On 30th March 2021, Hudbay Minerals Inc. (HBM) stock increased 4.23%, closing at $6.66 as compared to the prior close of $6.39. Hudbay had recently announced the new significant discovery at its copper world properties adjacent to Rosemont. Hudbay had also announced the updates regarding its Constancia and Snow lake mine plans along with annual mineral reserve and resource update.
About Hudbay Minerals Inc.
Hudbay Minerals Inc. is a Canadian based diversified mining company that focuses primarily on the production of zinc metal and copper concentrated. The history of Hudbay has majorly centered on the mining city of Flin Flon, Manitoba, Canada, where it has mined for almost 90 years. Hudbay is currently working on building copper mine in Southern Arizona and has operations in Peru and Manitoba. Hudbay owns various exploration properties in Chile, United States, Peru and Canada. Hudbay also produces gold and silver in addition to the production of copper and zinc. Canada is a major contributor to its revenue generation and accounts to about 35% of the Hudbay’s total sales. The main objective of Hudbay is to maximize the shareholder value through effective operations, accretive acquisitions and organic growth, all the while maintaining the financial strength.
Announcement of updated Constancia and Snow Lake Mine plans and annual Reserve and resource update
On 30th March, 2021, Hudbay announced that, in respect to its 100% owned Lalor and Snow Lake gold-zinc milling and mining operations and 100% owned Constancia copper mine Peru, it has filed the updated National Instrument 43-101 technical reports. Hudbay has also announced that it has issued a new three year production guidance and released its annual mineral reserve and resource update. The total mineral reserves of Hudbay have increased by almost 360,000 ounces of contained gold and 170,000 tonnes of contained copper, as compared to the estimates of prior year. According to the new three year production guidance, it is expected that there will be a 36% and 125% increment in the consolidated copper and gold production. The reserves of Constancia have increased by 33 million tonnes, which resulted in almost 12% increase in contained gold and 11% increase in contained copper, as compared to the previous year reserves. The total production of gold and copper increased by 9% and 12% in Constancia. As for the Snow Lake mineral reserves, they continued to increase year over and its copper, silver and gold production has increased by 35%, 27% and 18%.
New discovery at Copper world
On the same day, HBM announced a new discovery in their copper project in Arizona, United States. HBM confirms the intersection of high-grade copper sulphide and oxide mineralization, located in seven kilometers of its Rosemont copper project. The drilling program was launched in 2020 and the promising initial results encouraged Hudbay to launch a larger drilling program in 2021 and ever since that, HBM has doubled the number of drill rigs for further testing of the four deposits at copper world and the potential for additional mineralization.