Hudbay Minerals Inc · TSX:HBM
Hudbay Minerals — Merger or Acquisition (March 2026)
39 slides from Hudbay Minerals's merger presentation, Mar 2, 2026
Slide 1: Creating the 3rd Largest Copper District in North America
HBM / ASCU NYSE & TSX TSX Creating the 3rd Largest Copper District in North America MARCH 2026
Slide 2: Cautionary Information
Cautionary Information 2 This presentation contains forward-looking information within the meaning of applicable Canadian and United States securities legislation. All information contained in this presentation, other than statements of current and historical fact, is forward-looking information. Of
Slide 3: Today's Speakers
Today's Speakers 3 PETER KUKIELSKI GEORGE OGILVIE PRESIDENT & CEO PRESIDENT & CEO Over 30 years of extensive global experience within the base Over 35 years of management, operating and technical metals, precious metals and bulk material sectors. Previously experience in the mining industry. Previou
Slide 4: Transaction Overview
Transaction Overview 4 Hudbay to acquire all issued and outstanding common shares of Arizona Sonoran, not already owned by Hudbay Hudbay currently owns 20.8M common shares, representing ~9.99% of Arizona Sonoran's basic shares outstanding OVERVIEW Following closing of the transaction, existing Hud
Slide 5: On-Strategy Acquisition to Create the Third Largest Copper District in North America
5 ON-STRATEGY ACQUISITION TO CREATE THE THIRD LARGEST COPPER DISTRICT IN NORTH AMERICA High-Quality Significant Strengthens Development Operating Robust Financial Competitive Asset Efficiencies Position to Advantage in and Regional Advance U.S. Synergies Portfolio Establishes Enhances Major Copper S
Slide 6: Attractive Transaction for Arizona Sonoran Shareholders
Attractive Transaction for Arizona Sonoran Shareholders 6 IMMEDIATE & 30% to closing share price on the TSX as of February 27, 2026 SIGNIFICANT 36% to Arizona Sonoran’s 20-day VWAP share price PREMIUM PARTICIPATION IN Continued participation in future upside at Cactus, together with Copper INDUSTRY
Slide 7: Cactus Overview
Cactus Overview 7 LONG-LIFE LOW-COST COPPER DEVELOPMENT PROJECT IN PROLIFIC MINING JURISDICTION PROJECT HIGHLIGHTS Located in Tier 1 jurisdiction on private land, de-risking permitting and land status Fully permitted under 2021 PEA; permit amendments for 2025 Cactus PFS ongoing Past producing brow
Slide 8: Diversified Portfolio of Long-Life Assets in Tier Jurisdictions
Diversified Portfolio of Long-Life Assets in Tier 1 Jurisdictions 8 OPERATING MINE DEVELOPMENT PROJECT Cu Au Ag Cu Mo Ag Au NEAR TERM DEVELOPMENT OPERATING MINE PROJECT (2026 SANCTION) +19 year mine life +20 year mine life Open Pit Open Pit COPPER MOUNTAIN ~45kt annual Cu production COPPER
Slide 9: Compelling Strategic & Financial Rationale
9 COMPELLING STRATEGIC HUDBAY MINERALS INC. & FINANCIAL RATIONALE
Slide 10: 3rd Largest Copper District In North America
3rd Largest Copper District In North America 10 Arizona CREATION OF A HIGH-QUALITY COPPER DISTRICT Copper Hub COPPER PRODUCTION (KT CU)1 500 495 226 182 126 105 88 80 76 HUDBAY MINERALS INC. Grupo Mexico Freeport Arizona 2 Bingham Asarco Highland Valley Pumpkin Red Chris Freeport Sonora Arizona Busi
Slide 11: Creates Attractive Copper District in Arizona
Creates Attractive Copper District in Arizona 11 Arizona CONSOLIDATES TWO HIGH-QUALITY PROJECTS IN ARIZONA, THE "COPPER STATE" Copper Hub Cactus to have no impact on Copper World’s development timeline; Copper World on track for 2026 sanctioning N Skilled team at Copper World and comprehensive regio
Slide 12: Industry Leading North American Exposure
Industry Leading North American Exposure 12 Competitive Advantage U.S. MINING NAV CONCENTRATION U.S. Rest of World 58% 63% 83% 96% 100% 100% 100% 100% 42% 37% 17% 4% Pro forma NORTH AMERICAN MINING NAV CONCENTRATION North America Latin America Asia Africa Europe Australia 11% 24% 45% 55% HUDBAY MINE
Slide 13: 2nd Largest U.S. Copper Cathode District
2nd Largest U.S. Copper Cathode District 13 Competitive “MADE IN AMERICA” COPPER PRODUCTION WILL CONTRIBUTE TO DOMESTIC U.S. COPPER SUPPLY CHAIN Advantage COPPER CATHODE PRODUCTION (KT CU)1 258 164 39 22 13 10 HUDBAY MINERALS INC. 2 Freeport Arizona Arizona Florence Freeport Asarco Pinto Valley Busi
Slide 14: U.S. Open Pit Copper Benchmarking
U.S. Open Pit Copper Benchmarking 14 THE ARIZONA BUSINESS WILL COMPRISE TWO OF THE HIGHEST GRADE AND LOWEST COST High-Quality OPEN-PIT COPPER ASSETS IN THE UNITED STATES Asset ANNUAL PRODUCTION (KT CU) RESERVE GRADE (% CU) CASH COSTS (US$/LB CU) Morenci 261 Copper World 0.54% Cactus $1.34 Bingham Ca
Slide 15: Prudent Capital Allocation
Prudent Capital Allocation 15 High-Quality LIKE COPPER WORLD, CACTUS REPRESENTS NEXT GENERATION OF LOW CAPITAL COPPER DEVELOPMENT Asset Greenfield Projects Brownfield Projects Lower Capital Higher Capital Completed Greenfield Completed Brownfield $56.9 1 Capital Intensity ($000s/tonne Cu) $38.2 $38.
Slide 16: Significant Operating Efficiencies & Regional Synergies
Significant Operating Efficiencies & Regional Synergies 16 Significant Arizona Hub Creates Significant Industrial Logic Synergies Centralized local head office for Hudbay’s Arizona projects Ability to strategically redeploy the Copper World construction team to Cactus Leveraging internal sulphuric a
Slide 17: Strong Financial Platform to Prudently Advance Portfolio
Strong Financial Platform to Prudently Advance Portfolio 17 Robust STABLE FREE CASH FLOW GENERATION AND OPTIMAL CAPITAL STRUCTURE Financials Significant free cash flow generation from operations in Canada and Peru $1,061M $388M $992M $1,417M 0.0x 2025 2025 Free Cash and Available Net Debt to Adj. St
Slide 18: Proven Developer and Operator
Proven Developer and Operator 18 Enhances HUDBAY HAS ~100 YEARS OF MINE DISCOVERY, DEVELOPMENT AND OPERATING EXPERTISE Growth VALUE CREATION THROUGH EXPLORATION High-grade Pampacancha deposit near Constancia 1 Consistent growth through discovery of new 777 and Lalor discoveries (1990’s and 2000’s) d
Slide 19: Increasing Copper Exposure
Increasing Copper Exposure 19 Enhances OUTSIZED GROWTH IN CONSOLIDATED COPPER PRODUCTION DRIVEN BY HUDBAY'S U.S. PLATFORM Growth Acquisition of Cactus is expected to be accretive to Hudbay on NAV per share and reserves and resources per share ANNUAL CONSOLIDATED COPPER PRODUCTION (KT)1 COMMODITY CON
Slide 20: Appendix
HUDBAY MINERALS INC. APPENDIX 20
Slide 21: Constancia Key Highlights
Constancia KEY HIGHLIGHTS 21 LONG LIFE, LOW-COST COPPER MINE IN PERU 17 YEARS Mine Life Cu-Au-Mo Porphyry Deposit 100%-owned, low cost, long life copper mine that has been in production since 2014. Constancia is one of the lowest cost open pit copper mine in South America2. 90k tpd After acquiring t
Slide 22: Snow Lake Key Highlights
Snow Lake KEY HIGHLIGHTS 22 LOW-COST GOLD OPERATION WITH MEANINGFUL BASE METAL PRODUCTION 13 YEARS Mine Life1 Au-Zn-Cu VMS Deposits 100%-owned Lalor mine in Snow Lake produces gold ore New Britannia operating at more than 2,000 tpd, significantly for the newly refurbished New Britannia mill and base
Slide 23: Copper Mountain Key Highlights
Copper Mountain KEY HIGHLIGHTS 23 LONG LIFE COPPER MINE WITH OPTIONALITY 19 YEARS Mine Life Cu-Au-Ag Porphyry Deposit Copper Mountain mine is a conventional open pit with a Mill optimization initiatives underway to increase mill 45,000 tpd plant capacity. Hudbay acquired 75% ownership throughput to
Slide 24: Copper World Project Key Highlights
Copper World Project KEY HIGHLIGHTS 24 HIGHEST GRADE OPEN PIT COPPER PROJECT IN AMERICAS ATTRACTIVE ECONOMICS AT CONSERVATIVE $3.75CU PRICE ASSUMPTIONS1 $1.1B 19% PHASE I FOOTPRINT ON PRIVATE LAND COPPER PRICE SENSITIVITY ($B) NPV 8% IRR1 Fully permitted project expected to increase $2.0 Cu producti
Slide 25: $600M Strategic Investment from Mitsubishi Corporation
$600M Strategic Investment from Mitsubishi Corporation 25 HIGHLY ACCRETIVE JOINT VENTURE TRANSACTION WITH PREMIER PARTNER TO FUND COPPER WORLD PROJECT TRANSACTION OVERVIEW FURTHER DERISKS THE ADVANCEMENT OF COPPER WORLD Joint Venture (“JV”) ✓ REALIZES ATTRACTIVE ✓ PROVIDES FURTHER $600M +90% Ownersh
Slide 26: Reduces Hudbay's Remaining Equity Contribution to ~$200M
Reduces Hudbay’s Remaining Equity Contribution to ~$200M 26 FINANCIAL FLEXIBILITY WITH PRUDENT FINANCING PLAN AND STRENGTHENED BALANCE SHEET +90% ~$1B ~$200M OPTIMAL PROJECT FUNDING STRUCTURE2 Hudbay Equity Levered Project Hudbay Post-closing1 Remaining Hudbay JV Proceeds + Equity IRR to Hudbay Cash
Slide 27: Mason Project Key Highlights
Mason Project KEY HIGHLIGHTS 27 LARGE OPEN PIT COPPER PROJECT WITH SIGNIFICANT LAND PACKAGE 27 YEARS Mine Life 2.2Bt M&I Tonnage Acquired in 2018, Mason is MASON ECONOMICS1 100%-owned by Hudbay and is 0.29% located in the prolific Yerington After-Tax NPV 10% (US$M) Unlevered IRR (%) M&I Cu Grade Cop
Slide 28: Peru Mineral Reserves
Peru Mineral Reserves (AS AT JANUARY 1, 2025) 28 MINERAL RESERVE ESTIMATES1,2,3,4,5 TONNES Cu (%) Mo (g/t) Au (g/t) Ag (g/t) CONSTANCIA Proven 443,200,000 0.252 80 0.037 2.59 Probable 64,800,000 0.205 73 0.036 1.78 CONSTANCIA – TOTAL PROVEN AND PROBABLE 508,000,000 0.246 79 0.037 2.49 PAMPACANCHA Pr
Slide 29: Peru Mineral Resources
Peru Mineral Resources (AS AT JANUARY 1, 2025) 29 MINERAL RESOURCE ESTIMATES1,2,3,4,5 TONNES Cu (%) Mo (g/t) Au (g/t) Ag (g/t) CONSTANCIA Measured 92,700,000 0.211 57 0.039 2.24 Indicated 86,900,000 0.222 83 0.039 2.24 Inferred – Open Pit 33,700,000 0.247 69 0.056 2.75 Inferred – Underground 6,500,0
Slide 30: Snow Lake Reserves – Lalor Mine & 1901 Deposit
Snow Lake Reserves – Lalor Mine & 1901 Deposit (AS AT JANUARY 1, 2025) 30 MINERAL RESERVE ESTIMATES1,2,3,4,5,6,7 CATEGORY TONNES Au (g/t) Zn (%) Cu (%) Ag (g/t) Proven Lalor 3,250,000 5.3 0.72 0.62 32.6 1901 102,000 2.8 1.33 1.00 19.2 Gold Zone Reserves Probable Lalor 3,701,000 4.3 0.32 1.02 24.5 19
Slide 31: Snow Lake Resources – Lalor Mine & 1901 Deposit
Snow Lake Resources – Lalor Mine & 1901 Deposit (AS AT JANUARY 1, 2025) 31 MINERAL RESOURCE ESTIMATES1,2,3,4,5,6,7,8 CATEGORY TONNES Au (g/t) Zn (%) Cu (%) Ag (g/t) Inferred Lalor 1,953,000 4.3 0.26 2.36 14.8 Gold Zone Resources 1901 1,587,000 5.5 0.30 0.85 16.6 Total Inferred – Gold 3,540,000 4.8 0
Slide 32: Snow Lake Reserves & Resources – Other Gold
Snow Lake Reserves & Resources – Other Gold (AS AT JANUARY 1, 2025) 32 GOLD MINERAL RESERVE AND RESOURCE CATEGORY TONNES Au (g/t) Zn (%) Cu (%) Ag (g/t) ESTIMATES1,2,3,4,5,6,7 Probable Reserves WIM Probable 2,450,000 1.6 0.25 1.63 6.3 3 Zone Probable 660,000 4.2 - - - TOTAL PROBABLE (GOLD) 3,110,000
Slide 33: Snow Lake Reserves & Resources – Other Base Metals
Snow Lake Reserves & Resources – Other Base Metals (AS AT JANUARY 1, 2025) 33 BASE METAL MINERAL RESERVE AND RESOURCE CATEGORY TONNES Au (g/t) Zn (%) Cu (%) Ag (g/t) ESTIMATES1,2,3,4,5,6 Indicated Resources Pen II Indicated 470,000 0.3 8.89 0.49 6.8 Talbot* Indicated 2,190,000 2.1 1.79 2.33 36.0 TOT
Slide 34: B.C. Mineral Reserves & Resources
B.C. Mineral Reserves & Resources (AS AT JANUARY 1, 2025) 34 MINERAL RESERVE AND RESOURCE ESTIMATES1,2,3,4,5,6 TONNES Cu (%) Au (g/t) Ag (g/t) Reserves Proven 172,900,000 0.269 0.124 0.72 Probable 173,100,000 0.222 0.109 0.62 TOTAL PROVEN AND PROBABLE 346,000,000 0.245 0.116 0.67 Resources Measured
Slide 35: Copper World Mineral Reserves & Resources
Copper World Mineral Reserves & Resources (AS AT JANUARY 1, 2025) 35 Soluble Cu MINERAL RESERVE AND RESOURCE ESTIMATES1,2,3,4,5,6 TONNES Cu (%) Mo (g/t) Au (g/t) Ag (g/t) Grade (%) RESERVES Proven reserves 319,400,000 0.54 0.11 110 0.03 5.7 Probable reserves 65,700,000 0.52 0.14 96 0.02 4.3 Total pr
Slide 36: Mason Mineral Resources
Mason Mineral Resources (AS AT JANUARY 1, 2025) 36 MINERAL RESOURCE ESTIMATES1,2,3,4,5 TONNES Cu (%) Mo (g/t) Au (g/t) Ag (g/t) Measured 1,417,000,000 0.29 59 0.031 0.66 Mason Indicated 801,000,000 0.30 80 0.025 0.57 TOTAL MEASURED AND INDICATED 2,219,000,000 0.29 67 0.029 0.63 Mason Inferred 237,00
Slide 37: Llaguen Mineral Resources
Llaguen Mineral Resources (AS AT JANUARY 1, 2025) 37 MINERAL RESOURCE ESTIMATES1,2,3,4,5,6 TONNES Cu (%) Mo (g/t) Au (g/t) Ag (g/t) CuEq (%) Indicated Global (≥ 0.14% Cu) 271,000,000 0.33 218 0.033 2.04 0.42 Including Indicated High-grade (≥ 0.30% Cu) 113,000,000 0.49 291 0.046 2.73 0.60 Inferred Gl
Slide 38: Cactus Mineral Reserves & Mineral Resources
Cactus Mineral Reserves & Mineral Resources (AS AT SEPTEMBER 17, 2025) 38 MINERAL RESERVE AND RESOURCE ESTIMATES SHORT TONS (KT) METRIC TONNES (KT) CuT (%) Soluble Cu Grade (%) Reserves1,2,3,4,5 Proven 64,256 58,292 0.79 0.64 Probable 448,603 406,966 0.48 0.39 TOTAL PROVEN AND PROBABLE 512,859 465,2
Slide 39: Additional Information
Additional Information 39 The technical and scientific information in this presentation related to the Constancia mine and Snow Lake operations has been approved by Olivier Tavchandjian, P. Geo., Senior Vice President, Exploration and Technical Services. The technical and scientific information in t