Hudbay Announces Climate Change Initiatives, 2030 Greenhouse Gas Reduction Targets and Net Zero Commitment

Hudbay Minerals Inc. ("Hudbay" or the "company") ( TSX, NYSE: HBM) is pleased to announce its commitment to achieve net zero greenhouse gas ("GHG") emissions by 2050 and the adoption of interim 2030 GHG reduction targets to support this commitment. In 2021, Hudbay initiated a roadmap to further identify and manage risks associated with climate change, and opportunities to reduce GHG emissions in alignment with global decarbonization goals.

While Hudbay's operations are well-positioned in the lower half of the global GHG emissions curve for copper operations ⁱ the company recognizes its role in mitigating climate change. Hudbay's GHG emissions reduction plan includes the following initiatives:

• Pursuing a 50% reduction in absolute Scope 1 and Scope 2 emissions from existing operations by 2030 (compared to 2021)
• Achieving net zero total emissions by 2050
• Reporting on material Scope 3 emissions in the near-term
• Assessing acquisitions and new projects against corporate emissions targets
• Continuing to be transparent with GHG performance data disclosure, including reporting total GHG emissions and GHG intensity
• Evaluating new technologies as they become commercially available and economically viable

"Our GHG reduction targets were developed following a thorough review of our existing emissions and evaluation of reduction opportunities that are achievable without compromising the long-term economics of our operations and projects," said Peter Kukielski, President and Chief Executive Officer. "We are proud to be able to align with global goals of a 50% reduction in emissions by 2030 and a commitment to net zero by 2050. We are producing metals the world needs to transition to a low-carbon future and will continue to do so while contributing to sustainable development everywhere we operate."

Producing Metals Needed for Decarbonization

Copper is Hudbay's primary metal, representing approximately 60% of the company's revenues. Copper is one of the critical metals needed for the global transition to a low-carbon future. The demand for copper is expected to grow with the increased use of the metal in renewable energy sources, energy storage and the electrification of vehicles. Hudbay has a leading organic growth pipeline with significant long-term copper optionality to add to its copper production profile to meet the anticipated increase in demand.

Roadmap to Reduced Carbon Emissions

Processing Improvements - To date, Hudbay's GHG reduction efforts have been focused on improving operating efficiencies to reduce the emissions intensity at its operating mines through initiatives such as ore sorting and recovery improvement programs.

Opportunities for Emissions Abatement - The company has identified multiple opportunities to achieve further reductions in emissions, including grid decarbonization in Peru, fleet and heating electrification and fuel switching in mobile equipment. While many of these technologies are commercially established, some are not yet economically feasible for adoption at the company's operations. Hudbay expects many existing and new technologies to continue to be advanced over the next decade to improve cost effectiveness and increase industry adoption rates, and the company with continue to track and evaluate their viability. Hudbay will also engage with suppliers and other stakeholders to advocate for measures to support economic implementation.

Application to Growth Projects - The company will consider achievable emissions reductions in the design of its brownfield and greenfield growth projects. Hudbay's most advanced greenfield opportunity is the Copper World project in Arizona, which is currently going through state-level permitting and pre-feasibility studies. The company's pre-feasibility study will further examine the feasibility of ultimately producing copper cathode onsite, which would reduce GHG emissions associated with overseas shipping and processing of copper concentrate. Copper World and any new operating assets will be incorporated into the company's publicly disclosed emissions targets.

Continued Capital Discipline - All emissions reduction initiatives will be assessed through Hudbay's capital allocation process to ensure any associated capital investment balances emissions and economic targets and is prudently executed. This is consistent with the company's disciplined long-term risk-adjusted returns and capital allocation strategy.

For more information, please see Hudbay's Climate Change Initiatives presentation found at https://hudbayminerals.com/Climate-Change-Initiatives .

Hudbay has been reporting global GHG emissions data and performance to the CDP Climate questionnaire for more than 10 years. The company's 2021 Annual Sustainability Report maps its CDP responses to the Task Force on Climate-related Financial Disclosures recommendations. Hudbay also aligns with the Mining Association of Canada's Towards Sustainable Mining ("TSM") environmental protocols, and beginning in 2022, the company will implement the updated TSM Climate Change Protocol. For more information, please see Hudbay's 2021 Annual Sustainability Report found at https://s23.q4cdn.com/405985100/files/doc_financials/2021/ar/Hudbay-2021-CSR.pdf .

Forward-Looking Information

This news release contains forward-looking information within the meaning of applicable Canadian and United States securities legislation. Forward-looking information includes, but is not limited to, Hudbay's intention and ability to meet emissions reduction targets and the intended design and output of the Copper World project. Forward-looking information is not, and cannot be, a guarantee of future results or events. Forward-looking information is based on, among other things, opinions, assumptions, estimates and analyses that, while considered reasonable by the company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies and other factors that may cause actual results and events to be materially different from those expressed or implied by the forward-looking information.

The material factors or assumptions that Hudbay identified and were applied by the company in drawing conclusions or making forecasts or projections set out in the forward-looking information include, but are not limited to, the ability to meet emissions reduction targets, the company's ability to develop the Copper World project, the likelihood that existing GHG reduction technologies will become cost effective and that new, cost-effective technologies will be developed and become commercially available, and the ability of the company to fund Copper World and any emissions reduction initiatives.

The risks, uncertainties, contingencies and other factors that may cause actual results to differ materially from those expressed or implied by the forward-looking information may include, but are not limited to, risks generally associated with the mining industry, such as economic factors (including future commodity prices, currency fluctuations, energy prices and general cost escalation), as well as the risks discussed under the heading "Risk Factors" in Hudbay's most recent Annual Information Form.

Should one or more risk, uncertainty, contingency or other factor materialize or should any factor or assumption prove incorrect, actual results could vary materially from those expressed or implied in the forward-looking information. Accordingly, you should not place undue reliance on forward-looking information. Hudbay does not assume any obligation to update or revise any forward-looking information after the date of this news release or to explain any material difference between subsequent actual events and any forward-looking information, except as required by applicable law.

About Hudbay

Hudbay (TSX, NYSE: HBM) is a diversified mining company with long-life assets in North and South America. The company's operations in Cusco (Peru) produce copper with gold, silver and molybdenum by-products. Its operations in Manitoba (Canada) produce gold with copper, zinc and silver by-products. Hudbay's organic pipeline includes copper development projects in Arizona and Nevada (United States), and its growth strategy is focused on the exploration, development, operation, and optimization of properties it already controls, as well as other mineral assets it may acquire that fit its strategic criteria. Hudbay's mission is to create sustainable value through the acquisition, development and operation of high-quality, long-life deposits with exploration potential in jurisdictions that support responsible mining, and to see the regions and communities in which the company operates benefit from its presence. Further information about Hudbay can be found on www.hudbay.com .

For investor and media inquiries, please contact:

Candace Brûlé
Vice President, Investor Relations
(416) 814-4387
candace.brule@hudbay.com

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i} Greenhouse gas emissions curve for global copper producers sourced from CRU International Ltd. (2022).