VANCOUVER, BC, Oct. 16,
2024 /CNW/ - (TSX: LUN) (Nasdaq Stockholm: LUMI)
Lundin Mining Corporation ("Lundin Mining" or the
"Company") is pre-announcing certain items impacting the Company's
quarterly earnings, adjusted earnings before interest, taxes,
depreciation and amortization ("adjusted EBITDA")1,
adjusted earnings1 and adjusted earnings per
share1. View PDF
Foreign Exchange and Derivatives
Items of significant impact in the third quarter 2024 are
expected to include unaudited foreign exchange and trading gains on
debt and equity investments supporting the capital funding for the
Josemaria Project of approximately $7
million. Unaudited realized losses on foreign exchange and
unaudited realized gains on foreign exchange and commodity
derivative contracts were not significant in the quarter.
In the third quarter 2024 the Company is also expected to
recognize certain non-cash items that will impact the Company's
earnings but not adjusted EBITDA, adjusted earnings or adjusted
earnings per share. These include an unaudited non-cash unrealized
loss on foreign exchange of approximately $13 million on a pre-tax basis, and an unaudited
non-cash unrealized gain of approximately $31 million on a pre-tax basis related to the
mark-to-market valuation of the Company's unexpired foreign
exchange and commodity derivative contracts.
Provisional Pricing Adjustments
Revenue during the third quarter 2024 is expected to be
negatively impacted by unaudited provisional pricing adjustments on
prior period concentrate sales of approximately $5 million on a pre-tax basis. These adjustments
primarily include downward adjustments in relation to prior period
copper and molybdenum sales, partially offset by upward adjustments
in relation to prior period gold sales.
Eagle East Rehabilitation
During the third quarter ramp rehabilitation at Eagle East
continued to progress. An unaudited amount of approximately
$15 million, related to overhead
costs from the partial suspension of underground operations, is
expected to impact the Company's earnings for the quarter. This
amount will be excluded from adjusted EBITDA, adjusted earnings,
and adjusted earnings per share. Mining rates are anticipated to
increase during the fourth quarter of 2024.
Third Quarter 2024 Results Conference Call and Webcast
Details
The Company will release its third quarter 2024 operations and
financial results after market close on Wednesday, November 6, 2024, and will hold a
webcast and conference call on Thursday,
November 7, 2024 to present the results. Webcast and
conference call details are provided below.
Webcast / Conference Call Details:
Date: Thursday, November 7,
2024
Time: 7:00 AM PT | 10:00 AM
ET
Listen Only Webcast: WEBCAST LINK
Dial In for Investor & Analyst Q&A: DIAL IN
LINK
To participate in the call click on the dial in LINK above and
complete the online registration form. Once registered you will
receive the dial-in information and a unique PIN to join the call
and ask questions.
A replay of the webcast will be available by clicking on the
webcast LINK above and will be archived on the Company's website
for a limited period of time.
About Lundin Mining
Lundin Mining is a diversified Canadian base metals mining
company with operations and projects in Argentina, Brazil, Chile, Portugal, Sweden and the
United States of America, primarily producing copper, zinc,
gold and nickel.
The information was submitted for publication, through the
agency of the contact persons set out below on October 16,
2024 at 14:30 Pacific 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; expected items of significant impact in the third
quarter 2024, and the anticipated impact on the Company's earnings,
revenue, adjusted EBITDA, adjusted earnings or adjusted earnings
per share; the completion of the acquisition of Filo and the timing
thereof; the establishment and operation of a new joint venture
with BHP; the realization of synergies in the Vicuña district; the
identification of additional value creation opportunities; 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; the results of any
Preliminary Economic Assessment, Pre-Feasibility Study, Feasibility
Study, or Mineral Resource and Mineral Reserve estimations, 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; the Company's
integration of acquisitions and expansions and any anticipated
benefits thereof; the Company's ability to become a top tier copper
producer; 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, nickel, gold and other
metals; anticipated costs; ability to achieve goals and identify
and realize opportunities; the prompt and effective integration of
acquisitions, including the completion of each of the acquisition
of Filo, the establishment of the joint venture with BHP and
the realization of synergies and economies of scale in connection
therewith; the prompt and effective integration of acquisitions;
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; risks associated
with acquisitions partnerships, including the completion of each of
the acquisition of Filo and the establishment of the joint venture
with BHP; 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 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 six months
ended June 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.
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1 These measures are non-GAAP
measures. 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 six months
ended June 30, 2024 which is available on SEDAR+ at
www.sedarplus.com.
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SOURCE Lundin Mining Corporation
