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Lundin Mining Announces Closing of Acquisition of Majority Interest in Caserones Copper-Molybdenum Mine in Chile and Commitments for New $800 Million Term Loan
TORONTO, July 13, 2023 /CNW/ - (TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining Corporation ("Lundin Mining" or the "Company") is pleased to announce the
About this update from Lundin Mining Corporation
[{"type":"text","content":" TORONTO, July 13, 2023 /CNW/ - (TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining Corporation (\"Lundin Mining\" or the \"Company\") is pleased to announce the closing of the acquisition of fifty-one percent (51%) of the issued and outstanding equity of SCM Minera Lumina Copper Chile (\"Lumina Copper\"), which owns the Caserones copper-molybdenum mine (\"Caserones'\") located in Chile, from JX Metals Corporation and certain of its subsidiaries (collectively, \"JX\"), as previously announced on March 27, 2023 (the \"Acquisition\"). Additionally, the Company is pleased to announce it has obtained commitments for a three-year term loan (\"Term Loan\") in a principal amount of $800 million, with an additional $400 million accordion available upon receipt of additional binding commitments and closing of up to an additional nineteen (19%) interest in Lumina Copper and satisfaction of relevant conditions precedent. The Term Loan is subject to the execution and delivery of definitive documentation in form and substance satisfactory to the Company and the Term Loan lenders and satisfaction of relevant conditions precedent. Chief Executive Officer, Peter Rockandel, commented \"With the addition of Caserones, Lundin Mining adds another long-life copper mine of meaningful size with significant growth potential to our portfolio of high-quality assets. The Caserones team has achieved material operational improvements in recent years, and I am confident that we will unlock additional upside through our considerable knowledge, experience, and existing presence in the region. The Caserones acquisition further solidifies Lundin Mining as a significant contributor to Chile in the Atacama Region and as a growing global producer of copper as the world shifts to a lower carbon future. On a proforma basis including Caserones, Lundin Mining's operations produced over 191,000 tonnes of copper in the first half of this year.\" Teitur Poulsen, Senior Vice President and Chief Financial Officer, added \"Lundin Mining's cash-generation potential has further increased with the addition of Caserones. To that end, it is very pleasing to see Lumina Copper generate approximately $120 million under the Acquisition lock-box in the first six months of the year and to end June with a cash position of over $150 million on a 100% basis. ...