Lundin Mining Reports Second Quarter 2025 Results
Executive Summary
- Lundin Mining reported Q2 2025 revenue of $937.2 M, net earnings of $126.1 M ($0.15/share) and free cash flow from operations of $211.1 M.
- Consolidated copper cash costs fell 7% YoY to $1.92/lb; total copper production was 80,073 t (continuing operations).
- The company completed the $1.3146 B sale of its European assets, repaid its $1.15 B term loan and reduced net debt (excluding leases) to $135 M.
Key Details
- Financial Highlights
- Revenue (continuing): $937.2 M (vs. $878.3 M YoY).
- Adjusted EBITDA: $394.7 M; Adjusted earnings: $98.2 M ($0.11/share).
- Cash provided by continuing operations: $314.6 M; free cash flow from operations: $211.1 M.
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Net debt (ex‑lease): $(135.1) M, down from $(893.8) M at end‑2024.
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Production Highlights
- Copper: 80,073 t (continuing); Gold: 38,118 oz; Nickel: 2,713 t.
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Site‑specific output – Candelaria produced 36,999 t Cu and 20,574 oz Au; Caserones 29,290 t Cu; Chapada 11,274 t Cu & 17,544 oz Au; Eagle 2,713 t Ni & 2,510 t Cu.
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Cost Metrics
- Consolidated cash cost: $1.92/lb (down 7% QoQ).
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Site cash costs – Candelaria $1.81/lb, Caserones $2.45/lb, Chapada $0.75/lb.
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Asset Sale & Debt Reduction
- Sold Neves‑Corvo and Zinkgruvan to Boliden for $1.3146 B (net of cash disposed).
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Fully repaid term loan ($1.15 B) and $170 M drawn on revolving credit facility.
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Guidance & Outlook
- Reaffirmed 2025 production guidance: 303,000‑330,000 t Cu; cash cost range $1.95‑$2.15/lb.
- Revised Chapada cash‑cost guidance to $1.10‑$1.30/lb (down from prior $1.30‑$1.50).
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Expansionary capital budget increased, driven by Vicuña joint arrangement with BHP (50 % interest).
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Vicuña Project Updates
- Initial Mineral Resource estimate released (April 15 2025) – 13 Mt Cu (M&I), 32 Moz Au (M&I), 659 Moz Ag (M&I).
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Integrated technical report targeted for Q1 2026.
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Shareholder Returns
- Quarterly dividend declared: $0.0275 per share.
- Share repurchase: 4,629,000 shares at C$10.91 average price ($36.2 M).
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Total cancellations YTD: 13,058,800 shares (~$104 M).
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Exploration Activity (Q2)
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Drilling totals: Candelaria 1,533 m; Caserones 3,097 m; Chapada 5,077 m; Eagle (Boulderdash) 1,874 m.
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Conference Call
- Webcast scheduled for Thursday, August 7 2025 at 7:00 AM PT / 10:00 AM ET.
Notable Quotes
“Our portfolio of high‑quality assets continued to generate solid results during the quarter keeping us firmly on track to achieve the midpoint of our production guidance… We look forward to continuing to build off the solid first half performance for the remainder of 2025.” – Jack Lundin, President & CEO.