The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from Marketwire

Lundin Mining Recommences Production at Aguablanca

Monday, August 27, 2012

Lundin Mining Recommences Production at Aguablanca17:30 EDT Monday, August 27, 2012TORONTO, ONTARIO--(Marketwire - Aug. 27, 2012) -Lundin Mining Corporation ("Lundin" or the "Company") (TSX:LUN)(OMX:LUMI) is pleased to announce that production at the wholly owned Aguablanca nickel/copper mine in Spain has restarted ahead of the previously announced schedule. While full production ramp-up is expected to be achieved in Q4/2012, the mill is treating a substantial stockpile of ore at good throughput rates and first concentrate shipments have started to arrive at the port warehouse. Mr. Paul Conibear, President and CEO of the Company stated, "We are very pleased with the successful execution of our re-start plan and are being able to commence concentrate production slightly ahead of schedule. The operation provides nickel and additional copper production for the Company, and is expected to generate good positive cash flows at current metal prices." Consistent with the company's recently increased production guidance, Aguablanca is forecasted to produce between 1,000 - 1,500 tonnes of nickel and a similar volume of copper in 2012. Also as previously guided, the operation is expected to produce between 5,000 - 7,000 tonnes of both nickel and copper in 2013 and between 6,000 - 7,000 of both nickel and copper in 2014. Cash cost guidance will be confirmed prior to year end, once full design rates have been achieved in the plant.About Lundin MiningLundin Mining Corporation is a diversified Canadian base metals mining company with operations in Portugal, Sweden, Spain and Ireland, producing copper, zinc, lead and nickel. In addition, Lundin Mining holds a development project pipeline which includes a potential expansion project at the Neves‐Corvo mine along with its equity stake in the world class Tenke Fungurume copper/cobalt mine in the Democratic Republic of Congo.On Behalf of the Board, Paul Conibear, CEOForward Looking StatementsCertain of the statements made and information contained herein is "forward-looking information" within the meaning of the Ontario Securities Act. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation, risks and uncertainties relating to foreign currency fluctuations; risks inherent in mining including environmental hazards, industrial accidents, unusual or unexpected geological formations, ground control problems and flooding; risks associated with the estimation of Mineral Resources and Reserves and the geology, grade and continuity of mineral deposits; the possibility that future exploration, development or mining results will not be consistent with the Company's expectations; the potential for and effects of labour disputes or other unanticipated difficulties with or shortages of labour or interruptions in production; actual ore mined varying from estimates of grade, tonnage, dilution and metallurgical and other characteristics; the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations; uncertain political and economic environments; changes in laws or policies, foreign taxation, delays or the inability to obtain necessary governmental permits; and other risks and uncertainties, including those described under Risk Factors Relating to the Company's Business in the Company's Annual Information Form and in each management discussion and analysis. Forward-looking information is in addition based on various assumptions including, without limitation, the expectations and beliefs of management, the assumed long term price of copper, nickel, lead and zinc; that the Company can access financing, appropriate equipment and sufficient labour and that the political environment where the Company operates will continue to support the development and operation of mining projects. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements.FOR FURTHER INFORMATION PLEASE CONTACT: Sophia ShaneLundin Mining CorporationInvestor Relations North America+1-604-689-7842ORJohn MiniotisLundin Mining CorporationSenior Business Analyst+1-416-342-5565ORRobert ErikssonLundin Mining CorporationInvestor Relations Sweden+46 8 545 015 50