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Hudbay meets annual production guidance for all metals

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(Kitco News) - Hudbay Minerals (TSX, NYSE:HBM) announced Thursday that on a consolidated basis, Hudbay’s copper, zinc and precious metals production met 2020 guidance ranges.

According to the company’s statement, production of copper in Manitoba exceeded the top end of the guidance range, while copper production in Peru was within the revised guidance range.

Consolidated cash cost per pound of copper produced, net of by-product credits, was $0.60 in 2020, a decrease compared to $0.83 in 2019, mainly as a result of increased by-product credit revenues.

Cash generated from operating activities decreased to $239.5 million in 2020 from $310.9 million in 2019. Operating cash flow before change in non‑cash working capital decreased to $241.9 million from $307.3 million in 2019.

Net loss and loss per share for 2020 were $144.6 million and $0.55, respectively, compared to a net loss and loss per share of $343.8 million and $1.32, respectively, in 2019.

The company’s consolidated copper production is forecast to increase by 7% in 2021, compared to 2020, with a further increase expected in 2022 with higher grades at the Pampacancha deposit in Peru.

Consolidated gold production is forecast to increase by 62% in 2021, compared to 2020, with a further increase expected in 2022 due to the first full year of production at the New Britannia mill and Pampacancha.

Hudbay is a diversified mining company primarily producing copper concentrate (containing copper, gold and silver) and zinc metal. Hudbay owns three polymetallic mines, four ore concentrators and a zinc production facility in northern Manitoba and Saskatchewan (Canada) and Cusco (Peru), and copper projects in Arizona and Nevada (United States).

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