Lundin Mining Corporation · TSX:LUN
Lundin Mining — Investor Presentation (November 2009)
22 slides from Lundin Mining's investor presentation, November 2009
Slide 1: Corporate Presentation November 2009
TSX: LUN TSX OMX: LUMI Phil Wright Chief Executive Corporate Presentation November 2009
Slide 2: Cautionary Statements
2 Cautionary Statements Caution Regarding Forward Looking Statements This ppresentation contains forward-lookingg statements. These forward-lookingg statements are not based on historical facts, but rather on current expectations and projections about future events. These forward-looking statements
Slide 3: About Lundin Mining
3 About Lundin Mining • Experienced • Excellent evaluation • Strong operations team • Successful track record capabilities in multiple jurisdictions • Strong backing of major • Extensive international • Exploration team covers shareholder p experience Americas;; Europe; p ; • Large-scale feasibiliti
Slide 4: Two Key Asset Groups
4 Two Key Asset Groups Europe Tenke Business D l Developmentt 100% ownership 24.75% 3 operating mines Tier 1 asset What’s next Copper, zinc, lead, l d Freeport operator nickel Copper, cobalt Corporate Operations Projects Exploration Growth
Slide 5: Asset Location
5 Asset Location Corporate Operations Projects Exploration Growth
Slide 6: Production Profile and Earnings History
6 Production Profile and Earnings History Production Profile Operating Results ktpa $mn Copper Zinc Lead Nickel Earnings Cashflow 175 700 150 600 125 500 100 400 * 75 300 50 200 25 100 0 0 2005 2006 2007 2008 2009 2005 2006 2007 2008 9 mth F'Cast 2009 * Excludes approx 17,000t attributable productio
Slide 7: European Business
7 European Business All operations cashflow positive Neves-Corvo Leverage g to commodityy cycle y Good internal growth prospects Stable jjurisdiction/low ppolitical risk Zinkgruvan Cash cost competitive Aguablanca Corporate Operations Projects Exploration Growth
Slide 8: Neves-Corvo Mine: Copper/Zinc: Portugal
8 Neves-Corvo Mine: Copper/Zinc: Portugal Estimated E i d 10+ 10 year mine i life lif 2009 production estimate: o 84,000t , copper pp 2009 cash cost estimate: o $1.10/lb of copper* Zinc expansion Zi i projectj t tto produce d minimum i i off 50,000 tpa: first production expected Q1 ‘11; esti
Slide 9: Exploration: Neves-Corvo
9 Exploration: Neves-Corvo Neves Corvo Drillhole From (m) To (m) Length (m) Cu % Zn % NK26 1,230.0 1,252.0 22.0 5.89 0.22 NK26-2 1,143.9 1,155.5 11.6 3.13 0.10 NJ26 1,258.5 1,264.0 5.5 4.20 0.10 NJ26-2 1,122.0 1,154.0 32.0 3.81 1.37 plus 1,173.0 1,196.0 23.0 0.40 7.28 plus p 1,214.0 1,250.0 36.0 0.4
Slide 10: Zinkgruvan Mine: Zinc/Lead/Copper: Sweden
10 Zinkgruvan Mine: Zinc/Lead/Copper: Sweden Estimated 10+ year mine life 2009 production estimate: o 72,000t zinc o 34,000t lead 2009 cash h costt estimate: ti t o 30c/lb of zinc Further throughput increases possible Copper project continues within budget and is on track for first copper
Slide 11: Aguablanca Mine: Nickel/Copper: Spain
11 Aguablanca Mine: Nickel/Copper: Spain Estimated 5 year mine life 2009 production estimate: o 7,200t nickel o 7,000t copper 2009 cash cost estimate: o $5.00/lb of nickel Potential for underground ndergro nd mine to supplement open-pit :under g investigation Corporate Operations Projects Ex
Slide 12: Tenke Fungurume Investment
12 Tenke Fungurume Investment 24.75% equity interest Large long-life Large, long-life, low-cost, low-cost high- Tenke growth asset g Fungurume Potential to be one of the world’s largest producers of copper and cobalt F Freeport t iis operator t Higher political risk Corporate Operations Pr
Slide 13: Tenke Fungurume – Phase I Built
13 Tenke Fungurume – Phase I Built Corporate Operations Projects Exploration Growth
Slide 14: Tenke Copper Production
14 Tenke Copper Production Corporate Operations Projects Exploration Growth
Slide 15: Tenke Overview – Lundin 24.75% equity interest
15 Tenke Overview– Lundin - 24.75% equity interest $ $1.8 billion construction substantiallyy complete p Solution loaded with Copper First shipment of copper cathode in April; First saleable cobalt produced in May Capacity of 115,000 tpa of copper already reached in September - 9,000 tpa of co
Slide 16: Tenke – A Mining District
16 Tenke – A Mining District Tenke Fungurume Concessions Airstrip Construction Village Overburden Storage Plan Area Processing Facility Tenke Fungurume Tailings Pond Fwaulu Deposits Kwatebala Deposit Power Substation Tenke Village ill Dipeta Syncline Exploration Tenke Deposits Fungurume Village Camp
Slide 17: Tenke – Exploration
17 Tenke – Exploration F 005 N F 104 N F 103 N F 112 N Oxide Ore Only half the concession has been explored Mixed Ore 20 deposits have been drilled but mineral resources only completed for 7, mineral 200 Sulfide Ore 00m reserves only completed for 5. Bearing Beds Expansion feasibility studies
Slide 18: Tenke – Distribution of Benefits
18 Tenke – Distribution of Benefits Direct Benefits Tenke agreements fair, equitable, 57% of Direct Benefits stay within DRC comply with Congolese laws, and enforceable without modifications TF Holdings Dialogue continues with DRC 43% authorities to reach resolution Gécamines 11% In addition t
Slide 19: Tenke – Current Focus
19 Tenke – Current Focus Optimise existing facilities Continue to define district through exploration Advance Ad feasibility f ibilit study t d in i Q4 ‘09 on iincremental t l expansion/de- i /d bottlenecking o Relativelyy low capital p o Increase current capacity by 50% Exploration results
Slide 20: Corporate and Business Development What's Next
20 Corporate and Business Development Strategically we remain active portfolio managers and are looking to upgrade our base-metal base metal assets and investments What’s Next With Europep runningg well and Tenke in excellent hands, we are increasing our corporate and business development activi
Slide 21: Lundin Mining Summary
21 Lundin Mining Summary In the short-term ((<12 months)) we remain cautious with a continued focus on tight expenditure controls In medium to longer term, supply constraints expected to emerge with the potential t ti l for f base b metal t l prices i tto move significantly i ifi tl hihigher h
Slide 22: Annual Meeting of Shareholders
May 15, 2009 TSX: LUN TSX OMX: LUMI Corporate Presentation 2009 Annual Meeting g of Shareholders November 2009
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