Interra Copper Corp. (CSE: IMCX) (OTCQB: IMIMF) (FSE: 3MX) ("Interra" or the "Company") is pleased to provide details of the first phase of the planned 2024 exploration program at the Thane Copper-Gold Project (the "Project" or "Thane") in North Central British Columbia.
THANE PROJECT HIGHLIGHTS
Visit Interra's current presentation for further detail information about Thane Project: https://interracoppercorp.com/site/assets/presentation
CURRENT WORK - HIGH-RESOULTION MULTISPECTRAL ANALYSIS:
In Q2 Interra purchased high resolution satellite imagery and topographic data and acquired additional multispectral imagery data to support planned target development. ALS GoldSpot have been retained to provide advanced processing and mineral mapping of the altered and mineralized zones using proprietary clustering algorithms to support geological observations. This work is expected to dramatically increase the efficiency and success rate of the 2024 field work.
THANE 2024 FIELD PROGRAM:
The 2024 exploration program is expected to be completed in two phases, an initial field level mineral system review completed by senior porphyry specialists in early July followed by a focussed alteration and mineralization mapping and sampling program in August.
Figure 1 - Six Copper-Gold mineralized centres (Red) across interpreted alteration footprint (Orange)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/7923/207750_66281d8b74aebbb8_002full.jpg
The 2024 field program will advance the six main target areas identified to date, visit additional peripheral target zones, determine the distribution of prospective host rocks, identify and define the alteration footprints and paragenesis, characterize the known mineralization in the context of current global alkalic porphyry research and district understanding, and design any additional geophysical and geochemical surveys required in advance of drilling. The expected outcome of the programs is to provide compelling, optimized targets for future discovery drilling at Thane.
Technical information contained within this news release has been reviewed and approved by Phil Smerchanski, M.Econ.Geol., P.Geo., an advisor to the Company and a qualified person as defined by National Instrument 43-101 policy.
About Interra Copper Corp.
Interra Copper Corp. is an exploration and development company focused on creating shareholder value through the advancement of its current interests that include the Thane Copper-Gold Project in north-central British Columbia, and the Rip Copper-Molybdenum Project in north-west British Columbia. Utilizing its heavily experienced leadership team, Interra Copper continues to source and evaluate assets and projects to further generate shareholder value.
The Thane property covers approximately 206 km2 and is located within the prolific Quesnel Copper-Gold porphyry Terrane of north-central British Columbia, midway between the previously operated open pit Kemess Mine and the currently operating Mount Milligan mine. The Thane Project includes several highly prospective mineralized areas identified to date, including the Cathedral, Gail/Cirque, Aten, CJL, Mat and Lake targets that contain high-grade copper-gold mineralization which has only been partially tested by limited exploration. Interra Copper Corp. would like to acknowledge that its Thane Project is located in the traditional territories of Takla Nation and Tsay Keh Dene Nation.
The Rip Project is under option for up to an 80% earn in by Interra Copper, over a multi-year period. The property is 47 km2 in area and located in the prolific Stikine Terrane, in a Late Cretaceous host that contains significant Cu-Mo Porphyry deposits. Historical Induced Polarization (IP) geophysics has outlined a zone of high chargeability, coincident with the strong quartz sericite-pyrite alteration interpreted to suggest the potential of a mineralized porphyry alteration system at depth.
Interra Copper is committed to sustainable and responsible business activities in line with industry best practices, supportive of all stakeholders, including the local communities in which we operate. The Company's common shares are principally listed on the Canadian Stock Exchange under the symbol "IMCX". For more information on Interra Copper, please visit our website at www.interracoppercorp.com.
On behalf of the Board of Interra Copper Corp.
"Rick Gittleman"
President, CEO & Chairman
For further information contact:
Katherine Pryde
Investor Relations
+1 (778) 949-1829
investors@interracoppercorp.com
Forward-Looking Information
This news release contains certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or" should" occur or be achieved. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the closing of the Private Placement, the receipt of all necessary regulatory and other approvals, the use of proceeds from the Private Placement, and the revolving credit facility, including the terms thereof, are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by Interra, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation, risks related to the Company receiving all approvals necessary for the completion of the Private Placement and revolving credit facility and the timing thereof. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these items. Interra does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by applicable securities laws.
The Canadian Securities Exchange has not reviewed, approved or disapproved the contents of this press release, and does not accept responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/207750
News Provided by Newsfile via QuoteMedia
Interra Copper Corp. (CSE: IMCX) (OTCQB: IMIMF) (FSE: 3MX) ("Interra" or the "Company") is pleased to provide detail of the first phase exploration program at the Rip Copper Project (the "Project" or "Rip") in the Stikine region of British Columbia. The Rip Project is situated approximately 33 km northeast of Imperial Metals' past producing Huckleberry copper-molybdenum ("Cu-Mo") mine (see Figure 1), which is presently on care and maintenance. Imperial Metals Corporation is exploring Huckleberry and its surrounding claims for additional Cu-Mo resources.
In late 2023, the Company first announced its option agreement with ArcWest Exploration Inc. ("ArcWest") to acquire an 80% interest in ArcWest's Rip Cu-Mo project. Interra can earn the first tier of its interest in the project by completing staged exploration work totalling C$2.0 million and direct payment of C$100,000 and annual share payments over 4 years until end of 2027. Interra is currently funded for, and anticipates, it will meet and likely exceed its 2024 and 2025 obligations for the earn-in of C$300,000 and C$500,000 in expenditures respectively with the budget outlined in this 2 stage program. The initial program is staged into 2 work phases: 1) A geophysical program to define drill targets, commencing in late April and; 2) A diamond drilling program tentatively scheduled for Q3/Q4 of 2024.
The stage 1 exploration program consists of an airborne magnetic survey flown by Precision Geosurveys followed by a 3D-IP survey to be completed by DIAS Geophysical The 3D-IP survey is designed to further delineate and potentially expand upon a historical chargeability anomaly identified on the project by Kennco in the late 1970s, as shown in Figure 2.
Shallow percussion drilling of this chargeability anomaly by Kennco intersected porphyry copper style alteration and anomalous Cu-Mo mineralization over a broad area. A lone diamond drill hole intersected anomalous Cu (0.07%) and Mo (0.005%) over 74m in strongly quartz-sericite-pyrite ("QSP") altered volcanic rocks cut by late feldspar porphyry and mineralized quartz diorite dykes; the bottom 64m consists of intrusive clast-rich polymictic breccia cut by abundant pyrite, gypsum and quartz veins with local secondary biotite. QSP, intermediate argillic ("IA") and propylitic alteration predominate in the holes, suggesting that the Kennco holes only tested the upper levels of a shallowly eroded porphyry Cu-Mo system.
Figure 1 - Rip Regional Google Earth Map Image of Satellite Photo
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/7923/206939_2cc7675014a13a07_002full.jpg
Potential therefore exists at Rip for the discovery an underlying Cu-Mo mineralized potassic core. The upcoming geophysical program has a much greater survey area than that of the historical surveys, and as such, will play a key role in evaluating the depth potential of the Rip porphyry Cu-Mo system. The airborne magnetic survey is estimated to commence in late April, with the 3D-IP survey estimated to commence in May/June. Details of this survey are as shown in Figure 3.
Interra looks forward to the results of our programs in conjunction with our partners, ArcWest, and the recently rejuvenated copper and precious metals markets. Updates are anticipated to be every couple of months throughout the exploration season.
Figure 2 - Rip chargeability high from historical survey and alteration from percussion drill holes
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/7923/206939_interrafig2.jpg
Figure 3 - Transmitter and receiver stations for the 2024 3D-IP survey (Dias Geophysical). A chargeability anomaly delineated by a historical IP survey is in red.
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/7923/206939_2cc7675014a13a07_004full.jpg
About Interra Copper Corp.
Interra Copper Corp. is focused on building shareholder value through the exploration and development of its two early-stage copper exploration assets located in British Columbia, Canada.
The Thane Project located in the Quesnel Terrane of Northern BC spans over 20,658 ha with 6 high-priority targets identified demonstrating significant copper and precious metal mineralization. The Company has an earn-in option up to 80% and joint-venture agreement on the Rip Project located in Stikine Terrane in a prolific belt of Late Cretaceous (bulkley plutonic suite), known for copper-molybdenum deposits.
Interra Copper's leadership team is comprised of senior mining industry executives who have a wealth of technical and capital markets experience and a strong track record of discovering, financing, developing, and operating mining projects on a global scale. Interra Copper is committed to sustainable and responsible business activities in line with industry best practices, supportive of all stakeholders, including the local communities in which we operate. The Company's common shares are principally listed on the Canadian Stock Exchange under the symbol "IMCX". For more information on Interra Copper, please visit our website at www.interracoppercorp.com.
On behalf of the Board of Interra Copper Corp.
"Rick Gittleman"
President, CEO & Chairman
For further information contact:
Katherine Pryde
Investor Relations
+1 (778) 949-1829
investors@interracoppercorp.com
Forward-Looking Information
This news release contains certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-Looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or" should" occur or be achieved. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the closing of the Private Placement, the receipt of all necessary regulatory and other approvals, the use of proceeds from the Private Placement, and the revolving credit facility, including the terms thereof, are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-Looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by Interra, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation, risks related to the Company receiving all approvals necessary for the completion of the Private Placement and revolving credit facility and the timing thereof. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these items. Interra does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by applicable securities laws. The Canadian Securities Exchange has not reviewed, approved or disapproved the contents of this press release, and does not accept responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/206939
News Provided by Newsfile via QuoteMedia
Interra Copper Corp. (CSE: IMCX) (OTCQB: IMIMF) (FSE: 3MX) ("Interra" or the "Company") is pleased to issue the following letter from its Chairman, President & Chief Executive Officer, Rick Gittleman, updating shareholders on the Company's plans for unlocking value from its assets while executing on a prudent yet strategic work plan in 2024.
To our fellow shareholders of Interra Copper Corp.,
I'm writing to you today with great enthusiasm for a busy and productive 2024. Over the year, Interra's leadership will be focused on maximizing shareholder value through exploration on multiple projects and initiatives. The team has spent time prioritizing and re-evaluating the Company's projects - re-interpreting data to identify the best targets and regions within those projects. The overall goal was to determine optimal exploration programs and to also eliminate non-productive assets and costs that are generating no real value for the Company.
We ended 2023 on a positive note - closing on a multi-round non-brokered flow-through private placement financing raising C$1.14 million in December 2023 and positioning the Company for near term exploration work in British Columbia. We are especially excited to put this money to work and commence exploration at the Rip Copper-Molybdenum Project, the newest addition to our exploration assets. In December 2023, in connection with the Rip Project, we acquired an option for up to an 80% earn-in and joint venture agreement with ArcWest Exploration Inc. Rip's geological attributes make a compelling case for prioritized exploration. The fully permitted exploration project is located in central British Columbia (BC), an established mining region on Canada's west coast, and situated in a prolific belt of Late Cretaceous intrusions (Bulkley Plutonic Suite), host to numerous past producing mines and well-known Copper and Molybdenum deposits, such as Huckelberry, Endako, Granisle and Granduc.
Together with our partner, ArcWest, we have begun to develop a significant exploration plan for the Rip Project. New work, completed in late 2023, included a modest till cover geochemical sampling program. Follow-up work to aid with drill target definition will include a drone supported high resolution magnetic survey in addition to a 3D Induced Polarization survey this summer. The Rip technical committee is also currently in the process of finalizing options and costs for a modest drill program based on an assumption of success with the early exploration. Interra has flow-through qualified CEE "Canadian Exploration Expenses" funds available to support both of our BC projects, with funds not going to Rip in 2024 to be dedicated to our other exciting BC porphyry project, the Thane Project.
Our 100% owned Thane Project is a district scale copper-gold project covering a 20,658-hectare concession within the Quesnel Terrane in Northern British Columbia. The Quesnel Terrane is a prolific porphyry belt with significant copper, gold, silver, molybdenum mineralization. Thane sits amongst existing mines and other known significant deposits, such as Centerra Gold's Mt. Milligan Mine and Kemess North Deposits, North-west Copper's Kwanika and Stardust and Pacific Ridge's Kliyul Deposits and the Company classifies it as underexplored. Six mineralized copper-gold target areas have been identified to date and in late 2023 Interra engaged in an independent review to re-assess past work and re-interpret the project data with a view to an integrated life of project dataset and a new strategy for discovery. Our consultant has extensive and relevant experience with Northern Cordillera copper-gold systems both as a senior exploration specialist with major mining companies and with specific direct experience in the district surrounding Thane Project as a technical adviser on the same style of deposits Thane has the potential to host.
Based upon the results of the review, we are anticipating work contemplated for 2024 will include both ortho-imagery and high-resolution topographical surveys to support field reviews and targeted rock geochemistry to help vector towards mineral centres. This work will be focused on maximizing the use of previously invested data and ensuring a well thought out systematic discovery program can be developed for the next phase of work. This next stage of work is expected to include detailed magnetic geophysical surveys and focused geological mapping of the mineralization and alteration of specific copper-gold target zones to prepare for discovery drilling.
Given the large size of the property and multiple mineral centres identified to date, Interra has also begun a search for a senior company partner in order to accelerate these plans and provide support to a longer-term discovery strategy to maximize the value of the asset. Exploration plan details for 2024 will be shared with the market in the coming weeks.
While Thane is fully permitted for all planned work in 2024, ahead of this work, we have continued previous discussions with local First Nations representatives to ensure open and transparent communication with the Nations and local communities and to allow for integration of traditional territories. Interra is committed to responsible exploration in the regions in which we operate and we look forward to working closely with local First Nations and partners as we further advance our assets in this region.
Chile has proven to be of decreasing attractiveness especially over the past twelve to eighteen months, culminating with what amounts to a burdensome "tax" on exploration ventures and capital. Management does not see this policy improving anytime soon. Our drilling program at Tres Marias yielded no positive results. Pitbull and Zenaida are greenfield projects in very early stages of exploration which technically rank lower than our BC exploration portfolio. Unfortunately, the government of Chile this year increased significantly the annual claim fees that need to be paid to maintain the concessions; claim fees that amount to unacceptable overhead costs to the Company and that represent a drastic increase from previous years. Accordingly, based upon the results at Tres Marias, the Interra board of directors (Board) has consented to divesting these projects for nominal compensation or to return the claims to the government. Nonetheless, we are very excited about both Rip and Thane. We need to use our resources prudently. Accordingly, these projects will be pursued with much greater focus and resources. We believe that our funds can and must be better spent in jurisdictions like BC, Canada.
Interra anticipates 2024 will be a pivotal year for the Company, both in terms of improving market conditions, and with new discovery focused programs initiating at two projects in British Columbia. With the backdrop of strong metals prices, particularly copper and gold, we look forward to unlocking the potential of our highly prospective exploration assets located in a great jurisdiction. Additionally, consistent with our corporate strategy, the Company continues its search for brownfield and resource-level copper development project opportunities with the potential for high impact. We continue to seek out special opportunities that will prove valuable to the Company and our shareholders.
Finally, and on a personal note, it has been a great pleasure working with my colleagues on the Interra Board and with the Interra management team. I have also been extremely impressed by our shareholders who stand by and support the Company. The support I have received is meaningful to me personally. Originally it was not my intent to take on the role of the Chief Executive Officer on a permanent basis as recently announced, however, the past six months have convinced me that the Interra team and vision is the right one and that the shareholders of Interra need a CEO fully committed to the Company's success. Moreover, I have, along with other Board members, increased our shareholdings in Interra and financially invested in the Company through participating in the recent and current private placements.
Thank you again to you, the shareholders, for your ongoing support coming out of what has been a very tough market. Interra has a very skilled and dedicated leadership team with a long track record of success. We remain committed to creating value through our focused copper-gold discovery programs.
Sincerely,
Rick Gittleman
Chairman of the Board, President & Chief Executive Officer
Interra Copper Corp.
About Interra Copper Corp.
Interra Copper Corp. is focused on building shareholder value through the exploration and development of its portfolio of early-stage exploration copper assets located in British Columbia, Canada and Chile.
The Company's portfolio includes three exploration projects in British Columbia: Thane, Chuck Creek and Rip. The Thane Project located in the Quesnel Terrane of Northern BC spans over 20,658 ha with 6 high-priority targets identified demonstrating significant copper and precious metal mineralization. Chuck Creek is an early-stage exploration project located within the Eagle Bay Assemblage. The Company has an earn-in option up to 80% and joint-venture agreement on the Rip Project located in Stikine Terrane in a prolific belt of Late Cretaceous (bulkley plutonic suite), known for copper-molybdenum deposits. The Company also owns three copper projects located the Central Volcanic Zone, within a prolific Chilean Copper belt: Tres Marias and Zenaida in Antofagasta Region, and Pitbull in Tarapaca Region.
Interra Copper's leadership team is comprised of senior mining industry executives who have a wealth of technical and capital markets experience and a strong track record of discovering, financing, developing, and operating mining projects on a global scale. Interra Copper is committed to sustainable and responsible business activities in line with industry best practices, supportive of all stakeholders, including the local communities in which we operate. The Company's common shares are principally listed on the Canadian Stock Exchange under the symbol "IMCX". For more information on Interra Copper, please visit our website at www.interracoppercorp.com.
On behalf of the Board of Interra Copper Corp.
Rick Gittleman
Chairman, President & CEO
For further information contact:
Katherine Pryde
Investor Relations
+1 (778) 949-1829
investors@interracoppercorp.com
Forward-Looking Information
Forward-Looking Statements: This news release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, relating to the Company's plans on the Thane and Rip Projects, and the potential results of exploration work on the projects, as well as the Company's intent and ability to divest its Chile assets. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "aims," "potential," "goal," "objective," "prospective," and similar expressions, or that events or conditions "will," "would," "may," "can," "could" or "should" occur, or are those statements, which, by their nature, refer to future events. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made, and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except to the extent required by applicable securities laws and the policies of the Canadian Securities Exchange, the Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include risks associated with mineral exploration operations, the risk that the Company will encounter unanticipated geological factors, the possibility that the Company may not be able to secure permitting and other governmental clearances necessary to carry out the Company's exploration plans, the risk that the Company will not be able to raise sufficient funds to carry out its business plans, and the risk of regulatory or legal changes that might interfere with the Company's business and prospects. The reader is urged to refer to the Company's reports, publicly available on SEDAR+ at www.sedarplus.ca and the Company's website. We seek safe harbor.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/202330
News Provided by Newsfile via QuoteMedia
Interra Copper Corp. (CSE: IMCX) (FSE: 3MX) ("Interra" or the "Company") announces that it has entered into a securities for debt settlement agreement dated January 15, 2024 (the "Agreement") with a professional advisor of the Company.
Pursuant to the Agreement, the Company has agreed to settle debt in the amount of $34,723.05 through the issuance of 138,892 units (each, a "Unit") at a deemed price of $0.25 per Unit, whereby each Unit shall be comprised of one (1) common share in the capital of the Company (each a "Share") and one half (1/2) of one (1) Share purchase warrant (each whole, being a "Warrant"). Each Warrant will be convertible into an additional Share (a "Warrant Share") at an exercise price of $0.35 per Warrant Share and will expire on the date that is three (3) years following the date of issuance (the "Expiry Date"). The Expiry Date shall be subject to acceleration where the volume-weighted average trading price of the Company's common shares on the Canadian Securities Exchange is equal to or greater than $0.45 for a continuous 30-day period at any time after that date which is 4 months following their date of issue in which case the Expiry Date of the Warrants shall automatically accelerate and the Warrants will expire on that date which is 30 days after the date on which notice of such acceleration event is provided to the holder.
The Agreement and the issuance of the securities thereunder are subject to the approval of the CSE. The securities will be subject to a hold period of four months and one day pursuant to CSE policies and applicable securities laws.
On behalf of the Board of Interra Copper Corp.
Rick Gittleman
Interim CEO & Chairman
For further information contact:
Katherine Pryde
Investor Relations
+1 (778) 949-1829
investors@interracoppercorp.com
Forward Looking Information
This news release contains certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or" should" occur or be achieved. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the debt settlement transaction and the receipt of all necessary regulatory and other approvals, are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by Interra, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation, the ability of the Company to obtain the necessary approvals in connection with the Agreement and the transactions contemplated thereby, the ability to complete exploration work, the results of exploration, continued availability of capital, and changes in general economic, market and business conditions. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these items. Interra does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by applicable securities laws.
The Canadian Securities Exchange has not reviewed, approved or disapproved the contents of this press release, and does not accept responsibility for the adequacy or accuracy of this release.
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/194531
News Provided by Newsfile via QuoteMedia
Interra Copper Corp. (CSE: IMCX) (FSE: 3MX) ("Interra" or the "Company") announces that, further to its news release of December 19, 2023, the Company has distributed an aggregate of 282,148 units (each, a "Unit") at a deemed price of $0.25 per Unit in connection with a securities for debt settlement agreement dated December 18, 2023 (the "Agreement") with a consultant of the Company, pursuant to which the Company has agreed to settle debt in the amount of $70,537.00.
Each Unit is comprised of one (1) common share in the capital of the Company (each a "Share") and one half (1/2) of one (1) Share purchase warrant (each whole, being a "Warrant"). Each Warrant is convertible into an additional Share (a "Warrant Share") at an exercise price of $0.35 per Warrant Share and will expire on the date that is three (3) years following the date of issuance (the "Expiry Date"). The Expiry Date is subject to acceleration where the volume-weighted average trading price of the Company's common shares on the CSE is equal to or greater than $0.45 for a continuous 30-day period at any time after that date which is four (4) months following the date of issuance, in which case the Expiry Date of the Warrants shall automatically accelerate and the Warrants will expire on that date which is 30 days after the date on which notice of such acceleration event is provided to the holder.
The securities issued under the Agreement are subject to a hold period of four months and one day pursuant to CSE policies and applicable securities laws.
On behalf of the Board of Interra Copper Corp.
Rick Gittleman
Interim CEO & Chairman
For further information contact:
Katherine Pryde
Investor Relations
+1 (778) 949-1829
investors@interracoppercorp.com
Forward-Looking Information
This news release contains certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or" should" occur or be achieved. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the use of Proceeds are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by Interra, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation, the ability to complete exploration work, the results of exploration, continued availability of capital, and changes in general economic, market and business conditions. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these items. Interra does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by applicable securities laws.
The Canadian Securities Exchange has not reviewed, approved or disapproved the contents of this press release, and does not accept responsibility for the adequacy or accuracy of this release.
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
FOR DISSEMINATION IN THE UNITED STATES
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/192780
News Provided by Newsfile via QuoteMedia
Redstone Resources' (ASX:RDS) strategic exploration of copper and other base metals in Western Australia's West Musgrave region, coupled with its lithium acquisition in Canada, positions the company to potentially capitalize on the growing global demand for battery metals, leveraging its 100 percent ownership of its West Musgrave project and proximity to significant existing deposits.
Australia is supporting this growth in demand through its mining-friendly, tier-1 jurisdictions. The country is a world leader in producing and exporting a plethora of metals and minerals, including iron, copper, lithium, nickel, bauxite and gold. Australia produces significant amounts of 19 in- demand minerals from more than 350 operating mines. The Musgrave Province contains a Mesoproterozoic crystalline basement terrain that reaches across the shared borders of Western Australia, the Northern Territory and South Australia. The terrain has significant deposits of several essential metals, including nickel, platinum group elements (PGEs), copper, gold, lead, zinc, chromite, and rare earth elements (REEs). Yet, much of Musgrave remains underexplored, especially for the base metals the world now needs.
Redstone Resources (ASX:RDS) is a base and precious metals exploration company, exploring its 100-percent-owned, highly prospective West Musgrave Project, which includes the Tollu Copper deposit, located in the West Musgrave Province of Western Australia. The company’s West Musgrave Project is located proximal to BHP’s world-class Nebo-Babel nickel-copper- PGE sulphide deposit and Succoth copper (nickel, palladium) deposit, and Nico Resources’ Wingellina nickel-cobalt project.
Redstone also has other pending tenement applications prospective for base metals in the same region. The company is led by a management team with expertise in geology and mineral exploration, business development and corporate law, creating confidence in the team’s ability to capitalize on its assets.
The unique Musgrave terrain has already drawn the interest of notable miners, such as BHP. BHP has progressed with the development of its Nebo-Babel nickel-copper-PGE sulphide deposit, following grant of final regulatory approval to begin construction of the Nebo-Babel mine. The Nebo-Babel nickel-copper-PGE sulphide deposit has been estimated to have a resource of 390 million tonnes grading 0.33 percent copper and 0.30 percent nickel, for 1.2 million tonnes of contained nickel metal and 1.3 million tonnes of contained copper metal (Mea + Ind + Inf – 2012 JORC). Other discoveries and deposits in the area, such as the Wingellina nickel-cobalt deposit, indicate the potential of the West Musgrave region to become a significant base metal jurisdiction.
Redstone’s flagship, 100-percent-owned West Musgrave Project is situated between these two deposits — approximately 40 kilometres east of BHP’s Nebo Babel nickel-copper-PGE deposit and 50 kilometres west-southwest of Nico Resources’ Wingellina nickel-cobalt deposit.
Redstone’s West Musgrave Project is highly prospective yet largely underexplored. The asset has the right geological and structural setting for large magmatic nickel-copper sulphide deposits, volcanic-hosted massive sulphide (VHMS) deposits and other large intrusive related hydrothermal systems.
Location of Redstone’s West Musgrave Project, which includes the Tollu copper deposit, in relation to the world-class Nebo-Babel Ni-Cu-PGE deposit.
The 100-percent-owned Tollu copper vein deposit, located within the West Musgrave project, has a JORC-compliant indicated and inferred resource estimate of 3.8 million tonnes grading 1 percent copper, for 38,000 tonnes of contained copper with a cut-off of 0.2 percent. There is also a current estimated conceptual exploration target*, suggesting a potential for up to 627,000
tonnes of copper at Tollu. (*conceptual exploration target ranges from 31 to 47 million tonnes of mineralization at 0.8 to 1.3 percent copper, containing 259,000 to 627,000 tonnes copper.)
Outside Australia, Redstone Resources is an emerging battery metals explorer and has been building its portfolio of lithium and other critical mineral assets in Canada.
Redstone Resources also recently entered into a 50/50 joint venture agreement with Galan Lithium (ASX:GLN), aqcuiring 100 percent of the highly prospective suite of lithium projects that include the Camaro, Taiga and Hellcat Projects located in the prolific James Bay Lithium District in Quebec, host to several advanced lithium projects and new lithium discoveries in Canada including:
Patriot’s CV8 pegmatite discovery is located only 1.4 km north of the Taiga Project and the newly discovered CV13 pegmatite cluster is located 1.5 km north of the Camaro Project
Redstone will be the manager of the joint venture which covers 5,187 hectares of tenure.
An experienced management team leads Redstone with decades of experience in the mineral resources sector, with expertise in mineral exploration, mining operations and corporate finance.
The West Musgrave Projectcovers 237 square kilometres of highly prospective yet underexplored terrain. The asset is 40 kilometres east of the world-class Nebo-Babel nickel- copper-PGE sulphide deposit owned by BHP, and contains suitable geological structure and settings for nickel-copper deposits. Redstone plans to continue the exploration of the asset to follow up on recent drilling and exploration results which identified numerous prospective targets.
Significantly, recent drilling some 7.5 km northeast of the Tollu Copper Vein deposit has confirmed for the first time the presence of mafic-ultramafic intrusions on the project, which are potential host and/or source rocks for nickel-copper-PGE ± cobalt mineralisation. This confirmation is significant for Redstone especially considering the western boundary of the project area is only 40 kms east of the BHP-owned world-class Nebo Babel nickel-copper-cobalt-PGE deposit and may also be a potential explanation for a source of the high grade copper at Tollu.
Redstone’s Tollu Copper Vein deposit is located within the broader West Musgrave Project and has already produced promising drilling results. Tollu hosts a giant swarm of hydrothermal copper-rich veins in a mineralized system covering an area of at least 5 square kilometres.
Copper mineralization is exposed at the surface and forms part of a dilation system within and between two major shears.
Redstone has defined a JORC 2012 resource estimate for Tollu of 3.8 million tonnesgrading 1 percent copper, for 38,000 tonnes of contained copper and 0.01 percent cobalt, which equates to 535 tonnes of contained cobalt. However, the company considers that this estimate may be far greater with further drilling.
Drilling results from Redstone Resources’ most recent exploration program continue to deliver outstanding copper results for the Chatsworth and Forio prospects at the Tollu Copper Vein deposit.
At Chatsworth, recent RC drill hole TLC205 intersected 11 metres at 1.2 percent copper from only 29 metres downhole, extending the previously intersected high‐grade copper lens a further 20 metres towards the surface.
Together with previous drilling, TLC205 has shown that the targeted high grade copper lens at Chatsworth is up to 26 metres thick (downhole), has a copper grade always over 1 percent copper and extends over 140 metres vertical from TLC205 to its deepest intersection to date in TLC188 at 174 metres-184 metres downhole. No drilling has been tested beneath the intersection in TLC188 and so this significant, up to 26 metre thick (downhole) vertically long high-grade copper lens remains open at depth.
Previous significant intersections at Chatsworth also include:
E-W Cross-section of high grade copper lens at Chatsworth Prospect, Tollu Copper Deposit. Recent intersection in RC drill hole TLC205 is shown along with intersections from 2021 drilling in TLC188 and TLC189 as well as intersections in historical drilling, RC drill holes TLC033 and TLC034
Recent drilling has also delivered further high-grade intersections at Forio, including the highest Cu grade ever intersected with 1 m at 18.5 percent copper from 18 m downhole in RC drill hole TLC203.
Drilling completed at Forio in late 2022 RC drilling campaign at Tollu were aimed at testing the continuity along strike of a zone of high grade copper lenses at Forio identified in previous drilling.
The high grade Cu intersections at Forio include:
The significant drilling intersections of high‐ grade copper mineralisation at both the Chatsworth and Forio Prospects (dating back to 2017) at Tollu are yet to be included in the existing JORC 2012 Tollu resource estimate.
Redstone and Galan 50/50 Joint Venture
The Redstone and Galan 50/50 JV recently acquired the James Bay Lithium Projects, namely three high quality projects consisting of Taiga, Camaro and Hellcat Projects (TCH). The projects cover 3,850 hectares and are adjacent to Patriot Battery Metals’ (TSXV:PMET) Corvette Lithium discovery in James Bay. PMET’s CV8 pegmatite is one of the finest new hard rock lithium discoveries, with grab samples averaging 4.6 percent lithium oxide Li2O, and is located only 1.4 kilometres north of the Taiga Project. PMET’s newly-discovered CV13 pegmatite cluster is located 1.5 kilometres north of the Camaro Project.
The Taiga and Camaro are situated in the Meso-Archean to Paleoproterozoic La Grande Subprovince of the Superior Province underlain by the Poste Le Moyne and Langelier plutons, respectively. The Camaro project is hosted in the Semonville Pluton with local windows of the Rouget Formation metabasalt. Properties are hosted in hornblende biotite diorite, quartz-rich diorite, biotite hornblende tonalite, granodiorite, granite, conglomerate, wacke, and amphibolite. The Hellcat Project hosts Vieux Comptoir Granitic suite believed to be the source of the spodumene-bearing pegmatite dykes found within the region. The primary greenstone within the project is amphibolites of the rouget greenstone belt, a similar age to the Grupe de Guyer greenstone belt, located within Patriot Battery Metals Corvette discovery.
Previous initial exploration on the James Bay Lithium Projects completed by Axiom Exploration identified 28 prospective pegmatite dykes.
Richard Homsany is executive vice-president of Mega Uranium, a Toronto Stock Exchange listed company and executive chairman of Toro Energy Limited, an ASX-listed uranium company. He is also the non-executive chairman of Galan Lithium and the Health Insurance Fund of Australia Limited.
Prior to this Homsany was a corporate and commercial advisory partner with one of Australia’s leading law firms. He is currently the principal of Cardinals Lawyers and Consultants and has been admitted as a solicitor for over 20 years. Homsany has extensive experience in corporate law, including advising public resources and energy companies on corporate governance, finance, capital raisings, takeovers, mergers, acquisitions, joint ventures and divestments.
He also has significant board experience with publicly listed resource companies and in the resources industry. He has also worked for an ASX top 50-listed internationally diversified resources company in operations, risk management and corporate.
Homsany is a certified practicing accountant and is a fellow of the Financial Services Institute of Australasia (FINSIA). He has a commerce degree and honors degree in law from the University of Western Australia and a graduate diploma in finance and investment from FINSIA.
Edward van Heemst is a prominent Perth businessman with over 40 years of experience in managing a diverse range of activities with large private companies.
He is the managing director of Vanguard Press and was previously the long-time chairman of Perth Racing (1997 to 2016). He was also appointed as non-executive chairman of NTM Gold, an ASX-listed company from July 2019 to March 2021.
Van Heemst holds a bachelor of commerce degree from the University of Melbourne, an MBA from the University of Western Australia and is a member of the Institute of Chartered Accountants Australia.
He has extensive knowledge of capital markets and established mining industry networks.
Brett Hodgins has over 20 years of professional experience in the resources sector primarily focused on exploration and mining operations. He began his career as a geologist with Robe River Mining and Rio Tinto Iron Ore. During that time he was involved with the commissioning and development of the West Angelas and Hope Downs operations. Hodgins' recent roles include general manager project development for Iron Ore Holdings and he is president/CEO of Central Iron Ore Ltd, a TSXV-listed company gold and iron ore explorer. He brings a wide range of experience in exploration, feasibility studies, operations, and has a broad knowledge of the resource sector.
Hodgins has completed a bachelor of science degree with honors in geology from Newcastle University, diploma of management and a graduate diploma in finance and investment from FINSIA.
Dr. Greg Shirtliff has over 20 years of experience in industry-related geology and geochemistry, including a PhD in mine-related geology from the Australian National University. Since his studies, Shirtliff has spent over 17 years in various roles in the mining and exploration industry ranging from environmental, mine geology, resource development, exploration and management roles, exploration and technical projects inclusive of engineering and metallurgical. His roles have included several years at ERA-Rio Tinto’s Ranger Uranium Mine, as the senior geoscientist for Cameco Australasia and more recently as the lead geologist and technical manager for Toro Energy Ltd, an ASX-listed uranium development company in Australia where he is the exploration and technical lead responsible for increasing the viability of the company’s uranium and mineral resources, developing and directing the company’s uranium and non- uranium exploration strategy, aiding the company technically through EPA approval for a uranium, and guiding the engineering and metallurgical through to scoping level economic assessment.
Shirtliff has had recent exploration success at Toro Energy, discovering multiple zones of massive nickel sulphide mineralization along the Dusty Komatiite, arguably the first massive nickel sulphide mineralization discovered in the Yandal Greenstone Belt in Western Australia. Shirtliff holds directorships on privately owned consultancy and prospecting companies.
Shirtliff is a long-standing member of the Australian Institute of Mining and Metallurgy and the internationally recognized Society of Economic Geologists.
TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining Corporation ("Lundin Mining" or the "Company") today reported its third quarter 2024 financial results. Unless otherwise stated, results are presented in United States dollars on a 100% basis.
Jack Lundin , President and CEO commented, "Our overall performance has contributed to another near record quarter for revenue and copper production for the Company and we are on track to meeting full-year consolidated copper guidance. Operationally, Candelaria had an excellent third quarter producing 50,000 tonnes of copper driven by planned higher copper head grades. This was one of Candelaria's strongest quarters and materially contributed to our success.
"During the quarter the Company realized two significant growth opportunities. We increased our ownership at our Caserones copper-molybdenum mine from 51% to 70%, which immediately added attributable copper production to the Company. Caserones, located within the Vicuña District, is a long-life mine that yields strong cash flow generation. It is within this District where we also announced a transformational transaction with BHP to jointly acquire Filo Corp. and form a new joint arrangement incorporating the world-class Filo del Sol Project and the Josemaria Project in Argentina to create a top-tier multi-generational mining complex. Filo shareholders have overwhelmingly voted in favour of the transaction which is expected to close in the first quarter of 2025. Around the time of closing, we will also provide an update to the market on the key milestones and next steps to advance these projects.
"On exploration we are ramping up for another drill season in the Vicuña District. We will continue the near-mine campaign at Caserones and follow up on our Cumbre Verde target near Josemaria. During the quarter we continued to drill near-mine targets at our other operations with the objective to replace resources, add mine life and seek out future expansion opportunities, such as the Saúva resource located near our Chapada operation.
"As we enter the final quarter of 2024, we have tightened the production guidance ranges at our sites and are re-affirming our full-year consolidated production guidance for copper and gold. For our other metals, we have marginally reduced our full year guidance for zinc and are maintaining our revised nickel guidance."
Third Quarter Operational and Financial Highlights
Summary Financial Results
Three months ended September 30, | Nine months ended September 30, | ||||
US$ Millions (except per share amounts) | 2024 | 2023 | 2024 | 2023 | |
Revenue | 1,073.0 | 992.2 | 3,093.6 | 2,332.1 | |
Gross profit | 291.8 | 197.3 | 756.7 | 463.5 | |
Attributable net earnings a | 101.2 | (3.0) | 236.6 | 202.8 | |
Net earnings | 127.8 | 21.9 | 343.1 | 248.5 | |
Adjusted earnings a,b | 72.5 | 85.3 | 239.8 | 256.5 | |
Adjusted EBITDA b | 457.7 | 415.1 | 1,281.4 | 943.8 | |
Basic earnings per share ("EPS") a | 0.13 | 0.00 | 0.31 | 0.26 | |
Diluted EPS a | 0.13 | 0.00 | 0.30 | 0.26 | |
Adjusted EPS a,b | 0.09 | 0.11 | 0.31 | 0.33 | |
Cash provided by operating activities | 139.3 | 303.8 | 898.6 | 710.5 | |
Adjusted operating cash flow b | 305.2 | 316.5 | 988.7 | 662.2 | |
Adjusted operating cash flow per share b | 0.39 | 0.41 | 1.28 | 0.86 | |
Free cash flow from operations b | 1.7 | 136.5 | 406.9 | 228.3 | |
Free cash flow b | (61.8) | 71.1 | 173.3 | (47.7) | |
Cash and cash equivalents | 295.5 | 357.3 | 295.5 | 357.3 | |
Net debt excluding lease liabilities b | 1,541.7 | 880.9 | 1,541.7 | 880.9 | |
Net debt b | 1,802.5 | 1,158.9 | 1,802.5 | 1,158.9 | |
a Attributable to shareholders of Lundin Mining Corporation. | |||||
b These are non-GAAP measures. Please refer to the Company's discussion of non-GAAP and other performance measures in its Management's Discussion and Analysis for the three and nine months ended September 30, 2024 and the Reconciliation of Non-GAAP Measures section at the end of this news release. |
Operational Performance
Total Production
(Contained metal) a | 2024 | 2023 | |||||||
YTD | Q3 | Q2 | Q1 | Total | Q4 | Q3 | Q2 | Q1 | |
Copper (t) b | 267,576 | 99,855 | 79,708 | 88,013 | 314,798 | 103,337 | 89,942 | 60,057 | 61,462 |
Zinc (t) | 139,758 | 46,610 | 47,460 | 45,688 | 185,161 | 50,719 | 49,774 | 36,115 | 48,553 |
Nickel (t) | 5,869 | 893 | 1,721 | 3,255 | 16,429 | 3,729 | 4,290 | 4,686 | 3,724 |
Gold (koz) b | 112 | 47 | 32 | 33 | 149 | 44 | 35 | 34 | 36 |
Molybdenum (t) b | 2,271 | 693 | 714 | 864 | 2,024 | 928 | 1,096 | — | — |
a. Tonnes (t) and thousands of ounces (koz) | |||||||||
b. Candelaria and Caserones production is on a 100% basis. | |||||||||
Candelaria (80% owned): Candelaria produced 50,018 tonnes of copper and approximately 29,000 ounces of gold in concentrate on a 100% basis during the quarter. Production in the quarter was positively impacted by higher copper head grades from Phase 11. Access to higher grade Phase 11 ore is anticipated to continue through most of the fourth quarter of 2024 as per the planned mine sequence. Production costs in the quarter were higher than in the prior year quarter due to higher copper sales, but also partially offset by favourable foreign exchange. Cash cost of $1.55 /lb was positively impacted by higher sales volumes, favourable foreign exchange and favourable by-product credits.
Caserones (70% owned): Caserones produced 29,033 tonnes of total copper and 693 tonnes of molybdenum on a 100% basis during the quarter. Copper and molybdenum production in the quarter was impacted by labour action in August lasting 14 days which reduced throughput during that period to approximately 50% of capacity. Lower head grades were realized during the quarter as a result of a higher proportion of ore from Phase 6 due to hydrogeologic conditions in Phase 5. Production costs in the quarter were lower than in the prior year comparable period due to lower copper concentrate and molybdenum volumes and favourable foreign exchange. Cash cost of $2.96 /lb was negatively impacted by lower sales volumes as a result of the labour action.
Chapada (100% owned): Chapada produced 11,694 tonnes of copper and approximately 18,000 ounces of gold in concentrate during the quarter. Copper production was positively impacted by higher throughput that was offset by lower grades and recoveries as a result of processing of stockpiled ore as part of an optimized mine plan that significantly reduces waste movement. Gold production reflected higher grades as a result of increased ore mined from the South and Central pits replacing older low-grade stockpiles. Production costs increased due to higher sales volumes, partially offset by favourable foreign exchange. Cash cost of $1.37/lb benefited from higher gold by-product credits and favourable foreign exchange combined with mining cost decreases due to operational improvements.
Eagle (100% owned): Eagle produced 893 tonnes of nickel and 1,027 tonnes of copper in the quarter. Production has been impacted by the fall of ground in the lower ramp in Eagle East during the second quarter of 2024 which restricted access to Eagle East, and reduced mining rates until ramp rehabilitation is completed. Normal throughput rates are expected to resume in late 2024. Production costs were reduced by lower sales and production volumes leading to reduced spend in milling, transportation and lower royalty expense. Production costs in the quarter excluded approximately $14 .8 million of overhead costs that have been recorded in Other Income and Expense as a result of the partial suspension of underground mining operations. Nickel cash cost 1 of $7.24 /lb was impacted by lower sales volumes, partially offset by higher by-product credits as a result of higher realized copper prices.
Neves-Corvo (100% owned): Neves-Corvo produced 6,698 tonnes of copper and 29,509 tonnes of zinc during the quarter. Copper production was impacted by lower throughput and grades. The decrease in throughput and grades is attributed to changes in mine sequencing as a result of adjustments made to the mining method and cable bolting requirements. Additional development work in Lombador North and rehabilitation work also limited ore availability. Zinc production benefitted from higher throughput and recoveries as a result of the zinc expansion project. During the month of August, there was a record in shaft hoisting of 440,000 tonnes over the month, in addition to record zinc production of 10,527 tonnes. During the month of September, the daily shaft hoisting of 19,000 tonnes set a new record for the mine. Production costs increased due to an increase in zinc and lead sales volumes and cash cost of $2.13 /lb benefitted from higher by-product credits.
Zinkgruvan (100% owned): Zinkgruvan produced 17,101 tonnes of zinc and 5,693 tonnes of lead in the quarter reflecting lower grades and throughput which were driven by changes in mine sequencing from operational and maintenance interruptions. Copper production of 1,385 tonnes in the quarter reflected higher throughput. Production costs decreased due to lower sales volumes and zinc cash cost of $0.16 /lb benefitted from higher copper by-product credits as a result of higher realized copper prices.
________________________________ |
1 These are non-GAAP measures. Please refer to the Company's discussion of non-GAAP and other performance measures in its Management's Discussion and Analysis ("MD&A") for the three and nine months ended September 30, 2024 and the Reconciliation of Non-GAAP measures section at the end of this news release. |
2 Based on Caserones 2024 revised production guidance as outlined in the outlook section of the MD&A for the three and nine months ended September 30, 2024. |
Outlook
Annual guidance for 2024 has been updated from that disclosed in the Company's Management's Discussion and Analysis for the three and six months ended June 30, 2024 .
The Company remains on track to meet annual consolidated copper production guidance. The total production guidance range for copper has been tightened with the top end of the range at Candelaria increased as a result of continued access to higher grade ore in the second half of the year. Copper production guidance ranges at Caserones and Neves-Corvo have been tightened and lowered slightly. At Caserones, this reflects the impact of the labour action during the quarter that reduced operations for 14 days. At Neves-Corvo, changes in mine sequencing due to rehabilitation and development efforts led to the change in guidance.
Total production guidance for zinc has been revised, guidance range for Zinkgruvan increased slightly and the guidance range for Neves-Corvo reduced as a result of rehabilitation and development work impacting mine sequencing. Annual gold guidance has remained unchanged, incorporating an increase in guidance at Chapada offset by a reduction at Candelaria. For molybdenum, the guidance range has increased to reflect expected results according to the mine plan.
Cash cost guidance at Chapada and Zinkgruvan was lowered with cash costs continuing to benefit from increased realized prices on by-product sales and weaker local currencies. Cash cost guidance at Eagle has increased due to reduced mining rates following a fall of ground that continues to limit production.
Annual sustaining capital expenditure guidance has been lowered to $720 million from $795 million with reductions primarily at Caserones and Candelaria. Expenditure guidance related to the Josemaria Project of $230 million and exploration guidance of $55 .0 million have been revised for 2024. The increase in exploration expenditure is primarily due to accelerating exploration efforts at Caserones where drilling is targeting the higher-grade copper breccia bodies to improve grades in the resource, as well as follow-up drilling at Cumbre Verde after positive results in the first half of 2024.
2024 Production and Cash Cost Guidance
Previous Guidance a | Revised Guidance | |||||
(contained metal) | Production | Cash Cost ($/lb) b | Production | Cash Cost ($/lb) b | ||
Copper (t) | Candelaria (100%) | 160,000 – 170,000 | 1.60 – 1.80 c | 165,000 – 173,000 | 1.60 – 1.80 c | |
Caserones (100%) | 124,000 – 135,000 | 2.60 – 2.80 | 121,000 – 125,000 | 2.60 – 2.80 | ||
Chapada | 43,000 – 48,000 | 1.95 – 2.15 d | 43,000 – 48,000 | 1.55 – 1.65 d | ||
Eagle | 5,000 – 7,000 | 6,000 – 8,000 | ||||
Neves-Corvo | 30,000 – 35,000 | 1.95 – 2.15 c | 27,000 – 30,000 | 1.95 – 2.15 c | ||
Zinkgruvan | 4,000 – 5,000 | 4,000 – 5,000 | ||||
Total | 366,000 – 400,000 | 366,000 – 389,000 | ||||
Zinc (t) | Neves-Corvo | 120,000 – 130,000 | 111,000 – 116,000 | |||
Zinkgruvan | 75,000 – 85,000 | 0.45 – 0.50 c | 79,000 – 83,000 | 0.40 – 0.45 c | ||
Total | 195,000 – 215,000 | 190,000 – 199,000 | ||||
Nickel (t) | Eagle | 7,000 – 9,000 | 3.20 – 3.40 | 7,000 – 9,000 | 3.70 – 3.90 | |
Gold (koz) | Candelaria (100%) | 100 – 110 | 92 – 102 | |||
Chapada | 55 – 60 | 63 – 68 | ||||
Total | 155 – 170 | 155 – 170 | ||||
Molybdenum (t) | Caserones (100%) | 2,500 - 3,000 | 2,800 – 3,300 | |||
a. Guidance as outlined in the Company's Management Discussion and Analysis ("MD&A") for the three and six months ended June 30, 2024. b. Cash costs are based on various assumptions and estimates, including but not limited to: production volumes, commodity prices (Cu: $3.75/lb, Zn: $1.10/lb, Pb: $0.90/lb, Au: $1,800/oz, Mo: $20.00/lb, Ag: $23.00/oz), foreign exchange rates (€/USD:1.05, USD/SEK:10.50, USD/CLP:850, USD/BRL:5.00) and production costs. Cash cost is a non-GAAP measure - see the Company's Management Discussion and Analysis for the three and nine months ended September 30, 2024 and the Reconciliation of Non-GAAP Measures at the end of this news release. c. 68% of Candelaria's total gold and silver production are subject to a streaming agreement, and silver production at Zinkgruvan and Neves-Corvo are also subject to streaming agreements. Cash costs are calculated based on receipt of approximately $429/oz gold and $4.28/oz to $4.68/oz silver. d. Chapada's cash cost is calculated on a by-product basis and does not include the effects of its copper stream agreements. Effects of the copper stream agreements are reflected in copper revenue and will impact realized price per pound. |
2024 Capital Expenditure Guidance b
($ millions) | Previous Guidance a | Revisions | Revised Guidance | |
Candelaria (100% basis) | 300 | (25) | 275 | |
Caserones (100% basis) | 175 | (40) | 135 | |
Chapada | 110 | — | 110 | |
Eagle | 25 | — | 25 | |
Neves-Corvo | 115 | (5) | 110 | |
Zinkgruvan | 70 | (5) | 65 | |
Other | — | — | — | |
Total Sustaining | 795 | (75) | 720 | |
Josemaria (Expansionary) | 225 | 5 | 230 | |
Total Capital Expenditures | 1,020 | (70) | 950 |
a. Guidance as outlined in the Company's Management Discussion and Analysis ("MD&A") for the three and six months ended June 30, 2024. b. Sustaining capital expenditure is a supplementary financial measure and expansionary capital expenditure is a non-GAAP measure - see the Company's Management Discussion and Analysis for the three and nine months ended September 30, 2024 and the Reconciliation of Non-GAAP Measures at the end of this news release. | ||||
Exploration
During the quarter, exploration activity focused on in-mine and near-mine targets at the Company's operations. Exploration drilling at Zinkgruvan was focused on resource expansion and drilling at Candelaria was focused on Soplona, La Portuguesa and La Española. Drilling at Chapada concentrated on adding high grade resources to Saúva and testing near-mine geochemical and geophysical anomalies in Cava Norte , Santa Cruz , Castanhal and Jatoba.
At Caserones, exploration activity remains lower during the winter season. Exploration drilling continues in the lower portion of the mineral resource in search of higher-grade copper breccia bodies that could improve the average grade of the resource, and potentially expand it. Preparations to restart near-mine drilling at Angelica were made at the end of the quarter.
At Josemaria, preparations are underway to recommence the drilling campaign at Cumbre Verde.
Drilling started at Eagle during the quarter with two surface holes targeting a geophysical anomaly east of Eagle East. Drilling also commenced during the quarter at Neves-Corvo and focused on extending inferred resources at Lombador North and near-mine drilling at Neves Southwest.
About Lundin Mining
Lundin Mining is a diversified Canadian base metals mining company with projects or operations in Argentina , Brazil , Chile , Portugal , Sweden and the United States of America , primarily producing copper, zinc, nickel and gold.
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 November 6, 2024 at 14:30 Vancouver Time.
Technical Information
The scientific and technical information in this press release has been prepared in accordance with the disclosure standards of National Instrument 43-101 ("NI 43-101") and has been reviewed by Patrick Merrin , P.Eng., Executive Vice President, Technical Services, a "Qualified Person" under NI 43-101. Mr. Merrin has verified the data disclosed in this release and no limitations were imposed on his verification process.
Reconciliation of Non-GAAP Measures
The Company uses certain performance measures in its analysis. These performance measures have no standardized meaning within generally accepted accounting principles under International Financial Reporting Standards and, therefore, amounts presented may not be comparable to similar data presented by other mining companies. For additional details please refer to the Company's discussion of non-GAAP and other performance measures in its Management's Discussion and Analysis for the three and nine months ended September 30, 2024 which is available on SEDAR+ at www.sedarplus.com .
Cash Cost per Pound and All-in Sustaining Costs per pound can be reconciled to Production Costs on the Company's Condensed Interim Consolidated Statement of Earnings as follows:
Three months ended September 30, 2024 | |||||||
Operations | Candelaria | Caserones | Chapada | Eagle | Neves-Corvo | Zinkgruvan | |
($000s, unless otherwise noted) | (Cu) | (Cu) | (Cu) | (Ni) | (Cu) | (Zn) | Total |
Sales volumes (Contained metal): | |||||||
Tonnes | 45,430 | 22,044 | 12,380 | 393 | 7,707 | 15,124 | |
Pounds (000s) | 100,155 | 48,599 | 27,293 | 866 | 16,991 | 33,342 | |
Production costs | 581,117 | ||||||
Less: Royalties and other | (19,133) | ||||||
561,984 | |||||||
Deduct: By-product credits | (221,753) | ||||||
Add: Treatment and refining | 43,833 | ||||||
Cash cost | 155,069 | 144,062 | 37,302 | 6,273 | 36,159 | 5,199 | 384,064 |
Cash cost per pound ($/lb) | 1.55 | 2.96 | 1.37 | 7.24 | 2.13 | 0.16 | |
Add: Sustaining capital | 60,118 | 22,895 | 20,487 | 7,940 | 26,288 | 15,546 | |
Royalties | 4,519 | 6,354 | 2,643 | 162 | 1,226 | — | |
Reclamation and other closure accretion and depreciation | 2,416 | 1,061 | 2,374 | 1,473 | 1,381 | 1,149 | |
Leases & other | 1,625 | 17,773 | 956 | 1,489 | 147 | 79 | |
All-in sustaining cost | 223,747 | 192,145 | 63,762 | 17,337 | 65,201 | 21,973 | |
AISC per pound ($/lb) | 2.23 | 3.95 | 2.34 | 20.02 | 3.84 | 0.66 | |
Three months ended September 30, 2023 | |||||||
Operations | Candelaria | Caserones | Chapada | Eagle | Neves-Corvo | Zinkgruvan | |
($000s, unless otherwise noted) | (Cu) | (Cu) | (Cu) | (Ni) | (Cu) | (Zn) | Total |
Sales volumes (Contained metal): | |||||||
Tonnes | 33,668 | 30,385 | 11,445 | 3,640 | 8,799 | 22,042 | |
Pounds (000s) | 74,225 | 66,987 | 25,232 | 8,025 | 19,398 | 48,594 | |
Production costs | 615,109 | ||||||
Less: Royalties and other | (21,662) | ||||||
Inventory fair value adjustment | (32,185) | ||||||
561,262 | |||||||
Deduct: By-product credits | (216,150) | ||||||
Add: Treatment and refining | 56,261 | ||||||
Cash cost | 162,672 | 106,866 | 57,501 | 16,598 | 44,043 | 13,693 | 401,373 |
Cash cost per pound ($/lb) | 2.19 | 1.60 | 2.28 | 2.07 | 2.27 | 0.28 | |
Add: Sustaining capital | 86,693 | 28,849 | 16,716 | 4,989 | 27,357 | 12,350 | |
Royalties | — | 7,550 | 2,142 | 7,385 | 1,055 | — | |
Reclamation and other closure accretion and depreciation | 2,349 | 1,133 | 2,141 | 2,742 | 1,462 | 1,011 | |
Leases & other | 2,841 | 22,229 | 865 | 797 | 131 | 86 | |
All-in sustaining cost | 254,555 | 166,627 | 79,365 | 32,511 | 74,048 | 27,140 | |
AISC per pound ($/lb) | 3.43 | 2.49 | 3.15 | 4.05 | 3.82 | 0.56 | |
Nine months ended September 30, 2024 | |||||||
Operations | Candelaria | Caserones | Chapada | Eagle | Neves-Corvo | Zinkgruvan | |
($000s, unless otherwise noted) | (Cu) | (Cu) | (Cu) | (Ni) | (Cu) | (Zn) | Total |
Sales volumes (Contained metal): | |||||||
Tonnes | 108,965 | 87,117 | 29,415 | 4,574 | 21,491 | 49,459 | |
Pounds (000s) | 240,226 | 192,060 | 64,849 | 10,084 | 47,379 | 109,038 | |
Production costs | 1,754,677 | ||||||
Less: Royalties and other | (61,427) | ||||||
1,693,250 | |||||||
Deduct: By-product credits | (597,173) | ||||||
Add: Treatment and refining | 129,361 | ||||||
Cash cost | 438,494 | 481,756 | 113,607 | 39,903 | 107,898 | 43,780 | 1,225,438 |
Cash cost per pound ($/lb) | 1.83 | 2.51 | 1.75 | 3.96 | 2.28 | 0.40 | |
Add: Sustaining capital | 220,194 | 100,977 | 74,927 | 15,998 | 76,622 | 43,188 | |
Royalties | 11,038 | 24,443 | 5,891 | 6,746 | 3,168 | — | |
Reclamation and other closure accretion and depreciation | 6,441 | 3,195 | 7,780 | 5,033 | 4,036 | 3,286 | |
Leases & other | 7,684 | 51,773 | 2,496 | 4,258 | 405 | 235 | |
All-in sustaining cost | 683,851 | 662,144 | 204,701 | 71,938 | 192,129 | 90,489 | |
AISC per pound ($/lb) | 2.85 | 3.45 | 3.16 | 7.13 | 4.06 | 0.83 | |
Nine months ended September 30, 2023 | |||||||
Operations | Candelaria | Caserones | Chapada | Eagle | Neves-Corvo | Zinkgruvan | |
($000s, unless otherwise noted) | (Cu) | (Cu) | (Cu) | (Ni) | (Cu) | (Zn) | Total |
Sales volumes (Contained metal): | |||||||
Tonnes | 105,585 | 30,385 | 30,681 | 10,234 | 23,000 | 48,028 | |
Pounds (000s) | 232,775 | 66,987 | 67,640 | 22,562 | 50,706 | 105,883 | |
Production costs | 1,438,071 | ||||||
Less: Royalties and other | (41,717) | ||||||
Inventory fair value adjustment | (32,185) | ||||||
1,364,169 | |||||||
Deduct: By-product credits | (495,751) | ||||||
Add: Treatment and refining | 125,390 | ||||||
Cash cost | 507,884 | 106,866 | 165,170 | 47,228 | 128,206 | 38,454 | 993,808 |
Cash cost per pound ($/lb) | 2.18 | 1.60 | 2.44 | 2.09 | 2.53 | 0.36 | |
Add: Sustaining capital | 300,796 | 28,849 | 52,433 | 15,653 | 74,551 | 42,812 | |
Royalties | — | 7,550 | 6,394 | 17,991 | 2,868 | — | |
Reclamation and other closure accretion and depreciation | 7,100 | 1,133 | 5,789 | 8,711 | 4,082 | 2,811 | |
Leases & other | 9,638 | 22,229 | 3,002 | 2,441 | 437 | 288 | |
All-in sustaining cost | 825,418 | 166,627 | 232,788 | 92,024 | 210,144 | 84,365 | |
AISC per pound ($/lb) | 3.55 | 2.49 | 3.44 | 4.08 | 4.14 | 0.80 | |
Adjusted EBITDA can be reconciled to Net Earnings (Loss) on the Company's Condensed Interim Consolidated Statement of Earnings as follows:
Three months ended September 30, | Nine months ended September 30, | ||||
($thousands) | 2024 | 2023 | 2024 | 2023 | |
Net earnings | 127,829 | 21,883 | 343,117 | 248,496 | |
Add back: | |||||
Depreciation, depletion and amortization | 200,074 | 179,788 | 582,224 | 430,540 | |
Finance income and costs | 39,152 | 36,212 | 111,153 | 67,808 | |
Income taxes | 96,940 | 84,891 | 203,668 | 113,983 | |
463,995 | 322,774 | 1,240,162 | 860,827 | ||
Unrealized foreign exchange loss (gain) | 12,901 | 9,096 | 574 | (1,545) | |
Unrealized losses (gains) on derivative contracts | (30,613) | 47,504 | 18,245 | 41,241 | |
Ojos del Salado sinkhole (recoveries) expenses | 871 | (1,247) | 550 | 15,235 | |
Revaluation loss (gain) on marketable securities | (3,957) | 3,449 | (6,472) | (453) | |
Caserones inventory fair value adjustment | — | 32,185 | — | 32,185 | |
Partial suspension of underground operations at Eagle | 14,813 | — | 24,637 | — | |
Revaluation of Chapada derivative liability | — | 370 | 307 | 2,166 | |
Revaluation of Caserones purchase option | — | — | (11,728) | — | |
Write-down of capital works in progress | 781 | — | 17,969 | — | |
Gain on disposal of subsidiary | — | — | — | (5,718) | |
Other | (1,108) | 990 | (2,847) | (120) | |
Total adjustments - EBITDA | (6,312) | 92,347 | 41,235 | 82,991 | |
Adjusted EBITDA | 457,683 | 415,121 | 1,281,397 | 943,818 | |
Adjusted Earnings and Adjusted EPS can be reconciled to Net Earnings (Loss) Attributable to Lundin Mining Shareholders on the Company's Condensed Interim Consolidated Statement of Earnings as follows:
Three months ended September 30, | Nine months ended September 30, | ||||
($thousands, except share and per share amounts) | 2024 | 2023 | 2024 | 2023 | |
Net earnings attributable to Lundin Mining shareholders | 101,160 | (2,964) | 236,632 | 202,765 | |
Add back: | |||||
Total adjustments - EBITDA | (6,312) | 92,347 | 41,235 | 82,991 | |
Tax effect on adjustments | (8,135) | (20,758) | (7,921) | (23,938) | |
Deferred tax expense due to change in tax rate | — | 25,700 | — | 25,700 | |
Deferred tax arising from foreign exchange translation | (12,387) | 12,317 | (32,353) | (15,972) | |
Non-controlling interest on adjustments | (1,867) | (18,734) | 2,164 | (18,665) | |
Other | (1) | (2,648) | — | 3,645 | |
Total adjustments | (28,702) | 88,224 | 3,125 | 53,761 | |
Adjusted earnings | 72,458 | 85,260 | 239,757 | 256,526 | |
Basic weighted average number of shares outstanding | 776,794,756 | 773,147,920 | 774,574,731 | 772,214,160 | |
Net earnings (loss) attributable to shareholders | 0.13 | — | 0.31 | 0.26 | |
Total adjustments | (0.04) | 0.11 | — | 0.07 | |
Adjusted earnings per share | 0.09 | 0.11 | 0.31 | 0.33 | |
Free Cash Flow from Operations and Free Cash Flow can be reconciled to Cash provided by Operating Activities on the Company's Condensed Interim Consolidated Statement of Cash Flows as follows:
Three months ended September 30, | Nine months ended September 30, | ||||
($thousands) | 2024 | 2023 | 2024 | 2023 | |
Cash provided by operating activities | 139,275 | 303,812 | 898,576 | 710,531 | |
Sustaining capital expenditures | (151,173) | (180,013) | (532,236) | (523,397) | |
General exploration and business development | 13,620 | 12,734 | 40,607 | 41,192 | |
Free cash flow from operations | 1,722 | 136,533 | 406,947 | 228,326 | |
General exploration and business development | (13,620) | (12,734) | (40,607) | (41,192) | |
Expansionary capital expenditures | (49,926) | (52,662) | (193,027) | (234,831) | |
Free cash flow | (61,824) | 71,137 | 173,313 | (47,697) | |
Adjusted Operating Cash Flow and Adjusted Operating Cash Flow per Share can be reconciled to Cash Provided by Operating Activities on the Company's Condensed Interim Consolidated Statement of Cash Flows as follows:
Three months ended September 30, | Nine months ended September 30, | ||||
($thousands, except share and per share amounts) | 2024 | 2023 | 2024 | 2023 | |
Cash provided by operating activities | 139,275 | 303,812 | 898,576 | 710,531 | |
Changes in non-cash working capital items | 165,901 | 12,655 | 90,140 | (48,360) | |
Adjusted operating cash flow | 305,176 | 316,467 | 988,716 | 662,171 | |
Basic weighted average number of shares outstanding | 776,794,756 | 773,147,920 | 774,574,731 | 772,214,160 | |
Adjusted operating cash flow per share | $ 0.39 | 0.41 | 1.28 | 0.86 | |
Net debt and net debt excluding lease liabilities can be reconciled to Debt and Lease Liabilities, Current Portion of Debt and Lease Liabilities and Cash and Cash Equivalents on the Company's condensed interim consolidated balance sheet as follows:
($thousands) | September 30, 2024 | December 31, 2023 |
Debt and lease liabilities | (1,692,718) | (1,273,162) |
Current portion of total debt and lease liabilities | (397,141) | (212,646) |
Less deferred financing fees (netted in above) | (8,230) | (6,374) |
(2,098,089) | (1,492,182) | |
Cash and cash equivalents | 295,540 | 268,793 |
Net debt | (1,802,549) | (1,223,389) |
Lease liabilities | 260,895 | 277,208 |
Net debt excluding lease liabilities | (1,541,654) | (946,181) |
Cautionary Statement on Forward-Looking Information
Certain of the statements made and information contained herein are "forward-looking information" within the meaning of applicable Canadian securities laws. All statements other than statements of historical facts included in this document constitute forward-looking information, including but not limited to statements regarding the Company's plans, prospects and business strategies; the Company's guidance on the timing and amount of future production and its expectations regarding the results of operations; expected costs; permitting requirements and timelines; timing and possible outcome of pending litigation; the results of any Preliminary Economic Assessment, Pre-Feasibility Study, Feasibility Study, or Mineral Resource and Mineral Reserve estimations, life of mine estimates, and mine and mine closure plans; anticipated market prices of metals, currency exchange rates and interest rates; the development and implementation of the Company's Responsible Mining Management System; the Company's ability to comply with contractual and permitting or other regulatory requirements; anticipated exploration and development activities at the Company's projects; expansion projects and the realization of additional value; expectations regarding, including the ability and timing to complete, the acquisition of Filo Corp. and the establishment and operation of a 50/50 joint arrangement with BHP and the anticipated project development and other plans and expectations with respect to such acquisition and joint arrangement ; the Company's integration of acquisitions and expansions and any anticipated benefits thereof; and expectations for other economic, business, and/or competitive factors. Words such as "believe", "expect", "anticipate", "contemplate", "target", "plan", "goal", "aim", "intend", "continue", "budget", "estimate", "may", "will", "can", "could", "should", "schedule" and similar expressions identify forward-looking information.
Forward-looking information is necessarily based upon various estimates and assumptions including, without limitation, the expectations and beliefs of management, including that the Company can access financing, appropriate equipment and sufficient labour; assumed and future price of copper, zinc, gold, nickel and other metals; anticipated costs; ability to achieve goals; the prompt and effective integration of acquisitions, including the completion of the acquisition of Filo Corp., the establishment of the 50/50 joint arrangement with BHP and the realization of synergies and economies of scale in connection therewith; that the political environment in which the Company operates will continue to support the development and operation of mining projects; and assumptions related to the factors set forth below. While these factors and assumptions are considered reasonable by Lundin Mining as at the date of this document in light of management's experience and perception of current conditions and expected developments, these statements are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking information and undue reliance should not be placed on such information. Such factors include, but are not limited to: global financial conditions, market volatility and inflation, including pricing and availability of key supplies and services; risks inherent in mining including but not limited to risks to the environment, industrial accidents, catastrophic equipment failures, unusual or unexpected geological formations or unstable ground conditions, and natural phenomena such as earthquakes, flooding or unusually severe weather; uninsurable risks; volatility and fluctuations in metal and commodity demand and prices; significant reliance on assets in Chile ; reputation risks related to negative publicity with respect to the Company or the mining industry in general; delays or the inability to obtain, retain or comply with permits; risks relating to the development of the Josemaria Project; health and safety laws and regulations; risks associated with climate change; risks relating to indebtedness; economic, political and social instability and mining regime changes in the Company's operating jurisdictions, including but not limited to those related to permitting and approvals, nationalization or expropriation without fair compensation, environmental and tailings management, labour, trade relations, and transportation; inability to attract and retain highly skilled employees; risks inherent in and/or associated with operating in foreign countries and emerging markets, including with respect to foreign exchange and capital controls; project financing risks, liquidity risks and limited financial resources; health and safety risks; compliance with environmental, unavailable or inaccessible infrastructure, infrastructure failures, and risks related to ageing infrastructure; changing taxation regimes; the inability to effectively compete in the industry; the inability to currently control Filo Corp. and the ability to satisfy the relevant conditions and complete the acquisition of Filo Corp. and establish the 50/50 joint arrangement with BHP on the proposed terms and schedule; risks associated with acquisitions, expansions and related integration efforts, including the ability to achieve anticipated benefits, unanticipated difficulties or expenditures relating to integration and diversion of management time on integration; risks related to mine closure activities, reclamation obligations, environmental liabilities and closed and historical sites; reliance on key personnel and reporting and oversight systems, as well as third parties and consultants in foreign jurisdictions; information technology and cybersecurity risks; risks associated with the estimation of Mineral Resources and Mineral Reserves and the geology, grade and continuity of mineral deposits including but not limited to models relating thereto; actual ore mined and/or metal recoveries varying from Mineral Resource and Mineral Reserve estimates, estimates of grade, tonnage, dilution, mine plans and metallurgical and other characteristics; ore processing efficiency; community and stakeholder opposition; regulatory investigations, enforcement, sanctions and/or related or other litigation; financial projections, including estimates of future expenditures and cash costs, and estimates of future production may not be reliable; enforcing legal rights in foreign jurisdictions; risks associated with the use of derivatives; risks relating to joint ventures, joint arrangements and operations; environmental and regulatory risks associated with the structural stability of waste rock dumps or tailings storage facilities; exchange rate fluctuations; compliance with foreign laws; potential for the allegation of fraud and corruption involving the Company, its customers, suppliers or employees, or the allegation of improper or discriminatory employment practices, or human rights violations; risks relating to dilution; risks relating to payment of dividends; counterparty and customer concentration risks; activist shareholders and proxy solicitation matters; estimation of asset carrying values; relationships with employees and contractors, and the potential for and effects of labour disputes or other unanticipated difficulties with or shortages of labour or interruptions in production; conflicts of interest; existence of significant shareholders; challenges or defects in title; internal controls; risks relating to minor elements contained in concentrate products; the threat associated with outbreaks of viruses and infectious diseases; mining rates and rehabilitation projects; mill shut downs; and other risks and uncertainties, including but not limited to those described in the "Risks and Uncertainties" section of the Company's MD&A for the three and nine months ended September 30, 2024 and the "Risks and Uncertainties" section of the Company's Annual Information Form for the year ended December 31, 2023 , which are available on SEDAR+ at www.sedarplus.com under the Company's profile.
All of the forward-looking information in this document are qualified by these cautionary statements. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated, forecasted or intended and readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking information. Accordingly, there can be no assurance that forward-looking information will prove to be accurate and forward-looking information is not a guarantee of future performance. Readers are advised not to place undue reliance on forward-looking information. The forward-looking information contained herein speaks only as of the date of this document. The Company disclaims any intention or obligation to update or revise forward–looking information or to explain any material difference between such and subsequent actual events, except as required by applicable law.
SOURCE Lundin Mining Corporation
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/November2024/06/c2508.html
News Provided by Canada Newswire via QuoteMedia
TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining Corporation ("Lundin Mining" or the "Company") today announced that its Board of Directors has declared a regular quarterly dividend of Canadian Dollars ("CAD") $0.09 per share, payable on December 11, 2024 to shareholders of record at the close of business on November 29, 2024 . The first day of trading without dividend ("ex-dividend date") will be November 29, 2024 for shares traded on TSX. For shares traded on Nasdaq Stockholm, the ex-dividend date will be November 28, 2024 . This dividend qualifies as an 'eligible dividend' for Canadian income tax purposes. The declaration, timing, amount and payment of future dividends remain at the discretion of the Board of Directors. View PDF version
Dividends on shares traded on the Toronto Stock Exchange ("TSX") will be paid in CAD on December 11, 2024 . Dividends on shares traded on Nasdaq Stockholm will be paid in Swedish kronor in accordance with Euroclear principles on December 16, 2024 . To execute the payment of the dividend, a temporary administrative cross-border transfer closure will be applied by Euroclear from November 27, 2024 up to and including November 29, 2024 during which period shares of the Company cannot be transferred between TSX and Nasdaq Stockholm.
About Lundin Mining
Lundin Mining is a diversified Canadian base metals mining company with projects and operations in Argentina , Brazil , Chile , Portugal , Sweden and the United States of America , primarily producing copper, zinc, nickel and gold.
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 November 6, 2024 at 14:25 Vancouver Time.
Cautionary Statement on Forward-Looking Information
Certain of the statements made and information contained herein are "forward-looking information" within the meaning of applicable Canadian securities laws. All statements other than statements of historical facts included in this document constitute forward-looking information, including but not limited to statements regarding the Company's plans, prospects and business strategies; the Company's guidance on the timing and amount of future production and its expectations regarding the results of operations; expected costs; permitting requirements and timelines; timing and possible outcome of pending litigation; the results of any Preliminary Economic Assessment, Pre-Feasibility Study, Feasibility Study, or Mineral Resource and Mineral Reserve estimations, life of mine estimates, and mine and mine closure plans; anticipated market prices of metals, currency exchange rates and interest rates; the development and implementation of the Company's Responsible Mining Management System; the Company's ability to comply with contractual and permitting or other regulatory requirements; anticipated exploration and development activities at the Company's projects; expansion projects and the realization of additional value; expectations regarding, including the ability and timing to complete, the acquisition of Filo Corp. and the establishment and operation of a 50/50 joint arrangement with BHP and the anticipated project development and other plans and expectations with respect to such acquisition and joint arrangement ; the Company's integration of acquisitions and expansions and any anticipated benefits thereof; and expectations for other economic, business, and/or competitive factors. Words such as "believe", "expect", "anticipate", "contemplate", "target", "plan", "goal", "aim", "intend", "continue", "budget", "estimate", "may", "will", "can", "could", "should", "schedule" and similar expressions identify forward-looking information.
Forward-looking information is necessarily based upon various estimates and assumptions including, without limitation, the expectations and beliefs of management, including that the Company can access financing, appropriate equipment and sufficient labour; assumed and future price of copper, zinc, gold, nickel and other metals; anticipated costs; ability to achieve goals; the prompt and effective integration of acquisitions, including the completion of the acquisition of Filo Corp., the establishment of the 50/50 joint arrangement with BHP and the realization of synergies and economies of scale in connection therewith; that the political environment in which the Company operates will continue to support the development and operation of mining projects; and assumptions related to the factors set forth below. While these factors and assumptions are considered reasonable by Lundin Mining as at the date of this document in light of management's experience and perception of current conditions and expected developments, these statements are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking information and undue reliance should not be placed on such information. Such factors include, but are not limited to: global financial conditions, market volatility and inflation, including pricing and availability of key supplies and services; risks inherent in mining including but not limited to risks to the environment, industrial accidents, catastrophic equipment failures, unusual or unexpected geological formations or unstable ground conditions, and natural phenomena such as earthquakes, flooding or unusually severe weather; uninsurable risks; volatility and fluctuations in metal and commodity demand and prices; significant reliance on assets in Chile ; reputation risks related to negative publicity with respect to the Company or the mining industry in general; delays or the inability to obtain, retain or comply with permits; risks relating to the development of the Josemaria Project; health and safety laws and regulations; risks associated with climate change; risks relating to indebtedness; economic, political and social instability and mining regime changes in the Company's operating jurisdictions, including but not limited to those related to permitting and approvals, nationalization or expropriation without fair compensation, environmental and tailings management, labour, trade relations, and transportation; inability to attract and retain highly skilled employees; risks inherent in and/or associated with operating in foreign countries and emerging markets, including with respect to foreign exchange and capital controls; project financing risks, liquidity risks and limited financial resources; health and safety risks; compliance with environmental, unavailable or inaccessible infrastructure, infrastructure failures, and risks related to ageing infrastructure; changing taxation regimes; the inability to effectively compete in the industry; the inability to currently control Filo Corp. and the ability to satisfy the relevant conditions and complete the acquisition of Filo Corp. and establish the 50/50 joint arrangement with BHP on the proposed terms and schedule; risks associated with acquisitions, expansions and related integration efforts, including the ability to achieve anticipated benefits, unanticipated difficulties or expenditures relating to integration and diversion of management time on integration; risks related to mine closure activities, reclamation obligations, environmental liabilities and closed and historical sites; reliance on key personnel and reporting and oversight systems, as well as third parties and consultants in foreign jurisdictions; information technology and cybersecurity risks; risks associated with the estimation of Mineral Resources and Mineral Reserves and the geology, grade and continuity of mineral deposits including but not limited to models relating thereto; actual ore mined and/or metal recoveries varying from Mineral Resource and Mineral Reserve estimates, estimates of grade, tonnage, dilution, mine plans and metallurgical and other characteristics; ore processing efficiency; community and stakeholder opposition; regulatory investigations, enforcement, sanctions and/or related or other litigation; financial projections, including estimates of future expenditures and cash costs, and estimates of future production may not be reliable; enforcing legal rights in foreign jurisdictions; risks associated with the use of derivatives; risks relating to joint ventures, joint arrangements and operations; environmental and regulatory risks associated with the structural stability of waste rock dumps or tailings storage facilities; exchange rate fluctuations; compliance with foreign laws; potential for the allegation of fraud and corruption involving the Company, its customers, suppliers or employees, or the allegation of improper or discriminatory employment practices, or human rights violations; risks relating to dilution; risks relating to payment of dividends; counterparty and customer concentration risks; activist shareholders and proxy solicitation matters; estimation of asset carrying values; relationships with employees and contractors, and the potential for and effects of labour disputes or other unanticipated difficulties with or shortages of labour or interruptions in production; conflicts of interest; existence of significant shareholders; challenges or defects in title; internal controls; risks relating to minor elements contained in concentrate products; the threat associated with outbreaks of viruses and infectious diseases; mining rates and rehabilitation projects; mill shut downs; and other risks and uncertainties, including but not limited to those described in the "Risks and Uncertainties" section of the Company's MD&A for the three and nine months ended September 30, 2024 and the "Risks and Uncertainties" section of the Company's Annual Information Form for the year ended December 31, 2023 , which are available on SEDAR+ at www.sedarplus.com under the Company's profile.
All of the forward-looking information in this document are qualified by these cautionary statements. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated, forecasted or intended and readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking information. Accordingly, there can be no assurance that forward-looking information will prove to be accurate and forward-looking information is not a guarantee of future performance. Readers are advised not to place undue reliance on forward-looking information. The forward-looking information contained herein speaks only as of the date of this document. The Company disclaims any intention or obligation to update or revise forward‐looking information or to explain any material difference between such and subsequent actual events, except as required by applicable law.
SOURCE Lundin Mining Corporation
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/November2024/06/c2370.html
News Provided by Canada Newswire via QuoteMedia
Ero Copper Corp. (TSX: ERO, NYSE: ERO) ("Ero" or the "Company") is pleased to announce the next phase of its leadership succession plan, effective January 1, 2025. Co-founder and Chairman of the Board, Noel Dunn, will be retiring from the Company's Board of Directors (the "Board"). David Strang, co-founder and current Chief Executive Officer, will assume the role of Executive Chairman, and Makko DeFilippo, President and Chief Operating Officer, will be appointed as President and Chief Executive Officer and will join Ero's Board. Gelson Batista will succeed Mr. DeFilippo as Chief Operating Officer.
This leadership transition is part of the succession plan initiated by Ero's Board of Directors in January 2023 with Mr. Dunn's retirement as Executive Chairman. The Board and management team are confident that this evolution will continue to position Ero for long-term success and growth.
Noel Dunn, co-founder and Chairman of the Board, commented, "It has been a tremendous privilege to be a part of Ero Copper from its inception to the high-growth copper producer it is today. As I retire from the Board, I remain immensely proud of what we have accomplished and am excited about the Company's bright future under Makko's leadership. I have seen firsthand Makko's dedication, expertise, and deep commitment to our values, and I am confident that Ero Copper is in exceptionally capable hands."
David Strang, co-founder and CEO, added, "Having guided Ero from its early days as a 20,000-tonne-a-year copper producer to what I anticipate will become a 100,000-tonne producer, and with a stable financial footing across three operations, the time is right for me to transition day-to-day leadership to Makko, who has been integral to our success. As Executive Chairman, I will remain actively involved in Ero's strategic direction, and I am confident that with Makko's strong leadership and vision, Ero will continue to prosper and grow. We have built a solid foundation, and I look forward to seeing the Company flourishing under his stewardship."
Makko DeFilippo, President and COO, said, "I am honored by the trust that Noel, David and the Board of Directors have bestowed in selecting me as Ero's next CEO. I am deeply committed to our values, and to continue serving our shareholders to ensure the responsible delivery of our growth objectives. Ero has endless potential and I am confident that with the support of our exceptional project and operational teams, we will deliver on the full potential of our assets to create exceptional value for all stakeholders."
Mr. DeFilippo joined Ero in January 2017 as Vice President, Corporate Development, where he played a key role in supporting the Company through its initial public offering in October 2017. He was promoted to President in January 2021 and assumed the additional role of Chief Operating Officer in March 2023. Over his tenure, Mr. DeFilippo has been instrumental in elevating several strategic initiatives, including the transformation of the Xavantina Operations from a non-core asset into a high-margin, core asset of the Company. He led the successful negotiation and completion of the $110 million streaming transaction with Royal Gold Inc. and was key in establishing the Company's partnership with Vale Base Metals on the Furnas Copper-Gold Project earn-in agreement, announced in July 2024. Additionally, Mr. DeFilippo guided the construction of the Tucumã Operation, which was successfully completed on schedule earlier this year. Mr. DeFilippo holds a M.Sc. in Metallurgical Engineering from the Colorado School of Mines and a B.Sc. in Geological Engineering from the University of Arizona.
Mr. Batista joined Ero in September 2024 as Senior Vice President, Operations, bringing with him over 25 years of extensive international mining experience. Throughout his career, he has held a range of technical, operational, and senior leadership positions in mining operations and development projects worldwide. His experience includes roles at ArcelorMittal and Rio Tinto, as well as with leading engineering and technology companies in Canada and South America. Most recently, Mr. Batista served as ArcelorMittal's Chief Operating Officer Mining and Executive Director for ArcelorMittal's integrated mining and steel operations in Central Asia. Prior to that appointment, he served as the company's Mining Chief Technology Officer in London, overseeing technical services, global exploration, and innovation across the group. Mr. Batista holds a degree in Mining Engineering from the Federal University of Ouro Preto in Minas Gerais, Brazil.
ABOUT ERO COPPER CORP
Ero Copper is a high-margin, high-growth copper producer with operations in Brazil and corporate headquarters in Vancouver, B.C. 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 Operation (formerly known as Boa Esperança), an open pit copper mine 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 Operation, can be found on SEDAR+ ( www.sedarplus.ca/landingpage/) 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, the Company's leadership succession plan and the timing thereof as well as anticipated production levels in 2025.
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 Operation 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.
News Provided by GlobeNewswire via QuoteMedia
(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 and nine months ended September 30, 2024. Management will host a conference call tomorrow, Wednesday, November 6, 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
(*) 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 and nine months ended September 30, 2024 and the Reconciliation of Non-IFRS Measures section at the end of this press release.
"The third quarter and year-to-date period presented both significant achievements to celebrate and new challenges to navigate," said David Strang, Chief Executive Officer. "We have reached the inflection point we have been working towards since the publication of Tucumã's Optimized Feasibility Study in September 2021. With construction complete and ramp-up to commercial production underway, reaching this milestone in just over three years is a remarkable accomplishment.
"Alongside this achievement, came operational headwinds, including power-related challenges that have impacted our ramp-up schedule at Tucumã. At our Caraíba Operations, we made progress in accelerating underground development rates at the Pilar Mine, though the performance of a third-party development contractor has been below expectations. We view these challenges as transitional, and our team is actively working on returning to plan.
"Despite these setbacks, our financial results have been strengthened by improved operating margins driven by significantly lower unit costs at Caraíba and higher realized gold prices at Xavantina. We are optimistic about the path ahead, with 2025 on track to be our best year yet, and look forward to delivering strong value for our stakeholders."
THIRD QUARTER REVIEW
The Caraíba Operations
The Tucumã Operation
(1) For further details on the power disruption and resumption of ramp-up activities, please refer the Company's press releases dated October 5, 2024 and October 16, 2024.
The Xavantina Operations
OTHER SUBSEQUENT EVENTS
The Company continued to advance its growth pipeline with the announcement of an initial National Instrument 43-101 compliant mineral resource estimate for Furnas Copper-Gold Project (the "Project") on October 2, 2024. This initial mineral resource estimate, supported by over 90,000 meters of historic drilling, highlights the significant potential of this Project.
In October 2024, the Company also commenced the Phase 1 drill program under the definitive earn-in agreement (1) for the Project, after receiving drilling permits from the Pará State environmental agency in September 2024. This minimum 28,000-meter program, designed to support a preliminary economic assessment on the Project, is focused on infill drilling and extending high-grade zones within the broader deposit to depth. For more information on the Project's initial mineral resource estimate and the Phase 1 drill program, please refer to the Company's press release dated October 2, 2024.
(1) In July 2024, the Company signed a definitive earn-in agreement ("Agreement") with Salobo Metais S.A., a subsidiary of Vale Base Metals Limited, to earn a 60% interest in the Project, located in the Carajás Mineral Province in Pará State, Brazil. The terms of the Agreement align with the previously signed binding term sheet outlined in the Company's press release dated October 30, 2023.
| OPERATING HIGHLIGHTS | ||||||||||
| 2024 - Q3 | 2024 - Q2 | 2023 - Q3 | 2024 - YTD | 2023 - YTD | ||||||
| Copper (Caraíba Operations) | ||||||||||
| Ore Processed (tonnes) | 900,289 | 957,692 | 806,096 | 2,711,352 | 2,419,465 | |||||
| Grade (% Cu) | 1.20 | 1.03 | 1.46 | 1.10 | 1.45 | |||||
| Cu Production (tonnes) | 9,920 | 8,867 | 10,766 | 26,878 | 32,097 | |||||
| Cu Production (000 lbs) | 21,871 | 19,548 | 23,734 | 59,257 | 70,761 | |||||
| Cu Sold in Concentrate (tonnes) | 9,970 | 8,706 | 10,090 | 28,137 | 31,166 | |||||
| Cu Sold in Concentrate (000 lbs) | 21,980 | 19,192 | 22,244 | 62,031 | 68,709 | |||||
| Cu C1 cash cost (1)(2) | $ | 1.63 | $ | 2.16 | $ | 1.92 | $ | 2.01 | $ | 1.83 |
| Copper (Tucumã Operation) | ||||||||||
| Ore Processed (tonnes) | 110,778 | — | — | 110,778 | — | |||||
| Grade (% Cu) | 1.00 | — | — | 1.00 | — | |||||
| Cu Production (tonnes) | 839 | — | — | 839 | — | |||||
| Cu Production (000 lbs) | 1,850 | — | — | 1,850 | — | |||||
| Cu Sold in Concentrate (tonnes) | 357 | — | — | 357 | — | |||||
| Cu Sold in Concentrate (000 lbs) | 787 | — | — | 787 | — | |||||
| Gold (Xavantina Operations) | ||||||||||
| Ore Processed (tonnes) | 41,761 | 40,446 | 31,446 | 120,041 | 101,586 | |||||
| Grade (g / tonne) | 11.41 | 14.00 | 18.72 | 13.85 | 14.43 | |||||
| Au Production (oz) | 13,485 | 16,555 | 17,579 | 48,274 | 42,355 | |||||
| Au C1 cash cost (1) | $ | 539 | $ | 428 | $ | 371 | $ | 447 | $ | 425 |
| Au AISC (1) | $ | 1,034 | $ | 842 | $ | 844 | $ | 879 | $ | 943 |
(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 and nine months ended September 30, 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 was $1.72 in Q3 2024 (Q3 2023 - $1.77) and $2.04 in YTD 2024 (YTD 2024 - $1.73).
FINANCIAL HIGHLIGHTS
($ in millions, except per share amounts)
| 2024 - Q3 | 2024 - Q2 | 2023 - Q3 | 2024 - YTD | 2023 - YTD | |||||||||
| Revenues | $ | 124.8 | $ | 117.1 | $ | 105.2 | $ | 347.7 | $ | 311.1 | |||
| Gross profit | 53.7 | 43.3 | 35.5 | 128.2 | 115.0 | ||||||||
| EBITDA (1) | 74.5 | (36.2 | ) | 28.3 | 56.1 | 135.0 | |||||||
| Adjusted EBITDA (1) | 62.2 | 51.5 | 42.9 | 157.0 | 133.2 | ||||||||
| Cash flow from operations | 52.7 | 14.7 | 41.9 | 84.6 | 113.7 | ||||||||
| Net income (loss) | 41.4 | (53.4 | ) | 2.8 | (18.9 | ) | 57.3 | ||||||
| Net income (loss) attributable to owners of the | 40.9 | (53.2 | ) | 2.5 | (19.5 | ) | 56.3 | ||||||
| Per share (basic) | 0.40 | (0.52 | ) | 0.03 | (0.19 | ) | 0.61 | ||||||
| Per share (diluted) | 0.39 | (0.52 | ) | 0.03 | (0.19 | ) | 0.60 | ||||||
| Adjusted net income attributable to owners of the Company (1) | 27.6 | 18.6 | 17.3 | 63.0 | 62.0 | ||||||||
| Per share (basic) | 0.27 | 0.18 | 0.19 | 0.61 | 0.67 | ||||||||
| Per share (diluted) | 0.27 | 0.18 | 0.18 | 0.61 | 0.66 | ||||||||
| Cash, cash equivalents, and short-term | 20.2 | 44.8 | 87.6 | 20.2 | 87.6 | ||||||||
| Working (deficit) capital (1) | (60.9 | ) | (57.6 | ) | 32.8 | (60.9 | ) | 32.8 | |||||
| Net debt (1) | 518.7 | 482.0 | 331.8 | 518.7 | 331.8 | ||||||||
(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 and nine months ended September 30, 2024 and the Reconciliation of Non-IFRS Measures section at the end of this press release.
2024 GUIDANCE (*)
The Company is updating production guidance for both the Caraíba and Tucumã Operations, resulting in a consolidated copper production guidance for the year of 43,000 to 48,000 tonnes in concentrate.
Due to the anticipated delay in achieving commercial production at the Tucumã Operation, the Company is narrowing 2024 C1 cash cost guidance to only include the Caraíba Operations. The Company is reaffirming full-year C1 cash cost guidance for the Caraíba Operations of $1.80 to $2.00 per pound of copper produced. Positive factors, including improved concentrate treatment and refining charges secured as of May 2024, a higher gold byproduct credit, and a more favorable USD to BRL exchange rate, are expected to more than offset the impact of lower projected copper production.
At the Xavantina Operations, the Company is reaffirming increased full-year gold production guidance of 60,000 to 65,000 ounces, with similar production levels and unit cost performance expected in Q4 2024 compared to Q3 2024. Consequently, the Company is reaffirming its reduced gold cost guidance ranges, including C1 cash cost guidance of $450 to $550 per ounce, and AISC guidance of $900 to $1,000 per ounce.
The Company is also maintaining consolidated 2024 capital expenditure guidance of $303 to $348 million.
The Company's 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 for Q4 2024.
| Original Guidance | Updated Guidance | |
| Consolidated Copper Production (tonnes) | ||
| Caraíba Operations | 42,000 - 47,000 | 35,000 - 37,000 |
| Tucumã Operation | 17,000 - 25,000 | 8,000 - 11,000 |
| Total | 59,000 - 72,000 | 43,000 - 48,000 |
| Caraíba Operations C1 Cash Cost (1) Guidance | $1.80 - $2.00 | Unchanged |
| The Xavantina Operations | ||
| Au Production (ounces) | 55,000 - 60,000 | 60,000 - 65,000 |
| Gold C1 Cash Cost (1) Guidance | $550 - $650 | $450 - $550 |
| Gold AISC (1) Guidance | $1,050 - $1,150 | $900 - $1,000 |
* 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.
CONFERENCE CALL DETAILS
The Company will hold a conference call on Wednesday, November 6, 2024 at 11:30 am Eastern time (8:30 am Pacific time) to discuss these results.
| Date: | Wednesday, November 6, 2024 |
| Time: | 11:30 am Eastern time (8:30 am Pacific time) |
| Dial in: | Canada/USA Toll Free: 1-844-763-8274, International: +1-647-484-8814 Please dial in 5-10 minutes prior to the start of the call or pre-register using this link to bypass the live operator queue |
| Webcast: | To access the webcast, click here |
| Replay: | Canada/USA: 1-855-669-9658, International: +1-412-317-0088 For country-specific dial-in numbers, click here |
| Replay Passcode: | 1437453 |
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 and nine months ended September 30, 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 - Q3 | 2024 - Q2 | 2023 - Q3 | 2024 - YTD | 2023 - YTD | ||||||||||
| Cost of production | $ | 40,149 | $ | 41,945 | $ | 39,345 | $ | 124,321 | $ | 113,397 | |||||
| Add (less): | |||||||||||||||
| Transportation costs & other | 1,283 | 1,283 | 1,614 | 3,818 | 4,686 | ||||||||||
| Treatment, refining, and other | 3,170 | 4,058 | 6,574 | 12,398 | 20,991 | ||||||||||
| By-product credits | (6,584 | ) | (3,431 | ) | (3,022 | ) | (12,455 | ) | (9,536 | ) | |||||
| Incentive payments | (1,138 | ) | (1,174 | ) | (1,609 | ) | (3,511 | ) | (3,975 | ) | |||||
| Net change in inventory | (1,220 | ) | (468 | ) | 2,835 | (5,581 | ) | 2,973 | |||||||
| Foreign exchange translation and other | 3 | 21 | (171 | ) | 17 | (169 | ) | ||||||||
| C1 cash costs | 35,663 | 42,234 | 45,566 | 119,007 | 128,367 | ||||||||||
| (Gain) loss on foreign exchange hedges | 1,965 | 46 | (3,458 | ) | 1,735 | (7,232 | ) | ||||||||
| C1 cash costs including foreign exchange hedges | $ | 37,628 | $ | 42,280 | $ | 42,108 | $ | 120,742 | $ | 121,135 | |||||
Mining | $ | 26,529 | $ | 27,881 | $ | 27,258 | $ | 79,666 | $ | 76,262 | |||||
| Processing | 7,069 | 7,927 | 8,362 | 22,173 | 22,559 | ||||||||||
| Indirect | 5,479 | 5,799 | 6,394 | 17,225 | 18,091 | ||||||||||
| Production costs | 39,077 | 41,607 | 42,014 | 119,064 | 116,912 | ||||||||||
| By-product credits | (6,584 | ) | (3,431 | ) | (3,022 | ) | (12,455 | ) | (9,536 | ) | |||||
| Treatment, refining and other | 3,170 | 4,058 | 6,574 | 12,398 | 20,991 | ||||||||||
| C1 cash costs | 35,663 | 42,234 | 45,566 | 119,007 | 128,367 | ||||||||||
| (Gain) loss on foreign exchange hedges | 1,965 | 46 | (3,458 | ) | 1,735 | (7,232 | ) | ||||||||
| C1 cash costs including foreign exchange hedges | $ | 37,628 | $ | 42,280 | $ | 42,108 | $ | 120,742 | $ | 121,135 | |||||
Costs per pound | |||||||||||||||
| Total copper produced (lbs, 000) | 21,871 | 19,548 | 23,734 | 59,257 | 70,761 | ||||||||||
Mining | $ | 1.22 | $ | 1.42 | $ | 1.15 | $ | 1.34 | $ | 1.08 | |||||
| Processing | $ | 0.32 | $ | 0.41 | $ | 0.35 | $ | 0.38 | $ | 0.32 | |||||
| Indirect | $ | 0.25 | $ | 0.30 | $ | 0.27 | $ | 0.29 | $ | 0.26 | |||||
| By-product credits | $ | (0.30 | ) | $ | (0.18 | ) | $ | (0.13 | ) | $ | (0.21 | ) | $ | (0.13 | ) |
| Treatment, refining and other | $ | 0.14 | $ | 0.21 | $ | 0.28 | $ | 0.21 | $ | 0.30 | |||||
| Copper C1 cash costs | $ | 1.63 | $ | 2.16 | $ | 1.92 | $ | 2.01 | $ | 1.83 | |||||
| (Gain) loss on foreign exchange hedges | $ | 0.09 | $ | — | $ | (0.15 | ) | $ | 0.03 | $ | (0.10 | ) | |||
| Copper C1 cash costs including foreign exchange hedges | $ | 1.72 | $ | 2.16 | $ | 1.77 | $ | 2.04 | $ | 1.73 | |||||
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 - Q3 | 2024 - Q2 | 2023 - Q3 | 2024 - YTD | 2023 - YTD | ||||||||||||||
| Cost of production | $ | 6,220 | $ | 7,580 | $ | 6,323 | $ | 21,055 | $ | 18,087 | |||||||||
| Add (less): | |||||||||||||||||||
| Incentive payments | (378 | ) | (226 | ) | (320 | ) | (1,047 | ) | (1,038 | ) | |||||||||
| Net change in inventory | 1,378 | (322 | ) | 213 | 1,320 | 797 | |||||||||||||
| By-product credits | (232 | ) | (259 | ) | (240 | ) | (680 | ) | (579 | ) | |||||||||
| Smelting and refining | 79 | 97 | 101 | 266 | 240 | ||||||||||||||
| Foreign exchange translation and other | 203 | 215 | 453 | 650 | 510 | ||||||||||||||
| C1 cash costs | $ | 7,270 | $ | 7,085 | $ | 6,530 | $ | 21,564 | $ | 18,017 | |||||||||
| Site general and administrative | 1,321 | 1,350 | 1,304 | 4,024 | 3,874 | ||||||||||||||
| Accretion of mine closure and rehabilitation provision | 82 | 88 | 112 | 262 | 328 | ||||||||||||||
| Sustaining capital expenditure | 2,784 | 2,653 | 4,258 | 8,691 | 10,801 | ||||||||||||||
| Sustaining lease payments | 1,801 | 1,908 | 1,832 | 5,831 | 5,232 | ||||||||||||||
| Royalties and production taxes | 686 | 862 | 808 | 2,058 | 1,702 | ||||||||||||||
| AISC | $ | 13,944 | $ | 13,946 | $ | 14,844 | $ | 42,430 | $ | 39,954 | |||||||||
| Costs | |||||||||||||||
| Mining | $ | 3,852 | $ | 3,705 | $ | 3,140 | $ | 11,377 | $ | 8,724 | |||||
| Processing | 2,419 | 2,277 | 2,165 | 6,955 | 6,118 | ||||||||||
| Indirect | 1,152 | 1,265 | 1,364 | 3,646 | 3,514 | ||||||||||
| Production costs | 7,423 | 7,247 | 6,669 | 21,978 | 18,356 | ||||||||||
| Smelting and refining costs | 79 | 97 | 101 | 266 | 240 | ||||||||||
| By-product credits | (232 | ) | (259 | ) | (240 | ) | (680 | ) | (579 | ) | |||||
| C1 cash costs | $ | 7,270 | $ | 7,085 | $ | 6,530 | $ | 21,564 | $ | 18,017 | |||||
| Site general and administrative | 1,321 | 1,350 | 1,304 | 4,024 | 3,874 | ||||||||||
| Accretion of mine closure and rehabilitation provision | 82 | 88 | 112 | 262 | 328 | ||||||||||
| Sustaining capital expenditure | 2,784 | 2,653 | 4,258 | 8,691 | 10,801 | ||||||||||
| Sustaining leases | 1,801 | 1,908 | 1,832 | 5,831 | 5,232 | ||||||||||
| Royalties and production taxes | 686 | 862 | 808 | 2,058 | 1,702 | ||||||||||
| AISC | $ | 13,944 | $ | 13,946 | $ | 14,844 | $ | 42,430 | $ | 39,954 | |||||
| Costs per ounce | |||||||||||||||
| Total gold produced (ounces) | 13,485 | 16,555 | 17,579 | 48,274 | 42,355 | ||||||||||
Mining | $ | 286 | $ | 224 | $ | 179 | $ | 236 | $ | 206 | |||||
| Processing | $ | 179 | $ | 138 | $ | 123 | $ | 144 | $ | 144 | |||||
| Indirect | $ | 85 | $ | 76 | $ | 78 | $ | 76 | $ | 83 | |||||
| Smelting and refining | $ | 6 | $ | 6 | $ | 6 | $ | 6 | $ | 6 | |||||
| By-product credits | $ | (17 | ) | $ | (16 | ) | $ | (15 | ) | $ | (15 | ) | $ | (14 | ) |
| Gold C1 cash cost | $ | 539 | $ | 428 | $ | 371 | $ | 447 | $ | 425 | |||||
| Gold AISC | $ | 1,034 | $ | 842 | $ | 844 | $ | 879 | $ | 943 | |||||
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 - Q3 | 2024 - Q2 | 2023 - Q3 | 2024 - YTD | 2023 - YTD | |||||||||||||
| Net Income (Loss) | $ | 41,367 | $ | (53,399 | ) | $ | 2,811 | $ | (18,862 | ) | $ | 57,252 | ||||||
| Adjustments: | ||||||||||||||||||
| Finance expense | 4,039 | 4,565 | 8,017 | 13,238 | 20,538 | |||||||||||||
| Finance income | (781 | ) | (1,361 | ) | (2,976 | ) | (3,610 | ) | (10,476 | ) | ||||||||
| Income tax expense (recovery) | 8,331 | (8,267 | ) | (807 | ) | (1,789 | ) | 9,632 | ||||||||||
| Amortization and depreciation | 21,555 | 22,294 | 21,299 | 67,145 | 58,044 | |||||||||||||
| EBITDA | $ | 74,511 | $ | (36,168 | ) | $ | 28,344 | $ | 56,122 | $ | 134,990 | |||||||
| Foreign exchange (gain) loss | (17,246 | ) | 70,454 | 13,937 | 72,204 | (9,741 | ) | |||||||||||
| Share based compensation | 4,859 | 6,075 | (1,185 | ) | 17,479 | 8,741 | ||||||||||||
| Write-down of exploration and evaluation asset | 467 | 10,745 | — | 11,212 | — | |||||||||||||
| Unrealized (gain) loss on commodity derivatives | (360 | ) | 436 | 1,814 | 12 | (840 | ) | |||||||||||
| Adjusted EBITDA | $ | 62,231 | $ | 51,542 | $ | 42,910 | $ | 157,029 | $ | 133,150 | ||||||||
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 - Q3 | 2024 - Q2 | 2023 - Q3 | 2024 - YTD | 2023 - YTD | ||||||||||
| Net income (loss) as reported attributable to the | |||||||||||||||
| owners of the Company | $ | 40,857 | $ | (53,247 | ) | $ | 2,525 | $ | (19,531 | ) | $ | 56,255 | |||
| Adjustments: | |||||||||||||||
| Share based compensation | 4,859 | 6,075 | (1,185 | ) | 17,479 | 8,741 | |||||||||
| Unrealized foreign exchange (gain) loss on USD | |||||||||||||||
| denominated balances in MCSA | (11,860 | ) | 48,517 | 9,481 | 47,914 | (4,988 | ) | ||||||||
| Unrealized foreign exchange (gain) loss on foreign exchange derivative contracts | (9,807 | ) | 16,006 | 7,530 | 15,503 | 2,300 | |||||||||
| Write-down of exploration and evaluation asset | 465 | 10,745 | — | 11,210 | — | ||||||||||
| Unrealized (gain) loss on commodity derivatives | (367 | ) | 434 | 1,808 | 3 | (836 | ) | ||||||||
| Tax effect on the above adjustments | 3,431 | (9,904 | ) | (2,873 | ) | (9,601 | ) | 540 | |||||||
| Adjusted net income attributable to owners of the Company | $ | 27,578 | $ | 18,626 | $ | 17,286 | $ | 62,977 | $ | 62,012 | |||||
Weighted average number of common shares | |||||||||||||||
| Basic | 103,239,881 | 103,082,363 | 93,311,434 | 103,026,138 | 92,767,525 | ||||||||||
| Diluted | 103,973,827 | 103,961,615 | 94,009,268 | 103,742,304 | 93,643,940 | ||||||||||
Adjusted EPS | |||||||||||||||
| Basic | $ | 0.27 | $ | 0.18 | $ | 0.19 | $ | 0.61 | $ | 0.67 | |||||
| Diluted | $ | 0.27 | $ | 0.18 | $ | 0.18 | $ | 0.61 | $ | 0.66 | |||||
Net Debt (Cash)
The following table provides a calculation of net debt (cash) based on amounts presented in the Company's condensed consolidated interim financial statements as at the periods presented.
| September | June 30, | December 31, | September | ||||||||||||
| 30, 2024 | 2024 | 2023 | 30, 2023 | ||||||||||||
| Current portion of loans and borrowings | $ | 39,383 | $ | 39,889 | $ | 20,381 | $ | 11,764 | |||||||
| Long-term portion of loans and borrowings | 499,527 | 486,919 | 405,852 | 407,656 | |||||||||||
| Less: | |||||||||||||||
| Cash and cash equivalents | (20,229 | ) | (44,773 | ) | (111,738 | ) | (44,757 | ) | |||||||
| Short-term investments | — | — | — | (42,843 | ) | ||||||||||
| Net debt (cash) | $ | 518,681 | $ | 482,035 | $ | 314,495 | $ | 331,820 | |||||||
Working Capital 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.
| September | June 30, | December 31, | September | ||||||||||||
| 30, 2024 | 2024 | 2023 | 30, 2023 | ||||||||||||
| Current assets | $ | 126,808 | $ | 124,554 | $ | 199,487 | $ | 174,113 | |||||||
| Less: Current liabilities | (187,708 | ) | (182,143 | ) | (173,800 | ) | (141,284 | ) | |||||||
| Working (deficit) capital | $ | (60,900 | ) | $ | (57,589 | ) | $ | 25,687 | $ | 32,829 | |||||
Cash and cash equivalents | 20,229 | 44,773 | 111,738 | 44,757 | |||||||||||
| Short-term investments | — | — | — | 42,843 | |||||||||||
| Available undrawn revolving credit facilities | 80,000 | 100,000 | 150,000 | 150,000 | |||||||||||
| Available undrawn prepayment facilities (1) | $ | 25,000 | $ | 25,000 | $ | — | $ | — | |||||||
| Available liquidity | $ | 125,229 | $ | 169,773 | $ | 261,738 | $ | 237,600 | |||||||
(1) In May 2024, the Company entered into a $50.0 million non-priced copper prepayment facility arrangement. Through the end of 2024, the Company has the option to increase the size of the facility from $50.0 million to $75.0 million.
ABOUT ERO COPPER CORP
Ero Copper is a high-margin, high-growth copper producer with operations in Brazil and corporate headquarters in Vancouver, B.C. 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 Operation (formerly known as Boa Esperança), an open pit copper mine 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 Operation, can be found on SEDAR+ ( www.sedarplus.ca/landingpage/) 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 Operation and the Xavantina Operations; estimated timing for certain milestones, including resolution of power-related challenges and ramp-up of production levels at the Tucumã Operation; the Company's ability to engage an additional underground development contractor and accelerate development rates at the Pilar Mine; expectations related to foreign exchange rates as well as copper concentrate treatment and refining charges; 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 Operation 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.
News Provided by GlobeNewswire via QuoteMedia
