Business
Hudbay Minerals Announces Updated Constancia and Snow Lake Mine Plans and Provides Annual Reserve and Resource Update
Global Increase to Copper and Gold Reserves Hudbay’s total mineral reserves increase by approximately 170,000 tonnes of contained copper and 360,000 ounces of c
About this update from Hudbay Minerals Inc
[{"type":"text","content":" Global Increase to Copper and Gold Reserves Hudbay’s total mineral reserves increase by approximately 170,000 tonnes of contained copper and 360,000 ounces of contained gold compared to the prior year’s estimates after adjusting for mining depletion in 2020. New three-year production guidance issued; consolidated copper and gold production are expected to increase by 36% and 125%i, respectively, by 2023 from 2020 levels as Hudbay brings online its Pampacancha and New Britannia growth projects. Pampacancha and New Britannia growth projects are nearing completion with a total of approximately $80 million remaining to be spent in 2021. Hudbay’s two flagship producing assets, Constancia and the Snow Lake operations, each have a 17-year mine life (to 2037) based on current reserves. Constancia Highlights Constancia reserves increase by 33 million tonnes at a grade of 0.48% copper and 0.115 grams per tonne gold, resulting in an increase of approximately 11% in contained copper and 12% in contained gold over the prior year’s reserves, after adjusting for mining depletion in 2020. Improved Constancia mine plan incorporating higher grades from Pampacancha from 2022 to 2025 and the new Constancia North reserves to extend the medium-term production profile. Average annual copper production at Constancia over the next eight years increases to approximately 102,000 tonnes at an average cash cost and sustaining cash cost of $1.18 and $1.71ii, respectively, per pound of copper produced net of by-product credits. Constancia’s total copper and gold production increases by 12% and 9%, respectively, compared to the same period in the previous mine planiii. Snow Lake Highlights Snow Lake mineral reserves continue to increase year-over-year as successful resource-to-reserve conversion more than offsets mining depletion. Advanced phase three of Hudbay’s Snow Lake gold strategy through various mining and milling optimization opportunities. Improved Snow Lake mine plan contemplates an increase in Lalor’s mining rate to 5,300 tonnes per day in 2023, from a planned 4,500 tonnes per day previously, and the incorporation of the mining of the 1901 deposit by 2026. Annual gold production from Lalor and the Snow Lake operations increases to over 180,000 ounces during the first six years of New Britannia production at the lowest quartile cash cost globallyiv ...