Hudbay Minerals Inc · TSX:HBM
Hudbay Minerals — Q4 2016 Earnings Presentation
10 slides from Hudbay Minerals's earnings presentation, Feb 23, 2017
Slide 1: Q4 2016 Presentation
Q4 2016 PRESENTATION | FEBRUARY 23, 2017 HBM
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: 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, risks generally associated with the mining industry
Slide 4: 2016 Year in Review
2016 Year in Review ACHIEVED OBJECTIVES IN A YEAR OF VOLATILE METAL PRICES Strengthened liquidity position by identifying cost savings and deferring debt repayments Arranged more flexible financial covenants on credit facilities Achieved capital and operating cost efficiencies to maximize free
Slide 5: Achieved 2016 Guidance
Achieved 2016 Guidance MET OR EXCEEDED ALL 2016 PRODUCTION AND COST GUIDANCE Actual sustaining capital spending ~20% lower than 2016 guidance 2016 Actual Full 2016 Full Year Year Results Guidance1 Peru2 Copper tonnes 133,432 110,000 – 130,000 exceeded Precious metals3 ounces 65,709 50,000 – 65,000 e
Slide 6: Q4 2016 Summary
Q4 2016 Summary STRONG CASH FLOW GENERATION Key Results Summary Consolidated cash cost of $0.85 per Q4 2016 Q3 2016 pound copper Production1 Consolidated sustaining cash cost of Copper kt 43.8 45.9 $1.46 per pound copper Zinc kt 29.1 31.6 Precious metals2 koz 41.7 44.8 Operating cash flow of $122 mi
Slide 7: Peru Operations Review
Peru Operations Review Ore milled increased as optimization of plant Peru Summary Operating Statistics performance remains the primary focus Q4 2016 Q3 2016 Ore mined (million tonnes) 6.2 6.9 Total copper recovery was 81.6% in Q4, affected by oxidized mineralization, offset by Ore milled (million to
Slide 8: Manitoba Operations Review
Manitoba Operations Review Q4 production of all metals was slightly Manitoba Summary Operating Statistics lower than Q3 levels Q4 2016 Q3 2016 Ore mined (kt) 675 692 Stall concentrator throughput impacted by Ore milled (kt) 723 723 one-off maintenance in Q4 Copper grade milled 1.52% 1.58% Zinc grade
Slide 9: 2017 Objectives
2017 Objectives Continue to focus on operating efficiencies to generate incremental free cash flow Advance high-return in-house brownfield opportunities Lalor zinc and gold throughput High-grade Pampacancha deposit at Constancia Advance permitting activities and technical work at Rosemont Use free c
Slide 10: Q4 2016 Presentation
Q4 2016 PRESENTATION | FEBRUARY 23, 2017 HBM