Slide 1: Third Quarter 2019 Results
Third Quarter 2019 Results October 24, 2019 TSX: LUN Nasdaq Stockholm: LUMI Candelaria, Atacama Region, Chile
Slide 2: Cautionary Statements
Cautionary Statements Caution Regarding Forward-Looking Information and Non-GAAP Performance Measures Certain of the statements made and information contained herein is “forward-looking information” within the meaning of applicable Canadian securities laws. All statements other than statements of hi
Slide 3: Participants
Participants Marie Inkster President & CEO Jinhee Magie SVP & CFO Peter Richardson SVP & COO First ore mined from Eagle East at end of September 2019 3
Slide 4: Q3/19 Summary Results
Q3/19 Summary Results Production Payable Sales 74,560t of copper 71,972t of copper 58,000oz of gold 52,000oz of gold 35,028t of zinc 27,224t of zinc 3,232t of nickel 1,889t of nickel 7,397t of lead 5,476t of lead $539M in Sales by Metal Sales by Jurisdiction Lead Other 2% 2% Nickel Sweden 7% 7% USA
Slide 5: Financial Highlights
Financial Highlights Realized Metal Prices 1 Q3/19 Q3/18 Δ Copper $2.52/lb $2.57/lb (2%) Nickel $10.73/lb $5.26/lb 104% Zinc $1.02/lb $1.06/lb (4%) Summarized Financial Results 2 Q3/19 Q3/18 Δ Revenue $539M $380M 42% Gross Profit $129M $60M 115% Attributable Net (Loss) Earnings $26M $7M 271% $0.04/s
Slide 6: Candelaria
Candelaria Step-Change Increase in Production and Cash Cost Reduction • 21% copper production increase and 25% cash cost reduction over Q2/19 as copper headgrade increased with more ore sourced from the open pit Copper Production & Cash Cost Outlook (100% basis; kt & $/lb Cu, net of by-product credi
Slide 7: Chapada
Chapada Strong First Operating Quarter Post-Acquisition • acquisition closed July 5, 2019. Cash consideration paid was $757M net of cash acquired and working capital adjustments • produced 17,645t of copper, 34koz of gold and 81koz of silver. Well positioned to achieve H2/19 production guidance • ca
Slide 8: Chapada Production Profile
Chapada Production Profile1 120 100 kt of copper / koz of gold 80 Metal Production 60 40 20 0 2019 2020 2021 2022 2023 2030 2031 2032 2033 2034 2042 2043 2044 2045 2046 2024 2025 2026 2027 2028 2029 2035 2036 2037 2038 2039 2040 2041 2047 2048 2049 2050 Copper Gold 1. Production shown is based on th
Slide 9: Neves-Corvo
Neves-Corvo Strong Mine and Mill Performance • 25% copper production increase and 15% cash cost reduction over Q2/19 on improved Copper, Zinc Production & Cash Cost Outlook copper recoveries and copper plant throughput (kt & $/lb Cu, net of by-product credits) • copper recovery increased on ore char
Slide 10: Neves-Corvo – ZEP Underground Construction
Neves-Corvo – ZEP Underground Construction • development of lower stopes underway with first sublevel accesses ongoing in lower Lombador orebody • materials handling civil works progressed well and are nearing completion • conveyor system mechanical and electrical equipment installations are well ad
Slide 11: Neves-Corvo – ZEP Surface Construction
Neves-Corvo – ZEP Surface Construction work continued with focus on: • mechanical and electrical installation of materials handling system • backfill cyclone station installed • SAG mill trunnion, gear ring and drive system installation complete • tailings and water supply piping systems • all flota
Slide 12: Eagle
Eagle Robust Operating Performance • produced 3,232t of nickel and 3,042t of copper at cash cost of $3.25/lb nickel in line with expectations • gross operating costs were lower than Q2/19 and better than plan, though lower nickel and Nickel, Copper Production & Cash Cost Outlook copper sales volume
Slide 13: Zinkgruvan
Zinkgruvan On-Track to Deliver Full-Year Guidance • produced 16,796t of zinc, 6,291t of lead and 1,120t of copper at a cash cost of $0.42/lb zinc • improved zinc recovery helped offset lower mill throughput on planned maintenance and mine equipment availability and utilization Zinc Production & Cash
Slide 14: 2019 Capital & Exploration Expenditure Guidance
2019 Capital & Exploration Expenditure Guidance Capital Expenditures1 Exploration • previous full-year guidance maintained • $60M to be invested in 2019 in exploration programs, $10 million lower than previously guided • Candelaria and Eagle East investment programs concluding • reflects the conclus
Slide 15: Increasing Production Profile (kt)
Increasing Production Profile1 (kt) Copper Zinc Nickel 287 - 306 231 - 241 283 - 302 16 - 19 18 13 - 16 12 - 14 ~50% +55% 227 - 245 165 - 180 149 - 157 152 200 2018A 2019 2 20203 20213 2018A 2019 2020 2021 2018A 2019 2020 2021 1. Production profile based on certain estimates and assumptions, includi
Slide 16: Our Strategy
Lundin Mining Our Strategy Operate, upgrade and grow a base metals portfolio that provides leading returns for our shareholders throughout the cycle • copper dominant Eagle Zinkgruvan • competitive cost position Nickel-Copper-PGMs in U.S.A. Zinc-Lead-Copper in Sweden • low-risk mining jurisdictions,
Slide 17: www.lundinmining.com
www.lundinmining.com | TSX: LUN | Nasdaq Stockholm: LUMI
Slide 18: NI 43-101 Compliance
NI 43-101 Compliance Unless otherwise indicated, Lundin Mining Corporation (the “Company”) has prepared the technical information in this presentation including Mineral Reserve and Mineral Resource estimates (“Technical Information”) based on information contained in the technical reports and news r