Toronto, July 26, 2013 - Lundin Mining Corporation (TSX: LUN) (OMX: LUMI) (“Lundin Mining” or the “Company”) reports that an independent National Instrument 43-101 Technical Report (the "Report") for its Eagle nickel/copper mine has been filed today on SEDAR (www.sedar.com). The Report is titled “NI 43-101 Technical Report on the Eagle Mine, Upper Peninsula of Michigan, USA” and was prepared by Mark Owen and Lewis Meyer from Wardell Armstrong International ("WAI"), based in London, United Kingdom.
Report Highlights:
- Probable Ore Reserves (JORC) of 5.18Mt at 2.93% Ni and 2.49% Cu, with gold, cobalt, platinum and palladium by-products;
- Initial production is scheduled for late 2014, with full commercial production by mid?2015;
- Approximately US$400M initial capital expenditures remaining to be spent as of July 31, 2013;
- Average production in first three full years of 23ktpa nickel and 20ktpa copper at estimated C1 cash costs of under US$2.00 per pound of nickel;
- Average Life of Mine production of 17ktpa nickel and 17ktpa copper at estimated C1 cash costs of approximately US$2.50 per pound of nickel; and
- Estimated 8 year mine life (late 2014 – 2022) with upside potential.
For further information on the Probable Ore Reserves and production estimates, please see the Report under Lundin Mining’s profile on SEDAR (www.sedar.com).
Qualified Person:
The Qualified Persons for the technical information contained herein are Mark Owen, Technical Director and Lewis Meyer, Associate Director, Wardell Armstrong International. Mark Owen and Lewis Meyer have reviewed and approved the contents of this news release.
The reserve estimate reported in this release has been prepared using accepted industry practice and classified in accordance with the JORC Code (2004). There are no material differences between the definitions of Proven and Probable Mineral Reserves under the applicable definitions adopted by the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM Definition Standards") and the corresponding equivalent definitions in the JORC Code for Proved and Probable Ore Reserves.
About Lundin Mining
Lundin Mining is a diversified base metals mining company with operations and projects in Portugal, Sweden, Spain and the U.S.A producing copper, zinc, lead and nickel. In addition, Lundin Mining holds a 24% equity stake in the world-class Tenke Fungurume copper/cobalt mine in the Democratic Republic of Congo and in the Freeport Cobalt Oy business, which includes a cobalt refinery located in Kokkola, Finland.
On Behalf of the Board,
Paul Conibear
President and CEO
Forward Looking Statements
Certain 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 the estimated cash costs, the timing and amount of production from the Eagle Mine, the cost estimates for the Eagle Mine, 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. Lundin Mining undertakes no obligation to update publicly or revise any forward-looking information or statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.
For further information, please contact: Sophia Shane, Investor Relations North America: +1-604-689-7842 John Miniotis, Senior Business Analyst: +1-416-342-5565 Robert Eriksson, Investor Relations Sweden: +46 8 545 015 50
