Hudbay Minerals Inc · TSX:HBM
Hudbay Minerals — Q3 2024 Earnings Presentation
15 slides from Hudbay Minerals's earnings presentation, Nov 13, 2024
Slide 1: Q3 2024 Results Presentation
Q 3 2 0 2 4 R E S U LT S P R E S E N TAT I O N November 13, 2024
Slide 2: Cautionary Information
CAUTIONARY INFORMATION 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. Ofte
Slide 3: Q3 2024 Operational Excellence
Q3 2024 OPERATIONAL EXCELLENCE ENHANCED OPERATING PLATFORM CONTINUES TO DELIVER STRONG PRODUCTION AND STEADY COST CONTROL KEY RESULTS SUMMARY $206M $86M 31kt $0.18/lb Q3 2024 Q2 2024 Q3 2023 Q3 Adj. EBITDA1 Q3 Free Cash Flow2 Q3 Cu Production Q3 Cash Cost Production1,2 Copper kt 31.4 28.6 42.0 2024
Slide 4: Improved Balance Sheet Flexibility
IMPROVED BALANCE SHEET FLEXIBILITY ACCELERATED DELEVERAGING CONTINUES TO ENHANCE FINANCIAL POSITION SIGNIFICANT DEBT REDUCTION OVER THE PAST YEAR 5.0x Dec. 31 2022 Announced “3-P” 4.0x Deleveraging Initiative $83M $130M $83M 3.0x Buy Back of Senior Repayments Under Gold Prepay Facility 2.0x 3.8 Net
Slide 5: Peru Operations Review
PERU OPERATIONS REVIEW STEADY COST PERFORMANCE AND ON TRACK FOR STRONGER Q4 WITH STRIPPING COMPLETED AT PAMPACANCHA SUMMARY OF PERU OPERATING STATISTICS Q3 production of 21,220 tonnes Cu and Q3 2024 Q2 2024 Q3 2023 20,331 ounces Au Constancia ore mined (million tonnes)1 3.0 5.3 1.2 Pampacancha ore m
Slide 6: Constancia Operational Excellence
CONSTANCIA OPERATIONAL EXCELLENCE CONSTANCIA IS THE LOWEST COST OPEN PIT COPPER MINE IN SOUTH AMERICA Continuous operational improvements at Constancia have increased throughput, enhanced efficiencies and reduced costs CONSTANCIA THROUGHPUT1 +10% Throughput Expansion expansion beyond avg. 90k tpd pe
Slide 7: Manitoba Operations Review
MANITOBA OPERATIONS REVIEW EXCEEDING EXPECTATIONS IN PERFORMANCE AND EFFICIENCY; RECORD QUARTERLY GOLD PRODUCTION SUMMARY OF SNOW LAKE OPERATING STATISTICS Record production of 62,468 ounces Au Q3 2024 Q2 2024 Q3 2023 in Q3, 44% increase from Q2 Ore mined (kt) 411.3 385.5 367.5 Combined Ore milled (
Slide 8: New Britannia Operational Excellence
NEW BRITANNIA OPERATIONAL EXCELLENCE NEW BRITANNIA MILL PERFORMANCE CONSISTENTLY EXCEEDING EXPECTATIONS WITH CONTINUOUS IMPROVEMENT TO DRIVE EFFICIENCY, HIGHER GOLD PRODUCTION AND STRONG RETURNS +39% 90% $115M With ~2 million ounces of gold in current mineral reserves and another 1.4 million ounces
Slide 9: British Columbia Operations Review
BRITISH COLUMBIA OPERATIONS REVIEW COMPLETED STABILIZATION PLAN IMPROVES OPERATIONAL EFFICIENCY SUMMARY OF COPPER MOUNTAIN OPERATING STATISTICS Continued accelerated stripping program Q3 2024 Q2 2024 Q3 2023 will enable access to higher head grades Ore mined (million tonnes)1 3.1 2.2 3.8 Mill perfor
Slide 10: Copper Mountain Optimization
COPPER MOUNTAIN OPTIMIZATION WITH OPERATIONS NOW STABILIZED, ON TRACK TO CREATE LONG-TERM VALUE THROUGH OPTIMIZATION MINE PRODUCTIVITY* MILL AVAILABILITY 100% Quarterly Mine Productivity *(Mt) 24 Target 25Mt NEW RECORD 95% Mill Availability (%) Target 92% 20 90% 16 23.0 85% 94.0% 95.4% 19.9 21.4 90.
Slide 11: Copper World Project
COPPER WORLD PROJECT HIGHEST GRADE OPEN PIT COPPER PROJECT IN THE AMERICAS PHASE I FOOTPRINT REQUIRES STATE AND LOCAL PERMITS ONLY Phase I PFS shows enhanced project economics, optimized 1.2Bt M&I TONNAGE flow sheet and simplified permitting process and extended mine life to 20 years. 85kt ANNUAL CU
Slide 12: Prudently Advancing Copper World
PRUDENTLY ADVANCING COPPER WORLD DISCIPLINED THREE PREREQUISITES (“3-P”) PLAN FOR SANCTIONING COPPER WORLD Completed Underway To Come In late 2022, Hudbay unveiled a prudent financial plan with three Objective 2022 2023 2024 2025 2026 ✓ ✓ PERMITS PLAN key prerequisites to be achieved Definitive feas
Slide 13: Growth Exploration Initiatives
GROWTH EXPLORATION INITIATIVES SEVERAL HIGH-PRIORITY INITIATIVES TO EXTEND MINE LIFE AND UNCOVER NEW ANCHOR DEPOSITS PERU - MARIA REYNA & CABALLITO EXPLORATION MANITOBA - SNOW LAKE EXPLORATION Geophysics indicate several nearby exploration Focused on near-mine extension at Lalor and the discovery of
Slide 14: Diversified Mid-Tier Copper Producer
DIVERSIFIED MID-TIER COPPER PRODUCER ANNUAL COPPER PRODUCTION & CASH COSTS1,2 REVENUE AND RESERVES BY METAL + Copper $0.86 World (92kt) Revenue3 Reserves4 $0.74 $0.80 $0.65-$0.85 4% 5% 2% 4% Consolidated Copper Cash 168 Production (000 tonnes) 137-176 132-172 134-168 153 2% 6% Consolidated Copper 15
Slide 15: Questions
QUESTIONS 15