company's control. In connection with the forward-looking statements contained in this press release and in the AIF, the Company has made certain assumptions about, among other things: favourable equity and debt capital markets; the ability to raise any necessary additional capital on reasonable terms to advance the production, development and exploration of the Company's properties and assets; future prices of copper, gold and other metal prices; the timing and results of exploration and drilling programs; the accuracy of any mineral reserve and mineral resource estimates; the geology of the Caraíba Operations, the Xavantina Operations and the Tucumã Project being as described in the respective technical report for each property; production costs; the accuracy of budgeted exploration, development and construction costs and expenditures; the price of other commodities such as fuel; future currency exchange rates and interest rates; operating conditions being favourable such that the Company is able to operate in a safe, efficient and effective manner; work force continuing to remain healthy in the face of prevailing epidemics, pandemics or other health risks, political and regulatory stability; the receipt of governmental, regulatory and third party approvals, licenses and permits on favourable terms; obtaining required renewals for existing approvals, licenses and permits on favourable terms; requirements under applicable laws; sustained labour stability; stability in financial and capital goods markets; availability of equipment; positive relations with local groups and the Company's ability to meet its obligations under its agreements with such groups; and satisfying the terms and conditions of the Company's current loan arrangements. Although the Company believes that the assumptions inherent in forward-looking statements are reasonable as of the date of this press release, these assumptions are subject to significant business, social, economic, political, regulatory, competitive and other risks and uncertainties, contingencies and other factors that could cause actual actions, events, conditions, results, performance or achievements to be materially different from those projected in the forward-looking statements. The Company cautions that the foregoing list of assumptions is not exhaustive. Other events or circumstances could cause actual results to differ materially from those estimated or projected and expressed in, or implied by, the forward-looking statements contained in this press release. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Forward-looking statements contained herein are made as of the date of this press release and the Company disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or results or otherwise, except as and to the extent required by applicable securities laws.
CAUTIONARY NOTES REGARDING MINERAL RESOURCE AND MINERAL RESERVE ESTIMATES
Unless otherwise indicated, all reserve and resource estimates included in this press release and the documents incorporated by reference herein have been prepared in accordance with National Instrument 43-101, Standards of Disclosure for Mineral Projects ("NI 43-101") and the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") — CIM Definition Standards on Mineral Resources and Mineral Reserves, adopted by the CIM Council, as amended (the "CIM Standards"). NI 43-101 is a rule developed by the Canadian Securities Administrators that establishes standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects. Canadian standards, including NI 43-101, differ significantly from the requirements of the United States Securities and Exchange Commission (the "SEC"), and reserve and resource information included herein may not be comparable to similar information disclosed by U.S. companies. In particular, and without limiting the generality of the foregoing, this press release and the documents incorporated by reference herein use the terms "measured resources," "indicated resources" and "inferred resources" as defined in accordance with NI 43-101 and the CIM Standards.
Further to recent amendments, mineral property disclosure requirements in the United States (the "U.S. Rules") are governed by subpart 1300 of Regulation S-K of the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act") which differ from the CIM Standards. As a foreign private issuer that is eligible to file reports with the SEC pursuant to the multi-jurisdictional disclosure system (the "MJDS"), Ero is not required to provide disclosure on its mineral properties under the U.S. Rules and will continue to provide disclosure under NI 43-101 and the CIM Standards. If Ero ceases to be a foreign private issuer or loses its eligibility to file its annual report on Form 40-F pursuant to the MJDS, then Ero will be subject to the U.S. Rules, which differ from the requirements of NI 43-101 and the CIM Standards.
Pursuant to the new U.S. Rules, the SEC recognizes estimates of "measured mineral resources", "indicated mineral resources" and "inferred mineral resources". In addition, the definitions of "proven mineral reserves" and "probable mineral reserves" under the U.S. Rules are now "substantially similar" to the corresponding standards under NI 43-101. Mineralization described using these terms has a greater amount of uncertainty as to its existence and feasibility than mineralization that has been characterized as reserves. Accordingly, U.S. investors are cautioned not to assume that any measured mineral resources, indicated mineral resources, or inferred mineral resources that Ero reports are or will be economically or legally mineable. Further, "inferred mineral resources" have a greater amount of uncertainty as to their existence and as to whether they can be mined legally or economically. Under Canadian securities laws, estimates of "inferred mineral resources" may not form the basis of feasibility or pre-feasibility studies, except in rare cases. While the above terms under the U.S. Rules are "substantially similar" to the standards under NI 43-101 and CIM Standards, there are differences in the definitions under the U.S. Rules and CIM Standards. Accordingly, there is no assurance any mineral reserves or mineral resources that Ero may report as "proven mineral reserves", "probable mineral reserves", "measured mineral resources", "indicated mineral resources" and "inferred mineral resources" under NI 43-101 would be the same had Ero prepared the reserve or resource estimates under the standards adopted under the U.S. Rules.
Figures accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/513b9f06-c814-4f6b-9950-a06e33b34540
https://www.globenewswire.com/NewsRoom/AttachmentNg/c9d5ede1-7233-4061-b519-42a445637b59
https://www.globenewswire.com/NewsRoom/AttachmentNg/11f4eba4-600f-464b-ab33-9040d376868c
News Provided by GlobeNewswire via QuoteMedia
Latest News
Culpeo Minerals Investor Kit
- Corporate info
- Insights
- Growth strategies
- Upcoming projects
GET YOUR FREE INVESTOR KIT
Latest Press Releases
Related News
TOP STOCKS
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.