“We are pleased to expand our ownership in a long-life operation characterized by robust cash flow generation, further enhancing Lundin Mining’s presence in the region and strengthening our overall copper-dominant portfolio of high-quality base metal mines,” president and CEO Jack Lundin said in the statement.
The executive noted that exercising the company’s option early provides significant benefits to both parties. “We secure additional copper production at an attractive acquisition price, while our partners receive an upfront payment and retain a meaningful 30% equity position in Caserones,” Lundin explained.
Under the revised agreement, the Vancouver-based miner is entitled to a yearly operator fee in the form of a preferred dividend. This will increase from $21 million a year to $28 million a year, effective from the start of 2025.
Lundin said it would will initially fund the transaction from its revolving…
