Lundin Mining Corporation · TSX:LUN
Lundin Mining — Q4 2021 Earnings Presentation
20 slides from Lundin Mining's earnings presentation, Feb 18, 2022
Slide 1: Fourth Quarter and Full Year 2021 Results
Fourth Quarter and Full Year 2021 Results February 18, 2022 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 Peter Rockandel President, CEO & Director Jinhee Magie SVP & CFO Peter Richardson SVP & COO Ciara Talbot VP, Exploration Five professionals from Candelaria selected among the more than 1,300 nominations to the 100 Inspiring Women of Chilean Mining – January 2022 Karina Briño, General Ma
Slide 4: 2021 Highlights
2021 Highlights High Quality Advanced Internal Remain Focused on Competitive Mines Growth Initiatives Value Creation • best-ever Total Recordable Injury Frequency • Neves-Corvo Zinc Expansion Project (ZEP) • declared C$0.39/sh in dividends in 2021; nearly (TRIF) rate of 0.54 construction substantial
Slide 5: 2021 Summary Results
2021 Summary Results Production Payable Sales 262,884 t of copper 250,282 t of copper 143,797 t of zinc 117,678 t of zinc 167,000 oz of gold 157,000 oz of gold 18,353 t of nickel 15,012 t of nickel 27,602 t of lead 24,135 t of lead Record $3.3B in Sales Sweden Other Gold 6% 7% 7% USA Nickel 14% 8% C
Slide 6: Financial Highlights
Financial Highlights Realized Metal Prices1,2 Q4/21 2021 2020 Δ Copper $4.76/lb $4.41/lb $2.88/lb 53% Zinc $1.65/lb $1.43/lb $1.03/lb 39% Gold $1,846/oz $1,774/oz $1,846/oz (4%) Nickel $9.67/lb $8.49/lb $6.22/lb 36% Summary Financial Results2 Q4/21 2021 2020 Δ Revenue $1,019M $3,329M $2,042M 63% Gro
Slide 7: Candelaria
Candelaria Strong Finish to 2021 Copper, Gold Production & Cash Cost Outlook1,2 • copper production achieved, and gold production exceeded, most recent guidance (100% basis; kt Cu, koz Au & $/lb Cu, net of by-product credits) • cash cost of $1.51/lb of copper bettered most recent guidance • particul
Slide 8: Chapada
Chapada Record Mill Throughput Copper, Gold Production & Cash Cost Outlook1 • copper production exceeded guidance and gold production achieved the top end of (100% basis; kt Cu, koz Au & $/lb Cu, net of by-product credits) annual guidance • set annual mill throughput record of 24.1 Mt processed 76 7
Slide 9: Copper-Gold Saúva Discovery at Chapada
Copper-Gold Saúva Discovery at Chapada 1 • located approximately 15 km north of Chapada mine • exploration concession was prioritized and acquired in 2021 federal auction process • first two drill holes confirmed presence of shallow high-grade copper-gold mineralization • 47 drill holes completed to
Slide 10: Copper-Gold Saúva Discovery at Chapada
Copper-Gold Saúva Discovery at Chapada 1 1. Refer to news release “Lundin Mining Announces New Copper-Gold Saúva Discovery at Chapada” dated February 10, 2022. 10
Slide 11: Eagle
Eagle Strong Performance Continues • nickel and copper production achieved annual guidance Nickel, Copper Production & Cash Cost Outlook1 (kt & $/lb Ni, net of by-product credits) • cash cost of negative $1.24/lb of copper bettering guidance • full year capex of $16M below guidance of $20M 18 18 15-
Slide 12: Neves-Corvo
Neves-Corvo Q4/21 Strongest of the Year Copper, Zinc Production & Cash Cost Outlook3 • copper production achieved the top end of annual guidance and zinc (kt & $/lb Cu, net of by-product credits) production was inline with guidance • cash cost of $1.89/lb of copper bettered guidance 142-152 142-152
Slide 13: Neves-Corvo – ZEP
Neves-Corvo – ZEP Underground • materials handling and crushing systems commissioned with first ore in December 2021 • service water piping construction finalized, and all dewatering piping supports installed • electrical rooms commissioned Underground construction photos – Q4/21 Material handling s
Slide 14: Neves-Corvo – ZEP
Neves-Corvo – ZEP Surface • finalized all process plant circuits • completed commissioning of 3rd thickener • completed backfill cyclones commissioning and start-up • continued pastefill expansion works Surface construction photos – Q4/21 Materials handling surface works Brownfield and greenfield –
Slide 15: Zinkgruvan
Zinkgruvan Continued Excellent Performance Zinc Production & Cash Cost Outlook1 • zinc production exceeded annual guidance (kt & $/lb Zn, net of by-product credits) • cash cost of $0.53/lb of zinc bettered guidance • full year capex of $41M inline with guidance of $45M 85-90 83-88 2022 Outlook • zin
Slide 16: 2022 Guidance Summary
2022 Guidance Summary1 Production (contained metal in conc.) Cash Cost2 Capital Expenditures ($M) Copper (t) Candelaria (100%) 155,000 - 165,000 $1.553 Sustaining Capital Candelaria (100% basis) 370 Chapada 53,000 - 58,000 $1.603 Eagle 15,000 - 18,000 Chapada 65 Neves-Corvo 33,000 - 38,000 $1.803 Ea
Slide 17: Josemaria Resources Acquisition
Josemaria Resources Acquisition1 • Increased Scale & Growth in Copper & Gold • Clear Path to Development • Asset & Geographic Diversification • Attractive Resource Base with District Potential Josemaria Copper-Gold Project, San Juan, Argentina 17 1. Announced acquisition remains subject to completio
Slide 18: Lundin Mining – 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 Zinkgruvan • competitive cost position Eagle Zinc-Lead-Copper in Sweden Nickel-Copper-PGMs in U.S.A. • low-risk mining jurisdictions
Slide 19: 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
Slide 20: www.lundinmining.com
www.lundinmining.com | TSX: LUN | Nasdaq Stockholm: LUMI