en.Wedoany.com Reported - Lundin Mining Corporation (TSX: LUN, Nasdaq Stockholm: LUMI) held a Capital Markets Day on June 17, 2026, presenting a strategic vision to become one of the top ten global copper producers, targeting annual production of over 500,000 tonnes of copper and more than 550,000 ounces of gold. Management outlined multiple growth initiatives from current operations and development plans for the Vicuña region, with all financial data denominated in 2026 actual US dollars.
President and CEO Jack Lundin noted that the foundation for the company's next phase of growth is built on stable operational performance, rigorous planning, and sustained value creation for shareholders. Through operational execution, low-risk brownfield expansion opportunities at Candelaria, Caserones, and Chapada, as well as the long-term potential impact of the Vicuña project, Lundin Mining has charted a clear path for sustainable growth. During the event, management detailed business outlooks for the next five and ten years, covering operational, financial, and growth prospects.
In terms of growth plans, following improvements to the leaching process at the Caserones mine, annual cathode copper production has gradually increased by 7,000 to 10,000 tonnes, reaching approximately 25,000 tonnes. The cathode copper plant is currently not operating at full capacity. The company plans to secure additional oxide material and expand capacity to release an additional 10,000 to 15,000 tonnes of cathode copper per year, bringing total capacity to approximately 40,000 tonnes annually, thereby partially offsetting the impact of future declines in sulfide ore grades. The internalization of underground contractors at Candelaria is nearing completion, which is expected to expand underground mining operations. This transition is anticipated to improve productivity and equipment availability, accelerate development, and increase copper production. Meanwhile, the next phase of mining at the Candelaria open pit is under study, which could further boost production and extend mine life. Engineering studies for the Saúva project at the Chapada mine have confirmed the potential to add approximately 15,000 tonnes of copper and 45,000 ounces of gold annually over a four-year period, increasing copper production by about 30% and gold production by about 75%. This brownfield project includes installing an additional ball mill at Chapada and developing the Saúva deposit, located approximately 15 kilometers from the mine. The company has approved the construction of the ball mill, expected to be completed by the end of 2027, with first ore from Saúva targeted for early 2029.
Lundin Mining holds a 50% interest in the Vicuña project, which includes the Filo del Sol and Josemaria deposits, and this project is expected to transform the company's copper, gold, and silver production profile. A comprehensive technical report released on February 16, 2026, indicated that once operational, the project has the potential to rank among the top five copper, gold, and silver mines globally. The company is advancing steadily, preparing for a decision approval by the end of the year.
On the financial outlook, the company continues to return capital to investors, targeting an annual distribution of $220 million through regular dividends and share buybacks. The 2026 production guidance remains unchanged. Based on the midpoint of production guidance and the company's forecasted copper price of $5.50 per pound and gold price of $4,000 per ounce, 2026 revenue is estimated at approximately $4.5 billion, with adjusted EBITDA1 of $1.7 billion and adjusted operating free cash flow2 of $1.2 billion. Given the long-term production growth trajectory (including Caserones cathode copper expansion, the Saúva project Phase I, and the Vicuña project), the company provided five-year and ten-year financial outlooks3: for the period 2026 to 2030, cumulative adjusted EBITDA1 is estimated at approximately $13.2 billion, and cumulative adjusted operating free cash flow2 at approximately $8.1 billion; for the period 2031 to 2035, based on long-term commodity prices of $5.50 per pound for copper and $3,700 per ounce for gold, cumulative adjusted EBITDA1 is estimated at approximately $22.3 billion, and cumulative adjusted operating free cash flow2 at approximately $15.5 billion.
The company also updated its cash cost and capital expenditure guidance, still expecting to achieve the 2026 annual combined copper and gold production guidance. Cash cost guidance for Chapada was revised downward due to higher realized prices from by-product gold sales, while cash cost guidance for other assets remains unchanged. Combined cash cost4 guidance is maintained at $1.90–$2.10 per pound of copper. Annual expansionary capital expenditure5 guidance was updated from $50 million to $85 million to reflect the approved construction of the Chapada ball mill.
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