Hudbay Minerals Inc · TSX:HBM
Hudbay Minerals — Q3 2014 Earnings Presentation
15 slides from Hudbay Minerals's earnings presentation, Oct 30, 2014
Slide 1: Third Quarter 2014 Results
THIRD QUARTER 2014 RESULTS Management Presentation October 30, 2014
Slide 2: Cautionary Information
Cautionary Information This presentation contains "forward-looking statements" and "forward-looking information" (collectively, "forward-looking information") within the meaning of applicable Canadian and United States securities legislation. All information contained in this presentation, other tha
Slide 3: Cautionary Information (continued)
Cautionary Information (continued) The risks, uncertainties, contingencies and other factors that may cause actual results to differ materially from those expressed or implied by the forward- looking information may include, but are not limited to, the development of the Rosemont project not occurri
Slide 4: Cautionary Information (continued)
Cautionary Information (continued) The scientific and technical information in respect of Hudbay contained in this presentation related to the Constancia project has been prepared by or under the supervision of Cashel Meagher, P.Geo., Hudbay’s Vice President, South America Business Unit. The scienti
Slide 5: Q3 2014 Summary
Q3 2014 Summary 2014 PRODUCTION AND COST GUIDANCE REMAINS UNCHANGED Second consecutive quarter of sustained growth > Copper production increased 23% > Operating cash flows nearly doubled (excluding one-time Augusta transaction costs) Production growth in Manitoba continues to deliver economies of sc
Slide 6: Growth Projects Proceeding Well
Growth Projects Proceeding Well CONTINUED ACHIEVEMENT OF PROJECT MILESTONES Constancia > Project construction approximately 94% complete > Over 18.5 million man hours without a LTA as at the end of September > Plant commissioning underway and pre-stripping ore View of the Constancia project sufficie
Slide 7: Constancia Update
Constancia Update 100%-OWNED PROJECT IN PERU Construction approximately 94% complete as at September 30, 2014 > US$1.6 billion of US$1.7 billion budget spent and committed > Power transmission line to site has been commissioned > Plant commissioning activities underway Constancia tailings management
Slide 8: Constancia Construction Progress
Constancia Construction Progress Constancia mine maintenance facilities Constancia mill Commissioning of Constancia crusher Q3 2014 RESULTS l 8
Slide 9: Constancia Construction Progress (Cont'd)
Constancia Construction Progress (Cont’d) Constancia crusher commissioning Constancia ore dump pocket for the primary crusher Pre-stripping activities at Constancia Q3 2014 RESULTS l 9
Slide 10: Lalor Update
Lalor Update 100%-OWNED MINE IN MANITOBA Achieved commercial production on time and on budget > Invested approximately $413 million and entered into an additional $26 million in commitments to September 30, 2014 > Surface exhaust fans and construction of office and change house complex expected to b
Slide 11: Lalor Exploration
Lalor Exploration DRILLING OF CU-AU ZONE EXPECTED IN Q4 2014 Lalor Cross-Section with 2014 Exploration Platform 0m Underground exploration ramp more than 25% Vent Production Raise Shaft complete 500m Drill program intended to: > Upgrade inferred to a higher Exploration resource category Platform > A
Slide 12: Rosemont Update
Rosemont Update 80%-OWNED1 COPPER PROJECT IN ARIZONA, USA Hudbay acquired control of the Rosemont project in July 2014 > Drill program underway to better understand the geological setting and mineralization, and to collect additional technical information > Project permitting efforts ongoing Crusher
Slide 13: Strong Financial Capacity
Strong Financial Capacity WELL CAPITALIZED FOR GROWTH SPENDING > Sufficient financial capacity to fund remaining capital spending at Constancia and Lalor > US$150 million Constancia standby credit facility in place Liquidity 1 2014 Project Growth Capital Total Current Liquidity of $0.6 billion Total
Slide 14: Near Term Milestones
Near Term Milestones Reed Rosemont Lalor Lalor Constancia Commercial Successful Commercial Underground Commercial production acquisition production exploration begins production 2014 2015 Q1 Q2 Q3 Q4 Q1 Q2 Lalor Lalor Constancia Completion of Production Initial refurbished shaft production Snow Lake
Slide 15: For more information contact
Night view of Constancia crusher For more information contact: Candace Brûlé Director, Investor Relations Tel: 416.814.4387 Email: candace.brule@hudbayminerals.com HBM